HF 4010

as introduced - 93rd Legislature (2023 - 2024) Posted on 02/22/2024 04:42pm

A bill for an act
relating to local government; establishing requirements for multifamily residential
developments in cities; proposing coding for new law in Minnesota Statutes,
chapter 462.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

new text begin [462.3571] MULTIFAMILY RESIDENTIAL DEVELOPMENTS.
new text end

new text begin Subdivision 1. new text end

new text begin Definitions. new text end

new text begin (a) For the purposes of this section, the following terms have
the meanings given.
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new text begin (b) "Affordable housing development" means a multifamily residential development in
which:
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new text begin (1) at least 20 percent of the residential units are for households whose incomes do not
exceed 50 percent of the area median income; or
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new text begin (2) at least 40 percent of the residential units are for households whose incomes do not
exceed 60 percent of the area median income.
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new text begin The deed or declaration for an affordable residential unit must also contain a restrictive
covenant requiring the property to remain affordable housing for at least 30 years.
new text end

new text begin (c) "City" means a home rule charter or statutory city.
new text end

new text begin (d) "Residential unit" means a residential dwelling for the use of a single owner or tenant.
new text end

new text begin Subd. 2. new text end

new text begin Multifamily residential developments. new text end

new text begin (a) Multifamily residential
developments are a permitted use in any zoning district that is not zoned as industrial or
agricultural, subject to compliance with all municipal standards.
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new text begin (b) A multifamily residential development may be mixed use so long as at least 50
percent of the square footage of the development is dedicated to residential use.
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new text begin Subd. 3. new text end

new text begin Proximity to certain transportation infrastructure. new text end

new text begin A multifamily residential
development must not be located less than 500 feet from a federal interstate highway, airport,
or rail line. The limitation under this subdivision does not apply to a state trunk highway,
county state-aid highway, or other local road.
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new text begin Subd. 4. new text end

new text begin Compliance with comprehensive plan; zoning. new text end

new text begin A multifamily residential
development must be approved by a city if it is consistent with the comprehensive plan on
the date of submission and complies with all state and municipal standards.
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new text begin Subd. 5. new text end

new text begin Applicable zoning standards. new text end

new text begin (a) A city may not impose more restrictive
standards to a multifamily residential development than those that apply to property zoned
for the current use of the parcel.
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new text begin (b) A city must not impose a height requirement on a multifamily residential development
that is less than the tallest structure within a one-quarter mile radius of the parcel on which
the development will be built or the maximum height permitted under the city's official
controls, whichever is higher, so long as the maximum height of the development is no
more than 150 feet.
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new text begin (c) A city must not impose a setback requirement on a multifamily residential
development that is less than the smallest minimum setback distance required of a structure
within a one-quarter mile radius of the parcel on which the development will be built.
new text end

new text begin Subd. 6. new text end

new text begin Parking requirements limited. new text end

new text begin A city may not require more than one off-street
parking space per residential unit.
new text end

new text begin Subd. 7. new text end

new text begin Affordable housing development; height requirements. new text end

new text begin (a) An affordable
housing development must be permitted to exceed both a maximum height requirement and
a maximum floor area ratio limitation imposed by city official controls as provided in
paragraphs (b) and (c). The authority in paragraphs (b) and (c) that produces the tallest
development with the most number of affordable housing units on the parcel shall be applied
to the affordable housing development.
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new text begin (b) An affordable housing development may either:
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new text begin (1) exceed the height requirement for the zoning district where the affordable housing
development will be located by 35 feet in height; or
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new text begin (2) match the maximum allowed height in any zoning district within one mile of the
affordable housing development, so long as the maximum height is no more than 150 feet.
new text end

new text begin (c) An affordable housing development must be permitted to do one of the following,
whichever results in the largest development:
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new text begin (1) exceed the maximum density as permitted by city standards or the city's
comprehensive plan by 30 percent;
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new text begin (2) exceed the lot coverage ratio by 30 percent;
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new text begin (3) exceed the floor area ratio by 30 percent; or
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new text begin (4) exceed the maximum impervious lot coverage area by 30 percent.
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new text begin Subd. 8. new text end

new text begin Administrative review process. new text end

new text begin (a) Notwithstanding any law, rule, or ordinance
to the contrary, a city must establish an administrative review process for building permit
applications for multifamily residential development projects. The administrative review
process must review and approve or deny such building permit applications based on the
application's conformity with the city's comprehensive plan, other applicable zoning
requirements, and state law. An application may not be approved contingent on the
development being a part of planned unit development, the approval of a conditional use
permit, the completion of a study, or other condition that is not related to conformity with
the city's comprehensive plan, zoning requirements, and state law.
new text end

new text begin (b) An application denial must be in writing and must describe the reasons for denial
and the ways the application or development design can be amended to receive approval at
a future date. Nothing in this subdivision prevents an applicant who received a denial from
submitting a new application for the same multifamily residential development, which shall
be treated by the city as a new submission.
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new text begin (c) The administrative review process shall not involve a public hearing unless one is
required by state or federal law. Approval or denial of an application does not require
approval by the city council or a subcommittee of the council.
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new text begin (d) An application subject to the administrative review process under this subdivision
must be approved or denied within 60 days following the receipt by the city of a completed
application by the applicant. If the city fails to approve or deny an application within 60
days, the application shall be deemed approved. The city may not request an extension for
review of the application from the applicant.
new text end

new text begin (e) A city may request that an applicant incorporate certain design elements into the
development that go beyond the criteria in state law and city official controls. The applicant
may incorporate those elements in the design of the development but is not required to do
so.
new text end

new text begin Subd. 9. new text end

new text begin Local funds. new text end

new text begin Notwithstanding any law, rule, or ordinance to the contrary, a
city may not impose requirements on a multifamily residential development that are more
restrictive than the requirements in this section if a multifamily residential development is
funded in whole, or in part, with local funds or is located in a tax increment financing district
or other special district created by the city.
new text end

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective January 1, 2025.
new text end