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REQUEST FOR ACTION <br />TO <br />ITEM NUMBER <br />Planning Commission 5.2. <br />AGENDA SECTION MEETING DATE PREPARED BY <br />Planning Items July 13, 2010 Jeremy Barnhart, Planning Manager <br />ITEM DESCRIPTION REVIEWED By <br />Request by Elk River Sales & Leasing for Conditional Use <br />Permit to allow truck sales, Public Hearing -Case No. CU 10-15 REVIEWED BY <br />ACTION REQUESTED <br />Staff recommends approval of Conditional Use Pernut allowing for the acquisition of an auto dealers <br />license at 10752 171St Avenue, as described in the applicants narrative dated May 13, 2010. <br />1. Vehicles and equipment acquired as part of the auto dealers license are intended for <br />Morrell trucking and its subsidiaries use only. <br />2. As a Conditional Use Permit is not a Building Permit, the applicant shall apply for all <br />required permits. <br />BACKGROUND/DISCUSSION <br />Morrell Trucking received a Conditional Use Permit, rezoning, and preliminary plat in 1997 (case <br />numbers ZC 97-2, P 97-11, and CU 97-12). Those approvals were for the operation of a truck transfer <br />facility, which is currently in operation. <br />The truck transfer business includes several subsidiarybusinesses. These subsidiarybusinesses include <br />Elk River Sales and Leasing (proposed to receive the Auto dealer's license), Morrell Enterprises, and <br />Morrell C-versize, Morrell Transfer, Morrell Towing, and Morrell and Morrell. <br />Elk River Sales and Leasing desires an auto dealer's license to allow them to purchase the vehicles as a <br />dealer, and lease the vehicles to the other business units within the organization. C-perationally, this <br />represents zero change from current practice. Financially, the dealers license changes their sales tax <br />structure. Currently, they pay sales tax on the purchase of the equipments, and sales tax on the lease of <br />the equipment to the differing business units. With a dealer license, theywould avoid paying sales tax on <br />the purchase. Sales tax on the leases would continue. <br />No changes are proposed to the layout or configuration of the site. <br />While there is no operational or physical change to the original Conditional Use Permit, because the CUP <br />was silent on an auto dealership component, staff determined that a Conditional Use permit was <br />necessary to add the auto dealership license. <br />N:\Departments\CommuniryDevelopment\Planning\Case Files\CUP\CU 10.15 ERSales and Leasing (Morey\CU 10-15 Morrell SRto PC7-12- <br />l0.doc <br />