5/18/2020 - City Council - Work Session - MinutesI z1a
SPRING PARK
On Lake 94innetonka
CITY OF SPRING PARK
WORK SESSION MINUTES
MAY 185 2020 — 6:00 PM
SPRING PARK CITY HALL
CALL TO ORDER - The work session was called to order by Mayor Rockvam at 6:00 p.m.
Council Members Jerome P. Rockvam, Mayor; Mark Chase; Jeff Hoffman; Pamela Horton; and
Present: Gary Hughes
Staff Present: Dan Tolsma, City Administrator
1. RENTAL ORDINANCE DISCUSSION
City Administrator Tolsma discussed the proposed short-term and long-term rental ordinances.
Council Member Horton stated she is against allowing short-term rental properties in the City due to
the increased traffic and disruption for surrounding homeowners. Furthermore, she stated she is
against a long-term rental licensing program.
Council Member Hughes stated he is also against allowing short-term rental properties in the City
due to the issues created for surrounding property owners and potential impact to property values.
Council Member Chase stated he is also opposed to allowing short-term rental properties in the City.
He has discussed the issue with some of his neighbors and they are also opposed to short-term rentals
due to the inconvenience and disruption to their neighborhood. He stated that properties are being
purchased for the sole purpose of renting them out like a hotel and he would not like to have an
operation like that located next to his home.
City Administrator Tolsma stated that the public hearings brought out opinions on opposite ends of
the spectrum, and there did not seem to be any middle ground, on the issue of short-term rentals.
Council Member Hoffman stated that the Planning Commission process was to review the ordinance
since it is currently not an allowed use in the City. The goal of the process was to craft an ordinance
that would be manageable if the City Council decided to ultimately allow short-term rentals. However,
if the decision is to keep the prohibition in place then the Council needs to look at an ordinance that
clarifies its position in regards to short-term rental properties in the City.
Mayor Rockvam asked what neighboring communities allow for short-term rentals.
City Administrator Tolsma responded that most surrounding communities do not allow short-term
rental properties. Mound took an approach where they decided to prohibit any new short-term rentals
but grandfathered in the properties that were currently renting out their homes for short-term
purposes. The other aspect to look at with surrounding communities is enforcement, there are listings
for rentals online in cities where short-term rentals are prohibited so it is interesting to note how
proactive these cities enforce their prohibition of short-term rentals.
Mayor Rockvam stated that he personally does not have an issue with short-term rental properties.
Council Member Hoffman stated that some of the issues that residents voiced were smaller but add
up over time concerning disruption to neighbors. For example, short-term renters were unaware of
which dock to use or where the property lines ended so they were unknowingly trespassing on the
neighbor's property and that situation is less likely to occur with a long-term renter or owner -occupied
property.
Michael Mason, 3950 Del Otero Avenue and Planning Commissioner, discussed his experience with
a short-term rental property in his neighborhood. He stated that he voted against the recommendation
to allow short-term rental properties in the City because he has experienced several late -night parties,
disruptions, and parking issues in the neighborhood.
Council Member Chase asked about the Mound approach to grandfather in current short-term rental
properties operating in the City.
Council Member Hoffman responded that currently the Code does not allow short-term rental
properties so it would be difficult to grandfather in a use that isn't currently allowed. He stated that
the quandary is allowing the operation of a for -profit business in a residential district versus the right
of a property owner to utilize their property as they see fit.
City Administrator Tolsma stated that if the Council looks at it as a risk -benefit analysis then allowing
short-term rentals benefits only a few properties in the City and potentially leads to frustrations for
many. However, continuing and clarifying the prohibition of short-term rentals benefits more
homeowners in the City whose neighborhoods will not be impacted by a commercial business
operating in a residential district.
The City Council consensus was to have staff draft an ordinance clarifying the City's prohibition of
short-term rental properties in the City.
City Administrator Tolsma asked for direction on the long-term rental licensing process.
Council Member Hughes stated he is not in favor of a licensing process for long-term rental
properties. He believes the program is too much for Spring Park and believes that Hennepin County
already has a process in place for tenant -landlord disputes.
City Administrator Tolsma discussed the current process when staff receive a rental complaint in the
City and the Hennepin County escrow process. He added that the proposed rental licensing ordinance
sets a standard for rental properties in the City and is more proactive. The escrow process with the
County puts the burden on the tenant.
Mayor Rockvam stated he doesn't want to make tenant -landlord disputes an issue for City staff to
step-in and resolve.
Council Member Hoffman stated that when he walks the City, the majority of dilapidated and unsafe
rentals are single-family properties and not multi -family buildings. He wanted to inquire about
applying the long-term rental ordinance to single-family properties only.
City Administrator Tolsma responded that the draft ordinance can be edited to only apply to single
and two-family properties. He added that in order to limit the ordinance in that manner there will
need to be justification and rationale so he will discuss the matter with the City Attorney.
Mayor Rockvam and Council Member Hughes are not in favor of any long-term rental licensing
program.
City Administrator Tolsma stated the biggest reason behind having a long-term rental ordinance is
health and safety. There are single-family rental properties in the City that are unsafe and a licensing
program would identify those homes that have life or death safety issues that need to be addressed.
This is especially important in structures where there are children.
Council Member Hoffman stated that health, safety, and welfare are of the utmost importance to
him. If an adult renter wants to take a risk and live in unsafe conditions that is one argument.
However, others can be injured at a dilapidated rental property that were unaware of the risk; for
example, firefighters responding to a medical emergency, delivery drivers, cub scouts or other
solicitors walking on an unsafe structure. He added that these safety issues are not being addressed
right now.
The City Council consensus was to have staff discuss the matter with the City Attorney and explore
revising the long-term rental ordinance to apply to single and two-family properties only.
2. WATER TOWER ANTENNA LEASE EXTENSIONS
City Administrator Tolsma discussed water tower antenna lease extension requests from Sprint and
T-Mobile. He has contacted Kennedy & Graven for their opinion on the extension requests and to
discuss the current market value of the lease versus the current contract. He asked for Council
direction.
The City Council consensus was to have staff survey neighboring cities about their current antenna
lease agreements and to work with Kennedy & Graven to discuss counter -proposal options based on
the information that is gathered.
3. CONSTITUTIONAL/BUSINESS FRIENDLY RESOLUTION
Due to limited timing, this item was not discussed.
4. SCHEDULE SPECIAL MEETING TO DISCUSS WEST ARM RD WEST & CAPITAL
PROJECTS LIST
Mayor Rockvam asked for an update on the West Arm Road West Project.
City Administrator Tolsma stated the plans for the water and sewer improvements will be available
soon and then the bidding process can begin. He added that Mound Fire Chief Pederson will attend
the special meeting to discuss fire truck access and safety issues on West Arm Road West.
Mayor Rockvam would like the special meeting to occur soon so that the plans can be finalized. He
added that he would like the City to consider implementing a policy that puts all City roads on a
schedule for improvement and updates, including curb and gutter, so that the decision isn't dependent
solely on public opinion at the time of the proposed project.
City Administrator Tolsma agreed and stated these are the issues that can be discussed at the
upcoming special meeting. He will contact Council to find a date that works for everybody.
5. ADJOURN — The work session was adjourned by unanimous consent at 6:59 p.m.
Date Approved: July 20, 2020
Dan Tolsma, City Administrator
Theresa Schyma, City Clerk