Council moves to end park development fees
Elly DesLauriers
Rob Fuller
Mike Blessum
Elly DesLauriers
Rob Fuller
Mike Blessum
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In an effort to spur more housing and other development, the Minot City Council this week advanced a series of zoning ordinance changes intended to address potential impediments.
One of those proposed changes - aimed at reducing development costs by eliminating fees to create new parks - drew a challenge from Minot Park District at the council's meeting on Monday, Aug. 3.
Currently, a park district fee is charged on residential and commercial building permits. For new housing construction, a fee of $1,000 is charged on each housing unit. For new commercial construction, a fee of 1% of the overall cost of the project is charged. The park district can use the revenue to acquire land or build parks or trails.
Elly DesLauriers, executive director at Minot Park District, recounted that the park land dedication ordinance was a joint decision of the park board and city council in 2014.
"The philosophy was simple: As Minot grows, our public spaces must grow alongside it," she said. "We want to work hand in hand with developers to ensure our families have parks and creative spaces without placing that financial burden entirely on our current property owners."
To maintain flexibility, she said, the ordinance allows developers to either dedicate land within the development for a park or contribute a fee toward future park development.
The ordinance can be improved with updates, but removing the provision for parks is a step backward and a detriment to long-range planning, DesLauriers said.
She said the park district is open to talking about the fees but opposes simply removing them without ensuring the park district maintains a seat at the table in development discussions.
Council member Rob Fuller calculated the park district will collect $427 million in sales tax, property tax and user fees over the next 20 years. People shouldn't have to pay for park development fees on top of that, he said.
"These fees are directly passed on to the homeowners," he said.
County member Mike Blessum said the ordinance changes being made to spur development help the park district as much as the fees.
"A simple 12% increase in development will more than offset what you're losing in fees," he told DesLauriers.
"We need to spur development. We need housing," he said. "If we've got a huge business coming in, if we've got a new facility coming on North Hill - yes, they need things to do. But you know what? They need a place to live. It's hard to use a park if you can’t even live in town."
Council member John MacMartin said he can support removing the fee on residential housing.
"But when it's commercial development, industrial development, those fees will help pay for parks for the people that are working for them," he said.
Several residents also came to the podium to weigh in against the fees.
"This is nothing more than a special assessment," Tom Warsocki said, citing the council's general reticence to use special assessments.
Former council member Mike Hayes, who has worked in development, spoke about the negative ramifications on city growth in passing park development fees on to new homebuyers, especially on starter homes.
The park district had persuaded the Minot Planning Council to recommend the council reject changes to the park dedication portion of the zoning ordinance. The council majority decided not to take that advice.
The council voted 5-2 to approve the ordinance change and remove the park fees on first reading, with MacMartin and Stephan Podrygula dissenting. However, the council also gave direction to staff to bring back additional language to ensure the park district has a voice when proposed developments impact its future planning.
Other zoning ordinance changes approved by the council on first reading would:
- allow accessory dwelling units on residential properties without a conditional use permit to enable families to own secondary dwelling units lived in by other family members. Accessory units would be limited to one per property and must be 300-960 square feet in size.
- remove most commercial parking space minimums and maximums to give developers and business owners flexibility to decide how much parking they need. The city regulates parking in residential and commercial zones but eliminated regulations in industrial zones a couple of years ago.
- add a high-density zoning classification to allow detached, entry-level townhomes on narrow lots with minimal setbacks. This type of housing recently was allowed as a Planned Unit Development (PUD) project in a northeast Minot development, but the change would allow this type of zoning without going through the PUD process.
- reduce required lot sizes and setbacks.
- remove a requirement in commercial developments for foundation landscaping plantings, which other cities in North Dakota do not require.
- eliminate the need to rezone when relocating a lot line if the change is minor.