Cretex Industrial Park, LLC, property owner, and CT Realty, applicant, are requesting that the Board of Adjustment and Appeals approve their Conditional Use Permit for a compressed natural gas (CNG) fleet fueling facility on property located south of Hwy. 101 and west of Stagecoach Road (7420 Hentges Way).

The subject property is located on Lot 2, Block 1, Hentges Industrial Park 3rd Addition (approximately 5 acres) and is zoned Heavy Industrial (I-2). CT Realty is proposing construction of a CNG combination fill station, which will provide both fast-fill and time-fill operations. This station will resemble a traditional gasoline station, except that the facility will serve natural gas trucks from a single fleet user. The applicant has provided a site plan which identifies the filling stations for the fast fill (under the canopy) and the time fill (pumps adjacent to the parking lot stalls for the fleet vehicles).

On April 19, 2022, the City Council adopted a text amendment to the Shakopee City Code to add fleet fueling as a conditional use within the I-2 Heavy Industrial District. That Ordinance included 17 conditions that are to be met for this type of CUP request. The draft resolution includes reference to those conditions in addition to other conditions requested by City and SPU staff.

Findings
Section 151.011 (Conditional Use Permits), Subd. A (Criteria for Granting Conditional Use Permits) states “In granting a conditional use permit, the Board of Adjustment and Appeals shall consider the effect of the proposed use upon the health, safety, and general welfare of the occupants of surrounding lands and the City as a whole.” The Board of Adjustment and Appeals shall not grant a conditional use permit without making certain findings.

The criteria required for the granting of conditional use permits are listed below with staff findings.

Criteria #1 The use will not be injurious to the use and enjoyment of other property in the immediate vicinity for the purposes already permitted, nor substantially diminish and impair property values within the immediate vicinity;
Finding #1 The City has not received any evidence that the proposed use will be injurious to the use and enjoyment of other property in the immediate vicinity, nor would it substantially diminish or impair property values in the area, provided the use complies with the conditions of the resolution.

Criteria #2 The establishment of the conditional use permit will not impede the normal and orderly development and improvement of surrounding vacant property for uses allowed in the area;
Finding #2 The conditional use permit should not impede future development and improvement in the area, provided the use complies with the conditions of the resolution.

Criteria #3 Adequate utilities, access roads, drainage and other necessary facilities have been or will be provided;
Finding #3 The Board finds that adequate utilities, access, drainage and other necessary
facilities have been or will be provided for the site, as conditioned in the resolution.

Criteria #4 The use is consistent with the purposes of the zone in which the applicant intends to locate the proposed use; and
Finding #4 The use of the subject property is consistent with the purposes of the Heavy Industry (I-2) Zone.

Criteria #5 The use is not in conflict with the Comprehensive Plan.
Finding #5 The use is not in conflict with the Comprehensive Plan (Industrial).

Staff reviewed the above criteria and have found that the proposal would meet the criteria, provided the conditions are met. Additionally, SPU, City Engineering and Planning staff have provided conditions in addition to the 17 conditions previously noted in City Code Section 151.007 (L) (24), Industrial Fuel Stations that have been incorporated into the draft Resolution. Of particular emphasis by city staff is the need for extensive screening of the site and that the applicant will need to work closely with City staff on the submittal of a final site plan at time of building permit should this CUP be approved to ensure compliance with any City Code and CUP Resolution requirements.