No preview available
 /
     
06/15/2004 - City Council RegularAGENDA EAGAN CITY COUNCIL — REGULAR MEETING EAGAN MUNICIPAL CENTER BUILDING June 15, 2004 6:30 P.M. I. ROLL CALL AND PLEDGE OF ALLEGIANCE II. ADOPT AGENDA III. RECOGNITIONS AND PRESENTATIONS pa A. History on Deck — Playing Card Presentation IV. CONSENT AGENDA pj A. APPROVE MINUTES r ,3 B. PERSONNEL ITEMS di!'� C. CHECK REGISTERS P,S D. SCHEDULE Special City Council meeting for June 29, 2004 p�6 E. ACCEPT the resignation of Economic Development Commission member Jean Cheskis r/ F. ACCEPT the resignation of Airport Relations Commission member Bruno DiNella p,b G. APPROVE appointment of Economic Development Commission (EDC) alternate member Christopher Nelson to a / / 10 -month Voting EDC Term until April 2005 r H. APPROVE appointment of Airport Relations Commission (ARC alternate member Jason Bonnett to a 10 -month voting ARC term until April 2005 oil1. APPROVE Premise Permit renewal for Metro Baseball League J. �tF K. a5.-L.APPROVE extension for renewal of massage therapists licenses APPROVE Temporary Malt Liquor License for Eagan Lions Club for Fourth of July Celebration APPROVE advertisement of request for proposal for beverage contract with Eagan Parks and Recreation a� M. APPROVE advertisement of request for proposal for ceiling drapery contract N. APPROVE advertisement of request for proposal for outdoor canopy and chairs 1 P.O. APPROVE Change Order #5, Cont. 02-15B, Community Center Site Improvements AUTHORIZE Feasibility Report for Project 908 (Trunk Water Main — LeMieux Property, Lakeview Trail to Violet Lane) PI Q. APPROVE 2004/2005 Amusement Device Licenses Q3�_R. RECEIVE bids / award Contract 04-08 (Sewer Line Renovation) 1135 S. APPROVE Dakota Electric Association Agreement for LED Traffic Signal Retrofit Rebate f��. T. APPROVE Change Order #5, Contract 03-09, Water Treatment Plant 3? U. AWARD contract for engineering services for Project 778 (TH 149 Upgrade, Wescott Road to TH 55) V. RECEIVE petition and order public hearing for drainage and utility easement vacation for Stryker Addition (Cedarvale Business Center) PPW. ADOPT Findings of Fact for Denial, Planned Development Amendment — Pellicci, Inc. for 1,000 gallon propane tank Df Y. X. APPROVE final plat — Minnesota Valley Transit Authority rd Addition, Minnesota Valley Transit Authority APPROVE final adoption, City of Eagan Comprehensive Guide Plan, Section 5, Aviation/Airports a Z. ACCEPT donation from BRAA for Parks and Recreation Scholarship Fund P�AA. APPROVE distribution of History Playing Cards V. PUBLIC HEARINGS p‘,4, A. VARIANCE — Brandt Engineering — A variance request to the building code setback of 30' from a public right-of- way on Lot 2, Block 1, Gardenwood Ponds Sixth, located at 962 Stanwix Road in the NW '4 of Section 23. VI. OLD BUSINESS 03 A. CONDITIONAL USE PERMIT — WAL-MART — A Conditional Use Permit to allow a check cashing service on Lot 1, Block 1, Town Centre 70th Eleventh Addition, located at 1360 Town Centre Drive in the NW ''A of Section 15. REZONING, PRELIMINARY SUBDIVISION AND VARIANCES TO SETBACKS, CURB AND GUTTER REQUIREMENTS AND PUBLIC STREET FRONTAGE REQUIREMENTS — EPIC DEVELOPMENT. A p139D. Q,4()Eeict'F. tf Rezoning of approximate 7.7 acres from A, Agriculture to R-1, Single Family Residential and a Preliminary Subdivision (Evergreen Enclave) to create 12 lots, located at 4195 Lexington Way S. in the SE 1/4 of Section 22. REZONING — CEDARSTONE DEVELOPMENT — A Rezoning of approximately five acres from A, Agriculture to R-2 Residential Double located at 1055 Wescott Road in the SW '/. of Section 14. REZONING — ROBERT F. MCDONALD — A Rezoning of approximately five acres from A, Agriculture to R-1, Single Family Residential located at 1085 Wescott Road in the SW 1/4 of Section 14. REZONING, PRELIMINARY SUBDIVISION & PRELIMINARY PLANNED DEVELOPMENT — METROPOLITAN OFFICE CONDOS LLC — A Rezoning from LB, Limited Business to PD, Planned Development, a Preliminary Subdivision (Northwood Office Condos) to create six lots and a Preliminary Planned Development to allow multiple office condos on property located between Pilot Knob Road and Interstate 35E in the SW 1/4 of Section 10. RECEIVE LEGAL OPINION and provide direction on the Laukka-Beck and Loan Oak Development proposals PLANNED DEVELOPMENT AMENDMENT — DIEDRICH BUILDERS, INC. — A Planned Development Amendment to modify the final planned development plans for Lots 5, 8, 9, 10 and 17, Block 2, Eagan Heights Townhomes 3`d Addition, located on Liberty Lane in the SW '/, of Section 19 VII. NEW BUSINESS p3rA. PLANNED DEVELOPMENT AMENDMENT — MSP COMMERCIAL — A Planned Development Amendment to change the design of an existing building monument sign on Lot 1, Block 1, Gatewoods Addition, located at 1185 Town Centre Drive in the NE '/ of Section 15. t)V 3 B. COMPREHENSIVE GUIDE PLAN AMENDMENT, REZONING, PRELIMINARY SUBDIVISION, & (f PRELIMINARY PLANNED DEVELOPMENT - INTERSTATE PARTNERS, LLC — A Comprehensive Guide Plan Amendment to amend Special Area #2 from Business Park to Office Service, a Rezoning from Business Park to Planned Development, a Preliminary Subdivision (Grand Oak Five) to create four lots and a Preliminary Planned Development located on Lot 1 & 2 Block 1, Imre Addition and part of Lot 3, The Robert O'Neill Homestead in the north half of Section 2. P L//2C. ORDINANCE AMENDMENT — CITY OF EAGAN — An Ordinance Amendment to Chapter 11 Entitled "Land Use Regulations (Zoning)" to amend Chapter 11 to allow Accessory Structures in the Public Facility zoning district. VIII. LEGISLATIVE/INTERGOVERNMENTAL AFFAIRS UPDATE IX. ADMINISTRATIVE AGENDA X. ECONOMIC DEVELOPMENT AUTHORITY (No business items scheduled) A. CALL TO ORDER B. ADOPT AGENDA C. APPROVE MINUTES D. OLD BUSINESS E. NEW BUSINESS F. OTHER BUSINESS G. ADJOURNMENT * The Council acting as the Board of Commissioners of the Economic Development Authority ("EDA") may discuss and act on the agenda items for the EDA in conjunction with its actions as a Council. XI. OTHER BUSINESS XII. VISITORS TO BE HEARD (for those persons not on the agenda) XIII. CLOSED SESSION XIV. ADJOURNMENT The City of Eagan is committed to the policy that all persons have equal access to its programs, services, activities, facilities and employment without regard to race, color, creed, religion, national origin, sex, disability, age, marital status, sexual orientation, or status with regard to public assistance. Auxiliary aids for persons with disabilities will be provided upon advance notice of at least 96 hours. If a notice of less than 96 hours is received, the City of Eagan will attempt to provide such aid. city of eagan MEMO MEMO TO: HONORABLE MAYOR AND CITY COUNCIL MEMBERS FROM: CITY ADMINISTRATOR HEDGES DATE: JUNE 11, 2004 SUBJECT: AGENDA INFORMATION FOR JUNE 15, 2004 CITY COUNCIL MEETING After approval is given to the June 15, 2004 City Council agenda, the following items are in order for consideration. Agenda Memo June 15, 2004 RECOGNITIONS AND PRESENTATIONS: HISTORY ON DECK —PLAYING CARD PRESENTATION The "History on Deck" project to educate local students and Eagan residents about the city's history is now ready for launch. 2,000 playing card decks with brief stories of Eagan's history are now back from the printer and ready for distribution to the schools and sale to the public. The project was made possible by the hard work of the Historical Society members and three specific sponsors who will be thanked during the presentation: Dakota Electric, Eagan Thisweek Newspapers, and the Eagan Convention and Visitors Bureau. The City Council will be presented with the first five decks at a cost of $5 each, to symbolize to the viewing public that the cards will go on sale on Thursday, June 17. Agenda Information Memo June 15, 2004 Eagan City Council Meeting The following items referred to as consent items require one (1) motion by the City Council. If the City Council wishes to discuss any of the items in further detail, those items should be removed from the Consent Agenda and placed under Old or New Business unless the discussion required is brief. A. APPROVE MINUTES ACTION TO BE CONSIDERED: To approve the minutes of the June 1, 2004 Listening Session and the June 1, 2004 regular City Council meeting as presented or modified. ATTACHMENTS: • Minutes of the June 1, 2004 Listening Session are enclosed on page -/ . • Minutes of the June 1, 2004 regular City Council meeting are enclosed on pages through / a. 3 CITY OF EAGAN LISTENING SESSION EAGAN ROOM — MUNICIPAL CENTER June 1, 2004 6:00 P.M. A Listening Session was held prior to the regular City Council meeting at 6:30 in the Eagan Room of the Municipal Center. Sue Bruno, 3708 Cardinal Way, on behalf of her neighborhood, inquired about protocol for allowing the continuance of items on City Council agendas. City Administrator Hedges and Councilmembers explained there is no set policy regarding the continuance of agenda items and usually when an applicant requests a continuance, it is granted if there is no conflict with the 60 day agency action deadline. Councilmembers agreed that further discussion regarding a policy for the continuance of agenda items should be discussed at a future work shop. Respectfully submitted: Mira McGarvey Administrative Secretary / Deputy Clerk Y MINUTES OF A REGULAR MEETING OF THE EAGAN CITY COUNCIL Eagan, Minnesota June 1, 2004 A regular meeting of the Eagan City Council was held on Tuesday, June 1, 2004 at 6:30 p.m. at the Eagan Municipal Center. Present were Mayor Geagan, Councilmembers Carlson, Fields, Tilley and Maguire. Also present were City Administrator Tom Hedges, Community Development Director Jon Hohenstein, City Planner Mike Ridley, Public Works Director Tom Colbert, Assistant to City Administrator Dianne Miller, City Attorney Mike Dougherty and Administrative Secretary / Deputy Clerk Mira McGarvey. AGENDA City Administrator Hedges noted that the following items would be continued. Consent Agenda items S and T; Old Business items A and C; and New Business Item F. He also noted that the Economic Development Authority meeting would be cancelled. Councilmember Tilley moved, Councilmember Carlson seconded a motion to approve the agenda as amended. Aye: 5 Nay: 0 RECOGNITIONS AND PRESENTATIONS POLICE STAFF AND CITIZENS WHO HAVE SHOWN EXEMPLARY SUPPORT OF PUBLIC SAFETY Recognition was given to Fire Chief Bob Kriha, his son, Dan Kriha and Eagan Citizen Gerilyn Kusnierek for recently saving the life of Colonel Robert Haggan. Colonel Haggan subsequently donated defibrillator equipment to the Eagan Fire Department and was recognized for the donation. PUBLIC ACCESS DEFIBRILLATION A presentation was made by Chief Therkelsen and Health East on a proposed Public Access Defibrillation Program for the City. Councilmember Fields moved, Councilmember Tilley seconded a motion to adopt a resolution in support of the Public Access Defibrillation Program. Aye: 5 Nay: 0 2003 COMPREHENSIVE ANNUAL FINANCIAL REPORT City Administrator Hedges introduced this item regarding the 2003 Comprehensive Annual Financial Report. Matt Mayer of Kern, DeWenter, Viere, Ltd., along with Chief Financial Officer Tom Pepper, made a presentation. Councilmember Fields moved, Councilmember Tilley seconded a motion to receive and accept the 2003 Comprehensive Annual Financial Report (CAFR). Aye: 5 Nay: 0 CONSENT AGENDA Councilmember Fields moved, Councilmember Tilley seconded a motion to approve the balance of the Consent Agenda. Aye:5 Nay: 0 A. Minutes. It was recommended to approve the minutes of the May 18, 2004 regular City Council meeting and the May 11, 2004 special City Council meeting as presented. 13. Personnel Items. 1. It was recommended to approve the hiring of Tara Lefler and Ryan Perkl as seasonal water resources assistants. 2. It was recommended to approve the hiring of Rachel Sablack as a skating school instructor. s Eagan City Council Meeting Minutes June 1, 2004 Page 2 DRAFT 3. It was recommended to approve the hiring of Kimberly Drebenstedt as a part-time guest service representative at the Community Center. 4. It was recommended to approve the 2004 -2005 collective bargaining agreement with the Police Sergeants bargaining unit (Law Enforcement Labor Services, Inc.). 5. It was recommended to approve the2004 -2006 collective bargaining agreement with the Public Works/Parks Maintenance bargaining unit (Teamsters Local 320). C. Check Registers. It was recommended to ratify the check registers dated May 20, 2004, and May 27, 2004 as presented. D. Sale of City Property. It was recommended to approve the proposal for the sale of City Property at the northwest corner of Highway 3 and Diffley Road to Excel Development in the amount of $475,000. E. Findings of Fact. It was recommended to adopt the Findings of Fact, Conclusions and Resolution of Denial for variances to lot coverage for Lots 2, 3, 4, 6, 7, 8, 12, 13, 14 Block 1, Marcella Woods. F. Final Subdivision and Final Planned Development. It was recommended to approve a Final Subdivision (Nicols Ridge) for phase I and Final Planned Development to create 88 lots, 56 attached townhomes, and 32 row houses (8 buildings, 4 each) for property in the SW 'A of Section 19 south of Cedarvale Mall. G. Agreement. It was recommended to approve a Letter of Understanding between the City of Eagan and Health Partners and authorize the Mayor and City Clerk to sign the appropriate documents to initiate the Health Partners Frequent Fitness Program at the Eagan Community Center effective July 1, 2004. H. Revised Eagan Community Center Membership Fees. It was recommended to approve the revised Eagan Community Center fitness membership fees to include classes effective September 1, 2004 through January 1, 2006. I. Project 905. It was recommended to receive the draft feasibility report for Project 905 (Long Acres/Lebanon Hills Regional Park — Storm Sewer Improvements) and schedule a public hearing to be held on July 6, 2004. J. 5 Year CIP. It was recommended to approve the 5 -year Capital Improvement Plan for 2005 -2009 and authorize the initiation of the pubic improvement process for the 2005 programmed improvements. K. Winter Trail Maintenance Program. It was recommended to approve the Winter Trail Maintenance Program for 2004 -2005. L. Project 790R. It was recommended to approve the Final Assessment Agreement with Unisys Corporation (Parcel 10- 79950- 020 -01) for Project 790R (Central Parkway — Street & Utility Improvements) and authorize its certification to Dakota County for collection. M. Contract 04 -04. It was recommended to approve a revised bid opening date for Contract 04 -04 (Lexington Avenue, Trunk Highway 55 to Lone Oak Road — Street and Utility Improvements) to be held at 10:30 a.m. on Thursday, July 29, 2004. N. Contract 04 -04. It was recommended to approve a Construction Agreement for Contract 04 -04 (Lexington Avenue, Trunk Highway 55 to Lone Oak Road — Street Improvements) with Dakota County Transportation Department and authorize the Mayor and City Clerk to execute all related documents. O. Project 01 -T. It was recommended to acknowledge the completion of Contract 01 -T (Eagan Preserve — Utility Improvements) and authorize perpetual City maintenance subject to warranty provisions. P. 2004 Parks and Recreation Department CIP. It was recommended to approve the Parks and Recreation Department's 2004 CIP. Q. Joint Powers Agreement. It was recommended to approve a Joint Powers Agreement that would allow the City of Eagan to continue its participation in the Dakota County Drug Task Force. R. Minutes. It was recommended to approve a revision to the Listening Session Minutes of May 4, 2004. S. Findings of Fact. Withdrawn from agenda T. Findings of Fact. Withdrawn from agenda U. Consumer Fireworks Sales Applications. It was recommended to approve license applications for fireworks sales pending successful review of applications and background checks for the following: Cub Foods, Sam's Club, All American Recreation, Byerly's, Wal -Mart, Collectors Paradise, Grace Slavic Baptist Church, Valley Lounge, Target and Oasis Markets. V. Project 759R. It was recommended to approve a revised public hearing date for Project 759R (Cedar Grove Parkway — Street Improvements) to be held on July 6, 2004. W. Management Plan — Anderson Parcel. It was recommended to adopt the resolution approving the management plan for the Anderson Parcel, and authorize Mayor's signature. Eagan City Council Meeting Minutes June 1, 2004 Page 3 X. Extension of Plat. It was recommended to approve a 30 day extension to the 60 -day recording deadline to record the Patrick Eagan Park Addition plat through July 7, 2004. Mayor Geagan opened the public hearing. Mayor Geagan opened the public hearing. PUBLIC HEARINGS DRAFT DRAINAGE AND UTILITY EASEMENT VACATION — 4648 FAIRWAY HILLS DRIVE City Administrator Hedges introduced this item regarding the vacation of a portion of public drainage and utility easement on Lot 7, Block ,1 Fairway Hills. Public Works Director Colbert gave a staff report. Joe Miller, adjacent property owner, expressed concern regarding drainage onto his property. Public Works Director Colbert stated staff will be reviewing plans for the revised drainage pattern. There being no further public comment, Mayor Geagan closed the public hearing and turned discussion back to the Council. Councilmember Carlson moved, Councilmember Tilley seconded a motion to approve the vacation of a portion of public drainage and utility easement on Lot 7, Block 1, Fairway Hills and authorize the Mayor and City Clerk to execute all related documents. Aye: 5 Nay: 0 PROJECT 669 — DUCKWOOD RING ROAD OFFICIAL MAP City Administrator Hedges introduced this item regarding the Duckwood Drive — Ring Road Concept official map. Public Works Director Colbert gave a staff report. Three residents spoke expressing their opposition to the Ring Road concept plan. They discussed increased noise levels and safety issues in relation to increased traffic congestion and asked that Council involve residents in the area prior to making a final decision. Staff and Council explained that neighborhood meetings and public hearings would be held prior to any final plans for the Ring Road proceeding. There being no further public comment, Mayor Geagan closed the public hearing and turned discussion back to the Council. Councilmember Tilley moved, Councilmember Fields seconded a motion to approve the City of Eagan Right of Way Map No. 669 -2 for Project 669 (Duckwood Drive — Ring Road Concept) and file the official map with the County Recorder. Aye: 5 Nay: 0 OLD BUSINESS REZONING — CEDARSTONE DEVELOPMENT This item was continued with the adoption of the agenda. REZONING, PRELIMINARY SUBDIVISION AND PRELIMINARY PLANNED DEVELOPMENT — METROPOLITAN OFFICE CONDOS LLC City Administrator Hedges introduced this item regarding a proposed rezoning from LB, Limited Business to PD, Planned Development, a Preliminary Subdivision (Northwood Office Condos) to create six lots and a Preliminary 7 Eagan City Council Meeting Minutes June 1, 2004 Page 4 Planned Development to allow multiple office condos on property located between Pilot Knob Road and Interstate 35E. City Planner Ridley gave a staff report. Jim Faulker, Faulkner Construction, made a presentation, along with one of the owners of the proposed dental building who discussed signage for the building. A representative of Metropolitan Office Condos discussed the proposed exterior building materials of the office condos. Councilmembers discussed the design and configuration of the proposed buildings, and signage issues. It was agreed to continue consideration of the planned development to allow the developer additional time to provide information regarding the following: 1. More brick and detailing on back and sides of office condo buildings (excluding dentist's building) 2. Detailed site plans locating all monument and pylon signs 3. More compatibility and consistency in monument signs (different options) 4. Pylon size options 5. Break in rear roof line of the office condo buildings Councilmember Fields moved, Councilmember Tilley seconded a motion to continue consideration of a Rezoning, Preliminary Subdivision and Preliminary Planned Development for property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E to the June 15 2003 Council meeting. Aye: 5 Nay: 0 REZONING — ROBERT F. MCDONALD This item was continued to the June 15, 2004 City Council meeting during the adoption of the agenda. EASEMENT ACQUISITION AND ASSESSMENT AGREEMENT CITY OF' EAGAN AND CEDAR VALE BUSINESS CENTER CONDITIONAL USE PERMIT AND VARIANCE — REALTY DESIGNS DRAFT City Administrator Hedges provided an overview of an Easement Acquisition and Assessment Agreement between the City of Eagan and Cedar Vale Business Center, a Conditional Use Permit for a pylon sign and a variance of 10 feet to the sign setback requirement on property located at 3902 -3938 Cedar Grove Parkway. These items were continued from previous City Council meetings. Community Development Director Hohenstein discussed the status of the easement acquisition and assessment agreement. City Planner Ridley gave an update regarding the conditional use permit and variance. Discussion was held regarding the Easement Acquisition and Assessment Agreement and the size of the pylon sign. Councilmember Maguire moved, Councilmember Carlson seconded a motion to approve an Easement Acquisition and Assessment Agreement between the City of Eagan and the Cedarvale Business Center for property located at 3902 -3938 Cedar Grove Parkway. Aye: 5 Nay: 0 Councilmember Carlson moved, Councilmember Tilley seconded a motion to approve a Conditional Use Permit for a pylon sign, located at 3902 -3938 Cedar Grove Parkway, subject to the following conditions. Aye: 5 Nay: 0 1. The Conditional Use Permit shall be recorded at the Dakota County Recorder's Office within 90 days of approval. 2. A sign permit shall be obtained from the City prior to installation of the pylon sign. 3. The applicant must petition the City to vacate the drainage and utility easement. 4. The drainage and utility easement vacation must be approved prior to issuance of the CUP, and if such vacation is denied, the sign shall be located outside of the drainage and utility easement. 5. The existing free - standing sign shall be removed prior to installation of the pylon sign. Eagan City Council Meeting Minutes June 1, 2004 Page 5 DRAFT 6. The pylon sign shall be located as shown on the site plan received by the City on October 15, 2003 and designed as shown on the plan dated June 1, 2004. 7. A curbed, landscaped island shall be provided around the pylon sign within the parking lot. A landscape plan shall be submitted with the sign permit application for staff review and approval and shall be implemented with the installation of the sign. Councilmember Carlson moved, Councilmember Tilley seconded a motion to approve a Variance of ten feet to the sign setback requirement, for property located at 3902 -3938 Cedar Grove Parkway. Aye: 5 Nay: 0 WESCOTT WOODLANDS "NO PARKING" PETITION City Administrator Hedges introduced this item regarding a request for "No Parking" signs on the cul -de -sac at the south end of Wescott Woodlands. Public Works Director Colbert gave a staff report. Chief of Police Therkelsen stated the Police Department is in favor of the "No Parking" restriction. Councilmember Fields moved, Councilmember Tilley seconded a motion to approve the request to install "No Parking" signs on the cul -de -sac at the south end of Wescott Woodlands and order the installation of the signs. Aye: 5 Nay: 0 INTERIM USE PERMIT — RESOURCE ENVIRONMENTAL SERVICES City Administrator Hedges introduced this item regarding the continuation of a compost site on Outlots G & H Gopher Eagan Industrial Park 2n and Lot 1, Block 1, Gopher Eagan Industrial Park 2 Addition. City Planner Ridley gave a staff report. John Tapper, Gopher Resources, discussed the compost site and the request for continuation of the Interim Use Permit. Councilmember Fields moved, Councilmember Maguire seconded a motion to approve an Interim Use Permit to allow continuation of a compost site on Outlots G and H Gopher Eagan Industrial park 2nd Addition located at 805 Yankee Doodle Road, subject to the following conditions. Aye: 5 Nay: 0 1. The permit shall expire June 1, 2009. 2. The Interim Use Permit shall be recorded within 60 days of its approval by the City Council. 3. The Interim Use Permit shall be subject to an annual administrative review. The purpose of such review shall be to determine that the conditions of the permit are within compliance. The interim use permit may be revoked for failure to comply with any condition of the permit following notice of the noncompliance and a hearing by the City Council with all interested parties being given an opportunity to be heard. 4. An irrigation system shall be install, operated and maintained to control dust. INTERIM USE PERMIT — CEDAR GROVE PROPERTIES, LLC City Administrator Hedges introduced this item regarding an Interim Use Permit to allow the continuation of an existing school for Independent School District 191 located at 3920 -3988 Sibley Memorial Highway. City Planner Ridley gave a staff report. Dianne Peterson, representing the property owner, and representatives of ISD 191 were present to answer questions. Councilmember Fields moved, Councilmember Carlson seconded a motion to approve an Interim Use Permit to allow for 6,000 square feet of the existing Cedarvale Shopping Center to continue to be used as a special needs program for School District 191, located at 3920 -3988 Sibley Memorial Highway subject to the following conditions: Aye: 5 Nay: 0 1. The permit shall terminate upon the earlier of redevelopment or July 31, 2008. 9 Eagan City Council Meeting Minutes June 1, 2004 Page 6 2. The Interim Use Permit shall be recorded within 60 days of approval by City Council. 3. The interim use permit shall be subject to an annual administrative review. The purpose of such review shall be to determine that the conditions of the permit are within compliance. The interim use permit may be revoked for failure to comply with any condition of the permit following notice of the noncompliance and a hearing by the City Council with all interested parties being given an opportunity to be heard. 4. School operations shall be limited to 8:00 a.m. — 3:00 p.m. 5. All students shall be bussed to and from the site. 6. No school recreational activities shall be allowed on -site outside of the Cedarvale building. PLANNED DEVELOPMENT AMENDMENT MANLEY LAND DEVELOPMENT EXTERIOR DESIGN AND SIGNAGE City Administrator Hedges introduced this item regarding a Planned Development Amendment to allow design, size and location changes to the building signage, the addition of a vestibule and arched canopy roof to the building facade, a reduction in height of the center unit space, elimination of seven cabled canopies, and the addition of a decorative metal rail above the windows on three building elevations on one of the commercial buildings on property located at 1625 Lena Court. City Planner Ridley gave a staff report. Kurt Manley, Manley Land Development discussed the proposed design changes to the planned development. Councilmember Maguire stated his concern and displeasure with the developer's explanation of how the work was performed prior to Council approval. Councilmember Carlson moved, Councilmember Fields seconded a motion to approve a Planned Development Amendment to allow design, size and location changes to the building signage, the addition of a vestibule and arched canopy roof to the building facade, a reduction in height of the center unit space, elimination of seven cabled canopies, and the addition of a decorative metal rail above the windows on three building elevations on one of the commercial buildings on property located at 1625 Lena Court, legally described as Lot 2, Block 1, Centennial Ridge 2 " Addition, in the NW '/, of Section 28, subject to the following conditions. Aye: 4 Nay: 1 Maguire opposed 1. An Amendment to the Planned Development Agreement shall be executed and recorded against the property at the Dakota County Recorder's office. Recording of the Agreement must be completed prior to issuance of a sign or building permit. 2. A sing permit must be obtained prior to installation of any sign. 3. A building permit must be obtained prior to completion of the vestibule and canopy. 4. The Planned Development Amendment approval is for building 2 only. Any proposed changes to building 1 would require further Planned Development Amendment approval from the City Council. PLANNED DEVELOPMENT AMENDMENT SPEEDWAY SUPERAMERICA, LLC City Administrator Hedges introduced this item regarding a Planned Development Amendment to allow outdoor display at the Super America store, located at 2250 CliffRoad. City Planner Ridley gave a staff report. Councilmember Fields moved, Councilmember Tilley seconded a motion to approve a Planned Development Amendment to allow outdoor display at the Super America store, located at 2250 CliffRoad subject to the following conditions. Aye: 5 Nay: 0 1. The Planned Development Amendment Agreement must be executed and recorded. 2. The display area is limited to 60 square feet. 3. The display area shall not extend more than five feet from the principal building and shall not exceed four feet in height. 4. The location of the display area is limited to the area designated on the site plan. 5. No items for display or storage are allowed at the gas pumps. 6. The items for display are limited to firewood, windshield washer fluid, salt, propane, and soda. /0 Eagan City Council Meeting Minutes June 1, 2004 Page 7 PLANNED DEVELOPMENT AMENDMENT — PELLICCI, INC. City Administrator Hedges introduced this item regarding a Planned Development Amendment to allow outdoor storage at 1565 Cliff Road. City Planner Ridley gave a staff report. Safety issues were discussed in relation to a proposed propane tank at the rear of the building in close proximity to a daycare center, the visibility of the tank to Lifetime Fitness and the appropriateness of the tank at the strip retail center. Councilmember Tilley moved, Councilmember Maguire seconded a motion to approve a Planned Development Amendment to allow outdoor display at the hardware store in Thomas Lake Center, located at 1565 Cliff Road subject to the following conditions. Aye: 5 Nay: 0 1. The Planned Development Amendment Agreement must be executed and recorded. 2. The display area is limited to 60 square feet in the aggregate. 3. The display area shall not extend more than five feet from the principal building and shall not exceed four feet in height. 4. The location of the display area and items to be displayed is on the south side, in front of the building. 5. The items for display are limited to lawn and snow equipment, salt, soils and mulch. Councilmember Tilley moved, Councilmember Fields seconded a motion to direct the City Attorney to prepare Findings of Fact for Denial of a planned development amendment to allow the outdoor storage of a propane tank on property located at 1565 Cliff Road. Aye: 5 Nay: 0 PLANNED DEVELOPMENT AMENDMENT — MSP COMMERCIAL Continued to the June 15, 2004 City Council meeting with adoption of the agenda. PLANNED DEVELOPMENT AMENDMENT — DIEDRICH BUILDERS, INC. City Administrator Hedges introduced this item regarding a Planned Development Amendment to increase the berm along Diffley Road by two feet and to increase the porch size for Lots 5, 9, 10 and 17 and to add a two foot cantilever on the units on Lots 5, 8, 9, and 10 for Eagan Townhomes 3 Addition. City Planner Ridley gave a staff report. Bill Diedrich, Diedrich Builders, discussed the proposed increases to the porch sizes. The owners of one of the townhome units were present to discuss their desire for additional porch space. A neighboring resident expressed concern over future construction and the visual intrusion into existing units. The Council, staff and applicant discussed the possibility of additional Landscaping. Councilmember Fields moved, Councilmember Tilley seconded a motion to approve a Planned Development Amendment to increase the berm along Diffley Road by two feet for Eagan Townhomes 3` Addition, subject to the following condition. Aye: 5 Nay: 0 1. The Planned Development Amendment Agreement must be executed and recorded. Councilmember Fields moved, Councilmember Tilley seconded a motion to continue consideration of a Planned Development Amendment to increase the porch size for Lots 5, 9, 10 and 17 and to add a two foot cantilever on the units on Lots 5, 8 9 and 10 until the June 15, 2004 meeting. Aye: 5 Nay: 0 Eagan City Council Meeting Minutes June 1, 2004 Page 8 PLANNED DEVELOPMENT AMENDMENT — MSB TIRES, LLC D RAFT City Administrator Hedges introduced this item regarding a planned development amendment to allow a vehicle maintenance and repair service located at 2270 Cliff Road. City Planner Ridley gave a staff report. Jim Diamond, representing MSB Tires, LLC was present to answer questions of the Council. Councilmember Carlson moved, Councilmember Fields seconded a motion to approve a Planned Development Amendment to allow a vehicle maintenance repair service (Tires Plus, Oil Lube) on Lot 1, Block 1, Oak Cliff 9 Addition, subject to the following conditions. Aye: 5 Nay: 0 1. The applicant and /or developer shall enter into a Final Planned Development Agreement with the City prior to building permit issuance. 2. The following exhibits are required for the Final Planned Development Agreement: a. Final Site Plan b. Final Landscape Plan c. Final Building Elevations Plan d. Final Signage Plan e. Final Lighting Plan 3. The proposed Tires Plus and Lube shall match the adjacent Super America and Penn Cycle stores both in color and materials. 4. Signage is limited to the Final Signage plan, additional signage will warrant a PD Amendment. 5. All rooftop mechanical equipment shall be screened from view of all public rights -of -way ad adjacent properties. 6. A revised Site plan shall be submitted reflecting a minimum of 22% green space. 7. The pylon sign shall not have sign area or sign height that exceeds the smaller of the existing pylon signs for SuperAmerica or Penn Cycle (90 s.f. and 27'). 8. The applicant shall provide evidence, in a form acceptable to the City Attorney, of private drive easement serving this property. 9. The developer shall be responsible for a cash park and cash trails dedication at the time of building permit. 10. Window signage (except open/closed and hours of operation) shall be prohibited. 11. A ten square foot directional sign for the oil change facility shall be allowed as proposed by the applicant. VISITORS TO BE HEARD Patrick Murphy expressed concern regarding the number of cars being parked on and adjacent to property neighboring his home. He stated there are as many as nine cars being parked there. Council instructed staff to investigate the situation and follow up with Mr. Murphy. ADJOURNMENT Councilmember Fields moved, Councilmember Carlson seconded a motion to adjourn the regular City Council meeting at 11:20 p.m. Date Deputy City Clerk If you need these minutes in an alternative form such as large print, Braille, audio tape, etc., please contact the City of Eagan, 3830 Pilot Knob Road, Eagan, MN 55122, (651) 675 -5000, (TDD phone: (651) 454- 8535). The City of Eagan is committed to the policy that all persons have equal access to its programs, services, activities, facilities and employment without regard to race, color, creed, religion, national origin, sex, disability, age, sexual orientation, marital status or status with regard to public assistance. /.2 Agenda Information Memo June 15, 2004 Eagan City Council Meeting B. PERSONNEL ITEMS Item 1. – Part -time Seasonal Recreation Leader — ACTION TO BE CONSIDERED: To approve the hiring of Jennifer Gerde as a part-time seasonal recreation leader Item 2. – Part -time Seasonal Recreation Assistants- - ACTION TO BE CONSIDERED: To approve the hiring of Michelle Finlon and Kelley Hammond as part-time seasonal recreation assistants. Item 3. – Part -time Seasonal Preschool Program Instructors- - ACTION TO BE CONSIDERED: To approve the hiring of Judith Forde, Lynda Speikers, Barb Mason, Pamela Clarke - Garcia, Jennifer Kasiewicz and Alison Hunter as part-time seasonal preschool program instructors. Item 4. – Part -time Seasonal Preschool Program Instructor's Assistants- - ACTION TO BE CONSIDERED: To approve the hiring of Joan Rodgers and Lisa Same as part-time seasonal preschool program instructor's assistants. Item 5. – Part -time Seasonal Preschool Instructor's Assistant/Puppeteer -- ACTION TO BE CONSIDERED: To approve the hiring of Jennifer Kranz as a part-time seasonal preschool instructor's assistant/puppeteer. Item 6. – Part -time Seasonal Recreation Assistant/Puppeteer -- ACTION TO BE CONSIDERED: To approve the hiring of Melissa Buntjer as a part -time seasonal recreation assistant puppeteer. Item 2. – Part-time Seasonal Puppet Wagon Site Coordinator- - ACTION TO BE CONSIDERED: To approve the hiring of Amber Geske as a part-time seasonal puppet wagon site coordinator. I Agenda Information Memo June 15, 2004 Eagan City Council Meeting C. RATIFY CHECK REGISTERS ACTION TO BE CONSIDERED: To ratify the check registers dated June 3, 2004 and June 10, 2004 as presented. ATTACHMENTS: • Check registers dated June 3, 2004 and June 10, 2004 are enclosed without page number. Agenda Memo June 15, 2004 CONSENT AGENDA: D. SCHEDULE SPECIAL CITY COUNCIL MEETING FOR JUNE 29, 2004 ACTION TO BE CONSIDERED: FACTS: To schedule a special City Council meeting on June 29, 2004 • In light of the School District 196 special election that took place on June 8, the City Council did not hold their June special City Council workshop. • If it is agreeable to the Council as a whole, Mayor Geagan has suggested that a special City Council meeting be scheduled for the fifth Tuesday of the month - -June 29, 2004. Agenda Memo June 15, 2004 CONSENT AGENDA: ACTION TO BE CONSIDERED: FACTS: E. ACCEPT THE RESIGNATION OF ECONOMIC DEVELOPMENT COMMISSION MEMBER JEAN CHESKIS To accept the resignation of Economic Development Commission member Jean Cheskis • Economic Development Commission (EDC) member Jean Cheskis has contacted City staff to inform the City that she will be resigning from the EDC. • Ms. Cheskis has served on the EDC since January of 2002. • In accordance with the Commission Appointments/Procedures Policy that was adopted in January of 2004, the vacancy resulting from Ms. Cheskis' resignation will be filled by the EDC alternate member until April of 2005. /.G Agenda Memo June 15, 2004 CONSENT AGENDA: FACTS: F. ACCEPT THE RESIGNATION OF AIRPORT REALTIONS COMMISSION MEMBER BRUNO DINELLA ACTION TO BE CONSIDERED: To accept the resignation of Airport Relations Commission member Bruno DiNella • Airport Relations Commission (ARC) member Bruno DiNella is resigning from the ARC due to his pending relocation to the City of Rosemount. • Mr. DiNella has served on the ARC since January of 2001. • In accordance with the Commission Appointments/Procedures Policy that was adopted in January of 2004, the vacancy resulting from Mr. DiNella's resignation will be filled by the ARC alternate member until April of 2005. ATTACHMENTS: • Enclosed on page /3 is a letter of resignation from Mr. Bruno DiNella. /7 Dianne Miller Assistant to the City Administrator City of Eagan 3830 Pilot Knob Road Eagan MN. 55122 Dianne, Reluctantly, I must tender my resignation as commissioner on the Airport Relations Commission. I will be moving to Rosemount, shortly, and will be unable to participate. Please extend my sincere best wishes to all the members of the commission. It has been a truly gratifying and enlightening experience working with you and the commission. Also, offer my appreciation to Mayor Geagan, the City Council and Tom Hedges for their continued support on my behalf. Warmest regards, runo E. DiNella /8 Agenda Memo June 15, 2004 CONSENT AGENDA: G. APPROVE APPOINTMENT OF ECONOMIC DEVELOPMENT COMMISSION (EDC) ALTERNATE MEMBER CHRISTOPHER NELSON TO A 10 -MONTH VOTING EDC TERM UNTIL APRIL 2005 ACTION TO BE CONSIDERED: FACTS: To approve the appointment of Economic Development Commission (EDC) alternate member Christopher Nelson to a 10 -month Voting EDC Term until April 2005 • EDC member Jean Cheskis recently resigned from the EDC. • In accordance with the Commission Appointments/Procedures Policy adopted in January of 2004, the EDC Alternate member Christopher Nelson has been asked to serve as a voting member until April 2005, at which time the term vacated by former member Cheskis will be reappointed. • Mr. Nelson has graciously agreed to serve as a voting member until April 2005. /9 Agenda Memo June 15, 2004 CONSENT AGENDA: ACTION TO BE CONSIDERED: FACTS: H. APPROVE APPOINTMENT OF AIRPORT RELATIONS COMMISSION (ARC) ALTERNATE MEMBER JASON BONNETT TO A 10 -MONTH VOTING ARC TERM UNTIL APRIL 2005 To approve the appointment of Airport Relations Commission (ARC) alternate member Jason Bonnett to a 10 -month voting ARC term until April 2005 • ARC member Bruno DiNella recently resigned from the EDC. • In accordance with the Commission Appointments/Procedures Policy adopted in January of 2004, the ARC Alternate Jason Bonnett has been asked to serve as a voting member until April 2005, at which time the term vacated by former member DiNella will be reappointed. • Mr. Bonnett has graciously agreed to serve as a voting member until April 2005. .go Agenda Memo June 15, 2004 CONSENT AGENDA: I. Premise Permit Renewal for Metro Baseball League ACTION TO BE CONSIDERED: FACTS: Adopt resolution approving the renewal of a Premise Permit for the Metro Baseball League to conduct a pull -tab operation at Joe Sensers, 3010 Eagandale Place. ATTACHMENT: • The Metro Baseball League has conducted a pull -tab operation at Joe Sensers since 2002 • The Police Department has reviewed the application and has identified no reason to deny • Staff deems the application in order for approval • The draft resolution is attached as page • c, l RESOLUTION CITY OF EAGAN PREMISE PERMIT FOR METRO BASEBALL LEAGUE ON JOE SENSER'S SPORT GRILL AND BAR PREMISES WHEREAS, the Metro Baseball League has applied for a premise permit for a pull tab operation at Joe Senser's Gill and Bar, 3010 Eagandale Place; and WHEREAS, the Eagan Police Department has reviewed the application and has not identified any reason to deny; and NOW, THEREFORE, BE IT RESOLVED that the City Council of Eagan, Dakota County, Minnesota, hereby approves the Metro Baseball League application for a premise permit at Joe Senser's Grill and Bar, 3010 Eagandale Place. Motion by: Seconded by: Those in Favor: Those Against: Dated: June 15, 2004 Attest: CERTIFICATION CITY OF EAGAN CITY COUNCIL By: Its Mayor Its Clerk I, Maria Petersen, Clerk of the City of Eagan, Dakota County, Minnesota do hereby certify that the foregoing resolution was duly passed and adopted by the City Council of the City of Eagan, Dakota County, Minnesota, in a regular meeting thereof assembled this 15th day of June 2004. Maria Petersen, City Clerk Agenda Memo June 15, 2004 CONSENT AGENDA: J. Extension for renewal of 2004 -2005 Massage Therapists Licenses ACTION TO BE CONSIDERED: FACTS: Approve extension for the renewal of Massage Therapists Licenses until July 30, 2004. • Massage therapist licenses run from July 1 to June 30. • At a recent Listening Session, Margie and David Ragsdale, managers of Keep In Touch of Eagan, requested the Council reconsider the current license fees and background investigation fees for massage therapists and massage therapy establishments. Council directed that information be provided for discussion at a future worksession. • Discussion of this issue was scheduled for the June 8 worksession, but due to ISD 196 election, the Council worksession was cancelled. • Staff is requesting the deadline for license renewals be extended for one month to allow Council time to review the information staff will be providing at the next scheduled work session. Agenda Information Memo June 15, 2004 K. APPROVE TEMPORARY MALT LIQUOR LICENSE FOR EAGAN LIONS CLUB FOR FOURTH OF JULY CELEBRATION (JULY 2 -4, 2004) ACTION TO BE CONSIDERED: To approve a temporary malt liquor license for the Eagan Lions Club and waive the $25.00 license fee. FACTS: • The Eagan Lions Club has requested a temporary malt liquor license be issued to them for the Fourth of July celebration, July 2 -4, 2004. • The application form has been submitted and deemed in order by staff. The Eagan Lions Club is requesting that the $25.00 license fee be waived. ATTACHMENTS: • Letters and site plan from Lion's Club enclosed without page number. asp Agenda Memo June 15, 2004 Eagan City Council Meeting Consent Agenda L. APPROVE ADVERTISEMENT OF REQUEST FOR PROPOSAL FOR BEVERAGE CONTRACT WITH CITY OF EAGAN ACTION TO BE CONSIDERED: Approve the advertisement for Request for Proposal for beverage and soft drink contract with City of Eagan. FACTS: • The current contract for beverage/ soft drink service with Coca -Cola will expire on August 31, 2004. • An advertisement would be placed in the newspaper of record, the Dakota County Tribune. This would fulfill the legal requirement to advertise for contractual services above a certain financial threshold. • A soft drink/ beverage services contract would cover amenities operated by Parks and Recreation, including athletic concessions, Cascade Bay, the Civic Arena, and the concessions area of the Community Center. • Proposals would be submitted by July 6, and recommendations to Council would be submitted at the August 3, 2004 regular City Council meeting. • The new contract for beverage service would begin on September 1, 2004. ATTACHMENTS: • None as Agenda Memo June 15, 2004 Eagan City Council Meeting Consent Agenda M APPROVE ADVERTISEMENT OF REQUEST FOR PROPOSAL FOR CEILING DRAPERY CONTRACT AT EAGAN COMMUNITY CENTER ACTION TO BE CONSIDERED: Approve the advertisement for Request for Proposal for exclusive ceiling drapery services at the Eagan Community Center FACTS: • This RFP will create a new source of shared revenue for the Eagan Community Center. • The drapery RFP will benefit the City by working with one vendor, ensuring that the integrity of the walls and ceilings in the Oaks Banquet Facility are maintained. A contract will ensure that installation protocol is followed. • Working with a single vendor will provide consistency in products and services (set- up times, installation procedures, customer service, etc...). • A single vendor will allow the Eagan Community Center an opportunity to provide more options to banquet customers, accommodating various budgets and style preferences. • This will provide the community center with an additional partnership to be used for city events and programs. • A contract will allow the City to retain a percentage of draping income, revenue that might otherwise flow exclusively to vendors. ATTACHMENTS: • None a6, Agenda Memo June 15, 2004 Eagan City Council Meeting Consent Agenda N APPROVE ADVERTISEMENT OF REQUEST FOR PROPOSAL FOR OUTDOOR CHAIR/ TENT CONTRACT AT EAGAN COMMUNITY CENTER ACTION TO BE CONSIDERED: Approve the advertisement for Request for Proposal for exclusive outdoor chair/ tent vendor service at the Eagan Community Center FACTS: • The RFP will create a new source of shared revenue for the Eagan Community Center (ECC). • Chair/ tent rental will allow the ECC to offer outdoor wedding ceremony packages. ECC has had numerous requests for this service. By controlling who brings in chairs, ECC can accommodate several ceremonies in a day, rather than just one per site. Currently, there is not enough consistency in set -up and take -down times to do multiple ceremonies. • Working with the same vendors will provide consistency in products and services (set -up times, installation procedures, customer service, etc...). • ECC will be able to provide more options to banquet customers. Many banquet customers have expressed an interest in having furniture outdoors. An exclusive vendor can accommodate various budget and styles, offering renters a variety to choose from, while ECC can be assured the products are up to ECC standards. • Having a contract for services will provide ECC with additional partnerships that may be used for city events and programs. • A contract will allow the City to retain a percentage of draping income, revenue that might otherwise flow exclusively to vendors. ATTACHMENTS: • None .27 Agenda Memo June 15, 2004 O. CONTRACT 02 -15B, COMMUNITY CENTER SITE IMPROVEMENTS ACTION TO BE CONSIDERED: Approve Change Order No. 5 to Contract 02 -15B (Community Center Site Improvements) and authorize the Mayor and City Clerk to execute all related documents. FACTS: • Contract 02 -15B provides for various improvements within the Community Center site, including parking lot, trail, ponding, and landscaping construction, as authorized by the City Council March 6, 2001 with approval of the Central Park Master Plan. • This change order provides for the installation of additional storm sewer from the Northwest Airlines connector road to the normal water level of Pond CP -3, to reduce erosion along the Pond CP -3 banks. • The cost of the work is consistent with bid prices for relevant bid items on other projects within the City of Eagan. • The change order has been reviewed by the Engineering Division and found to be in order for favorable Council action. • This change order provides for a total ADD of $11,925 (0.52 %) to the original contract. The cost of the additional work under the change order will be the responsibility of the allocated funds for the Central Park site. Agenda Memo June 15, 2004 P. PROJECT 908, TRUNK WATER MAIN IMPROVEMENTS LEMIEUX PROPERTY (LAKEVIEW TRAIL TO VIOLET LANE) ACTION TO BE CONSIDERED: Authorize the preparation of a feasibility report by the City Engineer for Project 908 (Trunk Water Main Improvements — LeMieux Property, Lakeview Trail to Violet Lane). FACTS: • The connection of trunk water main across the undeveloped LeMieux property (Parcel 10- 01600- 010 -05) from Lakeview Trail to Violet Lane, is programmed for 2005 in the City's 5 -Year Capital Improvement Program (2005 -2009 CIP) . • Based on the CEP schedule, it would be appropriate for the City Council to authorize the preparation of a Feasibility Report for this project to determine the scope, cost, schedule, and method of financing for the construction of this public improvement. ATTACHMENTS �^ • Location map, page 30 . (29 Y LiCIV I UI[ T PT. U '' P roj BOARDWALK 1- a J a u.i PARK Q • PL. P14 YANKEE DOODLROAD r c Y BL • Q \U = w BLKHWK �1 Y • Q -J RIDGE CT. ENGLERT ROAD INGSWOOD POND VERLOOK ,p \NG S\1\IO J 1..1. 81st ST. �Q 0 w rY CT. City of Eagan LeMeiux Property - Trunk Water Main Location Map City Project - 908 Fig. 1 Agenda Memo June 15, 2004 CONSENT AGENDA: Q. 2004 /2005 Amusement Device License Renewals ACTION TO BE CONSIDERED: Approve Amusement Device License renewal for: FACTS: Minnesota Robins, Inc. (Red Robin Restaurant) American Coin Merchandising, Inc. Donald Awe (Awe Vending) • Amusement Device Licenses run from July 1 through June 30 • The applicants listed above have met all the requirements of the renewal application and have paid the applicable fees. • Staff deems the licenses in order for approval. Agenda Information Memo June 15, 2004 FACTS: R. CONTRACT 04 -08, 2004 CITY -WIDE SANITARY SEWER LINING ACTION TO BE CONSIDERED: Receive the bids for Contract 04 -08 (2004 City - Wide Sanitary Sewer Lining), award the contract to Insituform Technologies USA, Inc., for the Base Bid in the amount of $127,500 and authorize the Mayor and City Clerk to execute all related documents. • The rehabilitation of various existing sanitary sewer pipes throughout the City by the installation of lining was programmed for 2004 in the City of Eagan's 5 -Year Capital Improvement Program (2004- 2008). • The City Council authorized the sanitary sewer lining improvements of about 5,000 linear feet of existing pipe for various areas within the City with the approval of the Sanitary Sewer Operations and Facilities portion of the 2004 -2008 Capital Improvement Program (CIP) and 2004 operating budget. • All of the construction activity for said improvements has been designed to occur within existing public right -of -way or easements. • The plans and specifications have been completed and are being presented to the City Council for their approval and authorization of the advertisement for bids. • On May 18, 2004, the City Council authorized the advertisement for solicitation of competitive bids for Contract 04 -08. • At 11:00 a.m. on June 10, formal bids were received for this project. A copy of the bid tabulation is enclosed. • All bids have been reviewed for compliance with the bid specifications and accuracy on unit price extensions and summations. The low bid from Insituform Technologies USA, Inc., has been reviewed by the Engineering Division and found to be in order for favorable Council action. ATTACHMENTS: • Bid Tabulation, page 33 • Location Map, page 3 1 . 3� 3 3 N ti 2004 Sanitary Sewer Line for Cured In Place Pipe /1/ 1-494 2004 Sanitary CIPP 2004 CIPP Prepared By Eagan Public Works GIS Dept. 4 6i, Date Prepared: June 2004 L USERSwUBW ORKSIProiauelMliesiSenlery Sewell Sankery _MaIaSanilary_CIP4Santtery_CIPP 2004ony.mxd E city of =son 0 2,500 5,000 y Feet Agenda Information Memo June 15, 2004 S. TRAFFIC SIGNAL LIGHT REPLACEMENT DAKOTA COUNTY TRANSPORTATION DEPARTMENT ACTION TO BE CONSIDERED: Approve payment for replacement of traffic signal lights to Dakota County Transportation Department in the amount of $8,499 as part of the Dakota Electric Association LED traffic signal retrofit rebate program. FACTS: • Dakota County Transportation Department has been communicating with Dakota Electric Association about a rebate offer encouraging the replacement of all current incandescent traffic signal lights that have not been upgraded to the more energy efficient light- emitting diode (LED) units on County operated traffic signals. • A majority of the traffic signals providing operational control to city streets are located at intersections with County highways. • All recent traffic signal modifications included in City contracts have included the upgrade to the LED signal lights. • On June 17, 2003, the City Council approved payment to Dakota County for a similar LED signal light replacement program through Xcel Energy. • The LED lights are more visible and do not cease functioning at the termination of their life expectancy, but slowly decrease in brightness, unlike the incandescent lights which stop working immediately upon completing their full life. • The payback in reduced energy usage and associated cost savings for replacing the signal lights is about one year. • In accordance with the existing traffic signal agreements with the Dakota County Transportation Department, the City of Eagan reimburses the County for any electrical costs relevant to the proportion of City streets at a signalized intersection. • The City's portion of the rebated cost for the LED light upgrade is $8,499 and will be the responsibility of the City's Street Light Utility Fund ( #63). 35- Agenda Memo June 15, 2004 T. CONTRACT 03 -09, CHANGE ORDER #5 (WATER TREATMENT PLANT EXPANSION) ACTION TO BE CONSIDERED: Approve Change Order #5 to Contract 03 -09 (Water Treatment Plant Expansion) and authorize the Mayor and City Clerk to execute all related documents. FACTS: • Contract 03 -09 provides for the expansion and renovation of the existing north Water Treatment Plant located on Coachman Rd. This contract was awarded in July of 2003 and the construction is approx. 60% complete. • Change Order #5 consists of the following items: o Part 1: Revise water level sensor transmitters and modify filter cell consoles for compatibility with existing plant (ADD $5,083). o Part 2: Revisions to the electrical panel board to comply with current code requirements. (ADD $3,900). o Part 3: In accordance with the Project Labor Agreement for this contract, a non -union low voltage subcontractor had to replace a portion of his workforce with union labor (ADD $23,704). o Part 4: Provide & Install 2 sinks in existing remodeled restrooms that were not included in the quantity take -off bid (ADD $581) o Part 5: Add fire & smoke dampers to the mech.. chase (ADD $6,383) o Part 6: Modify the HVAC control sequence for humidity control and cooling efficiency (No change) o Part 7: Revise double door hardware for emergency exit (ADD $875) o Part 8: Repair cracked tile in existing lavatory (ADD $879) o Part 9: Add double door to workshop storage area (ADD $3,582) o Part 10: Add support beam at stair well header(ADD $1,553) o Part 11: Strengthen foundation at staircase to provide for additional wall support (ADD $2,040) o Part 12: Provide additional valve to isolate new filter cells (ADD $1,874) o Part 13: Add curbing around backwash valve stem to contain any overflows (ADD $2,807) • $1,300 of Part 2 of this change order will be reimbursed by the consulting Engineering firm as a credit on a future services billing invoice due to a design oversight in the plans. • The net total of this change order is an ADD of $53,261 (0.36 %) to the original contract amount ($14,620,958). If approved, the total of Change Orders 1 -5 will be $126,763.02 (0.87 %) • All work and costs associated with this change order have been reviewed by the consultant and Public Works Dept. and found to be in order for favorable Council consideration. 36 Agenda Information Memo June 15, 2004 U. PROJECT 778, TH 149 UPGRADE CONSULTANT SELECTION — ENGINEERING SERVICES ACTION TO BE CONSIDERED: Approve retaining a firm to perform professional engineering services for the design, bid and construction phases of Project 778 (Trunk Highway 149 Upgrade — Divided 4 -Lane Highway) and authorize the Mayor and City Clerk to execute all related contract documents. FACTS: • Project 778 provides for the upgrade of a 2.4 mile segment of Trunk Highway (TH) 149, beginning at TH 55 and terminating just south of Wescott Road. The proposed project includes upgrading TH 149 to a 4 -lane urban roadway, a new traffic signal at the intersection of TH 149 and Wescott Road, dedicated turn lanes at street intersections and a raised center median. Additionally, a trail will be constructed on the east side of TH 149, interconnecting the existing neighborhoods with the existing regional trail system. • The City has received $5,500,000 in Federal Surface Transportation Funding through the Metropolitan Council for fiscal year 2008 with a commitment of $1.6 million from MnDOT towards the estimated project cost of $7,400,000. Due to the City's interests and desires to initiate this improvement even earlier (possibly 2006), it is necessary for the City to have the plans, specifications, environmental studies and permits completed as soon as possible. • On May 4, 2004, the City Council authorized the solicitation of Request for Proposals (RFP) for professional engineering services for the design, bid and construction phases of Project 778. • The RFP solicitation was limited to 4 firms currently approved to provide Engineering Services to the City: Bonestroo & Associates, SEH Inc, SRF Consulting Group and WSB & Associates, due to their relative expertise and intimate knowledge of the City processes. • The RFP responses from the 4 engineering consulting firms were reviewed and formally evaluated by a staff committee consisting of the Public Works Director, City Engineer and Assistant City Engineer. • The review committee was able to reduce the list to 2 finalists for further consideration through a formal interview process scheduled for Monday, June 14. A recommendation for Council consideration will be provided with the Administrative Agenda. 27 Agenda Information Memo June 15, 2004 V. STRYKER ADDITION (CEDARVALE BUSINESS CENTER) EASEMENT VACATION ACTION TO BE CONSIDERED: Receive the petition to vacate a portion of a public drainage and utility easement on Lot 1, Block 1, Stryker Addition and schedule a public hearing to be held on July 20, 2004. FACTS: • On October 15, 2003, City staff received a letter from Richard Fitzgerald, 3914 Cedar Grove Parkway, requesting the vacation of a portion of the existing drainage and utility easement on Lot 1, Block 1, Stryker Addition, aka Cedarvale Business Center, southwest of the intersection of Cedar Grove Parkway and Rahn Road. • The drainage and utility easement was originally dedicated as part of the Stryker Addition plat as a standard 10' wide easement adjacent to a public street. • The purpose of the request is to vacate a portion of the easement to allow the placement of a pylon sign on the property. The construction of the sign is to be coordinated with City staff to address the future construction of a retaining wall within the public right -of -way for trail purposes. • On June 1, 2004, the City Council approved a conditional use permit and variance for the placement of a pylon sign in the requested location of the vacated easement subject to subsequent approval of the easement vacation. • Notices will be published in the legal papers and sent to all potentially affected and/or interested parties for comment prior to the scheduled public hearing. ATTACHMENTS: • Legal Description Graphic, pages 39 & �. • Petitioner's Letter, page 50 . 384 \ \ -1 0 3 c' \\ % \ \ \ \ \ 4 \ s? \\ \ \\ \ \ s 6 \\ \ \\\ . �\ • \ \\ 46\ : \\ \ \, L E G A L D E S C R I P T I O N DATE: December 29, 2003 RE: PYLON SIGN EASEMENT That part of Lot 1, Block 1, STRYKER ADDITION, Dakota County, Minnesota, described as follows: Commencing at the most westerly corner of said Lot 1; thence North 56 degrees 40 minutes 04 seconds East along the northwesterly line of said Lot 1, a distance of 214.54 feet; thence northeasterly 58.62 feet along said northwesterly line on a tangential curve concave to the northwest, having a central angle of 2 degrees 19 minutes 15 seconds and a radius of 1447.24 feet to the point of beginning of said easement area to be described; thence South 36 degrees 23 minutes 11 seconds East 16.50 feet; thence North 53 degrees 36 minutes 49 seconds East 9.00 feet; thence North 36 degrees 23 minutes 11 seconds West 16.50 feet, more or less, to said northwesterly line; thence southwesterly along said northwesterly line to the point of beginning. PETITION FOR VACATION OF EASEMENT Cedarvale Business Center 3902 -3938 Cedar Grove Parkway We are requesting the vacation of a utility and drainage easement for the installation of a pylon sign to replace the existing monument sign on our property. The reason we are requesting the vacation is that the ideal location for the sign is where our existing sign is. Since the existing sign appears to be right on the property line and is outside of the parking lot surface I understand this would not be an acceptable location for a new sign. We are proposing to install the sign in the center of the parking lot in the east to west direction and along the curb Iine toward the north of the parking lot. This will only take one of our parking spaces. We are asking to put the sign at the curb line because this location is the best for visibility and requires the least amount of modification of the trees on the property. This does however put the sign very close to the property line and inside a drainage and utility easement. The City of Eagan has told me that they do not have any utilities within this easement; I believe a search will show that there are no private utilities in this easement either. I do not believe that the location will interfere with any future location of easement; since the easement is covered by our parking lot and there will only be the two footings installed for the new sign. The current use of the property is a community shopping center with apartments above, and the surrounding property is mostly commercial and apartments. The area around us is slated for redevelopment and I believe there will be a similar mixture of property usages there as well. Our complex houses a number of businesses including a License Bureau. Recently the city of Eagan has undertaken the redevelopment of this area. At some point during this process the sign that the License Bureau had on Cedar Grove Parkway (formerly Beau D' Rue Drive) for many years was removed at the request of the City. The License Bureau complied with the request to remove the sign even though they rely upon signage to direct people to their location. A number of our other tenants have also inquired about signage for businesses. We would like to install the sign in the spring of 2004. We will first remove the existing sign and the two trees that are dying, one on either side of the existing sign. We will then install the new pylon sign and later in the spring add a flower bed in the rock bed where the existing monument sign is, and add low lying shrubs bordering the parking lot. In conclusion I hope that you will can see your way clear to approve this application. We have looked at all the option for the relocation of the sign and this is the best one we could see, and in my eyes it is the only one that makes sense. `f / Agenda Information Memo June 15, 2004, Eagan City Council Meeting W. FINDINGS OF FACT, CONCLUSIONS & RESOLUTION OF DENIAL — PELLLICCI, INC (HARDWARE STORE THOMAS LAKE CENTER) ACTIONS TO BE CONSIDERED: To adopt the Findings of Fact, Conclusions & Resolution of Denial for a Planned Development Amendment to allow outdoor display on the east side of the store and to allow a propane filling tank on the north side of the store, located in Thomas Lake Center, at 1565 Cliff Road. > At its regular meeting of June 1, 2004, the City Council directed staff to prepare Findings of Fact, Conclusions & Resolution of Denial regarding outdoor display on the east side of Pellicci Hardware and a propane filling station on the north side of Pellicci Hardware to be considered at the June 15, 2004 regular Council meeting. 60 DAY AGENCY ACTION DEADLINE • June 19, 2004 ATTACHMENTS (1): Findings of Fact, Conclusions & Resolution of Denial, page (.0 through it Si BEFORE THE CITY COUNCIL CITY OF EAGAN, DAKOTA COUNTY, MINNESOTA In Re: Application of Pellicci Ace Hardware FINDINGS OF FACT, for a Planned Development Amendment to CONCLUSIONS AND Allow a Propane Filling Tank RESOLUTION This matter came before the Eagan City Council at its meeting of June 1, 2004. The Council received and considered the May 18, 2004, Planning Report; input from City staff; minutes of the public hearing held by the Advisory Planning Commission on May 25, 2004; together with all existing files, records and prior proceedings and material as presented to the Council. Herald Pellicci represented or appeared on behalf of Pellicci Ace Hardware at the public hearing held by the Advisory Planning Commission and at the meeting of the City Council on June 1, 2004. Based upon all the files, records and input which was presented at the meeting, the City Council makes the following Findings of Fact, Conclusions and Resolution: FINDINGS OF FACT 1. The application by Pellicci Ace Hardware (the "Applicant ") for a Planned Development Amendment to allow for a 1,000 gallon free - stranding propane filling tank is properly brought before the Eagan City Council. 2. The Applicant's business is located in the Thomas Lake Center at 1565 Cliff Road in the City of Eagan. 3. Thomas Lake Center is located within the Thomas Lake Center Planned Development, which consists of a multi -tenant building and several free - standing commercial buildings. 4. The Applicant's business is located within the multi -tenant building facing South, in which a day care center, dry cleaners, hair salon, restaurants, sub sandwich shop and a consignment shop are also located. 5. The Applicant requested a Planned Development Amendment to allow outdoor storage of a 1,000 gallon propane tank from which the Applicant desires to refill individual consumer sized propane tanks at retail to the general public. 6. The Applicant proposes to locate the propane tank on the north portion of the lot, behind the building where its business is located. A service drive aisle for the multi -tenant building is located behind the entire building, and separates the proposed locations from the Applicant's building. 7. The distance from the nearest point on the rear of the building where Applicant's business is located to the north property line is 62.13 feet. The drive aisle is 22 feet wide. 8. The day care center located within the multi -tenant building has an outdoor playground area behind the building. 9. According to the Liquefied Petroleum Code, a propane fill tank shall be 25 feet from any building, a minimum of 50 feet from any place of assembly, including playgrounds, a minimum of 10 feet from any public street, highway, thoroughfare and sidewalks, which includes the drive aisle behind the building, and surrounded by protective bollards around the propane fill tank which would be near or interfere with the existing parking stalls and drive aisles. 10. The Applicant's proposed does propane fill tank will not meet the requirements of the Liquefied Petroleum Code. 11. Neighboring property owners submitted letters in opposition to the Applicant's proposal. Y CONCLUSIONS 1. The matter is properly brought before the Eagan City Council. 2. The proposed 1,000 gallon propane fill tank does not preserve or enhance the desirable site characteristics of the Thomas Lake Center or the Thomas Lake Center Planned Development. 3. The proposed 1,000 gallon propane fill tank does not meet the Liquefied Petroleum Code requirements. 4. The location of the proposed 1,000 gallon propane fill tank will adversely affect the City's health, safety and welfare, particularly in light of the existing day care center and its outdoor playground area and the other requirements of the Liquefied Petroleum Code. 5. It is not in the best interest of the City or its residents to amend the Thomas Lake Center Planned Development to allow a 1,000 gallon propane fill tank as it would adversely affect the City's health, safety and welfare. 6. The Applicant's property retains a viable use without the propane filling tank. RESOLUTION The City Council of the City of Eagan does hereby resolve that the Applicant's requests for a Planned Development Amendment to allow for a 1,000 gallon propane filling tank shall be and hereby is DENIED. Dated at Eagan, Minnesota this day of , 2004. CITY OF EAGAN '{S By: Pat Geagan Its: Mayor By: Maria Petersen Its: City Clerk Agenda Information Memo June 15, 2004, Eagan City Council Meeting X. FINAL PLAT - MINNESOTA VALLEY TRANSIT AUTHORITY 2 ADDITION ACTIONS TO BE CONSIDERED: To approve a Final Plat (Minnesota Valley Transit Authority 2 Addition) to create one lot on property described as Lot F of Registered Land Survey #4 located in the NW 1 /4 of Section 17. REQUIRED VOTE FOR APPROVAL • Majority of Quorum FACTS: ATTACHMENTS (1): Final Plat page 1 2 I • The proposed lot will consist of about 15.32 acres. • An MVTA bus garage is proposed for this lot. • All documents and Agreements are anticipated to be signed and in order for execution at the regular meeting of the City Council. Y4 g 51 L., LLJ &O 3 .38 _ 74 .91 t N g LIM& Dill AVM s L y s El 'ON A 1391H :•IN(1dL •` AIZRA7.013 iscu i YC 6tL 3LVLS R tw at g 170-9-9 V N IWf1321d f z w z zi r ( 0 • 0 Agenda Information Memo June 15, 2004 Eagan City Council Meeting Consent Agenda Y. APPROVE FINAL ADOPTION, CITY OF EAGAN COMPREHENSIVE GUIDE PLAN, SECTION 5, AVIATION /AIRPORTS ACTION TO BE CONSIDERED: To adopt the final form of the City of Eagan Comprehensive Guide Plan Section 5, Aviation and Airports. FACTS: > The City of Eagan Draft 2000 Comprehensive Plan was submitted to the Metropolitan Council in September 1999. After much review and discussion, the full Metropolitan Council completed its review of Eagan's Draft Plan on December 13, 2000. > The Metropolitan Council's Review Record dated January 22, 2001 found the City of Eagan's Comprehensive Plan Airports and Aviation Section to be in conformity with the Metropolitan System Plan and the Met Council made advisory comments in Attachment B of the Review Record with respect to clarifications suggested to the Airports and Aviation Section. > At its meeting of February 20, 2001, the City Council adopted the Comprehensive Guide Plan including the Airports and Aviation Section with the notation that the clarifications outlined by the Metropolitan Council were in process of being reviewed and would be completed at a later date. > The Metropolitan Council's advisory comments included direction for the City to reference the 1996 Noise Policy Areas until such time that a new Noise Policy Area map is adopted and three wording changes relative to Conditional land uses, height restrictions and the role of the Metropolitan Council in airport planning. A further suggestion that the City may want to consider additional formal controls for heliports and helicopter use has not been addressed to date. > In reviewing the airport policy issues associated with the Laukka Beck and Loan Oak development proposals, it was determined that the final form of the approved Airports and Aviation Section had yet to be presented to the City Council. While it could be interpreted that the City Council intended its action to include the modifications on January 22, 2001, staff and the City Attorney believe that it is important in general, and particularly in the context of the Laukka Beck and Loan Oak proposals, that the final form of the Airports and Aviation Section of the Comprehensive Plan be adopted by the City Council at this time. > The only changes between the draft Airports and Aviation Section that was approved by the City Council for submission to the Metropolitan Council and the final form presented at this time reflect the advisory comments by the Metropolitan Council in its Review Record, other references to the 2005 contours (which were not adopted) and parenthetical changes in the expected dates of completion of Runway 17/35 and the Metropolitan Airports Commission Part 150 update. S�� Agenda Information Memo June 15, 2004 Eagan City Council Meeting Consent Agenda Item Y ATTACHMENTS: (3) Metropolitan Council's 1/22/01 letter, page _ D through SJ r Attachment B to the Metropolitan Council's Review Record on page 3 a. Final form of Airports and Aviation Section on pages . 53 through Il it Metropolitan Council Working for the Region. Planning for the Future Working for the Region. Planning for the Future January 22. 2001 Patricia Awada, Mayor City of Eagan 3830 Pilot Knob Road Eagan, MN 55122 -1810 Re: Eagan Comprehensive Guide Plan Update Metropolitan Council Referral File No. 18066-1 Metropolitan Council District 15 (Carolyn Rodriguez, 952 -431 -1 835) Dear Mayor Awada: At its meeting on December 13, 2000, the Metropolitan Council completed its review of the Eagan Comprehensive Guide Plan update. The Council based its review on the staff's executive summary and review record. The Council's staff review, as amended by Council action, is attached for your records. The Council in its Regional Blueprint strongly encourages cities in the region to work together to help improve the region's competitiveness in the global economy. It encourages cities to balance job and household growth in order to ensure that the region as a whole makes efficient use of lands with urban services and that regional services and facilities, under its jurisdiction, are provided cost - effectively to support development and revitalization in the region. Eagan's plan will provide for fewer homes than the Council forecasts indicate that Eagan should plan to accommodate and fewer homes than regional systems infrastructure can accommodate efficiently. It will also provide fewer affordable homes than will be needed to balance job growth. Because housing is not a regional system, the Council cannot require Eagan to modify its plan to add more affordable housing. While the differences do not represent a substantial departure from regional system plans that would prevent the plan from being put into effect, Eagan's plan is inconsistent with Council policy. Eagan has traditionally been a cooperative, regional partner with the Council and a showcase for progressive local planning. The Council would like to continue and expand its partnership with Eagan. The Council's review recommendations lay out the things that Eagan should do to make its plan consistent with Council policy. We strongly encourage you and the other members of the City Council to work with Council staff to address our recommendations. MN Statutes 473.864, Subd. 1, requires local governments to adopt the comprehensive plan with any required modifications within nine months following a final decision. We request two copies of your final plan once it is revised to include all the information that was submitted. One copy will be placed in the Council library and the other will he placed in the :� t e 1r-- 50 lf 23U East Fifth Street St. Paul. Mtnnrsr)ta 55101-1626 16511 6C/2-100C/ Fax 602.1550 TUD /TT' 290,1, 14 o InG.l +nab112 ] An Etpu: r) ,pornn, j Eti .Irn, r Patricia Awada, Mayor January 22. 2001 Page 2 Comprehensive Planning. In addition, please send us documentation indicating that the city adopted or amended any official local controls to implement the comprehensive plan. If you and the Eagan City Council decide to explore changing the city's plan to bring it in line with the Council recommendations, Michael King, our sector representative for Dakota County communities is prepared to work with you and your staff. Since Ted Mondale Chair Attachment cc: Members, Eagan City Council Thomas Hedges, City Administrator Michael Ridley, City Planner Greg Ingraham, President, Ingraham & Associates Carolyn Rodriguez, Metropolitan Council District 15 Jay Lindgren, Regional Administrator Caren Dewar, Director, Community Development Division Helen Boyer, Director, Environmental Services Division Natalio Diaz, Manager, Transportation and Transit Development Eli Cooper, Director, Planning and Growth Management Department Keith Buttleman, Director, Environmental Planning & EvaIuation Department Richard E. Thompson, Supervisor, Comprehensive Planning Michael King, Sector Representative, Planning and Growth Management Department Jack Frost, Watershed Representative, Environmental Planning & Evaluation Dept. Judd Schetnan, Community Relations Specialist Jim Uttley, AICP, Planning and Growth Management Department V:\ library\commundv \referral \letters \2001 Letters\Eagan CPU 18066 -1.doc ATTACHMENT B AVIATION ADVISORY COMMENTS -- MINOR CHANGES IN THE EAGAN COMPREHENSIVE GUIDE PLAN While the Eagan plan is in general conformance with the 1996 Aviation Policy Plan, there are several items that should be clarified in the plan: • The city's plan should reference the Noise Policy Area (NPA) depicted in Figure 15, page 67 of the Aviation Policy Plan. This NPA is in effect for Eagan's plan until such time that a new NPA is adopted. This also applies to development in special planning areas 1, 2, 3 & 5. The Council will consider adoption of the 2005 MSP noise contour (being prepared as part of the MSP part 150 update) as part of its update of the regional Aviation Policy Plan in 2000. The comprehensive plan's reference to figure 5.1 [2005 MSP NPA] is invalid, as the Council has not yet adopted this type of NPA. • The text defining "Conditional" land uses [page 6] should state "Land uses that, in addition to meeting the structure performance standards. may...." Thus clarifying that there is a precondition. • The text under airport safety [page 7] should be separated to reflect height control of structures as occurs under the MSP airport zoning district; and the text that relates to controlling potential obstructions in the regions general airspace for areas outside individual airport zoning districts. • Text [page 8] referencing the Council should also include "approval of individual airport long -term comprehensive plans." • The city may want to consider control of potential heliport/helicopter activity by reviewing land use designation/zoning where such an operation may be allowed as a "permitted" use. The Council's model heliport ordinance may be used, or referenced, if the city wishes to take a more proactive stance on location/operation of such facilities. INTRODUCTION As a neighbor to Minneapolis — St. Paul (MSP) Intemational Airport, the City of Eagan is affected both positively and negatively by the airport. The City benefits by convenient access to airport services while at the same time areas of the City are negatively affected by aircraft noise. Significant changes are occurring at MSP that will impact Eagan. A new runway will become operational in 2003 2005 that will spread aircraft noise over the southern portion of the City. The existing runways will continue to have noise effects upon the northern portion of the City. Part of the City's challenge is to maximize the benefits of its convenient location while minimizing the aircraft noise effects. The major benefit of the City's proximity to the airport is convenient access for it's residents and business's to the services offered by MSP. It is less than a 20 minute trip from most areas of Eagan to MSP. Business's such as Northwest Airlines, USPS Bulk Mail Facility and numerous hotels decided to locate within Eagan in part due to the proximity to the airport Aircraft noise is the negative aspect of being two -three miles from MSP. In 1998 approximately 245,000 aircraft landed or took off over Eagan. As a result, City (33 % of total acres) is substantial areas of the city are within a designated noise exposure zone. Aircraft noise is a nuisance to many people and the amount of noise in certain areas affects how the land can be used and how buildings need to be constructed to minimize negative impacts. For example, much of the northern half of Eagan is affected by aircraft noise and new single family homes, churches, schools and other noise sensitive uses are discouraged from being built in this area. If these uses are built they must be constructed to provide greater than average noise reducing walls, windows and doors. GOALS AND POLICIES GOALS AIRPORTS AND AVIATION 1. To minimize the establishment of noise sensitive uses in areas where noise impacts are greatest. 2. To the extent possible, mitigate noise impacts in areas where noise sensitive uses currently exist, or can be anticipated, in noise impact zones. 3. To advocate airport- operating procedures that will minimize adverse impacts in Eagan's noise sensitive areas, especially those areas that were established outside of areas where operations and noise impacts were anticipated. 1 Based on Metropolitan Council's 2005 1996 MSP Noise Policy Zones ,s 3 06/09/2004 POLICIES 4. To implement an orderly transition from noise sensitive land uses to noise compatible ones where appropriate, in consideration of all development factors for the area. 5. To minimize the establishment of physical structures that will interfere with aircraft operations. 06/09/2004 1. The City will generally discourage new residential development in areas most affected by aircraft noise. This area is depicted by the current Metropolitan Council Noise Zones as illustrated in Figure 5.1. 2. The City will consider in -fill residential development within the area described above on a case by case basis. Where such in -fill development is permitted, it will only occur under appropriate requirements respecting aircraft noise including sound attenuating construction techniques and buyer notification of the noise environment. 3. The City of Eagan will consider a Noise Attenuation Construction ordinance that will apply to all noise - sensitive areas within the Metropolitan Council Noise Zones. 4. Any additions, modifications or replacements of existing homes within the Noise Zones shall use noise abatement designs and construction techniques to achieve an inside noise attenuation level appropriate for its noise zone. 5. The City will encourage the maximization of noise mitigation programs for the benefits of its residents. 6. The City will designate the Metropolitan Council Noise Policy Contours on its zoning and comprehensive guide plan maps to inform current and prospective property owners of the presence of potential noise impacts and the existence of regulations and performance standards for those areas. 7. The City will continue its cooperative efforts with the Metropolitan Airports Commission, the Pollution Control Agency and other governmental agencies to reduce adverse noise impacts generated by air traffic. 8. The city will advocate for historic and prospective aircraft operating procedures that respect the City's purposeful efforts to minimize noise sensitive uses in the Eagan- Mendota Heights Corridor. The City will resist efforts by other agencies to introduce or modify operating procedures so as to increase adverse impacts in noise sensitive areas of Eagan outside of the Corridor. 9. The City will continue to encourage noise compatible commercial - industrial uses in the northern portion of the City where the noise compatible Corridor has been established. The City will consider redevelopment of noise - sensitive residential uses to noise compatible uses in the Corridor in situations where other planning factors support such action. 10. The City does not anticipate a strategy of major redevelopment of the residential areas of south and west Eagan that will experience additional over - flights from the proposed north- south runway. This is due to the scale of residential development that has occurred in this area to date and the presence of substantial areas of commercial and industrial land uses in the northern portion of the City associated with historic air traffic patterns. The City will apply appropriate performance standards to expansion or modification of uses, in -fill development or redevelopment within the area. 11. The City will advocate for specific noise attenuation considerations for noise sensitive areas in southwest Eagan, because neither the City nor its property owners could have anticipated the over -flight impact from the new north -south runway. 12. The City will notify appropriate agencies of proposed construction or alterations that will exceed height limitations in airport areas as specified in Federal or State law. ECONOMIC BENEFITS 06/09/2004 According to a 1996 Report to the Public published by the Metropolitan Airports Commission, the Minneapolis -St. Paul International Airport is both directly and indirectly responsible for 113,000 jobs in the region and injects $5.5 billion a year into the regional economy. For the City of Eagan, the benefit of being located in close proximity to the airport has helped the City support a healthy and diverse business community, from corporate headquarters to distribution companies to hotels and restaurants. The airport is a tremendous marketing tool for bringing in new businesses and retaining those that have made Eagan their home. AIRPORT /AIRCRAFT IMACTS LAND USE Different types of land use have varying degrees of sensitivity to aircraft noise. For example, commercial - industrial uses are more compatible with aircraft noise than noise - sensitive residential, churches and schools. Noise sensitivity varies among residential uses. Single family homes have more exposed exterior walls and roof areas and rely more on the outdoor yard areas than most multi - family housing. As such, single family homes are generally more affected by aircraft noise than multi - family housing. The northern portions of Eagan are particularly affected by aircraft noise (See Figure 5.1 for a location of the 2005 1996 noise exposure areas). To avoid additional conflicts the City has guided most of this area for commercial - industrial development and discouraged construction of new single family residential homes and most multi - family homes in noise exposure areas. In general, the Comprehensive Plan does not recommend construction of new single family homes within the noise exposure areas, except on a case specific basis. Extraordinary sound proofing should occur if new single family dwellings are constructed in noise exposure areas. SS Construction of multi - family homes can occur, but they must be constructed to provide adequate sound insulation to provide a quiet indoor environment. This can be accomplished by meeting the Structure Performance Standards established by the Metropolitan Council's Aviation Chapter of the Metropolitan Development Guide. For residential and educational/medical land uses, interior sound levels may not exceed 45 dBA. An interior sound level of 50 dBA is required for cultural, recreational, entertainment, office, commercial, and retail service uses. Table 5.1 outlines the Metropolitan Council's land use compatibility guidelines for development within noise exposure areas. NOISE EXPOSURE AND NOISE MITIGATION There are existing residential uses within noise exposure zones. Nearly 230 homes in Eagan are located within the 2005 Ldn 60 Noise Contour. Aircraft noise exposure is measured and mapped by the Metropolitan Airports Commission (MAC). The noise exposure zones and accompanying mitigation programs are subject to approval by the Federal Aviation Administration. Noise exposure is measured on an annualized average weighting of day -night noise levels measured in decibels (Ldn). Around MSP, the significant noise exposure zones are mapped from Ldn 75 (highest) to Ldn 60 (lowest). Homes within the 1996 Ldn 65 Noise Contour are eligible for the residential sound insulation program offered by MAC. All currently eligible homes in Eagan have been contacted for participation in the program, and have either had the insulation modifications completed or declined to participate. MAC is currently engaged in an update to the Part 150 Study which determines the noise exposures and mitigation alternatives. This update is expected to expand the eligible area for residential sound insulation to the 2005 2007 Ldn 60 Noise Contour. The new Part 150 Study is not expected to be approved by the FAA untillate4000 2005. s6 06/09/2004 Table: 5.1 Metropolitan Council Airport Land -use Compatibility Guidelines Land Use Types/Noise Exposure Zones Land Use Compatibility Guidelines New Development Major Redevelopment Infill- Reconstruction or Additions to Existing Structures 1 2 3 4 1 2 3 4 Residential Single/Multiplex with Individual Entrance Multiplex/Apartment with Shared Entrance Mobile Home INCO INCO INCO INCO PROV INCO INCO PROV INCO COND PROV COND COND COND COND COND PROV COND COND PROV COND COND PROV COND Educational and Medical Schools, Churches, Hospitals, Nursing Homes INCO INCO INCO PROV COND COND COND PROV Cultural, Entertainment, Recreational Indoor Outdoor COND COND PROV COND PROV COND PROV CNST COND COND PROV COND PROV COND PROV CONST Office, Commercial, Retail COND PROV PROV CNST PROV PROV PROV CNST Services Transportation- Passenger Facilities Transient Lodging Other Medical, Health & Educational Services Other Services COND INCO COND COND PROV PROV PROV PROV PROV PROV PROV PROV CNST PROV CNST CNST COND COND COND COND PROV PROV PROV PROV PROV PROV PROV PROV CNST PROV CNST CNST Industrial,Communication, Utility PROV CNST CNST CNST CNST CNST CNST CNST Agricultural Land, Water Areas, Resource Extraction CNST CNST CNST CNST CNST CNST CNST CNST Source: Metropolitan Council, Metropolitan Development Guide — Aviation, 12/96 2 INCO means Inconsistent 3 COND means Conditional 4 PROV means Provisional 5 CNST means Consistent 06/09/2004 5.2 Conditional Land Use Review Factors 1. Specific nature of the proposed use, including extent of associated outdoor activities. 2. Relationship of proposed use to their planning considerations, including adjacent land use activities, consistency with overall comprehensive planning and relation to other metropolitan systems. 3. Frequency of exposure of proposed uses to aircraft overflight. 4. Location of proposed use relative to aircraft flight tracks and aircraft on- ground operating and maintenance areas. 5. Location, site design and construction restrictions to be imposed on the proposed use by the community with respect to reduction of exterior to interior noise transmissions, and shielding of outdoor activities. 6. Method community will use to inform future occupants of proposed potential noise from aircraft operations. 7. Extent to which community restricts the building from having facilities for outdoor activities associated with the use. S. Distance of proposed use from existing or proposed runways, parallel taxiways, or engine run -up areas. ♦ Consistent: Land uses that are acceptable. 06/09/2004 *Provisional: Land uses must comply with certain structured performance standards to be acceptable according to MS 473.192 (Metropolitan Area Aircraft Noise Attenuation Act). ♦ Conditional: Land uses that, in addition to meeting the structure performance standards, may be identified as conditionally acceptable upon review by the City Council. The City Council will review and authorize conditional uses upon a finding that they comply with the factors set forth in Table 5.2. ♦Inconsistent: Land uses that are not acceptable even if acoustical treatment were incorporated in the structure and outside uses were restricted. AIRPORT SAFETY Safety zones are established ar-ound4be -mart within the MSP Airport Zoning District to ensure an unobstructed flight path for departing and arriving aircraft. The safety zones extend off the ends of each runway and impose height and use restrictions on properties and structures within them. Due to the distance between the runways and the municipal borders of Eagan the safety zones do not have a significant effect upon height of proposed structures in Eagan. The main concern is that structures within safety zones do not exceed 200 feet in height. The City of Eagan is required to notify MNDOT of any proposed structure in excess of 200 feet outsidd of individual airport zoning districts to control potential obstructions in the region's general airspace. AIRPORT EXPANSION A significant expansion of MSP Airport is underway which will change flight patterns and noise exposure in Eagan. Runway 17/35, also known as the North -South Runway is under construction and is forecast to be in use in 2003 2005. The current runway configuration consists of two parallel runways (12/30 left and right) and one cross wind runway (4 -22). The two parallel runways are oriented in a southeast - northwest direction and landings and takeoffs from/to the southeast are generally over Eagan. The North - South Runway is being built to the west of the parallel runways. This will allow independent and simultaneous use of the north -south and the parallel runways. A large number of flights using the North -South Runway will go over southwest Eagan. This will expose additional residential neighborhoods to aircraft noise. Currently, these areas do not receive significant aircraft noise. This exposure of additional existing neighborhoods is a serious concern. The proposed flight departure tracks from the North -South Runway would spread noise over much of the southern half of the city. The City will continue to work with the Metropolitan Airports Commission (MAC) to revise the departure tracks to minimize the area affected by noise and to establish additional noise mitigation measures. A major focus will be to get MAC to use the increase in the amount of aircraft noise as a criteria for noise mitigation actions rather than relying solely on the Ldn noise level. INTERGOVERNMENTAL RELATIONS Eagan Airport Relations Commission The City of Eagan has an active Airport Relations Commission. The Commission is an appointed advisory body of the Eagan City Council. The purpose of the Commission is to advise and make recommendations to the City Council concerning aircraft noise and airport policy issues which impact or have the potential to impact Eagan. As citizen volunteers, Commission members provide valuable insight into public perceptions of these issues for the City Council, City staff and community at large. Currently the Eagan Airport Relations Commission is focusing on: 59 06/09/2004 1. Limiting departure tracks from the North -South runway to minimize noise exposure to residential neighborhoods. 2. Convincing MAC to use the incremental increase in aircraft noise as a criteria for noise mitigation eligibility. 3. Developing a public education program with MAC regarding the North -South Runway and noise mitigation. 4. Reaffirming the use of the Eagan- Mendota Heights corridor to minimize noise exposure in neighborhoods of north and northeast Eagan. 5. Understanding the impacts of ground - level, low frequency noise on the community. Metropolitan Aircraft Sound Abatement Council The Metropolitan Aircraft Sound Abatement Council (MASAC) was established in 1969 as a cooperative effort between the airport authority, airport users and the impacted communities to mitigate the effects of airport noise. MASAC is tasked with studying airport noise issues and making recommendations for the betterment of noise conditions to the MAC. Metropolitan Council 06/09/2004 The Metropolitan Council is the regional planning agency that has the legislative authority of approving the MAC's Capital Improvements Plan budget. Metropolitan Council's role in the evaluation of noise is to promulgate guidelines for the compatible use and development of land in communities surrounding the airport and approve individual airport long -term comprehensive plans. Other Agencies A number of other State agencies work with the MAC in either a cooperative and/or regulatory capacity. The Minnesota Department of Transportation is involved in all construction projects that will impact the traveling public, including runway construction and roadway improvements. The Minnesota Pollution Control Agency works with MAC Environment Department on issues such as noise and groundwater runoff. The Minnesota Environmental Quality Board has the final authority in approving Environmental Impact Statements and other environmental documents related to the MSP. Community Groups There are a number of community groups that are involved in airport- related activities. MinneapolisiSt.Paul Noise Policy Areas Source. Nome oontour data's from MAC and was obtain from the Metropoisen Coundi The Metropolitan Council and the Metropolitan Saporta Commission make no representation or warranties, express or linsaml. wit respect to the reuse of the dale provided herewith. regardless Ohs torrid or the meani of its transmission. Determining Me appropriate amok...one for the use of this data set is the r.ponsibility of the user The user sample the data 'as is% and assumes all nsks associated with Its um. By acceptance of this data. the user agrees not to transmit tnis data or provide &COM or any hat of it OZ another party or individual. The Metropolitan Council end the Metropolitan Andre. Commis..rh a.m. no responebility for actual a consequential damage incurred as a result of any users reliance on this data. 0 05 2 Legend MSP Noise Exposure Zones OK C: 2 3 4 Noise Contour and Noise Zone Boundary •••■•• 1 Mile Buffer •••.• DNL 60 DNL 65 DNL 70 • DNL 75 ems Municipal Boundary - Street Centerline Figure 5.1 I Agenda Memo June 15, 2004 Eagan City Council Meeting Consent Agenda Z. ACCEPT DONATION FROM BRAA FOR PARKS AND RECREATION SCHOLARSHIP FUND ACTION TO BE CONSIDERED: Accept donation of $275 forward the Parks and Recreation Scholarship Fund. FACTS: • Bonestroo, Rosense, Anderlik, & Associates have donated $275 to the City of Eagan to be applied towards Parks and Recreation. • The funds will be applied to the scholarship funds, providing opportunities for children who otherwise would be financially limited to participate in recreation programming. • A cover letter from BRAA indicates its appreciation for their "long- standing relationship with the City of Eagan." ATTACHMENTS: • None 6,2 Agenda Memo June 15, 2004 CONSENT AGENDA: AA. History Card Distribution ACTION TO BE CONSIDERED: Approve the distribution plan for the "History on Deck" playing cards. FACTS: ATTACHMENT: • On February 3, 2004 the Eagan City Council voted unanimously to authorize a history card project whereby historical stories of Eagan would be published on playing cards. • The cards have now been printed and are ready for distribution and sale to the public. • As the Eagan Historical Society and three sponsors have played a large role in making the project a reality, the distribution plan includes recognition of those partners, promotion to the media, and distribution to others (including schools) at no additional cost to them as outlined in the attachment. Approximately 882 decks will be distributed pro bono as part of the Eagan history awareness effort. • Beginning Thursday, June 10, approximately 1,000 decks will be on sale to the public for $5 each (tax included). More decks will be ordered as supplies warrant. • The draft distribution plan is attached on page ,6 7 - 6 3 DRAFT HISTORY ON DECK CARD DISTRIBUTION PLAN There are approximately 20 schools (public and private) physically located in Eagan Figuring a maximum class size of 32, and donating a set of 32 decks to each school library that can be checked out by teachers for a class project (or 4 classes with 8 decks each if groups of four share), that will mean: Distributing 50 decks each to our three sponsors (Dakota Electric, ECVB, and Eagan ThisWeek) Distributing one deck each to Eagan Historical Society members: Saved decks for visiting delegations and dignitaries SUBTOTAL TOTAL AVAILABLE FOR PURCHASE *Eagan Convention & Visitors Bureau may wish to purchase additional decks. 6 9 20 x 32 = 640 decks 150 decks Decks for the Dakota County Library, Dakota County Historical Society, State Historical Society collection, and publicity efforts with local media (distributed 3,2,3,4 respectively): 12 decks 20 decks Distributing decks to the Eagan Community Center for use by seniors in the Lone Oak Room and by teens in the Teen Center: 10 decks 50 decks 882 DECKS 1118 DECKS* COST $5 per deck ($4.69 ea. plus .310 tax for a total of $5) MONEY GOES TO: Reimburse Eagan Historical Society costs first, then 50/50 split between Historical Society and Employee Store. NUMBER OF DECKS AVAILABLE FOR INDIVIDUAL SALE First come, first served while supplies last. If we run out, we will take additional orders with the understanding that we must reach a minimum of 500 additional decks before we can reorder. TAXES MUST BE CHARGED See price above. INFORMATION ON CARD SALES ‘s Agenda Information Memo June 15, 2004, Eagan City Council Meeting V. PUBLIC HEARINGS A. VARIANCE TO THE FRONT YARD SETBACK FOR THE PRINCIPAL STRUCTURE FOR PROPERTY AT 962 STANWIX ROAD (RAY BRANDT) ACTIONS TO BE CONSIDERED: To approve (OR direct findings of fact for denial) a 10 foot Variance to the required front yard setback for a new house, located at 962 Stanwix Road, Lot 2, Block 1, Gardenwood Ponds sixth Addition; subject to the conditions listed in the staff report. REQUIRED VOTE FOR APPROVAL • Majority of quorum FACTS: • In 1995 the subject property was incorporated into the Garden Ponds Subdivision as Lot 5 Block 3 Garden Ponds Addition. • In 2003 the subject property was subdivided creating one vacant residential lot, described as Lot 2, Block 1, Gardenwood Ponds Sixth Addition. • The applicant indicates when Lot 5, Block 3, Garden Ponds Addition was platted; the cul- de -sac was platted into the lot. • In order to correct this mistake, newly created Lot 2, Block 1, Gardenwood Ponds Sixth Addition, is required to dedicate 572 square feet to Stanwix Road right -of -way. • The right -of -way dedication reduces the buildable area of the lot. 60 DAY AGENCY ACTION DEADLINE • July 20, 2004 ATTACHMENTS (1): � Planning staff report, pageV7 to 7c71 66 SUMMARY OF REQUEST AUTHORITY FOR REVIEW PLANNING REPORT CITY OF EAGAN REPORT DATE: June 9, 2004 APPLICANT: Ray Brandt PROPERTY OWNER: Eric Heard & Assoc. REQUEST: Variance LOCATION: 962 Stanwix Road COMPREHENSIVE PLAN: LD, Low Density ZONING: R -1, Single Family Residential The applicant is requesting approval of a Variance of 10 feet to the required front yard setback for a new construction home on Lot 2, Block 1, Gardenwood Ponds Sixth Addition located in the NW 1 /4 of Section 23. City Code Chapter 11, Section 11.50, Subdivision 3, B., 3, states that the Council may approve, approve with conditions or deny a request for a variance. In considering all requests for a variance, City Council shall consider the following factors: a. Exceptional or extraordinary circumstances apply to the property which do not apply generally to other properties in the same zone or vicinity, and result from lot size or shape, topography, or other circumstances over which the owners of property have no control. b. The literal interpretation of the provisions of this Code would deprive the applicant property use commonly enjoyed by other properties in the same district under the provisions of this Code. c. That special conditions or circumstances do not result from actions of the applicant. d. That granting of the variance will not confer on the applicant any special privilege that is denied by this Ordinance to owners of other lands, structures or buildings in the same district. CASE: 23- VA- 09 -05 -04 HEARING DATE: June 15, 2004 APPLICATION DATE: May 21, 2004 PREPARED BY: Sheila Cartney Planning Report — Gardenwood 6 Variance June 15, 2004 Page 2 e. The variance requested is the minimum variance which would alleviate the hardship. f. The variance would not be materially detrimental to the purposes of this Code or to property in the same zone. CODE REQUIREMENTS Chapter 11 Section 11.60 Subdivision 5E indicates the setback from the public right -of -way is 30 feet. BACKGROUND/HISTORY The subject property was originally part of Outlot in the Lexington Square 7 Addition. In 1995 the subject property was incorporated into the Garden Ponds Subdivision as Lot 5 Block 3 Garden Ponds Addition. In 2003 the subject property was subdivided creating one vacant residential lot, described as Lot 2, Block 1, Gardenwood Ponds Sixth Addition. At the time of subdivision the applicant indicated a house was designed specifically for this lot to meet all the zoning requirements. EXISTING CONDITIONS The site is currently vacant. There is an Excel Energy easement along the back half of the lot. APPLICANT'S ESTIMATE OF HARDSHIP The applicant indicates when Lot 5, Block 3, Garden Ponds Addition was platted; the cul -de -sac was platted into the lot. In order to correct this mistake, newly created Lot 2, Block 1, Gardenwood Ponds Sixth Addition, is required to dedicate 572 square feet to Stanwix Road right -of -way. The right -of -way dedication will shrink the front of the lot and cause for a 20 foot setback for the proposed house, therefore needing a variance to the front yard setback. EVALUATION OF REQUEST In 2003, the large lot was split into two lots one of which is vacant. The site plan was based on the plat from when the original lot was platted into Gardenwood Ponds Addition. At the time of subdivision the applicant was unaware of the actual location of Stanwix Road and did not know that part of the right -of -way was encroaching into the newly created lot. When a survey was done for the newly created lot, the right -of -way encroachment was revealed. In order to build the proposed house a 10 foot variance is necessary based on the right -of -way location. Because of the Excel Energy easement, the house is limited to the proposed location on the lot; however, the size of the house could be reduced to meet setbacks. 6� Planning Report — Gardenwood 6 Variance June 15, 2004 Page 3 SUMMARY /CONCLUSION A survey was done for Lot 2, Block 1, Gardenwood Ponds 6 Addition and indicated the Stanwix Road right -of -way encroaches into the lot. When the lot was first platted into Gardenwood Ponds Addition the encroachment for Stanwix was not indicated. The subdivision of the lot was based on that plat. An Excel Energy easement across the lot limits the location of the house; it may be possible for the size of the house to decrease in order to meet setbacks. Due to the lot location, the cul -de -sac, it appears the proposed house location and setback variance will not result in the new home looking out of place. ACTION TO BE CONSIDERED To approve a 10 foot Variance to the front yard setback for the principle structure located at 962 Stanwix Road, Lot 2, Block 1, Gardenwood Ponds Sixth Addition; subject to the following conditions: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. 2. The variance applies only the principle building. 69 Location Map 1 Alr 0 6 � p!! Ma ECG fi miC ® '•1 40 Cial um FM L; los ism Lela fism r r r 0 le raza �e sfl gra 1 MCI Iris LEILA ; LF E 4 MLA tau 6 a fi• 33;30:4 col: 33 Gp� As 4t, 0 taw p 0 0 A rammelia 9 2M IE M3 G ;C 33c P a P a a 9 a IM a EMU I El a 0 410"" 4 ** 1 ON. 4.4 • - LAI v gi4 WAS p a VS' 14 10 014;t! -0410Pri 104W *1' •ok trit A t ROO Co mma 44,44ziti 14 **. A � ...u t A 1* elf LEA a tb 121/444 4� �'ov ® �% .. o � .6 014 0 1111 [alto s ®k �!t w [c1� LW 6 ; 2 11 CI � a On r w P'* ew!�e °�eo ° � �P a ri Coo Orp., Cal WOW* 4 %1 c/4 IP 44liat AIM, i Ita0s 4 01.44 F � 4 Atta. A ff '% czwiw 4 �� a Vu® vms AP 1000 0 1000 NEV V �- 2000 Feet Development/Developer: 962 Stanwix Road Application: Variance Case No.: 23- VA- 09 -05 -04 city of eagan Community Development Department Map Prepared using ERSI ArcView 3.1. Parcel base map data provided by Dakota County Office of GIS and is current as of January 2004. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. ! Eagan Boundary \ ` Street Centerline Parcel Area Building Footprint Scale: 1" = 30' I hereby certify that this survey, plan, or report was prepored by me or under my direct supervision.. and that I am a duly Registered Lond Surveyor under the Lows of the State of Minnesota. Date Reg. No 8140 CERTIFICATE OF SURVEY for Kathy and Len Ghilani f 1 Curb Sc gNtterlos shown by Porom unt Engineering on GARD N WOQD PONDS N 962 Stahii x Road DESCRIPTION Lot 2, Block 1 GARDENW00D PONDS SIXTH Dokota County, Minnesota Plot bearings shown o Denotes iron monument BRANDT ENGINEERING & SURVEYING 2999 W. County Road 42, Suite 142 Burnsville, MN 5530 'RECEIVED MAY (952) 224 -2930 /7 5 0 5 setback I I J 10' setbockr I J / / V 1 (11 L i v v i i. Scale: 1" = 30' I hereby certify t report was prepared supervision and Lond Surveyor of Minnesoto. O CERT1FICATE_OF SURVEY G55-1-02 // for / Kathy and Len Ghitani / / s survey, plon, or me or under my direct / I am o duly Registered er the Lows of the State Dote O .- 2a Reg. No. 8140 ' bESCRIPTION O SA ea �� Blo GADtel W0 Dokotills Plat be'o} o Dedotes r / / / /AP o /CP 6 4S .s ° C' T ° 4 0 z stin O n o \ o, / / 9 4,7,..6, / \ l I 1 1 A V PONDS M nnesoto m nu,tnee 4 0 f o Ba 0 / 6 3853 Nb dg R e/Drive / 0 7 / ( 1 BRANDT ENGINEERING & SURVEYING 2999 W. County Road 42, Suite 142 Burnsville, MN 55 RECEIVED FT 3 El (952) 224 -2930 055-1-02 Agenda Information Memo June 15, 2004, Eagan City Council Meeting A. CONDITIONAL USE PERMIT TO ALLOW PAYROLL CHECK CASHING — WAL-MART ACTIONS TO BE CONSIDERED: To approve (OR to direct findings of fact for denial) a Conditional Use Permit to allow payroll check cashing at the check out registers at Wal -Mart located at 1360 Town Centre Drive; subject to the conditions in the Advisory Planning Commission minutes. REQUIRED VOTE FOR APPROVAL • Majority of Quorum * Items in bold represent new information FACTS: VI. OLD BUSINESS • This item was continued from the May 18, 2004 City Council meeting to the June 15, 2004 City Council Meeting. • Three CUP's on the subject site exist: Christmas tree sales, produce sales, green house in parking lot. • There are eight performance standards in the Code regarding currency exchange, all eight standards are proposed to be met. • The checks cashed are limited to Payroll checks. • This request is considered currency exchange by code definition... "engaged in the business of cashing checks or drafts or providing money orders, certified checks, travelers checks, or currency wire transfers for a fee." "Currency exchange does not include a person, entity or establishment which provides said services incidental to a primary business if the charge for the service does not exceed $1.00 or 1% of the value of the check, draft, money order, travelers check or wire transfer, whichever is greater." Wal -Mart is charging a fee of 1% which is capped at $3.00. • The Advisory Planning Commission held a public hearing on April 27, 2004 and is recommending approval, subject to the conditions in the minutes. ISSUES: • Wal -Mart is a 24 hour operation, the code limits check cashing hours to lam to 7:59pm, APC members spoke about the hours of operation within a 24 hour store and staff is concerned with the enforcement of these hours. � • The applicant has submitted a plan illustrating the store layout and depicting the check cashing operation at all 20 checkout stations and the customer service area. 60 DAY AGENCY ACTION DEADLINE • August 19, 2004 — (Includes City 60 day extension) ATTACHMENTS (2): Advisory Planning Commission Minutes page(s) �J — ' 7.d Planning Staff Report pages/?through Sff ti City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 13 G. CONDITIONAL USE PERMIT — WAL -MART A Conditional Use Permit to allow a check cashing service on Lot 1, Block 1, Town Centre 70th Eleventh Addition, located at 1360 Town Centre Drive in the NW '/4 of Section 15. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated April 14, 2004. She noted the background and history. Chair Heyl opened the public hearing. There being no public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Charlene Walls, Wal -Mart Store Manager stated there would be signs posted and proper training to ensure that there will be no check cashing during the times prohibited by the City Code. Member Leeder asked what type of checks would be cashed and if this permit would prevent other businesses in the area from doing the same. Ms. Walls explained that it is her understanding that only business or government issued checks would be cashed at the WaI -Mart store. She stated all other Wal -Mart stores in Minnesota provide this service. Planner Cartney explained that another business could provide the same service as long as all City Code Requirements are met. City Attorney Bob Bauer explained that the City Code defines the currency exchange business, and Wal -Mart does fit into the definition. Member Bendt moved, Member Leeder seconded a motion to recommend approval of a Conditional Use Permit to allow a check cashing service on Lot 1, Block 1, Town Centre 70th Eleventh Addition, located at 1360 Town Centre Drive in the NW 1/4 of Section 15 subject to the following conditions: 1. The Conditional Use Permit shall be recorded with Dakota County within 60 days of the date of approval and proof of its recording be provided to the City. 2. The operation of the currency exchange business shall comply and be operated in accordance with all state laws and regulations relating to the operation of currency xchange business. 3. The currency exchange business shall be operated in accordance with the zoning regulations of this Code. 4. The currency exchange business shall comply with all provisions of this Code and other applicable state laws. II City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 14 5. The currency exchange business shall not engage in any services in which money or funds are tended, borrowed or pledged to or by a customer. 6. The premises shall be open for inspection by the City and the City shall have the right to inspect the premises. 7. The currency exchange business shall not be open or operated during the hours of 8:OOpm and 6:59 am. All voted in favor. Motion carried 4 -0. REPORT DATE: April 14, 2004 CASE: 15- CU- 04 -02 -04 APPLICANT: Wal -Mart Stores HEARING DATE: April 27, 2004 PROPERTY OWNER: Frances Coberly APPLICATION DATE: March 24, 2004 REQUEST: Conditional Use Permit PREPARED BY: Sheila Cartney LOCATION: 1360 Town Centre Drive COMPREHENSIVE PLAN: SA, Special Area ZONING: CSC, Community Shopping Center SUMMARY OF REOUEST PLANNING REPORT CITY OF EAGAN The applicant is requesting approval of a Conditional Use Permit to allow check cashing services upon check out at Wal -Mart located at 1360 Town Centre Drive. The applicant is requesting approval of a Conditional Use Permit AUTHORITY FOR REVIEW City Code Chapter 11, Section 11.50, Subdivisions 4C and 4D provide the following. Subdivision 4C states that the Planning Commission shall recommend a conditional use permit and the Council shall issue such conditional use permits only if it finds that such use at the proposed location: 1. Will not be detrimental to or endanger the public health, safety, or general welfare of the neighborhood or the City. 2. Will be harmonious with the general and applicable specific objectives of the Comprehensive Plan and City Code provisions. 3. Will be designed, constructed, operated and maintained so as to be compatible in appearance with the existing or intended character of the general vicinity and will not change the essential character of that area, nor substantially diminish or impair property values within the neighborhood. '7 Planning Report — WalMart April 27, 2004 Page 2 4. Will be served adequately by essential public facilities and services, including streets, police and fire protection, drainage structures, refuse disposal, water and sewer systems and schools. 5. Will not involve uses, activities, processes, materials, equipment and conditions of operation that will be hazardous or detrimental to any persons, property or the general welfare because of excessive production of traffic, noise, smoke, fumes, glare or odors. 6. Will have vehicular ingress and egress to the property which does not create traffic congestion or interfere with traffic on surrounding public streets. 7. Will not result in the destruction, loss or damage of a natural, scenic or historic feature of major importance. Subdivision 4D, Conditions, states that in reviewing applications of conditional use permits, the Planning Commission and the Council may attach whatever reasonable conditions they deem necessary to mitigate anticipated adverse impacts associated with these uses, to protect the value of other property within the district, and to achieve the goals and objectives of the Comprehensive Plan. In all cases in which conditional uses are granted, the Council shall require such evidence and guarantees as it may deem necessary as proof that the conditions stipulated in connection therewith are being and will be complied with. BACKGROUND /HISTORY The property was platted in 1991 and the store constructed in 1992. A Conditional Use Permit for outdoor sales and display for the garden center was approved with the initial plans, with the stipulation that the outside sale and display be restricted to garden items only. In 1998, Wal -Mart constructed an addition to the front of the store and extended the screening wall at the rear of the store to enclose and screen the storage area for trash dumpsters, wood pallets and bundled boxes. A CUP allowing Christmas tree sales on the Wal -Mart property also exists. The Christmas tree sales are located on the far end of the parking lot from the building. A CUP for a produce stand was also approved for Wal -Mart in 1997. In 2002 a CUP was approved to allow a temporary greenhouse in the parking lot from May to July. EXISTING CONDITIONS The site is developed with a 120,000 square foot retail building. The building is located on the east end of the site, with parking to the west. The site is bounded by Town Centre Drive to the west, Duckwood Drive to the south and other retail to the north and south. A storm drainage pond is located between the building and Duckwood Drive. SURROUNDING USES Planning Report — WalMart April 27, 2004 Page 3 The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST Compatibility with Surrounding Area — The City Zoning Code allows currency exchange operations as a Conditional Use within the Community Shopping Center district, subject to adopted standards. The zoning ordinance states that the currency exchange operation is subject to regulations in Chapter 6 of the City Code. Chapter 6 establishes that a state license for currency exchange is required, in addition to the zoning approval from the City. Evaluation — Chapter 6 establishes eight performance standards that apply to currency exchange businesses. Each of these items are evaluated below: 1) The operation of the currency exchange business shall comply and be operated in accordance with all state laws and regulations relating to the operation of currency exchange business. 2) A currency exchange business shall be operated only in the zoning districts as set forth in this Code and in accordance with the zoning regulations of this Code. The proposed site is zoned Community Shopping Center, currency exchange is permitted via Conditional Use Permit. 3) No currency exchange business shall be located closer than 200 feet to any existing currency exchange business, secondhand goods store or pawnshop, daycare facility, on or off -sale liquor establishments, park or public facility or residential property, including R- 4(residential multiple) properties. The distance set forth herein shall be measured from any point of the exterior area of the structure in which the currency exchange business is located and the closest point on the property line of the other use. Wal -Mart is not within 200 feet of any of the uses listed above. �9 Existing Use Zoning Land Use Designation North Kohl's CSC, Community Shopping Center SA, Special Area South Retail CSC, Community Shopping Center SA, Special Area East Companion Animal hospital/Cornerstone self storage CSC, Community Shopping Center/PD, Planned Development SA, Special Area West Eagan Auto mall/Paradise car wash CSC, Community Shopping Center SA, Special Area Planning Report — WalMart April 27, 2004 Page 3 The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST Compatibility with Surrounding Area — The City Zoning Code allows currency exchange operations as a Conditional Use within the Community Shopping Center district, subject to adopted standards. The zoning ordinance states that the currency exchange operation is subject to regulations in Chapter 6 of the City Code. Chapter 6 establishes that a state license for currency exchange is required, in addition to the zoning approval from the City. Evaluation — Chapter 6 establishes eight performance standards that apply to currency exchange businesses. Each of these items are evaluated below: 1) The operation of the currency exchange business shall comply and be operated in accordance with all state laws and regulations relating to the operation of currency exchange business. 2) A currency exchange business shall be operated only in the zoning districts as set forth in this Code and in accordance with the zoning regulations of this Code. The proposed site is zoned Community Shopping Center, currency exchange is permitted via Conditional Use Permit. 3) No currency exchange business shall be located closer than 200 feet to any existing currency exchange business, secondhand goods store or pawnshop, daycare facility, on or off -sale liquor establishments, park or public facility or residential property, including R- 4(residential multiple) properties. The distance set forth herein shall be measured from any point of the exterior area of the structure in which the currency exchange business is located and the closest point on the property line of the other use. Wal -Mart is not within 200 feet of any of the uses listed above. �9 Planning Report — WalMart April 27, 2004 Page 4 4) A currency exchange business shall comply with all provisions of this Code and other applicable laws. 5) No bars, chains or other security devices on the structure in which a currency exchange is located shall be visible from a public street or sidewalk. 6) A currency exchange business shall not engage in any services in which money or funds are lended, borrowed or pledged to or by a customer. 7) The premises shall be open for inspection by the City and the City shall have the right to inspect the premises. 8) No currency exchange business shall be open or operated during the hours of 8:00 pin and 6:59am. Wal -Mart is open 24 hours; proposed hours of operation were not included with the application. SUMMARY /CONCLUSION Wal -Mart stores are requesting approval of a Conditional Use Permit to allow payroll check cashing at the check out counters. The currency exchange ordinance was adopted in July 2003, there is on other currency exchange location within the City of Eagan. The proposal satisfies the location standards of the ordinance. ACTION TO BE CONSIDERED To recommend approval of a Conditional Use Permit to allow payroll check cashing at the check out registers in the Wal -Mart store located at 1360 Town Centre Drive subject to the following conditions: 1. The Conditional Use Permit shall be recorded with Dakota County within 60 days of the date of approval and proof of its recording be provided to the City. 2. The operation of the currency exchange business shall comply and be operated in accordance with all state laws and regulations relating to the operation of currency exchange business. 3. The currency exchange business shall be operated in accordance with the zoning regulations of this Code. 4. The currency exchange business shall comply with all provisions of this Code and other applicable state laws. 5. The currency exchange business shall not engage in any services in which money or funds are lended, borrowed or pledged to or by a customer. 6. The premises shall be open for inspection by the City and the City shall have the right to inspect the premises. 7. The currency exchange business shall not be open or operated during the hours of 8:OOpm and 6:59 am. FINANCIAL OBLIGATION- 15- CU- 04- 02 -04, Lot 5, Block 1, Town Centre 70 Eleventh Addition Wal_Mart There are pay -off balances of special assessments totaling $ -0- on the parcel proposed for the conditional use. At this time, there are pending assessments in the amount of $184,135 on the property for which the conditional use permit is requested. The pending assessments are related to Project 851, which provided for the reconstruction of streets, intersections, traffic lights and other improvements in the Town Centre 70 and 100 subdivisions. Based upon the study of the financial obligations collected in the past and the uses proposed for the property, the following charges are proposed. The charges are computed using the City's existing fee schedule and for the connection and availability of the City's utility system. The charges will be computed using the rates in effect at time of connection. IMPROVEMENT None Total USE RATE QUANTITY AMOUNT ADDENDUM #11 Description of Business: Wal -Mart Stores East, LP is a subsidiary of Wal -Mart Stores, Inc. (WSI). WSI is a national discount retailer offering a wide variety of general merchandise. Wal -Mart stores offer pleasant and convenient shopping in 36 departments including family apparel, health & beauty aids, household needs, electronics, toys, fabrics & crafts, lawn & garden, jewelry and shoes. In addition, some Wal -Mart Stores offer a pharmacy department, tire & lube express, garden center, snack bar or restaurant, vision center and one -hour photo processing for customer convenience. Business Plan: Wal -Mart Stores, Inc. is the world's largest retailer with $218 bullion in sales in the fiscal year ending January 31, 2002. The company employs more than 1.3 million associates worldwide through more then 3,200 facilities in the United States and more than 1,100 units in Mexico, Puerto Rico, Canada, Argentina, Brazil, China, Korea, Germany and the United Kingdom. More then 100 million customers per week visit Wal -Mart stores worldwide. Wal -Mart leases space in the stores to various industries, including banks. These banks pay a rental fee to Wal -Mart. Wal -Mart Stores, Inc. is going to begin conducting a payroll check cashing service for our customers from the cash registers only. Customers will be able to cash a payroll check from any employer for a small fee. A fee of 1% capped at $3.00 will be charged for the following states: Louisiana Pennsylvania Minnesota Connecticut New Jersey New York Vermont A fee of $3.00 will be charged to cash payroll checks in all other states. F`,2 !�'' z � Y:�� ti ...+ LU 1 8 2004 Location Map Eagan Boundary / Street Centerline Parcel Area Building Footprint r - 11 mamma es Atir 0 11 0 ISO P1 Pr Oar u mum LJLJLJLF� t it, � i -s s 1 [.a L^J Gel ,,,,°,,,.. rG1 C� rS I racnrara UMW 4'I ItA IvaLitiLoMi PoN 40 ye: �44 °e��;. 30% " z ILO Ira LAI MCVSI til COO , 012 a VAMP wets r� t64.1 EE LJH ' Evim, mvkmi ag goal id o ^^ fti?`' ii 15 mtokD -N a +xextffe Donn ° annm .411111 WO 704/ tch 0rs" lama � nbitt#040 �r Oa um um i ® w ■ ° mum R 11!11 r /rll lERF CJP'. �� l � Irj ri nriEir�.� 6:� ' k�0 fOStl_c�c�° 1000 0 10 2000 Feet Development/Developer: Application: Case No.: Wal -Mart CUP 15- CU- 04 -02 -04 V city of eagan ---- ..-a.� n...anoment Department Map Prepared using ERSI ArcView 3.1. Parcel base map data provided by Dakota County Office of GIS and is current as of January 2004. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. N W+ E Current Zoning and Comprehensive Guide Plan Wal-Mart Land Use Map Case No. 15- CU- 04 -02 -04 Zoning Map — r ". $! PD PD 1 Current Zoning: CSC Community Shopping Center PD Ill ' - 111111/111.1°. PD , o - Milli coo 0 000 1200 cot xi . ' ` � IIP oft _ ., • -- -, PD ° 6 ctw0 o °° CSC t PD ImINI -- on .,.,,,, nerm, TT, Comprehensive Guide Plan Land Use Map -J i 1 r i C:: ( SA 1 — Egli SA ,A1111 Current Land Use Designation: SA Special Area a /11 7 L NI Illt■ IN Inmw mall. • I' / 600 0 600 7200 r..t SA :111.111; -. / SA S ■ �. Parcel base map in n pro Survey County Land Svey DepartmeR June 2003. N info ion maintained byCity Staff. City of Eagan W E Community Development Department 2, THIS MAP IS INTENDED FOR REFERENCE USE ONLY S The City of Eagan and Dakota County do not guarantee the accuracy of this information. Agenda Information Memo June 15, 2004 Eagan City Council Meeting B. REZONING, PRELIMINARY SUBDIVISION (EVERGREEN ENCLAVE) — EPIC DEVELOPMENT ACTIONS TO BE CONSIDERED: To approve a Rezoning of 7.7 acres from A, Agriculture to R -1, Single Family residential for property located at 4195 Lexington Way South. To approve a Preliminary Subdivision (Evergreen Enclave) of 7.7 acres to create 12 lots at property located at 4195 Lexington Way South; subject to the conditions in the APC minutes. To approve a Variance to the front setback on Diffley Road of 0 feet for the existing home and an 18 foot front setback from the private road on Lot 12, Block 1, Evergreen Enclave; subject to the conditions in the APC minutes. To approve a Variance to allow Lots 2 through 6, Lots 9 and 10 without public street frontage; subject to the conditions in the APC minutes. To approve a Variance to allow construction of drives without curb and gutter for Evergreen Enclave Addition; subject to the APC minutes. REQUIRED VOTE FOR APPROVAL • Majority * Items in bold represent new information FACTS: • At the May 18, 2004 City Council meeting the applicant was directed to meet with the APrC and APC to discuss issues raised by staff. This item was directed to the June 15, 2004 City Council meeting. • At the joint meeting between the APC and APrC, lift stations, rain gardens, individual sanitary sewer pumps, soil conditions, steep slopes and site impacts were discussed. • Commission members were skeptical of the proposal due to all the obstacles previously stated and generally stated their lack of support for the Evergreen Enclave development unless the lot count was drastically reduced. • According to the developer, his engineer is in the process of revising development plans to reflect comments and discussion at the joint meeting. The developer has indicated the plans will be submitted on Monday. g 5- • The subject site is heavily wooded and has a ravine that dissects the property in an east/west fashion. • An existing single family home (built in 1964) is present on proposed Lot 12 and will remain with development; two variances apply specifically to this lot/structure. • Storm water runoff is proposed to be accommodated by on -site "low- impact development" which include rain gardens, infiltration basins, and grassy swales. • The rain gardens will be in the side yard yards and will have a conservation easement over them as well as the ravine. • Two sanitary sewer lift stations are proposed, which will be maintained by the City of Eagan. • Proposed Outlot A will be donated as park land, but will not fulfill park land dedication. • A public hearing was held at the April 27, 2004 Advisory Planning Commission and they recommended approval. ISSUES: • Staff has concerns with the existing house being out of character within this development and the number of variances necessary for the home to be preserved. • The hardship for all the variance requests appears to be self - created by the developer. • The City of Eagan does not have a policy in place for "low impact development" and the APC and staff have concerns regarding the effectiveness for frozen grounds conditions, high intensity runoff and the ongoing future maintenance of the rain gardens on private property. UTILITIES • This development proposal requires the installation of two (2) SANITARY SEWER LIFT STATIONS, each serving only 6 single family (SF) homes. Currently, there are only 12 lift stations (LS) throughout the entire City, each serving much larger populations. The City recommends that a minimum population of 15 — 20 SF homes should be served by a single LS. Smaller stations do not operate as efficiently under low flow conditions resulting in a longer sewage collection time to build up to the minimum volume necessary to be efficiently handled by the pumps. This can result in build up of hydrogen sulfide gases, which accelerate the corrosion of the controls and equipment and also requires greater maintenance. • The development is proposing to install RAIN GARDENS (RG) along common lot lines to handle low intensity runoff events (1' - 1' /2 "). While the south private street will be required to connect to the storm sewer in Diffley Rd, the northern private street runoff and RG's will overflow down a steep side hill into the ravine which drains through the Caponi property before it reaches Pond JP -8 in Patrick Eagan Park (1/4 mile northwest). The RG concept, while having its merits, does not seem well suited for this location. Due to the steep topography, the houses will be stepped down along a side hill on each side of the ravine with the RG's being located on side slopes between house foundations, which could cause seepage concerns for the downstream structure. To function efficiently, they require good soil percolation rates, proper vegetation, and constant protection and maintenance from sediment build up (especially during initial development/construction). • This proposal requires the installation of 350' — 400' of DEAD END WATERMAIN in each of the 2 private streets to serve only 6 homes each. Due to the ravine, the water mains will not be looped resulting in low flow usage and the need for greater frequency of flushing by City crews to clear the lines of stagnant water. This high flow flushing at the end of the private street will not 3,4 have access to a storm drainage system on the northern street and will have to flow unrestricted down a steep hillside into the ravine. • Due to the location of this development adjacent to a steep RAVINE, the increased runoff is expected to create erosion problems in an area extremely difficult to access for repairs. It is approximately 1300' to the nearest water body (JP -8 within Patrick Eagan Park) at an elevation differential of 140'. Although requirements are proposed for some type of "ditch blocks" or increased vegetation to detain the flow, these features will be difficult to maintain, whether performed by the development's Homeowners Association or by the City. STREETS • The streets designed to serve this development do not meet public street standards for width (26' vs. 32'), concrete curb & gutter (none shown on preliminary site plan) and cul -de -sac (none proposed). Subsequently, the developer is proposing them as PRIVATE DRIVES, and they could be built to the City's private street standards. The proliferation of private streets has resulted in Homeowners' Associations, being unable to adequately maintain them for optimum life expectancy. Increasingly, the City has been requested to take their maintenance over in consideration of the same taxes that they pay as property owners located on public streets. 120 Agency Action Deadline • July 17 (a waiver to the Rezoning and variances has been signed) ATTACHMENTS (3): Advisory Planning Commission Minutes on page r' a Staff report on pages ?3 through 9 / APC and APrC Joint Meeting notes on pages /.d � through / LI Revised plans will be distributed with Additional Information on June 14, 2004 •2 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 5 C. REZONING & PRELIMINARY SUBDIVISION — EPIC DEVELOPMENT, LLC A Rezoning of approximately 7.7 acres from A, Agriculture to R -1, Single Family Residential and Preliminary Subdivision (Evergreen Enclave) to create 12 lots, located at 4195 Lexington Way S. in the SE 1 /4 of Section 22. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated April 22, 2004. She noted the background and history. Rich Ragatz, Epic Development stated the site is heavily wooded and needs special considerations during development. He stated two lift stations are being installed, along with other efforts to reduce tree loss. He stated maximum allowable density was not met. He stated the Dakota County Plat Commission thought the continued occupancy of the existing home would be acceptable with appropriate setbacks. Chair Heyl opened the public hearing. Jane Payfer, attended the meeting in representation of her parents, Floyd & Margaret Rodmyre who reside at: 4145 Lexington Way. She stated concern with the process of development due to the fact that she was not properly notified of the application. She explained that the illustration that she was given to depict the placement of the proposed homes does not give details as to the height of the homes and other dimensional information. She read the letter written by her parents contesting Lot 6, along with other objections including preservation of the particular trees that show the history of the area. Pete Ramstead stated support of the R1 zoning designation. There being no further public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Mr. Ragatz explained the size and styles of the proposed homes. He compared the proposed development to the Waters Edge Development, possibly a little smaller. He explained that the homes would be designed to fit the lots, and an association would manage general maintenance of the development. Assistant Engineer John Gorder stated the Fire Marshall has reviewed and deemed the proposed acceptable. Planner Cartney stated the City Forester will determine which tress may be removed. Chair Heyl stated concern for erosion control for the ravine specifically. She also stated she is skeptical of the rain garden concept in this development. Mr. Ragatz explained that he does not have experience with rain gardens; however they are being extensively researched. He stated the installation of a typical retention pond would consume additional trees. He explained that there is not much more maintenance required for rain gardens verses a retention pond. City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 6 Ms. Payfer asked for clarification on the variance request for curb and gutters. Mr. Ragatz explained that the lack of curb and gutters is to assist the rain gardens. He stated the roadways would be angled; therefore the runoff would be sheeted towards the gardens. He stated there would be conservation easements over the raingardens and a conservation easement over the ravine. Assistant Engineer John Gorder stated the rain garden concept works if it is built and maintained properly for smaller rains, however larger rains will bypass the gardens. He stated Staff's concern for the larger rains that would in turn collect in the ravine. He suggested measures be required at development that insure the ravine will have assistance with water retention during the larger rains. Member Leeder explained that he visited some rain gardens in Maplewood and is in favor of them in the City of Eagan. He expressed the need for enforcement of condition number 19. Assistant Engineer John Gorder stated the rain gardens have been successfully built on larger lots and in the public right -of -ways in other communities. Chair Heyl stated concerns for erosion, however hopes that the developers and engineers are capable of developing the property properly. She stated importance of the ensured maintenance of the rain gardens. She explained that if Dakota County approved of the existing home remaining on the property with the proper right -of -way, she is comfortable with it as well. Member Leeder suggested deleting condition number 12. Member Bendt moved, Member Leeder seconded a motion to recommend approval of a Rezoning of approximately 7.7 acres from A, Agriculture to R -1, Single Family Residential for property located at 4195 Lexington Way S. in the SE 1 /4 of Section 22. All voted in favor. Motion carried 4 -0. Member Leeder moved, Member Bendt seconded a motion to recommend approval of a preliminary Subdivision (Evergreen Enclave) to create 12 single family lots on property located at 4195 Lexington Way South subject to the following conditions as amended: 1 The property shall be platted. 2. The Development shall be responsible for a cash trails and park dedication 3. Outlot A shall be dedicated to the City in a form acceptable to the City Attorney. 4. Tree Protective measures (i.e. orange colored silt fence or 4 foot polyethylene laminate safety netting) be installed at the Drip Line or at the perimeter of the Critical Root Zone, whichever is greater, of significant trees /woodlands to be preserved. 5. The applicant contact the City Forestry Division and set up a pre- construction site inspection at least five days prior to the issuance of the grading permit to ensure 89 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 7 compliance with the approved Tree Preservation Plan and placement of the Tree Protection Fencing. 6. To meet City water quality requirements, the development should create a series of "rainwater gardens" or "infiltrations basins" to collect and infiltrate stormwater runoff from both streets. Technical designs and details of such structures should be acceptable to and approved by Eagan Water Resources and Engineering staff. 7. A cash dedication in lieu of ponding should be applied to impervious area of the development that contributes stormwater that is not captured in "rainwater gardens" or "infiltrations basins." 8. The developer shall construct sanitary sewer lift stations and force main pipe to serve the development in accordance with City standards. 9. The developer shall construct public storm sewer, and provide utility easements for the same in a form acceptable to the City Attorney, in accordance with City Engineering standards, from the southern private street to the existing storm sewer within Diffley Road. 10. The developer shall construct two lift stations to pump sanitary flows to the existing sanitary sewer. The sanitary sewer lift station and forced main pipe should be constructed in accordance with City Public Works standards and public utility easements, in a form acceptable to the City Attorney, shall be provided concerning the subject lift stations and forced main pipe. 11. The developer shall construct measures within the ravine to limit post - development runoff rates of flow off -site to pre - development rates. These measures shall cause minimal disturbance to the ravine area. 12. The existing septic and well systems within the site shall be abandoned in accordance with City and County standards. 13. If the development is not granted the variance, the private streets shall be constructed in accordance with City engineering standards by one of two options: 1) concrete curb & gutter with a piped storm sewer system, or 2) concrete curb & gutter with curb cuts allowing discharge to the rain gardens or infiltration basins. 14. The private streets shall be constructed with a vehicle turnaround in accordance with City engineering and fire department standards. 15. The driveway access for the existing house on Lot 12 shall be relocated from Lexington Way to the adjacent private street. 16. The developer shall be responsible for obtaining all necessary permits for work associated with this development within Dakota County right -of -way. 17. The driveway way access to Lots 5 and 6 should be widened to 15 feet at the entrance from the private street along with the driveway to Lot 7 for fire truck access. ?.0 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 8 18. The developer shall provide a declaration establishing the private streets, in a form acceptable to the City Attorney. 19. The developer shall establish a homeowner's association for the maintenance of the private streets, rain gardens and ravine stabilization and provide evidence of the same in a form acceptable to the City Attorney. 20. The developer .shall grant the City a conservation easement over the ravine area in a form acceptable to the City Attorney. All voted in favor. Motion carried 4 -0. Member Hansen moved, Member Leeder seconded a motion to recommend approval of a Variance to the front Setback on Diffley Road of 0 feet for the existing home and an 18 foot front setback from the private road on Lot 12, Block 1, Evergreen Enclave subject to the following conditions: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. 2. The variance shall only apply to the existing building on Lot 12, Block 1, Evergreen Enclave. All voted in favor. Motion carried 4 -0. Member Leeder moved, Member Bendt seconded a motion to recommend approval of a Variance to allow construction of drives without curb and gutter for Evergreen Enclave Addition, subject to the following conditions: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. All voted in favor. Motion carried 4 -0. 9i City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 9 Member Leeder moved, Member Bendt seconded a motion to recommend approval of a Variance to allow lots 2 through 6, lots 9 and 10, without public street frontage, subject to the following conditions: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. 2. The variance only applies to Lots 2 through 6, 9 and 10. All voted in favor. Motion carried 4 -0. SUMMARY OF REQUEST Subdivision: PLANNING REPORT CITY OF EAGAN REPORT DATE: April 22, 2004 CASE: 22- PS- 03 -03 -04 22- EZ- 03 -03 -04 APPLICANT: Rich Ragatz HEARING DATE: April 27, 2004 PROPERTY OWNER: The Krisnik's APPLICATION DATE: March 18, 2004 REQUEST: Rezoning, Preliminary Subdivision PREPARED BY: Sheila Cartney LOCATION: 4195 Lexington Way South COMPREHENSIVE PLAN: LD, Low Density ZONING: A, Agriculture The applicant requested approval of a Rezoning of 7.62 acres from Agriculture to R -1, Single Family Residential and a Preliminary Subdivision (Evergreen Enclave) to create 12 single family lots at property located at 4195 Lexington Way South, in the SE I A of Section 22. AUTHORITY FOR REVIEW Rezoning: City Code Chapter 11, Section 11.50, Subd. 5 states in part, 1. The provisions of this chapter may be amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two- thirds of all members of the council. 2. The City Council shall not rezone any land or area in any zoning district or make any other proposed amendment to the zoning ordinance without first having referred it to the planning commission for its consideration and recommendation. City Code Section 13.20 Subd. 6 states that "In the case of platting, the Planning Commission and the Council shall be guided by criteria, including the following, in approving, denying or establishing conditions related thereto: 93 Planning Report — Evergreen Enclave April 27, 2004 Page 2 A. That the proposed subdivision does comply with applicable City Code provisions and the Comprehensive Guide Plan. B. That the design or improvement of the proposed subdivision complies with applicable plans of Dakota County, State of Minnesota, or the Metropolitan Council. C. That the physical characteristics of the site including, but not limited to, topography, vegetation, susceptibility to erosion and siltation, susceptibility to flooding, water storage and retention are such that the site is suitable for the type of development or use contemplated. D. That the site physically is suitable for the proposed density of development. E. That the design of the subdivision or the proposed improvement is not likely to cause environmental damage. F. That the design of the subdivision or the type of improvements is not likely to cause health problems. G. That the design of the subdivision or the improvements will not conflict with easements of record or with easements established by judgment of court. H. That completion of the proposed development of the subdivision can be completed in a timely manner so as not to cause an economic burden upon the City for maintenance, repayment of bonds, or similar burden. I. That the subdivision has been properly planned for possible solar energy system use within the subdivision or as it relates to adjacent property. (Refer to City Handbook on Solar Access). J. That the design of public improvements for the subdivision is compatible and consistent with the platting or approved preliminary plat on adjacent lands. K. That the subdivision is in compliance with those standards set forth in that certain document entitled "City of Eagan Water Quality Management Plan for the Gun Club Lake Watershed Management Organization" which document is properly approved and filed with the office of the City Clerk hereinafter referred to as the "Water Quality Management Plan". Said document and all of the notations, references and other information contained therein shall have the same force and effect as if fully set down herein and is hereby made a part of this Chapter by reference and incorporated herein as fully as if set forth herein at length. It shall be the responsibility of the City Clerk to maintain the Water Quality Management Plan and make the same available to the public." 9� Planning Report — Evergreen Enclave April 27, 2004 Page 3 BACKGROUND /HISTORY The site is a legal tax parcel that is not platted. The site contains 7.6 acres. EXISTING CONDITIONS The site is heavily wooded and is split with a steep ravine running east -west draining through the Caponi Art Park into Patrick Eagan Park. There is a single family home, built in 1968, located on the southeast comer of the lot and a detached accessory structure on the northeast corner of the lot. Access is via Lexington Way, each structure has a separate entrance from Lexington Way. The house is currently connected to City sewer and water. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST Staff is concerned that the preservation of the existing home will be out of character with the new homes. Preserving the existing home requires variances to hardships that are created by the developer. Compatibility with Surrounding Area — The property to the north is zoned R -1, single family residential. The property to the south is parkland and the proposed town home development of Lexington Ridge. Rezoning the property to R -1, single family residential would be consistent with the zoning and development of the west side of Lexington Way. The proposed use is consistent with the Land Use Designation of Low Density 0 -4 units /acre. Airport Noise Considerations — The subject site does not fall within an airport noise area. Existing Use Zoning Land Use Designation North Single Family Residential R -1, Single family residential LD, Low Density South Lexington/Diffley Athletic fields/ Lexington Ridge P, Park/ PD, Planned Development P, Park/LD, Low Density East Commercial/retail PD, Planned Development RC, Retail Commercial West Park P, Park P, Park Planning Report — Evergreen Enclave April 27, 2004 Page 3 BACKGROUND /HISTORY The site is a legal tax parcel that is not platted. The site contains 7.6 acres. EXISTING CONDITIONS The site is heavily wooded and is split with a steep ravine running east -west draining through the Caponi Art Park into Patrick Eagan Park. There is a single family home, built in 1968, located on the southeast comer of the lot and a detached accessory structure on the northeast corner of the lot. Access is via Lexington Way, each structure has a separate entrance from Lexington Way. The house is currently connected to City sewer and water. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST Staff is concerned that the preservation of the existing home will be out of character with the new homes. Preserving the existing home requires variances to hardships that are created by the developer. Compatibility with Surrounding Area — The property to the north is zoned R -1, single family residential. The property to the south is parkland and the proposed town home development of Lexington Ridge. Rezoning the property to R -1, single family residential would be consistent with the zoning and development of the west side of Lexington Way. The proposed use is consistent with the Land Use Designation of Low Density 0 -4 units /acre. Airport Noise Considerations — The subject site does not fall within an airport noise area. Planning Report — Evergreen Enclave April 27, 2004 Page 4 Density — The proposed development has a net area of 6.24 acres. The proposal is for development of 12 single family lots, the net density is 1.98 units /acre. The proposed density is consistent with the guide plan of 0 -4 units /acre. Lots — The lots range from12,563 square feet to 27,133 square feet. The minimum lot size in an R -1 development is 12,000 square feet all 12 lots comply with this minimum standard. The existing house is proposed to stay on Lot 12, with a 0 foot building setback off Diffley Road right -of -way if the County approves a variance from the right -of -way dedication requirement. The proposed 0 foot setback also requires a variance from City setback requirements. The applicant did not provide a hardship for this request. The existing house was built in 1968, staff has some concerns with the existing house being out of character within this development, in addition by keeping the house there is a need for setback variances from Diffley Road, the proposed private road and a deviation from the County right -of- way dedication standards. The applicant indicated the current home owners will not be residing at the existing home. Outlot A will be dedicated as park property. The code also requires that each lot have a minimum of 50 feet of public street frontage. Because proposed lots 2 -6, 9 and 10 do not have any public street frontage, a variance is necessary to allow lots without public street frontage. Setbacks — All R -1 setbacks are proposed to be met with this development, with the exception of Lot 12. Lot 12 proposes to have a 0 foot setback from Diffley Road where a 50 foot setback is required, and an 18 foot setback from the private Road where a 20 foot setback is required. The proposed 0 foot setback requires a variance. A front setback of 20 feet is proposed, the roads are private dead end roads (with turnarounds in lieu of cul -de -sacs, which allow for a 20 foot setback. The principal structure side yard setback is 10 feet and rear yard setback of 15 feet. Any accessory structure side yard and rear yard setback is five feet. Building Coverage — The City Code limits overall building coverage in an R -1 district to 20 percent. All of the proposed lots should easily comply with this standard. Grading — The site is heavily wooded with steep topography in areas, with elevations ranging from 980 to 900. The areas of steep topography include the existing ravine that extends through the middle of the site from east to west. Due to the steep topography, City staff is concerned about the ability to maintain adequate temporary and permanent erosion control measures with development. The developer should be responsible for installing and maintaining erosion control measures in accordance with City engineering standards. The development is subject to the City's codified land disturbance and erosion control regulations. Storm Drainage — Storm water runoff is proposed by the developer to be accommodated by on- site "low- impact development" measures in an attempt to eliminate the traditional storm sewer piping that may concentrate the runoff to the ravine area, causing erosion problems. The low 96 Planning Report — Evergreen Enclave April 27, 2004 Page 5 impact options proposed to reduce storm water runoff from this development include rain water gardens, infiltration basins, and grassy swales. These options create low areas within the development that are designed to hold and slowly infiltrate runoff, but their efficiency is highly dependent upon the site's soil type, detention time and the proper on -going maintenance such as sediment removal and vegetation preservation. These features are generally not utilized within a typical suburban development, the City of Eagan does not currently have a policy in place, and staff has concerns regarding their effectiveness and future maintenance assurance. The staff has concerns that high intensity runoff will not infiltrate as designed and will discharge to the ravine area of the site, potentially causing significant erosion. This development proposes to construct a series of rain water gardens, approximately 1 to 3 feet deep, along the street edges and between houses to capture runoff and allow it to infiltrate. Information has not been provided as to how they would be maintained in the future to ensure their effectiveness. If the development is approved with low- impact storm drainage options, the design, construction and provisions for future maintenance should be reviewed and approved by City staff. To divert storm water runoff from the southern private street away from the ravine area, the developer should construct public storm sewer, in accordance with City engineering standards, from the private street to existing storm sewer within Diffley Road. To reduce the potential for downstream erosion, the developer should construct measures within the ravine to limit post - development runoff rates of flow off -site to pre - development rates. These measures should cause minimal disturbance to the ravine, and may include periodic rock checkdams and vegetation plantings within the ravine. Utilities — A sanitary sewer pipe of sufficient size and capacity is available along the east edge of the site within Lexington Way right -of -way. The depth of the sanitary sewer stub is not sufficient to accommodate gravity flow to any of the basement levels of the proposed houses. In order to accommodate the sanitary flow of the proposed development and to reduce any construction disturbance to the ravine area of the site, the developer will be required to construct two lift stations to pump sanitary flows to the existing sanitary sewer. The developer should construct sanitary sewer lift stations and force main pipe to serve the development in accordance with City public works' standards. The developer shall provide public utility easements, in a form acceptable to the City Attorney, concerning the subject lift stations and forced main pipe. An existing water main stub is available along the east edge of the site for connection and extension of two individual water mains down each private street. They will not be looped into the development to avoid construction disturbance of the ravine. Streets/ Access/ Circulation — The developer is proposing two 26 -foot wide private streets from Lexington Way to serve all proposed properties. Pursuant to City Code 13.20, subd. 9, the City, as a general rule, does not permit landlocked parcels or parcels that are served only with private easements. The drives are proposed to be constructed without curb & gutter, allowing for the un- concentrated flow of runoff to the low - impact development rain water gardens, or infiltration basins, before discharging to the ravine area. Constructing drives without curb & gutter requires a 9 � Planning Report — Evergreen Enclave April 27, 2004 Page 6 variance from the City Code. If the variance is not granted, the drives should be constructed in accordance with City engineering standards by one of two options: 1) concrete curb & gutter with a piped storm sewer system, or 2) concrete curb & gutter with curb cuts allowing discharge to the rain water gardens or infiltration basins. The private drives should be constructed with a vehicle turnaround in accordance with City engineering and fire department standards. The driveway way access to Lots 5 and 6 should be widened to 15 feet at the entrance from the private street along with the driveway to Lot 7 for fire truck access. The driveway access for the existing house on Lot 12 should be relocated from Lexington Way to the adjacent private street. The developer shall provide evidence of a declaration establishing the private streets, in a form acceptable to the City Attorney. The developer shall also establish a Homeowner's Association for the maintenance of these private streets and provide documentation of such Homeowner's Association in a form acceptable to the City Attorney. Easements/ Permits / Right -of -Way — The proposed development is adjacent to Diffley Road (County Road 30), and therefore, subject to Dakota County plat ordinances. County right -of -way dedication guidelines indicate that the development is required to dedicate a total of 75 feet of one -half public road right -of -way for the future expansion of Diffley Road. The dedication of 75 feet of right -of -way will cause the existing house on Lot 12 to be approximately 5 feet into the right -of -way. The developer is proposing a dedication of 70 feet of right -of -way along Diffley Road. This deviation from the right -of -way guidelines will require a variance from Dakota County. If the variance is not granted, the County will not record the plat as presented. The developer should be responsible for obtaining all necessary permits for work associated with this development within Dakota County right -of -way. Water Quality /Wetlands - For this development, it is proposed to construct a series of rain water gardens, approximately 1 to 3 feet deep, along the street edges and between houses to capture runoff and allow it to infiltrate. Information has not been provided as to how they would be maintained in the future to ensure their effectiveness. If the development is approved with low - impact storm drainage options, their design, construction and provisions for future maintenance should be reviewed and approved by City staff. This proposed 7.6 -acre single - family subdivision is located in the City's J- watershed. Stormwater generated by the development will drain to the west toward Patrick Eagan Park. Because of the size and location of the parcel, this project is subject to City water quality requirements. A stormwater treatment pond with a minimum volume of 0.3 acre -feet covering a minimum area of 0.2 acres is required. Originally, the developer was proposing to route stormwater from both proposed streets to the very steep ravine that traverses the parcel from east to west. With this strategy, storm pipes would have to be buried very deep (via a wide trench) to reach the bottom of the ravine, and ?g. Planning Report — Evergreen Enclave April 27, 2004 Page 7 would have delivered stormwater to a retention area that would have to be created by damming the natural ravine. Construction of this infrastructure would have been extremely disruptive to the site, its trees and steep slopes. The likelihood of significant erosion and tree impacts with this strategy appears to be quite high. Thus, on -site stormwater treatment is not practical here. However, there is a relatively unique opportunity to explore uncommon strategies to address stormwater runoff. After consultation with City Water Resources, Forestry, and Engineering staff, the developer is now proposing to create a series of low -lying "rainwater gardens" or "infiltrations basins" between homes to collect and infiltrate stormwater runoff from both streets. The idea is to separate versus consolidate stormwater runoff —which more closely mimics natural watershed properties —and to significantly reduce runoff from a "design storm" that typically requires construction of a stormwater treatment pond. Technical designs and details of this proposal would need to be acceptable to and approved by Eagan Water Resources and Engineering staff. As is standard practice, the City requires a cash dedication in lieu of ponding for stormwater that drains off -site untreated. In this case, stormwater from impervious area of the parcel that is not captured in the "rainwater gardens" or "infiltrations basins" would be subject to a cash dedication. There are no jurisdictional wetlands associated with development of this site. Tree Preservation - A tree inventory submitted with this application indicates that there are eight hundred thirty seven (837) significant trees in the inventory. The development as proposed will result in the removal of two hundred fifty nine (259) significant trees (30.9 % of the total). According to the City of Eagan Tree Preservation Ordinance allowable tree removal for this type of development proposal (single - phase, single -unit residential) is set at 40% of the total significant trees. With a proposed removal less than the allowable amount, tree mitigation is not required for this proposal. Parks and Recreation - The proposed development is located immediately adjacent to the "Caponi East 10" parcel and across the road from Lexington - Diffley and Goat Hill Parks The current owner, Tony Caponi, has offered to sell the 10 acre parcel to the City. The Caponi parcel is located immediately adjacent to Patrick Eagan Park. The City Council previously approved the allocation of $720,000 from the Park Site Fund to go towards the acquisition of the parcel for the purpose of its preservation and potential to enhance Patrick Eagan Park. The City, in collaboration with the Trust For Public Land, recently applied for State grant funding to make up the difference between the purchase price and the approved City allocation. The westerly portion of the development site is heavily wooded and has much of the same character of the Caponi parcel. The topography of the site would greatly inhibit the development of any recreational facility or amenity. Residents of the new development would be well served by the existing park facilities located only across the road. For purposes of preservation and 99 Planning Report — Evergreen Enclave April 27, 2004 Page 8 buffering staff originally suggested to the Developer that a Park Dedication consisting of 10% (.76 acres) be made along the west boundary of the site. The Developer has since suggested that the Park Dedication be made in cash in lieu of a land dedication, however, the Developer would simultaneously donate approximately 1.39 acres of land to the City (outlot A) for park purposes. Outlot A is located along the west boundary of the site and encompasses the area originally proposed for dedication. The Development shall be responsible for a cash trails and park dedication. Homeowner's Association — Because of the private roads a Homeowner's Association is necessary for maintenance purposes. The development proposes to have rain gardens throughout the development; the association should be responsible for these gardens as well. The combination of private roads, rain garden drainage features and ravine erosion control will result in a large and non - typical maintenance burden to these 12 properties. Advisory Park and Recreation Commission — The APrC heard this development item on April 19, 2004 and recommended approval of the Preliminary Subdivision. SUMMARY /CONCLUSION The proposal is to rezone the property from Agriculture to R -1, Single Family Residential and a Preliminary Subdivision to create 12 single family lots with a density of 1.98 units /acre. The lots will be served by private streets via Lexington Way. In order to approve this proposal, four variances are necessary: Diffley Road right -of -way dedication, no public street frontage, no curb and gutter, and the setbacks from Diffley and the private street for the existing house. The developer has not provided any hardship for these variances. Other than the variances stated above, the lots comply with R -1 standards. The existing home is planned to remain on Lot 12, staff has concerns with the existing house being out of character within this development and the number of variances necessary for the home to be preserved. The hardship for the variance appears self - created by the developer. The site is heavily wooded and has a ravine that dissects the property in an east /west fashion. Storm water runoff is proposed to be accommodated by on -site "low- impact development" measures in an attempt to eliminate the traditional storm sewer piping that may concentrate the runoff to the ravine area, causing erosion problems. Low impact options exist to reduce storm water runoff from a development area, including rain water gardens, infiltration basins, and grassy swales. These features are generally not utilized within a typical suburban development, on a steep side hill. The City of Eagan does not have a policy in place, and staff has concerns regarding their effectiveness for frozen ground conditions, high intensity runoff and future maintenance. If they are not properly built or maintained, runoff will not infiltrate as designed and will discharge to the ravine area of the site, potentially causing significant erosion. Planning Report — Evergreen Enclave April 27, 2004 Page 9 The developer should construct sanitary sewer lift stations and force main pipe to serve the development in accordance with City public works' standards. County right -of -way dedication guidelines indicate that the development is required to dedicate a total of 75 feet of one -half public road right -of -way for the future expansion of Diffley Road. The dedication of 75 feet of right -of -way will cause the existing house on Lot 12 to be approximately 5 feet into the right -of- way. The developer is proposing a dedication of 70 feet of right -of -way along Diffley Road. This deviation from the right -of -way guidelines will require a variance from Dakota County. If the variance is not granted, the County will not record the plat as presented. Outlot A will be donated as park land, but will not fulfill the park land dedication. The proposed tree removal is 30.9 percent the code allows up to 40 percent removal; therefore, tree mitigation is not necessary. ACTION TO BE CONSIDERED To recommend approval of a Rezoning of 7.62 acres from Agriculture to R -1, Single Family residential for property located at 4195 Lexington Way South. To recommend approval of a Preliminary Subdivision (Evergreen Enclave) to create 12 single family lots on property located at 4195 Lexington Way South. If approved, the following conditions should apply. The developer shall comply with these standards conditions of plat approval as adopted by Council on February 2, 1993: Al, BI, 2, 3, Cl, 2, D l and El 1. The property shall be platted. 2. The Development shall be responsible for a cash trails and park dedication 3. Outlot A shall be dedicated to the City in a form acceptable to the City Attorney. 4. Tree Protective measures (i.e. orange colored silt fence or 4 foot polyethylene laminate safety netting) be installed at the Drip Line or at the perimeter of the Critical Root Zone, whichever is greater, of significant trees /woodlands to be preserved. 5. The applicant contact the City Forestry Division and set up a pre - construction site inspection at least five days prior to the issuance of the grading permit to ensure compliance with the approved Tree Preservation Plan and placement of the Tree Protection Fencing. 6. To meet City water quality requirements, the development should create a series of "rainwater gardens" or "infiltrations basins" to collect and infiltrate stormwater runoff from both streets. Technical designs and details of such structures should be acceptable to and approved by Eagan Water Resources and Engineering staff. 7. A cash dedication in lieu of ponding should be applied to impervious area of the development that contributes stormwater that is not captured in "rainwater gardens" or "infiltrations basins." 8. The developer shall construct sanitary sewer lift stations and force main pipe to serve the development in accordance with City standards. ld/ Planning Report — Evergreen Enclave April 27, 2004 Page 10 9. The developer shall construct public storm sewer, and provide utility easements for the same in a form acceptable to the City Attorney, in accordance with City Engineering standards, from the southern private street to the existing storm sewer within Diffley Road. 10. The developer shall construct two lift stations to pump sanitary flows to the existing sanitary sewer. The sanitary sewer lift station and forced main pipe should be constructed in accordance with City Public Works standards and public utility easements, in a form acceptable to the City Attorney, shall be provided concerning the subject lift stations and forced main pipe. 11. The developer shall construct measures within the ravine to limit post - development runoff rates of flow off -site to pre- development rates. These measures shall cause minimal disturbance to the ravine area. 12. The existing septic and well systems within the site shall be abandoned in accordance with City and County standards. 13. If the development is not granted the variance, the private streets shall be constructed in accordance with City engineering standards by one of two options: 1) concrete curb & gutter with a piped storm sewer system, or 2) concrete curb & gutter with curb cuts allowing discharge to the rain gardens or infiltration basins. 14. The private streets shall be constructed with a vehicle turnaround in accordance with City engineering and fire department standards. 15. The driveway access for the existing house on Lot 12 shall be relocated from Lexington Way to the adjacent private street. 16. The developer shall be responsible for obtaining all necessary permits for work associated with this development within Dakota County right -of -way. 17. The driveway way access to Lots 5 and 6 should be widened to 15 feet at the entrance from the private street along with the driveway to Lot 7 for fire truck access. 18. The developer shall provide a declaration establishing the private streets, in a form acceptable to the City Attorney. 19. The developer shall establish a homeowner's association for the maintenance of the private streets, rain gardens and ravine stabilization and provide evidence of the same in a form acceptable to the City Attorney. To recommend Approval of a Variance to the front setback on Diffley Road of 0 feet for the existing home and an 18 foot front setback from the private road on Lot 12, Block 1, Evergreen Enclave, if approved the following conditions shall apply: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. 2. The variance shall only apply to the existing building on Lot 12, Block 1, Evergreen Enclave. To recommend Approval of a Variance to allow construction of drives without curb and gutter for Evergreen Enclave Addition, if approved the following conditions apply: /Qt Planning Report — Evergreen Enclave April 27, 2004 Page 11 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. To recommend Approval of a Variance to allow lots 2 through 6, lots 9 and 10, without public street frontage, if approved the following conditions apply: 1. If within one year after approval, the variance shall not have been completed or utilized, it shall become null and void unless a petition for extension has been granted by the council. Such extension shall be requested in writing at least 30 days before expiration and shall state facts showing a good faith attempt to complete or utilize the use permitted in the variance. 2. The variance only applies to Lots 2 through 6, 9 and 10. /o3 A. Financial Obligations 1. This development shall accept its additional financial obligations as defined in the staff's report in accordance with the final plat dimensions and the rates in effect at the time of final plat approval. B. Easements and Rights- of -Wav 1. This development shall dedicate 10 -foot drainage and utility easements centered over all lot lines and, in addition, where necessary to accommodate existing or proposed utilities for drainage ways within the plat. The development shall dedicate easements of sufficient width and location as determined necessary by engineering standards. 2. This development shall dedicate, provide, or financially guarantee the acquisition costs of drainage, ponding, and utility easements in addition to public street rights -of -way as required by the alignment, depth, and storage capacity of all required public utilities and streets located beyond the boundaries of this plat as necessary to service or accommodate this development. 3. This development shall dedicate all public right -of -way and temporary slope easements for ultimate development of adjacent roadways as required by the appropriate jurisdictional agency. 4. This development shall dedicate adequate drainage and ponding easements to incorporate the required high water elevation plus three (3) feet as necessitated by storm water storage volume requirements. C. Plans and Specifications STANDARD CONDITIONS OF PLAT APPROVAL 1. All public and private streets, drainage systems and utilities necessary to provide service to this development shall be designed and certified by a registered professional engineer in accordance with City adopted codes, engineering standards, guidelines and policies prior to application for final plat approval. 2. A detailed grading, drainage, erosion, and sediment control plan must be prepared in accordance with current City standards prior to final plat approval. 3. This development shall ensure that all dead -end public streets shall have a cul -de -sac constructed in accordance with City engineering standards. /6 5i D. Public Improvements E. Permits F. Parks and Trails Dedication H. Other LTS#S STANDARD.CON 4. A separate detailed landscape plan shall be submitted overlaid on the proposed grading and utility plan. The financial guarantee for such plan shall be included in the Development Contract and shall not be released until one year after the date of City certified compliance. 1. If any improvements are to be installed under a City contract, the appropriate project must be approved by Council action prior to final plat approval. 1. This development shall be responsible for the acquisition of all regulatory agency permits required by the affected agency prior to final plat approval. 1. This development shall fulfill its park and trail dedication requirements as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. G. Water Quality Dedication 1. This development shall be responsible for providing a cash dedication, ponding, or a combination thereof in accordance with the criteria identified in the City's Water Quality Management Plan, as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. 1. All subdivision, zoning and other ordinances affecting this development shall be adhered to, unless specifically granted a variance by Council action. Advisory Planning Commission City Council Approved: August 25, 1987 September 15, 1987 Revised: July 10, 1990 /oS Revised: February 2, 1993 FINANCIAL OBLIGATION - Preliminary Subdivision - Evergreen Enclave There are pay -off balances of special assessments totaling $ -0- on the parcels proposed for subdivision. At this time, there are no pending assessments on the property for which the subdivision is requested. Based upon the study of the financial obligations collected in the past and the uses proposed for the property, the following charges are proposed. The charges are computed using the City's existing fee schedule and for the connection and availability of the City's utility system. The charges will be computed using the rates in effect at time of connection. IMPROVEMENT USE RATE QUANTITY AMOUNT Sanitary Sewer Trunk S.F. $7,468 Water Lateral S.F. 24.85/F.F. 490 F.F. 12,176 Water Trunk S.F. 7,717 /O6 $27,361 Location Map Eagan Boundary Street Centerline Parcel Area Building Footprint ® Skts fin hi. .ii t o 01.10 .0A . ROAD ji.. ir ratte aliod'ol aersto ojorm takte? 1616.4u14 IIIIIc111S o lE�® rir 111 VIM 4, am U —a R • l Li • Ism R m Q JJiIiadI ra 41 ttl whale-Lew. pabit„, • vs Subject Site UN Mu 1 tI �L e t� ®�� BEI num LNIEti IU LI• It�7 %IC 1 l d i �®� 4 Div fet l fin II FILI WP [�7 � ® i ti ® AV /�i E, %II MM u 1� ' ��i`i i! n c o n kenift0. 00 RDAs mow wuriarOPIrt A , PI 0 Irre 44, +Ai A4.64 °VP* *IL "! . 55 t � MUM! g �r� l r rte, r■f� t�fi• f•,\ rii 1 �� NB NAM NOM MIMI MI WW1 nom No— mu 9i Im ii 8 4r4 . G 0 *MOM IZENSE; 4 1051,7223 .121.7 0 txo 4 l7n W ig ellowng GSG ® ® p �E Ce 1 o 0 $� 2 :3 " ran " Lis C]l; 1.3 IL us �duui.:i IEN 1000 ®eon ®, 9 ► Vida 4 111 1e9 e��o�� e�ee� ► ra D® � � MEG7d , 316;E 0 ®E-Otio '] u l - 0 1000 2000 Feet Development/Developer: Evergreen Enclave Application: Prelim Subdivision It_ac No.: Case No. 22- PS- 03 -03 -04 city of cagan Community Development Department O M pag ER Arc ma data provided by Pre Dakota red Count OffiSI ce of View GIS and 3.t. Is curre nt base as of J p anuary 2004. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. N W +E S Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan •�. n_.._t_....,,,nf nenartmenf Parcel bas 2. ap inf69n. — °city Dakota County Land Survey Departm..t J 2003. information maintained byCity Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY 1'c.. Paean and Dakota County do not guarantee the accuracy of this information. Evergreen Enclave Case No. 22- PS- 03 -03 -04 Zoning Map til LD � rt N_____.2 R-1 t PF ��`_' Fi, HD OP A . 0 dr P W R -1 LD y, � . Current Zoning: A Agriculture 1 OP Current Land Use Designation: LD Low Density Residential 0 -4u /a PF A P� PF LD v ' �,u" 900 0 000 1260 Feet P ' P R -1 u I o ` ilid111 ors 111111E1 P r.'11 . 11k1 APP P ■ / L iii \ /� a Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan •�. n_.._t_....,,,nf nenartmenf Parcel bas 2. ap inf69n. — °city Dakota County Land Survey Departm..t J 2003. information maintained byCity Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY 1'c.. Paean and Dakota County do not guarantee the accuracy of this information. Evergreen Enclave Case No. 22- PS- 03 -03 -04 Comprehensive Guide Plan Land Use Map 1 LD � rt P ��`_' Fi, HD OP A . LD RC 1 OP Current Land Use Designation: LD Low Density Residential 0 -4u /a L 1 LD v ' �,u" P P � a I O09 0 600 1260 Feel o ` ilid111 ors 111111E1 EWE APP P jill MO i t I ni \ Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan •�. n_.._t_....,,,nf nenartmenf Parcel bas 2. ap inf69n. — °city Dakota County Land Survey Departm..t J 2003. information maintained byCity Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY 1'c.. Paean and Dakota County do not guarantee the accuracy of this information. Evergreen Enclave Case No. 22- PS- 03 -03 -04 A. ss •1 / / / / W: pn. i ww9w r n we 4411441 iYw w. w 6 ..... (KW 4 0040 -40• c,<4a 12.9 too 0 44 .0 W 400i aKUeru a.c Mo ONf7Q /i .,RbtL (ZU) Ws, n4 Beene. .ewy N■ 0/5 tM 277 'SNTXd07Z432 .21d3 221 1132.22. .2339S SNOWZ7ONO3 9NIZSI23 SA7DN9 N337f92134.7 aai es. 4 1 I -�i F r lid l 1,! i i'I! ' I : I °�' :.41.x,,' ;I a ; ; j I ,52 t i ,�l' a 7 , I. t 9 , },, . .,—, I I ,.:. ..,,, i i g I 1.t - a e r" r iF � I rr a,;Aav}� I i a s p l s il 1 Ai A i''d r .a3 ae �sa aQ It to l a '.L' a'a! a!'i! aa! a v 'r r IL . ' .. s #� j j J { • a I ra. 1 r '[r, i 1+ A1; 4i �f" ,flit Lil ; t F 44 J T � F ti K -- -� --T =, .. `Z` — �q{— Nlgy�a3lrM '�0 ,•9 '151X3 — "wr I ' ► I t' 1/ 1 I r ��1 1 I II I .1 1 ` peal /" / t s v 1 ai 121•PIPD • "MI ..411 ▪ • I WI P. ...1•1 ye. tut AO. wol Oa .411.2 Mum lollras.¢1 Mil—rit■ (L) ij avall—TEn OW) SIM 444. .14 .IN7 OMINASI &4WD,/ ONI770311 0.1.011.1 INIVS I.112t400 SS WS M-S■11.0.3“ 0// 377 '4,13d 0734.7a .3 I cIZ JrT Arrmrrirmutizzaszrafoo Z1173.11 N33113217.4S1 On< 1 .112 ikoathao • 1....n■ 7 >014..010,2 Pi .1222 t. o •-; aws—se. =IR 117 1.0 4.1 5071 awit..77 SwriLONSIO ON/770311 CCM Wave P.4 74fl ■Int V.NZAW0732.227 21d9 ■07.41114 !Mel ZUS Janata N.7.72fO2rall • 2Y11 NOZONIX.71 0 11 I I I 0 Zed N S Of 0 Ma +$I •n t•S•x i i s ) V un ."*"":"«.1.4=" Iw Y <:, T 1 wa _.01 y rl. M YV1 aMW .= r FI 1 ve// 1099-471 (tsU ya rams xn Swuu.rc S+roru TO Swi ONfl70OH • WM ITC .377 :LY7Hd O74.7Q 3M? ye , ey, N Yld OP1J YVVO Z4 T M3 NZ3YJY3d3 w ae }'z Q j S z C � _ GO U W �� l � Z ' R �,, - . \ / / n1 li 11 li II a II bear liligKri l � 111 / Ir f , },�� iii I .��u .1.a. i / , if � � 11 I I Tr -�_l` � tie ill - -../ if 09) 44% l •M • � if i , 14 „1 90 ....._.... \ '• ✓ f 1 III .. \ I / _ /i -.•-• , �� G� 1 j I \ 3 ' ' 1 1 1 (\I �` \\( - / � .� � /% / : I / / is / //� �� \ \ / ��r / /� /i /( 1 / r ;1;�' / - -r 1 1 1 1 • .ir / / , ' 1 4 ' 1 I l bw l . / / _ _ \X. ' ii , , � ` T, v � Vii . / / ,. J � 1 i � / / ... —_ l A. ti ll 1 • • • �, / // : . i + ' \''� �i �" / \ • l i d / / / J• _ - ' .c /' 3 / / .'F'i , 11 I /�/ / ,�` - °'a /sue % 1� — _ rr J ` `: \ I'; II � •.. „. , , ' ..1 Ilk / y4 � / _ `^ t\ 1 \(i \ l Pri 1 i i / /�, _/ / / i �d.E 1(\ y � � I I 1 I jl''x.... / / � � / '.i !_ ?�i� 1 1 111`,1\ [ l.' -. / / / _ �i'J i i i�!.a' .f =�` \ �' /i ./ /' . \ \� \�y,v,\'1I I'''rl II � / i __/ i- _ / jii, rte! �1i / / .�/ _ /J1W j I Ih I 1 �.- • / i / r i — /. /. '/ _ •. - ' r . .. I .I II ..: r.. as Pa LI th Z C W cc V o tth 4 .4 9L59t .t1 ,0 01 W' iii '.400 ^. a te', 4 M K .:41 90 'M N 1.1 LPye • r —_ 1 3 x ;51R $fix' 3igiI112 LL3 Pi '� 3l p a a y i RI 41] 15 1 1 R�ay111. i.gt 1101:0: i D 11 11 p a 11 i lii6111,4�51 ! 1111111 :4 ;1141;1 I; cA li �� i 5 _� i !;=T i 9: 1111411§ 154X1211;3 11g 11;248 i 3 C 4. ` /' II IITW= Pro 9099-SOP (K9) >aL 441 0 • "MU .wa waw yw.�wertt 0 wawa., CNn7C3II 1070-001 CM) 0 . 0 .4 9ts99 91+w09 ;_5 11K emers OTT '2111AVOIZA2O Xd3 NiTd TOYSNOO NONCOM SAYTJNZ N337!9YSAS l; g WWI — s € I 1 1 ( 1 €oI L I 11 Ii 11 II I 11 1 1 I A { ate j 7. 7 AN a ti .CIA NO1.3N277 111 ic IOC 1 f. emu- !WNW AIINCEINS AS./ ON/7707H t ..N S fne etts 777 'L R QU aha 1,71 ZL75 frma N77Y7112.47 1 Y 1 L 1 4 I f`>f Ii it at s .p 33 +:1ll ==za ,7. .i le== aaS =T . S I ri 3 Preliminary Subdivision Plan: 1. Proposed subdivision name is Evergreen Enclave, vicinity map see attached map for details. Owner: Joseph & Yvonne Krisnik 4195 Lexington Way South Eagan, MN 55123 (651) 454-6418 Developer: Rich Ragatz EPIC Development, LLC 3441 St. Paul Avenue Minneapolis, MN 55416 (612) 730 -2814 Surveyor/ Engineer: Randy Hedlund Hedlund Engineering 2005 Pin Oak Drive Eagan, MN 55122 (952) 203-6610 Contact Person: Rich Ragatz Epic Development, LLC 3441 St. Paul Avenue Minneapolis, MN 55416 (612) 730 -2814 Preparation Date: March 17, 2004 This is a preliminary subdivision application for Evergreen Enclave. The layout is comprised of 12 single - family residential lots (one lot will have the existing house). The only variances that I am asking for are the front yard setback of 20 feet (in order to save as many mature trees as possible) and the side yard setback (house side), for the existing house. One foot of the house will be in the future deeded right -of -way for Diffley Road and 10 feet of the house will be in the setback area. All of the lots meet the frontage width minimum of 85 feet and the minimum lot size of 12,000 square feet. As part of this development, I will be donating 1.20 acres to the City for additional parkland. In addition, a conservation easement will be placed over the ravine area behind the homes in order to preserve the significant trees. I have tried to be sensitive to the significant trees and topography by single loading the roads, using retaining walls to push the roads away from the ravine and trees, and using the ravine as a natural drainage area. C : krisnikprelimsubdiveagan. v 1 PRELIMINARY SUBDIVISION SUBMITTAL 2. See plan for benchmark, proposed subdivision boundary line is the entire site; see plan for lot boundaries, and 12 low density single family lots are proposed. See preliminary subdivision plan for details. 3. The site is comprised of one tax parcel. See site survey for dimensions. The site will consist of two private roads that cul -de -sac with 6 lots along each road. The roads are private and single loaded in order to preserve as many trees as possible. 4. Black Cherry Court is the proposed name of the southerly private road and White Oak Way is the northerly private road. Both are proposed to be 22 feet face to face with 60 -foot cul -de -sacs. 5. The site has the typical water, sewer, and electrical easements along Diffley and Lexington Way South. In addition, Dakota County is going to take 70 feet from the centerline as right -of -way. 6. Even though I am dedicating land for a City park, I plan on making a cash payment anyways. The City prefers this, and I can get a tax right off from the federal government. 7. The minimum building setback lines will be: 20 foot front yard, 10 foot side yard (house side), 5 foot side yard (garage side), and 15 foot rear yard. The width at minimum front yard setback will be 85 feet. The front yard setback is less than the typical 30 -foot setback, however, I am doing this to save as many of the mature trees as possible. 8. Subdivision summary: Lot 1 16,784 square feet Lot 2 16,463 square feet Lot 3 17,706 square feet Lot 4 18,950 square feet Lot 5 12,354 square feet Lot 6 20,971 square feet Lot 7 27,342 square feet Lot 8 21,132 square feet Lot 9 16,174 square feet Lot 10 15,457 square feet Lot 11 14,422 square feet Lot 12 13,800 square feet (existing house) Average: 17,630 square feet High: 27,342 square feet Low: 12,354 square feet 9. Right -of -Way area will be 50 feet along Lexington Way South and 70 feet along Difiley Road. The ponding area will the natural ravine with a bermed portion with a pond outlet skimmer for rate control. See Drainage Plan for details. The parkland area will be along the western portion of the site. C : krisnikprelimsubdiveagan.v 1 //6 Existing Conditions Plan: 1. The subject site does not currently have any streets, however, access is available off of Lexington Way South (two curb cuts). 2. The site is encumbered with the typical public easements such as: water, sewer, and electrical. 3. The site is currently a single - family home on a heavily wooded. The existing home will remain. 4. The site is heavily wooded. See Existing Conditions Plan and legend for details. 5. The site does not have any water bodies or wetlands within close proximity. Preliminary Site Layout: 1. Boundary lines of property with dimensions and area are on the Preliminary Site Layout. 2. Minimum building setbacks are all per the code, except for the front yard setback is 20 feet that has been reduced to save more mature trees. See Preliminary Site Layout for details. 3. The site is a proposed low density single - family development comprised of 12 high quality single- family homes with finished square footages of 2,500 square feet or more. 4. There are no on -site streets. Lexington Way South is adjacent to the east and is 100 feet wide including the right of way. Diffley Road is adjacent to the south and is 140 feet wide including the right of way. 5. The only easements on -site are the typical water, sewer, and electrical easements that are along Diffley Road and Lexington Way South in the right - of -way. 6. Parking areas will consist of on- street parking and the driveways of the single - family homes. 7. The total site area is comprised of 331,716 square feet or 7.62 acres. 8. See plan for the total green space area. 9. Impervious surface is 81,491 square feet or 24.54 % of the site. See plan for the total impervious surface area. 10. The site currently has a trail along the south side of the site along Diffley Road. No other trails or sidewalks are planned. 11. The site will not have any monument signage. 12. The site will have the typical exterior lighting. 13. The site will have three retaining walls so that more mature trees are saved. See Grading Plan for details. 14. Garbage and recyclable containers will be kept in the single - family garages. 15. Exterior air - conditioning units will be ground mounted along the sides of the homes. C : kri snikprelimsubdiveagan. v 1 //7 // Preliminary Grading/Drainage /Erosion Control Plans 1. See Plan for detailed existing and proposed contour lines. 2. See Plan for details. All units will be walkouts. 3. The site does not contain any ponds, wetlands, lakes, streams, or marshes. 4. See Plan for details. 5. See Plan for details. 6. See Tree Preservation Plan for details. 7. There are no Delineated wetlands on -site. 8. See Plan for details. Preliminary Utility & Street Plan 1. There will be two private roads on the subject property that will end in cul -de- sacs. The southerly road is proposed to be called Black Cherry Court and the northerly is proposed to be called White Oak Way with roads that are 22 feet face -to -face and 60 -foot cul -de -sacs. 2. See plan for existing utilities. 3. See plan for the proposed utilities. Park Dedication: 1. Even though dedicating parkland is not a requirement, I plan on dedicating 1.2 acres to the City for parkland and pay the park dedication fees, in addition. The City would like this and I also can get a tax benefit. Tree Preservation Plan: 1. The site contains 570 mature trees and this development will result in the loss of 249 trees for a total percentage lost of 43.7 %. 2. Any potential mitigation will be replaced on site. 3. See Tree Preservation Plan for details. Water Quality Requirements: 1. See handout for details. Wetlands Inventory/Replacement Plan: 1. There are no jurisdictional wetlands on the site (see letter for details) C : krisnikprelimsubdiveagan. v 1 //k /2-, WRITTEN NARRATIVE BACKGROUND Comprehensive Guide Plan designation: The existing and proposed comprehensive zoning is LD -Low Density (0 -4 units /acre). Zoning classification: The existing zoning classification is A- Agriculture and the proposed zoning is the same has the Comprehensive Guide Plan that is LD -Low Density (0 -4 units /acre). What I, the developer, want to do: Develop a 12 lot low density residential development that preserves as many trees as possible and uses the ravine to create natural walk -out lots that highlight this beautiful area. I want to create an eye appealing development that fits in with the neighborhood. The timing of this development is planned for the spring of 2004 and the phasing is planned for one phase due to the relatively small size. Existing land uses on the subject property: The subject property is currently comprised of a single- family home on a large heavily wooded parcel. Surrounding land uses and zoning within 660 feet: Adjacent to the east of the subject property is Lexington Way South with retail related uses across the street; adjacent to the south is an existing paved sidewalk/trail and Diffley Road; adjacent to the west is a 20 acre parcel that will be a City park soon; adjacent to the north is existing single- family homes on larger lots. Written Narrative Addressing the following questions: What impact does the rezoning have on surrounding property and land uses? It fits in well because I am being sensitive to the trees, topography and not trying to maximize the density. What impact does the rezoning have on the subject property? It allows the subject to be developed to its highest and best use. What impact does the rezoning have on City services, such as sewer, water, stormwater run -off and roads? Minimal impact. Does the requested land use proposed by the rezoning result in a better use of the land? Explain. Yes it does! It is a sensitive development that the Seller, City, and Developer can be proud of when it is all finished. 1/7 /5 JOINT ADVISORY PLANNING COMMISSION /ADVISORY PARKS & RECREATION COMMISSION WORKSHOP MEETING NOTES JUNE 10, 2004 5:30 P.M. ATTENDANCE: APC Members Chair Heyl; Vice -Chair Bendt; Secretary Gladhill; Leaders, Hansen, Chavez, and Dugan; APrC Members Davis; Peterson, Pletcher, Filipi; Bari; Danner; Perry; Lodhi; and Hansen; Mike Ridley, City Planner, Sheila Cartney, Planner; Jon Hohenstein, Community Development Director, Russ Matthys, City Engineer, John Gorder, Assistant City Engineer; Eric Macbeth, Water Resources Coordinator; Gregg Hove, Forestry Supervisor; Paul Olson, Parks Superintendent; Jeff Asfahl, Recreation Superintendent; and Cherryl Mesko Administrative Coordinator. City Planner Ridley outlined the agenda and workshop cover memo prepared by Park Superintendent Olson and himself. He explained the purpose of the meeting and that City Engineer Russ Matthys and Assistant City Engineer John Gorder would discuss specific issues related to the Evergreen Enclave development proposal. Russ Matthys gave an overview of the items to be discussed and Assistant City Engineer Gorder reviewed his June 8, 2004 memo with the Commission. Specifically, Mr. Gorder explained issues relating to the sanitary sewer lift stations and the private sanitary sewer pump options proposed by the developer. Rain gardens and the operation and maintenance of same were discussed as well as a storm sewer option provided by the developer. Mr. Gorder went on to discuss the dead -end water main portion of the proposal, the unique characteristics of the ravine that bisects the site in an east to west fashion, and lastly discussion relative to the private street system proposed by the developer. Commissionmembers questioned and discussed the ability of the lift stations to be maintained privately by the homeowners' association. City Planner Ridley informed the group that the lift stations, because they serve multiple properties, must be located within a public easement and be publicly maintained. City Engineer Matthys clarified that the rain gardens as proposed are in lieu of storm sewer piping. The concept of including rain gardens in this development was initially strongly supported by the APrC. After better understanding the implications of the long term maintenance challenges, both by the homeowners and City of Eagan, along with the potential of erosion control and tree loss on the site, APrC members concurred that this was not the optimum site to experiment with rain gardens. Chair Davis opined that he would rather look at a future opportunity for rain gardens to succeed rather than see the experiment fail on this site. Planning Commission Chair Heyl asked the developer to respond to the issues raised as part of a more stringent review of the proposed utilities for the development. Rich Ragatz, Epic Development, stated that altemate plans had been reviewed that would eliminate the dead -end water main, provide storm sewer pipe to carry runoff, etc., with the result being significant loss of trees on the site. Other members were concerned with the topography, soil, and the high potential of erosion of the ravine. Randy Hedlund, Engineer for the developer, agreed with the rain garden issues discussed by the City's Engineering Department and stated that given the soil conditions and topography, he considered the use of rain gardens a dead issue. Discussion regarding developing the site with no variances led Commissionmembers to conclude that the entire site would need to be graded and would lead to almost total tree removal, which was not an acceptable alternative. APrC members noted that given the challenges identified, it would, however, be important to keep public services on the site but were not comfortable with the level of development proposed because of the mitigation and long -term maintenance that would be required. Commissionmembers were skeptical of the proposal due to all the obstacles previously stated and generally stated their lack of support for the Evergreen Enclave development unless the lot count was drastically reduced. Planning Commissionmember Chavez stated that the site is clearly developmentally challenged and he would be in favor of a revised development plan that contained a maximum of 4 -5 lots. Mr. Ragatz shared his disappointment with the outcome given the time and effort he and his engineer put into the project, but acknowledged the difficulty of developing infill properties generally, and this site in particular. Agenda Information Memo June 15, 2004, Eagan City Council Meeting C. REZONING — CEDARSTONE DEVELOPMENT ACTIONS TO BE CONSIDERED: To approve (OR to direct findings of fact for denial) a Rezoning of five acres from Agriculture to R -2, Residential Double for property located at 1055 Wescott Road. REQUIRED VOTE FOR APPROVAL • Majority of Quorum FACTS: • This item was continued from the June 1, 2004 City Council meeting to the June 15, 2004 meeting as requested by the applicant. • No development is proposed at this time; however, the conceptual site plan shows a twin home development that is consistent with low density Guide Plan designation of 0 -4 units /acre. • The property surrounding the subject site contains single family detached uses. • The property to the west is currently requesting rezoning to R -1, Single family residential. • The Advisory Planning Commission held a public hearing on April 27, 2004 and is recommending denial. ISSUES: • The APC had concerns about the compatibility and consistency of the twin homes with the surrounding single family uses. • There was significant opposition from the surrounding neighbors. 60 DAY AGENCY ACTION DEADLINE • July 17, 2004 — City extended 60 day deadline ATTACHMENTS (5): � Advisory Planning Commission Minutes page(s) /3 ' Planning Staff Report pages/j5 /3 E -mail from neighbor on pages/ Memo from the applicant page through ar Attached without page number is the developer's Power Point and Company brochure City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 2 A. REZONING — CEDARSTONE DEVELOPMENT A Rezoning of approximately five acres from A, Agriculture to R -2 Residential Double, located at 1055 Wescott Road in the SW 1 /4 of Section 14. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated April 22, 2004. She noted the background and history. Clark Wicklund, Alliant Engineering addressed the following concerns that were expressed at the neighborhood meeting: prevention of additional rezoning to commercial or retail by other applicants, this project being a multifamily home project, and traffic volumes on Lexington Avenue and Wescott Road. Patrick , Cedarstone Development Company explained that the project would be an upscale development. He discussed his intention to preserve trees during the development process and also explained that the surrounding property values would not be negatively affected. Cletus , Cedarstone Development Company explained the design of their product and stated the project would be an up scaled development. Chair Heyl opened the public hearing. Bob McDonald of McDonald Construction and property owner to the west stated concern with the size of the proposed homes, amount of impervious surface, and flexibility of home design. Fred Ruppe, 3704 Cardinal Way stated concern with the location of the proposed roadway in the rear of his home. Sue Vruno, 3708 Cardinal Way stated concern with possible future development, if this proposal is used as an example. Jerry Westbrook, 3712 Cardinal Way stated concern for the illusion that "empty- nesters" would be the only buyers of the homes. He also stated concern for the pathway that emergency vehicles would be expected to use. Steve Wolfrath, 3720 Cardinal Way explained that he purchased his property based on the current zoning, therefore stated objection to the proposal. Dan Enders, 3716 Cardinal Way stated objection to the rezoning of the property. Monique Clark, 3753 Greensboro Drive stated concern for the natural ponds and drainage in the area. Steven Faith, 3700 Cardinal Way agreed with previous statements from residents and stated additional concern for the preservation of vegetation. City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 3 Chuck Levin, Project Architect discussed the design of the project. He displayed the current location of the 200 trees that are six inches or larger. Kathryn Rudd, 3690 Cardinal Way asked for details on Eagan's commitment to preserving the greenways. There being no further public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Chair Hey! expressed that in order for all three areas to blend together, the proposed area should be developed as a single family development. Member Leeder explained the demand for "empty- nester" type developments; however he stated this area is not the right fit for that type of development. He agreed with Chair Heyl in that all developments in this area should blend together. Member Bendt stated agreement with Chair Heyl and Member Leeder. Member Hansen stated there is a perceived need for the proposed type of housing, however, he questions if the need is truly present. Community Development Director Jon Hohenstein explained that there is a market interest for this type of development, however there is not a specific study that determines the need for this type of home. Chair Heyl stated her reason for denial of the proposal will be: the development is not compatible with surrounding developments nor is it consistent with the area. She stated the three remaining areas should work together to determine access, and traffic levels. Member Bendt moved, Member Leeder seconded a motion to recommend denial of a Rezoning of approximately five acres from A, Agriculture to R -2 Residential Double, located at 1055 Wescott Road in the SW 1 /4 of Section 14. All voted in favor. Motion carried 4 -0. REPORT DATE: April 22, 2004 CASE: 14- RZ- 05 -03 -04 APPLICANT: Cedarstone Development Co. HEARING DATE: April 27, 2004 PROPERTY OWNER: Meg Tilley APPLICATION DATE: March 19, 2004 REQUEST: Rezoning PREPARED BY: Sheila Cartney LOCATION: 1055 Westcott Road COMPREHENSIVE PLAN: LD, Low Density Residential ZONING: A, Agriculture SUMMARY OF REQUEST The applicant is requesting approval of a Rezoning of five acres from Agriculture to R -2, Residential Double on property located at 1055 Wescott Road in the SW 1/4 of Section 14. AUTHORITY FOR REVIEW Rezoning: City Code Chapter 11, Section 11.50, Subd. 5 states in part, 1. The provisions of this chapter may be amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two- thirds of all members of the council. 2. The City Council shall not rezone any land or area in any zoning district or make any other proposed amendment to the zoning ordinance without first having referred it to the planning commission for its consideration and recommendation. BACKGROUND /HISTORY The subject property is not platted. EXISTING CONDITIONS PLANNING REPORT CITY OF EAGAN Planning Report — 1055 Wescott Rd April 27, 2004 Page 2 The site is heavily wooded; a single family home and a pole barn are present. Access is via Wescott Road. There is a large pond in the middle of the site. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: * The property to the west of the subject site is a so requesting approval of a rezoning, the request is to rezone to R -1, Single family residential. EVALUATION OF REQUEST Proposal — Development is not proposed at this time, but a concept plan was submitted with this application. The concept plan shows eight twin homes around the existing pond. Access via Wescott Road with three private roads, the main private road would access the other two private roads that would access the twin homes. Compatibility with Surrounding Area - The subject site is currently surrounded with single family residential uses. Properties to the north and south are fully developed. The property to the east and west are zoned Agriculture and have potential to be developed further. Rezoning the subject property to R -2 allows for further development of this lot. The subject site has a Comprehensive Land Use Designation of Low Density Residential (0- 4u/a). The concept plan indicates the twin home proposal can achieve the required density. While a twin home development maybe compatible with the area, it would introduce twin homes into an area completely surrounded by detached single family. SUMMARY /CONCLUSION The applicant is requesting to rezone five acres from Agriculture to R -2, Residential Double with intentions of a future twin home development. The proposed density is consistent with the land use designation of 0 -4 unit/acre. The properties to the north and south are fully developed with detached single family residences. The property to the east and west are zoned Agriculture and have potential for future development. The property directly to the west is requesting a rezoning to R -1, Single Family Residential. The concept plan demonstrates compatibility with the ia6 Existing Use Zoning Land Use Designation North Single family residential PD, Planned Development LD, Low Density residential 0 -4 u/a South Single family residential PD, Planned Development LD, Low Density residential 0 -4 u/a East Single family residential A, Agriculture LD, Low Density residential 0 -4 u/a West* Single family residential A, Agriculture LD, Low Density residential 0 -4 u/a Planning Report — 1055 Wescott Rd April 27, 2004 Page 2 The site is heavily wooded; a single family home and a pole barn are present. Access is via Wescott Road. There is a large pond in the middle of the site. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: * The property to the west of the subject site is a so requesting approval of a rezoning, the request is to rezone to R -1, Single family residential. EVALUATION OF REQUEST Proposal — Development is not proposed at this time, but a concept plan was submitted with this application. The concept plan shows eight twin homes around the existing pond. Access via Wescott Road with three private roads, the main private road would access the other two private roads that would access the twin homes. Compatibility with Surrounding Area - The subject site is currently surrounded with single family residential uses. Properties to the north and south are fully developed. The property to the east and west are zoned Agriculture and have potential to be developed further. Rezoning the subject property to R -2 allows for further development of this lot. The subject site has a Comprehensive Land Use Designation of Low Density Residential (0- 4u/a). The concept plan indicates the twin home proposal can achieve the required density. While a twin home development maybe compatible with the area, it would introduce twin homes into an area completely surrounded by detached single family. SUMMARY /CONCLUSION The applicant is requesting to rezone five acres from Agriculture to R -2, Residential Double with intentions of a future twin home development. The proposed density is consistent with the land use designation of 0 -4 unit/acre. The properties to the north and south are fully developed with detached single family residences. The property to the east and west are zoned Agriculture and have potential for future development. The property directly to the west is requesting a rezoning to R -1, Single Family Residential. The concept plan demonstrates compatibility with the ia6 Planning Report — 1055 Wescott Rd April 27, 2004 Page 3 neighborhood but is not consistent with the surrounding detached single family developments. The appropriateness of the rezoning is a policy matter for City Officials to determine. ACTION TO BE CONSIDERED To recommend approval (Or denial) of Rezoning of five acres from A, Agriculture to R -2, Residential Double with the intention to develop with twin homes in the future for property located at 1055 Wescott Road. JR En Cri IIMI NEI . g �i u v7v dila ® 3 M :4 ►l® t, vggewerfac %„,„_;a1;lik?"9 S. Q r file to Sift Ile% ® � ' ®. Pra t< OSMIUM. Mt., Imita oa LIMOS'.. SOL VIVA FiXia tr‘NINEZEZEI VitEINFZEZu Min 4711110 =MI IMIVJ ettlataiAltramkt 41017 Lating31 1:1100, 110 C111 i 4 3 7 36, i ce ® �,� Lam Ezno �i�� ri ; tt,. L. 0 0 MIN WM 0 Ewa u: IhU LWL1 uI ®W1 ORM rant MUM V paaovgQ��'�'a L7 � t ea d® C��GCu6 u tuna ® [Cp7��C'�pa�0 a 'Cie mrt pirsaitr 664 171RSIVil emmIs Z°�ma t © � w ®� ® 5 raViamy 4� ®9 Ma Amu M V VO LUMP GECGt7ISID °i77GI®S P E Fail e liVIA■101sitl Mika rativ G; tA WI t 4V 4 1 * lots 1 ktt ora Ott ma M FIN L� 1p or r<, GDif ee� P 4irti city of cagan Location Map 1000 0 Development/Developer: Cedarstone Development Application: Rezone e No.: Case No. 14- RZ- 05 -03 -04 ap Prepared using ERSI AtcView 3.1. Parcel base map data provided by Dakota County Office of GIS and is current as of January 2004. 1000 THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. Eagan Boundary A/ Street Centerline 1 Parcel Area r i,'; Building Footprint 2000 Feet (J Current Zoning and Comprehensive Guide Plan Land Use Map Current Zoning: A Agriculture 600 Zoning Map 000 1200 F..l A Ikin ammo miff Ai Nat Al *m ► oIII A PF R1UII11iiiiiI1/,/! 111" j .1 FLL4i Al i 1 NM .ili 4,; !E V i 15 Li X 11 �����r1♦� • ♦" Comprehensive Guide Plan Land Use Map Current Land Use Designation: LO Low Density Residential 0 -4u /a 600 600 City of Eagan Community Development Department 1200 F..t LD C raplqi it IOW NMI Rawl mew dr *1t p► iiiaiiS t a w LD ' . , • • 1.1 MA LD OP MBE IMO MEM M IN C. k LJ � LL 1Rp I ��, ��r Is Imo imilminw . 41I 411# 734e# ./ limumi104 4 4 agyesAatt Parcel se map Informatl T•videdby Dakota County Land Survey Departmett June 2003. -• ng information maintained byCity Staft THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. Cedarstone Development Case No. 14- RZ- 05 -03 -04 cP.DARSTON i DEVELOPMENT PATRICK 1•LALr L •• 'w me l ever.sV f 10' -0" SETBACK FROM RIGHT OF WAY 50' -0" ROAD R -O-W 30' -0" SEWER EASEMENT CEDARSTONE OF WESCOTT 330-0" a/a •-- -< — owl � . - - - - ' 3 /,30 GUEST PARKING AND TURNAROUND 11I'i3 "% 10'-0' SETBACK 2034 TREE KEY TYPE SIZE 0'• 9 "DIA • 10"•19'DIA 4 20" - 29" DIA • 30"- 39 "D1A • 40" AND OVER SEE SURVEY FOR EZACTSIZE AND SPECIES TREE REMOVAL 1. A CERTAINPEACENTAOE OF CALIPER EMOVED 1d0"..9 • VERIFY) 2. TREES SHOWN WITHIN nose OR BUADING PERIMETERS TO OE REMOVED — EXISTING STORM WALKING PATH 30' -0" SETBACK FROM POND BUILDABLE AREA 148.200 SF AREA WITHIN SETBACKS 41,180 SF PONDSETBACK 107.020 SF USEABLE UNIT SIZE UMTS SHOWN VARY IN SIZE FROM 1.456 SF • 1.683 SF SITE AREA TOTAL SITE AREA = 217.808 SF = 5.0 acres 170,800 SF SITE AREA NOT INCLUDING ROAD RIGHTS OF WAY 28,159 SF WETLAND x.90 25,343 SF 90% 01 WETLAND DEDUCTION 145457 SF AREA AVAILABLE FOR LOT SIZE CALCULATION (3 34 acres) AT 7.500 SF PER UNIT, 19 UNITS ARE PERMITTED COMPREHENSIVE PLAN ALLOWS 4 UN /TS /ACRE = 20 UNITS 3.16.(14 tit rg NORTH What you want to do; timing/phasing Existing land uses on subject property Wescott Oaks Project Narrative Comprehensive Guide Plan designation (existing and proposed) The subject property currently has a Comp Plan designation of LD -Low Density (0 -4 units /acre). The development plan proposes to construct 16 residential double housing units on approximately 5.0 acres, which results in a density of 3.2 units /acre. Therefore, the project complies with the existing land use designation and an amendment will not be required. Zoning classification (existing and proposed) The subject property is currently zoned A — Agricultural. The development plan proposes to rezone to PD- Planned Development due to multiple housing units located within a single parent parcel and adhere to an underlying R -2 (Residential Double) zoning for net buildable area analysis and setback criteria. The project proposes to commence with clearing and grubbing of the subject area upon City Council approval of the Preliminary plat and Development Agreement. A September start date would allow for construction of footing and foundation systems for the most southerly units adjacent to Wescott Road. Construction of the remaining units would be market driven, though would most likely be completed within 1 -2 years due to anticipated demands. The majority of the subject area is primarily undeveloped and heavily wooded. A large wetland area occupies the central portion of the project site and amounts to approximately 0.7 acres. A one -story walkout single family home is located near the southwest corner of the property and a pole barn is located immediately west of the wetland adjacent to the midsection of the west property line. A single driveway has access onto Wescott Road. Surrounding land uses and zoning within 660 feet Review of the Comprehensive Land Use plan indicates that the subject area is surrounded by LD -Low Density residential on all sides except for approximately 3 -4 acres of QP- Quasi- Public /Institutional to the southwest in the southeast comer of the intersection of Lexington Avenue and Wescott Road. /3/ .:t < ;YE1 F, N R 1 7 ?fl 4 Review of the Zoning Map indicates the subject area is bordered by two 5 acre parcels both zoned Agricultural to the east and west. That entire area of approximately 15 acres, which is zoned Agricultural, is surrounded PD- Planned Development to the north, south and east. A limited area of R -1- Residential Single Family is located to the north and west and an area of approximately 3-4 acres is zoned PF- Public Facility to the southwest. What impact does the rezoning have on surrounding property and land uses? The proposed development plan will impact the adjacent properties in a manner typical of any property being converted from an undeveloped to developed state. City services currently serving the adjacent properties will not be adversely affected due to the projects limited scope, identical zoning and similar density. Review of the Zoning Map indicates that only 46.6 acres or 0.2% of the City of Eagan is zoned R -2 Residential Double. Therefore, the proposed development will offer another housing type not readily available in the City of Eagan. Home Owners who want to remain in the City and relieve themselves of the responsibilities associated with maintaining a larger home will have an opportunity to do so. The rezoning to Planned Development will allow adjacent land owners and members of the community to input into the ultimate design of the project given the submittal requirements for a PD, which requires building elevations and floor plans. As such, the project will be able to address individuals concerns regarding building heights and screening of vehicular movements within the site. The submittal requirements for properties zoned R -1 (Residential Single Family) does not require individual building information. What impact does the rezoning have on the subject property? Rezoning of the subject property to PD will allow for the construction of multiple two - family homes atop individual lots all located within a single parent parcel. The proposed zoning is identical to approximately 75% of the surrounding zoning and is therefore compatible. What impact does the rezoning have on City services, such as sewer, water, stormwater run -off and roads? Sanitary Sewer The proposed development will be served by an existing 8 inch diameter lateral sewer line which runs the length of the property and parallels the west property line. It is not anticipated that the 16 units proposed will exceed the available capacity of the existing system and will be verified with City Staff prior to design of the sewer system. Water The proposed development will be served by an existing watermain located in Wescott Road. An 8 inch diameter line will be extended northerly into the subject area and provide for fire suppression and domestic services. It is not anticipated that the proposed 16 units will exceed the available capacity of the existing watermain and will be verified with City Staff prior to design of her the northerly lateral extension. Stormwater The current development plan proposes to route storm water captured in common drive areas to a pond located near the northwest corner of the existing wetland. The pond will be designed in accordance with National Urban Runoff Program (NURP) design criteria and will provide both water quality and rate control functions. Rezoning to a Planned Development will require that an association maintain the common areas. As such, one entity will be responsible for the maintenance of lawns and the associated costs. Research indicates that stormwater runoff from larger areas having a single entity responsible for lawn care generally reduces the concentration of pollutants when compared to areas managed by individual lot owners, given the financial impact of providing excessive lawn fertilizer applications. As such, contaminants such as nitrogen and phosphorous typically associated with lawn maintenance will be reduced down stream from the project site. The current development plan proposes to design buildings to fit within the parameters defined by the sites natural features such as significant trees and wetlands. Furthermore, the project anticipates an "empty nest" target market, which generally prefers less lawn area and more vegetation for privacy. As such, the quantity of runoff should be equal to or less than the amount generated form a typical single family residential developments, which generally prefer larger open areas required for children. Traffic/Roads. Review of the Trip Generation manual indicates that approximately 6 trips per day per unit can be anticipated for unit types similar to two- family homes. Therefore, approximately 96 trips per day (48 in /48 out) is anticipated for the current development plan of 16 two - family housing units. This is an increase of approximately 16 trips per day (8 in/8 out) or and additional 18% when compared to an 8 unit single family development, which produces 10 trips per day per unit. Due to the projects proposed access onto Wescott Road near Lexington Avenue and the minor increase in the percentage of trips beyond single family residential, the project should not adversely affect traffic. /33 Does the requested land use proposed by the rezoning result in a better use of the land? Explain. The requested land use proposed by the rezoning is compatible with the surrounding properties and in compliance with the Comprehensive Land Use Plan. The approval process required for the requested zoning will allow adjacent property owners and residents of the community to input into the design of the project. The project will provide residents of the community wanting to remain in the City with an alternate housing type not readily available in the Community. City services will not be adversely affected. The quality and quantity of stormwater runoff may be improved when compared to a typical single family development due to the reduction in sodded areas and the associations maintenance of the common areas. Rezoning to the requested Planned Development with an underlying R -2 zoning will result in low impact, secluded neighborhood friendly, environmentally sensitive project that protects the Neighbors' values and standard of living they are accustomed to. /3� Original Message From: MgrPrideValley @aol.com [mailto:MgrPrideValley @aol.com] Sent: Monday, May 31, 2004 11:58 PM To: City Council Cc: steve.wolfrath @Thrivent.com Subject: Urgent - -June 1 City Council Meeting To: City Council Members and City Staff From: Stephen and Christine Wolfrath, 3720 Cardinal Way, Eagan MN Re: CEDARSTONE DEVELOPMENT Dear City Council Members and City Staff, I am unable to attend the City Council meeting on June 1st. I ask that this letter be read at the June 1 Council meeting as it relates to the Cedarstone Development agenda item. My house is directly north of one of the 5 acre parcels scheduled for discussion on June 1. As you consider the Cedarstone agenda item, please keep the following in mind: First, I am concerned about density. The average lot size of the properties to the North on Cardinal Way is .48 acres. (This average based on the properties that border any of the 3 undeveloped 5 acre parcels on Wescott, two of which are on the June 1st agenda). Second, I am concerned about consistency. All of the surrounding areas -- north, south, east and west - -are single family detached homes. And the other party seeking rezoning - -Mr. McDonald -- prefers R -1 as well. Please recognize that twin homes at the density proposed by Cedarstone will definitely change the character and feel of the neighborhood, and it will hurt nearby property values, especially when compared to a potential R -1 development. Third, the planning commission is in favor of R -1, not R -2, for this area. Fourth, the area is not yet platted. Given the circumstances, an R -2 approval does not seem reasonable without a plat. Fifth, the neighbors in the area are strongly opposed to an R -2 development. If attendance is light at the June 1st meeting, please recognize that multiple changes in the date of this agenda item will impact the number of neighbors who are at the meeting. I only found out by keeping in touch with the City. It was not easy to track this topic from agenda to agenda over the last month. The neighbors are strongly opposed to R -2. In short, think about what you have heard from your stakeholders on the Cedarstone rezoning- -Neighbors prefer R -1. Please review the planning commission meeting for details. The developer next door prefers R -1 -The planning commission voted unanimously for R -1 and against R -2 for Cedarstone -The only person who prefers R -2 is one property owner. For these reasons, I request that you deny the request for rezoning to R -2 for the Cedarstone development. The entire area is R -1, and there are no twin homes anywhere near this site. Sincerely, Stephen and Christine Wolfrath 3720 Cardinal Way Eagan, MN / 3s June 9, 2004 To: The Honorable Mayor and Eagan City Council Members Summary Enclosed are additional submittal items presented to City Council in preparation for the June 15 Council meeting. I'd like to summarize some of the events of the past several weeks to help understand recent delays, and how we arrived at our present position. We had a neighborhood meeting on March 10, 2004 at which time we unveiled our proposed site plan. Our Engineer, Clark Wicklund, and our Architect, Chuck Levin, were present to address technical and design issues as they arose. The community aired concerns, such as traffic, headlights, drainage, density, trees and natural areas, compatibility, and "spot zoning" issues. As best as possible, we attempted to address some of these issues and agreed to attempt to use their input to create a neighborhood that would better address all of our needs and goals. Although the Comp Plan would actually allow 19 units on the site, we reduced density to 16 units to help create open spaces. The final plan actually contains significantly more space between buildings than the subdivisions North and South of our property. We reconfigured buildings to wrap around more trees than originally planned, and intend to keep all trees along the East side of the property, around the existing pond, in the open spaces between buildings and along the West side road. We will be planting additional trees in the easement along Wescott Road. Berming and screening would protect the homes to the North from headlights and other backyard intrusions. Much of the site will be left natural with limited formal landscaping around each home. This would be an advantage aesthetically as well as providing drainage and runoff benefits. We then took our project to Planning and Zoning. Participants continued to raise the same issues we had already discussed; suggesting that the issue was really attached houses as a concept, rather than the details of our plan. Our market research has overwhelmingly reflected a need and desire for high end, high quality attached homes. It has been a successful product across the entire Metro Area, and virtually every surrounding community has more than one example of it. We have three parties already on a waiting list who want to live in Eagan, not Apple Valley, Burnsville, or Woodbury. Our designs call for one -story, low impact housing with stone and other natural exteriors. Parking and driveways are virtually all turned toward the interior. Berms and screening to the North and possibly West would make our project substantially invisible. A large wetland area already protects the East side of the property. Cedarstone Development Company, Eagan, MN /36 The neighbor to the West has already requested zoning for R -1 and has shown no willingness to work with us on a common layout, but we have positioned our roads to allow for mutual use should development there ever occur. Should he want to collaborate in the future, we would request he be required to share in the cost and upkeep of common streets and/or utilities. The property to the East has very limited building space available and might be better suited to accommodate similar housing that we are proposing. It would allow clustering of units to preserve green space which maximizing the return on a limited building area. This combined plan would allow for a product mix that would accommodate several needs. In addressing "spot zoning" issues, we can demonstrate many similar cases of single family residential surrounding, or closely surrounding attached units, in most case much more dense projects than we are proposing. We also enlisted legal counsel to confirm that what we are proposing fits into the Comp Plan and Eagan's density requirements. We realize this has been difficult for the neighbors and because of that we held another informal meeting on Monday June 7. Three neighbors attended and it turnout to be a very cordial, just sit down and talk session. We were able to explain our delays, explain the level of politics and past neighborhood issues that we were completely unaware of going into this project, and once again explain the merits of our project. We all left the meeting with a better understanding of each other, which is not to say they still would prefer it not be in their backyard and may still speak against it. That's understandable. It is also understandable, however, that we feel City Council should judge the project on its' own merits: a need for this type of housing in Eagan, it will be an asset to the Eagan community, its' adherence to the overall Comp Plan, and our feeling that we should not be penalized for past neighborhood agreements or disagreements or present ownership issues. We have a very nice project in a great location and in a great city. It is our hope you will look favorably on our project. Sincerely, WA Patrick J. Plautz, President Cedarstone Development Company Cedarstone Development Company, Eagan, MN / R/ u C -'- 0 1. `- a o 0 tn a_ LE C °v a 0 • • • ✓ ,. .: c= °_ L �� _= c c c c = T c E .n _• t Y �'F t L L C a C,: . `'. c -. c_ y ` G -D '"- E C ' C C .7- -- C • C ,S E : . _' ,.CG ! 'l - C t i ... n - n- 5_ - , L c E ', - ' d 0 V ,- - - -.7.- 4 E - E t. C_ C 3g c C 9 C -• _- „ i. 7 C ▪ .-S11.-t-1. _. L ' -1 - Y - a E ` L E 5 - _ Q G . L i. r h- S W __ S -2 v. L C' _ c c c E L . -- c c _ a W SL' N O c a E c - - __ _ J - L,. c am = - �` � - - — i c E c c -. :PEE .;_t1 c t o C c n _ c n - V= 6 -; - E -'sic, c nL - �icc '- 1 L; u_ E , z ,: c `i •� -acs cE_.� .‘,,,,..=, -= c'ot+r.,,=,a' =c`�= °3` °'s�_Q �� - c t E , - ? = =y -i -.. =. ` ' •c ` -- _ -^ in at • cc � �.� v-E Z _ - ‘37.117.:z -GE _ C - -L - " "I '"' _ ' v.L _' c-c_ 7; -4" • _ S- - ' E ° -- -. L - s c: - t c _ df Em i.ii; c 3 N L � - cci, cl' , -i.c: ' _ - - c - ce c �Ect . - aF? Y G C - L V C M t �' :1 V ` v_ C< J C $ � E E . u- _.. c Lnc st .. - '-j =c -tr r c 2-. =. i - c° Ri =° = >' Ac --- - c i - 7 - : n =- -- =mac:_ - = -r �d- _ 1: ?_- Agenda Information Memo June 15, 2004, Eagan City Council Meeting D. REZONING — ROBERT MCDONALD ACTIONS TO BE CONSIDERED: To approve (OR to direct findings of fact for denial) a Rezoning of five acres from Agriculture to R -1, Single family residential district for property located at 1085 Wescott Road. REQUIRED VOTE FOR APPROVAL • Majority of Quorum FACTS: • At the June 1, 2004 City Council meeting the applicant requested to continue this item until the June 15, 2004 meeting. • No development is proposed at this time. • The property is surrounded with single family detached uses. • The property to the east is currently requesting a rezoning from Agriculture to R -2, Residential Double. • The Advisory Planning Commission held a public hearing on April 27, 2004 and is recommending approval. 60 DAY AGENCY ACTION DEADLINE • July 14, 2004, City extended the deadline based on the continuance request ATTACHMENTS (2): Advisory Planning Commission Minutes page(s) /10 Planning Staff Report pages/ft/through /39 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 4 B. REZONING — ROBERT F. MCDONALD A Rezoning of approximately five acres from A, Agriculture to R -1, Single Family Residential, located at 1085 Wescott Road in the SW 1 /4 of Section 14. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated April 14, 2004. She noted the background and history. Chair Heyl opened the public hearing. There being no public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Chair Heyl stated her comments for the previous item should also be considered for this item. She stated she is in favor of approval of this proposal because it fits the area. Member Hansen moved, Member Bendt seconded a motion to recommend approval of a Rezoning of approximately five acres from A, Agriculture to R -1, Single Family Residential, located at 1085 Wescott Road in the SW '/4 of Section 14. All voted in favor. Motion carried 4 -0. A 14 SUMMARY OF REQUEST BACKGROUND/HISTORY The property is not platted. PLANNING REPORT CITY OF EAGAN REPORT DATE: April 14, 2004 CASE: 14- RZ- 02 -03 -04 APPLICANT: Robert McDonald HEARING DATE: April 27, 2004 PROPERTY OWNER: Same APPLICATION DATE: March 17, 2004 REQUEST: Rezoning PREPARED BY: Sheila Cartney LOCATION: 1085 Wescott Road COMPREHENSIVE PLAN: LD, Low Density Residential ZONING: A, Agriculture The applicant is requesting approval of a Rezoning from Agriculture to R -1, Single Family Residential for five acres located at 1085 Wescott Road in the SW 1/4 of Section 14. AUTHORITY FOR REVIEW Rezoning: City Code Chapter 11, Section 11.50, Subd. 5 states in part, 1. The provisions of this chapter may be amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two- thirds of all members of the council. 2. The City Council shall not rezone any land or area in any zoning district or make any other proposed amendment to the zoning ordinance without first having referred it to the planning commission for its consideration and recommendation. Planning Report — Rezoning McDonald April 27, 2004 Page 2 EXISTING CONDITIONS The site is heavily wooded, a single family home exists. Access is via Wescott Road. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: *The property to the east of the subject site is also requesting approval of a rezoning, the request is to rezone to Planned Development with anticipation of developing twin homes. EVALUATION OF REQUEST Compatibility with Surrounding Area — The subject site is currently surrounded with residential uses. Properties to the North, South and west are fully developed. The properties to the east are zoned Agriculture and have potential to be developed further. Rezoning the subject property to R -1, Single Family Residential allows for further development of this lot. The subject site has a Comprehensive Land Use Designation of Low Density Residential (0- 4u/a). R -1 zoning is compatible with this land use designation. Single family uses appear compatible with the surrounding area. Development is not proposed at this time. SUMMARY /CONCLUSION The applicant is requesting to rezone the subject property from Agriculture to R -1, Single Family Residential. The property is currently zoned Agriculture. Rezoning to R -1 could allow for future residential development of the subject site. The subject site is guided LD, Low Density residential (0 -4u/a) R -1 zoning is compatible with the land use designation. A site plan was not provided with the application and development is not proposed at this time. /42 Existing Use Zoning Land Use Designation LD, Low Density residential 0 -4 u/a North Single family residential R -1, Single family residential South Single family residential PD, Planned Development LD, Low Density residential 0 -4 u/a East* Single family residential A, Agriculture LD, Low Density residential 0 -4 u/a West Single family residential R -1, Single family residential LD, Low Density residential 0 -4 u/a Planning Report — Rezoning McDonald April 27, 2004 Page 2 EXISTING CONDITIONS The site is heavily wooded, a single family home exists. Access is via Wescott Road. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: *The property to the east of the subject site is also requesting approval of a rezoning, the request is to rezone to Planned Development with anticipation of developing twin homes. EVALUATION OF REQUEST Compatibility with Surrounding Area — The subject site is currently surrounded with residential uses. Properties to the North, South and west are fully developed. The properties to the east are zoned Agriculture and have potential to be developed further. Rezoning the subject property to R -1, Single Family Residential allows for further development of this lot. The subject site has a Comprehensive Land Use Designation of Low Density Residential (0- 4u/a). R -1 zoning is compatible with this land use designation. Single family uses appear compatible with the surrounding area. Development is not proposed at this time. SUMMARY /CONCLUSION The applicant is requesting to rezone the subject property from Agriculture to R -1, Single Family Residential. The property is currently zoned Agriculture. Rezoning to R -1 could allow for future residential development of the subject site. The subject site is guided LD, Low Density residential (0 -4u/a) R -1 zoning is compatible with the land use designation. A site plan was not provided with the application and development is not proposed at this time. /42 Planning Report — Rezoning McDonald April 27, 2004 Page 3 ACTION TO BE CONSIDERED To approve a Rezoning from Agriculture to R -1, single family residential for property located at 1085 Wescott Road. • What impact does the rezoning have on surrounding property and land uses? NONE • What impact does the rezoning have on the subject property? NONE • What impact does the rezoning have on City services, such as sewer, water, stormwater run -off and roads? NONE • Does the requested land use proposed by the rezoning result in a better use of the land? The results of the rezoning has no impact on the land as it is currently a single family home and is surrounded on all four sides by single family residentiaL • Comprehensive Guide Plan designation: LD — Low Density • Zoning classification— Existing: A - Agriculture Proposed: R -1 Residential Single Family • What do you want to do; Change the zoning on my property from (A) Agriculture to (R -1) Single Family Residential • Existing land uses on subject property — Single Family Residential • Surrounding land uses and zoning within 660 feet: R -1 Single Family Residential A — Agriculture, PD — Planned Development, PF — Public Facility (church) Location Map - -' Eagan Boundary ,/\/ Street Centerline Parcel Area J_��,�,_<' Building Footprint Ct ME. now �s � i' � ImsF �•�. ul 4111!„„, �iii�ii:`: ®tea ill re raD r • © V rai ram ram lam u - u u itisso Or y 5 N 0 0 r r11 111 71364491411 mon itd vrot *WI nt#4. ® y UML A & Cal 73 Tem yost i rr Aui AC-3 iAm Nov 0 atratr� 1111 va l e t= 4":0, o t NM WU 6 AP -14 4 01 ir- A ti ' I .. CJ 1 :J ...L fa CPO NIA '� CMM'MS bto Man L° oZ5 WC 2a 121101111/M en ii iliadrAf Tamoiffint& Wort? t �� � mt5®'�p® j Rt4,41 ay e � ®�� ® ® ® ®� ®® ® fir` ' Subject Site �' ittervie TO .0 Vt ® <& a wi lt* El mg rallitZ■V BA g a I SS rcall4 lim•Lei LW WI I. o e� CA C3 11417:10.1:41 1,1.0 pC1O ®99D���� °QM D 4 wewel emu Nkiti ir *P EA mai szazzaesfe 4 S, .24crit 1: I7� LIMED ® t. ®� 0 © ► 1 0114111/ � NCI VEN- o Lim litilat ' "j ® � /� ��' VP' EMI '4C1, or�lr� Fotte LIAO COMEANiVeliii* ti le>, ICM 10111L1 MA 4 -44EME.Mtleal rAtia 20..- • z Azt rungt OPPECED71.2111112 6 141 40:1 rEtztrf,,EM.E..PC3 LE $ C d 6 1000 u 1000 2000 Feet Development/Developer: Application: No.: Robert McDonald Rezoning 14- RZ- 02 -03 -04 city of eagan y Dako Parcel ta Cou ty Office of GIS and Is current a as of January 2004. provided THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are no responsible for errors or omissions. f w E Current Zoning and Comprehensive Guide Plan Land Use Map 600 Zoning Map Current Zoning: A Agriculture 0 600 1200 F..t 1 ■ • i i' w .i q IOW ii.11111 A 11111 1101 Im • d E2>"" PF Egum Iluir It ?NI FII4P Nom MEI IN MUM -. L13 .1!t ■.. ! � A Ama SAE W' -l= now riti" pr■ • ./N Comprehensive Guide Plan Land Use Map Current Land Use Designation: LD Low Density Residential (0 -4 units /acre) 600 600 City of Eagan Community Development Department 1200 F..t Parcel base m af "id 111111 11111 o z 1111111111 I iss .im '• E n � ���� � 111111, mos 111 regl Er OP ■ iIU1111I11l11/ //A1 - 11 L D 11 g Im � • f i -i I r I �Ij gp ar• Mgt • • LD L 3> Information ptivtdJtri ota County L.nd Survey bepartmer- Jane 2003. Zonino mation maintained byCity Staff. 2 THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. Robert McDonald Case No. 14- RZ- 02 -03 -04 N W E Agenda Information Memo June 15, 2004 Eagan City Council Meeting E. REZONING, PRELIMINARY SUBDIVISION & PRELIMINARY PLANNED DEVELOPMENT — METROPOLITAN OFFICE CONDOS LLC ACTIONS TO BE CONSIDERED: To approve (or direct findings of fact for denial) a Rezoning of four acres from LB, Limited Business to PD Planned Development for property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E. To approve (or direct findings of fact for denial) a Preliminary Planned Development to create 22 town offices, common area, and one dental office on property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E; subject to the conditions in the APC minutes. To approve (or direct findings of fact for denial) a Preliminary Subdivision (Northwood Office Condos) of 6.9 acres to create 7 lots at property located at East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E; subject to the conditions in the APC minutes. REQUIRED VOTE FOR APPROVAL • Majority * New information is in bold FACTS: • At the June 1, 2004 City Council meeting the Council continued this item to June 15, 2004, directing the applicant to provide revised plans. • The revised plans for the Office Condos provide architectural detail to the rear roof line, and the addition of cultured stone to the rear and sides of the building. • The revised plans for the Orthodontist site provide building elevations without wall signage. • An alternative Pylon Sign (Alternate A) and Monument (Alternate B) sign were also submitted for the Orthodontist site. The pylon sign is consistent with the Office Condo site, in style, colors, and materials. • At the May 18, 2004 City Council meeting the Council continued this item to the June 1 meeting in order to have time review the revised plans. • The subject site is currently vacant, wooded and contains a wetland. • The proposal is for 22 office condo units and one freestanding dental building, as part of a Planned Development a cohesive design is expected throughout the development. • Access is proposed with three access points onto Sherman Court and Marice Drive. • Tree mitigation is necessary. /4/ ISSUES: • Discussion occurred regarding the lack of design cohesiveness that is a typical expectation of the City for Planned Developments. • Revised plans for the June 1, 2004 meeting indicated one pylon sign, monument signs and small monuments signs for the Office Condo's. Two monument signs and building signage for the dental office. A memo is attached regarding these plans. The building materials are compatible and complimentary of each other. • A public hearing was held at the April 27, 2004 Advisory Planning Commission meeting where they recommended approval. • The original request is for two pylon signs, two entrance monuments and four small monuments for the office condos. The APC suggested one pylon sign for the entire Planned Development. • Typically, signage within a Planned Development is uniform and materials match those used on the building(s). The proposed building signage is not uniform with the office condos and is not consistent with City Code requirements. • On June 1, 2004, the City Council expressed concern with the appearance of the proposed orthodontist signage. The revised plans remove building signage and provide a pylon and monument alternative adjacent to I -35E. 120 Agency Action Deadline • July 16, 2004 a waiver to the Rezoning and Preliminary PD has been signed ATTACHMENTS (12): �_ /S � Advisory Planning Commission Minutes . a es /� Staff report on pages /53 through Sign/architecture Plans on pa es/ through /g6 Planning Memo on pages` hroughLiy. Attached without page num er: Signage Location Plan Birchwood Office Park Pylon Sign Birchwood Office Park Entrance Monument & Tenant signs Revised Elevations of Birchwood Office Condos Pylon Sign for Orthodontist (Alternate A) Monument for Orthodontist (Alternate B) Revised Entrance Monument for Orthodontist Revised Building Elevations for Orthodontist (no building signage) City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 15 The Advisory Planning Commission took a five - minute recess and reconvened at 8:30 p.m. H. REZONING, PRELIMINARY SUBDIVISION & PRELIMINARY PLANNED DEVELOPMENT — METROPOLITAN OFFICE CONDOS LLC A Rezoning of 4 acres from LB, Limited Business to PD, Planned Development, a Preliminary Subdivision of 6.29 acres (Northwood Office Condos) to create six Tots and a Preliminary Planned Development to allow multiple office condos on property located between Pilot Knob Road and Interstate 35 -E in the SW 1/4 of Section 10. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated April 22, 2004. She noted the background and history. Chair Heyl opened the public hearing. Clark Wicklund, Alliant Engineering discussed the trash enclosures. He stated the enclosure was proposed to be detached for the office condos because of the multiple ownership, and the enclosure for the dental site is attached, but was omitted from the plans. Gywen Secora, resident of the Commons on Marice Drive stated concern for the trees that house the birds, and the existing sidewalks. David Thompson, resident of the Commons on Marice Drive also stated concern for the population of the birds, trees, along with the traffic on Sherman Court. Chair Heyl explained the tree mitigation particulars for this property. Mr. Wicklund explained that tree preservation may be difficult in the area that the parking lot is proposed. He stated no impact to the sidewalk in question. He stated the traffic on Sherman Court and Marice Drive should be minimal. There being no further public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Chair Hey, stated tree preservation is important because of the residential homes. She stated importance of the consideration of the neighbors. She stated she would be in favor of approval, including four monument signs and one pylon sign if all conditions are met. Jennifer Eisenhuth, Orthodontist that would possibly establish her business on this property stated the signage is very important for her business. Chair Heyl explained that signage that included a phone number, viewable from the freeway would not be effective due to high traveling speeds. Mr. Eisenhuth explained that the signage on the on -ramp is more important than the signage that would be visible from the freeway. /99 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 16 Member Leeder stated the business operations are compatible with the area. He agreed that the buildings and signage should be compatible throughout the site. Member Bendt moved, Member Hansen seconded a motion to recommend approval of a Rezoning of four acres from LB, Limited Business to PD, Planned Development for property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E. All voted in favor. Motion carried 4 -0. Member Leeder moved, Member Bendt seconded a motion to recommend approval of a Preliminary Planned Development to create 22 town offices, common area, and one dental office on property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E subject to the following conditions as amended: 1. The applicant shall enter into a Preliminary Planned Development Agreement with the City that shall be recorded at the Dakota County Recorder's Office. 2. This Planned Development is for town offices and a dental building. Residential occupation /uses shall be prohibited. 3. The applicant shall enter into a Final Planned Development Agreement with the City and shall be recorded at Dakota County Recorder's Office. The following exhibits are necessary for the agreement. a. Final Site Plan b. Final Building Elevations Plan c. Final Tree Preservation Plan d. Final Landscape Plan e. Final Lighting Plan f. Final Signage Plan — freestanding and building mounted 4. All mechanical equipment shall be screened from public rights -of -way and properties with different land use designation. 5. If complaints are registered to City offices about a parking problem within this development the proof of parking shall be implemented and additional landscaping installed where necessary. 6. All trash enclosures shall be similar materials as the principal building. 7. Prior to final application, the applicant shall provide the City Council with: nd constructed with a. A detailed landscaping and tree preservation plan; b. An exterior building facade depiction showing compatibility with both the dental office and office condos; and /50 City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 17 c. A detailed sign plan depicting size and location of the one pylon sign and two (2) entrance monument signs as well as the individual business signage. All voted in favor. Motion carried 4 -0. Member Leeder moved, Member Bendt seconded a motion to recommend approval a Preliminary Subdivision (Northwood Office Condos) of 6.9 acres to create 7 lots at property located at East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E subject to the following conditions as amended: 1. The property shall be platted. 2. Maintenance of all retaining walls within the development shall be the responsibility of the development's association. 3. The developer shall construct an outlet structure and pipe system from the wetland in accordance with City engineering standards. 4. The developer shall be responsible for lowering the water main to ensure that there is 7%2 feet of ground cover between the final development grades and the top of the existing water main within the site. 5. This development shall dedicate drainage and utility easements over the existing sanitary sewer lines of a width equal to two times their depth, or 40 feet, whichever is less. 6. The developer shall be responsible for the pre - payment of the street assessment for the frontage of the proposed development adjacent to the future construction portion of Sherman Court (approximately 165 feet). 7. If any development construction or grading activity is to occur within I -35E right -of -way, the developer shall be responsible for obtaining the necessary MN Department of Transportation permits. 8. The developer shall petition, and Council action shall occur, on the vacation of Marice Drive right -of -way within the site prior to final subdivision approval. 9. The development shall satisfy any parks and trails dedications due by a cash dedication. 10. The applicant shall be required to fulfill tree preservation mitigation through the installation of fifty -four (54) Category B trees to be installed on site. 11. Tree Protective measures (i.e. orange colored silt fence or 4 foot polyethylene laminate safety netting) shall be required to be installed at the Drip Line or at the perimeter of the Critical Root Zone, whichever is greater, of significant trees /woodlands to be preserved. 12. The applicant shall contact the City Forestry Division and set up a pre- construction site inspection at least five days prior to the issuance of the grading permit to ensure /S/ City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 18 compliance with the approved Tree Preservation Plan and placement of the Tree Protection Fencing. 13. This development shall meet the City's water quality requirements by creating stormwater treatment capacity through a minimum wet -pond volume of 0.22 acre -feet covering an area of about 0.15 acres. The stormwater treatment pond should be constructed according to NURP standards with a maximum depth of 10 feet, a 10:1 aquatic bench, and an outlet skimmer according to City design standards. 14. To the extent practicable, a 30 -foot wide buffer of natural, undisturbed vegetation outside the boundary of the wetland should be maintained before, during, and after construction. 15. A Property Owner's MGMeGwReFLS Association shall be established for the maintenance of common area and provide copies of the organizational documents for review and approval to the City Attorney. 16. Lot 5 shall be incorporated into Lot 1 for common area. All voted in favor. Motion carried 4 -0. /Sd ZONING: LB, Limited Business SUMMARY OF REQUEST PLANNING REPORT CITY OF EAGAN REPORT DATE: April 22, 2004 CASE: 10- PS- 04- 03 -04, 10- PD- 01- 03 -04, 10- RZ- 04 -03 -04 APPLICANT: Korey Bannennam HEARING DATE: April 27, 2004 PROPERTY OWNER: Lawrence Wenzel APPLICATION DATE: March 17, 2004 REQUEST: Rezoning, Preliminary Subdivision PREPARED BY: Sheila Cartney Preliminary Planned Development LOCATION: East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E COMPREHENSIVE PLAN: SA, Special Area The applicant requested approval of a Rezoning of 4 acres from LB, Limited Business to PD, Planned Development and a Preliminary Subdivision of 6.29 acres (Northwood Office Condos) to create 7 lots, and a Preliminary Planned Development to create 22 town offices, common area, and one dental office on property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E. AUTHORITY FOR REVIEW Rezoning: City Code Chapter 11, Section 11.50, Subd. 5 states in part, 1. The provisions of this chapter may be amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two- thirds of all members of the council. 2. The City Council shall not rezone any land or area in any zoning district or make any other proposed amendment to the zoning ordinance without first having referred it to the planning commission for its consideration and recommendation. /53 Planning Report — Northwood Office Condo's April 27, 2004 Page 2 Subdivision: City Code Section 13.20 Subd. 6 states that "In the case of platting, the Planning Commission and the Council shall be guided by criteria, including the following, in approving, denying or establishing conditions related thereto: A. That the proposed subdivision does comply with applicable City Code provisions and the Comprehensive Guide Plan. B. That the design or improvement of the proposed subdivision complies with applicable plans of Dakota County, State of Minnesota, or the Metropolitan Council. C. That the physical characteristics of the site including, but not limited to, topography, vegetation, susceptibility to erosion and siltation, susceptibility to flooding, water storage and retention are such that the site is suitable for the type of development or use contemplated. D. That the site physically is suitable for the proposed density of development. E. That the design of the subdivision or the proposed improvement is not likely to cause environmental damage. F. That the design of the subdivision or the type of improvements is not likely to cause health problems. G. That the design of the subdivision or the improvements will not conflict with easements of record or with easements established by judgment of court. H. That completion of the proposed development of the subdivision can be completed in a timely manner so as not to cause an economic burden upon the City for maintenance, repayment of bonds, or similar burden. I. That the subdivision has been properly planned for possible solar energy system use within the subdivision or as it relates to adjacent property. (Refer to City Handbook on Solar Access). J. That the design of public improvements for the subdivision is compatible and consistent with the platting or approved preliminary plat on adjacent lands. K. That the subdivision is in compliance with those standards set forth in that certain document entitled "City of Eagan Water Quality Management Plan for the Gun Club Lake Watershed Management Organization" which document is properly approved and filed with the office of the City Clerk hereinafter refereed to as the "Water Quality Management Plan ". Said document and all of the notations, references and other /sk Planning Report — Northwood Office Condo's April 27, 2004 Page 3 information contained therein shall have the same force and effect as if fully set down herein and is hereby made a part of this Chapter by reference and incorporated herein as fully as if set forth herein at length. It shall be the responsibility of the City Clerk to maintain the Water Quality Management Plan and make the same available to the public." Planned Development: City Code Chapter 11.60, Subd. 18, A., states the intent of the Planned Development zoning district as follows: 1. Providing greater flexibility in environmental design and relaxation of strict application of the zoning ordinance in exchange for greater creativity and environmental sensitivity. Recognizing the economic and cultural advantages that will accrue to the residents of a planned community. 3. Encouraging a more creative and efficient approach to the use of the land. 4. Encouraging the preservation and enhancement of desirable site characteristics, natural features, and open space. 5. Encouraging a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. BACKGROUND/HISTORY The proposed development overlays three parcels, all of which are platted and located adjacent to Interstate Highway 35E. The subject site is located within Special Area 4. Prior to receiving the Special Area 4 designation with the Comprehensive Guide Plan Update in 2001, the site was part of the Central Area, a similar small area land use plan that was adopted in 1994. The City recently adopted amendments to the Special Area 4 land use plan, which identifies the land use for this site as O /S, Office Service. The northerly parcel is a remnant that was acquired from MnDOT by the City in 2000 in conjunction with the development proposal for an expansion of the Glen Ponds apartment complex in 2000. This parcel is currently owned by Glen Ponds III, LLC, which acquired the land from the City in exchange for right -of -way dedication for Northwood Parkway. At the time the Planned Development for the expansion of the Glen Ponds Apartment complex was approved in 2000, this parcel was also zoned PD, and designated for uses and development standards consistent with the LB, Limited Business zoning district. The two southerly parcels remained zoned GB, General Business. /SS Planning Report — Northwood Office Condo's April 27, 2004 Page 4 The two southerly parcels have been zoned GB, General Business, as far back as the mid- 1970s. The adjacent property to the west had also been zoned GB until it was redeveloped as Limited Business uses (Commons on Marice) in 1997. With a Zoning map update in September 2003, the parcels were rezoned to LB, Limited Business. Until recently, the southern two parcels subject land was owned by MnDOT. It is currently owned by Glen Ponds III, LLC, the owner /developer of the Glen Pond Apartments north of the future Northwood Parkway. Northwood Parkway has been constructed at its intersection with Pilot Knob Road, and exists as right -of -way extending to the east, but has not been constructed to the I -35E right -of -way. A future bridge overpass is planned in this location over I -35E, but funding has not been available and the project remains unscheduled to date. It is anticipated that Northwood Parkway will be constructed to its full extent in conjunction with the installation of this overpass. In 2003, a residential development proposal for the subject site was submitted and withdrawn. EXISTING CONDITIONS The site is vacant and wooded, and contains a wetland in the east central portion of the site. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST I. Preliminary Planned Development Proposal — The applicant proposes to develop the site with six two level walkout "Town office" units, and one dental office. The offices will be housed in units that have a similar appearance as attached town homes. The units are in a 5 -plex and 6 -plex formation. Each unit will be individually platted and the remaining land will be managed by a self - governed association, which will oversee the maintenance of the area. /S6 Existing Use Zoning Land Use Designation North Future Northwood Parkway; Glen Pond Apartments PD, Planned Development HD, High Density South Hotel, bank, daycare PD, Planned Development O /S, Office Service East Interstate 35E West Senior assisted living apartment/restaurant/office LB, Limited Business O /S, Office Service Planning Report — Northwood Office Condo's April 27, 2004 Page 4 The two southerly parcels have been zoned GB, General Business, as far back as the mid- 1970s. The adjacent property to the west had also been zoned GB until it was redeveloped as Limited Business uses (Commons on Marice) in 1997. With a Zoning map update in September 2003, the parcels were rezoned to LB, Limited Business. Until recently, the southern two parcels subject land was owned by MnDOT. It is currently owned by Glen Ponds III, LLC, the owner /developer of the Glen Pond Apartments north of the future Northwood Parkway. Northwood Parkway has been constructed at its intersection with Pilot Knob Road, and exists as right -of -way extending to the east, but has not been constructed to the I -35E right -of -way. A future bridge overpass is planned in this location over I -35E, but funding has not been available and the project remains unscheduled to date. It is anticipated that Northwood Parkway will be constructed to its full extent in conjunction with the installation of this overpass. In 2003, a residential development proposal for the subject site was submitted and withdrawn. EXISTING CONDITIONS The site is vacant and wooded, and contains a wetland in the east central portion of the site. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST I. Preliminary Planned Development Proposal — The applicant proposes to develop the site with six two level walkout "Town office" units, and one dental office. The offices will be housed in units that have a similar appearance as attached town homes. The units are in a 5 -plex and 6 -plex formation. Each unit will be individually platted and the remaining land will be managed by a self - governed association, which will oversee the maintenance of the area. /S6 Setback Building Parking Ordinance Proposed Ordinance Proposed Front yard: I 35E 50 feet 50 feet 20 feet 20 feet Front yard: Sherman Ct 30 feet 45 + feet 20 feet 20 feet Side yard: north property line 10 feet 50 feet 5 feet 20 feet Side yard: south property line 10 feet 90 feet 5 feet 20 feet Planning Report — Northwood Office Condo's April 27, 2004 Page 5 Access to the townoffices is proposed via Sherman Court on the south side of the development. Access to the dental office is proposed via Sherman Court near the cul -de -sac and possibly using the service drive to the Extendastay. Compatibility with Surrounding Area — This site is located within an area of mixed use with both low intensity commercial uses, and medium to high density residential uses. The proposed office land use appears compatible with the adjacent uses. Northwood Parkway will create a physical barrier between uses in the future. Consequently, the land uses north of Northwood Parkway are designated residential, consistent with already established apartments, twin homes and single family. Land uses south of Northwood Parkway are designated commercial, consistent with the light commercial uses that exist there - office, daycare, restaurant, and assisted living. Planned Development Zoning — The Planned Development zoning district allows the developer to have greater flexibility in the design of the development and the City to require higher standards in exchange for that flexibility. Typically, specific minimum and maximum zoning standards do not apply. However, the LB (Limited Business) zoning district standards are used as a basis for comparison with this proposal. Bulk Standards — Since the property is currently zoned LB (Limited Business) and Planned Development, this proposal is reviewed under the LB zoning district minimum and maximum standards. Although the rezoning request is for Planned Development zoning. Setbacks — As the table below indicates the proposal meets all of the LB standard setback requirements. Setback requirements are not established in a Planned Development zoning. Building Coverage — A maximum of 20 percent of the lot is allowed to be covered with buildings. The site plan indicates the total building coverage is about eleven percent. Green Area — A minimum of 30 percent of the site is required to be green area. The proposal will maintain 66 percent green area for the entire site. Building Height — Building height is limited to 30 feet in height. The Elevation Plans indicate the building height will be 30 feet in height for the townoffices and 34 feet in height for the dental office. Landscaping — The landscape plan submitted appears adequate for the site. The existing trees /5 7 Planning Report — Northwood Office Condo's April 27, 2004 Page 6 seem to provide a natural buffer around the site. If the proof of parking is implemented then additional screening would be required to buffer the parking. Parking — The site plan indicates 202 stalls are proposed for this development and 41 stalls shown as proof of parking. The zoning ordinance requires one stall for every 150 square feet of gross net leasble floor area. Thus, this development would require 224 stalls. The majority of the proof of parking stalls are on the town office side of the development. There are about 33 proof of parking stalls proposed for the town offices. The proposed stalls meet the 10 feet by 19 feet requirement. The city does not have a policy in place as to when proof of parking should be implemented. Staff suggests that when complaints are registered to our offices about a parking problem within this development that proof of parking be implemented and additional landscaping installed where necessary. Trash Enclosure — The trash enclosure is proposed to be detached from the principle structures for the office condos. The Zoning Ordinance requires that trash enclosures within commercial zoning districts be attached to the principal building. It appears the proposed trash enclosure occupies a parking space. The applicant did not indicate why the trash enclosure is not attached to the building. The trash enclosure should be attached to one of the buildings. The plans do not indicate the trash enclosure building materials. The materials are required to match the principle building. The site plan for the dental site does not show a trash enclosure, if there is a trash enclosure outside it should be attached to the building and match the existing buildings materials. Lighting — The office condo site is proposed to have 16 freestanding lights. The lights around the perimeter will have external rear glare shields. The lights will be 24 feet in height. The lighting plan does not indicate any light fixtures attached to the buildings. The buildings should have some type of entrance light whether that be building mounted light at each entrance or throughout the development. A revised lighting plan is required with Final Planned Development approval. The dental site is proposing seven freestanding lights, 20 feet in height. The lights around the perimeter are to have external rear glare shields. The plan does not indicate any building mounted lights. The entrances should have more lighting. A revised lighting plan is required with Final Planned Development approval. Signage Typically, signage within a Planned Development is uniform and materials match those used on the building(s). The subject site is being developed with office uses that are consistent with the Limited Business Zoning District. Office Condos — Six ground signs are proposed for the office condo portion. One pylon sign, one monument sign and four small monument/directional signs. The monument sign is located near the main entrance and is six feet in height with a sign height of five feet three inches. The Code allows a sign height up to four feet. The proposed monument sign is more of an identification sign, Birchwood Office Park of Eagan will be on the face. The sign has cultured stone columns /53" Planning Report — Northwood Office Condo's April 27, 2004 Page 7 to match the building and the face is recessed with sandblasted letters that are to be painted the sign is a limestone sign. This sign appears compatible with the proposed office condos. The four freestanding monument/directional signs will be located in front of each building. These signs are about five feet tall and 6.75 square feet. The sign has six tenant spaces on each sign. These signs will be the same design as the monument sign at the entrance. The Code allows signs over the entrance to a place of business or used to identify the parking area of a place of business, not to exceed three square feet. The monument/directional signs are to provide information as to what tenants are in each building. Although not specifically address in the Sign Ordinance it seems appropriate for some type of directional signage for this office park. The pylon sign is 27 feet tall and 107 square feet meeting code requirements. The sign is not within 300 feet of any other pylon sign. The sign will be an aluminum cabinet with poles that will be painted green. The sign identifies the office park. The sign seems to be compatible with the other signs on the site. Dental Site - The dental site is proposing two ground signs, a monument and a pylon. The double faced monument sign is located near the entrance and is five feet from the property line; freestanding signs are required to be 10 feet from the property line. The monument sign is six feet eight inches tall and 10 feet wide. The sign has one large space for the orthodontist and four tenant spaces. The proposed sign is a cabinet style that will be internally lit. The base of the sign is brick. The proposed sign does not appear to be compatible with the finished materials of the principal building. The building materials are EFIS and stone veneer. The sign should tie in architectural features of the building. The pylon sign is proposed to be located on the southeast side of the site. The sign is an aluminum cabinet with two poles and a white panaflex face. The cabinet will be backlit with high output fluorescent lighting. The sign will be painted blue. The pylon sign gives the impression of being a billboard by advertising with the phone number and being a bold color. The sign is 27 feet tall and 124.5 square feet. The pylon sign appears to be located within 90 feet of the pylon sign to the south. The City code states that "no pylon sign should be located within 300 feet of any other pylon sign, measure on the same side of the street." The pylon sign and monument sign are inconsistent in color and materials, signage in a Planned Development should be complementary of each other and have some type of uniformity. Building signage is proposed for the east and west side of the building for one tenant name on each side. A specification for building signage was not submitted and should be part of the Final Planned Development Agreement. As a Planned Development, it is expected to have a cohesive design throughout the site with architecture, signage, lighting etc. There is no consistency with the signage proposed for this site. The applicant should submit revised signage plans that reflect a uniform theme that incorporates the proposed exterior building materials throughout the site. Architecture/Building Design — According to the elevation plans for the dental building the finished materials will be EFIS and stone veneer. Colors were not identified. The office condos are proposing asphalt shingles, cement trim, culture stone around the bottom, and hard surfaced siding. Considering this is a Planned Development proposal the exterior materials should be i� 9 Planning Report — Northwood Office Condo's April 27, 2004 Page 8 similar and complimentary to each other. Staff suggests the hard surface siding be used for both proposals. The stone veneer and culture stone should be compatible. Detailed plans are required with the Final Planned Development the plans should include a color scheme. Mechanical Equipment — The site plan does not indicate the location of mechanical equipment. All such equipment shall be screened from public rights -of -way and properties with a different land use designation. Homeowner's Association - A homeowner's Association should be established for the maintenance of common area. Lot one should be conveyed to the Homeowner's Association. II. Preliminary Subdivision Lots — The applicant proposes to subdivide 6.29 acres into seven lots, five of which are for town offices, one for a dental office. Lot 1, Block 1, is proposed to be the remainder of the site and is to be maintained by the Association. No buildings are proposed for Lot 1, Block 1. Lot 5 should be combined with Lot 1 (common area). Noise Abatement — A noise abatement plan is required when a plat abuts a freeway, major arterial or other area that generates high volumes of noise. Abatement shall be accomplished by the use of berms, vegetation, walls or combination of the three. Since the site abuts I -35E, a plan should be prepared; however, the landscape plan does not appear to address noise abatement. Grading — The preliminary grading plan is acceptable. The existing site generally slopes toward the existing wetland in the east - central portion of the site with elevations ranging from approximately 898 to 876. Several retaining walls throughout the site are proposed to accommodate the development. Maintenance of these retaining walls should be the responsibility of the development's association. The proposed development grades are compatible with the planned future grades of Northwood Parkway. Storm Drainage — The preliminary storm drainage plan is acceptable with modifications. A majority of the storm water runoff from the development is proposed to drain via public storm sewer to the existing wetland in the center of the site. This wetland will then flow to an existing storm sewer system within Sherman Court, which drains to Pond CP -5 (as identified in the City Storm Water Management Plan — 1990) north of Marice Drive. The developer should construct an outlet structure and pipe from the wetland in accordance with City engineering standards. Utilities — The preliminary utility plan is acceptable with modifications. Sanitary sewer and water main of sufficient size and capacity are available within Sherman Court and the vacated right -of- way of Marice Drive for connection by the development. The grade elevation over the existing water main may be lowered with the development. The developer should be responsible for lowering the water main to ensure that there is 7 '/2 feet of ground cover between the final /60 Planning Report — Northwood Office Condo's April 27, 2004 Page 9 development grades and the top of the water main, to reduce the possibility of the freezing of the main. Streets/ Access/ Circulation — Street access is proposed throughout the development with three access points onto Sherman Court and Marice Drive to the west. Sherman Court will intersect with the future construction of Northwood Parkway. Northwood Parkway, along the north edge of the site, is identified for future street and bridge construction in the City's current Capital Improvement Program (2004 - 2008). In conjunction with this construction, Sherman Court, a local street along the west edge of the site from Marice Drive to Northwood Parkway, will also be constructed. The public right -of -way providing for the construction of Northwood Parkway and Sherman Court has been dedicated or acquired. In anticipation of this construction, the developer should be responsible for the pre - payment of the street assessment for the frontage of the proposed development adjacent to this portion of Sherman Court (approximately 165 feet). The estimated street assessment is $24,750. No assessments are proposed on Northwood Parkway, a planned major collector roadway. Easements/ Permits / Right -of -Way — Relatively deep sanitary sewer lines currently run through the site. This development should dedicate drainage and utility easement over these existing lines of a width equal to two times their depth, or 40 feet, whichever is less. The proposed development is adjacent to I -35E right -of -way. If any development construction or grading activity is to occur within I -35E right -of -way, the developer should be responsible for obtaining the necessary permits to allow for the activity. The developer's survey of the property indicates that a portion of Marice Drive right -of -way from High Site Drive to Sherman Court within the site was not vacated by previous Council action as intended with the Effress 2 Addition development in 2001. The developer should petition, and Council action should occur, on the vacation of this right -of -way prior to final subdivision approval. Wetlands/Water Quality - This 6.3 -acre development would be located in the C- watershed, in the northeast sector of the City. The developer proposes to meet the City's water quality requirements entirely by directing stormwater runoff to a treatment pond to be constructed next to a wetland on the parcel. Requirements for the volume of water quality treatment ponds are based on the imperviousness of proposed developments (i.e., the proportion of land covered by buildings, parking lots, driveways, and walks). With a proposed impervious cover of 64 percent, this development would need a pond with a minimum volume of 0.56 acre -feet to treat stormwater runoff. A wetland delineation report indicates there is a 2.9 -acre wetland on this parcel. The wetland is under jurisdiction of the Minnesota Wetland Conservation Act (WCA), which regulates draining and filling of all natural wetlands and excavation of certain types of natural wetlands. The developer proposes no impacts to the wetland. /6/ PIanning Report — Northwood Office Condo's April 27, 2004 Page 10 Tree Preservation - A tree inventory submitted with this application indicates that there are one hundred sixty-three (163) significant trees in the inventory. Most of the significant vegetation (with the exception of the oak trees) on site appears to be regrowth having occurred on a past disturbed site. The development as proposed will result in the removal of one - hundred four (104) significant trees (63.8 % of the total). According to the City of Eagan Tree Preservation Ordinance allowable tree removal for this type of development proposal (single- phase, multiple -unit commercial) is set at 47.5% of the total significant trees. With a proposed removal greater than the allowable amount, there is a required tree mitigation for this proposal. The required tree mitigation calculates to fifty -four (54) Category B trees. The applicant has submitted a tree preservation plan that indicates the fulfillment of the required tree mitigation through the installation of fifty -nine trees, (53 Category B trees, and 6 Category A trees, for an equivalent amount of 65 Category B trees). Parks and Recreation — The development is subject to cash park and trail dedication. This item was a consent item for the Advisory Park and Recreation Commission they recommended approval. SUMMARY /CONCLUSION The request is to Rezone four acres of the subject property from Limited Business to Planned Development, and a Preliminary Subdivision of 6.29 acres to create 7 lots, and a Preliminary Planned Development to create 22 town offices, common area and one dental site to the south. The offices will be part of an office park with individual ownership for each space. The site is currently vacant, wooded, and contains a wetland. The trash enclosure for the office condos is proposed to be detached and the dental site did not show an enclosure. Revised plans showing enclosures attached to the principal buildings should be submitted. The site lighting is acceptable, but should provide some type of entrance lighting. The dental site proposes a monument sign and a pylon sign. The pylon sign is within 300 feet of another pylon sign. The pylon and monument signs are inconsistent in color and building materials. The office condos are proposing six ground signs. One monument at the entrance with no tenant names and four small monuments in front of each building identifying the tenants and a pylon sign. The proposed signage for the dental site and office condo site are not compatible with each other, as part of a Planned Development a cohesive design is expected. The building materials proposed for the two developments are inconsistent. Detailed plans are required with the Final Planned Development. The proposal was reviewed against Limited Business standards because it is partially zoned LB. The majority of the standards are met with the exception of the height of the dental building, 34 feet rather than 30 feet. The site meets the parking requirements with 41 stalls as proof of /‘,2 Planning Report — Northwood Office Condo's April 27, 2004 Page 11 parking. Staff suggests that when/if complaints are registered to City offices about a parking problem within this development that proof of parking be implemented and additional landscaping installed where necessary. Street access is proposed throughout the development with three access points onto Sherman Court and Marice Drive to the west. Sherman Court will intersect with the future construction of Northwood Parkway. In anticipation of this construction, the developer should be responsible for the pre - payment of the street assessment for the frontage of the proposed development to this portion of Sherman Court (approximately 165 feet). There are 163 significant trees onsite. The developer proposes to remove 104 significant trees 63.8 percent the ordinance allows a removal of up to 47.5 percent, tree mitigation is necessary. A cash park and trail dedication is required with this development. ACTION TO BE CONSIDERED To recommend approval of Rezoning of four acres from LB, Limited Business to PD, Planned Development for property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E. To approve a Preliminary Planned Development to create 22 town offices, common area, and one dental office on property located East of Pilot Knob Road at Marice Drive between Sherman Court and I -35E. 1. The applicant shall enter into a Preliminary Planned Development Agreement with the City that shall be recorded at the Dakota County Recorder's Office. 2. This Planned Development is for town offices and a dental building. Residential occupation/uses shall be prohibited. 3. The applicant shall enter into a Final Planned Development Agreement with the City and shall be recorded at Dakota County Recorder's Office. The following exhibits are necessary for the agreement. a. Final Site Plan b. Final Building Elevations Plan c. Final Tree Preservation Plan d. Final Landscape Plan e. Final Lighting Plan f. Final Signage Plan — freestanding and building mounted 4. All mechanical equipment shall be screened from public rights -of -way and properties with different land use designation. 5. If complaints are registered to City offices about a parking problem within this development the proof of parking shall be implemented and additional landscaping installed where necessary. 6. All trash enclosures shall be attached to the principal building and constructed with similar materials as the principal building. /C3 Planning Report — Northwood Office Condo's April 27, 2004 Page 12 To approve a Preliminary Subdivision (Northwood Office Condos) of 6.9 acres to create 7 lots at property located at East of Pilot Knob Road at Marice Drive between Sherman Court and I- 35E. If approved, the following conditions should apply. The developer shall comply with these standards conditions of plat approval as adopted by Council on February 2, 1993: Al, Bl, 4, C1, 2, 4, D1,and El 1. The property shall be platted. 2. Maintenance of all retaining walls within the development shall be the responsibility of the development's association. 3. The developer shall construct an outlet structure and pipe system from the wetland in accordance with City engineering standards. 4. The developer shall be responsible for lowering the water main to ensure that there is 7%2 feet of ground cover between the final development grades and the top of the existing water main within the site. 5. This development shall dedicate drainage and utility easements over the existing sanitary sewer lines of a width equal to two times their depth, or 40 feet, whichever is less. 6. The developer shall be responsible for the pre - payment of the street assessment for the frontage of the proposed development adjacent to the future construction portion of Sherman Court (approximately 165 feet). 7. If any development construction or grading activity is to occur within I -35E right -of -way, the developer shall be responsible for obtaining the necessary MN Department of Transportation permits. 8. The developer shall petition, and Council action shall occur, on the vacation of Marice Drive right -of -way within the site prior to fmal subdivision approval. 9. The development shall satisfy any parks and trails dedications due by a cash dedication. 10. The applicant shall be required to fulfill tree preservation mitigation through the installation of fifty -four (54) Category B trees to be installed on site. 11. Tree Protective measures (i.e. orange colored silt fence or 4 foot polyethylene laminate safety netting) shall be required to be installed at the Drip Line or at the perimeter of the Critical Root Zone, whichever is greater, of significant trees /woodlands to be preserved. 12. The applicant shall contact the City Forestry Division and set up a pre - construction site inspection at least five days prior to the issuance of the grading permit to ensure compliance with the approved Tree Preservation Plan and placement of the Tree Protection Fencing. 13. This development shall meet the City's water quality requirements by creating stormwater treatment capacity through a minimum wet -pond volume of 0.22 acre -feet covering an area of about 0.15 acres. The stormwater treatment pond should be constructed according to NURP standards with a maximum depth of 10 feet, a 10:1 aquatic bench, and an outlet skimmer according to City design standards. 14. To the extent practicable, a 30 -foot wide buffer of natural, undisturbed vegetation outside the boundary of the wetland should be maintained before, during, and after construction. /6,z Planning Report — Northwood Office Condo's April 27, 2004 Page 13 15. A Homeowner's Association shall be established for the maintenance of common area and provide copies of the organizational documents for review and approval to the City Attorney. 16. Lot 5 shall be incorporated into Lot 1 for common area. 4s A. Financial Obligations C. Plans and Specifications STANDARD CONDITIONS OF PLAT APPROVAL 1. This development shall accept its additional financial obligations as defined in the staffs report in accordance with the final plat dimensions and the rates in effect at the time of final plat approval. B. Easements and Rights -of -Way 1. This development shall dedicate 10 -foot drainage and utility easements centered over all lot lines and, in addition, where necessary to accommodate existing or proposed utilities for drainage ways within the plat. The development shalt dedicate easements of sufficient width and location as determined necessary by engineering standards. 2. This development shall dedicate, provide, or financially guarantee the acquisition costs of drainage, ponding, and utility easements in addition to public street rights -of -way as required by the alignment, depth, and storage capacity of all required public utilities and streets located beyond the boundaries of this plat as necessary to service or accommodate this development. 3. This development shall dedicate all public right -of -way and temporary slope • easements for ultimate development of adjacent roadways as required by the appropriate jurisdictional agency. 4. This development shall dedicate adequate drainage and ponding easements to incorporate the required high water elevation plus three (3) feet as necessitated by storm water storage volume requirements. 1. All public and private streets, drainage systems and utilities necessary to provide service to this development shall be designed and certified by a registered professional engineer in accordance with City adopted codes, engineering standards, guidelines and policies prior to application for final plat approval. 2. A detailed grading, drainage, erosion, and sediment control plan must be prepared in accordance with current City standards prior to final plat approval. 3. This development shall ensure that all dead -end public streets shall have a cul -de -sac constructed in accordance with City engineering standards. /a H. Other 4. A separate detailed landscape plan shall be submitted overlaid on the proposed grading and utility plan. The financial guarantee for such plan shall be included in the Development Contract and shall not be released until one year after the date of City certified compliance. D. Public Improvements 1. If any improvements are to be installed under a City contract, the appropriate project must be approved by Council action prior to final plat approval. E. Permits LTS #5 STANDARD.CON 1. This development shall be responsible for the acquisition of all regulatory agency permits required by the affected agency prior to final plat approval. F. Parks and Trails Dedication 1. This development shall fulfill its park and trail dedication requirements as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. G. Water Quality Dedication 1. This development shall be responsible for providing a cash dedication, ponding, or a combination thereof in accordance with the criteria identified in the City's Water Quality Management Plan, as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. 1. All subdivision, zoning and other ordinances affecting this development shall be adhered to, unless specifically granted a variance by Council action. Advisory Planning Commission City Council Approved: August 25, 1987 September 15, 1987 Revised: July 10, 1990 Revised: February 2, 1993 & ,7 FINANCIAL OBLIGATION- Preliminary Subdivision - Northwood Office Condo There are pay -off balances of special assessments totaling $-O-on the parcels proposed for subdivision. The pay -off balance will be allocated to the lots created by the subdivision. At this time, there are no pending assessments on the parcel proposed for subdivision. This estimated financial obligation is subject to change based upon the areas, dimensions and land uses contained in the final subdivision. Based upon the study of the financial obligations collected in the past and the uses proposed for the property, the following charges are proposed. The charges are computed using the City's existing fee schedule and for the connection and availability of the City's utility system. The charges will be computed using the rates in effect at time of connection or subdivision. IMPROVEMENT Storm Sewer Trunk Total USE RATE QUANTITY AMOUNT C.I. $.02325/Sq. Ft. 117,090 Sq. Ft. $2,722 /a $2,722 Location Map Eagan Boundary ,A,./ Street Centerline E l Parcel Area Building Footprint CA 1E1 lociaco-asma Iona a to s gizmo .� je E Orli WIP R Iiiat l i p ti err I A_ e E 1112 wisp TKO - FilliattAt l 11 i/ 00 3 0 7:1 141 :077 11 , 10 utr ra Cla MU mu Rd. INNIM e rand logeti tau ot®z iL>1CI �0 7 C10•111 RCN* 13 0 t3 1000 0 1000 IMPMelle L4 \ \ f 2000 Feel 10 Development/Developer: Northwood Office Condo A e r lication: Prelim subdivision, Rezoning ase No.: 10- PS- 04 -03 -04 city of aclgcin Community Development Department Map Prepared using ERSI ArcView 3.1. Parcel base map data provided by Dakota County Office of GIS and is current as of January 2004. /. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this Information and are not responsible for errors or omissions. Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan r'nnlml,nity Development Department P el base map Inform n provideLy Dekote County Land Surrey Depertmert June 2003. Zoning information maintained byCity Stan THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. Northwoods Office Condos Case No. 10 -PS- 04-03 -04 Zoning Map •!�0i �� - i +� R.3 PD P SA R -2 /``e•`a R-4 5 i ; i SA R-4 e o SA Current Zoning: PD, Planned Development LB, Limited Business r 4P PD y 4�` P `" D SA i t I LB CO 0 0 k iM, PD 600 0 600 1200 F..t RD 600 0 100 1200 Fee[ PD I _ SA WY ROAD NO fYANKFF DOnp ND.20 IYAN D000 TZ —e01 1 ` ` I I 1 �3 1 rn .wl Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan r'nnlml,nity Development Department P el base map Inform n provideLy Dekote County Land Surrey Depertmert June 2003. Zoning information maintained byCity Stan THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. Northwoods Office Condos Case No. 10 -PS- 04-03 -04 Comprehensive Guide Plan Land Use Map • ik *�W �� MD SA /I�►�i.0�i►v SA e 0 le D i i o t. = SA e" e . Current Land Use Designation: SA Special Area SA r 4P SA i t .P _OJNNTf 0 *4N7 SA 600 0 100 1200 Fee[ SA ND.20 IYAN D000 —e01 1 ` ` I I 1 ■ J POAD 111 �' I ' I \ Current Zoning and Comprehensive Guide Plan Land Use Map City of Eagan r'nnlml,nity Development Department P el base map Inform n provideLy Dekote County Land Surrey Depertmert June 2003. Zoning information maintained byCity Stan THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. Northwoods Office Condos Case No. 10 -PS- 04-03 -04 prniaaaai w A3Aans sNOwaNO3 a a �v � r►wnens tZ3V • ar �� G wNOt3a •� moo Nvweans anv 2Maa 311avw ? 00 30W0 000MH1210N • (qtme••■•■• • edee e ei cid. ei • ir2951. 1959 § ■•••■•■“ .51.4.11611 MOO •IKIDOMM ..111 "10 .01 ••■•••■■• Aino ••• • • e• ■•••••• pa. Lb aiLo ow j pia oresmet.. MO I.. J 1 : i. tj PX, J • • 1 .1 741g,.- / . • . fr4 frci ••• ▪ • (7 0 0, 14H.10A/ 0 ariamIsb -:••• f ;#•': • ,•-•.( AllYNUM321.1 - nrieutans NOISIA101ftS Allvtustruad ON 0111NOZ3V 'IMPhi013A30 0314NY14 V1053..1 . NVOYI Imo* NVIIIINS 41111 33111V1 SOG9.3-3.11440 aoomitteioN ... Mal 1...110.? : "'/ ' , ;,_,.fn..',..-. 4 1--b.... : , , i / ,-4, ,, ' , zr A 4- , , ; 0 11 icti s• r J . J / 11;1 il V 1 / / 1,,, • • 4 1 , :1. Ieqr • '-:' — 1 9 / .- . ../e 1 .9 / 1 , / ii / / / ..; i ' ... S ; / ,e..,- • --. , , , ? / , -......,... i , ,, ,, , , , , , / / • -....: ( 4:-: /, , / , •• ',...-1 • 4-17 / , '. ' . , , Fei ff / / 1-. ::::: ' i ' ', ., //// -‚ '7:: % N \ t• ., , ', -•.:%-tr7 s / .: i / / , -: - : , .:.5_, it ...... ' i• : • i I k i i m, / 4 : : .. . 1 40: -. .:: . : . , , i /.....• - ..-- :?,?••• II : .. - :' i v• • -.• ,,,,,.....,. . El F:•....: ." I r - 1 ig. — -----1.`..■;,-44,T,-- . / -7' 1 1 Ci I i 1- y A -'-":" i 1 li : X / / -+ /1.. F Il 't S.,• ::.: %. II- - , • I :: . :.. - il I C - . : :.• •.' ' ' " - • ' „ .. ..7•• !' . .,..' • 7 ••:,''' . t t• I 1 t • - .. ••' A t'At t , . ,. , A... .. .. :A•t -, ••-', ..-:'-'...}.40 -.4?“4:...:-.:::•,..40::,...::::.i, 1., .,- • - .-. .. --......... ;.:.-.„ .1T9,...,,, L . 4,..,?•.... . r. 1 It• ..-:-'1;, a -, ;?Ala 33'014 . . . 1. CO ; 1-- 0 >- CC 2 — J cc a. INEMERESIE EMIERES000310 ram AAA AAAVA WM\ v%IyA`\9tk 4:\ i0:4t�t i .;. s11 ‘. . E ! i i i, i, 1, a i, a it i, tibblibirtIghtitig it 1111111111111.i 111111 iiitiiitiiiigt ag, pay V1OS3NNIW 'WOW , 301WWO IN3WJO13A3a SdDRl3YV`d :Jo} uEisap u) TENANT SIGN 16.5' BIRCHWOOD OFFICE PARK - EAGAN, MINNESOTA PYLON SIGN, ALUMINUM CABINET, RETAINERS & POLES WILL BE PAINTED GREEN. CABINET WILL BE BACK LIT. SCALE: 1 /4 " =1 -0" DATE: 4.19.04 ALLIANT ENGINEERING I N C 01 ! O■ A T s D Minneapolis. MN • 612- 756 -301D Engineers • Surveyors • Landscape Architects MONUMENT SIGN I I L J BIRCHWOOD OFFICE PARK OF EAGAN RECEIVED APR 1 9 2004 i �9 RTP T1WOOD OFFICE PARK - EAGAN, MINNESOTA LIMESTONE SIGN RECESSED AREA (NOTE: SANDBLASTED LETTERS ARE TO BE PAINTED) PRECAST CAP CULTURED STONE COLUMNS TO MATCH BUILDING CONCRETE FOOTING SCALE: 3/8 " =1' -0" DATE: 4.19.04 ALLIANT ENGINEERING I N C O R P Minneapolis, MN • 612 - 758 -3080 Engineers • Surveyors • Landscape Archilects 3.5' 1- L- i I r ` L TENANT SIGN g.0 RIRCHWOOD OFFICE PARK - EAGAN, MINNESOTA PRECAST CAP LIMESTONE TENANT SIGN CULTURED STONE COLUMNS TO MATCH BUILDING CONCRETE FOOTING SCALE: 3/8 " =1 ' -0" DATE: 4.19.04 ALLIANT ENGINEERING 1 M C O R P I4Inneapolls. 1,11• 612- 758 -3080 Engineers • Surveyors • Landscape Architects at N i W II 11 11 11 og 3i !!Ili O I ulu f & 1 Northwood Office Condo's Project Narrative Comprehensive Guide Plan designation (existing and proposed) The subject property currently has a Comp Plan designation of SA — Special Area. The proposed development complies with the current Comprehensive Plan. Zoning classification (existing and proposed) The subject property is currently zoned LB- Limited Business. The development plan proposes to rezone to PD- Planned Development in order to allow for the construction of multiple office condos within a larger parent parcel. What you want to do; timing/phasing The project proposes to commence with clearing and grubbing of the subject area upon City Council approval of the Preliminary plat and Development Agreement. A September start date would allow for construction of footing and foundation systems for the units proposed adjacent to the existing wetland and in the northwest comer of the project site. Construction of the remaining units would be market driven, though would most likely be completed within 1 -2 years due to anticipated demands. Existing land uses on subject property The majority of the subject area is primarily undeveloped and heavily wooded. A large wetland area occupies the central portion of the project site and amounts to approximately 1.0 acres. Existing utilities currently traverse through the site and are within an associated easement. No building currently exist on -site. Surrounding land uses and zoning within 660 feet Review of the Comprehensive Land Use plan indicates that the subject area is surrounded entirely by SA- Special Area land use. Review of the Zoning Map indicates the subject area is surrounded by Limited Business to the west, Planned Development to the north and south and State right -of -way to the east. What impact does the rezoning have on surrounding property and land uses? The proposed development plan will impact the adjacent properties in a manner typical of any property being converted from an undeveloped to developed state. City services JS y currently serving the adjacent properties will not be adversely affected due to the projects limited scope, similar zoning and similar density. What impact does the rezoning have on the subject property? Rezoning of the subject property to PD will allow for the construction of multiple office condos atop individual lots all located within a single parent parcel. A secondary lot, identified as Lot 1/ Block 2 on the preliminary plat, will have a dental office and associated parking in compliance with the requested zoning. What impact does the rezoning have on City services, such as sewer, water, stormwater run -off and roads? Sanitary Sewer The proposed development will be served by an existing 8 inch diameter lateral sewer line which runs through the northern portion of the project site. It is not anticipated that the project as proposed will exceed the available capacity of the existing system and will be verified with City Staff prior to final design of the sewer system. Water The proposed development will be served by an existing 8 inch diameter watermain which parallels the sanitary sewer. It is not anticipated that the project as proposed will exceed the available capacity of the existing watermain and will be verified with City Staff prior to final design. Stormwater The current development plan proposes to route storm water captured in common drive areas to a regional retention facility located to the west of the existing wetland area. The pond will outlet into the wetland area, though not exceed criteria specified in the Wetland Conservation Act. Both the wetland area and the pond will ultimately outlet via an existing 24 inch diameter storm pipe located near the central portion of the west property line. All lower building elevations have been provided with three feet of fre -board beyond the 100 year rainfall event in accordance with City requirements. ff S Does the requested land use proposed by the rezoning result in a better use of the land? Explain. The requested land use proposed by the rezoning is compatible with the surrounding properties and in compliance with the Comprehensive Land Use Plan. The approval process required for the requested zoning will allow adjacent property owners and residents of the community to input into the design of the project. The project will allow smaller business owners with an opportunity to office in the City of Eagan and own their building space. The rezoning will also allow for the creation of an association responsible for property management and maintenance of common areas. /8� TO: FROM: DATE: SUBJECT: City of Eagan Mike Ridley, City Planner Sheila Cartney, Planner May 28, 2004 Metro Office Condos MEMO In response to the Advisory Planning Commission and City Council the applicant has submitted revised sign plans and elevations including building materials. A brief overview of what has been submitted is the intention of this memo. Building materials Neutral colors are carried throughout the site. Office condos • The building materials include: EFIS, Timberline asphalt roof shingles, rock face concrete, cultured stone. Dental Site • The building materials include: Asphalt shingles, EIFS, and stone veneer. The building materials appear to be similar and complimentary of each other. Monument Signs The entrance monument sign for the office condos and the dental site are identical. The signs are a limestone clad panel, precast concrete cap, and cultured stone. The Office condos will have the office park name only on the entrance monument. The Dental site will have the Orthodontist name and other tenant names. Office Condos • The office condos have proposed a similar sign for the individual identification signs for each building, but the sign face is a copper panel rather than limestone. Freeway Signage Office Condos • A 27 foot high pylon sign is proposed for the office condo site (with a sign face just under 100 square feet). The sign is very similar to the dental second monument; however red letters will not be used. The pylon sign will have black letters with a white background; staff suggests a similar design should be applied to the dental monument and similar letter type for consistency. Dental Site • A second monument sign is proposed for the dental site. The monument is proposed to replace the previous request for a pylon sign along the freeway. The sign will be an aluminum cabinet that will be painted dark tan to match the building colors. The letters will have translucent red vinyl applied to the second surface for red illumination at night. The base of the sign appears to be brick or stone. Building Signs Office Condos • Building wall signage is not proposed for the office condos. Dental Site • Building signage is proposed on the east and west elevation. The east elevation is proposed to have a phone number and Orthodontist name. • Wall signage is limited to 20 percent of the wall area. • The signage is proposed to be red lighted channel letters. • The west elevation signage for a future tenant, was not identified and should be as part of the Final Planned Development. • The location of the building signage is not consistent with the City Code requirements; signage above the outside wall is not permitted. Summary Overall the building materials and freestanding signage appear compatible and complimentary of each other; however, the building signage on the dental building does not appear compatible or complimentary. Typically, signage within a Planned Development is uniform and materials match those used on the building(s). The proposed building signage is not uniform with the office condos and is not consistent with City Code requirements. / 88 W X 3 z 0 W Z 7 W ID ID 0 c1=21 n M l O 0 0 0 J W0- •Q Wp0206w¢NO -WWW2°m �2aNpNr -h. m� 02p2�2F¢m_22N 2 O¢ Opa = 2 ¢a > ?F Owoo a LL aQQ2V�O W < a W� ° z � N W W 3 Z W U m N W W N Z O W _HV Q 2d ❑JU4¢Q¢Z O J ° NJ Q F¢OW� -W�W Q Oy�OWyO O Qa��N"u¢iw G ov SW NLLN -'6 E QU Q < 2pw �2LL20� 2 ¢ a Q O w LLW WQ � ° S F W w 4�W a xU Q i` 1 : a y4 f ~ ¢ > W!U 0 LLW W°WOWf>¢ Y 2¢Q S0w» SXF- OOLL F6Q31 -U OG WOUf - WJQUWF •rszraz9 ANIS 2dIcSa D m 1 jkl / : 1 Li! E i i tg V. P 4 LEGEND OF FINISHES: / A24 ...;,4s, . = e gra q ;sm. 1) 0Q 4 F 2 r g S OR EQUAL 0 U 1 1 it di fdiEL r . 9I;414E11 l'` iiJ1:®)�i,4I r - EAGAN OFFICE CONDOS - BUILD Poona � I wv.,I w •a §I I i i i •III —n —U -u 0 1- uw J z 0 1 W J w O Agenda Information Memo June 15, 2004 Eagan City Council Meeting Old Business F. RECEIVE LEGAL OPINION AND PROVIDE DIRECTION ON THE LAUKKA -BECK AND LOAN OAK DEVELOPMENT PROPOSALS ACTION TO BE CONSIDERED: To receive the City Attorney's legal opinion and: • To approve or deny one or more of the actions outlined in the City Attorney's memo dated June 10, 2004, with respect to the Laukka Beck and Loan Oak development proposals. Or • To continue consideration of action with direction to staff for additional information. Or • To direct preparation of a moratorium ordinance in order to direct a study of factual or policy issues that would bear on decisions relative to those proposals. REQUIRED VOTE FOR APPROVAL: • As outlined in the attached memos from the City Attorney. New Facts, Issues and Background noted in Bold. FACTS: • Facts pertaining to the development proposals and their relationship to the City's Comprehensive Plan and existing zoning are outlined in the May 18, 2004 Council packet background, which is attached and noted below. • At the City Council meeting of May 18, 2004, the applicants withdrew their application for Comprehensive Guide Plan Amendments and requested instead that the City Council consider a Planned Development Concept and a legal opinion by the applicants' attorney suggesting that a Comprehensive Guide Plan Amendment would not be necessary to process their development proposals. • In response, the City Council directed the City Attorney to prepare an opinion addressing the issues raised in the applicant's attorney's presentation to help define the Council's prerogatives and the actions that would need to be considered to process the applicants' proposals. The City Attorney has prepared an opinion and an action guideline and flow chart outlining the actions the Council has authority to consider in this regard. 1 95 Agenda Information Memo June 15, 2004 Eagan City Council Meeting Old Business FACTS (Cont.) • In addition, since the Council meeting, Mayor Geagan requested that the option of a development moratorium for Comprehensive Plan Special Area 1 be discussed in the packet background and be included in the action alternatives before the Council at this meeting. The Council has the authority to consider a moratorium as a means of conducting a study of one or more aspects of the City's Comprehensive Plan as they pertain to the proposed development property and, potentially, other properties in that area. • Issues to be studied may include issues outlined in the applicants' proposals, the staff reports or other issues identified by the Council that would relate to a decision pertaining to the prospective development of the area. The City's policy permits the Mayor or two other Council members to request that an item be added to the agenda. As such, background in this regard has been prepared by the City Attorney and the alternative has been noted in the potential actions outlined above. ISSUES: • Issues pertaining to the development proposals and their relationship to the City's Comprehensive Plan and existing zoning are outlined in the May 18, 2004 Council packet background, which is attached and noted below. • If the Council finds that it may wish to consider a modification of the Comprehensive Plan or existing zoning/planned developments, but prefers to consider alternatives other than the existing designations or the applicants' development proposals, specific direction should be given to staff regarding the mixture of uses, density of uses, development standards or other elements that would be desirable to be considered in the development area. • If the Council finds that it may wish to consider a modification of the Comprehensive Plan or existing zoning/planned developments, but requires a study of one or more issues or one or more development options to assist it in making such a decision, the alternative of a development moratorium may be considered as a means of completing such studies before a final action on the proposals. Agenda Information Memo June 15, 2004 Eagan City Council Meeting Old Business Item F 60 -120 DAY AGENCY DEADLINE: • Comprehensive Guide Plan Amendment application has been withdrawn. • City extended the 60 day deadline to 120 days or June 15, 2004. • Applicant has submitted a written waiver for any pending applications an additional 60 days to August 14, 2004. • Timeline for consideration of the initial proposal for a Planned Development Amendment has been tolled pending submission of a mandatory Environmental Assessment Worksheet. BACKGROUND (13): • APC Minutes of April 27, 2004 on pages 1729 through ad 1 • May 18, 2004 City Council packet cover memo and staff report regarding the Loan Oak development proposal on pages ZpY through r .'21. • May 18, 2004 City Council packet cover memo and staff re ort regarding the Laukka Beck development proposal on pages 2 72throu • Excerpt from the City Council minutes of May 18, 2004 enclosed on pages 311 through 3' fl • City Attorney's legal opinion regarding Comprehensive Plan and Zoning /Planned Developments on pages 3t f3 through I . • City Attorn y s action guideline memo and flow chart on pages 3 5-a throug • City Attorney's memo regarding moratoriums to be distributed Monday. • Applicants' werpoint presentation from the May 18, 2004 meeting on pages through 37 • Applicants' proposed findinJs distributed at the May 18, 2004 meeting on pages37}/ through • Applicants' Attorney's letter of May 24, 2004 to City Attorney on pages hrough 38/). • City Attorney's letter extending the review period to June 15, 2004 on page • Applicants' letter extending the statutory review deadline for the development proposal for an additional to August 14, 2004 on page • Applicants' letter formally withdrawing their Comprehensive Plan /9 Amendment applications on page • Email comment regarding the proposal on page through3 I City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 20 At the request of the Applicant, the Commission heard item K prior to Item J. J. COMPREHENSIVE GUIDE PLAN AMENDMENT & PLANNED DEVELOPMENT AMENDMENT — LAUKKA -BECK EAGAN PARTNERSHIP A Comprehensive Guide Plan Amendment of approximately 26.9 acres from Special Area /Office Service to Special Area /Medium Density Residential, located on Outlot N, Lone Oak in the NE 'A of Section 1. Community Development Director Jon Hohenstein introduced this item and presented the information in the City Staff report dated April 22, 2004, including the background and history including staff and consultant reports regarding specific aspects of the proposal such as aircraft noise and a review of tax base information presented by the applicants. along with Item K. Peter Coyle reiterated several points from the proceeding discussion. He stated that if the City of Eagan allows development in Cedar Grove regardless of the airport noise therefore, they should allow development here in NE Eagan. He stated that his firm had represented the Augusta Shores project in the noise contour policy contours in Mendota Heights and that the city had not received any complaints from the residents of that area. MAC Representative Roy Furhman stated that complaints from Augusta Shores have been received by the MAC. He also stated that it is important to remember that contours area a snapshot in time and that they may get larger or smaller depending over time based on different factors. Community Development Director Jon Hohenstein stated City of Eagan has consistently considered airport noise with new development in the area of the noise policy contours. He stated that the Cedar Avenue area was never planned for substantial amounts of aircraft overflight in the past and that Cedar Grove is a redevelopment of existing uses in an area surrounded by existing residential development and is infill development, the City could and did come to different conclusions about the appropriateness of residential uses at Cedar Grove than in the NE Area. There being no additional public comment, Chair Heyl closed the public hearing and acknowledged that the prior testimony relating to item K would be deemed part of the submission for this item. She then turned the discussion back to the Commission. Peter Coyle asked for comments on eh Concept Proposal. Chair Heyl explained that she is not in favor of the isolated development concept and is concerned for airport noise. She stated that the medium density proposal has limited impacts on schools, but the proposed homes would fit in other areas of Eagan. She also mentioned that there are other areas of Eagan where the schools and roads would accommodate this type of development. /gr City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 21 Member Leeder agreed with Chair Heyl and stated the proposal shows an attractive development, but the proposed location and airport noise are the main problems. He also stated he is not in favor of the development being isolated from the rest of Eagan. Chair Heyl referenced the current Planned Development that the City has not terminated, along with the other following reasons as also listed for item K: 1. The limited area remaining in Eagan for office /service designation, and the fit for that use in this area. 2. All of north Eagan has been consistently developed as of 2002, the time when the area was last Comprehensive Guided, specifically Ecolab and The Waters development. 3. The City had other office /service area, which was partially dedicated to a Community Center. 4. The surrounding major roadways make sense for big businesses such as Ecolab. 5. The airport noise fits better with office /service designation, rather than residential designation. 6. The City is considering the present time, along with 10 years from now, and 15 years from now. 7. Time has not expired on the Planned Development; therefore it is still in effect, and the conditions under the Planned Development should still be supported. Member Bendt stated he prefers that the entire area remain as greenspace, however, that is not reasonable. He stated the proposed development could be one with character, along with the fact that the property will be developed one way or another. He stated: for the City to expect the property owner to wait 20 years to develop is unreasonable. Member Leeder explained that the property owner took a risk in regard to development when purchasing the property. Chair Heyl explained that a 20 year time period in Eagan is not that long when considering development. Member Hey! moved, Member Leeder seconded a motion to recommend denial of a Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential and Park (P) for approximately 27 acres of undeveloped land located south of 1 -494, west of the IGH corporate boundary, in the NE Y4 of Section 1. Based on the findings noted above. A vote was taken. Aye: Chair Heyl and Member Leeder. Nay: Member Bendt and Member Hansen. Motion failed 2 -2. l9,\ City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 22 At the request of the applicant, the commission heard item K prior to item J. K. COMPREHENSIVE GUIDE PLAN AMENDMENT & PLANNED DEVELOPMENTAMENDMENT — LOAN OAK DEVELOPMENT, LLC A Comprehensive Guide Plan Amendment of approximately 83 acres from Special Area /Office Service to Special Area /Medium Density Residential, located on Lots 1 and 2, Block 1, Silicon Graphics First Addition and Outlot D, Cray Second Addition, located in the East half of Section 1. Community Development Director Jon Hohenstein introduced this item and discussed the information presented in the City Staff report dated April 22, 2004, including the background and history including staff and consultant reports regarding specific aspects of the proposal such as aircraft noise and a review of tax base information presented by the applicants. Assistant Engineer John Gorder stated the infrastructure impact on traffic and public utility demand would be less with the proposed application than it would be with a commercial development. Peter Coyle, Attorney for Loan Oak Development, LLC provided an overview of the Application and discussed the current Planned Development Agreements that cover the property. Mr. Coyle acknowledged that the item before the Commission was the request for a Comprehensive Guide Plan Amendment. He also requested that the Commission provide comment to the proposed Concept Plan and explained that the Applicant's architect would provide further detail concerning the concept. Mr. Coyle indicated that the concept approach was used because of the need to undertake an EAW for the project in light of the number of residential units proposed. Mr. Coyle acknowledged that if the proposed amendment were approved, that an appropriate EAW report would be prepared concerning the development. Mr. Coyle discussed the history of the property and indicated that the property owners of the Laukka Beck parcel have held the property as commercial property for over 20 years and that the Loan Oak parcel has not yet developed either and he believes that commercial expectations for this area have changed and that residential uses are appropriate. He indicated that notwithstanding that the property was in an Airport Noise Zone 4, he believed that the noise contours were currently the subject of modification by the Airports Commission and that they may be modified in the future. Gary Tushie, Architect for the proposal described the type of homes as being luxury and upscale. He stated there would be a variety of lifecycle homes in the development. He stated Charles Cudd Homes and Wooddale Homes are two of the builders for the villa and single - family homes. He stated the single family homes would be priced in the one million dollar range. Ryland Homes would be building urban and senior manor homes in the center of the development. He discussed the proposed transit facility that would include several retail components such as a hair salon, coffee shop, and bagel shop. He stated the natural environment would be preserved along with the creation of a butterfly garden, and other gardens for resident usage. Chair Heyl opened the public hearing. ao� City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 23 Jon Todd, 6689 Argenta Trail, Inver Grove Heights stated he has lived in the area for 36 years. He stated there is already electric wiring in the platted streets. He stated preference that the property be zoned residential and hoped Eagan's action would encourage Inver Grove Heights to allow him to develop his family's nearby property sooner. Roy Fuhrmann, Director of Environment for the Metropolitan Airports Commission referenced a letter in the background packet from MAC Executive Director Jeff Hamiel regarding the history of airport noise abatement and its relationship to land use planning. He stated that the MAC has appreciated Eagan's guiding, planning and developing property in the northeast part of Eagan, also known as the Eagan- Mendota Heights Corridor for commercial industrial land uses that are compatible with aircraft overflights. He discussed the fact that the noise impacts do not stop at a particular contour. He said that airport noise has different effects on different people at different distances around the airport. He said that no matter the quality of the house, people living in an area are still affected by the frequency of overflights, nightflights and overflights during outdoor activities. For 20 years Eagan has had this guided for commercial industrial uses and MAC has relied on this for planning airport noise. He said that currently and in the future, substantial numbers of departures and the landings are in this path at 1,000 -1,500 feet overhead. Heyl asked whether the MAC's letter would change if the 2007 contours were adopted by the FAA. Fuhrmann said it would not. The Advisory Planning Commission took a five - minute recess and reconvened at 10:35 p.m. Nick Dragisich of Springsted, the City's financial consulting firm indicated that, in their report, taxes, stated revenue and expenditures affecting the City of Eagan only were reviewed, and broad averages based on City experiences only were considered. He said that his firm had compared the developers' estimates with a range of commercial industrial alternatives and that different assumptions resulted in different net effects. Chair Hey! asked if the Planned Development had expired. City Attorney Bob Bauer provided explanation concerning both Planned Development Agreements. He indicated that the "Cray" Planned Development Agreement did not contain an expiration date and the Agreement sets forth a number of permitted and conditional uses. He further stated that the "Laukka- Beck" Planned Development Agreement had a ten -year term, however, neither the City nor the applicant had taken action to formally terminate the Agreement. Notwithstanding the lack of action, Attorney Bauer stated that the Agreement specifically states that if the Planned Development were terminated it would revert to the "CSC" - Community Shopping Center zoning designation. Community Development Director Jon Hohenstein explained that Ecolab has acquired the bulk of the Cray Campus. Mr. Coyle clarified that Jim Deanovic bought the 83acre Loan Oak parcel from Wamnet in 2002 and that CSM bought another part of the former Cray site near the Waters Parkway around the same time. City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 24 Chair Hey! explained that the City Council adopted the Comprehensive Guild Plan- special area that included this area in 2001 and that the City concluded at that time that it should be office service. She asked if the Commission wanted to change the Comprehensive Guild Plan. She asked what had changed since 2002 that would make this medium density better for the area and the City now, and in the long run. She explained that the Advisory Planning Commission looks at the applications for future as well as the present time. She stated the airport noise contours have been in place for many years and that the City has planned north Eagan as industrial /commercial, and they have avoided residential developments in these areas. Office /service areas must be on the northeast side of Eagan. She discussed possible future residential properties such as Diamond T Ranch, and golf courses that have requested zoning changes. She stated the proposed area as industrial /commercial has not become Tess desirable since 2002; therefore it should be kept that way. She lastly stated that this is the last area for office /service in the City of Eagan Member Leeder stated agreement with Chair Heyl. He explained that this area has always been seen as office /service designation. He stated 20 years is a long time to hold property, however some hold land for longer and want no change to the zoning. The airport researched a possible move, however did not, therefore they will be in there current location for a long time. He stated there have been different impacts on the noise contours, including the September 11 attacks. He stated the desire to keep nighttime flights the same, develop the proposed area as office /service, and keep residential development away from this area. He lastly stated that residential developments should not be placed near a runway that may grow in the future, and the value of the property to Eagan will be higher if developed as commercial and or industrial. Member Bendt stated it is reasonable to expect development after 20 years. He stated without the airport noise, this area would be a great area for residential development. He stated the proposal is a good looking development and he is in favor of approval of a change in the Guide Plan because he doesn not want to exclude further discussion of different uses in the area. Member Hansen agreed with Member Bendt and stated favor of approval, however he is concerned with the airport noise and the City's responsibility for the noise. He stated if people are educated and buy homes in the airport noise contours, that is there choice. He lastly stated he would not like to see the City exclude the possibility of residential development in this area. Peter Coyle, Attorney for Loan Oak Development, LLC discussed the measures taken to assure the qualification for residential development in the area. He compared the northeast Eagan area to the City's Cedar Grove Redevelopment and said it would be disingenuous of the City to come to different conclusions about airport noise in this area than he did in Cedar Grove. He questioned the City's commitment to office - service uses since it chose to convert the property in the Central Area from Research and Development to the Community Center and Central Park. He stated the economy has drastically changed since September 11, 2002. Community Development Director Jon Hohenstein stated in regard to airport noise issues, the City has been very clear on the current Comprehensive Guide Plan about the difference between the Northeast Area and the Cedar Grove Area as it relates to airport noise policy. He explained that if the Metropolitan Council updates the regional Noise Policy Contours on the oc> City of Eagan Advisory Planning Commission Meeting Minutes April 27, 2004 Page 25 basis of the draft 2007 contours and if the y use the same methodology as they did for the 1996 Policy Contours, the area would still be in noise contour four (4) so the same policy considerations would apply. Member Heyl moved, Member Leeder seconded a motion to recommend denial of a Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential and Park (P) for approximately 27 acres of undeveloped land located south of 1 -494, west of the IGH corporate boundary, in the NE 1 / of Section 1. Chair Heyl stated her reasons for denial of the proposal as being: 1. The limited area remaining in Eagan for office /service designation, and the fit for that use in this area. 2. All of north Eagan has been consistently developed. 3. Since the last time this area has been reviewed in 2002, since 2002, Ecolab has relocated to NE Eagan and The Waters has continued to develop. 4. The City had other office /service areas, such as Central Area, the Community Center was located in this area rather then NE Eagan to allow for continued Office Service uses in the NE area. 5. The surrounding major roadways were built for big office /service centers. 6. The airport noise fits better with office /service designation, rather than residential designation. 7. The City is considering the present time, along with 10 years from now, and 15 years from now. 8. Time has not expired on the Planned Development; therefore it is still in effect, and the conditions under the Planned Development should still be supported. Member Bendt explained that he is looking at it from the land owner's perspective in that the owner should be allowed to develop his land. A vote was taken. Aye: Chair Heyl and Member Leeder Nay: Member Bendt and Member Hansen Motion failed 2 -2. IV. OTHER BUSINESS There was no Other Business to discuss at this time. V. VISITORS TO BE HEARD (FOR ITEMS NOT ON THE AGENDA) There were no visitors to be heard for items not on the agenda. 0203 Agenda Information Memo May 18, 2004 Eagan City Council Meeting E. COMPREHENSIVE GUIDE PLAN AMENDMENT — LOAN OAK DEVELOPMENT, LLC ACTION TO BE CONSIDERED: > To direct staff to submit the Comprehensive Guide Plan Amendment for approximately 80 acres in northeast Eagan, specifically for Special Area 1 (The Waters) from Special Area Office /Service to Special Area Medium Density and Park to the Metropolitan Council for review and approval. FACTS: OR > To direct the preparation of Findings of Fact for denial of a Comprehensive Guide Plan Amendment for approximately 80 acres in northeast Eagan, specifically for Special Area 1 (The Waters) from Special Area Office /Service to Special Area Medium Density > The zoning (Planned Development) for the Loan Oak, LLC property does not permit residential uses. > The Comprehensive Guide Plan discourages additional residential uses and long -term continuation of existing residential uses in Special Areas 1, 2 and 3. > The applicant's desired development request requires a Comprehensive Guide Plan Amendment and a Planned Development Amendment. > The Special Areas were created as part of the Comprehensive Guide Plan Update that was initiated in 1998 and resulted in the adoption Eagan's Comprehensive Plan 2000 in February of 2001. > The City Council amended the Guide Plan in December 2001 by adopting the Goals and Policies for Special Areas 1, 2 and 3. > The applicant is requesting approval of Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential (4 -12 units /acre) and Park (P) for approximately 80 acres of undeveloped land located north of Lone Oak Road, west of the Inver Grove Heights (IGH) corporate boundary, in the SE %a of Section 1. ➢ When a change to a City's Comprehensive Guide Plan is requested, it is the City's responsibility to determine if the change is in the best long -range interests of the city and future property owners. The standard of review of a City's action in approving or denying a Comprehensive Guide Plan amendment is whether there exists a rational basis for the decision to modify the present plan. ➢ The site is adjacent to the area commonly referred to as The Waters office park. Adjacent properties include the 480,000 SF Ecolab (originally Cray Research) Campus to the west and the 264,000 SF Northwest Airlines (NWA) Corporate Headquarters and the 279,000 SF NATCO training facility to the northwest. ➢ Cray Research acquired and rezoned the subject site, approximately 80 acres, adjacent to the east boundary of the existing campus in the early 1990's for a buffer, to control future development adjacent to its campus, and for possible future expansion. ➢ The applicant's submittals allow the City to review the Guide Plan Amendment in relation to the pending amendment application for the 27 acre Laukka -Beck parcel north of the site. Additionally, it stands to reason that if the Guide Plan is amended for the two pending applications, the 38 acre parcel that lies between the two would likely follow the same path. As such, policy makers will want to be cognizant of the potential for far more than the subject 110 acres to ultimately be influenced. ➢ The MD Comp Guide designation category provides areas for medium density attached housing units, including two - family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4 -12 units /acre, including common area. ➢ As proposed, Lone Oak Development, LLC envisions 488 total housing units on approximately 80 acres for a gross density of 6 units /acre and 48,000 SF of office condo on approximately 5 acres. The conceptual housing proposal, including senior housing, consists of a mix of single family, a mix of townhome products and condominiums. Because a formal application for a Planned Development Amendment is not before the Council, there is no assurance that the applicant will pursue or that the Council supports the proposed density or uses. ➢ As proposed, the residential unit count exceeds the threshold requiring a mandatory Environmental Assessment Worksheet (EAW) to be prepared prior to consideration of rezoning and/or subdivision application. ➢ Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. In response to anticipated aircraft noise, the applicant's noise consultant states that interior noise attenuation can be o S accommodated easily with good building practices. The Metropolitan Council Aircraft Noise Policies defines specific findings that need to be made in addition to the development's capacity to achieve noise attenuation for individual entry residential development. The City will need to determine whether it concurs or differs with the applicant's position regarding the appropriateness of residential uses in Noise Zone 4. ISSUES: GENERAL ISSUES AND OVERVIEW ➢ The issues before the Council are primarily legislative and policy issues and the Council has latitude to make findings to approve or deny the proposals provided that it has a rational basis for the decision based on the health, safety and public welfare of the community now and in the future. The applicants have indicated that they want the City Council to address the threshold question of whether it would consider residential uses in this area. The City has advised the applicants that any application for a planned development amendment is incomplete until an EAW is completed. ➢ The applicants have indicated that they wish to pursue a method of review that would not require costs associated with the preparation of detailed plans or the preparation of an environmental assessment worksheet, which would be mandatory for a planned development amendment application or a subdivision. Given that request and those parameters, the method of review that is appropriate and is properly before the City is a Comprehensive Guide Plan Amendment application. AIRPORT NOISE ISSUES ➢ The City has a long standing policy of guiding, zoning and developing property in the northern part of the City for commercial and industrial land that are compatible with overflights associated with the operational standards at the Minneapolis -St. Paul International Airport. The City has and continues to promote the maintenance of airport operating procedures that take advantage of that land use policy by concentrating aircraft in those areas to minimize overflights of other areas of the City planned for residential uses. The applicant is proposing a modification of that policy. There is clear guidance in regional policy as to how consideration of such a modification would be undertaken. If the Council wishes to modify the policy, it would be appropriate to apply those standards of review and determine an appropriate process by which to assess the standards. ➢ The City's Airport Relations Commission typically advises the City Council in regard to matters affecting airport policy, including monitoring operations standards and policies related to the Eagan- Mendota Heights Corridor. In most cases, Comprehensive Guide Plan amendments have not been presented to the Airport Relations Commission and the group has not been asked to provide input on this item to date. The Council may wish to consider whether to direct the item to the ARC for its review and comment or for the oversight of a more detailed analysis of the City's Policies in this regard. MARKET FORCES > The applicants state that the current market does not support immediate build out of commercial industrial uses in the near future. One of the primary purposes of land use planning is to look beyond the market at any one time and to identify the land uses and interrelationship of land uses that are in the best interests of the City. Market forces may be a factor in land use decisions, but it is up to the City Council to determine the weight of that factor in relation to other factors. ➢ Since the submission of the applications, the former Cray campus has been sold to Ecolab for the relocation and expansion of the company's research and development and information center activities. While Ecolab purchased the property for substantially less than the original construction cost or initial asking price of the property, the Council may wish to consider whether the occupancy of the site has the potential to affect market forces in the area. TIMEFRAME FOR DEVELOPMENT > The two forty acre parcels were acquired by Cray in the early 1990's to serve as a buffer for their campus. Loan Oak, LLC acquired this property in 2002 and is proposing in its application to convert its land use at this time. FINANCIAL ANALYSIS ➢ The applicants state that the proposal would generate tax revenue in excess of that which could be anticipated in the short term for commercial - industrial development. This statement is related to the market forces issue above. The City's Reviewing Consultant states that the applicant did not analyze the service or capital cost differentials associated with their proposed development alternative. The applicant's consultant has not addressed other factors the City may consider in planning and developing commercial industrial uses, such as the creation and expansion of jobs, the encouragement of spin off development, vertical and horizontal integration of the local economy and so on. If the Council does not find that a financial analysis is a compelling aspect of a land use decision, no further analysis needs to be done in this area. If the Council finds such analysis to be compelling, it may wish to authorize the preparation of a more detailed fiscal impact analysis by a firm qualified to consider such factors. ATTACHMENTS: (3) Draft APC Minutes on pages through .2o ? I Staff Report on pages through . Memo from developer's Fiscal Consultant on pages through 02 PLANNING REPORT CITY OF EAGAN REPORT DATE: April 22, 2004 CASE: 01- CG- 02 -02 -04 APPLICANT: Jon Blanchar HEARING DATE: April 27, 2004 PROPERTY OWNER: Loan Oak Development APPLICATION DATE: February 18, 2004 REQUEST: Comp. Guide Plan Amendment PREPARED BY: City Staff LOCATION: SE 1/4 of Section 1 COMPREHENSIVE PLAN: SA # 1 ZONING: PD — Planned Development SUMMARY OF REQUEST Based on the application and supporting information submitted, the City is reviewing the request to amend the Comprehensive Guide Plan to support Medium Density residential and Park. The applicant's submittal also references an office condominium product on five acres that the current Guide Plan designation allows. The applicant is requesting a meeting with the Advisory Planning Commission (APC) to present a concept plan to discuss the feasibility of a Planned Development and approval of Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential (4 -12 units /acre) and Park (P) for approximately 80 acres of undeveloped land located north of Lone Oak Road, west of the Inver Grove Heights (IGH) corporate boundary, in the SE 1/4 of Section 1. AUTHORITY FOR REVIEW The attorney representing the applicant submitted a narrative that asserts that the existing Planned Development zoning can be amended to accommodate the residential use without amending the Comprehensive Guide Plan. Despite that, they have applied for a Comprehensive Guide Plan Amendment which is being processed at this time. The narrative also states that the City will be liable of acting in a way that is arbitrary and capricious if a denial of the applicant's request is based on the Waters Plan (Special Area 1). The City Attorney and staff have reviewed the zoning and Comprehensive Guide Plan history of the subject site and found that the site had a zoning of R -1, Single Family with the 1964 subdivision known as Delaware Estates. The property retained the R -1 zoning until Cray Jo Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 2 Research acquired and rezoned it to Planned Development in the early 1990's; the R -1 zoning district definition allowed a density of 0 -3 units /acre. Also, since the City's first Comprehensive Guide Plan in 1974, the property has been guided for retail, office, office /showroom and research and development. Planned Development Concept There is no APC or City Council action associated with the presentation of a concept plan. Chapter 11, Section 11.60, Subd. C, 2 Concept Plan states: ...any person may request a meeting with the APC to present a concept plan to discuss the feasibility of a Planned Development. Such request shall be made by addressing a letter to the APC where upon said request shall be heard at a subsequent meeting. Comprehensive Guide Plan Amendment The City's Comprehensive Guide Plan was prepared pursuant to Minnesota Statutes, Section 473.864. As defined by statute, the Land Use Plan is a guide and may be amended from time to time as conditions change. The City's Guide Plan is to be implemented by official controls such as zoning and other fiscal devices. The creation of land use districts and zoning is a formulation of public policy and a legislative act. As such, the classification of land uses must reasonably relate to promoting the public health, safety, morals and general welfare.' When a change to a City's Comprehensive Guide Plan is requested, it is the City's responsibility to determine if the change is in the best long -range interests of the city and future property owners. The standard of review of a city's action in approving or denying a Comprehensive Guide Plan amendment is whether there exists a rational basis for the decision as to whether to modify the present plan. A rational basis standard has been described to mean having legally sufficient reasons supportable by the facts which promote the general health, safety and welfare of the City. EXISTING CONDITIONS The site is undeveloped and consists of varying topography, trees /woodlands, and wetlands. The site is adjacent to the area commonly referred to as The Waters office park. Adjacent properties include the 480,000 SF Ecolab (originally Cray Research) Campus to the west and the 264,000 SF Northwest Airlines (NWA) Corporate Headquarters and the 279,000 SF NATCO training facility to the northwest. BACKGROUND/HISTORY Except for a small portion, the subject site is located outside of the 1985 Laukka -Beck Eagan Planned Development that incorporated approximately 450 acres in northeast Eagan. Cray Research acquired and rezoned the subject site, approximately 80 acres, adjacent to the east boundary of the existing campus in the early 1990's for a buffer, to control future development adjacent to its campus, and for possible future expansion. �D Year Zoning Guide Plan Designation Pre -1960 Ag N/A 1961 -64 R -1 (Delaware Estates) N/A 1969 -70 R -1 N/A 1973 -74 R -1 RSC 1985 R -1 Discussion re: residential (no action) 1988 R -1 CPD 1991 PD and R -1 CPD 1999 PD CPD 2002 PD Special Area 1 — O/S (Office /Service) Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 3 ZONING & COMPREHENSIVE LAND USE GUIDE PLAN The Zoning and Guide Plan history for the bulk of the site (approx. 80 acres) is listed below: SURROUNDING USES The site is adjacent to the 1985 Laukka -Beck Eagan Planned Development that incorporated approximately 450 acres in northeast Eagan. This Planned Development called for the establishment of office /retail, office retail /showroom, and research development uses throughout the site. Existing development in the proximity of the subject site consists of large scale corporate office (Ecolab, NWA, and the USPS) and a significant amount of office, office - showroom and office - warehouse development. The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: North - Undeveloped; zoned Ag; guided Special Area - O/S (Office /Service). South - Lone Oak Road/Gift of Mary/large lot homesteads zoned PD (Gift of Mary) and Ag; guided Special Area - O/S (Office /Service). East - Inver Grove Heights; zoned Ag; guided low density residential. West - Ecolab (formerly Cray) campus; zoned PD; guided Special Area - O/S (Office /Service). air Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 4 EVALUATION OF REQUEST The applicant's submittals allow the City to review the Guide Plan Amendment in relation to the pending amendment application for the 27 acre Laukka -Beck parcel north of the site. Additionally, it stands to reason that if the Guide Plan is amended for the two pending applications, the 38 acre parcel that lies between the two would likely follow the same path. As such, policy makers will want to be cognizant of the potential that a total of 148 acres may ultimately be influenced. MD — MEDIUM DENSITY RESIDENTIAL COMPREHENSIVE GUIDE DESIGNATION The MD Comp Guide designation category provides areas for medium density attached housing units, including two- family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4 -12 units /acre, including common area. LOAN OAK, LLC. PROPOSAL If the requested land use amendment is approved, Loan Oak Development, LLC proposes 488 total housing units on approximately 80 acres for a gross density of 6 units /acre and 48,000 SF of office condo on approximately 5 acres. The proposed housing, including senior housing, consists of a mix of single family, a mix of townhome products and condominiums. The 48,000 SF of office condo portion of the proposal is located on property originally included with the 1985 Laukka -Beck Eagan Planned Development and would not require a Comp Plan amendment to develop as proposed. TAX BASE IMPACTS The applicant has submitted Tax Benefit Study. The information presents a five -year tax analysis that, based on the consultant's assumptions, concludes that "The housing scenario provides a significant tax revenue advantage over the commercial option." The City's fiscal consultant, Springsted, has reviewed the study and has provided an analysis, which is attached, of the assumptions and alternatives outlined in the applicant's study. Springsted's analysis indicates that the relative tax revenue and service cost impacts of residential and commercial development alternatives are highly sensitive to the assumptions applied and that residential development typically places a higher demand on local government services than comparable values or intensities of commercial development. Ordinarily, tax base comparisons have not been presented the City's analyses of land use applications. It is included in this case because it was included in the applicant's submittal. ENVIRONMENTAL IMPACTS Any development of the subject site will be required to address the physical and environmental factors that could influence the development potential of the property. As proposed, the aia Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 5 residential unit count exceeds the threshold requiring a mandatory Environmental Assessment Worksheet (EAW) to be prepared. / 3 Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 6 Grading /Topography The site is generally open with varying topography and wooded areas around natural lowlands and wetlands. TreesNegetation Much of the site consists of open grassland or water and approximately 30% of the site is wooded. As such, development should be possible with minimal impact to the existing vegetation. The City's Tree Preservation Ordinance will apply to any development of the site. Wetlands A large portion of the northern 40 acre parcel is occupied by an unnamed DNR designated water body that has the DNR ID# 19 -54 and approximately 2/3 of the 80 acre site lying within a Shoreland Zoning area. Storm Water Drainage /Water Quality Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. Airport Noise Considerations The proposed development site is located 4 1 /2 miles from the parallel runways at MSP, in line with the primary departure flight tracks and adjacent to the primary arrival tracks for those runways. As such, the site is located in Noise Zone 4 as defined by the Metropolitan Council Policy Contours adopted in 1996. Within Noise Zone 4, office, commercial and industrial development is considered compatible. The development of residential uses with individual entrances is considered conditional and the development of residential uses with shared entrances, such as typical apartments, is considered provisional. The definitions of those terms are discussed more completely in the staff's aircraft noise report, which is attached. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. To that end, it has guided and zoned much of the northeastern portion of the City for compatible office, commercial and industrial uses in what is commonly referred to as the Eagan- Mendota Heights Corridor. The Corridor and the related policies of the City of Eagan, the Metropolitan Council and the Metropolitan Airports Commission are based on the concept that noise compatible land uses are the most effective means of preventing noise nuisance. As noted above, the City's adopted Comprehensive Guide Plan currently designates the area as Special Area — O/S (Office /Service). If residential uses are to be considered as proposed, the threshold question is whether residential uses would be appropriate in this area and, if the City determines that to be the case, regional policy provides guidance in gauging whether such uses can be provisionally or conditionally acceptable. 3/ cf Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 7 Summary — Environmental Impacts As proposed, the residential unit count exceeds the threshold for a mandatory EAW to be prepared prior to consideration of rezoning and/or subdivision application. Development of the site should be possible with minimal impact to the existing vegetation. A large portion of the northern 40 acre parcel is occupied by an unnamed water body that has the DNR ID# 19 -54 and approximately 2/3 of the 80 acre site lying within a Shoreland Zoning area. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. In response to anticipated aircraft noise, the applicant's noise consultant states that interior noise attenuation can be accommodated easily with good building practices. The Metropolitan Council Aircraft Noise Policies defines specific findings that need to be made in addition to the development's capacity to achieve noise attenuation for individual entry residential development. The City will need to determine whether it concurs or differs with the applicant's position regarding the appropriateness of residential uses in Noise Zone 4. INFRASTRUCTURE Streets /Access /Circulation Public street access for the site is available onto Lone Oak Road (Dakota County Road 26). Access for a specific development proposal to Lone Oak Road will need to be reviewed and approved by Dakota County. Traffic Impacts The developer has submitted a traffic study that concludes "...that the proposed concept development plan would cause less traffic impact on nearby roadways than would occur if the property developed in accordance with the existing zoning." The City's traffic engineer concurs that the proposed residential use will result in less peak and less total daily trips being generated in comparison to a development consistent with Office /Service Guide Plan designation. Storm Water Drainage The entire site lies within Drainage District F (as designated in the City Storm Water Management Plan — 1990), and ultimately drains to the west toward O'Neil Pond near Highways 55 and 149. Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. Utilities Lateral sanitary sewers have been stubbed to serve the sites from the Cray Research and NWA campuses, and at the Lone Oak Drive and Lone Oak Road intersection, to the west. Sanitary sewer District N (as designated in the City's Comprehensive Sanitary Sewer Plan — 2000) serves ass Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 8 the entire site. The wastewater flows associated with a possible medium density residential development are estimated to be less than those anticipated with commercial/ industrial development in the 2000 Sewer Plan. Therefore, the lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. The City's Comprehensive Water Supply and Distribution Plan (1996) identifies the need for a trunk water line extension along Lone Oak Road, and associated connection to water lines within the Cray Research property, to serve development of the southern portion of the subject site. Summary - Infrastructure Development of the proposed residential use will result in less peak and less total daily trips being generated from the site in comparison to a development consistent with Office /Service Guide Plan designation. The lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. COMPREHENSIVE LAND USE IMPACTS This section includes information on the City's residential land supply, major office land supply and development goals. Residential Land Supply The applicant has submitted a Housing Study prepared by a consultant that states, in part, that "Eagan is a highly desirable residential community with a substantial amount of employment." The applicant's Housing Study also states the type of amenities sought by likely buyers of the proposed residential units and concludes with "We believe that your respective residential developments will provide today's buyers with the features and amenities they are seeking." An update of Eagan's housing mix was completed in October 2003. The update shows that the City is maintaining an excellent mix of housing types and life cycle housing choices. As indicated in the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998. At that time, 47% of Eagan's housing consisted of attached, multi - family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38 %. The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Laukka -Beck site to the north will result in an attached unit percentage of 48.4 %. In addition to City -wide land use and housing supply, the housing balance and density within the surrounding area should be considered. Approved but not yet built, Gift of Mary was determined to be an institutional use and the rezoning to Planned Development was deemed consistent with a/‘ Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 9 the Office /Service Guide Plan designation which provides Limited Business as a compatible zoning district. The subject site is isolated from other Eagan residential neighborhoods. The nearest existing residential use is the large -lot Rural Residential area (Special Area 3) located south of Lone Oak and north of Highway 55. Similar to the subject site, the Special Area 3 Comprehensive Guide Plan for this area stipulates the ultimate development being commercial in nature, consistent with the Office /Service Guide Plan designation. Major Office Land Supply One of the larger "major office" parcels (80 acres) has been developed for activities other than major office. In the mid- 1990's, an application to change the Guide Plan designation to mid - density residential was considered for the 80 acre Argosy /Central Park parcel (formerly owned by Sperry). The City's Commercial Land Use Study Background Report (February 1994) includes goals adopted by the City's Economic Development Commission to promote and retain a strong and diverse tax base and employment base. The report also cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." The Commercial Land Use Study Interim Report Working Policies (April 1994) concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. The relevance of the Commercial Land Use Study goals /policies stated above is a determination for City policy makers. Special Area 1 Conclusions and Land Use Policies Special Area 1 (The Waters), adopted in December 2001, concludes that in recognition of surrounding land uses, traffic volumes and the area's inclusion in the aircraft noise zone, the long -term desirability of residential uses (several existing agriculturally and residentially zoned properties scattered throughout the area) in the area is considered questionable. Adopted policies include that the City will discourage any additional residential development, including further subdivision of any existing residential property and that the City ultimately expects the entire area, save for the Trinity Lutheran Church property, to develop as office, office showroom, research and development, and neighborhood business uses. a /7 Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 10 The existing residential uses are considered transitional; however, the transition from residential to commercial would occur via private market forces. Summary — Comprehensive Land Use Impacts An Eagan housing mix review (as of October 2003) illustrates that the City is maintaining an excellent mix of housing types and life cycle housing choices. As indicated in the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998. At that time, 47% of Eagan's housing consisted of attached, multi - family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38 %. The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Laukka -Beck site to the north will result in an attached unit percentage of 48.4 %. The Commercial Land Use Study cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." The existing supply of land available for office /research and development is extremely limited, particularly 40+ contiguous acres. The Commercial Land Use Study Interim Report Working Policies concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. In keeping with the City's effort to avoid compatibility issues with operations at MSP, the Waters Plan discourages residential development in northeast Eagan. SCHOOL SYSTEM This section will provide information regarding the potential impact of the proposed land use change on the public school system. The subject site is located in ISD 196 and, according to the district; the subject area has not previously been considered an area that would generate students for 196. The evaluation includes the existing capacity and enrollment projections for the schools that would serve this area and an estimated demand for school services with the additional students from the proposed and potential residential development. Capacity and Enrollment Projections The area is served by three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School. Glacier Hills has a capacity of 615 and is projected at 455 for the 2004 -05 de" Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 11 school year. Dakota Hills has a capacity of 1,255 and is projected at 1,369 for 2004 -05. Eagan HS has a capacity of 1,915 but has a projected enrollment of 2,202 for 2004 -05. Estimated Impacts Based on the unit/housing type proposed by the applicant, ISD 196 would expect the Loan Oak proposal to generate 34 elementary students, 17 middle school students and 22 high school students or a total of 73 students. While there are clearly capacity issues being experienced at the Middle School and High School serving this area, the anticipated increase in students generated from the proposed development does not appear to exacerbate the situation in a significant way. Summary — School System The area is served by three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School. Although capacity issues exist with Dakota Hills and Eagan HS, the anticipated increase in students due to the proposed development does not appear to impact the situation in a significant way. PARKS AND RECREATION SYSTEM The park section reviews the implications of the proposed land use change on the parks and recreation system at both the neighborhood and City -wide levels. Under the existing Comprehensive Plan, the City would have no need for a park in this area and would assume a cash park dedication for development in this area. Policy makers should consider the costs associated with improving and perpetually maintaining a new park facility in relation to a cash park dedication (with commercial development) that would enhance the City's Park Site fund. Park Systems Plan The current park System Plan, updated in 1994, does not designate any parks in this area of the City. The property has long been designated for office, research and development, etc. There are not any City -wide park facilities in the immediate area and no convenient facilities in the general area. Policy 4 of the Comprehensive Guide Plan, Chapter 7 (Parks), "Land Acquisition, Facility Development and Maintenance," states: The City will pursue the acquisition and development of neighborhood parks in order that each neighborhood service area, as illustrated in the Park System Plan, is adequately served with appropriate recreational facilities. Qif Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 12 Neighborhood Parks The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. The City has always attempted to adhere to a policy of providing a park within a half mile of every residential unit. The nearest neighborhood park to the development area would be Bur Oaks Park which is anywhere from '/z to nearly 1 '/2 miles from units in the development. To get to Bur Oaks Park, residents of the proposed development would either have to drive to the park or have pedestrians crossing Lone Oak Road and Highway 55, a four -lane arterial carrying highway traffic loads. There currently is no trail connection. Improvement costs would naturally vary depending on how the land was used and what the open space was used for, but a very preliminary number for turning flat ground into green space is $8,000 to $10,000 per acre. The cost can fluctuate depending on topography. The cost of developing park amenities is highly variable. For a neighborhood park, $75,000 to $100,000 is a reasonable estimate. Routine maintenance, also a variable, can run about $800 to $1,000 per acre/ per annum. This includes both the value cost of labor and equipment and the actual cost of materials. Supporting information provided by the applicant includes reference to the creation of an executive nine hole golf course as part of the design. At this time, the Parks and Recreation Department is not in a position to operate such a golf feature because the maintenance responsibilities and costs of a golf facility are very significant. The department is not currently in a position to accept either operational or financial responsibility for a course. This does not preclude the developer from creating and operating a golf facility. Also, such a narrowly focused use of park land appears to conflict with the Comprehensive Guide Plan and Park Systems goals of providing a `neighborhood park' for each neighborhood service area, and the recreation goal of activity diversity and all- inclusiveness. Thus, the development of a golf course would not be considered as a means to fulfill the park dedication requirement. Park Dedication The standard park land dedication for the density suggested on the property, greater than 3.5 units /acre, is 12% of the gross area. It is a sliding scale that decreases to 8% where the density is <2 units per acre. Where ponding has been determined to have a "park function," credit is given at 50 %, though a minimum of 70% of the dedication must be above the normal high water level. This formula is based upon there being 15 acres of parks and open space per 1,000 residents, of which, 12 acres is designated as "neighborhood parks." If the park dedication is to be met with land, there would be no cash dedication required. Summary — Parks and Recreation System Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 13 The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. There is an opportunity cost associated with a land versus cash park dedication in this area. In addition to foregoing an infusion of cash into the Park Site Fund that would be associated with a commercial development, the City would assume the expense of improving a park feature and the resource responsibility for on -going maintenance. Supporting information provided by the applicant includes reference to the creation of an executive nine hole golf course as part of the design. The Parks and Recreation Department is not currently in a position to accept either operational or financial responsibility for a course. However, this does not preclude the developers from creating and operating a private golf facility. The standard park land dedication for the proposed density, greater than 3.5 units per acre, is 12% of the gross area. The necessary land dedication would also reduce the net area available for private development. If the park dedication is to be met with land, there would be no cash dedication required. SUMMARY OF FINDINGS In evaluating this proposal, the following items should be considered: GENERAL CONSIDERATIONS ➢ Loan Oak Development, LLC is requesting approval of a Comprehensive Guide Plan Amendment from Special Area Office /Service to Medium Density residential for approximately 80 acres located in northeast Eagan. > The MD Comp Guide designation category provides areas for medium density attached housing units, including two- family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4 -12 units /acre, including common area. ➢ The Waters (Special Area 1) plan, adopted in December 2001, concludes that in recognition of the surrounding land uses, traffic volumes and the area's inclusion in the aircraft noise zone, the long -term desirability of residential uses (several existing agriculturally and residentially zoned properties scattered throughout the area) in the area is considered questionable. aa( Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 14 > Cray Research acquired and rezoned the subject site, approximately 80 acres, adjacent to the east boundary of the existing campus in the early 1990's for a buffer, to control future development adjacent to its campus, and for possible future expansion. > The conceptual proposal presented by Loan Oak Development, LLC includes 488 total housing units on approximately 80 acres for a gross density of approximately 6 units /acre. The proposed housing, including senior housing, consists of a mix of single family, a mix of townhome products and condominiums. ENVIRONMENTAL IMPACTS > The site contains some natural features that include varying topography, trees /woodlands, and wetlands. Development of the site should be possible with minimal impact to the existing vegetation. A large portion of the northern 40 acre parcel is occupied by an unnamed water body that has the DNR ID# 19 -54 and approximately 2/3 of the 80 acre site lying within a Shoreland Zoning area. > Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. > The applicant has stated that indoor noise impacts within the proposed residential property could be attenuated through appropriate building techniques. The applicant does not address other findings outlined within the regional aircraft noise policy and the housing market consultant suggests that outdoor uses /activities are desirable within the market group identified. The primary decision is whether residential use would be desirable for the City in the context of airport noise. If so, appropriate design and construction considerations would be essential. > The proposed residential unit count exceeds the threshold for a mandatory Environmental Assessment Worksheet (EAW) to be prepared. The City Council will need to make a declaration on the need for an Environmental Impact Statement (EIS) before any rezoning and/or subdivision application can be considered. INFRASTRUCTURE > Public street access to the site is available to Lone Oak Road (Dakota County Road 26). Access for a specific development proposal to Lone Oak Road will need to be reviewed and approved by Dakota County. > Development of the proposed residential use will result in less peak and less total daily trips being generated from the site in comparison to a development consistent with Office /Service Guide Plan designation. > The lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. aaa Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 15 COMPREHENSIVE LAND USE IMPACTS > According to the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998.At that time, 47% of Eagan's housing consisted of attached, multi- family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38 %. > The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Loan Oak Development site to the south will result in an attached unit percentage of 48.4 %. > The Commercial Land Use Study Interim Report Working Policies (1994) concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land should be preserved and promoted for major corporate office or institutional facilities. > The City's Commercial Land Use Study Background Report (February 1994) states the goal "to promote and retain a strong and diverse tax base and employment base." The report also cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." > The Commercial Land Use Study Interim Report Working Policies (April 1994) concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. > Special Area 1 concludes that the City will discourage any additional residential development in the area, including further subdivision of any existing residential property > In keeping with the City's effort to avoid land use compatibility issues with operations at MSP, the Waters Special Area Plan discourages residential development in northeast Eagan. The Metropolitan Council Airport Noise Policies provide guidance for the factors to be reviewed in considering whether to permit residential development within the Noise Zones. SCHOOL SYSTEM > Three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School serve this portion of ISD #196; although capacity issues exist with Dakota Hills Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 16 and Eagan HS, the anticipated increase in students due to the proposed development does not appear to impact the situation in a significant way. PARKS SYSTEM ➢ The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. ➢ Consideration should be given to the opportunity cost associated with improving and perpetually maintaining a new park facility in relation to a cash park dedication (with commercial development) that would enhance the City's Park Site fund. Supporting information provided by the applicant includes reference to the creation of an executive nine hole golf course as part of the design. The Parks and Recreation Department is not currently in a position to accept either operational or financial responsibility for a course. ACTION TO BE CONSIDERED To provide comment on the Planned Development Concept Plan. To recommend approval (or denial) of a Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential for approximately 80 acres of undeveloped land located north of Lone Oak Road, west of the IGH corporate boundary, in the SE '/4 of Section 1. Planning Report — Loan Oak Development, LLC. April 27, 2004 Page 17 TABLE OF ATTACHMENTS LOCATION MAP PAGE 18 ZONING & COMP GUIDE MAP PAGE 19 APPLICANT NARRATIVE PAGES 20 — 29 LOAN OAK SKETCH PLAN PAGE .30 LONE OAK MIXED -USE SKETCH PLAN... .3i. LONE OAK MIXED -USE DEVELOPMENT SUMMARY.... 32 SPRINGSTED TAX BENEFIT ANALYSIS... Enclosed separately STAFF AIRPORT MEMO .Ps. 3.. —. .44 WATERS (SPECIAL AREA 1) PLAN PAGES 45 — 52 APOLLO POOP Subject Site 100D 2000 Feet Development/Developer: Loan Oak Development Application: Comprehensive Guide Plan Amendment Case No.: 01- CG- 02 -02 -04 Map Prepared us .-mow• by Dakota C,- ce •f /? r THIS P I The City of Eagan and Dakot C do no - sponsible for w 3.1. ree , p data provided • is e nt as • uary 2004. FERE E USE ONLY e try 'accuracy of this information and are rredi: omissions. Location Map i i 1 \' I 1 L 7 .........._.... Eagan Boundary ( 1,/ Street Centerline 1 ( Parcel Area Building Footprint Current Zoning and Comprehensive Guide Plan Land Use Map Loan Oak Development Case ; -04 4 1I- City of Eagan Community Development Department Parcel base map Infornatle fin! Land Survey Departme,t June 2003. ed bC Ity Stan I THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. N W+ E Zoning Map •. - � c Agricultural SA -0!S 1 I fio PD SA-04 (� Current Land Use Designation: SA Special Area - Office /Service Agriw Current Zoning: PD Planned Development SA-0!s P D Subject Area r* Low Density Residential Ni Subject Area 1 BOO 0 600 1200 Foot A hoe 0 goo 120D Fr, PD 1 sFO'S ,- 1 Current Zoning and Comprehensive Guide Plan Land Use Map Loan Oak Development Case ; -04 4 1I- City of Eagan Community Development Department Parcel base map Infornatle fin! Land Survey Departme,t June 2003. ed bC Ity Stan I THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. N W+ E Comprehensive Guide Plan Land Use Map •. - � SA -0!S 1 I SA SA-04 (� Current Land Use Designation: SA Special Area - Office /Service SA-0!s Subject Area r* Low Density Residential 1 BOO 0 600 1200 Foot sFO'S Current Zoning and Comprehensive Guide Plan Land Use Map Loan Oak Development Case ; -04 4 1I- City of Eagan Community Development Department Parcel base map Infornatle fin! Land Survey Departme,t June 2003. ed bC Ity Stan I THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. N W+ E Larkin Hoff man ATTO RN ETS February 18, 2004 Ms. Carla Heyl, Chair Advisory Planning Commission City of Eagan City Hall 3830 Pilot Knob Road Eagan, MN 55122 Re: Loan Oak Development, LLC Mixed Use Development Dear Ms. Heyl: Larkin Hoffman Daly & Lindgren Ltd. 1500 Wells Fargo Plaza 7900 Xeres Avenue South Minneapolis; Minnesota 55431 -1194 GENERAL: 952- 835 -3800 FAX: 952 - 896 -3333 WEB: wwwlarkinhoffrian.com Loan Oak Development, LLC ( "Loan Oak') seeks approval from the City of Eagan ( "the City") to designate residential use rights under an existing Planned Development Agreement in order to pursue development of a mixed -use project on an 83.45 -acre parcel at the intersection of Lone Oak Road and Paradise Lane ( "the Site "). The mixed -use development will include: (1) low to medium density owner - occupied housing, (2) commercial office and office/showroom, (3) an executive -play nine (9) hole golf course and putting green, and (4) a public trail network around preserved wetlands and a protected lake. Alternatively, the existing Cray Research Agreement governing the use of the Site has expired and pursuant to City Ordinance, the underlying residential zoning of the Site is reinstated. Loan Oak is the successor to a Planned Development Agreement between the City and Cray Research, Inc. ( "the Cray PDA "). Loan Oak is pursuing an amendment as authorized by the Cray PDA to support its mixed-use development plan. The City Council can adopt this amendment without amending the Comprehensive Plan, since the right of amendment is contractually provided for by negotiated agreement of the parties, and Loan Oak's proposed uses conform with either the existing agreement or the underlying zoning. Cray PDA, para. 8. Moreover, by this request, Loan Oak is not seeking to rescind or alter the existing Planned Development ( "PD ") zoning of the Site and, therefore, the zoning remains consistent with Land Use Map of the City. However, staff believes an amendment is appropriate and has requested that Loan Oak process a Comprehensive Plan amendment with its PDA amendment request. Without conceding this point, Loan Oak proposes to amend the City's Comprehensive Plan to reflect the proposed residential uses on the Site. Loan Oak has completed several studies regarding the Project at the Site. These studies evaluated traffic, airport noise, housing demand and tax impacts. In each case, the impacts can be safely managed or represent an improvement over the uses contemplated by the City for the Site. cc-0.78"" Ms. Carla Heyl, Chair February 18, 2004 Page 2 In 1987, Cray Research sought and received City approval of Planned Development zoning, and the City and Cray entered into a Planned Development Agreement relating to a 116 -acre corporate campus. Cray constructed its corporate headquarters on this property. The original Cray PD approval was a carve -out from the 458 -acre Laukka -Beck Planned Development Area. Subsequently, Cray acquired and rezoned two separate 40 -acre parcels, which together comprise the Loan Oak Site. This Planned Development zoning is reflected in a Planned Development Agreement dated February 2, 1987, but which apparently was not executed until 1992. The respective Planned Development rezonings affecting the Loan Oak Site are summarized below. 1989 PD Rezoning: Cray sought a rezoning of a 40 -acre parcel directly adjacent to the east of the original Cray 116 -acre campus. The 40 -acre parcel fronted on Lone Oak Road. The zoning application sought to amend the zoning designation of the subject property from R -4/R -1 to Planned Development. At the time, Cray did not propose, nor did the City commit to - a specific use of this parcel in rezoning it. No development agreement was executed at the time of approval. This 40 -acre parcel continues to be zoned Planned Development on the City's Zoning Map, as an overlay to the pre - existing residential zoning. 1991 PD Rezoning: Cray rezoned a second 40 -acre parcel directly east of the original Cray campus and north of the 40 -acre parcel rezoned in 1989. As with the prior zoning change, Cray sought Planned Development zoning for this parcel, in place of R-1 zoning. As with the 1989 PD rezoning, neither Cray nor the City proposed specific uses for this property. This parcel continues to be zoned Planned Development on the City's Zoning Map, as an overlay to the pre- existing residential zoning. "1987" Planned Development Agreement Development History The City has provided Loan Oak a copy of a Planned Development Agreement between the City and Cray bearing a date of February 2, 1987. However, it appears this document was not actually executed until the summer of 1992. It refers to the fact that "Cray has made application for rezoning of approximately 80 acres located at the northwest comer of Lone Oak Road and Argenta Trail...." The "1987" Cray PDA refers to a "Schedule C- Schedule of Development" to "be prepared and submitted to the City at the time of initial Development of the Property (sic)." It does not appear that this schedule was ever submitted or adopted given the lack of a defined use of the Site. No development activity has occurred on the Site since the respective actions in 1989 and 1991. While the Cray PDA was put in place to support Cray's business objectives, Cray has ceased operations at its original corporate headquarters location and the corporate campus has transferred to a series of successive owners. One of those owners, WAM!NET, has substantially downsized its business and the corporate building is again for sale. Loan Oak acquired the Site in 2002. Senior Cooperative Housing 150 units Active Adult Manor Homes 72 units Carriage Urban Townhomes 94 units Villas 69 units Condominiums 80 units Executive Single - Family Lots 23 units TOTAL 488 units (5.9 units per acre) Office Condo 48,000 square feet Wetland/Park Area 30.8 acres Usable Area 52.65 acres Greenspace (overall) 59 acres (69 %) TOTAL SITE AREA 83.45 acres Ms. Carla Heyl, Chair February 18, 2004 Page 3 Project Description The mixed -use project's total Site area is 83.45 acres with 59 acres of greenspace or 69% of the Site (30 acres of the Site is preserved wetland and park area). About 52 acres of the Site will actually be used for the mixed -use Project. Approximately 48,000 square feet of office -condo will be constructed on a 5 -acre parcel, directly adjacent to Lone Oak Road. Below is a summary of the mixed uses contemplated at the Site: The Cray PDA provides that it may be amended by mutual consent of the parties. Cray PDA, para. 8. The Cray PDA has been the basis of the City's regulatory regime for that area for more than a decade. Without waiving its right to rely on the underlying zoning, Loan Oak is seeking by this application to amend the Cray PDA to provide uses available in the underlying Residential Zoning District, together with commercial uses contemplated by the Cray PDA. Ms. Carla Hey', Chair February 18, 2004 Page 4 City Comprehensive Plan — "The Waters Area Plan" The Site is guided Special Area ( "SA ") on the City's Land Use Map. According to the City's 2001 Land Use Plan, there were slightly more than 800 vacant acres designated as Special Area; an additional 124 acres are identified as `underutilized ". The Land Use Map notes that the Site is within the "Waters Area," with no elaboration of uses for this area The Waters Plan and study "area is located in the extreme northeast corner of the City and overlays 640 acres of land. The area (is) bounded on the north by I-494 and on the east by the City of Inver Grove Height corporate limits. The vast majority of the study area is zoned PD, Planned Development." The Waters Plan, pg. 1 (2001). The Waters Area encompasses the so -called Laukka -Beck Planned Development Area, which was established in 1985. According to the Waters Plan, "approximately 40 percent of the original [Laukka Beck] Planned Development remains vacant or underutilized." The Loan Oak development footprint for the Site comprises less than ten percent (10 %) of the 640 -acre Waters Area. City Planned Development Ordinance The City's Planned Development Ordinance ( "the PD Ordinance ") does not enumerate permitted or conditionally permitted uses. Under the PD Ordinance, a Planned Development is intended to: • Provide greater flexibility in environmental design and relaxation of strict zoning standards in exchange for greater creativity and environmental sensitivity. • Recognize the economic and cultural advantages that will accrue to the residents of a planned community. • Encourage a more creative and efficient use of land. • Encourage the preservation and enhancement of desirable site characteristics, natural features, and open space. • Encourage a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. Zoning Ordinance, § 11.60, Subd. 18, A. (1 -5). Development which does not conform to an approved Final Development Plan requires an amendment to the existing Planned Development Agreement, processed in the same manner as a new Planned Development. Zoning Ordinance, § 11.60, Subd. 18, C. (15b). A Final Development Plan was never proposed or adopted for the Site. Loan Oak, by this application, is seeking to designate the use rights for the Site, which were not specified either by Cray or by the City through prior approval of the Cray PDA. Ms. Carla Heyl, Chair February 18, 2004 Page 5 Finally, the Planned Development Ordinance provides as follows regarding termination of an approved Planned Development: Upon expiration of the specific time period approved by the city for total development of a planned development, the subject area shall become a permanent planned development district.... Provided, nevertheless, that if a planned development is not completed within the required time period, the planned development district classification shall automatically terminate as to that portion of the district that has not been developed. The requirements and provision of the underlying zoning classification in its entirety shall thereafter apply to the undeveloped area. Any factual disputes arising under this subsection shall be presented to and determined by a majority vote of the city council. Section 11.60, Subd. 18, C, 16 (emphasis supplied). Transportation Impacts Loan Oak and Laukka -Beck Eagan Partnership have jointly conducted a traffic study of their proposed developments. The analysis demonstrates total daily trips, along with peak hour traffic impacts which are substantially below those expected under the commercial - industrial development model endorsed in the Waters Plan. Addressing transportation impacts directly attributed to the proposed development would be the responsibility of the developer. The analysis by Benshoof & Associates is attached. Airport Noise Policies The Site is within the Metropolitan Airports Commission ( "the MAC ") Airport Noise Policy Area, Noise Exposure Zone 4. Noise Exposure Zone 4 is "best described as a transitional area where aircraft noise exposure might be considered moderate." Metropolitan Development Guide, Metropolitan Council, December, 1995. Under the Metropolitan Council's Airport Land - Use Compatibility Guidelines, single - family and multi - family uses, depending on their design, are either conditional or provisional uses. Conditional uses are conditionally acceptable upon review of the City Council. Provisional uses must comply with certain structured performance standards under the Metropolitan Area Aircraft Noise Attenuation Act, Minnesota Statutes § 473.192. Comprehensive Plan, § 5 (2001). Recently, the MAC published its new noise contour .for the international airport. It demonstrates that the residential portion of the Loan Oak Site is entirely outside of both the 65 and 60 DNL noise contours. Consequently, noise impacts are not a factor affecting the viability of housing at the Site. Notwithstanding, both Loan Oak and Laukka -Beck have jointly undertaken an analysis of potential aircraft noise impacts. The analysis by David Braslau Associates confirms that noise Ms. Carla Heyl, Chair February 18, 2004 Page 6 impacts are not a significant factor and can be dealt with through readily available sound attenuation technology. Land Supply/Market Pressure Loan Oak and Laukka -Beck have surveyed the market in the Waters Area to determine land supply and market demand. The commercial brokers we contacted believe that there is an oversupply of commercial/office/industrial property available within Eagan or adjacent communities. CSM currently owns approximately 70 acres within the Laukka -Beck Planned Development Area; this property will support in excess of several hundred thousand square feet of new commercial or industrial space. The Twin Cities economy went through a significant expansion during the last decade and the Loan Oak Site was untouched. The Loan Oak Site is unattractive to the commercial/office market due to its remote location on the backside of the Laukka Beck Planned Development Area. Laukka -Beck and Loan Oak Development have jointly retained Maxfield Research to evaluate the viability of residential development of their respective sites. The attached study documents the strong demand for "life- cycle" housing in the City, especially on the higher end. Given the market realities, Loan Oak believes, respectfully, that the proposed Project is a better use of the Site. Tax Impact of Proposed Development We have completed a five -year tax analysis for the Loan Oak/Laukka -Beck project in Eagan. The analysis used the following base information: • Tax information provided by the PID's • The 2003 net tax capacity rate for the City of Eagan • Proper class rates •. The phasing and market values provided by Gary Tushie The housing scenario provides a significant tax revenue advantage over the commercial option. We have included copies of the analysis. a33 2 Existin • Vacant Land Commercial Housin Total Taxes 154,954 971,855 2,424,588 Tax Capacity -- 1,104,355 2,656,500 Market Value 3,954,900 55,217,760 242,300,000 Five -Year Tax Revenue 774,621 3,029,589 10,743,848 Ms. Carla Heyl, Chair February 18, 2004 Page 6 impacts are not a significant factor and can be dealt with through readily available sound attenuation technology. Land Supply/Market Pressure Loan Oak and Laukka -Beck have surveyed the market in the Waters Area to determine land supply and market demand. The commercial brokers we contacted believe that there is an oversupply of commercial/office/industrial property available within Eagan or adjacent communities. CSM currently owns approximately 70 acres within the Laukka -Beck Planned Development Area; this property will support in excess of several hundred thousand square feet of new commercial or industrial space. The Twin Cities economy went through a significant expansion during the last decade and the Loan Oak Site was untouched. The Loan Oak Site is unattractive to the commercial/office market due to its remote location on the backside of the Laukka Beck Planned Development Area. Laukka -Beck and Loan Oak Development have jointly retained Maxfield Research to evaluate the viability of residential development of their respective sites. The attached study documents the strong demand for "life- cycle" housing in the City, especially on the higher end. Given the market realities, Loan Oak believes, respectfully, that the proposed Project is a better use of the Site. Tax Impact of Proposed Development We have completed a five -year tax analysis for the Loan Oak/Laukka -Beck project in Eagan. The analysis used the following base information: • Tax information provided by the PID's • The 2003 net tax capacity rate for the City of Eagan • Proper class rates •. The phasing and market values provided by Gary Tushie The housing scenario provides a significant tax revenue advantage over the commercial option. We have included copies of the analysis. a33 2 Ms. Carla Heyl, Chair February 18, 2004 Page 7 Project Discussion The City's PD Ordinance provides "[tjhe advisory planning commission, in making a recommendation, and the council, in acting upon a plan, shall consider the following factors:" The consistency of the proposed Planned Development with the adopted or proposed Comprehensive Guide Plan of the City. The Waters Plan seeks to encourage the development of office and office/showroom uses, along with other commercial uses, in the Waters Area. A portion of the proposed mixed -use development will be office and/or office/showroom. While the Waters Plan does not favor residential development, the market does not favor the guided uses. Cray Research itself, no longer exists; its successor owner, Wam!Net, likewise, is contracting in size. After 12 years, the Cray PDA should be revised or the underlying zoning reinstated. The residential component conforms to the underlying Residential zoning of the Site. The PD Ordinance provides for reinstatement of the underlying zoning when the PD lapses. The mixed development proposed is not inconsistent with overlaying the non - residential Waters Plan over an approved PD which does not specify uses and may revert to residential zoning. The Waters Plan seeks to promote development that presents an attractive image of the City and development which will retain the natural features of the area, including wetlands and mature vegetation. The proposed mixed -use development at the Site will establish an attractive image at an entrance to the City, while protecting the natural terrain of the Site. Development Stage review will confirm these protections. The Site is directly adjacent to the border of the City of Inver Grove Heights. Property in Inver Grove Heights adjacent to the Site is planned for residential development. Residential development on the Site will create an appropriate transition of uses between the two cities. The Waters Plan encourages new development in the Waters Area to incorporate sound attenuating construction techniques as suggested by the Metropolitan Council. Loan Oak will incorporate such construction techniques. Moreover, the Metropolitan Airports Commission has recently published its updated noise contours; the Site falls outside of the 60 DNL contour. This means that noise impacts attributed to aircraft do not pose a conflict with housing; in any event, whatever noise impacts exist can be addressed. The extent to which the proposed Planned Development is designed to form a desirable and unified environment within its own boundaries in terms of relationship of structures, patterns of circulation, visual character and sufficiency of drainage and utilities. The proposed master - planned mixed -use development will include owner- occupied low to medium density housing. The residential and commercial office and office/showroom uses and the executive nine (9) hole golf course will be designed to relate and function with one another, linked by trails and street systems. All aspects of the Project will be subject to City approvals, along with association management standards and requirements. Ms. Carla Heyl, Chair February 18, 2004 Page The extent to which the proposed uses will be compatible with present and planned uses in the surrounding area. Residential and office commercial uses currently exist in the surrounding area. The Project is adjacent to land guided for residential in the City of Inver Grove Heights. Commercial property owners do not object to the Project. Residential customers place a premium on maintenance -free living, coupled with the goal of minimizing freeway commutes. The City's Cedarvale Plan is an example of the type of integration envisioned by Loan Oak's proposed Project. That any exceptions to the City Zoning Ordinance are justified by the design or the development. The PD Ordinance does not establish specific uses within a Planned Development. The proposed office, office/showroom uses are consistent with the provisions of the Agreement. The proposed residential uses are permitted at the Site on the basis of the underlying Residential zoning. Loan proposes to protect and dedicate substantial portions of the Site to the public through trails and active greenspace. The sufficiency of each Planned Development phase's size, composition, and arrangement in order that its construction and operation is feasible without dependence upon any subsequent phase. The proposed mixed -use development will be constructed in one phase. Each component of the Project will be self - sustaining. The burden or impact created by the Planned Development on parks, schools, streets, and other public facilities and utilities. The proposed mixed -use development will include the creation of City park and public trail network constructed by paid for by the developer. City utilities will be extended to the Site at the developer's cost. The impact of the Planned Development on environmental quality and on the reasonable enjoyment of the surrounding property. The proposed mixed -use development will protect the natural terrain of the Site as envisioned by the Waters Plan. Existing wetlands and lake area will be protected and shared with the public. The development will have no negative impact on the surrounding environment and will be beneficial to the City by creating an attractive entrance to the City. Legal Analysis Under Minnesota law, metropolitan communities, such as Eagan, are required to enact both Comprehensive Plan and regulatory controls, ie zoning and subdivision regulations. See generally Minn. Stat. 462.357 and 473.864, subd. 1. Minnesota law requires cities in the metropolitan area to zone land in conformity with their approved Comprehensive Plans. Minn. Stat. § 473.858, subd. 1. Notwithstanding the statutory directives, it is well established that the Comprehensive Plan remains "advisory" with "objectives, policies, standards and programs to guide public and private land use...." Minn. Stat. 473.859, subd. 1.. Regulatory enforcement derives from the City's "official controls ", which include its Zoning and Subdivision Ordinance Ms. Carla Heyl, Chair February 18, 2004 Page 9 See PTL. LLC v. Chisago County Board of Commissioners, 656 N.W.2d 567 (Minn. App. 2003). The Minnesota Court of Appeals recently held that a County's Comprehensive Plan was merely an advisory device and did not, by itself provide a substantive basis to deny a land use application which otherwise met the requirements of the County's official controls. PTL, LLC v. Chisago County Board of Commissioners, 656 N.W.2d 567 (Minn. App. 2003). The City's PD Ordinance cites compliance with the Comprehensive Plan as one of several factors to be considered in deciding whether to approve a specific Planned Development request. Given this fact, it would be improper to rely on the City's Comprehensive Plan to deny the Loan Oak request. See Amoco Oil Co. v. City of Minneapolis, 395 N.W.2d 115 (Minn. App. 1986). The City's obligations are satisfied by the existing Cray PDA, which was adopted in conformance with the City's Comprehensive Plan. Loan Oak does not propose to change the existing PD zoning. Instead, both the PDA and City PD Ordinance give the City broad discretion to approve uses within a PD Zoning District. The Cray PDA and the City's PD Ordinance expressly reserves the underlying residential zoning for the Site. Given the plain language of the City's PD Ordinance and the Cray PDA, City reliance on the Waters Plan to deny the Project would be arbitrary and capricious. The Cray PDA has never been considered conflicting with the Comprehensive Plan, even with unspecified uses and the residential use reversion rights. The Planned Development Loan Oak proposes conforms with the Waters Plan or with the underlying zoning. Given the flexibility recognized by law in Comprehensive PIanning, and given that the City's PD Ordinance only considers Comprehensive Plan conformity as a factor in evaluating a PD application, the Loan Oak proposal conforms with the City's PD Zoning Ordinance and does not conflict with the Comprehensive Plan. Conclusion Loan Oak requests: (1) an amendment to the City's Comprehensive Plan to allow the development of a portion of the Site for residential use; and (2) an amendment to the Planned Development Agreement in force between the City and Loan Oak. Alternatively, Loan Oak contends that the Cray PDA is lapsed and that, according to the City's PD Ordinance, the underlying R-1/R--4 Zoning Districts are reinstated to the Site. Ms. Carla Heyl, Chair February 18, 2004 Page 10 Loan Oak respectfully requests the City's Advisory Planning Commission to recommend approval of its request to identify residential uses as allowed and compatible in connection with a mixed use development consisting of office, residential and recreational uses. 915995.1 Peter J. Coyle, for Larkin Hoffman Daly & Lindgren Ltd. cc: Mr. Jon Blanchar Mr. Jim Deanovic vo 01- Pig fl ZtJ f14: 3sn -aw MVO 21■101 ElOSaUtI W 'ue2 9 .7 C! `` r '' 1 141 (�l 1� : r � \ � 1 i / 7i ' .7 r i 121:1$ ir33 I I y .1 � E' y° = A r ' IV 41 GA ;11 s 1 ilig ,,.. ,1•11.0, Wf F ttew [ ca )Iva 3NO1) 92 'ON L •� wwwwil EwomW isom•Ja cow, 1111 ill \H�L_il�i��l ■11 '411 111x1!11! PariA L r erT! mamma • cunmr uh asofma rr w .cul 1 1I411<.4 M EN 0 imparmWMOM Imwc.wwwm j r rrplwrrun ' ri,mri.ac rage (i 11•1xb, aror. rh � Llrurnwwn ' � i MV PRO t�t� i gm* i \ • 113 Z---r-,...... "5.- - 1- -- ■ i . 1.0.-. • am r _I-- ‘ ........,_4::...::::,..., .,,._ 7 ..... T --.1.---r i , 1 4. •,,,• .., ...., s( .‘. 1.. I sir : J. - i i, '`�' AA-it 0 • • 9 2 a P t Fp-ri • `ksiV 1401 LAI tEtu LJ 3 /. LONE OAK MIXED-USE it2.9p, Eagan, Minnesota SITE DEVELOPMENT SUMMARY RESIDENTIAL 434 UNITS TOWNI- IO"1ES (SEE THRU) 58 TOWNHOMES (BACK TO BACK) 1 CARRIAGE URBAN TOWNHOMES 94 VILLAS Gq EXECUTIVE SINGLE FAMILY LOTS 23 CONDOMINIUMS 80 SENIOR RESIDENTIAL 222 UNITS SENIOR COQP 150 ACTIVE ADULT MANOR _ - ONES 72 TOTAL HOMES GSG UNITS COMMERCIAL OFFICE CONDO 4E3 SF COMBINED NORT1 -1 AND SOUTH AREAS TOTAL (N- SITE-- 2G:91-- AC)---- - - - - -- 110.35 ACRES (5 SITE 83.45 AC.) 77 AC., 70% GREENSPACE PARK 43.03 AC, 31% TO: FROM: DATE: SUBJECT: Overview city of eagan MEMO MAYOR GEAGAN AND CITY COUNCILMEMBERS CHAIR HEYL AND ADVISORY PLANNING COMMISSION MEMBERS JON HOHENSTEIN, COMMUNITY DEVELOPMENT DIRECTOR APRIL 23, 2004 LOAN OAK AND LAUKKA BECK PROPOSAL COMPREHENSIVE GUIDE PLAN AMENDMENT — REVIEW OF APPLICANT AIRCRAFT NOISE REPORT As a part of their application for an amendment of the City of Eagan Comprehensive Guide Plan Amendment, the applicants have submitted an analysis of regional policy as it pertains to residential development in proximity to Minneapolis -St. Paul International Airport. The purpose of this memo is to provide a review of that report for consideration by the Advisory Planning Commission and City Council. In lieu of hiring a consultant to perform this review, City staff prepared the information below, in consultation with staff of the Metropolitan Council and Metropolitan Airports Commission, to insure its accuracy. In addition to confirming representations made in this memo, the MAC staff has submitted additional comments regarding its policies and position relative to noise considerations in land use planning. The proposed development site is located 4 %2 miles from the parallel runways at MSP, in line with the primary departure flight tracks and adjacent to the primary arrival tracks for those runways. As such, the site is located in Noise Zone 4 as defined by the Metropolitan Council Policy Contours adopted in 1996 (In this memo, the terms Noise Zone and Policy Contours are used interchangeably). Within Noise Zone 4, office, commercial and industrial development is considered compatible with aircraft noise exposure. The development of residential uses with individual entrances is considered conditional and the development of residential uses with shared entrances, such as typical apaitments, is considered provisional. The definitions of those terms are discussed more completely below. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. To that end, it has guided and zoned much of the northeastern portion of the City for compatible office, commercial and industrial uses in what is commonly referred to as the Eagan- Mendota Heights Corridor. The Corridor and the related policies of the City of Eagan, the Metropolitan Council and the Metropolitan Airports Commission are based on the concept that noise compatible land uses are the most effective means of preventing noise nuisance. As noted in the primary staff report, the City's adopted Comprehensive Guide Plan currently designates the area as Special Area — O/S (Office /Service). If residential uses are to be oy/ considered as proposed, the threshold question is whether residential uses would be appropriate in this area and, if the City determines that to be the case, regional policy provides guidance in gauging whether such uses can be provisionally or conditionally acceptable. Applicants' Aircraft Noise Study The applicants have submitted an Aircraft Noise Study that acknowledges the subject site's proximity to the airport and relationship to the Noise Zones. The report compares the currently adopted 1996 policy contours to more recently published draft contours generated by the Metropolitan Airports Commission as a part of its Part 150 Noise Abatement Program. It also cites information within the Metropolitan Council's Builder's Guide relative to sound attenuation technologies and building techniques. On the basis of these citations of regional policy, the applicants' consultant's report concludes, "Single- family and multi - family development in Noise Zone 4 must meet 20 dBA exterior to interior noise attenuation for aircraft noise. This can be provided with standard good building practices with special attention to details that minimize intrusion of aircraft noise through openings and air leaks in the exterior building facade. Based upon (the applicants' consultant's) assessment of potential aircraft noise impacts and the applicable Metropolitan Council Guidelines, aircraft noise will not be an obstacle to development of residential land uses at either the Laukka -Beck or Loan Oak sites under the 1996, 2005 or 2007 noise contours." The application also includes exhibits, but does not provide narrative with respect to the City's Cedar Grove Redevelopment District and the City of Bloomington's Central Station Development. The developer has indicated in separate discussions that he believes that the consideration of residential land uses at the project site should be considered in light of the residential uses proposed or under development in those project areas. In the context of the City's Comprehensive Guide Plan and regional policy guidelines, the City will need to determine whether the representations made by the developer concerning the relationship of the proposed development to the effects of aircraft noise justifies a modification of the City's policies with respect to residential development in known areas of aircraft noise impact. Noise Contours With respect to the policy contours in effect for MSP, the adopted contours for land use planning purposes are the 1996 contours, which have been incorporated into the Metropolitan Council's Airport Noise Policies. As a consequence, the publication of other contours does not modify the current regional policy. While the consultant's report asserts that the 2005 contours have been adopted for the airport's Part 150 Land Use Program, they have not. The MAC discontinued the previous Part 150 Update following 9/11, because the effect of the tragedy on the future of the air travel industry threw all projections into doubt. ° 3V , The recently published 2007 contours are part of the reactivation of the Part 150 Update process, but neither the contours nor an update of the Part 150 Program has been submitted to or approved by the FAA. In addition, the Part 150 Program is separate from the Metropolitan Council Noise Policy process. While the Metropolitan Council utilized the 1996 contours that were generated by the MAC for the Part 150 program as the basis for the policy contours, the Council is not likely to consider an update of the Noise Policy Contours until the Part 150 update is completed. Even then, it is not certain whether the Metropolitan Council will adopt the new contours or not. The consultant report appears to assume that the Metropolitan Council will adopt the 2007 contours and replicate the one -mile radius methodology that was adopted with the 1996 contours. The report acknowledges that even if those modifications in regional policy occur, the development sites would remain in Noise Zone 4. The 2005 and 2007 contours are smaller than the 1996 contours in the area of the Eagan- Mendota Heights Corridor partially because of the increase in quieter generation Stage III aircraft in the fleet mix, a flattening of traffic growth in the aftermath of 9/11 and the fact that the current flight level projections are split between the parallel runways and the new 17 -35 (North- South) runway, due to open in 2005. As a consequence, the contours do not reflect the potential future effect of traffic growing to capacity on all available runways. Local and regional policy decisions about noise compatibility will need to consider whether the recently published contours represent a long term, stable contraction of noise impact or a snapshot in time representing a redistribution of short term projections of traffic. As a consequence, it may be premature to base any decision on the presumption that the policy contours will change or that the current contours reflect the long term noise environment around the airport. Further, it is important to note that the contours represent a series of gradients along a range of noise levels. It is well understood in the noise attenuation industry that it is not loud on one side of a contour and magically quiet on the other. The purpose for the one -mile radius around the DNL contours in regional and City policy is to acknowledge that noise nuisance is relative and receiver based and that local governments should carefully consider the impacts of noise over a broader area than the "boundaries" defined by a computer generated noise metric. It should also be noted that while the Part 150 Program requires compatibility of new land use developments to be addressed, that aspect of the program is largely addressed through the Metropolitan Council Noise Policies in the Regional Policy Plan's Aviation Guide Chapter. The bulk of the current debate with respect to the application of any updated noise contours focuses on those areas within which corrective noise abatement improvements will be applied. Properties that have been or will be developed since the Part 150 program was originally adopted are not eligible for such corrective improvements and, therefore, cities must carefully consider noise compatibility and/or provisions for noise attenuation and other noise related conditions in development decisions. Regional Guidelines and Policies The consultant's report references excerpts from several portions of the regional policies associated with the relative compatibility of land uses to aircraft noise within the various noise contours and the guidance for noise attenuation if a local unit of government chooses to permit residential uses in the noise zones. The report does not reflect the specific policy language in the City of Eagan's Comprehensive Guide Plan for Special Area 1, in which the proposed development site is located, which states: "Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any existing residential property." While the consultant's report accurately indicates that a local government that chooses to locate residential uses in the noise zones can make findings and apply performance standards to make them less inconsistent with noise exposure, those policies do not suggest that the local government should be compelled to reguide or rezone properties, even if those standards are met. The basic decision is whether the local unit of government finds it appropriate to permit such land uses. If so, the appropriate findings should be made and the appropriate conditions and requirements should be applied to offset the noise impacts to the maximum extent possible. The consultant's report accurately indicates that if a city wishes to find that shared entrance residential developments are provisionally acceptable, regional policy suggests that an indoor sound level of 45 dBA, or a reduction of at least 20 dBA, must be achieved. The report inaccurately suggests that individual entrance residential development (such as the proposed single family detached and townhome uses) must only meet that sound attenuation standard to be acceptable. Indoor sound level reduction is only part of one of eight conditional land use review factors for individual entrance residential buildings, which are: 1. Specific nature of the proposed use, including extent of associated outdoor activities. 2. Relationship of proposed use to other planning considerations, including adjacent land use activities, consistency with overall comprehensive planning and relation to other metropolitan systems. 3. Frequency of exposure of proposed uses to aircraft overflight. 4. Location of proposed use relative to aircraft flight tracks and aircraft on- ground operating and maintenance areas. 5. Location, site design and construction restrictions to be imposed on the proposed use by the community with respect to reduction of exterior to interior noise transmissions, and shielding of outdoor activities. 6. Method community will use to inform future occupants of proposed potential noise from aircraft operations. 7. Extent to which community restricts the building from having facilities for outdoor activities associated with the use. 8. Distance of proposed use from existing or proposed runways, parallel taxiways, or engine run -up areas. If individual entrance residential development is to be considered, the Planning Commission and City Council will want to make favorable findings on each of these factors. The factors may be applied differently depending upon whether a development is simply in proximity to the airport or if it is exposed to overflights. A brief analysis of each in the context of the application follows: 1. Specific nature of the proposed use, including extent of associated outdoor activities. — The proposed use is a combination of residential uses, consisting of both individual entry housing types (338 units Loan Oak/168 units Laukka Beck) and two shared entry cooperative buildings (150 units Loan Oak). The outdoor uses would consist of those activities that would typically be associated with the use of residential yards and common ownership green spaces for attached single family and multifamily properties. The potential park improvements that would need to be anticipated for a new development of this scale are discussed below in the Parks section of this report. The applicants have indicated that the purchasing demographic they anticipate for the senior cooperative and other housing types will gravitate toward residents without children and modest needs for outdoor activities. However, the applicants' residential market study states that "households that choose an owner- occupied multi - family option particularly desire communities that will offer them additional outdoor and recreational amenities as they typically have limited space within their units. Features such as picnic/barbeque areas, outdoor pool, garden plots are features that are often desired among multi - family buyers." 2. Relationship of proposed use to other planning considerations, including adjacent land use activities, consistency with overall comprehensive planning and relation to other metropolitan systems. — The City's Comprehensive Guide Plan currently anticipates commercial and office park uses in this area. The uses adjacent to the development parcels and the relationship to the utilities and transportation systems and other planning considerations are discussed elsewhere in this report. The Metropolitan Council staff indicates that the adjacent low- density residential uses in the City of Inver Grove Heights Comprehensive Guide Plan will be reconsidered in the context of aircraft noise and other regional systems, during the 2008 Guide updates or at such time as sewer and water may become available to those areas. With respect to residential uses within the noise zones within the Eagan- Mendota Heights Corridor area, the City of Eagan has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. The City also has made a practice of making comments to neighboring cities discouraging the introduction of areas of new residential development within the corridor area. 3. Frequency of exposure of proposed uses to aircraft overflight. — The DNL contours discussed above are developed using a metric that combines factors including fleet mix, flight tracks, altitudes and frequency of operations. From a land use planning perspective, this policy factor focuses on the frequency of overflight of an area in particular. The MAC staff has prepared an analysis of current operations as they pertain to the proposed development location, a copy of which is attached to this report. Because of the preferences given to runway ends in the airport's runway operating system, either arrivals or departures can be expected to be over the Eagan- Mendota Heights Corridor throughout the day, regardless of which other runway ends may be in operation at any time. Given that fact, the City of Eagan has advocated for operations standards that further manage traffic within the noise compatible land use boundaries — specific permitted departure headings, three mile climb before turns to destination for departures, four mile final approach for arrivals, etc. Even with the opening of the North -South Runway, the corridor will be the preferred operating area for night time flights . While flight tracks are not flown with surgical precision, the airport's nighttime procedures call for operations to occur exclusively to and from the southeast whenever possible. In particular, the procedures call for departures to be given a heading north of the runway centerline to minimize overflight of existing residential areas in Eagan and Mendota Heights and take advantage of the commercial industrial uses and relatively undeveloped areas to absorb the greatest portion of the noise impact. The introduction of residential uses in the proposed development area would remove the non - residential alternative to overflying existing neighborhoods in Eagan. 4. Location of proposed use relative to aircraft flight tracks and aircraft on- ground operating and maintenance areas. — The proposed development area is directly under a number of the primary departure tracks and adjacent to the primary arrival tracks for the parallel runways. It will be regularly exposed to the effects of operations along and near those flight tracks. The site is approximately 4 '/2 miles from the closest ground operating and maintenance areas and would likely experience little noise impact from those noise sources. 5. Location, site design and construction restrictions to be imposed on the proposed use by the community with respect to reduction of exterior to interior noise transmissions, and shielding of outdoor activities. — The applicants have indicated an intention to apply sound attenuation building techniques to reduce outdoor to indoor noise transmission by the levels indicated in the Metropolitan Council Builder's Guide. No site design or other plans are indicated in the application to shield outdoor activities from noise impacts. 6. Method community will use to inform future occupants of proposed potential noise from aircraft operations. — While it is not noted in the submittals, the applicants have verbally indicated an intention to take steps to inform occupants of potential noise from aircraft operations. In order to effectively carry out this notification, it would need to be recorded against the title of all owner occupied uses and there would need to be an enforceable covenant for disclosure on any rental facilities. If residential development is to be considered in this area, the notification will need to be in a recordable form acceptable to the City Attorney and staff. 7. Extent to which community restricts the building from having facilities for outdoor activities associated with the use. — As proposed, the development would rely on outdoor areas for many of the recreation and social interaction activities typically associated with a residential neighborhood. As noted above, the applicants' market study indicates that outdoor uses are desirable for the demographic anticipated to be attracted to the development. If residential development is to be considered in this area, the City will need to determine whether restrictions on outdoor activities are necessary, feasible or appropriate. 8. Distance of proposed use from existing or proposed runways, parallel taxiways, or engine run -up areas. — This factor is intended to relate more specifically to ground noise for areas close in to the airport. Other Aircraft Noise Development Considerations As noted above, the applicants have indicated in separate discussions that they believe that the potential development of residential land uses at the project site should be considered in light of (tze6 the residential uses proposed or under development in the City's Cedar Grove Redevelopment District and the City of Bloomington's Central Station Development. As to the Cedar Grove Redevelopment District, local governments may make different findings in different areas that will lead to different conclusions about whether residential uses are provisionally or conditionally acceptable. In the case of Cedar Grove, the Cedar Avenue Corridor was not planned or developed in anticipation of direct aircraft overflights. As it relates to Runway 17/35, the Cedar Grove Redevelopment is not in a noise compatible corridor as the proposed development sites are. The context for Cedar Grove relates to fully developed residential areas and redevelopment priorities that will stabilize and support those areas. The City's Comprehensive Guide for the Cedar Grove special area specifically discusses noise exposure and concludes that a mixed use redevelopment consisting partially of attached residential uses is acceptable with appropriate performance standards, in consideration of all of the factors bearing on the area. In addition, the runway use patterns and priorities that apply to the Eagan- Mendota Heights Corridor are different from those that will apply to the other sides of the airport, such as the Cedar Avenue area. Specifically, departures are expected to fan from the end of the North -South Runway and they are concentrated over the commercial - industrial areas for several miles from the runway end in the Corridor. As such, any conclusion regarding the acceptability of residential uses in the area proposed may be made independent from the City's conclusions with regard to their development in the Cedar Grove Area. The Bloomington Central Station Development is intended to be a transit oriented area combining retail, employment, recreation and residential uses. The Metropolitan Council staff and the developer of the Bloomington project indicate that all of the residential uses are anticipated to be of masonry construction with shared entrances and the expectation is that many of the recreational and retail opportunities will be met indoors at the Mall of America. Even so, the City of Eagan made comments as a part of the City of Bloomington's Comprehensive Guide Plan amendment process expressing concern about the introduction of new residential uses within that proximity to the airport. Conclusion The City of Eagan has established policies that plan for noise compatible commercial and industrial uses in the Eagan- Mendota Heights Corridor area. The applicants propose to have the City modify those policies and plans as outlined above. The threshold question is whether or not residential uses would be appropriate for the area. If so, in what way would the performance and policy findings be defined to minimize the potential impact of that change on the residents of the proposed development and on residents of other residential areas of the City? If not, the City may make findings to that effect. JH munity Development Director Metropolitan Council Current Noise Policy Areas T. Metepebn Cone end the Mhhtropoebn Airports Commission make no representation or meanies, amen or MOM Mt tame) fu th mouse elfin data toothed hnwb, mediae of Its tonne or the mars or its transmission. Determining the appmprlas .ppYwtJ ns kc te no of tlds data a.tsthe responsibility of is user. The us. oomph the data 'e s. and mem W risks .sedsesd with b net Ity .mpsnse el this dab, On user omen net to Irmmst the Mew monde ewes: ea ■ er oh pan a manor .mer party or Md m.a hsidu 1.0. Metrnp Coyne and u. Mm Airports ppettAirports mou Cemon ammo no r.epenmky ler .dh.l or consequential clomp named in • nun elm hays ration= on is des. VI „to ? Miles Rpr 22 04 09:48a S 0 0 4, April 21, 2004 METROPOLITAN AIRPORTS COMMISSION toP o 54, 4 Minneapolis -Saint PauI International. Airport 6040 - 28th Avenue South • Minneapolis, MN 55450 -2799 Phone (612) 726 -8100 t Jon Hohenstein City of Eagan Director of Community Development 3830 Pilot Knob Road Eagan, MN 55122 Subject: Proposed Development of Loan Oak and Laukka - Beck Properties Dear Mr. Hohenstein, Thank you for the opportunity to comment on the proposed development of the Loan Oak and Laukka Beck Properties. The proposed residential development project includes a total of 434 town home/single family units on 110 acres of land in the northeast corner of Eagan. This letter outlines the Metropolitan Airports Commission's (MAC) concerns with residential development on this site. Of particular concern is the development of single family and multi- family housing stock in an area presently zoned industriaUcommercial and compatible with frequent aircraft operations and over - flights. The proposed development would expose numerous new residents to existing impacts associated with a large number of aircraft over - flights. The proposed development falls within the Metropolitan Council's Aviation Guide Plan Zone 4 (DNL 60 to 65). This area is within the 1996 60 DNL contour. Recently, the MAC developed updated Part 150 contours reflecting the projected 2007 noise environment. The proposed development site lies just outside of the draft 2007 60 DNL contour area. Although the site falls outside of the updated 2007 60 DNL contour area, the City of Eagan has made it clear that airport noise impacts occur beyond the 60 DNL contour area and these impacts should be considered by the communities and the MAC. The city outlines their position in a letter to the MAC regarding the Part 150 Update from the Eagan Assistant City Administrator dated November 15, 2000. "Although not directly pertinent to the Part 150 Document because of FAA criteria, MAC and the surrounding communities should take into consideration increased noise levels beyond the 60 DNL." (Appendix N, Public Involvement, Volume I1, Part IV) The Metropolitan Airports Ca lion is ar`affugative action employer. www. m spa irport.com Reliever Airports: AIRLAKE • ANOKA COUNTY /BLAIKE • CRYSTAL • FLYINQCLOL'D • LAKE ELMO • SAINT PAUL DOWNTOWN p. 2 Apr 22 04 09:48a Another letter sent to the MAC by then Mayor Patricia Awada, received on December 3, 2002, reaffirms the city's position. "The basis for the unduly narrow FAA/MAC analysis of departure procedures for Runway 17 is apparently the application of an outdated and restrictive FAA theorem that the 60 dB DNL contour is the sole arbiter of noise impacts. There is no consideration of total community impact as measured in the frequency, saturation, and relative distance from the airport of aircraft operations." (Runway 17 .Departure Procedure Final Environmental Assessment FONSI/ROD, pg. F -36) The MAC's concerns for the proposed development of this site are based upon the previously mentioned factors as well as compatibility planning issues, and actual experience in the area. These concerns include: • The area proposed for the development is located within the Metropolitan Council's Aviation Guide Plan Zone 4. This area often receives noise levels between 60 and 65 DNL according to the Guide. Residential development for single and multiplex units with individual entrances is conditional and must meet eight land use review factors. In particular, these factors consider the proposed use of the development, the extent of associated outdoor activities, the relationship of the proposed use to other planning considerations, adjacent land use activities and the frequency of exposure to aircraft over - flights. Residential development for multiplexlapartment units with shared entrances is provisional and must be acoustically constructed to achieve a 45 DNL interior sound level. • The proposed development site is located less than 4.5 miles from the airports runways and is directly in line with frequently used arrival and departure flight paths. • The average altitude of arriving aircraft over this property during March 2004 was approximately 1,550 feet above ground level (AGL), with operations occurring as low as 1,020 feet AGL. The average altitude of departing aircraft over this property was approximately 2,966 AGL, with operations occurring as low as 1,555 feet AGL (see attachment 4). • Based on a sampling of departing aircraft activity over this area (March 2004), 8.2% (708) of all departures from runways 12L and 12R flew directly over the development site. Additionally, 20.3% (1,745) of departures passed within one- quarter mile north of the property to one - quarter mile south of the property. In total there were 3,014 out of 8,596 departures that passed within one -half mile north of the property to one -half mile south of the property (see Attachment 1). • Based on a sampling of arriving aircraft activity over this area (March 2004), 2.7% (363) of all arrivals to runways 30L and 30R flew directly over the development site. Additionally, 47.6% (6,485) of arrivals passed within one - quarter mile north of the property to one - quarter mile south of the property. In total there were 6,575 out of 13,610 arrivals that passed within one -half mile north of the property to one -half mile south of the property (see Attachment 2). • Based on the March 2004 MSP Technical Advisor's Report showing the top ten noise events recorded that month, monitor site #24, which is approximately 0.54 a SV p.3 Apr 22 04 0S:48a miles southwest of the proposed development area, recorded noise events as high as 92.6 dBA. Additionally, monitor site #26, which is approximately 0.31 miles east of the proposed development area, recorded noise events as high as 88.3 dBA. • A significant amount of airport noise complaints are generated from the cities of Eagan, Mendota Heights, and Inver Grove Heights (see attachment 3). In 2003, residents from the City of Eagan filed 1,205 airport noise complaints of which only 32 complaints were filed from residents located within the draft 2007 60 DNL contour area. In addition, a total of 2,628 complaints were generated from residents who lived within a 2 -mile radius of the proposed development site. • The city's existing zoning of this property as commercial, industrial and agricultural uses continue to be more appropriate for the property in question. Another important concern is the use of the Eagan- Mendota Heights Corridor and its implications on the proposed development site. The Corridor has been a long - standing noise mitigation operational procedure at the airport that dates back to 1968. The procedure purposely concentrates aircraft operations over the more noise compatible commercial/industrial land use areas of Eagan and Mendota Heights. Eagan has proactively addressed noise compatibility by zoning the underlying area of the Corridor for commercial and industrial uses. The south Corridor boundary extends 3 miles southeast (120° heading) from the departure end of the south parallel runway (12R) over Eagan. The proposed development site is approximately 1.5 miles east of the 3 -mile boundary and residents in this area would be impacted by frequent aircraft operations and aircraft over - flights. In addition, several noise mitigation operational procedures such as the Runway Use System, the head -to -head procedure (allows aircraft to arrive and depart over the Corridor during low- demand time periods, i.e. nighttime) and the crossing in the Corridor procedure have been implemented to maximize use of the Corridor. All of the previously mentioned procedures are part of the existing and proposed Part 150 NCP and as a result, these procedures will impact residents of the proposed development site. The MAC, the Metropolitan Council and the City of Eagan have all recognized the need to protect the Corridor area from incompatible development. Eagan's Comprehensive Guide Plan for where the development is located states, "Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any of the existing residential properly." The Metropolitan Council's Aviation Guide Plan states that the Noise Policy Area for MSP (including Noise Zone 4) was designed to meet several objectives including: `Protect undeveloped/compatible land uses, especially in the Mendota Heights -Eagan Corridor, from market pressures to convert to incompatible land uses, by not using the year 2005 contour but the 1996 DNL 60+ one -mile contour." Successful airport noise impact reduction around our nation's airports can be primarily attributed to cooperative efforts on behalf of airlines, airports and communities. As a partner in these noise reduction efforts, the City of Eagan has done a tremendous job with previous land use zoning within the Comprehensive Guide Plan to prevent the introduction of non - compatible land uses around the airport. The MAC urges the city to continue with this exemplary standard. p. 4 Apr 22 04 09: 48a Once again, thank you for this opportunity to comment on the proposed development of the Loan Oak and Laukka -Beck Properties. Sincerely, of !ey Hamiel Executive Director Metropolitan Airports Commission AV-peatMci-Ors IZOFetZd■le-edl> 7141s M6 MP-L 46 rAtiorde-. IstuMBGT- asa P. 5 CITY OF EAGAN COMPREHENSIVE GUIDE PLAN THE WATERS (AREA 1) as3 1/ 6, Background: This area is located in the extreme northeast corner of the City and overlays 640 acres of land. The area bounded on the north by I-494 and on the east by the City of Inver Grove Heights corporate limits. The vast majority of the study area is zoned PD, Planned Development. Aside from the Planned Development zoning designations, several agriculturally and residentially zoned properties are scattered throughout the area. Additionally, the Trinity Lutheran Church property holds a PF, Public Facilities zoning designation. The vast majority of land within the study area (452 acres) lies within the "Laukka- Beck" Planned Development (a.k.a. "The Waters "). Originally approved in the spring of 1985, the Planned Development called for the establishment of office /retail, office retail /showroom, and research development uses throughout the site. Other than plans associated with the Northwest Airlines corporate headquarters, no specific development plans for the balance of the property (platted as outlots) were provided. Development within the "Waters" has however, progressed in past years in a manner consistent with uses specified in the original Planned Development. To date, approximately 40 percent of the original Planned Development area remains vacant or underutilized. General Area Description: Land Use The study area consists primarily of office, office /showroom, and research development type land uses that lie within the "Waters" Planned Development. Older single - family residential uses are however, scattered around the periphery of the study area. In addition, a church (Trinity Lutheran) exists in the southwest portion of the study area. Transportation Bordered by I -494, Trunk Highway 55/149 and Lone Oak Road, the study area is provided good visibility and access. Future access to I-494 and Trunk Highway 55/149 (to accommodate new development) is however, subject to approval by the State and is expected to be limited if not prohibited to ensure safe and efficient circulation. Within the interior of the study area, office /showroom, and research development uses are served primarily by Lone Oak Parkway and Lone Oak Drive. Existing single family residences within the study area are presently accessed via Lone Oak Road and O'Neil Drive. Airport Implications In addition to the high volumes of truck traffic inherent upon the surrounding high volume roadways, the study area is also subject to significant levels of airport related noise, which also reduce its desirability for new residential development. The study area lies approximately three miles southeast of the Minneapolis /St. Paul International Airport directly in line with Runways 11/29 and lies within Noise Zone IV of the noise contours established by the Metropolitan Council. Within this zone, commercial and industrial uses are considered consistent while residential uses are considered conditional. Conditional uses are those uses that should only be permitted if certain noise attenuation practices developed by the Metropolitan Council are followed. The City of Eagan has been evolving towards a policy to discourage residential development of those northern portions of the City especially affected by aircraft noise. Conclusions: 1. In recognition of surrounding land uses, high traffic volumes and the area's inclusion in the aircraft noise zone, the long -term desirability of residential uses in the area is considered questionable. 2. Market conditions, coupled with a limited supply of developable land in the City, dictate that planning efforts directed toward the highest and best use of the area should be immediate. 3. The study area is a major entrance to the City. As such, an opportunity exists to present an attractive entry image via development. Land Use Designations: Excepting the Trinity Lutheran Church property and adjacent parcels to the south, all land within the study area is designated Business Park and Office /Service. According to the Comprehensive Guide Plan, the Business Park land use category is intended to provide areas for a mix of office, research and development, and light industrial uses and the Office /Service land use category is intended to provide areas for offices and lower intensity service and retail businesses. The Plan states that zoning categories considered consistent with such category include Agricultural (A), Limited Business (LB), Neighborhood Business (NB), and Potentially Research and Development. Consistent with its use, the Trinity Lutheran Church property has been guided Public /Quasi Public (QP). To "min forthcoming uses to the south, the land in the extreme southwest comer of the study area has been guided Neighborhood Business (NB). ASS Zoning Designations: In recognition of the area's historical development approvals, the vast majority of land within study area is proposed to be zoned Planned Development (PD) and developed with uses directed by the Laukka -Beck and Cray Research Planned Development Agreements. Such agreements call for a range of office -based activities (i.e. standard office, office - showroom and research and development) similar to those presently existing within "The Waters" Planned Development. In those areas not governed by Planned Development Agreements, standard zoning designations are proposed. To avoid the creation of nonconforming uses, the City will support the continuance of agricultural zoning designations within the study area on an interim basis until redevelopment occurs. Under an agricultural zoning designation, existing homes in the area would be able to remain as "conforming" uses. To provide more specific land use directives (than that offered by the Land Use Map), a zoning map has been prepared which illustrates the "ultimate" designations of such agricultural parcels. This map incorporates Neighborhood Business (NB) in the southwest area of the site and Business Park (BP) zoning in the northwest portion of the study area. The larger agricultural tracts in the north and eastem areas of the study areas are proposed to infill with office /research type uses (similar to those in the Laukka -Beck Planned Development) and are proposed to ultimately be zoned Research and Development (RD). Policies: 1. Excepting the Trinity Lutheran Church property, the City ultimately expects the entire study area to develop as office, office showroom, research and development and neighborhood business uses. Existing residential uses are considered transitional. The timing of the transition of such uses should be a function of private market forces. 2. The City will support the continuance of existing residential uses in the area until there is a strong indication of market support for large -scale development with Research and Development and Neighborhood Business uses. The City will support the continuance of agricultural and single family residential zoning designations within the study area to allow single - family homes to exist as conforming uses until redevelopment occurs. 3. In the future, the City will support rezoning to Business Park, Research and Development and Neighborhood Business districts in areas of sufficient size to provide a cohesive development. The City will not support rezoning that would result in piecemeal; lot -by -lot redevelopment or that would result in further isolation of existing residential uses. 4. The City will strive to ensure new Research and Development and Neighborhood Business development does not negatively impact existing residential properties through the development review process, including enforcement of specific zoning standards and performance guidelines. 5. In recognition of the study area's location, the City will take full advantage of opportunities to present an attractive City image (via development quality, erection of City identification signage etc.). 6. Individual lot access to I -494, Truck Highways 55 and 149 will be prohibited. 7. Individual lot access to Lone Oak Road will be discouraged to the extent possible. 8. A uniform design element(s) providing an identity will be promoted in the study area. 9. To the extent possible, new development shall respond and strive to retain the natural features of the area including wetlands and mature vegetation. 10. New neighborhood Business uses in the southwest corner of the study area will utilize materials and design features compatible with those used in the adjacent Oakview Center Planned Development. 11. New Business Park and Research and Development uses will utilize materials and design features compatible with those utilized in the adjacent Laukka -Beck Planned Development. 12. Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any of the existing residential property. 13. New development within the study area shall incorporate sound attenuating construction techniques as suggested by the Metropolitan Council. 11 1, 0 o 0 NNESOTA Oormunl y Devetprront Deparimont Special Area #1- and Use Z 1 0 Exhibit 3.7.1.a C4 1111- ity of Eagan NrNNESOTA Comm NV Dev.bpmer0 •Ce.nrN Comprehensive Plan 200D - Special Area Special Area #1 - Interim Zoning Exhibit 3.7.1.b r +City of Eagan M I N N E S O T A ONTAANAAY DATAIANned Dem MANY Comprehensive Plan 2000 - Special Area Special Area #1 - Ultumate Zoning 0 Exhibit 3.7.1.c 1 // 85 E. SEVENTH PLACE, SUITE 100 SAINT PAUL, MN 55101 -2887 651- 223 -3000 FAX: 651-223-3002 MEMORANDUM TO: Jon Hohenstein FROM: Nick Dragisich Paul Steinman DATE: April 23, 2004 SUBJECT: Lone Oak Mixed Use Executive Summary SPRINGSTED Advisors to the Public Sector We have reviewed the developer information you provided to David MacGillivray regarding the Lone Oak and Laukka -Beck Residential proposals. The purpose of this memorandum is to provide an analysis of the tax generation comparisons of various development scenarios that might be anticipated for the property proposed to be developed. The City has asked Springsted to review developer information related to the Lone Oak and Laukka -Beck Residential proposals. Our analysis included a review of developer assumptions, alternative development scenarios for the site, and the potential revenues and expenditures likely to result from each of these. The developer's property tax projections for the office warehouse products were based on a market value of $60.00 per square foot which would be within the range of typical values for office space, but considerably outside the range for warehouse space. If the units are predominantly warehouse space, the value seems high. One observation we did note was that the developer's projections for the office warehouses include development on only the 84.5 acres parcel. This leaves the 24.5 acre parcel or approximately 22.5% of the total area vacant. The developer has based his or her property tax projections for the proposed office condos on a taxable market value of $175.00 per square foot. While it is difficult to question the developer's market value projections given the limited information provided, this value seems relatively high when compared to the current market value of a number of other office space parcels in the vicinity of the development site. We would tend to believe the developer has satisfied himself or herself that a market does exist for the proposed residential units at the projected price and density. If this development were approved in consideration of the values and tax generation information provided, the City may wish to consider some type of agreement or restriction that would require the developer to CORPORATE OFFICE: SAINT PAUL, MN • Visit our website at www.springsted.com IOWA • KANSAS • MINNESOTA • VIRGINIA • WASHINGTON, DC • WISCONSIN City of Eagan, MN April 23, 2004 Page 2 develop units with the market value projected in the rezoning request as a condition of the rezoning. To reflect a range of possible commercial development options, we have prepared both a low density office warehouse development scenario and a high density R & D scenario. We have made long -term financial projections of the two developments proposed by the developer and of three additional development scenarios to show the potential financial impacts to the City. The three additional developments include one for the office warehouse development proposed by the developer but with the entire 109 acres developed, one for the lowest value use of the property under the current City zoning and one for the highest value use of the property under the current City zoning. Of the five alternatives, an R & D office development as currently contemplated in the City's Comprehensive Plan is projected to generate approximately $13.4 million over the 15 year planning period, the greatest cumulative cash flow. The mixed residential /office condos development proposed by the developer is projected to generate approximately $4.8 million over the same period, the second greatest cumulative cash flow. Developer's assumption related to office warehouse products The developer provided projected property tax projections based on the development of a series of office warehouse units. The information provided to us did not include any market analysis to support the need for these units and there was no explanation relative to timing of the construction. Nonetheless, the City's current zoning would allow the construction of these types of units. They may not be the highest and best use of the property given the surrounding corporate office space and specialized facilities, but they would be permitted uses. The property tax projections are based on a market value of $60 per square foot for the office warehouse units. The $60 per square foot value is within the range of Building Valuation Data reported to the State of Minnesota Department of Administration for building permits for office space, but is considerably outside the range for warehouse space. If the units are predominantly warehouse space, the value seems high when compared to the Building Valuation data that shows warehouse cost per square foot ranging from $28.76 to $44.95 per square foot. One observation we did note was that the developer's projections for the office warehouses include development on only the 84.5 acres parcel. This leaves the 24.5 acre parcel or approximately 22.5% of the total area vacant. There was no explanation for why this area is undeveloped. Our analysis includes a variation of the developer's scenario that applies comparable values and densities to the full 109 acre site, instead of just the south 84.5 acre portion of the site. Developer's assumptions related to office condo development The developer has based his or her property tax projections for the proposed office condos on a taxable market value of $175.00 per square foot. While it is difficult to question the developer's market value projections given the limited information provided, this value seems relatively high when compared to the current market value of a number of other office space parcels, most of which are in the vicinity of the development site. The value is also high compared to the City of Eagan, MN April 23, 2004 Page 3 assumptions for the commercial industrial comparison the developer presented ($60.00 per square foot). We have recently become aware of a proposed office condo project in another metropolitan suburb where the market value is projected to be $135.00 per square foot. This value has been affirmed by the local assessor. However, this is still somewhat less than the $175.00 per square foot the Developer used in his or her projections. Developer's assumptions related to residential products We would tend to believe the developer has satisfied himself or herself that a market does exist for the proposed units at the projected price and density. We estimated the density of the housing at 6.28 units per acre. If this development were approved in consideration of the values and tax generation information provided, the City may wish to consider some type of agreement or restriction that would require the developer to develop units with the market value projected in the rezoning request as a condition of the rezoning. Alternative assumptions for development as contemplated by the City's Comprehensive Guide Plan To reflect a range of possible commercial development options, we have prepared both a low density office warehouse development scenario and a high density R & D scenario. The Building Valuation Data reported by the State of Minnesota Department of Administration shows values for office space ranging from approximately $62 per square foot to approximately $97 per square foot. Existing office space in the vicinity of the development site have taxable market values ranging from approximately $32 to $90 per square foot. It would seem likely that an office warehouse development would be at the lower end and an R & D development would be at the upper mid of this range because of the adjacent Waters development. Assumptions relative to five -year and Iona -term analysis We have made long -term financial projections of the two developments proposed by the developer and of three additional development scenarios to show the potential financial impacts to the City. The three additional developments include one for the office warehouse development proposed by the developer but with the entire 109 acres developed, one for the lowest value use of the property under the current City zoning and one for the highest value use of the property under the current City zoning. The projections for the proposed office /warehouse development and the three additional developments include projected revenues and operating expenditures likely to result from each of these developments. The financial projections for the mixed residential and office condos proposed by the developer include projected revenues, operating expenditures and capital expenditures. Capital expenditures are included in this projection because the development would require a change in land use that would generate a need for capital facilities to support the development above those currently anticipated by the City under the current land use plan. These capital expenditures include facilities for: parks & recreation, police, fire & rescue, general government, transportation, and library services. The financial projections for operating expenditures by land use type are based on Springsted's significant experience in fiscal impact Area Use Total Area in Acres Percent of Area Original Market Value Original Tax Capacity 2003 Original Taxes Original Market Value Taxes Total Original Taxes A Vacant 84.5 77.48% 2,797,200 55,194 50,376 524.00 50,899.56 B Vacant 24.56 22.52% 1,157,700 22,404 20,448 216.87 20,665.00 109.06 100% 3,954,900 77,598 70,824 740.87 71,564.57 City of Eagan, MN April 23, 2004 Page 4 analysis and on a typical distribution of revenues, other than real property taxes, and operating expenditures between residents and employees. The distribution of these revenues and expenditures reflect the differences in the revenues generated and in the demand created for services between development scenarios based on the proposed land use. Revenues were projected on a line -item basis from the City's 2003 budget and included: > Licenses > Permits > Intergovernmental revenue ➢ Charges for services > Recreation program fees > Other park fees > Fines & Forfeits > Miscellaneous Revenues ➢ Program Revenues > Transfers Operating expenditures were projected from the City's 2003 budget for the following general fund categories: General Government, Public Safety, Public Works, Parks and Recreation, General Government Building Maintenance, and other. All property taxes projected are based on the City's 2003 tax capacity extension rate and other revenues and expenditures are based on the City's 2003 budget. Fiscal disparities were ignored to enable a comparison with the projections made by the Developer. However, a more refined analysis would need to include the impact of fiscal disparities. The proposed development site contains 109.06 acres. The market value of the site, tax capacity and original taxes are shown in the table below. Proposed Development Site — Base Information Our base information shows the 2003 taxes to be $71,564.57 which are local taxes only and do not include the state property taxes on the parcels. This is about half of the $154,924 amount shown in the information submitted by the Developer. It is possible the Developer is including the property taxes paid to the State, although it is of no value to the City for the purposes of these comparisons. Fiscal Impacts of Developer Projection 1 — Office Warehouse Development The developer presented a proposed office warehouse use for the site. The proposed development is shown in the table on the following page. �h� Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 10,127,700 - - - - - - - - - - 2006 23,527,860 - - - - - - - - - - 2007 33,328,860 201,804 36,704 3,782 40,486 (14,253) 26,233 26,233 - 26,233 26,233 2008 45,743,460 468,307 116,420 8,786 125,206 (33,112) 92,095 118,327 - 92,095 118,327 2009 55,217,760 662,077 174,381 12,446 186,826 (46,905) 139.922 258,249 - 139,922 258,249 2010 55,217,760 908,119 247,977 17,082 265,058 (64,376) 200,682 458,931 - 200,682 458,931 2011 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 706,048 - 247,117 706,048 2012 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 953,165 - 247,117 953,165 2013 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 1,200,282 - 247,117 1,200,282 2014 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 1,447,399 - 247,117 1,447,399 2015 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 1,694,516 - 247,117 1,694,516 2016 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 1,941,633 - 247,117 1,941,633 2017 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,188,750 - 247,117 2,188,750 2018 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247.117 2,435,867 - 247,117 2,435,867 2019 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,682,984 - 247,117 2,682,984 2020 55.217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,930,101 - 247,117 2,930,101 2021 55,217,760 1,096,105 304,207 20,620 324,827 (77.710) 247,117 3,177,218 - 247.117 3,177,218 2022 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 3,424,335 - 247,117 3,424,335 4,225,968 289,530 4,515,498 (1,091,163) 3,424 ,335 - 3,424,335 Phase Use Acres Total Sq. FtNnits Market Value Sq. Ft/Units Total Market Value Total Tax Capacity Tax Capacity Taxes Market Value Taxes Total Taxes Year Constructe d Year Payable 1 -A Office Warehouse 15.5 168,795 60.00 10,127,700 201,804 184,187 1,897 186,084 2005 2007 2 -A Office Warehouse 11.5 125,235 60.00 7,514,100 149,532 136,478 1,408 137,885 2006 2008 2 -A Office Warehouse 9 98,101 60.00 5,886,060 116,971 106,760 1,103 107,862 2006 2008 3 -A Office Warehouse 7 76,230 ' 60.00 4,573,800 90,726 82,806 857 83,662 2007 2009 3 -A Office Warehouse 3 32,670 60.00 1,960,200 38,454 35,097 367 35,464 2007 2009 3 -A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59.563 2007 2009 4 -A Office Warehouse 4 43,560 60.00 2,613,600 51,522 47,024 490 47,514 2008 2010 4 -A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2008 2010 4 -B Office Warehouse 10 108,900 60.00 6,534,000 129,930 118,587 1,224 119,811 2008 2010 5 -13 Office Warehouse 7 76,230 60.00 4,573,800 90,726 82,806 857 83,662 2009 2011 5 -8 Office Warehouse 7.5 81,675 60.00 4,900,500 97,260 88,769 918 89,687 2009 2011 Totals 84.5 920,296 55,217,760 1,096,105 1,000,415 10,344 1,010,759 City of Eagan, MN April 23, 2004 Page 5 As we stated previously, it is unclear why these projections show development on only 84.5 of the 109.06 available acres on the site. The fiscal impacts of this proposal on the City is projected to have positive cash flow in each year and to have cumulative positive cash flow of approximately $3.4 million over a 15 year period. The fiscal impacts shown include the net increase in revenues to the City above those it currently receives from the site. These projections are shown in the table below. Fiscal Impacts of Developer's Projection 1a - Office Warehouse Development on Entire Site We have added a financial projection to show the fiscal impacts of an office warehouse development on the entire 109 acres available. The fiscal impacts are projected using the same density of development and market values used by the developer in his or her proposed office warehouse development. The proposed development is shown in the table on the following page. „2„ Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 13,329,360 - - - - - - - - - - 2006 29,931,180 - - - - - - - - - - 2007 42,933,840 265,837 55,857 4,977 60,835 (18,759) 42,076 42,076 - 42,076 42,076 2000 58,550,100 596,374 154,727 11,177 165,904 (42,123) 123,781 165,857 - 123,781 165,857 2009 71,226,060 854,177 231,842 16,032 247,874 (60,422) 187,452 353,309 - 117,452 353,309 2010 71,226,060 1,164,252 324,591 21,864 346,455 (82,400) 264,056 617,365 - 264,056 617,365 2011 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 943,699 - 326,334 943,699 2012 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 1,270,033 - 326,334 1,270,033 2013 71,226,060 1,414271 399,975 26,597 426,573 (100,239) 326,334 1,596,367 - 326,334 1,596,367 2014 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 1,922,700 - 326,334 1,922,700 2015 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 2,249,034 - 326,334 2,249,034 2016 71,226,060 1,416.271 399,975 26,597 426,573 (100,239) 326,334 2,575,368 - 326,334 2,575.368 2017 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 2,901,702 - 326,334 2,901,702 2018 71.226.060 1,416,271 399.975 26.597 426,573 (100239) 326.334 3.228,036 - 326,334 3.228.036 2019 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 3,554,370 - 326,334 3,554,370 2020 71,226,060 1.416,271 399,975 26,597 426.573 (100.239) 326,334 3,880,704 - 326,334 3,880,704 2021 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326.334 4,207,037 - 326,334 4,207,037 2022 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 4,533,371 - 326,334 4,533,371 5,566,721 373,220 5,939,941 (1,406,569) 4,533,371 - 4,533,371 Phase Use Acres Total Sq. FtiUnits Market Value Sq. Ft/Units Total Market Value Total Tax Capacity Tax Capacity Taxes Market Value Taxes Total Taxes Year Constructe d Year Payable I -A Office Warehouse 20.4. 222,156 60.00 13,329,360 265,837 242,630 2,497 245,127 2005 2007 2 -A Once Warehouse 16.4 178,596 60.00 10,715,760 213,565 194,921 2,007 196,928 2006 2008 2 -A Office Warehouse 9 98,101 60.00 5,886,060 116,971 106,760 1,103 107,862 2006 2008 3 -A Office Warehouse 11.9 129.591 60.00 7,775,460 154,759 141,249 1,457 142,705 2007 2009 3 -A Office Warehouse 3 32,670 60.00 1,960,200 38,454 35,097 367 35,464 2007 2009 3 -A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2007 2009 4-A Office Warehouse 8.9 96,921 60.00 5,815,260 115,555 105,467 1,089 106,557 2008 2010 4 -A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2008 2010 4-B Office Warehouse 10 108,900 60.00 6,534,000 129,930 118,587 1,224 119,811 2008 2010 5 -B Office Warehouse 11.9 129,591 60.00 7,775,460 154,759 141,249 1,457 142,705 2009 2011 5 -B Office Warehouse 7.5 81,675 60.00 4,900,500 97,260 88,769 918 89,687 2009 2011 Totals 109 1,187,101 71,226,060 1,416,271 1,292,631 13,343 1,305,974 City of Eagan, MN April 23, 2004 Page 6 The fiscal impacts of this proposal on the City is projected to have positive cash flow in each year and to have cumulative positive cash flow of approximately $4.5 million over a 15 year period. The fiscal impacts shown include the net increase in revenues to the City above those it currently receives from the site. These projections are shown in the table below. Fiscal Impacts of Developer Projection 2 - Mixed Residential and Office Condos The developer presented a proposed mixed residential and office condo development on the site. The proposed development is shown in the table on the following page. MEMORANDUM TO: Loan Oak Development, LLC FROM: Kirstin Barsness DATE: May 5, 2004 SUBJECT: City of Eagan Tax Analysis Report BACKGROUND Barsness Consulting Services, Inc. The initial tax analysis I completed was reviewed by Springsted, Inc., acting as financial advisors to the City of Eagan. Springsted examined four different development scenarios and identified the financial impact to the city for each scenario. Their analysis indicated that development of the site as a research and development facility provides the city with the highest positive cash flow. The mixed -use development proposed by Loan Oak yields the second greatest cumulative cash flow. Springsted raised a number of questions related to my analysis in their review. The majority of the comments related to market conditions, however, they did not consider the market when estimating the research and development cash flow. This memorandum will clarify the assumptions used in my analysis and identify concerns I have with the Springsted memorandum. BASE ASSUMPTIONS As a base of comparison, I generated two tax calculations. The first is an example of the site with the proposed mixed -use development by Loan Oak. The second example is with office warehouse under the current Planned Development Zoning. Springsted added the third scenario of research and development. In order to compare the three I have made the below assumptions 1. For direct comparison, this memo will focus on two key financial measurements: Market Value and Net Local Taxes (city, county, school, misc.). 2. The net developable property is 84.50 acres. The remaining property is considered wetland and protected by the Shoreline Ordinance. X67 3. The 2003 market value for the site is 3,954,900 and the original taxes (payable 2004) are $130,450.50. The information is gathered from the Dakota County Real Estate Inquiry system. 4. Fiscal Disparities and the State Wide Taxes will be considered in calculating commercial taxes. 5. For commercial development in the mixed -use site a 35% coverage ratio is used. This is less than the 40% used by Springsted in their analysis of Lowest -Land- Use. Thus, under - representing the potential amount of commercial development on the site. LONE OAK MIXED DEVELOPMENT The project is comprised of: Anticipated build out is within five years. The site would begin contributing taxes upon building completion, and the majority of the site is not impacted by fiscal disparities and the state -wide tax. New Market Value (building only) is estimated at $241,750,000. Net local taxes for the five year period are $9,637,815. Both are highlighted in the tables below. • 648 owner- occupied housing units, including single family, townhomes, condos, and senior housing. • 48,000 square foot office condo component with a construction value of $175 per square foot. This cost includes tenant improvements and has been verified by two construction firms and a market research firm. • Approximately 69 acres of green space. Phase USE 1 -A URBAN TOWNHOMES 1 -A VILLAS 1 -A EX. SINGLE FAMILY 1 -A CONDOS Market Value Total Market Class New Year Date Sq. Ft./Units Sq. Ft. Units Taxes Value Rate Tax Capacity Built Payable 53 350,000.00 $ 166,952 18,550,000 1.00% 185,500 2005 2007 17 600,000.00 $ 114,751 10,200,000 1.25% 127,500. 2005 2007 7 800,000.00 $ 63,001 5,600,000 1.25% 70,000 2005 2007 20 300,000.00 $ 54,001 6,000,000 1.00% 60,000 2005 2007 Prepared by Barmen 0i/insulting rrites,Int, 26 5' 1 - TWIN HOMES 15 450,000.00 $ 60,751 6,750,000 1.00% 67,500 2005 2007 1 -A SENIOR CO-OPS 150 250,000.00 $ 337,504 37,500,000 1.00% 375,000 2005 2007 1 -A ADULT MANOR HOMES 36 250,000.00 $ 81,001 9,000,000 1.00% 90,000 2005 2007 1 - OFFICE CONDOS 25,000 175.00 $ 147,098 4,375,000 2.00% 87,500 2005 2007 1 -B TOWN HOMES B2B 55 350,000.00 $ 173,252 19,250,000 1.00% 192,500 2005 2007 1 -B TOWN HOMESEETHRU 29 400,000.00 $ 104,401 11,600,000 1.00% 116,000 2005 2007 2 -A URBAN TOWNHOMES 54 350,000.00 $ 170,102 18,900,000 1.00% 189,000 2006 2008 2 -A VILLAS 24 600,000.00 $ 162,002 14,400,000 1.25% 180,000 2006 2008 2 -A EX. SINGLE FAMILY 9 800,000.00 $ 81,001 7,200,000 1.25% 90,000 2006 2008 2 -A CONDOS 20 300,000.00 $ 54,001 6,000,000 1.00% 60,000 2006 2008 2 -A TWIN HOMES 15 450,000.00 $ 60,751 6,750,000 1.00% 67,500 2006 2008 2 -A ADULT MANOR HOMES 36 250,000.00 $ 81,001 9,000,000 1.00% 90,000 2006 2008 2 -A OFFICE CONDOS 23,000 175.00 5 135,330 4,025,000 2.00% 80,500 2006 2008 2 -0 TOWN HOMES B2B 55 350,000.00 5 173,252 19,250,000 1.00% 192,500 2006 2008 2 -B TOWN HOME SEE THRU 29 400,000.00 $ 104,401 11,600,000 1.00% 116,000 2006 2008 3 -A VILLAS 17 600,000.00 $ 114,751 10,200,000 1.25% 127,500 2007 2009 3 -A EX. SINGLE FAMILY 7 800,000.00 $ 63,001 5,600,000 1.25% 70,000 2007 2009 2 1 TOTAL 2,502,302 2,634,500 LOWEST LAND USE - OFFICE WAREHOUSE Springsted calculated the tax revenue generated on the site for the Lowest possible land use: office warehouse. For sake of comparison, we will use their example instead of the one developed by my firm. Their example allows for a higher building coverage (40% vs. 35 %) and lower cost per square foot of approximately $42.00. I did adjust their number for site size (84.5 acres) and to represent fiscal disparities and state -wide tax. Total Market Value Total Market Class New Tax Phase USE Acres Sq. Ft. /Units Sq. Ft. /Units Taxes Value Rate Capacity Built Payable 1 -A Office Warehouse 15.5 270,072 42.00 $ 476,723.03 11,343,024 2.00% 226,860 2005 2007 2 -A Office Warehouse 11.5 200,376 42.00 $ 353,697.73 8,415,792 2.00% 168,316 2006 2008 2 -A Office Warehouse 9 156,816 42.00 $ 276,806.92 6,586,272 2.00% 131,725 2006 2008 3 -A Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2007 2009 3 -A Office Warehouse 3 52,272 42.00 $ 92,268.97 2,195,424 2.00% 43,908 2007 2009 3 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2007 2009 4 -A Office Warehouse 4 69,696 42.00 $ 123,025.30 2,927,232 2.00% 58,545 2008 2010 4 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2008 2010 4 -8 Office Warehouse 10 174,240 42.00 $ 307,563.24 7,318,080 2.00% 146,362 2008 2010 5 -3 Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2009 2011 5 -B Office Warehouse 7.5 130,680 42.00 $ 230,672.43 5,488,560 2.00% 109,771 2009 2011 TOTAL 85 1,472,328 2,598,909 S64 ;837776 1,236,756 Prepared by aNSIftMS 0 24 'ROJEC ORMATI 3 Year Date Q3Sr 1.1 UT YEAR BASE MV NEW MV BASE TAXES BASE LOCAL F/D MN STATE MV NEW NET NEW 3,954,900 BASE 130,451 129,249 110,630 123,519 17,981 476,723 (1,202) 2008 YEAR MV NEW MV TAXES TAXES TAXES TAXES TAXES TAXES LOCALTAXES 2007 3,954,900 128,825,000 130,451 $ 1,205,464 $ 42,670 $ 47,641 $ 6,935 $ 1,302,710 $ 1,075,013 2008 3,954,900 225,950,000 130,451 $ 2,137,837 $ 81,926 $ 91,471 $ 13,316 $ 2,324,550 $ 2,007,386 2009 3,954,900 241,750,000 130,451 $ 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 2010 3,954,900 241,750,000 130,451 $ 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 2011 3,954,900 241,750,000 130,451 $ 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 TOTAL 652,253 $ 10290,067 $ 370,376 413,525 $ 60,198 $ 11,134,166 y . �.''. 1 TOTAL 2,502,302 2,634,500 LOWEST LAND USE - OFFICE WAREHOUSE Springsted calculated the tax revenue generated on the site for the Lowest possible land use: office warehouse. For sake of comparison, we will use their example instead of the one developed by my firm. Their example allows for a higher building coverage (40% vs. 35 %) and lower cost per square foot of approximately $42.00. I did adjust their number for site size (84.5 acres) and to represent fiscal disparities and state -wide tax. Total Market Value Total Market Class New Tax Phase USE Acres Sq. Ft. /Units Sq. Ft. /Units Taxes Value Rate Capacity Built Payable 1 -A Office Warehouse 15.5 270,072 42.00 $ 476,723.03 11,343,024 2.00% 226,860 2005 2007 2 -A Office Warehouse 11.5 200,376 42.00 $ 353,697.73 8,415,792 2.00% 168,316 2006 2008 2 -A Office Warehouse 9 156,816 42.00 $ 276,806.92 6,586,272 2.00% 131,725 2006 2008 3 -A Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2007 2009 3 -A Office Warehouse 3 52,272 42.00 $ 92,268.97 2,195,424 2.00% 43,908 2007 2009 3 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2007 2009 4 -A Office Warehouse 4 69,696 42.00 $ 123,025.30 2,927,232 2.00% 58,545 2008 2010 4 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2008 2010 4 -8 Office Warehouse 10 174,240 42.00 $ 307,563.24 7,318,080 2.00% 146,362 2008 2010 5 -3 Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2009 2011 5 -B Office Warehouse 7.5 130,680 42.00 $ 230,672.43 5,488,560 2.00% 109,771 2009 2011 TOTAL 85 1,472,328 2,598,909 S64 ;837776 1,236,756 Prepared by aNSIftMS 0 24 'ROJEC ORMATI 3 Year Date I#' ` ' I CALL LATIO R�CiD MMEIT�C �!�` YEAR BASE MV NEW MV BASE TAXES LOCAL TAXES F/D TAXES MN STATE TAXES MV TAXES NEW TAXES NET NEW LOCAL TAXES 2007 3,954,900 11,343,024 130,451 129,249 110,630 123,519 17,981 476,723 (1,202) 2008 3,954,900 26,345,088 130,451 333,541 256,948 286,882 41,762 1,107,228 203,090 2009 3,954,900 37,322,208 130,451 425,269 364,009 406,416 59,163 1,568,573 294,819 2010 3,954,900 51,226,560 130,451 583,703 499,620 557,827 63,223 2,152,943 453,253 2011 3,954,900 61,837,776 130,451 704,613 603,113 673,376 98,025 2,598,909 574,163 TOM! 652,253 2,176,375 1,834,320 2,048,020 280,155 7,904,375 r $1 '52 f2 31 1 TOTAL 2,502,302 2,634,500 LOWEST LAND USE - OFFICE WAREHOUSE Springsted calculated the tax revenue generated on the site for the Lowest possible land use: office warehouse. For sake of comparison, we will use their example instead of the one developed by my firm. Their example allows for a higher building coverage (40% vs. 35 %) and lower cost per square foot of approximately $42.00. I did adjust their number for site size (84.5 acres) and to represent fiscal disparities and state -wide tax. Total Market Value Total Market Class New Tax Phase USE Acres Sq. Ft. /Units Sq. Ft. /Units Taxes Value Rate Capacity Built Payable 1 -A Office Warehouse 15.5 270,072 42.00 $ 476,723.03 11,343,024 2.00% 226,860 2005 2007 2 -A Office Warehouse 11.5 200,376 42.00 $ 353,697.73 8,415,792 2.00% 168,316 2006 2008 2 -A Office Warehouse 9 156,816 42.00 $ 276,806.92 6,586,272 2.00% 131,725 2006 2008 3 -A Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2007 2009 3 -A Office Warehouse 3 52,272 42.00 $ 92,268.97 2,195,424 2.00% 43,908 2007 2009 3 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2007 2009 4 -A Office Warehouse 4 69,696 42.00 $ 123,025.30 2,927,232 2.00% 58,545 2008 2010 4 -A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2008 2010 4 -8 Office Warehouse 10 174,240 42.00 $ 307,563.24 7,318,080 2.00% 146,362 2008 2010 5 -3 Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2009 2011 5 -B Office Warehouse 7.5 130,680 42.00 $ 230,672.43 5,488,560 2.00% 109,771 2009 2011 TOTAL 85 1,472,328 2,598,909 S64 ;837776 1,236,756 Prepared by aNSIftMS 0 24 'ROJEC ORMATI 3 Year Date RESEARCH & DEVELOPMENT OFFICE In order to be consistent throughout the comparison, a realistic market view is necessary. Springsted adjusted the office warehouse scenario to better represent market conditions, i.e. reduced cost per square foot and higher coverage ratio. The research and development analysis is definitely skewed. A five year build -out of 3,798,432 square feet is unrealistic for the following reasons: • For the past twenty (20) years the site has been zoned for this particular use and development has not occurred. • In the last five years, Dakota County has had one research and development facility constructed and it has been converted to offices. Source: Gloria Pinke, Dakota County Assessing Services. • The five year absorption rate for the East Bloomington & South of River Region has been 101,613 square feet annually according to 2003 NAIOP Annual Office Market Update. • The site would be competing with other locations in the market that are ready to be developed. • A project with 3.8 million feet would be heavily sought and the likelihood that it would be in a tax increment district for at least 8 years is high. If Eagan does not offer TIF, other municipalities would for this type of project. • Large corporate project, such as Best Buy and Medtronic have required financial assistance. • Best Buy is 2.5 million square feet and is currently 25% vacant. The analysis completed by Springsted does not take into consideration fiscal disparities or the state -wide tax. Additionally, the $13.4 million of cumulative cash flow does not represent the possibility of a tax increment district which would negatively impact the projection. I adjusted Springsted's analysis to represent the 85 acres of developable property, fiscal disparities impact, and state wide taxes. Prepared by Bann= htC,, ca2 4 �. , + w �`,'. `I . . , 4-v 'ti }[ �'$ =L�:a�S" 11 ���M���Q Market Total Value Total Market Class New Year Date Sq. Sq. Phase USE Acres FL /Units FtfUnits Taxes Value Rate Tax Capacity Built Payable R &D 1 -A Office 22.5 759,686 70.00 476,723 53,178,020 2.00% 1,063,560 2005 2007 R &D 2 -A Office 22.5 759,686 70.00 353,698 53,178,020 2.00% 1,063,560 2006 2008 R &D 3 -A Office 22.5 759,686 70.00 215,294 53,178,020 2.00% 1,063,560 2007 2009 R &D 4 -A Office 17.5 759,686 70.00 123,025 53,178,020 2.00% 1,063,560 2008 2010 TOTAL 85 3,038,744 1,168,740 2 1111 00%1 4,254,242 RESEARCH & DEVELOPMENT OFFICE In order to be consistent throughout the comparison, a realistic market view is necessary. Springsted adjusted the office warehouse scenario to better represent market conditions, i.e. reduced cost per square foot and higher coverage ratio. The research and development analysis is definitely skewed. A five year build -out of 3,798,432 square feet is unrealistic for the following reasons: • For the past twenty (20) years the site has been zoned for this particular use and development has not occurred. • In the last five years, Dakota County has had one research and development facility constructed and it has been converted to offices. Source: Gloria Pinke, Dakota County Assessing Services. • The five year absorption rate for the East Bloomington & South of River Region has been 101,613 square feet annually according to 2003 NAIOP Annual Office Market Update. • The site would be competing with other locations in the market that are ready to be developed. • A project with 3.8 million feet would be heavily sought and the likelihood that it would be in a tax increment district for at least 8 years is high. If Eagan does not offer TIF, other municipalities would for this type of project. • Large corporate project, such as Best Buy and Medtronic have required financial assistance. • Best Buy is 2.5 million square feet and is currently 25% vacant. The analysis completed by Springsted does not take into consideration fiscal disparities or the state -wide tax. Additionally, the $13.4 million of cumulative cash flow does not represent the possibility of a tax increment district which would negatively impact the projection. I adjusted Springsted's analysis to represent the 85 acres of developable property, fiscal disparities impact, and state wide taxes. Prepared by Bann= htC,, ca2 4 SUMMARY The three scenarios outlined above represent the possible development alternatives for the site. With the exception of the Loan Oak preferred mixed -use scenario, the other two have utilized the optimal conditions and market expectations stipulated by Springsted. I have compensated for amount of actual developable land (84.5 acres) and the necessary additional commercial taxes not included in the original analysis: fiscal disparities and state wide taxes. Scenario Increase Market Value Net Local Taxes (5 years) Mixed Use $ 241,750,000 $ 9,637,815 Office Warehouse $ 61,837,776 $ 1,524,123 Research & Development $ 212,712,080 $ 9,244,730 Looking at the two key revenue generating factors Market Value and local taxes, the Mixed Use Development is the best alternative. It is important to note that the Research and Development analysis used the optimal amount of square feet in the valuation, although the assumptions used for the size of the development are not market driven. Prepared by Baitt1@ s Convoltiag Swims,, I 5 �,• �. ' b ( 1T 17C'; CALCULATION YEAR BASE MV NEW MV BASE TAXES LOCAL TAXES F/D TAXES MN STATE TAXES MV TAXES NEW TAXES NET NEW LOCAL TAXES 2007 3,954,900 53,178,020 130,451 605,939 518,653 579,077 84,298 476,723 475,489 2008 3,954,900 106,356,040 130,451 2,019,775 1,555,959 1,737,230 252,893 830,421 1,889,324 2009 3,954,900 159,534,060 130,451 2,423,756 2,074,612 2,316,307 337,191 1,045,715 2,293,306 2010 3,954,900 212,712,080 130,451 2,423,756 2,074,612 2,316,307 252,893 1,168,740 2,293,306 2011 3,954,900 212,712,080 130,451 2,423,756 2,074,612 2,316,307 337,191 1,168,740 2,293,306 TOTAL 652,253 9,896,983 8,298,449 9,265,228 1,264,467 4,690,339 $9, SUMMARY The three scenarios outlined above represent the possible development alternatives for the site. With the exception of the Loan Oak preferred mixed -use scenario, the other two have utilized the optimal conditions and market expectations stipulated by Springsted. I have compensated for amount of actual developable land (84.5 acres) and the necessary additional commercial taxes not included in the original analysis: fiscal disparities and state wide taxes. Scenario Increase Market Value Net Local Taxes (5 years) Mixed Use $ 241,750,000 $ 9,637,815 Office Warehouse $ 61,837,776 $ 1,524,123 Research & Development $ 212,712,080 $ 9,244,730 Looking at the two key revenue generating factors Market Value and local taxes, the Mixed Use Development is the best alternative. It is important to note that the Research and Development analysis used the optimal amount of square feet in the valuation, although the assumptions used for the size of the development are not market driven. Prepared by Baitt1@ s Convoltiag Swims,, I 5 Agenda Information Memo May 18, 2004 Eagan City Council Meeting FACTS: F. COMPREHENSIVE GUIDE PLAN AMENDMENT — LAUKKA- BECK ACTION TO BE CONSIDERED: > To direct staff to submit the Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential (4 -12 units /acre) and Park (P) for approximately 27 acres of undeveloped land located south of I -494, west of the Inver Grove Heights (IGH) corporate boundary, in the NE 1 /4 of Section 1. OR > To direct the preparation of Findings of Fact for denial of a Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service to Medium Density (MD) residential (4 -12 units /acre) and Park (P) for approximately 27 acres of undeveloped land located south of I -494, west of the Inver Grove Heights (IGH) corporate boundary, in the NE 1 /4 of Section 1. > The zoning (Planned Development) for the Laukka -Beck property does not permit residential uses. > The Comprehensive Guide Plan discourages additional residential uses and long -term continuation of existing residential uses for Special Areas 1, 2 and 3. > The applicant's desired development request requires a Comprehensive Guide Plan amendment and a Planned Development Amendment. > The Special Areas were created as part of the Comprehensive Guide Plan Update that was initiated in 1998 and resulted in the adoption Eagan's Comprehensive Plan 2000 in February of 2001. > The City Council amended the Guide Plan in December 2001 by adopting the Goals and Policies for Special Areas 1, 2 and 3. > The applicant is requesting approval of Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office /Service (O /S) to a 7� Medium Density (MD) residential (4 -12 units /acre) and Park (P) for approximately 27 acres of undeveloped land located south of I -494, west of the Inver Grove Heights (IGH) corporate boundary, in the NE 1/2 of Section 1. > When a change to a City's Comprehensive Guide Plan is requested, it is the City's responsibility to determine if the change is in the best long -range interests of the city and future property owners. The standard of review of a City's action in approving or denying a Comprehensive Guide Plan amendment is whether there exists a rational basis for the decision to modify the present plan. > The site is located within the area commonly referred to as The Waters office park. Adjacent properties include the 480,000 SF Ecolab (originally Cray Research) Campus to the west and the 264,000 SF Northwest Airlines (NWA) Corporate Headquarters and the 279,000 SF NATCO training facility to the northwest. > Except for the small portion located in IGH, the subject site is located within the 1985 Laukka -Beck Eagan Planned Development that incorporated approximately 450 acres in northeast Eagan. This Planned Development called for the establishment of office /retail, office retail /showroom, and research and development uses throughout the site. ➢ The applicant's submittals allow the City to review the Guide Plan Amendment in relation to the pending amendment application for the 80 acre Loan Oak, LLC parcel south of the site. Additionally, it stands to reason that if the Guide Plan is amended for the two pending applications, the 38 acre parcel that lies between the two and other vacant property in the area would likely follow the same path. As such, policy makers will want to be cognizant of the potential for far more than the subject 110 acres to ultimately be influenced. > The MD Comp Guide designation category provides areas for medium density attached housing units, including two - family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4 -12 units /acre, including common area. > As proposed, Laukka -Beck proposes 168 townhome units on 27 acres resulting in a density of 6.2 units /acre. Because a formal application for a Planned Development Amendment is not before the Council, there is no assurance that the applicant will pursue or that the Council supports the proposed density or uses. ➢ The proposed amendment to residential is seen as connected to that requested by Loan Oak, LLC requiring a mandatory Environmental Assessment Worksheet (EAW) to be prepared prior to consideration of rezoning and/or subdivision application. > Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. In response to anticipated aircraft noise, the applicant's noise consultant states that interior noise attenuation can be 173 accommodated easily with good building practices. The Metropolitan Council Aircraft Noise Policies defines specific findings that need to be made in addition to the development's capacity to achieve noise attenuation for individual entry residential development. The City will need to determine whether it concurs or differs with the applicant's position regarding the appropriateness of residential uses in Noise Zone 4. ISSUES: GENERAL ISSUES AND OVERVIEW > The issues before the Council are primarily legislative and policy issues and the Council has latitude to make findings to approve or deny the proposals provided that it has a rational basis for the decision based on the health, safety and public welfare of the community now and in the future. The applicants have indicated that they want the City Council to address the threshold question of whether it would consider residential uses in this area. The City has advised the applicants that any application for a planned development amendment is incomplete until an EAW is completed. ➢ The applicants have indicated that they wish to pursue a method of review that would not require costs associated with the preparation of detailed plans or the preparation of an environmental assessment worksheet, which would be mandatory for a planned development amendment application or a subdivision. Given that request and those parameters, the method of review that is appropriate and is properly before the City is a Comprehensive Guide Plan Amendment application. AIRPORT NOISE ISSUES > The City has a long standing policy of guiding, zoning and developing property in the northern part of the City for commercial and industrial land that are compatible with overflights associated with the operational standards at the Minneapolis -St. Paul International Airport. The City has and continues to promote the maintenance of airport operating procedures that take advantage of that land use policy by concentrating aircraft in those areas to minimize overflights of other areas of the City planned for residential uses. The applicant is proposing a modification of that policy. There is clear guidance in regional policy as to how consideration of such a modification would be undertaken. If the Council wishes to modify the policy, it would be appropriate to apply those standards of review and determine an appropriate process by which to assess the standards. > The City's Airport Relations Commission typically advises the City Council in regard to matters affecting airport policy, including monitoring operations standards and policies related to the Eagan- Mendota Heights Corridor. In most cases, Comprehensive Guide Plan amendments have not been presented to the Airport Relations Commission and the group has not been asked to provide input on this item to date. The Council may wish to consider whether to direct the item to the ARC for its review and comment or for the oversight of a more detailed analysis of the City's Policies in this regard. MARKET FORCES ➢ The applicants state that the current market does not support immediate build out of commercial industrial uses in the near future. One of the primary purposes of land use planning is to look beyond the market at any one time and to identify the land uses and interrelationship of land uses that are in the best interests of the City. Market forces may be a factor in land use decisions, but it is up to the City Council to determine the weight of that factor in relation to other factors. ➢ Since the submission of the applications, the former Cray campus has been sold to Ecolab for the relocation and expansion of the company's research and development and information center activities. While Ecolab purchased the property for substantially less than the original construction cost or initial asking price of the property, the Council may wish to consider whether the occupancy of the site has the potential to affect market forces in the area. TIMEFRAME FOR DEVELOPMENT ➢ Laukka Beck states that it has actively marketed the 450 acre Laukka Beck Planned Development for the development of the projects in the Waters Office Park. To date, over 420 acres of the site have been sold and/or developed. In its application, Laukka Beck is proposing to convert the land use of the remaining 27 parcel that has not been sold by the company over that time frame. FINANCIAL ANALYSIS ➢ The applicants state that the proposal would generate tax revenue in excess of that which could be anticipated in the short term for commercial- industrial development. This statement is related to the market forces issue above. The City's Reviewing Consultant states that the applicant did not analyze the service or capital cost differentials associated with their proposed development alternative. The applicant's consultant has not addressed other factors the City may consider in planning and developing commercial industrial uses, such as the creation and expansion of jobs, the encouragement of spin off development, vertical and horizontal integration of the local economy and so on. If the Council does not find that a financial analysis is a compelling aspect of a land use decision, no further analysis needs to be done in this area. If the Council finds such analysis to be compelling, it may wish to authorize the preparation of a more detailed fiscal impact analysis by a firm qualified to consider such factors. � �s ATTACHMENTS: (3) Draft APC Minutes on pages through Staff Report on pages through Memo from developer's Fiscal Consultant on pages through c,2 X PLANNING REPORT CITY OF EAGAN REPORT DATE: April 22, 2004 APPLICANT: Larry Laukka PROPERTY OWNER: Laukka-Beck REQUEST: Comp. Guide Plan Amendment LOCATION: NE 1/4 of Section 1 COMPREHENSIVE PLAN: SA # 1 ZONING: PD — Planned Development CASE: 01 -CG -01-02-04 HEARING DATE: April 27, 2004 APPLICATION DATE: February 18, 2004 PREPARED BY: City Staff SUMMARY OF REQUEST Based on the application and supporting information submitted, the City is reviewing the request to amend the Comprehensive Guide Plan to support Medium Density (MD) residential and Park (P). The applicant is requesting a meeting with the Advisory Planning Commission (APC) to present a concept plan to discuss the feasibility of a Planned Development and approval of Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office/Service to Medium Density (MD) residential (4-12 units/acre) and Park (P) for approximately 27 acres of undeveloped land located south of I-494, west of the Inver Grove Heights (IGH) corporate boundary, in the NE 1/4 of Section 1. AUTHORITY FOR REVIEW The attorney representing the applicant submitted a narrative that asserts that the existing Planned Development zoning can be amended to accommodate the residential use without amending the Comprehensive Guide Plan. Despite that, they have applied for a Comprehensive Guide Plan Amendment which is being processed at this time. The narrative also states that the City will be liable of acting in a way that is arbitrary and capricious if a denial of the applicant's request is based on the existing Waters Plan (Special Area 1). The City Attorney and staff have reviewed the zoning and Comprehensive Guide Plan history of the subject site and found that a portion of the site had a zoning of R-4, Multi -family in 1974 through 1986 and a review of the area in 1985 stated that the "current R-4 in the area was intended to create a buffer, but is not of a practical shape to allow development." Also, the ,D 7 Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 2 City's first Comprehensive Guide Plan (1974) guided the property Regional Shopping Center (RSC) and it has been guided for retail and/or office, office/showroom, and research and development use since that time. Planned Development Concept There is no APC or City Council action associated with the presentation of a concept plan. Chapter 11, Section 11.60, Subd. C, 2 Concept Plan states: ...any person may request a meeting with the APC to present a concept plan to discuss the feasibility of a Planned Development. Such request shall be made by addressing a letter to the APC where upon said request shall be heard at a subsequent meeting. Comprehensive Guide Plan Amendment The City's Comprehensive Guide Plan was prepared pursuant to Minnesota Statutes, Section 473.864. As defined by statute, the Land Use Plan is a guide and may be amended from time to time as conditions change. The City's Guide Plan is to be implemented by official controls such as zoning and other fiscal devices. The creation of land use districts and zoning is a formulation of public policy and a legislative act. As such, the classification of land uses must reasonably relate to promoting the public health, safety, morals and general welfare. When a change to a City's Comprehensive Guide Plan is requested, it is the City's responsibility to determine if the change is in the best long-range interests of the city and future property owners. The standard of review of a city's action in approving or denying a Comprehensive Guide Plan amendment is whether there exists a rational basis for the decision as to whether to modify the present plan. A rational basis standard has been described to mean having legally sufficient reasons supportable by the facts which promote the general health, safety and welfare of the City. It is also important to note that a portion of the subject site is located in IGH and will require a separate Guide Plan amendment, rezoning and subdivision process and action by the IGH city council. EXISTING CONDITIONS The site is undeveloped and consists of varying topography, trees/woodland areas, and several wetlands. The site is within the area commonly referred to as The Waters office park. Adjacent properties include the 480,000 SF Ecolab (originally Cray Research) Campus to the west and the 264,000 SF Northwest Airlines (NWA) Corporate Headquarters and the 279,000 SF NATCO training facility to the northwest. BACKGROUND/HISTORY Except for the small portion located in IGH, the subject site is located within the 1985 Laukka- Beck Eagan Planned Development that incorporated approximately 450 acres in northeast Eagan. 7e? Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 3 This Planned Development called for the establishment of office/retail, office retail/showroom, and research and development uses throughout the site. ZONING & COMPREHENSIVE GUIDE PLAN The Zoning and Guide Plan history of the site is listed below: Year Zoning Guide Plan Designation 1964 - 73 Industrial N/A 1974 PD -RSC & R-4 RSC 1980 PD -RSC & R-4 CPD (Dayton Hudson) 1983 PD -RSC & R-4 RSC 1985 PD -RSC & R-4 Discussion re: residential (no action) 1987 - 2001 PD — Office, Office/Showroom CPD 2002 PD Special Area — O/S (Office/Service) SURROUNDING USES Existing development in the proximity of the subject site consists of large scale corporate office (Ecolab, NWA, and the USPS) and a significant amount of office, office -showroom and office - warehouse development. The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: North - O'Neil Drive/ I-494. South - Undeveloped; zoned Ag; guided Special Area - O/S (Office/Service). East - Inver Grove Heights; zoned Ag; guided Office. West - Undeveloped NWA property; zoned PD; guided Special Area - O/S (Office/Service). EVALUATION OF REQUEST The applicant's submittals allow the City to review the Guide Plan Amendment in relation to the pending amendment application for the Loan Oak Development, LLC property south of the site. Additionally, it stands to reason that if the Guide Plan is amended for the two pending applications the 38 acre parcel that lies between the two would likely follow the same path. As 79 Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 4 such, policy makers will want to be cognizant of the potential that a total of approximately 148 acres will ultimately be impacted. MD — MEDIUM DENSITY RESIDENTIAL COMPREHENSIVE GUIDE DESIGNATION The MD Comp Guide designation category provides areas for medium density attached housing units, including two-family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4-12 units/acre, including common area. LAUKKA-BECK PROPOSAL If the requested land use amendment is approved, Laukka-Beck proposes 168 townhome units on 27 acres which results in a density of 6.2 units/acre. TAX BASE IMPACTS The applicant has submitted Tax Benefit Study. The information presents a five-year tax analysis that, based on the consultant's assumptions, concludes that "The housing scenario provides a significant tax revenue advantage over the commercial option." The City's fiscal consultant, Springsted, has reviewed the study and has provided an analysis, which is attached, of the assumptions and alternatives outlined in the applicant's study. Springsted's analysis indicates that the relative tax revenue and service cost impacts of residential and commercial development alternatives are highly sensitive to the assumptions applied and that residential development typically places a higher demand on local government services than comparable values or intensities of commercial development. Ordinarily, tax base comparisons have not been presented the City's analyses of land use applications. It is included in this case because it was included in the applicant's submittal. ENVIRONMENTAL IMPACTS Any development of the subject site will be required to address the physical and environmental factors that could influence the development potential of the property. The Laukka-Beck proposal is deemed a connected action to the Loan Oak Development proposal and results in a total residential unit count that exceeds the threshold requiring a mandatory Environmental Assessment Worksheet (EAW) to be prepared. Grading/Topography The site is generally open with varying topography and wooded areas with natural lowlands and wetlands. Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 5 Trees/Vegetation Much of the site consists of open grassland or water and approximately 25% of the site is wooded. As such, development should be possible with minimal impact to the existing vegetation. The City's Tree Preservation Ordinance will apply to any development of the site. Wetlands Although not designated by the DNR, the site does contain several wetland areas. Development impact, if any, to the wetland areas will be reviewed with a rezoning/subdivision request. Storm Water Drainage/Water Quality The entire site lies within Drainage District F (as designated in the City Storm Water Management Plan — 1990), and ultimately drains to the west toward O'Neil Pond near Highways 55 and 149. Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. Airport Noise Considerations The proposed development site is located 4 '/z miles from the parallel runways at MSP, in line with the primary departure flight tracks and adjacent to the primary arrival tracks for those runways. As such, the site is located in Noise Zone 4 as defined by the Metropolitan Council Policy Contours adopted in 1996. Within Noise Zone 4, office, commercial and industrial development is considered compatible. The development of residential uses with individual entrances is considered conditional and the development of residential uses with shared entrances, such as typical apartments, is considered provisional. The definitions of those terms are discussed more completely in the staff's aircraft noise report, which is attached. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. To that end, it has guided and zoned much of the northeastern portion of the City for compatible office, commercial and industrial uses in what is commonly referred to as the Eagan -Mendota Heights Corridor. The Corridor and the related policies of the City of Eagan, the Metropolitan Council and the Metropolitan Airports Commission are based on the concept that noise compatible land uses are the most effective means of preventing noise nuisance. As noted above, the City's adopted Comprehensive Guide Plan currently designates the area as Special Area — O/S (Office/Service). If residential uses are to be considered as proposed, the threshold question is whether residential uses would be appropriate in this area and, if the City determines that to be the case, regional policy provides guidance in gauging whether such uses can be provisionally or conditionally acceptable. 8/ Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 6 Summary — Environmental Impacts The Laukka-Beck proposal is a connected action to the Loan Oak Development proposal resulting in a total residential unit count that exceeds the threshold for a mandatory Environmental Assessment Worksheet (EAW) to be prepared prior to consideration of rezoning and/or subdivision application. Development of the site should be possible with minimal impact to the existing vegetation. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. In response to anticipated aircraft noise, the applicant's noise consultant states that interior noise attenuation can be accommodated easily with good building practices. The Metropolitan Council Aircraft Noise Policies defines specific findings that need to be made in addition to the development's capacity to achieve noise attenuation for individual entry residential development. The City will need to determine whether it concurs or differs with the applicant's position regarding the appropriateness of residential uses in Noise Zone 4. INFRASTRUCTURE Streets/Access/Circulation Access to the site is available from the west via O'Neil Drive that runs along the northern border of the property and connects to Argenta Trail in IGH. Traffic Impacts The developer has submitted a traffic study that concludes "...that the proposed concept development plan would cause less traffic impact on nearby roadways than would occur if the property developed in accordance with the existing zoning." The City's traffic engineer concurs that the proposed residential use will result in less peak and less total daily trips being generated in comparison to a development consistent with Office/Service Guide Plan designation. Storm Water Drainage The entire site lies within Drainage District F (as designated in the City Storm Water Management Plan — 1990), and ultimately drains to the west toward O'Neil Pond near Highways 55 and 149. Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. Utilities Lateral sanitary sewers have been stubbed to serve the sites from the Cray Research and Northwest Airlines campuses, and at the Lone Oak Drive and Lone Oak Road intersection, to the west. Sanitary sewer District N (as designated in the City's Comprehensive Sanitary Sewer Plan — 2000) serves the entire site. The wastewater flows associated with a possible medium density c)2 Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 7 residential development are estimated to be less than those anticipated with commercial/ industrial development in the 2000 Sewer Plan. Therefore, the lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. Summary - Infrastructure Development of the proposed residential use will result in less peak and less total daily trips being generated from the site in comparison to a development consistent with Office/Service Guide Plan designation. The lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. COMPREHENSIVE LAND USE IMPACTS This section includes information on the City's residential land supply, major office land supply and development goals. Residential Land Supply The applicant has submitted a Housing Study prepared by a consultant that states, in part, that "Eagan is a highly desirable residential community with a substantial amount of employment." The applicant's Housing Study also states the type of amenities sought by likely buyers of the proposed residential units and concludes with "We believe that your respective residential developments will provide today's buyers with the features and amenities they are seeking." An update of Eagan's housing mix was completed in October 2003. The update shows that the City is maintaining an excellent mix of housing types and life cycle housing choices. As indicated in the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998. At that time, 47% of Eagan's housing consisted of attached, multi -family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38%. The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Loan Oak Development site to the south will result in an attached unit percentage of 48.4%. In addition to City-wide land use and housing supply, the housing balance and density within the surrounding area should be considered. Approved but not yet built, Gift of Mary was determined to be an institutional use and the rezoning to Planned Development was deemed consistent with the Office/Service Guide Plan designation which provides Limited Business as a compatible zoning district. .?83 Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 8 The subject site is isolated from other Eagan residential neighborhoods. The nearest existing residential use is the large -lot Rural Residential area (Special Area 3) located south of Lone Oak and north of Highway 55. Similar to the subject site, the Special Area 3 Comprehensive Guide Plan for this area stipulates the ultimate development being commercial in nature, consistent with the Office/Service Guide Plan designation. Major Office Land Supply One of the larger "major office" parcels (80 acres) has been developed for activities other than major office. In the mid -1990's, an application to change the Guide Plan designation to mid - density residential was considered for the 80 acre Argosy/Central Park parcel (formerly owned by Sperry). The City's Commercial Land Use Study Background Report (February 1994) includes goals adopted by the City's Economic Development Commission to promote and retain a strong and diverse tax base and employment base. The report also cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." The Commercial Land Use Study Interim Report Working Policies (April 1994) concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. The relevance of the Commercial Land Use Study goals/policies stated above is a determination for City policy makers. Special Area 1 Conclusions and Land Use Policies The Waters (Special Area 1) area plan, adopted in December 2001, concludes that in recognition of surrounding land uses, traffic volumes and the area's inclusion in the aircraft noise zone, the long-term desirability of residential uses (several existing agriculturally and residentially zoned properties scattered throughout the area) in the area is considered questionable. Adopted policies include that the City will discourage any additional residential development, including further subdivision of any existing residential property and that the City ultimately expects the entire area, save for the Trinity Lutheran Church property, to develop as office, office showroom, research and development, and neighborhood business uses. The existing residential uses are considered transitional; however, the transition from residential to commercial would occur via private market forces. Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 9 Summary — Comprehensive Land Use Impacts An Eagan housing mix review (as of October 2003) illustrates that the City is maintaining an excellent mix of housing types and life cycle housing choices. As indicated in the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998. At that time, 47% of Eagan's housing consisted of attached, multi -family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38%. The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Loan Oak Development site to the south will result in an attached unit percentage of 48.4%. The Commercial Land Use Study cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." The existing supply of land available for office/research and development is extremely limited, particularly 40+ contiguous acres. The Commercial Land Use Study Interim Report Working Policies concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. In keeping with the City's effort to avoid compatibility issues with operations at MSP, the Waters Special Area Plan discourages residential development in northeast Eagan. SCHOOL SYSTEM This section will provide information regarding the potential impact of the proposed land use change on the public school system. The subject site is located in ISD 196 and, according to the district; the subject area has not previously been considered an area that would generate students for 196. The evaluation includes the existing capacity and enrollment projections for the schools that would serve this area and an estimated demand for school services with the additional students from the proposed and potential residential development. Capacity and Enrollment Projections The area is served by three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School. Glacier Hills has a capacity of 615 and is projected at 455 for the 2004-05 school year. Dakota Hills has a capacity of 1,255 and is projected at 1,369 for 2004-05. Eagan HS has a capacity of 1,915 but has a projected enrollment of 2,202 for 2004-05. cA,8.s Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 10 Estimated Impacts Based on the unit/housing type proposed by the applicant, ISD 196 would expect the Laukka- Beck proposal to generate 16 elementary students, 8 middle school students and 10 high school students or a total of 34 students. While there are clearly capacity issues being experienced at the Middle School and High School serving this area, the anticipated increase in students generated from the proposed development does not appear to exacerbate the situation in a significant way. Summary — School System The area is served by three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School. Although capacity issues exist with Dakota Hills and Eagan HS, the anticipated increase in students due to the proposed development does not appear to impact the situation in a significant way. PARKS AND RECREATION SYSTEM The park section reviews the implications of the proposed land use change on the parks and recreation system at both the neighborhood and City-wide levels. Policy makers should consider the costs associated with improving and perpetually maintaining a new park facility in relation to a cash park dedication (with commercial development) that would enhance the City's Park Site fund. Park Systems Plan The current park System Plan, updated in 1994, does not designate any parks in this area of the City. The property has long been designated for office, research and development, etc. There are not any City-wide park facilities in the immediate area and no convenient facilities in the general area. Policy 4 of the Comprehensive Guide Plan, Chapter 7 (Parks), "Land Acquisition, Facility Development and Maintenance," states: The City will pursue the acquisition and development of neighborhood parks in order that each neighborhood service area, as illustrated in the Park System Plan, is adequately served with appropriate recreational facilities. Neighborhood Parks The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 11 The City has always attempted to adhere to a policy of providing a park within a half mile of every residential unit. The nearest neighborhood park to the development area would be Bur Oaks Park which is anywhere from '/2 to nearly 1 '/2 miles from units in the development. To get to Bur Oaks Park, residents of the proposed development would either have to drive to the park or have pedestrians crossing Lone Oak Road and Highway 55, a four -lane arterial carrying highway traffic loads. There currently is no trail connection. Improvement costs would naturally vary depending on how the land was used and what the open space was used for, but a very preliminary number for turning flat ground into green space is $8,000 to $10,000 per acre. The cost can fluctuate depending on topography. The cost of developing park amenities is highly variable. For a neighborhood park, $75,000 to $100,000 is a reasonable estimate. Routine maintenance, also a variable, can run about $800 to $1,000 per acre/per annum. This includes both the value cost of labor and equipment and the actual cost of materials. Supporting information provided by the applicant includes reference to approximately 9 acres of park being provided but does not define the feature. Park Dedication The standard park land dedication for the density suggested on the property, greater than 3.5 units per acre, is 12% of the gross area. It is a sliding scale that decreases to 8% where the density is <2 units per acre. Where ponding has been determined to have a "park function," credit is given at 50%, though a minimum of 70% of the dedication must be above the normal high water level. This formula is based upon there being 15 acres of parks and open space per 1,000 residents, of which, 12 acres is designated as "neighborhood parks." If the park dedication is to be met with land, there would be no cash dedication required. Summary — Parks and Recreation System The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. There is an opportunity cost associated with a land versus cash park dedication in this area. In addition to foregoing an infusion of cash into the Park Site Fund that would be associated with a commercial development, the City would assume the expense of improving a park feature and the resource responsibility for on-going maintenance. The standard park land dedication for the density suggested on the property, 3.5+ units per acre, is 12% of the gross area. The necessary land dedication would also reduce the net area available for private development. If the park dedication is to be met with land, there would be no cash dedication required. X87 Planning Report - Laukka-Beek Eagan Partnership April 27, 2004 Page 12 SUMMARY OF FINDINGS In evaluating this proposal, the following items should be considered: GENERAL CONSIDERATIONS > Laukka-Beck Eagan Partnership is requesting approval of a Comprehensive Guide Plan Amendment from Special Area Office/Service to Medium Density residential for approximately 27 acres located in northeast Eagan. > The Waters (Special Area 1) plan, adopted in December 2001, concludes that the recognition of surrounding land uses, traffic volumes and the area's inclusion in the aircraft noise zone, the long-term desirability of residential uses (several existing agriculturally and residentially zoned properties scattered throughout the area) in the area is considered questionable. > Except for the small portion located in Inver Grove Heights (IGH), the subject site is located within the 1985 Laukka-Beck Eagan Planned Development that incorporated approximately 450 acres in northeast Eagan. > The proposed MD Comp Guide designation category provides areas for medium density attached housing units, including two-family dwellings, townhomes, and condominiums. Under certain circumstances, small lot detached single family units may also be appropriate. Allowable gross densities within this land use category range from 4-12 units/acre, including common area. > The conceptual proposal presented by Laukka-Beck includes 168 townhome units, with a density of 6.2 units/acre and approximately 9 acres of an undefined park feature. ENVIRONMENTAL IMPACTS > The site contains some natural features that include varying topography, trees/woodlands, and wetlands. Development of the site should be possible with minimal impact to the existing vegetation. > Ponds and wetland complexes within the site could be utilized for storm water management, along with constructed water quality ponding, for development of this site. > The applicant has stated that indoor noise impacts within the proposed residential property could be attenuated through appropriate building techniques. The applicant does not address other findings outlined within the regional aircraft noise policy and the housing market consultant suggests that outdoor uses/activities are desirable within the market group identified. The primary decision is whether residential use would be desirable for the City in the context of airport noise. If so, appropriate design and construction considerations would be essential. ssv Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 13 > The proposed residential development is viewed as connected to the proposed Loan Oak LLC development which has a unit count that exceeds the threshold for a mandatory Environmental Assessment Worksheet (EAW) to be prepared. The City Council will need to make a declaration on the need for an Environmental Impact Statement (EIS) before any rezoning and/or subdivision application can be considered. INFRASTRUCTURE > Access to the site is available from the west via O'Neil Drive that runs along the northern border of the property and connects to Argenta Trail in IGH. > Development of the proposed residential use will result in less peak and total daily trips being generated from the site in comparison to a development consistent with Office/Service Guide Plan designation. > The lateral and trunk sanitary sewer lines serving the area would have sufficient capacity to accommodate the proposed land use change. COMPREHENSIVE LAND USE IMPACTS > According to the City's 2000 Comprehensive Plan, the City achieved a strong diversity of housing types by 1998.At that time, 47% of Eagan's housing consisted of attached, multi- family units, where the metropolitan average and Metropolitan Council Livable Community goal for attached housing was around 38%. > The October 2003 breakdown shows a small increase in percentage of single family detached housing since 1998; however, when planned units are factored in, the total mix of housing remains nearly identical to 1998 levels. The proposed residential development on the subject site and the Loan Oak Development site to the south will result in an attached unit percentage of 48.4%. > The City's Commercial Land Use Study Background Report (February 1994) states the goal "to promote and retain a strong and diverse tax base and employment base." The report also cautioned that "as Eagan continues to grow, suitable land for corporate offices could become scarce if allowed to develop with whatever is "hot" on the market at the time. As such, the City must consider how much land to set aside for corporate office parks in the long run, to prevent an erosion of our supply of suitable land." > The Commercial Land Use Study Interim Report Working Policies (April 1994) concluded that Eagan's geographic location in the region makes the City a prime candidate for attracting major corporate offices and recommends that large tracts of suitable land (e.g. adjacent to major roadways) should be preserved and promoted for major corporate office or institutional facilities. � F9 Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 14 > The Waters (Special Area 1) plan, adopted in December 2001, concludes that due to surrounding land uses, traffic volumes and the area's inclusion in the aircraft noise zone, the long-term desirability of residential uses (several existing agriculturally and residentially zoned properties scattered throughout the area) in the area is considered questionable. > In keeping with the City's effort to avoid compatibility issues with operations at MSP, the Waters Special Area Plan discourages residential development in northeast Eagan. The Metropolitan Council Airport Noise Policies provide guidance for the factors to be reviewed in considering whether to permit residential development within the Noise Zones. SCHOOL SYSTEM ➢ Three schools, Glacier Hills Elementary, Dakota Hills Middle School and Eagan High School serve this portion of ISD#196; although capacity issues exist with Dakota Hills and Eagan HS, the anticipated increase in students due to the proposed development does not appear to impact the situation in a significant way. PARKS SYSTEM > The proposed development site is within Park Planning District 4 of the Systems Plan and is indicated as an area "not served" by a park. With the residential units proposed, there will be a need to provide park services to the area. > Consideration should be given to the opportunity cost associated with improving and perpetually maintaining a new park facility in relation to a cash park dedication (with commercial development) that would enhance the City's Park Site fund. ➢ Supporting information provided by the applicant includes reference to the creation of an undefined park feature. ACTION TO BE CONSIDERED To provide comment on the Planned Development Concept Plan. To recommend approval (or denial) of a Comprehensive Guide Plan Amendment to change the land use designation in Special Area 1 from Office/Service to Medium Density (MD) residential and Park (P) for approximately 27 acres of undeveloped land located south of I-494, west of the IGH corporate boundary, in the NE '/4 of Section 1. Planning Report - Laukka-Beck Eagan Partnership April 27, 2004 Page 15 TABLE OF ATTACHMENTS LOCATION MAP P,AGg 16 ZONING & COMP GUIDE MAP PAGE 17 APPLICANT NARRATIVE PAGES 18 — 26 LAUKKA-BECK SKETCH PLAN PAGE. 27 LONE OAK MIXED-USE SKETCH PLAN PAGE 28 LONE OAK MIXED-USE DEVELOPMENT SUMMARY... RAGE 29 SPRINGSTED TAX BENEFIT ANALYSIS STAFF AIRPORT MEMO WATERS (SPECIAL AREA 1) PLAN Enclosed separately PAGES 30 — 41 PAGES 42 — 49 Location Map Eagan Boundary A; Street Centerline Parcel Area ' Building Footprint 1000 0 1000 2000 Feet city of caw() Community Povdopment Department Development/Developer: Laukka-Beck Eagan Partnership Application: Comprehensive Guide Plan Amendment Case No.: 01 -CG -01-02-04 AreView 3.1. Parcel base map data provided and is current as of January 2004. t THIS MAP 1S INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. N W+ E Current Zoning and Comprehensive Guide Plan Land Use Map Laukka-Beck Case No. 01 -CG -02-04 Cit, of Eagan Community Development Department Portal baa. map Information provide dEy Dakota County (.and Survey D.paRm.R Juno 2003. /7. Zoning Information maintained byClty Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. W* E Zoning Map ---,—'JI i f Land Use Map i SA -0/S 04.441 111 Ifit Current Zoning: \_ PD Planned Development 0 PD MEW a °ct m A s 40 X e SA Special Area - Office/Service /'� 0 \ O (� Agriculture! 1\ J1 /� 600 0 600 1200 FM PD \ PD SAA/S SA Lo D y Residential Cit, of Eagan Community Development Department Portal baa. map Information provide dEy Dakota County (.and Survey D.paRm.R Juno 2003. /7. Zoning Information maintained byClty Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. W* E Comprehensive Guide Plan ---,—'JI i f Land Use Map SA -0/S saois Current Land Use Designation: °ct m X e SA Special Area - Office/Service /'� — = Office 600O 800 1200 FM SAA/S SA Lo D y Residential Cit, of Eagan Community Development Department Portal baa. map Information provide dEy Dakota County (.and Survey D.paRm.R Juno 2003. /7. Zoning Information maintained byClty Staff. THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information. W* E Larkin Hoffman ATTORNEYS February 18, 2004 Ms. Carla Heyl, Chair Advisory Planning Commission City of Eagan City Hall 3830 Pilot Knob Road Eagan, MN 55122 Re: Laukka-Beck Eagan Partnership Planned Development Amendment Dear Ms. Heyl: Larkin Hoffman Daly & Lindgren Ltd. 1500 Wells Fargo Plaza 7900 Xerxes Avenue South Minneapolis, Minnesota 55431-1194 GENERAL 952-835-3800 FAX: 952-896-3333 WEB: wwwlarldnhoffman.com Laukka-Beck Eagan Partnership ("Lankka-Beck") seeks approval from the City of Eagan ("the City") of a mixed -residential development ("the Laukka-Beck Project") on a 26.9 -acre parcel in the northeast comer of the City along Blue Gentian Road ("the Site"). The Site is directly adjacent to the City of Inver Grove Heights, south of Interstate 494 and west of Argenta Trail. The Site is encompassed within the 458 -acre Laukka-Beck Planned Development Area, as established by the 1985 Planned Development Agreement ("Laukka-Beck PDA") between Laukka-Beck and the City. Residential use of the Site is expressly reserved under the LankIca-Beck PDA. Lankka-Beck is seeking confirmation of its right to pursue residential development under the existing Laukka-Beck PDA. The City Council can approve the concept submitted by Laukka-Beck without amending the Comprehensive Plan, since the right of amendment is contractually provided for by negotiated agreement of the parties, and Laukka-Beck's proposed residential use conforms with either the existing PDA or the underlying zoning. Cray PDA, para. 8. Moreover, by this request, Laukka- Beck is not seeking to rescind the existing Planned Development ("PD") zoning of the Site. Therefore, the zoning remains consistent with Land Use Map of the City. However, staff believes an amendment is appropriate and has requested that Laukka-Beck process a Comprehensive Plan amendment with its PDA request. Without conceding this point, Laukka-Beck proposes to amend the City's Comprehensive Plan to reflect the proposed residential uses on the Site. Laukka-Beck has completed several studies regarding the Project at the Site. These studies evaluated traffic, airport noise, housing demand and tax impacts. In each case, the impacts can be safely managed or represent an improvement over the uses contemplated by the City for the Site. Development History The City and Laukka-Beck are parties to the Laukka-Beck PDA, bearing the date of May 7, 1985. The Laukka-Beck PDA implements the City -approved rezoning of the Laukka-Beck Planned Development Area, from Regional Shopping Center ("the RSC District") and Residential Multiple ("the R-4 � 9� Ms. Carla Heyl, Chair February 18, 2004 Page 2 District") to Planned Development District. The Laukka-Beck PDA provides as follows regarding the zoning amendment: The City of Eagan hereby approves the rezoning of the Subject Land to Planned Development District pursuant to the current Eagan City Code Chapter 11.... Such rezoning is supplemental to the former zoning of Regional Shopping Center Planned Development and Residential Multiple (R-4). Any removal of the superimposed planned (sic) Development District zoning or termination of this Agreement shall automatically result in the Subject Land being zoned Commercial Shopping Center (CSC). (emphasis added) The Laukka-Beck PDA established a 10 -year timeframe for final approval of the 156 -acre Northwest Airlines corporate campus. It also includes a 10 -year timeframe for completing development of the remainder of the land within the Laukka-Beck Planned Development Area. In 1987, Cray Research purchased 116 acres from Laukka-Beck and received City approval of a planned corporate campus, pursuant to a separate Planned Development Agreement. Additional commercial/office development has occurred within the original Laukka-Beck Planned Development Area, including a U.S. Post Office building. Approximately 70 acres remains undeveloped, in addition to the 26.9 -acre Laukka-Beck Site. The Site comprises about 5 percent of the original Laukka-Beck Planned Development Area. The Lankka-Beck PDA remains legally binding on the City and has been the goveming regulatory document for nearly 20 years. In this regard, the underlying RSC/R-4 zoning remains in effect for the remaining undeveloped Lankka-Beck Planned Development Area, including the Site. No development proposal has ever been processed by the City relating to the Lankka-Beck Site. Project Description The Laukka-Beck Project will include 168 units of low to medium density owner -occupied residential uses: 110 condominium units and 58 townhome units. As described below, Laukka-Beck proposes to amend the Laukka-Beck PDA for the Project. Ron Clark is tentatively identified as the builder. This will be an upscale project, catering to the lifecycle housing needs of seniors, young couples and others that desire to live in a managed residential environment. Townhomes 58 units . Condominiums 110 units TOTAL 168 units (6.8 units per acre) Ms. Carla Heyl, Chair February 18, 2004 Page 3 Total Area 26.9 acres Wetland Area 2.97 acres Net Usable Area 23.93 acres Greenspace (overall) 12.09 acres (50%) Park Area 9.12 acres (38%) The proposed Laukka-Beck Project is permitted, either outright, subject to development -stage review or, alternatively, by amendment of the existing Laukka-Beck PDA.. City Comprehensive Plan — "The Waters Area Plan" The Site is guided Special Area ("SA") on the City's Land Use Map. According to the City's 2001 Land Use Plan, there were slightly more than 800 vacant acres designated as Special Area in the City; an additional 124 acres are identified as "underutilized." The Land Use Map notes that the Site is within the Waters Area," with no elaboration of uses for this area. The Waters Plan and study "area is located in the extreme northwest comer of the City and overlays 640 acres of land. The area (is) bounded on the north by I-494 and on the east by the City of Inver Grove Height corporate limits. The vast majority of the study area is zoned PD, Planned Development." The Waters Plan, pg. 1 (2001). The Waters Area encompasses the Laukka-Beck Planned Development Area, which was established in 1985. According to the Waters Plan, "approximately 40 percent of the original [Lankka-Beck] Planned Development remains vacant or underutilized." The Laukka-Beck Project will consume less than 5 percent of the Waters Area. Staff is requesting that Laukka-Beck seek City approval of a Comprehensive Plan amendment expressly authorizing housing at the Site. Laukka-Beck believes that a Comprehensive Plan amendment is not required, based on the clear and specific language of the original Laukka-Beck PDA. Laukka-Beck has elected to honor staff's request for now. City Planned Development Ordinance The City's Planned Development Ordinance ("the PD Ordinance") does not list permitted or conditionally permitted uses. Under the PD Ordinance, a Planned Development is intended to: • Provide greater flexibility in environmental design and relaxation of strict zoning standards in exchange for greater creativity and environmental sensitivity. • Recognize the economic and cultural advantages that will accrue to the residents of a planned community. • Encourage a more creative and efficient use of land. Ms. Carla Heyl, Chair February 18, 2004 Page 4 • Encourage the preservation and enhancement of desirable site characteristics, natural features, and open space. • Encourage a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. Zoning Ordinance, § 11.60, Subd. 18, A. (1-5). Development which does not conform to an approved Final Development Plan requires an amendment to the existing Planned Development Agreement, processed in the same manner as a new Planned Development. Zoning Ordinance, § 11.60, Subd. 18, C. (15b). Finally, the Planned Development Ordinance provides as follows regarding termination of an approved Planned Development: Upon expiration of the specific time period approved by the city for total development of a planned development, the subject area shall become a permanent planned development district.... Provided, nevertheless, that if a planned development is not completed within the required time period, the planned development district classification shall automatically terminate as to that portion of the district that has not been developed. The requirements and provision of the underlying zoning classification in its entirety shall thereafter apply to the undeveloped area. Any factual disputes arising under this subsection shall be presented to and determined by a majority vote of the city council. Section 11.60, Subd. 18, C, 16 (emphasis supplied). This provision the City PD Ordinance applies to Lankka-Beck. Their contract with the City expressly provides for a 10 -year timeframe to complete development. The Site remains undeveloped, indeed has never been the subject of a Planned Development application since the original 1985 approval was granted. Laukka Beck is entitled by its contract with the City to rely on the underlying residential zoning of the Site. Alternatively, Laukka- Beck is entitled to seek City approval of the proposed mixed residential use of the Site as part of the currently approved PDA. Transportation Impacts Laukka-Beck and Loan Oak Development, LLC have jointly conducted a traffic study of their proposed developments. The analysis demonstrates total daily trips, along with peak hour traffic impacts which are substantially below those expected under the commercial -industrial development model endorsed in the Waters Plan. Addressing transportation impacts directly attributed to the proposed development would be the responsibility of the developer. The analysis by Benshoof & Associates is attached. aq� Ms. Carla Heyl, Chair February 18, 2004 Page 5 Airport Noise Policies The Site is within the Metropolitan Airports Commission ("the MAC") Airport Noise Policy Area, Noise Exposure Zone 4. Noise Exposure Zone 4 is "best described as a transitional area where aircraft noise exposure might be considered moderate." Metropolitan Development Guide, Metropolitan Council. December, 1995. Under the Metropolitan Council's Airport Land -Use Compatibility Guidelines, single-family and multi -family uses, depending on their design, are either conditional or provisional uses. Conditional uses are conditionally acceptable upon review of the City Council. Provisional uses must comply with certain structured performance standards under the Metropolitan Area Aircraft Noise Attenuation Act, Minnesota Statutes § 473192. Comprehensive Plan, § 5 (2001). Recently, the MAC published its new noise contours for the international airport. It demonstrates that the Lankka-Beck Site is entirely outside of both the 65 and 60 DNL noise contours. Consequently, noise impacts are not a factor affecting the viability of housing at the Site. Notwithstanding, both Lankka-Beck and Loan Oak Development have jointly undertaken an analysis of potential aircraft noise impacts. The analysis by David Braslau Associates confirms that noise impacts are not a significant factor and can be dealt with through readily available sound attenuation technology. Land Supply/Market Pressure Laukka-Beck has surveyed the market in the Waters Area to determine land supply and market demand. The commercial brokers we have contacted believe that there is an oversupply of commercial/office/industrial property available within Eagan or adjacent communities. CSM currently owns approximately 70 acres within the Lankka-Beck Planned Development Area; this property will support in excess of several hundred thousand square feet of new commercial or industrial space. The Twin Cities economy went through a significant expansion during the last decade and the Lankka- Beck Site was untouched. Over the past 20 years, Laukka-Beck has actively solicited proposals from dozens of prospective buyers for the Site. The Laukka Beck Site is unattractive to the commercial/office market due to its remote location in the northeast comer of the Lankka-Beck Planned Development Area. Meanwhile, Laukka-Beck has paid commercial taxes on the Site since 1985. Laukka-Beck and Loan Oak Development have jointly retained Maxfield Research to evaluate the viability of residential development of their respective sites. The attached study documents the strong demand for "life -cycle" housing in the City, especially on the higher end. Given the market realities, Laukka-Beck believes, respectfully, that it has fulfilled its obligations to the City and intends to pursue its residential development rights under the Laukka-Beck PDA. Tax Impacts of Proposed Development We have completed a five-year tax analysis for the Loan Oak/Laukka-Beck project in Eagan. The analysis used the following base information: Ms. Carla Heyl, Chair February 18, 2004 Page 6 • Tax information provided by the PID's • The 2003 net tax capacity rate for the City of Eagan • Proper class rates • The phasing and market values provided by Gary Tushie The housing scenario provides a significant tax revenue advantage over the commercial option. We have included copies of the analysis. Discussion The City's Planned Development Ordinance ("the PD Ordinance") does not enumerate permitted or conditionally permitted uses. Instead, the City's PD Ordinance allows a developer to propose a flexible land use plan. Under the City's PD Ordinance, a Planned Development is intended to: • Provide greater flexibility in environmental design and relaxation of strict zoning standards in exchange for greater creativity and environmental sensitivity. • Recognize the economic and cultural advantages that will accrue to the residents of a planned community. • Encourage a more creative and efficient use of land. • Encourage the preservation and enhancement of desirable site characteristics, natural features, and open space. • Encourage a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. Zoning Ordinance, § 11.60, Subd. 18, A. (1-5). The Lankka-Beck Project must be evaluated based on the existing Lankka Beck PDA and the following PD Ordinance factors: The consistency of the proposed PIanned Development with the adopted or proposed Comprehensive Guide Plan of the City. The City's Special Area Comprehensive Plan designation does not, by itself, address land uses. The Waters Plan seeks to encourage the development of office and office/showroom uses, along with other Existing Vacant Land Commercial Housing Total Taxes 154,954 971,855 2,424,588 Tax Capacity — 1,104,355 2,656,500 Market Value 3,954,900 55,217,760 242,300,000 Five -Year Tax Revenue 774,621 3,029,589 10,743,848 We have included copies of the analysis. Discussion The City's Planned Development Ordinance ("the PD Ordinance") does not enumerate permitted or conditionally permitted uses. Instead, the City's PD Ordinance allows a developer to propose a flexible land use plan. Under the City's PD Ordinance, a Planned Development is intended to: • Provide greater flexibility in environmental design and relaxation of strict zoning standards in exchange for greater creativity and environmental sensitivity. • Recognize the economic and cultural advantages that will accrue to the residents of a planned community. • Encourage a more creative and efficient use of land. • Encourage the preservation and enhancement of desirable site characteristics, natural features, and open space. • Encourage a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. Zoning Ordinance, § 11.60, Subd. 18, A. (1-5). The Lankka-Beck Project must be evaluated based on the existing Lankka Beck PDA and the following PD Ordinance factors: The consistency of the proposed PIanned Development with the adopted or proposed Comprehensive Guide Plan of the City. The City's Special Area Comprehensive Plan designation does not, by itself, address land uses. The Waters Plan seeks to encourage the development of office and office/showroom uses, along with other Ms. Carla Heyl, Chair February 18, 2004 Page 7 commercial uses, in the 640 -acre Waters Area. The Waters Plan is not a regulatory tool, in the manner of a Zoning Ordinance. Compliance with the Waters Plan is identified as only one factor for the City Council to consider, among many factors. In any event, the approved Laukka-Beck PDA expressly recognizes that the underlying residential zoning remains in place. The Waters Plan seeks to promote development that presents an attractive image of the City and development which will retain the natural features of the area, including wetlands and mature vegetation. The proposed residential development at the Site will establish an attractive image at an entrance to the City, while protecting substantial natural terrain of the Site. Fifty percent (50%) of the total Site area will be preserved as greenspace (12.09 acres); of this amount, about 9 acres will be dedicated park land, along with three (3) acres of protected wetland. The Site is directly adjacent to the border of the City of Inver Grove Heights. The adjacent property in Inver Grove Heights plans for residential development along Argenta Trail. High-quality low and medium density residential use of the Site will create an appropriate and desirable transition of uses between the two cities in this area. The Waters Plan encourages new development in the Waters Area to incorporate sound attenuating construction techniques. While the Metropolitan Airports Commission's proposed amended noise contours favorably affect the Site and project reduced noise impacts, Laukka-Beck will incorporate noise mitigation construction techniques into its building plans. The extent to which the proposed Planned Development is designed to form a desirable and unified environment within its own boundaries in terms of relationship of structures, patterns of circulation, visual character and sufficiency of drainage and utilities. The Project will include both townhome and condominium low to medium density housing. The units will be designed in accordance with City standards, to ensure high quality finish, protection of natural features and minimal offsite impacts. All aspects of the Project will be subject to City approvals and association management standards and requirements. The extent to which the proposed uses will be compatible with present and planned uses in the surrounding area. Residential and office commercial uses currently exist in the surrounding area. The Project is adjacent to land guided for residential in the City of Inver Grove Heights. Commercial property owners do not object to the Project. Residential customers place a premium on maintenance -free living, coupled with the goal of minimizing freeway commutes. The City's Cedarvale Plan is an example of the type of integration envisioned by Laukka-Beck's proposed Project. That any exceptions to the City Zoning Ordinance are justified by the design.or the development. The PD Ordinance does not, itself, establish specific uses within a Planned Development. The proposed residential uses are consistent with the provisions of the Laukka-Beck PDA as it recognizes the right to pursue residential development through the supplemental R-4 Zoning District. In any event, approval of residential uses on the Site does not detract from the primary objective of the original Laukka-Beck Planned Development Area. 3co „ Ms. Carla Heyl, Chair February 18, 2004 Page 8 The sufficiency of each Planned Development phase's size, composition, and arrangement in. order that its construction and operation is feasible without dependence upon any subsequent phase. The proposed development will be constructed in one phase by a single builder. Densities will be within accepted City standards. The burden or impact created by the Planned Development on parks, schools, streets, and other public facilities and utilities. Laukka-Beck or its builder will finance the cost of public utility, ponding and street improvements relating to the Project. Offsite impacts will be minimal or non-existent. The impact of the Planned Development on environmental quality and on the reasonable enjoyment of the surrounding property. The proposed Project will protect substantial portions of the natural terrain of the Site. Nearly 13 acres of the 26.9 acre Site will be dedicated as City parkland. The surrounding environment consists of office and residential uses which will not be affected by the proposed development. Surrounding commercial users do not object to the proposed Project. Legal Analysis Under Minnesota law, metropolitan communities, such as Eagan, are required to enact both Comprehensive Plan and regulatory controls, ie zoning and subdivision regulations. See generally Minn. Stat. 462.357, subd. 1 and 473.864, subd. 1. Minnesota law requires cities in the metropolitan area to zone land in conformity with their approved Comprehensive Plans. Minn. Stat. § 473.858, subd. 1. Notwithstanding the statutory directives, it is well established that the Comprehensive Plan remains "advisory" with "objectives, policies, standards and programs to guide public and private land use...." Minn. Stat. 473.859, subd. 1. Regulatory enforcement derives from the City's "official controls", which include the Zoning and Subdivision Ordinances See PTL, LLC v. Chisago County Board of Commissioners, 656 N.W.2d 567 (Minn. App. 2003). The Minnesota Court of Appeals recently held that a County's Comprehensive Plan was merely an advisory device and did not, by itself, provide a substantive basis to deny a land use application which otherwise met the requirements of the County's official controls. PTL, LLC v: Chisago County Board of Commissioners, 656 N.W.2d 567 (Minn. App. 2003). The City's PD Ordinance cites compliance with the Comprehensive Plan as one of several factors to be considered in deciding whether to approve a specific Planned Development request. Given this fact, it would be improper to rely on the City's Comprehensive Plan to deny the Laukka-Beck request. See Amoco Oil Co. v. City of Minneapolis, 395 N.W.2d 115 (Minn. App. 1986). The City's obligations are satisfied by the existing Laukka-Beck Planned Development Area and related PDA, which were adopted in conformance with the City's Comprehensive Plan. Laukka-Beck does not propose to change the existing PD zoning. Instead, both the PDA and City PD Ordinance give the City broad discretion to approve uses in a PD Zoning District. The Lankka-Beck PDA and the City's PD Ordinance expressly reserves the underlying residential zoning of the Site. Given the plain 0/ Ms. Carla Heyl, Chair February 18, 2004 Page 9 language of the City's PD Ordinance and the Laukka-Beck PDA, City reliance on the Waters Plan to deny the Project would be arbitrary and capricious. Conclusion Laukka-Beck respectfully requests the City's Advisory Planning Commission support housing within the existing Laukka-Beck PDA based either on the express contractual reservation of rights or those rights provided for in the City's PD Ordinance. The proposed residential development will reflect high-quality design and utilize the Site in an manner that is compatible with the rights established between the City and Laukka-Beck nearly 20 years ago. Peter J. Coyle, for Larkin Hoffman Daly & Lindgren Ltd. cc: Mr. Larry Laukka Mr. Warren Beck 916434.1 7 6, a_ air • • Al ,m 1 • 0 r LONE OAK MIXED-USE Eagan, Minnesota ,..e5, SITE DEVELOPMENT SUMMARY RESIDENTIAL 434 UNITS TOV NI -TOMES (SEE TI -IRU) 58 TOWNHOMES (BACK TO BACK) 110 CARRIAGE URBAN TOWNNOMES 94 VILLAS 09 EXECUTIVE SINGLE FAMILY LOTS 23 CONDOMINIUMS 80 SENIOR RESIDENTIAL 222 UNITS SENIOR COOP 150 ACTIVE ADULT MANOR _HOMES 72 TOTAL I --COMES 65, UNITS COMMERCIAL OFFICE CONDO 48,000 SF COMBINED NORTI-I AND SOUT1-I AREAS TOTAL N -SITE --2&: -1--AC� 110.35 ACRES (5 SITE 83.45 AC.) �REENSPACE 77 AC., 70% PARK 43.03 AC, 3G% TO: city of eagan MEMO MAYOR GEAGAN AND CITY COUNCILMEMBERS CHAIR HEYL AND ADVISORY PLANNING COMMISSION MEMBERS FROM: JON HOHENSTEIN, COMMUNITY DEVELOPMENT DIRECTOR DATE: APRIL 23, 2004 SUBJECT: LOAN OAK AND LAUKKA BECK PROPOSAL COMPREHENSIVE GUIDE PLAN AMENDMENT — REVIEW OF APPLICANT AIRCRAFT NOISE REPORT As a part of their application for an amendment of the City of Eagan Comprehensive Guide Plan Amendment, the applicants have submitted an analysis of regional policy as it pertains to residential development in proximity to Minneapolis -St. Paul International Airport. The purpose of this memo is to provide a review of that report for consideration by the Advisory Planning Commission and City Council. In lieu of hiring a consultant to perform this review, City staff prepared the information below, in consultation with staff of the Metropolitan Council and Metropolitan Airports Commission, to insure its accuracy. In addition to confirming representations made in this memo, the MAC staff has submitted additional comments regarding its policies and position relative to noise considerations in land use planning. Overview The proposed development site is located 4 %2 miles from the parallel runways at MSP, in line with the primary departure flight tracks and adjacent to the primary arrival tracks for those runways. As such, the site is located in Noise Zone 4 as defined by the Metropolitan Council Policy Contours adopted in 1996 (In this memo, the terms Noise Zone and Policy Contours are used interchangeably). Within Noise Zone 4, office, commercial and industrial development is considered compatible with aircraft noise exposure. The development of residential uses with individual entrances is considered conditional and the development of residential uses with shared entrances, such as typical apartments, is considered provisional. The definitions of those terms are discussed more completely below. Historically, the City has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. To that end, it has guided and zoned much of the northeastern portion of the City for compatible office, commercial and industrial uses in what is commonly referred to as the Eagan -Mendota Heights Corridor. The Corridor and the related policies of the City of Eagan, the Metropolitan Council and the Metropolitan Airports Commission are based on the concept that noise compatible land uses are the most effective means of preventing noise nuisance. As noted in the primary staff report, the City's adopted Comprehensive Guide Plan currently designates the area as Special Area — O/S (Office/Service). If residential uses are to be 306 considered as proposed, the threshold question is whether residential uses would be appropriate in this area and, if the City determines that to be the case, regional policy provides guidance in gauging whether such uses can be provisionally or conditionally acceptable. Applicants' Aircraft Noise Study The applicants have submitted an Aircraft Noise Study that acknowledges the subject site's proximity to the airport and relationship to the Noise Zones. The report compares the currently adopted 1996 policy contours to more recently published draft contours generated by the Metropolitan Airports Commission as a part of its Part 150 Noise Abatement Program. It also cites information within the Metropolitan Council's Builder's Guide relative to sound attenuation technologies and building techniques. On the basis of these citations of regional policy, the applicants' consultant's report concludes, "Single-family and multi -family development in Noise Zone 4 must meet 20 dBA exterior to interior noise attenuation for aircraft noise. This can be provided with standard good building practices with special attention to details that minimize intrusion of aircraft noise through openings and air leaks in the exterior building facade. Based upon (the applicants' consultant's) assessment of potential aircraft noise impacts and the applicable Metropolitan Council Guidelines, aircraft noise will not be an obstacle to development of residential land uses at either the Laukka-Beck or Loan Oak sites under the 1996, 2005 or 2007 noise contours." The application also includes exhibits, but does not provide narrative with respect to the City's Cedar Grove Redevelopment District and the City of Bloomington's Central Station Development. The developer has indicated in separate discussions that he believes that the consideration of residential land uses at the project site should be considered in light of the residential uses proposed or under development in those project areas. In the context of the City's Comprehensive Guide Plan and regional policy guidelines, the City will need to determine whether the representations made by the developer concerning the relationship of the proposed development to the effects of aircraft noise justifies a modification of the City's policies with respect to residential development in known areas of aircraft noise impact. Noise Contours With respect to the policy contours in effect for MSP, the adopted contours for land use planning purposes are the 1996 contours, which have been incorporated into the Metropolitan Council's Airport Noise Policies. As a consequence, the publication of other contours does not modify the current regional policy. While the consultant's report asserts that the 2005 contours have been adopted for the airport's Part 150 Land Use Program, they have not. The MAC discontinued the previous Part 150 Update following 9/11, because the effect of the tragedy on the future of the air travel industry threw all projections into doubt. 3a, The recently published 2007 contours are part of the reactivation of the Part 150 Update process, but neither the contours nor an update of the Part 150 Program has been submitted to or approved by the FAA. In addition, the Part 150 Program is separate from the Metropolitan Council Noise Policy process. While the Metropolitan Council utilized the 1996 contours that were generated by the MAC for the Part 150 program as the basis for the policy contours, the Council is not likely to consider an update of the Noise Policy Contours until the Part 150 update is completed. Even then, it is not certain whether the Metropolitan Council will adopt the new contours or not. The consultant report appears to assume that the Metropolitan Council will adopt the 2007 - contours and replicate the one -mile radius methodology that was adopted with the 1996 contours. The report acknowledges that even if those modifications in regional policy occur, the development sites would remain in Noise Zone 4. The 2005 and 2007 contours are smaller than the 1996 contours in the area of the Eagan - Mendota Heights Corridor partially because of the increase in quieter generation Stage III aircraft in the fleet mix, a flattening of traffic growth in the aftermath of 9/11 and the fact that the current flight level projections are split between the parallel runways and the new 17-35 (North-South) runway, due to open in 2005. As a consequence, the contours do not reflect the potential future effect of traffic growing to capacity on all available runways. Local and regional policy decisions about noise compatibility will need to consider whether the recently published contours represent a long term, stable contraction of noise impact or a snapshot in time representing a redistribution of short term projections of traffic. As a consequence, it may be premature to base any decision on the presumption that the policy contours will change or that the current contours reflect the long term noise environment around the airport. Further, it is important to note that the contours represent a series of gradients along a range of noise levels. It is well understood in the noise attenuation industry that it is not loud on one side of a contour and magically quiet on the other. The purpose for the one -mile radius around the DNL contours in regional and City policy is to acknowledge that noise nuisance is relative and receiver based and that local governments should carefully consider the impacts of noise over a broader area than the "boundaries" defined by a computer generated noise metric. It should also be noted that while the Part 150 Program requires compatibility of new land use developments to be addressed, that aspect of the program is largely addressed through the Metropolitan Council Noise Policies in the Regional Policy Plan's Aviation Guide Chapter. The bulk of the current debate with respect to the application of any updated noise contours focuses on those areas within which corrective noise abatement improvements will be applied. Properties that have been or will be developed since the Part 150 program was originally adopted are not eligible for such corrective improvements and, therefore, cities must carefully consider noise compatibility and/or provisions for noise attenuation and other noise related conditions in development decisions. Regional Guidelines and Policies The consultant's report references excerpts from several portions of the regional policies associated with the relative compatibility of land uses to aircraft noise within the various noise contours and the guidance for noise attenuation if a local unit of government chooses to permit residential uses in the noise zones. The report does not reflect the specific policy language in the City of Eagan's Comprehensive Guide Plan for Special Area 1, in which the proposed development site is located, which states: "Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any existing residential property." While the consultant's report accurately indicates that a local government that chooses to locate residential uses in the noise zones can make findings and apply performance standards to make them less inconsistent with noise exposure, those policies do not suggest that the local government should be compelled to reguide or rezone properties, even if those standards are met. The basic decision is whether the local unit of government finds it appropriate to permit such land uses. If so, the appropriate findings should be made and the appropriate conditions and requirements should be applied to offset the noise impacts to the maximum extent possible. The consultant's report accurately indicates that if a city wishes to find that shared entrance residential developments are provisionally acceptable, regional policy suggests that an indoor sound level of 45 dBA, or a reduction of at least 20 dBA, must be achieved. The report inaccurately suggests that individual entrance residential development (such as the proposed single family detached and townhome uses) must only meet that sound attenuation standard to be acceptable. Indoor sound level reduction is only part of one of eight conditional land use review factors for individual entrance residential buildings, which are: 1. Specific nature of the proposed use, including extent of associated outdoor activities. 2. Relationship of proposed use to other planning considerations, including adjacent land use activities, consistency with overall comprehensive planning and relation to other metropolitan systems. 3. Frequency of exposure of proposed uses to aircraft overflight. 4. Location of proposed use relative to aircraft flight tracks and aircraft on -ground operating and maintenance areas. 5. Location, site design and construction restrictions to be imposed on the proposed use by the community with respect to reduction of exterior to interior noise transmissions, and shielding of outdoor activities. 6. Method community will use to inform future occupants of proposed potential noise from aircraft operations. 7. Extent to which community restricts the building from having facilities for outdoor activities associated with the use. 8. Distance of proposed use from existing or proposed runways, parallel taxiways, or engine run-up areas. If individual entrance residential development is to be considered, the Planning Commission and City Council will want to make favorable findings on each of these factors. The factors may be applied differently depending upon whether a development is simply in proximity to the airport or if it is exposed to overflights. A brief analysis of each in the context of the application follows: 1. Specific nature of the proposed use, including extent of associated outdoor activities. — The proposed use is a combination of residential uses, consisting of both individual entry housing types (338 units Loan Oak/168 units Laukka Beck) and two shared entry cooperative buildings (150 units Loan Oak). The outdoor uses would consist of those activities that would typically be associated with the use of residential yards and common ownership green spaces for attached single family and multifamily properties. The potential park improvements that would need to be anticipated for a new development of this scale are discussed below in the Parks section of this report. The applicants have indicated that the purchasing demographic they anticipate for the senior cooperative and other housing types will gravitate toward residents without children and modest needs for outdoor activities. However, the applicants' residential market study states that "households that choose an owner -occupied multi -family option particularly desire communities that will offer them additional outdoor and recreational amenities as they typically have limited space within their units. Features such as picnic/barbeque areas, outdoor pool, garden plots are features that are often desired among multi -family buyers." 2. Relationship of proposed use to other planning considerations, including adjacent land use activities, consistency with overall comprehensive planning and relation to other metropolitan systems. — The City's Comprehensive Guide Plan currently anticipates commercial and office park uses in this area. The uses adjacent to the development parcels and the relationship to the utilities and transportation systems and other planning considerations are discussed elsewhere in this report. The Metropolitan Council staff indicates that the adjacent low-density residential uses in the City of Inver Grove Heights Comprehensive Guide Plan will be reconsidered in the context of aircraft noise and other regional systems, during the 2008 Guide updates or at such time as sewer and water may become available to those areas. With respect to residential uses within the noise zones within the Eagan -Mendota Heights Corridor area, the City of Eagan has attempted, where possible, to minimize land uses that would be in conflict with operations at MSP. The City also has made a practice of making comments to neighboring cities discouraging the introduction of areas of new residential development within the corridor area. 3. Frequency of exposure of proposed uses to aircraft overflight. — The DNL contours discussed above are developed using a metric that combines factors including fleet mix, flight tracks, altitudes and frequency of operations. From a land use planning perspective, this policy factor focuses on the frequency of overflight of an area in particular. The MAC staff has prepared an analysis of current operations as they pertain to the proposed development location, a copy of which is attached to this report. Because of the preferences given to runway ends in the airport's runway operating system, either arrivals or departures can be expected to be over the Eagan -Mendota Heights Corridor throughout the day, regardless of which other runway ends may be in operation at any time. Given that fact, the City of Eagan has advocated for operations standards that further manage traffic within the noise compatible land use boundaries — specific permitted departure headings, three mile climb before turns to destination for departures, four mile final approach for arrivals, etc. Even with the opening of the North-South Runway, the corridor will be the preferred operating area for night time flights . While flight tracks are not flown with surgical precision, the airport's nighttime procedures call for operations to occur exclusively to and from the southeast whenever possible. In particular, the procedures call for departures to be given a heading north of the runway centerline to minimize overflight of existing residential areas in Eagan and Mendota Heights and take advantage of the commercial industrial uses and relatively undeveloped areas to absorb the greatest portion of the noise impact. The introduction of residential uses in the proposed development area would remove the non-residential altemative to overflying existing neighborhoods in Eagan. 4. Location of proposed use relative to aircraft flight tracks and aircraft on -ground operating and maintenance areas. — The proposed development area is directly under a number of the primary departure tracks and adjacent to the primary arrival tracks for the parallel runways. It will be regularly exposed to the effects of operations along and near those flight tracks. The site is approximately 4 '/2 miles from the closest ground operating and maintenance areas and would likely experience little noise impact from those noise sources. 5. Location, site design and construction restrictions to be imposed on the proposed use by the community with respect to reduction of exterior to interior noise transmissions, and shielding of outdoor activities. — The applicants have indicated an intention to apply sound attenuation building techniques to reduce outdoor to indoor noise transmission by the levels indicated in the Metropolitan Council Builder's Guide. No site design or other plans are indicated in the application to shield outdoor activities from noise impacts. 6. Method community will use to inform future occupants of proposed potential noise from aircraft operations. — While it is not noted in the submittals, the applicants have verbally indicated an intention to take steps to inform occupants of potential noise from aircraft operations. In order to effectively carry out this notification, it would need to be recorded against the title of all owner occupied uses and there would need to be an enforceable covenant for disclosure on any rental facilities. If residential development is to be considered in this area, the notification will need to be in a recordable form acceptable to the City Attorney and staff. 7. Extent to which community restricts the building from having facilities for outdoor activities associated with the use. — As proposed, the development would rely on outdoor areas for many of the recreation and social interaction activities typically associated with a residential neighborhood. As noted above, the applicants' market study indicates that outdoor uses are desirable for the demographic anticipated to be attracted to the development. If residential development is to be considered in this area, the City will need to determine whether restrictions on outdoor activities are necessary, feasible or appropriate. 8. Distance of proposed use from existing or proposed runways, parallel taxiways, or engine run-up areas. — This factor is intended to relate more specifically to ground noise for areas close in to the airport. Other Aircraft Noise Development Considerations As noted above, the applicants have indicated in separate discussions that they believe that the potential development of residential land uses at the project site should be considered in light of 3 // 3, the residential uses proposed or under development in the City's Cedar Grove Redevelopment District and the City of Bloomington's Central Station Development. As to the Cedar Grove Redevelopment District, local governments may make different findings in different areas that will lead to different conclusions about whether residential uses are provisionally or conditionally acceptable. In the case of Cedar Grove, the Cedar Avenue Corridor was not planned or developed in anticipation of direct aircraft overflights. As it relates to Runway 17/35, the Cedar Grove Redevelopment is not in a noise compatible corridor as the proposed development sites are. The context for Cedar Grove relates to fully developed residential areas and redevelopment priorities that will stabilize and support those areas. The City's Comprehensive Guide for the Cedar Grove special area specifically discusses noise exposure and concludes that a mixed use redevelopment consisting partially of attached residential uses is acceptable with appropriate performance standards, in consideration of all of the factors bearing on the area. In addition, the runway use patterns and priorities that apply to the Eagan -Mendota Heights Corridor are different from those that will apply to the other sides of the airport, such as the Cedar Avenue area. Specifically, departures are expected to fan from the end of the North-South Runway and they are concentrated over the commercial -industrial areas for several miles from the runway end in the Corridor. As such, any conclusion regarding the acceptability of residential uses in the area proposed may be made independent from the City's conclusions with regard to their development in the Cedar Grove Area. The Bloomington Central Station Development is intended to be a transit oriented area combining retail, employment, recreation and residential uses. The Metropolitan Council staff and the developer of the Bloomington project indicate that all of the residential uses are anticipated to be of masonry construction with shared entrances and the expectation is that many of the recreational and retail opportunities will be met indoors at the Mall of America. Even so, the City of Eagan made comments as a part of the City of Bloomington's Comprehensive Guide Plan amendment process expressing concern about the introduction of new residential uses within that proximity to the airport. Conclusion The City of Eagan has established policies that plan for noise compatible commercial and industrial uses in the Eagan -Mendota Heights Corridor area. The applicants propose to have the City modify those policies and plans as outlined above. The threshold question is whether or not residential uses would be appropriate for the area. If so, in what way would the performance and policy findings be defined to minimize the potential impact of that change on the residents of the proposed development and on residents of other residential areas of the City? If not, the City may make findings to that effect. JH unity Development Director • `' Imo" �1 ilil LI __,.1-,-, •_ �i,rt ' ?" y era r .� ��� `� fF 10x"' '''•-.. .ril Y• E t• eE� 7 f rosp Internati�nai �r `;� r U Airport mom_ _ �� " + (3 n� —'!s'. (,. �t rte., �1 / i. 1 ani I •\ 1 �:,-j h i !,' •'„ 3� - i Subject ,--4 .. : seam • i (� 'z '.t 1 i / ,•0 ' ' / i •. .. r k • ` Sites ' q ! . •-• / . 1j L / soon/ • • \ �• 4 .;i r ^ '• bik8/1.—, �� 1.. U • 1 \,— ,, \\ L N.., i I •� 1r�� f �4ee x..� \ ;/, % 1 -. C j ?3r;•, ,-E ate-, ;`r -. offer, � - 1/ kr.-- •,i.• `- r . , Nat .,......,,:3 ` .._. ( , „.„...,.....,,,,,., .,,....,.: �� .... l'" -D /---. r ; : .� .� 4� �� ,rte,, LJ �\.�- �_ `r {, i' �' Q 1��.iCk t� , ly- ,--/-1..::-f ,„cc,_ '' ' Vim' 1 .Ly`�" >✓ 7 ljr;/ 1J jar/\, i�I. I �• , _ j J i�� �,7_T1. ti\ —.� \—�; � . , Jl r� , h ter,.ir --N r �:. jI , �;r • ; q.. ."/ ,. � ,f, n ./ " 1"� ,---7 -� 4",! �; , Y , '• (-11 , , 2,,t.. II ver Glove \ -), 4 1..kf ��.,�• l'I�i\�i i S(., ;'€=te ,{�g7,ht . ; -� tom./.7 . r�-.�. �, J i r \\ -- i Y c ,� ,may —,-(•- = r _� •ti- \ ' �_„-.n.> �,� �,. m_ ,seer ,.� . � t i'�i ��f °' �v, / ,1 . / / i ' i " _ r^ I ,mo,_...,,3_4.R.,..574,:::._,),i ��\ /� �, 1 ,, F� , �-?, y`✓- � 1 i %Lel -r,--t. ' ', �,'. r 1_ ' , Y ' y --7., ,^ �``; ." r .Li` ifLi } lit Hi ,Ii,. '._71 ', 'J- r .< '-- D5 z Mlles Metropolitan Council Current Noise Policy Areas 1M Metropolitan Couna and the MeboporSn Airports Commission maks no repreeenbtion or wa..rtin, .apes, or knotted, me •ponptsa applicationsfar the use of m6 dote set k me reepoaaty of dor user. The user mem... deb Ya k', end with reaped to the reuse lathe deb provided herewith, raperde.. of 4 format or he mean of ib transmission. D.Io00n ,g 3 / assumes all rigs eesodated Wall Ms toe.Byesc.ptenca of this deb, the user%erns net le tensed lbs dab or provide aruese to It or any part of e le another party ser individual. Th. Mebopoabn Council and the Metropolitan Airports Commission assume sue responSMlity for actual of her seyuenB.l asleep loaned M. eadl of e y users reliance on rob lits. Apr 22 04 09:48a METROPOLITAN AIRPORTS COMMISSION Minneapolis -Saint Paul International Airport 6040 - 28th Avenue South • Minneapolis, MN 55450-2799 = Phone (612) 726-8100 0 t„ h April 21, 2004 Jon Hohenstein City of Eagan Director of Community Development 3830 Pilot Knob Road Eagan, MN 55122 Subject: Proposed Development of Loan Oak and Laukka-Beck Properties Dear Mr. Hohenstein, Thank you for the opportunity to comment on the proposed development of the Loan Oak and Laukka-Beck Properties. The proposed residential development project includes a total of 434 town home/single family units on 110 acres of land in the northeast corner of Eagan. This letter outlines the Metropolitan Airports Commission's (MAC) concerns with residential development on this site. Of particular concern is the development of single family and multi -family housing stock in an area presently zoned industrial/commercial and compatible with frequent aircraft operations and over -flights. The proposed development would expose numerous new residents to existing impacts associated with a large number of aircraft over -flights. The proposed development falls within the Metropolitan Council's Aviation Guide Plan Zone 4 (DNL 60 to 65). This area is within the 1996 60 DNL contour. Recently, the MAC developed updated Part 150 contours reflecting the projected 2007 noise environment. The proposed development site lies just outside of the draft 2007 60 DNL contour area. Although the site falls outside of the updated 2007 60 DNL contour area, the City of Eagan has made it clear that airport noise impacts occur beyond the 60 DNL contour area and these impacts should be considered by the communities and the MAC. The city outlines their position in a letter to the MAC regarding the Part 150 Update from the Eagan Assistant City Administrator dated November 15, 2000. "Although not directly pertinent to the Part 150 Document because of FAA criteria, MAC and the surrounding communities should take into consideration increased noise levels beyond the 60 DNL." (Appendix N, Public Involvement, Volume II, Part IV) The Metropolitan Airports Commission is an affirmative action employer. www.mspairport.corn Reliever Airports: AIRLAKE • ANOKA COUNTY/BLAIN • CRYSTAL • FLYING CLOUD • LAKE ELMO •SAINT PAUL DOWNTOWN p.2 Apr 22 04 09:48a Another letter sent to the MAC by then Mayor Patricia Awada, received on December 3, 2002, reaffirms the city's position. "The basis for the unduly narrow FAA/MAC analysis of departure procedures for Runway 17 is apparently the application of an outdated and restrictive FAA theorem that the 60 dB DNL contour is the sole arbiter of noise impacts. There is no consideration of total community impact as measured in the frequency, saturation, and relative distance from the airport of aircraft operations." (Runway 17 Departure Procedure Final Environmental Assessment FONSI/ROD, pg. F-36) The MAC's concerns for the proposed development of this site are based upon the previously mentioned factors as well as compatibility planning issues, and actual experience in the area. These concerns include: • The area proposed for the development is located within the Metropolitan Council's Aviation Guide Plan Zone 4. This area often receives noise levels between 60 and 65 DNL according to the Guide. Residential development for single and multiplex units with individual entrances is conditional and must meet eight land use review factors. In particular, these factors consider the proposed use of the development, the extent of associated outdoor activities, the relationship of the proposed use to other planning considerations, adjacent land use activities and the frequency of exposure to aircraft over -flights. Residential development for multiplexlapartment units with shared entrances is provisional and must be acoustically constructed to achieve a 45 DNL interior sound level. • The proposed development site is located less than 4.5 miles from the airports runways and is directly in line with frequently used arrival and departure flight paths. • The average altitude of arriving aircraft over this property during March 2004 was approximately 1,550 feet above ground level (AGL), with operations occurring as low as 1,020 feet AGL. The average altitude of departing aircraft over this property was approximately 2,966 AGL, with operations occurring as low as 1,555 feet AGL (see attachment 4). • Based on a sampling of departing aircraft activity over this area (March 2004), 8.2% (708) of all departures from runways 12L and 12R flew directly over the development site. Additionally, 20.3% (1,745) of departures passed within one- quarter mile north of the property to one-quarter mile south of the property. In total there were 3,014 out of 8,596 departures that passed within one-half mile north of the property to one-half mile south of the property (see Attachment 1). • Based on a sampling of arriving aircraft activity over this area (March 2004), 2.7% (363) of all arrivals to runways 30L and 30R flew directly over the development site. Additionally, 47.6% (6,485) of arrivals passed within one-quarter mile north of the property to one-quarter mile south of the property. In total there were 6,575 out of 13,610 arrivals that passed within one-half mile north of the property to one-half mile south of the property (see Attachment 2). • Based on the March 2004 MSP Technical Advisor's Report showing the top ten noise events recorded that month, monitor site #24, which is approximately 0.54 P.3 Apr 22 04 09:48a p.4 miles southwest of the proposed development area, recorded noise events as high as 92.6 dBA. Additionally, monitor site #26, which is approximately 0.31 miles east of the proposed development area, recorded noise events as high as 88.3 dBA. • A significant amount of airport noise complaints are generated from the cities of Eagan, Mendota Heights, and Inver Grove Heights (see attachment 3). In 2003, residents from the City of Eagan filed 1,205 airport noise complaints of which only 32 complaints were filed from residents located within the draft 2007 60 DNL contour area. In addition, a total of 2,628 complaints were generated from residents who lived within a 2 -mile radius of the proposed development site. • The city's existing zoning of this property as commercial, industrial and agricultural uses continue to be more appropriate for the property in question. Another important concern is the use of the Eagan -Mendota Heights Corridor and its implications on the proposed development site. The Corridor has been a long-standing noise mitigation operational procedure at the airport that dates back to 1968. The procedure purposely concentrates aircraft operations over the more noise compatible commercial/industrial land use areas of Eagan and Mendota Heights. Eagan has proactively addressed noise compatibility by zoning the underlying area of the Corridor for commercial and industrial uses. The south Corridor boundary extends 3 miles southeast (120° heading) from the departure end of the south parallel runway (12R) over Eagan. The proposed development site is approximately 1.5 miles east of the 3 -mile boundary and residents in this area would be impacted by frequent aircraft operations and aircraft over -flights. In addition, several noise mitigation operational procedures such as the Runway Use System, the head-to-head procedure (allows aircraft to arrive and depart over the Corridor during low -demand time periods, i.e. nighttime) and the crossing in the Corridor procedure have been implemented to maximize use of the Corridor. All of the previously mentioned procedures are part of the existing and proposed Part 150 NCP and as a result, these procedures will impact residents of the proposed development site. The MAC, the Metropolitan Council and the City of Eagan have all recognized the need to protect the Corridor area from incompatible development. Eagan's Comprehensive Guide Plan for where the development is located states, "Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any of the existing residential property." The Metropolitan Council's Aviation Guide Plan states that the Noise Policy Area for MSP (including Noise Zone 4) was designed to meet several objectives including: "Protect undeveloped/compatible land uses, especially in the Mendota Heights -Eagan Corridor, from market pressures to convert to incompatible land uses, by not using the year 2005 contour but the 1996 DNL 60+ one -mile contour." Successful airport noise impact reduction around our nation's airports can be primarily attributed to cooperative efforts on behalf of airlines, airports and communities. As a partner in these noise reduction efforts, the City of Eagan has done a tremendous job with previous land use zoning within the Comprehensive Guide Plan to prevent the introduction of non -compatible land uses around the airport. The MAC urges the city to continue with this exemplary standard. 4/9 Apr 22 04 09:48a p.5 Once again, thank you for this opportunity to comment on the proposed development of the Loan Oak and Laukka-Beck Properties. Sincerely, effrey Hamiel Executive Director Metropolitan Airports Commission 14-7TAcloit t2 -'^-i -s pOFet.F-^kr' � u M6me0 Aief.,6WiXAZI> v4/614-r- ritcsre_. NumgGr— 3/? CITY OF EAGAN COMPREHENSIVE GUIDE PLAN THE WATERS (AREA 1) Background: This area is located in the extreme northeast corner of the City and overlays 640 acres of land. The area bounded on the north by I-494 and on the east by the City of Inver Grove Heights corporate limits. The vast majority of the study area is zoned PD, Planned Development. Aside from the Planned Development zoning designations, several agriculturally and residentially zoned properties are scattered throughout the area. Additionally, the Trinity Lutheran Church property holds a PF, Public Facilities zoning designation. The vast majority of land within the study area (452 acres) lies within the "Laukka-Beck" Planned Development (a.k.a. "The Waters"). Originally approved in the spring of 1985, the Planned Development called for the establishment of office/retail, office retail/showroom, and research development uses throughout the site. Other than plans associated with the Northwest Airlines corporate headquarters, no specific development plans for the balance of the property (platted as outlots) were provided. Development within the "Waters" has however, progressed in past years in a manner consistent with uses specified in the original Planned Development. To date, approximately 40 percent of the original Planned Development area remains vacant or underutilized. General Area Description: Land Use The study area consists primarily of office, office/showroom, and research development type land uses that lie within the "Waters" Planned Development. Older single-family residential uses are however, scattered around the periphery of the study area. In addition, a church (Trinity Lutheran) exists in the southwest portion of the study area. Transportation Bordered by I-494, Trunk Highway 55/149 and Lone Oak Road, the study area is provided good visibility and access. Future access to I-494 and Trunk Highway 55/149 (to accommodate new development) is however, subject to approval by the State and is expected to be limited if not prohibited to ensure safe and efficient circulation. Within the interior of the study area, office/showroom, and researchdevelopment uses are served primarily by Lone Oak Parkway and Lone Oak Drive. Existing single family residences within the study area are presently accessed via Lone Oak Road and O'Neil Drive. 3�9 V3, Airport Implications In addition to the high volumes of truck traffic inherent upon the surrounding high volume roadways, the study area is also subject to significant levels of airport related noise, which also reduce its desirability for new residential development. The study area lies approximately three miles southeast of the Minneapolis/St. Paul International Airport directly in line with Runways 11/29 and lies within Noise Zone IV of the noise contours established by the Metropolitan Council. Within this zone, commercial and industrial uses are considered consistent while residential uses are considered conditional. Conditional uses are those uses that should only be permitted if certain noise attenuation practices developed by the Metropolitan Council are followed. The City of Eagan has been evolving towards a policy to discourage residential development of those northern portions of the City especially affected by aircraft noise. Conclusions: 1. In recognition of surrounding land uses, high traffic volumes and the area's inclusion in the aircraft noise zone, the long-term desirability of residential uses in the area is considered questionable. 2. Market conditions, coupled with a limited supply of developable land in the City, dictate that planning efforts directed toward the highest and best use of the area should be immediate. 3. The study area is a major entrance to the City. As such, an opportunity exists to present an attractive entry image via development. Land Use Designations: Excepting the Trinity Lutheran Church property and adjacent parcels to the south, all land within the study area is designated Business Park and Office/Service. According to the Comprehensive Guide Plan, the Business Park land use category is intended to provide areas for a mix of office, research and development, and light industrial uses and the Office/Service Iand use category is intended to provide areas for offices and lower intensity service and retail businesses. The Plan states that zoning categories considered consistent with such category include Agricultural (A), Limited Business (LB), Neighborhood Business (NB), and Potentially Research and Development. Consistent with its use, the Trinity Lutheran Church property has been guided Public/Quasi Public (QP). To "mirror" forthcoming uses to the south, the land in the extreme southwest corner of the study area has been guided Neighborhood Business (NB). Zoning Designations: In recognition of the area's historical development approvals, the vast majority of land within study area is proposed to be zoned Planned Development (PD) and developed with uses directed by the Laukka-Beck and Cray Research Planned Development Agreements. Such agreements call for a range of office -based activities (i.e. standard office, office - showroom and research and development) similar to those presently existing within "The Waters" Planned Development. In those areas not governed by Planned Development Agreements, standard zoning designations are proposed. To avoid the creation of nonconforming uses, the City will support the continuance of agricultural zoning designations within the study area on an interim basis until redevelopment occurs. Under an agricultural zoning designation, existing homes in the area would be able to remain as "conforming" uses. To provide more specific land use directives (than that offered by the Land Use Map), a zoning map has been prepared which illustrates the "ultimate" designations of such agricultural parcels. This map incorporates Neighborhood Business (NB) in the southwest area of the site and Business Park (BP) zoning in the northwest portion of the study area. The larger agricultural tracts in the north and eastern areas of the study areas are proposed to infill with office/research type uses (similar to those in the Laukka-Beck Planned Development) and are proposed to ultimately be zoned Research and Development (RD). Policies: 1. Excepting the Trinity Lutheran Church property, the City ultimately expects the entire study area to develop as office, office showroom, research and development and neighborhood business uses. Existing residential uses are considered transitional. The timing of the transition of such uses should be a function of private market forces. 2. The City will support the continuance of existing residential uses in the area until there is a strong indication of market support for large-scale development with Research and Development and Neighborhood Business uses. The City will support the continuance of agricultural and single family residential zoning designations within the study area to allow single-family homes to exist as conforming uses until redevelopment occurs. 3. In the future, the City will support rezoning to Business Park, Research and Development and Neighborhood Business districts in areas of sufficient size to provide a cohesive development. The City will not support rezoning that would result in piecemeal; lot -by -lot redevelopment or that would result in further isolation of existing residential uses. 4. The City will strive to ensure new Research and Development and Neighborhood Business development does not negatively impact existing residential properties through the development review process, including enforcement of specific zoning standards and performance guidelines. 5. In recognition of the study area's location, the City will take full advantage of opportunities to present an attractive City image (via development quality, erection of City identification signage etc.). 6. Individual lot access to I-494, Truck Highways 55 and 149 will be prohibited. 7. Individual lot access to Lone Oak Road will be discouraged to the extent possible. 8. A uniform design element(s) providing an identity will be promoted in the study area. 9. To the extent possible, new development shall respond and strive to retain the natural features of the area including wetlands and mature vegetation. 10. New neighborhood Business uses in the southwest corner of the study area will utilize materials and design features compatible with those used in the adjacent Oakview Center Planned Development. 11. New Business Park and Research and Development uses will utilize materials and design features compatible with those utilized in the adjacent Laukka-Beck Planned Development. 12. Due to the area's proximity to the airport and the fact that single family uses are considered transitional, the City shall discourage any additional residential development, including further subdivision of any of the existing residential property. 13. New development within the study area shall incorporate sound attenuating construction techniques as suggested by the Metropolitan Council. 0 ID 1 Comprehensive Plan 2000 - Special Area Special Area #1 - irid3Use Exhibit 3.7.1.a 4111111' City of Eagan MINNESOTA ConwnwAyDeveloOmmi OAPRIMAIN Comprehensive Plan 2000 - SDecjaLArea Special Area #1 - erii Zoning Exhibit 3.7.1.b r.! 0, .. I . - ! I I I 41100 City of Eagan MINNESOTA Comprehensive Plan 2000 - Special Area 5. -- Special Area #1 -tJ1timate Zoning V-6>, Exhibit 3.7.1.c 85 E. SEVENTH PLACE, SUITE 100 SAINT PAUL, MN 55101-2887 651-223-3000 FAX: 651-223-3002 // F.#4-7 MEMORANDUM TO: Jon Hohenstein FROM: Nick Dragisich Paul Steinman DATE: April 23, 2004 SUBJECT: Lone Oak Mixed Use SPRINGSTED .Advisors to the Public Sector We have reviewed the developer information you provided to David MacGillivray regarding the Lone Oak and Laukka-Beck Residential proposals. The purpose of this memorandum is to provide an analysis of the tax generation comparisons of various development scenarios that might be anticipated for the property proposed to be developed. Executive Summary The City has asked Springsted to review developer information related to the Lone Oak and Laukka-Beck Residential proposals. Our analysis included a review of developer assumptions, alternative development scenarios for the site, and the potential revenues and expenditures likely to result from each of these. The developer's property tax projections for the office warehouse products were based on a market value of $60.00 per square foot which would be within the range of typical values for office space, but considerably outside the range for warehouse space. If the units are predominantly warehouse space, the value seems high. One observation we did note was that the developer's projections for the office warehouses include development on only the 84.5 acres parcel. This leaves the 24.5 acre parcel or approximately 22.5% of the total area vacant. The developer has based his or her property tax projections for the proposed office condos on a taxable market value of $175.00 per square foot. While it is difficult to question the developer's market value projections given the limited information provided, this value seems relatively high when compared to the current market value of a number of other office space parcels in the vicinity of the development site. We would tend to believe the developer has satisfied himself or herself that a market does exist for the proposed residential units at the projected price and density. If this development were approved in consideration of the values and tax generation information provided, the City may wish to consider some type of agreement or restriction that would require the developer to CORPORATE OFFICE: SAINT PAUL, MN • Visit our website at www.springsted.com IOWA • KANSAS • MINNESOTA • VIRGINIA • WASHINGTON, DC • WISCONSIN 3c32Z City of Eagan, MN April 23, 2004 Page 2 develop units with the market value projected in the rezoning request as a condition of the rezoning. To reflect a range of possible commercial development options, we have prepared both a low density office warehouse development scenario and a high density R & D scenario. We have made long-term financial projections of the two developments proposed by the developer and of three additional development scenarios to show the potential financial impacts to the City. The three additional developments include one for the office warehouse development proposed by the developer but with the entire 109 acres developed, one for the lowest value use of the property under the current City zoning and one for the highest value use of the property under the current City zoning. Of the five alternatives, an R & D office development as currently contemplated in the City's Comprehensive Plan is projected to generate approximately $13.4 million over the 15 year planning period, the greatest cumulative cash flow. The mixed residential/office condos development proposed by the developer is projected to generate approximately $4.8 million over the same period, the second greatest cumulative cash flow. Developer's assumption related to office warehouse products The developer provided projected property tax projections based on the development of a series of office warehouse units. The information provided to us did not include any market analysis to support the need for these units and there was no explanation relative to timing of the construction. Nonetheless, the City's current zoning would allow the construction of these types of units. They may not be the highest and best use of the property given the surrounding corporate office space and specialized facilities, but they would be permitted uses. The property tax projections are based on a market value of $60 per square foot for the office warehouse units. The $60 per square foot value is within the range of Building Valuation Data reported to the State of Minnesota Department of Administration for building permits for office space, but is considerably outside the range for warehouse space. If the units are predominantly warehouse space, the value seems high when compared to the Building Valuation data that shows warehouse cost per square foot ranging from $28.76 to $44.95 per square foot. One observation we did note was that the developer's projections for the office warehouses include development on only the 84.5 acres parcel. This leaves the 24.5 acre parcel or approximately 22.5% of the total area vacant. There was no explanation for why this area is undeveloped. Our analysis includes a variation of the developer's scenario that applies comparable values and densities to the full 109 acre site, instead of just the south 84.5 acre portion of the site. Developer's assumptions related to office condo development The developer has based his or her property tax projections for the proposed office condos on a taxable market value of $175.00 per square foot. While it is difficult to question the developer's market value projections given the limited information provided, this value seems relatively high when compared to the current market value of a number of other office space parcels, most of which are in the vicinity of the development site. The value is also high compared to the 3.27 City of Eagan, MN April 23, 2004 Page 3 assumptions for the commercial industrial comparison the developer presented ($60.00 per square foot). We have recently become aware of a proposed office condo project in another metropolitan suburb where the market value is projected to be $135.00 per square foot. This value has been affirmed by the local assessor. However, this is still somewhat Tess than the $175.00 per square foot the Developer used in his or her projections. Developer's assumptions related to residential products We would tend to believe the developer has satisfied himself or herself that a market does exist for the proposed units at the projected price and density. We estimated the density of the housing at 6.28 units per acre. If this development were approved in consideration of the values and tax generation information provided, the City may wish to consider some type of agreement or restriction that would require the developer to develop units with the market value projected in the rezoning request as a condition of the rezoning. Alternative assumptions for development as contemplated by the Citv's Comprehensive Guide Plan To reflect a range of possible commercial development options, we have prepared both a low density office warehouse development scenario and a high density R & D scenario. The Building Valuation Data reported by the State of Minnesota Department of Administration shows values for office space ranging from approximately $62 per square foot to approximately $97 per square foot. Existing office space in the vicinity of the development site have taxable market values ranging from approximately $32 to $90 per square foot. It would seem likely that an office warehouse development would be at the tower end and an R & D development would be at the upper mid of this range because of the adjacent Waters development. Assumptions relative to five-year and long-term analysis We have made Tong -term financial projections of the two developments proposed by the developer and of three additional development scenarios to show the potential financial impacts to the City. The three additional developments include one for the office warehouse development proposed by the developer but with the entire 109 acres developed, one for the lowest value use of the property under the current City zoning and one for the highest value use of the property under the current City zoning. The projections for the proposed office/warehouse development and the three additional developments include projected revenues and operating expenditures likely to result from each of these developments. The financial projections for the mixed residential and office condos proposed by the developer include projected revenues, operating expenditures and capital expenditures. Capital expenditures are included in this projection because the development would require a change in land use that would generate a need for capital facilities to support the development above those currently anticipated by the City under the current land use plan. These capital expenditures include facilities for: parks & recreation, police, fire & rescue, general government, transportation, and library services. The financial projections for operating expenditures by land use type are based on Springsted's significant experience in fiscal impact City of Eagan, MN April 23, 2004 Page 4 analysis and on a typical distribution of revenues, other than real property taxes, and operating expenditures between residents and employees. The distribution of these revenues and expenditures reflect the differences in the revenues generated and in the demand created for services between development scenarios based on the proposed land use. Revenues were projected on a line -item basis from the City's 2003 budget and included: > Licenses > Permits > Intergovernmental revenue > Charges for services • Recreation program fees > Other park fees > Fines & Forfeits ' Miscellaneous Revenues > Program Revenues ➢ Transfers Operating expenditures were projected from the City's 2003 budget for the following general fund categories: General Government, Public Safety, Public Works, Parks and Recreation, General Government Building Maintenance, and other. All property taxes projected are based on the City's 2003 tax capacity extension rate and other revenues and expenditures are based on the City's 2003 budget. Fiscal disparities were ignored to enable a comparison with the projections made by the Developer. However, a more refined analysis would need to include the impact of fiscal disparities. The proposed development site contains 109.06 acres. The market value of the site, tax capacity and original taxes are shown in the table below. Proposed Development Site — Base Information Area Use Total Area in Acres Percent of Area Original Market Value Original Tax Capacity 2003 Original Taxes Original Market Value Taxes Total Original Taxes A Vacant 84.5 77.48% 2,797,200 55,194 50,376 524.00 50,899.56 B Vacant 24.56 22.52% 1,157,700 22,404 20,448 216.87. 20,665.00 109.06 100% 3,954,900 77,598 70,824 740.87 71,564.57 Our base information shows the 2003 taxes to be $71,564.57 which are local taxes only and do not include the state property taxes on the parcels. This is about half of the $154,924 amount shown in the information submitted by the Developer. It is possible the Developer is including the property taxes paid to the State, although it is of no value to the City for the purposes of these comparisons. Fiscal Impacts of Developer Projection 1 — Office Warehouse Development The developer presented a proposed office warehouse use for the site. The proposed development is shown in the table on the following page. City of Eagan, MN April 23, 2004 Page 5 Phase Use Acres Total Sq. FL/Units Market Value Sq. Ft/Units Total Market Value Total Tax Capacity Tax Capacity Taxes Market Value Taxes Total Taxes Year Construete d Year Payable 1-A Office Warehouse 15.5 168,795 6000 10,127.700 201,804 184,187 1,897 186,084 2005 2007 2-A Office Warehouse 11.5 125235 60.00 7,514,100 149,532 136,478 1,408 137,885 2006 2008 2-A Office Warehouse 9 98,101 60.00 5,886,060 116,971 106,760 1,103 107,862 2006 2008 3-A Office Warehouse 7 76,230 ' 60.00 4,573,800 90,726 82,806 857 83,662 2007 2009 3-A Office Warehouse 3 32,670 60.00 1,960,200 38,454 35,097 367 35,464 2007 2009 3-A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2007 2009 4-A Office Warehouse 4 43,560 60.00 2,613,600 51,522 47,024 490 47,514 2008 2010 4-A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2008 2010 4-B Office Warehouse 10 108,900 60.00 6,534,000 129,930 118,587 1,224 119,811 2008 2010 5-B Office Warehouse 7 76,230 60.00 4,573,800 90,726 82,806 857 83,662 2009 2011 5-B Office Warehouse 7.5 81,675 60.00 4,900,500 97,260 88,769 918 89,687 2009 2011 2016 Totals 84.5 920,296 20,620 55,217,760 1,096,105 1,000,415 10,344 1,010,759 247,117 1941,633 As we stated previously, it is unclear why these projections show development on only 84.5 of the 109.06 available acres on the site. The fiscal impacts of this proposal on the City is projected to have positive cash flow in each year and to have cumulative positive cash flow of approximately $3.4 million over a 15 year period. The fiscal impacts shown include the net increase in revenues to the City above those it currently receives from the site. These projections are shown in the table below. Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 10,127,700 - - - -- - - - - 2006 23,527,860 - - - - - - - - - - 2007 33,328,860 201,804 36,704 3,782 40,486 (14,253) 26,233 26,233 - 26,233 26,233 2008 45,743,460 468,307 116,420 8,786 125,206 (33,112) 92,095 118,327 - 92,095 118,327 2009 55,217,760 662,077 174,381 12,446 186,826 (46,905) 139,922 258,249 - 139,922 258,249 2010 55,217,760 908,119 247,977 17,082 265,058 (64,376) 200,682 458,931 - 200,682 458,931 2011 55,217,760 1,096,105 304,207 20,620 324,827 (77,715) 247,117 706,048 - 247,117 706,040 2012 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 953,565 - 247,117 953,165 2013 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 1,200,282 - 247,117 1,200,282 2014 55.217,760 1,096,105 304,207 20.620 324,827 (77,710) 247,117 1,447,399 - 247,117 1,447,399 2015 55,217,760 1,096,105 304,207 20,620 324,827 (77,71D) 247,117 1,694,516 • 247,117 1,694,516 2016 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,157 1,941,633 - 247,117 1941,633 2017 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,188,750 - 247,117 2,188,750 2018 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247.117 2,435,867 - 247,117 2,435,867 2019 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,682,984 - 247,117 2,682,984 2020 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 2,930,101 - 247,117 2,930,101 2021 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 3,177,218 - 247,117 3,177,218 2022 55,217,760 1,096,105 304,207 20,620 324,827 (77,710) 247,117 3,424,335 - 247,117 3424,335 4,225,968 289,530 4,515,498 (1,091,163) 3,424,335 - 3,424,335 Fiscal Impacts of Developer's Projection 1 a - Office Warehouse Development on Entire Site We have added a financial projection to show the fiscal impacts of an office warehouse development on the entire 109 acres available. The fiscal impacts are projected using the same density of development and market values used by the developer in his or her proposed office warehouse development. The proposed development is shown in the table on the following page. 33o City of Eagan, MN April 23, 2004 Page 6 Phase Use Acres Total Sq. Ft./Units Market Value Sq. Ft/Units Total Market Value Total Tax Capacity Tax Capacity Taxes Market Value Taxes Total Taxes Year Constructs d Year Payable 1-A Office Warehouse 20.4 222,156 6000 13,329,363 265,837 242,630 2,497 245,127 2005 2007 2-A Office Warehouse 16.4 178,596 60.00 10,715,760 213,565 194,921 2,007 196,928 2006 2008 2-A Office Warehouse 9 98,101 6000 5,886,060 116,971 106,760 1,103 107,862 2006 2008 3-A Office Warehouse 11.9 129,591 60.00 7,775.460 154,759 141,249 1,457 142,705 2007 2009 3-A Office Warehouse 3 32,670 60.00 1,960,200 38,454 35,097 367 35,464 2007 2009 3-A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2007 2009 4-A Office Warehouse 8.9 96,921 60.00 5,815,260 115,555 105,467 1,089 106.557 2006 2010 4-A Office Warehouse 5 54,450 60.00 3,267,000 64,590 58,951 612 59,563 2008 2010 4-3 Office Warehouse 10 108,900 60.00 6,534,000 129,930 118,587 1,224 119,811 2008 2010 5-3 Office Warehouse 11.9 129,591 60.00 7,775,460 154,759 141249 1,457 142,705 2009 2011 5-3 . Office Warehouse 7.5 81.675 60.00 4,900,50D 97,260 88,769 918 89,667 2009 2011 2016 Totals 109 1,187,101 26,597 71,226,060 1,416,271 1,292,631 13,343 1,305,974 326,334 2,575,368 The fiscal impacts of this proposal on the City is projected to have positive cash flow in each year and to have cumulative positive cash flow of approximately $4.5 million over a 15 year period. The fiscal impacts shown include the net increase in revenues to the City above those it currently receives from the site. These projections are shown in the table below. Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue, Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 13,329,360 - - - - - - - • - - 2006 29,931,180 - - - - - - - - - 2007 42,933,840 265,837 55,857 4,977 60,835 (18,759) 42,076 42,076 - 42,076 42,076 2008 58,550,100 596,374 154,727 11,177 165,904 (42,123) 123,781 165,857 • 123,781 165,857 2009 71,226,060 854,177 231,842 /6,032 247,874 (60,422) 187,452 353,309 - 187,452 353,309 20)0 71,226,060 1,164,252 324,591 21,864 346,455 (82,400) 264,056 617,365 - 264,056 617,365 2011 71.226,060 1,416,271 399,975 26,597 426.573 (100,239) 326,334 943,699 • 326.334 943,699 2012 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 1,270,033 - 326,334 1,270,033 2013 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 1,596,367 • 326,334 1,596,367 2014 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 1,922,700 - 326,334 1,922,700 2015 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 2,249,034 - 326,334 2,249,034 2016 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 2,575,368 - 326,334 2,575,368 2017 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 2,901,702 • 326,334 2,901,702 2018 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 3,228.036 • 326,334 3,228,036 2019 71,226,060 1,416,271 399,975 26,597 426,573 000,239) 326,334 3,554,370 - 326,334 3,554,370 2020 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 3,880,704 - 326,334 3,880,704 2021 71,226.060 1.416.271 399.975 26,597 426,573 (100,239) 326,334 4.207,037 - 326.334 4.207.037 2022 71,226,060 1,416,271 399,975 26,597 426,573 (100,239) 326,334 4,533,371 - 326,334 4,533,371 5,566,721 373,220 5,939,941 (1,406,569) 4,533,371 • 4,533,371 Fiscal Impacts of Developer Prosection 2 - Mixed Residential and Office Condos The developer presented a proposed mixed residential and office condo development on the site. The proposed development is shown in the table on the following page. 331 City of Eagan, MN April 23, 2004 Page 7 Phase Use Total Sq. FtJUnit Projected City Property Tax Revenue Market Value Sq. Ft/Units Total Markel Value Total Tax Capacity Tax Capacity Taxes Market Value Tates Total Taxes Year Constructs d Year Payable 1-A Urban Townhomes 47 -- 350,000.00 16,450,000 164,500 150,139 3,082 153,221 2005 2007 1-A Villas 20 - 600.000.00 12.000.000 150,000 136,905 2,248 139,153 2005 2007 1-A Ex. Single Family 7 384,564 800,000.00 5,600,000 70,000 63,889 1,049 64,938 2005 2007 I -A Condos 40 704,697 300,000.00 12,000,000 120,000 109,524 2,248 111,772 2005 2007 1-A Senior Coops 150 770,504 250,000.00 37.500,000 375,000 342,263 7,025 349,287 2005 2007 1-A Adult Manor Home 36 770,504 250,000.00 9,000,000 90,000 82,143 1,686 83,829 2005 2007 1-A Office Condos 25,000 770,504 175.00 4,375,000 86,750 79,177 820 79,996 2005 2007 113 Townhome SeeB2B 55 770,504 350,000.00 19,250,000 192,500 175,695 3,606 179,301 2005 2007 18 Townhome See Thru 29 770,504 400,000.00 11,600,000 116,000 105,873 2,173 108,046 2005 2007 2A Urban Townhomes 47 770,504 350,000.00 16,450,000 164,500 150,139 3,082 153,221 2006 2008 2A Villas 29 770,504 600,000.00 17,400,000 217,500 198,512 3,260 201,772 2006 2008 2A Ex. Single Family 9 770,504 800,000.00 7,200,000 90,000 82,143 1,349 83,492 2006 2008 2A Condos 40 770,504 300,000.00 12,000,000 120,000 109,524 2,248 111,772 2006 2008 2A Adult Manor Home 36 770,504 250,000.00 9,000,000 90,000 82,143 1,686 83,829 2006 2008 2A Office Condos 23,000 770,504 175.00 4,025,000 79,750 72,788 754 73,542 2006 2008 2B Townhomes B2B 55 770,504 350,000.00 19,250,000 192,500 175,695 3,606 179,301 2006 2008 2B Townhomes See Thru 29 770,504 400,000.00 11,600,000 116,000 105,873 2,173 108,046 2006 2008 3A Villas 20 770,504 600,000.00 12,000,000 150,000 136,905 2,248 139,153 2007 2009 3A Ex. Single Family 7 11,876,315 800,000.00 5,600,000 70,000 63,889 1,049 64,938 2007 2009 Totals 242,300,000 2,655,000 2,423,219 45,390 2,468,609 The fiscal impacts of this proposal on the City are projected to be positive overall resulting in a cumulative positive cash flow of approximately $4.8 million by the end of year 15. However, the combined total annual cash flow is projected to be negative in the first three years as a result of the capital expenditures that would be required to support the development. The combined cumulative cash flow is projected to be negative for the first seven years as the capital expenditures in the fires three years and negative operating cash flow in the first are offset by positive cash flows in subsequent years. Capital expenditures included in the fiscal impact projections were for parks & recreation, police, fire & rescue, general government, transportation, and library services. These projections are shown in the table below. Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 127,775,000 - -- - - - - (1,037,2231, (1,037,223) (1,037,223) 2006 224,700,000 - - 51,640 51,640 (232,622) (180,983) (180,983) (726,226) (907,208) (1,944,4311 2007 242,300,000 1,364,750 384,564 86,239 470,803 (387,423) 83,380 (97,602) (84,333) (952) (1,945,384) 2008 242,300,000 2,435,000 704,697 91,499 796,197 (410,145) 386,052 288,449 - 386,052 (1,559,332) 2009 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 740,307 - 451,858 (1,107,474) 2010 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 1,192,166 - 451,858 (655,616) 2011 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 1,644,024 - 451,858 (203,757) 2012 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 2,095,882 - 451,858 248,101 2013 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 2,547,740 - 451,858 699,959 2014 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 2,999,598 - 451,858 1,151,817 2015 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 3,451,457 - 451,858 1603,675 2016 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 3,903,315 - 451,858 2,055,534 2017 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 4,355,173 -� 451,858 2,507,392 2018 242,300,000 2,655,00D 770,504 91,499 862,003 (410,145) 451,858 4,807,031 - 451,858 2,959,250 2019 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 5,258,869 - 451,858 3,411,108 2020 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 5,710,747 - 451,858 3,862,966 2021 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451,858 6,162,606 - 451,858 4,314,824 2022 242,300,000 2,655,000 770,504 91,499 862,003 (410,145) 451858 6,614,464 - 451,1158 4,766,603 11,876,315 1,510368 13,386,683 (6,772,219) 6,614,464 (1,847,781) 4,766,683 Fiscal Impacts of Lowest -Land -Use Development - 30% Single -Story Offices and 70% Warehouse The City's current zoning would permit a range of land use on the site. The lowest -land -use development permitted on this site would be a combination of single -story offices and 33=1- City of Eagan, MN April 23, 2004 Page 8 warehouses according to conversations with City staff. The floor area projected to be developed was based on 40% coverage (floor area to land) with 30% of the floor space allocated to offices and 70% allocated to warehouse. The office space was assumed to have a taxable market value of $70/square foot and the warehouse space was assumed to have a taxable market value of $30/square foot. These values are from those reported by the Building Valuation Data reported by the State of Minnesota Department of Administration. This development is shown in the table below. Phase Use Acres Total Sq. EtJUnits, Market Value Sq. Ft/Units Total Market Value Total Tax Capaei, Tax Capacity Tates Market Value Taxer Total Taxes Year Coastrocle d Year Payable' 1 Office 6.5436 113,953 70.00 7,976,710 158,784 144,922 1,494 146,417 2005 2007 1 Warehouse 15,2684 265,890 30.00 7,976,706 158784 144,922 1,494 146,417 2005 2007 2 Office 6.5436 113,953 '70.00 7,976,710 158,784 144,922 1,494 146,417 2006 2008 2 Warehouse 15.2684 265,890 30.00 7,976706 158,784 144,922 1,494 146,417 2006 2008 3 Office 6.5436 113,953 70,00 7,976,710 158,784 144,922 1,494 146,417 2007 2009 3 Warehouse 15.2684 265,890 30.00 7,976,706 398,784 144,922 1,494 146,417 2007 2009 4 Office 6.5436 113,953 70.00 7,976,710 158,784 144,922 1,494 146,417 2008 2010 4 Warehouse 15.2684 265,890 30.09 7,976,706 158,784 144,922 1,494 146,417 2008 2010 5 Office 6.5436 133,953 70.00 7976,730 158,784 144,922 1,494 146,417 2009 2011 5 Warehouse 15.2684 265,890 30.00 7,976.706 158,784 144.922 1,494 146,417 2009 2011 20)5 Totals 109.06 1,899,216 62,599 79,767,989 1,567,842 1,449,223 14,943 1,464,166 277,975 1,898,507 The fiscal impacts of this type of development on the City are projected to be positive overall resulting in a cumulative positive cash flow of approximately $3.8 million by the end of year 15. These projections are shown in the table below. Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Blow 2005 15,953,416 - - - - - - - 2006 31,906,832 - - - - - - - - 2007 47,860,248 317,568 71,331 12,520 83,651 (47, 1841, 36,667 36,667 - 36,667 36,667 2008 63,813,664 635,137 166,322 25,040 191,362 (94,368) 96,994 133,661 - 96,994 133,66) 2009 79,767,080 952,705 261,313 37,559 298,873 (141,551) 157,321 290,983 - 157,321 290,983 2010 79,767,080 1,270,273 356,304 50,079 406,383 (188,735) 237,648 508,631 - 217,648 508,631 2011 79,767,080 1,587,842 451,295 62,599 513,894 (235,9191 277,975 786,606 • 277,975 786,606 20)2 79,767,000 1,587,842 451,295 62,599 513,894 (235,919) 277,975 1,064,581 - 277,975 1,064,581 2013 79,767,000 1587,842 451,295 62,599 513,894 (235,919X, 277,975 1,342,557 - 277,975 1,342,557 2014 79,767,000 1,587,842 451,295 62,599 513894 (235,919) 277,975 1,620,532 - 277,975 1,620,532 20)5 79,767,000 1,587,842 451,295 62,599 513,894 (235,919) 277,975 1,898,507 - 277,975 1,898,507 2016 79,767,080 1,587,842 451,295 62,599 513,894 (235,919) 277.975 2,176,483 - 277.975 2,176,483 2017 79 767,080 1,587,842 451,295 62,599 513,894 (235,919) 277,975 2,454,458 - 277,975 2,454,458 2018 79,767,080 3,587,842 451,295 62,599 513,894 (235,919) 277,975 2,732,433 - 277,975 2,732,433 2019 79,767,080 1,587,842 453,295 62899 513,894 (235,919) 277,975 3,010,408 - 277,975 3,010,408 2020 79,767,080 1,587,842 451,295 62,599 513,894 (235,919) 277,975 3,288,384 - 277,975 3,288,384 2021 79,767,080 3,587,842 451,295 62,599 513,894 (235,919)` 277,975 3,566,359 - 277,975 3,566,359 2022 79,767,030 1,587,842 451,295 62,599 513,894 (235,919) 277,975 3,844,334 - 277,975 3,844,334 6,270,816 876.385 7,147,200 (3,302,866) 3,844,334 - 3,844.334 Fiscal Impacts of Highest -Land -Use Development- R & D Office The highest land use development permitted under the City's current zoning would be a 45 foot tall R & D office with 20% land coverage (building foot print) according to conversations with City staff. We have projected a four-story building with 949,608 square feet per floor and a total floor area of 3,798,432. The office space was assumed to have a taxable market value of $70/square foot. This development is shown in the table on the following page. 333 City of Eagan, MN April 23, 2004 Page 9 Phase Use Acres Total Sq. Ft./Units Market Value Sq. FtIUnits Total Market Value Total Tax Capacity Tax Capacity Taxes Market Value Taxes Total Taxes Year Constructs d Year Payable 1 Office 21.812 759,686 70.0D 53,178,046 1,062,811 970,020 9,962 979,989 2005 2007 2 Office 21.812 759,686 70.00 53,178,048 1,062,811 970,028 9,962 979,989 2006 2008 3 Office 21.812 759,686 70.00 53,176,048 1,062811 970,028 9,962 979,969 2007 2009 4 Office 21.612 759,686 70.00 53,178,048 1,062,811 970,028 9,962 979,969 2008 2010 5 Office 21.812 759,686 70.0D 53,178,048 1,062,811 970,028 9,962 979,989 2009 2011 2010 Totals 109.06 3,798,432 174,998 265,890,240 5,314,055 4,850,138 49,809 4,899,947 763,449 1,873,133 The fiscal impacts of this type of development on the City are projected to be positive overall resulting in a cumulative positive cash flow of approximately $13.4 million by the end of year 15. These projections are shown in the table below. Year Projected Market Added Value Projected Tax Added Capacity Projected City Property Tax Revenue Projected City other Revenue Total City Revenue Projected City Operating Expenditures Annual Operating Cash Flow Cumulative Operating Cash Flow Projected Annual Capital Expenditures Combined Total Annual Cash Flow Combined Cumulative Cash Flow 2005 53,178,048 -- - - - - - - - - 2006 106,356,096 --•- - - - - - - 2007 159,534,144 1062,811 294,248 43,749 337,998 (164,680) 173,117 173,117 • 173,117 173,117 2008 212,712,192 2,125,622 612,156 87,499 699,655 (329,760) 369,895 543,012 - 369,895 543,012 2009 265,890,240 3,188,433 930,064 131,248 1,061,312 (494,641) 566,672 1,109,684 • 566,672 1,109,684 2010 265,890,240 4,251,244 1,247,972 174,998 1,422,970 (659,521) 763,449 1,673,133 - 763,449 1,873,133 2011 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 2,833,360 - 960,226 2,833,360 2012 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 3,793,586 - 960,226 3,793,586 2013 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 4,753,812 - 960,226 4,753,812 2014 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 5,714,039 - 960,226 5,714,039 2015 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 6,674,265 - 960,226 6,674,265 2016 265,890,240 5,314,055 1,565,860 218,747 1,784,627 (824,401) 960,226 7,634,492 - 960,226 7,634,492 2017 265.890,240 5,314.055 1,565,880 218,747 1,784,627 (824,401) 960,226 8,594,718 - 960,226 8,594,718 2018 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) - 960,226 9,554,944 - 960,226 9,554,944 2019 265,890,240 5,314,055 1,565,680 218,747 1,784,627 (824,401) 960,226 10,515,171 - 960,226 10,515,171 2020 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 11,475,397 - 960,226 11,475,397 2021 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 12,435,624 - 960,226 12,435,624 2022 265,890,240 5,314,055 1,565,880 218,747 1,784,627 (824,401) 960,226 13,395,850 - 960,226 13,395,850 21,875,004 3,062,459 24,937,463 (11,541,613) 13,395,850 - 13,395,860 Summary The table on the following page shows the cumulative cash flows for each of the developments projected on the site. Of the five alternatives, an R & D office development as currently contemplated in the City's Comprehensive Plan is projected to generate approximately $13.4 million over the 15 year planning period, the greatest cumulative cash flow. The mixed residential/office condos development proposed by the developer is projected to generate approximately $4.8 million over the same period, the second greatest cumulative cash flow. It is important to note our earlier comments relative to the market values used by the developer for the office condos as they are the primary driver of the anticipated revenues resulting from the development. The values appear to be overstated, resulting in a projection of revenues greater than may likely be realized. 3 3 y- City of Eagan, MN April 23, 2004 Page 10 Year Developer Office Warehouse Development Office Warehouse Full 109 Acres Mixed Residential/Office Condos Lowest -Land - Use Single -Story Offices and Warehouse Highest Land Use R & D Office 2005 - - (1,037,223) - - 2006 - - (1,944,431) - - 2007 26,233 42,076 (1,945,384) 36,667 173,117 2008 118,327 165,857 (1,559,332) 133,661 543,012 2009 258,249 353,309 (1,107,474) 290,983 1,109,664 2010 458,931 617,365 (655,616) 508,631 1,873,133 2011 706,048 943,699 (203,757) 786,606 2,833,360 2012 953,165 1,270,033 248,101 1,064,581 3,793,586 2013 1,200,282 1,596,367 699,959 1,342,557 4,753,812 2014 1,447,399 1,922,700 1,151,817 1,620,532 5,714,039 2015 1,694,516 2,249,034 1,603,675 1,898,507 6,674,265 2016 1,941,633 2,575,368 2,055,534 2,176,483 7,634,492 2017 2,188,750 2,901,702 2,507,392 2,454,458 8,594,718 2018 2,435,867 3,228,036 2,959,250 2,732,433 - 9,554,944 2019 2,682,984 3,554,370 3,411,108 3,010,408 10,515,171 2020 2,930,101 3,880,704 3,862,966 3,288,384 11,475,397 2021 3,177,218 4,207,037 4,314,824 3,566,359 12,435,624 2022 3,424,335 4,533,371 4,766,683 3,844,334 13,395,850 Please do not hesitate to call if you have any questions. Cc: David MacGillivray MEMORANDUM TO: FROM: DATE: SUBJECT: Loan Oak Development, LLC Kirstin Barsness May 5, 2004 City of Eagan Tax Analysis Report Barsness Consulting Services, Inc. BACKGROUND The initial tax analysis I completed was reviewed by Springsted, Inc., acting as financial advisors to the City of Eagan. Springsted examined four different development scenarios and identified the financial impact to the city for each scenario. Their analysis indicated that development of the site as a research and development facility provides the city with the highest positive cash flow. The mixed-use development proposed by Loan Oak yields the second greatest cumulative cash flow. Springsted raised a number of questions related to my analysis in their review. The majority of the comments related to market conditions, however, they did not consider the market when estimating the research and development cash flow. This memorandum will clarify the assumptions used in my analysis and identify concerns I have with the Springsted memorandum. BASE ASSUMPTIONS As a base of comparison, I generated two tax calculations. The first is an example of the site with the proposed mixed-use development by Loan Oak. The second example is with office warehouse under the current Planned Development Zoning. Springsted added the third scenario of research and development. In order to compare the three I have made the below assumptions 1. For direct comparison, this memo will focus on two key financial measurements: Market Value and Net Local Taxes (city, county, school, misc.). 2. The net developable property is 84.50 acres. The remaining property is considered wetland and protected by the Shoreline Ordinance. ..33,6 3. The 2003 market value for the site is 3,954,900 and the original taxes (payable 2004) are $130,450.50. The information is gathered from the Dakota County Real Estate Inquiry system. 4. Fiscal Disparities and the State Wide Taxes will be considered in calculating commercial taxes. 5. For commercial development in the mixed-use site a 35% coverage ratio is used. This is less than the 40% used by Springsted in their analysis of Lowest -Land - Use. Thus, under -representing the potential amount of commercial development on the site. LONE OAK MIXED DEVELOPMENT The project is comprised of: • 648 owner -occupied housing units, including single family, townhomes, condos, and senior housing. • 48,000 square foot office condo component with a construction value of $175 per square foot. This cost includes tenant improvements and has been verified by two construction firms and a market research firm. Approximately 69 acres of green space. Anticipated build out is within five years. The site would begin contributing taxes upon building completion, and the majority of the site is not impacted by fiscal disparities and the state-wide tax. New Market Value (building only) is estimated at $241,750,000. Net local taxes for the five year period are $9,637,815. Both are highlighted in the tables below. R Market Value Total Market Class New Year Date Phase USE Sq. Ft./Units Sq. Ft./Units Taxes Value Rate Tax Capacity Built Payable 1-A URBAN TOWNHOMES 53 350,000.00 $ 166,952 18,550,000 1.00% 185,500 2005 2007 1-A VILLAS 17 600,000.00 $ 114,751 10,200,000 1.25% 127,500 2005 2007 1-A EX. SINGLE FAMILY 7 800,000.00 $ 63,001 5,600,000 1.25% 70,000 2005 2007 1-A CONDOS 20 300,000.00 $ 54,001 6,000,000 1.00% 60,000 2005 2007 1-A TWIN HOMES 15 450,000.00 $ 60,751 6,750,000 1.00% 67,500 2005 2007 1-A SENIOR CO-OPS 150 250,000.00 $ 337,504 37,500,000 1.00% 375,000 2005 2007 1-A ADULT MANOR HOMES 36 250,000.00 $ 81,001 9,000,000 1.00% 90,000 2005 2007 1-A OFFICE CONDOS 25,000 175.00 $ 147,098 4,375,000 2.00% 87,500 2005 2007 1-B TOWN HOMES B2B 55 350,000.00 $ 173,252 19,250,000 1.00% 192,500 2005 2007 1-B TOWN HOMESEETHRU 29 400,000.00 $ 104,401 11,600,000 1.00% 116,000 2005 2007 2-A URBAN TOWNHOMES 54 350,000.00 $ 170,102 18,900,000 1.00% 189,000 2006 2008 2-A VILLAS 24 600,000.00 $ 162,002 14,400,000 1.25% 180,000 2006 2008 2-A EX. SINGLE FAMILY 9 800,000.00 $ 81,001 7,200,000 1.25% 90,000 2006 2008 2-A CONDOS 20 300,000.00 $ 54,001 6,000,000 1.00% 60,000 2006 2008 2-A TWIN HOMES 15 450,000.00 $ 60,751 6,750,000 1.00% 67,500 2006 2008 2-A ADULT MANOR HOMES 36 250,000.00 $ 81,001 9,000,000 1.00% 90,000 2006 2008 2-A OFFICE CONDOS 23,000 175.00 $ 135,330 4,025,000 2.00% 80,500 2006 2008 2-B TOWN HOMES B2B 55 350,000.00 $ 173,252 19,250,000 1.00% 192,500 2006 2008 2-B TOWN HOME SEE THRU 29 400,000.00 $ 104,401 11,600,000 1.00% 116,000 2006 2008 3-A VILLAS 17 600,000.00 $ 114,751 10,200,000 1.25% 127,500 2007 2009 3-A EX. SINGLE FAMILY 7 800,000.00 $ 63,001 5,600,000 1.25% 70,000 2007 2009 Prepared by earatttS OASUIting SWAM, 3 3 7 2 LOWEST LAND USE - OFFICE WAREHOUSE Springsted calculated the tax revenue generated on the site for the lowest possible land use: office warehouse. For sake of comparison, we will use their example instead of the one developed by my firm. Their example allows for a higher building coverage (40% vs. 35%) and lower cost per square foot of approximately $42.00. I did adjust their number for site size (84.5 acres) and to represent fiscal disparities and state-wide tax. � Yr -. �°� ���. ., s' �,�a- �>.-%.. Y ,,.,�4 �'.YEAR4JITS :AX:: i *L'(PT4 -LaL�%�`ID�fi�� b4 3� .Ti fir. x1 r.. BASE LOCAL F/D MN STATE MV NEW NET NEW Market BASE New Year Date TAXES TAXES TAXES TAXES TAXES YEAR MV NEW MV TAXES TAXES TAXES TAXES TAXES TAXES LOCALTAXES 2007 3,954,900 128,825,000 130,451 5 1,205,464 $ 42,670 $ 47,641 $ 6,935 5 1,302,710 $ 1,075,013 2008 3,954,900 225,950,000 130,451 $ 2,137,837 $ 81,926 $ 91,471 $ 13,316 $ 2,324,550 $ 2,007,386 2009 3,954,900 241,750,000 130,451 5 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 2010 3,954,900 241,750,000 130,451 $ 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 2011 3,954,900 241,750,000 130,451 $ 2,315,589 $ 81,926 $ 91,471 $ 13,316 $ 2,502,302 $ 2,185,138 TOTAL 3-A Office Warehouse 652,253 $ 10,290,067 5 370,376 413,525 5 60,198 $ 11,134,166 43,908 LOWEST LAND USE - OFFICE WAREHOUSE Springsted calculated the tax revenue generated on the site for the lowest possible land use: office warehouse. For sake of comparison, we will use their example instead of the one developed by my firm. Their example allows for a higher building coverage (40% vs. 35%) and lower cost per square foot of approximately $42.00. I did adjust their number for site size (84.5 acres) and to represent fiscal disparities and state-wide tax. '�:ir � Yr -. �°� ���. ., s' �,�a- F •. h sC�i�i a :4� Y ^,. ,s. ..., "w4.4rn AFCME YCO RCI T '')CAL R�2�,MA 1.� FD 01 BASE LOCAL Total Market Value Total Market Class New Year Date TAXES TAXES TAXES TAXES TAXES TAXES LOCAL TAXES 2007 Tax 11,343,024 130,451 Phase USE Acres Sq. FtJUnits Sq. Ft./Units Taxes Value Rate Capacity Built Payable 1-A Office Warehouse 15.5 270,072 42.00 $ 476,723.03 11,343,024 2.00% 226,860 2005 2007 2-A Office Warehouse 11.5 200,376 42.00 $ 353,697.73 8,415,792 2.00% 168,316 2006 2008 2-A Office Warehouse 9 156,816 42.00 $ 276,806.92 6,586,272 2.00% 131;725 2006 2008 3-A Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2007 2009 3-A Office Warehouse 3 52,272 42.00 $ 92,268.97 2,195,424 2.00% 43,908 2007 2009 3-A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2007 2009 4-A Office Warehouse 4 69,696 42.00 $ 123,025.30 2,927,232 2.00% 58,545 2008 2010 4-A Office Warehouse 5 87,120 42.00 $ 153,781.62 3,659,040 2.00% 73,181 2008 2010 4-B Office Warehouse 10 174,240 42.00 $ 307,563.24 7,318,080 2.00% 146,362 2008 2010 5-B Office Warehouse 7 121,968 42.00 $ 215,294.27 5,122,656 2.00% 102,453 2009 2011 5-B Office Warehouse 7.5 130,680 42.00 $ 230,672.43 5,488,560 2.00% 109,771 2009 2011 TOTAL 85 1,472,328 2,598,909 $6,837,776 1,236,756 '�:ir � Yr -. �°� ���. ., s' �,�a- F •. h sC�i�i a :4� Y ^,. ,s. ..., "w4.4rn AFCME YCO RCI T '')CAL tIt;', '}•/'�N'c�•G LA l BASE LOCAL F/D MN STATE MV NEW NET NEW YEAR BASE MV NEW MV TAXES TAXES TAXES TAXES TAXES TAXES LOCAL TAXES 2007 3,954,900 11,343,024 130,451 129,249 110,630 123,519 17,981 476,723 (1,202) 2008 3,954,900 26,345,088 130,451 333,541 256,948 286,882 41,762 1,107,228 203,090 2009 3,954,900 37,322,208 130,451 425,269 364,009 406,416 59,163 1,568,573 294,819 2010 3,954,900 51,226,560 130,451 583,703 499,620 557,827 63,223 2,152,943 453,253 2011 3,954,900 61,837,776 130,451 704,613 603,113 673,376 98,025 2,598,909 574,163 TOTAL 652,253 2,176,375 1,834,320 2,048,020 280,155 7,904,375, ., Prepared by Ramon Consulting Swim,. Inc, 3 _l 3 3 RESEARCH & DEVELOPMENT OFFICE In order to be consistent throughout the comparison, a realistic market view is necessary. Springsted adjusted the office warehouse scenario to better represent market conditions, i.e. reduced cost per square foot and higher coverage ratio. The research and development analysis is definitely skewed. A five year build -out of 3,798,432 square feet is unrealistic for the following reasons: • For the past twenty (20) years the site has been zoned for this particular use and development has not occurred. • In the last five years, Dakota County has had one research and development facility constructed and it has been converted to offices. Source: Gloria Pinke, Dakota County Assessing Services. • The five year absorption rate for the East Bloomington & South of River Region has been 101,613 square feet annually according to 2003 NAIOP Annual Office Market Update. • The site would be competing with other locations in the market that are ready to be developed. • A project with 3.8 million feet would be heavily sought and the likelihood that it would be in a tax increment district for at least 8 years is high. If Eagan does not offer TIF, other municipalities would for this type of project. • Large corporate project, such as Best Buy and Medtronic have required financial assistance. • Best Buy is 2.5 million square feet and is currently 25% vacant. The analysis completed by Springsted does not take into consideration fiscal disparities or the state-wide tax. Additionally, the $13.4 million of cumulative cash flow does not represent the possibility of a tax increment district which would negatively impact the projection. I adjusted Springsted's analysis to represent the 85 acres of developable property, fiscal disparities impact, and state wide taxes. Prepared by Barmen Committing Swims. Imo, 339 4 PROJECT. `INFORMATION Market Total Value Total Market Class New Year Date Sq. Sq. Phase USE Acres Ft./Units Ft./Units Taxes Value Rate Tax Capacity Built Payable R&D 1-A Office 22.5 759,686 70.00 476,723 53,178,020 2.00% 1,063,560 2005 2007 R&D 2-A Office 22.5 759,686 70.00 353,698 53,178,020 2.00% 1,063,560 2006 2008 R&D 3-A Office 22.5 759,686 70.00 215,294 53,178,020 2.00% 1,063,560 2007 2009 R&D 4-A Office 17.5 759,686 70.00 123,025 53,178,020 2.00% 1,063,560 2008 2010 TOTAL 85 3,038,744 1,168,740 212;2.12080 4,254,242 Prepared by Barmen Committing Swims. Imo, 339 4 SUMMARY The three scenarios outlined above represent the possible development alternatives for the site. With the exception of the Loan Oak preferred mixed-use scenario, the other two have utilized the optimal conditions and market expectations stipulated by Springsted. I have compensated for amount of actual developable land (84.5 acres) and the necessary additional commercial taxes not included in the original analysis: fiscal disparities and state wide taxes. Scenario Increase Market Value Net Local Taxes (5 years) Mixed Use $ 241,750,000 $ 9,637,815 Office Warehouse $ 61,837,776 $ 1,524,123 Research & Development $ 212,712,080 $ 9,244,730 Looking at the two key revenue generating factors Market Value and local taxes, the Mixed Use Development is the best alternative. It is important to note that the Research and Development analysis used the optimal amount of square feet in the valuation, although the assumptions used for the size of the development are not market driven. Prepared by Banness ConsuitiNg Servitim, tom. c 5 U rAketiottloww � `> YEAR BASE MV NEW MV BASE TAXES LOCAL TAXES F/D TAXES MN STATE TAXES MV TAXES NEW TAXES NET NEW LOCAL TAXES 2007 3,954,900 53,178,020 130,451 605,939 518,653 579,077 84,298 476,723 475,489 2008 3,954,900 106,356,040 130,451 2,019,775 1,555,959 1,737,230 252,893 830,421 1,889,324 2009 3,954,900 159,534,060 130,451 2,423,756 2,074,612 2,316,307 337,191 1,045,715 2,293,306 2010 3,954,900 212,712,080 130,451 2,423,756 2,074,612 2,316,307 252,893 1,168,740 2,293,306 2011 3,954,900 212,712,080 130,451 2,423,756 2,074,612 2,316,307 337,191 1,168,740 2,293,306 TOTAL 652,253 9,896,983 8,298,449 9,265,228 1,264 467 4,690,339 SUMMARY The three scenarios outlined above represent the possible development alternatives for the site. With the exception of the Loan Oak preferred mixed-use scenario, the other two have utilized the optimal conditions and market expectations stipulated by Springsted. I have compensated for amount of actual developable land (84.5 acres) and the necessary additional commercial taxes not included in the original analysis: fiscal disparities and state wide taxes. Scenario Increase Market Value Net Local Taxes (5 years) Mixed Use $ 241,750,000 $ 9,637,815 Office Warehouse $ 61,837,776 $ 1,524,123 Research & Development $ 212,712,080 $ 9,244,730 Looking at the two key revenue generating factors Market Value and local taxes, the Mixed Use Development is the best alternative. It is important to note that the Research and Development analysis used the optimal amount of square feet in the valuation, although the assumptions used for the size of the development are not market driven. Prepared by Banness ConsuitiNg Servitim, tom. c 5 U Eagan City Council Meeting Minutes May 18, 2004 Page 7 SRA FT Councilmember Maguire moved, Councilmember Tilley seconded a motion to approve an Interim Use Permit to allow outdoor storage of equipment, materials, and current/late model cars, and a 97 foot tower crane, associated with a site plan and item list, dated March 2, 2004 on Part of Government Lot 2, Section 9, Township 27, Range 23, located at 3045 Sibley Memorial Highway, subject to the following conditions. Aye: 4 Nay: 1 Carlson opposed. 1. The Interim Use Permit shall be recorded at Dakota County Recorder's Office within 60 days of its approval by the City Council. 2. The permit shall terminate upon the earlier of May 18, 2007. 3. The Interim Use Permit shall be subject to an annual administrative review. The purpose of such review shall be to determine that the conditions of the permit are within compliance. The Interim Use Permit may be revoked for failure to comply with any condition of the permit following notice of the noncompliance and a hearing by the City Council with al interested parties being given an opportunity to be heard. 4. All parking and storage areas shall be properly maintained and surfaced to prevent deterioration as outlined in the memo dated March 7, 2004. 5. The outdoor storage items shall be limited to what is provided for with the site plan. 6. Trash receptacles shall be kept either inside the building or within an enclosure constructed according to City Code. 7. Subject to site plan dated March 2, 2004. 8. Upon recording the Interim Use Permit all other Conditional Use Permits for the property shall terminate. 9. Storage must be related to a tenant of the building. 10. Applicant must submit a landscaping plan, which includes tress along the northwest side of the property, prior to recording the Interim Use Permit. COMPREHENSIVE GUIDE PLAN AMENDMENT AND PLANNED DEVELOPMENT AMENDMENT — LOAN OAK DEVELOPMENT, LLC COMPREHENSIVE GUIDE PLAN AMENDMENT AND PLANNED DEVELOPMENT AMENDMENT — LAUKKA-BECK EAGAN PARTNERSHIP City Administrator Hedges introduced two proposed Comprehensive Guide Plan Amendments and Planned Development Amendments, of approximately 83 acres from Special Area/Office Service to Special Area/Medium Density Residential, located on Lots 1 and 2, Block 1, Silicon Graphics First Addition and Outlot D, Cray Second Addition, located in the East half of Section 1; and approximately 26.9 acres from Special Area/Office Service to Special Area/Medium Density Residential, located on Outlot N, Lone Oak in the NE 'A of Section lone being for 80 acres in northeast Eagan (Special Area 1) and the second for 27 acres located in the same area . City Planner Ridley gave a brief planning report stating that the proposed developments require a Comprehensive Guide Plan Amendment and a Planned Development Amendment. Peter Coyle, Larkin and Hoffman, and others, representing the applicants made a detailed presentation on their proposal for residential uses within the subject property area. The zoning and Comprehensive Guide Plan history for the site was discussed as well as existing conditions and use. Gary Tushie, Tushie Montgomery Architects, made a presentation regarding the proposed residential development of the property. He stated the primary design goal is to connect the residents to the natural environment. Roy Ferman representing the Metropolitan Airports Commission, provided information regarding the impact to the proposed residential uses of the parallel runways located at the Minnesota St. Paul Airport that are within 41/2 miles of the subject property. Heidi Hicock, Lone Oak Road, and Greg Miller of Interstate Partners spoke in favor of proposed development. Ai 3 Eagan City Council Meeting Minutes May 18, 2004 Page 8 ORpr Peter Coyle, on behalf of the applicant is withdrawing the Comprehensive Guide Plan amendment request, but is requesting the Planned Development Amendment and concept approval of their proposed development. Discussion was held between Councilmembers, staff and the applicants regarding the proposed mix use of the property, airport noise, and issues relating to the Inver Grove Heights border. A joint meeting with Inver Grove Heights was discussed and it was agreed that legal issues regarding the property have to be addressed. Mayor Geagan and Councilmembers suggested a 90 day extension for the review of the Planned Development Amendment. Peter Coyle, on behalf of the applicant stated they would agree to an extension. No action was taken on the item. ADMINISTRATIVE AGENDA It was noted that a Closed Session would be held to provide direction on collective bargaining as it relates to the Police Sergeants and Public Works and Park Maintenance employees. At 11:35 p.m. the Mayor declared a meeting of the Economic Development Authority. OTHER BUSINESS RESOLUTION TO APPROVE AMENDED AND RESTATED DEVELOPMENT AGREEMENT WITH GRAND OAKS LLC FOR THE REDEVELOPMENT OF PROPERTY FOR THE GRAND OAKS FIVE OFFICE PARK AND TO CONSIDER THE SALE OF CITY OWNED PROPERTY FOR THAT PURPOSE Councilmember Fields moved, Councilmember Carlson seconded a motion to adopt a Resolution To Approve Amended and Restated Development Agreement with Grand Oaks LLC for the Redevelopment of Property For The Grand Oaks Five Office Park and to Consider the Sale of City Owned Property for that Purpose. Aye: 5 Nay: 0 VISITORS TO BE HEARD There were no visitors who wished to be heard. ADJOURNMENT Councilmember Fields moved, Councilmember Tilley seconded a motion to adjourn the regular City Council meeting at 11:45 p.m. Date Deputy City Clerk If you need these minutes in an alternative form such as large print, Braille, audio tape, etc., please contact the City of Eagan, 3830 Pilot Knob Road, Eagan, MN 55122, (651) 675-5000, (TDD phone: (651) 454-8535). The City of Eagan is committed to the policy that all persons have equal access to its programs, services, activities, facilities and employment without regard to race, color, creed, religion, national origin, sex, disability, age, sexual orientation, marital status or status with regard to public assistance. a Vo2 SEVERSON, SHELDON, DOUGHERTY & MOLENDA, P.A. TO: Tom Hedges, City Administrator FROM: Michael G. Dougherty, City Attorney DATE: June 10, 2004 RE: Northeast Eagan At the request of the City Council, I am providing the following analysis of issues that involve Northeast Eagan and the applications submitted by Loan Oak Development, L.L.C. and Laukka- Beck Eagan Partnership. COMPREHENSIVE GUIDE PLAN AMENDMENT The first and foremost question to be decided by the City Council is whether the applicants' desired uses of the properties require an amendment to the City's Comprehensive Guide Plan. The answer to this question begins with a review of the state law regarding the City's Comprehensive Plan. Minn. Stat. §473.865, subd. 2, prohibits the city from adopting any official control which is in conflict with its Comprehensive Plan or which permits activity in conflict with Metropolitan Systems Plans. Official controls mean ordinances, which control the physical development of a city and include zoning ordinances (rezonings) and subdivision controls. Metropolitan System Plans mean the airports and transportation portions of the metropolitan development guide and the policy, plans and capital budgets for metropolitan wastewater service, transportation and regional recreational open space. I. Does the applicant's request require the City to adopt an official control which is in conflict with its Comprehensive Plan or which permits activity in conflict with Metropolitan Systems Plans? In order to determine whether the applicants' request for housing would cause a conflict with the Comprehensive Guide Plan, the Council needs to understand the degree to which the anticipated use of the applicants' property is addressed within the Comprehensive Guide Plan. The Comprehensive Guide Plan contains twelve sections, from the introductory policy statements to the final section discussing the implementation of the plan by the City. Each of the components within the Plan must be reviewed in light of the applicants' request. 3 y3 A. EXISTING COMPREHENSIVE GUIDE PLAN While there may be other portions of the plan that relate to the applications (e.g. wastewater services, transportation) the following sections address the applicants' properties. Section 3. Land Use Plan. The applicants' properties are denoted as being contained within Special Area 1 ("The Waters"). Within Special Area 1, the applicants' properties are designated as O/S, Office/Service. The zoning categories considered consistent with the O/S designation include: Agricultural (A), Limited Business (LB), Neighborhood Business (NB) and potentially Research and Development. The text of Special Area 1 notes that the vast majority of the land is proposed to be zoned Planned Development (PD) and developed with use as directed by the Laukka Beck and Cray Research Planned Development Agreements. Those Agreements call for a range of office -based activities (i.e. standard office, office showroom and research and development). Special Area 1 is ultimately expected to develop as Office, Office Showroom, Research and Development and Neighborhood Business uses. Existing residential uses are considered transitional. Additionally due to the area's proximity to the airport and the fact that single family uses are considered transitional, the Plan states that the City should discourage any additional residential development. Section 3 also includes an inventory identifying the existing and proposed land uses, the acreage contained within each use and the amount of vacant area available for each use. Under the heading of Vacant Land, there is a chart with respect to vacant and under utilized land identifying the type of land uses and corresponding acreage. It is further described that all land guided for residential development is anticipated to be developed by 2020, whereas approximately 65% of the land guided for commercial or industrial land is anticipated to be developed by 2020. The anticipated uses of the Applicants' properties are calculated into these charts and do not include residential. Section 7. Park and Recreation System Plans. The plan does not designate any parks in the northeast area of the City. The Park and Recreation Systems Plan does not make any provision for the impact or coordination of recreational activities with the applicants' properties. It can be assumed that the omission is due to the land use designation being Office Service. Section 8. Natural Resources. Within figure 8.2, a portion of the applicants' properties fall within the shoreland zoning district. Section 9. Housing Plan. The housing plan includes the demand and forecast for growth in the City in the years 2010 and 2020. The housing plan needs to be integrated with the land use plan in order to more accurately gauge the housing impacts upon the City. This plan was prepares on the basis that applicants' properties did not develop with residential uses. Assumingly, any residential use would affect the forecast of housing and its impact. 3 ' Y 9 Section 10. Economic Development. Figure 10.1 indicates that the City has an ample supply of vacant and underutilized land to accommodate Commercial/Industrial development for the next 20 years. The applicants' properties comprise almost 8% of the designated vacant land supply. It is noted that if development proceeds at the current growth rate, the City has about a 27 year supply of Commercial/Industrial land. This section also outlines policies to encourage commercial development in appropriately designated areas. B. EXISTING ZONING The Comprehensive Guide Plan is implemented through the City's official controls, such as zoning and subdivision. The applicants' properties are presently regulated by means of Planned Development Agreements. While the content of each planned development agreement is discussed below, it is important to address the effect of these documents. At the last Council meeting, Mr. Coyle, on behalf of the applicants, stated that the planned development agreements ought to mean something. I wholeheartedly agree with the comment and note that each party to the agreement should expect to receive the benefit of the contracts. As such, it should be noted that the uses identified as either a permitted use or a conditional use within the planned development agreements are consistent with the comprehensive guide plan. LAUKKA BECK PLANNED DEVELOPMENT The Laukka Beck Planned Development contains the following provisions: A. Paragraph 1 provides the Developer intends to develop the property in accordance with the general plans shown on the attached exhibits. B. Paragraph 2 sets forth Exhibits A through I, inclusive, which are attached and incorporated by reference and made a part of the Planned Development Agreement. i. Exhibit D, Land Use Plan, identifies the applicant's property as Office, Office/Showroom, Research and Development and Retail. ii. Exhibit G, Denisty Chart, is the same drawing as Exhibit D noted above, setting forth the developable square footage and acreage. These are traditional controls for development of commercial property. iii. Exhibit H, Construction Staging Plan. Applicant's property is identified as Phase 5, 6 or 7. Exhibit H notes that phases 5 through 7 are to be completed in the years 2005 to 2020. 39:c C. Under paragraph 3, the City approved the development as shown in the exhibits, provided, however, that insofar as exhibits may vary from the written terms of the Agreement, the written terms shall govern. D. Under paragraph 4, titled "Term of Planned Development," Developer represents that it intends to commence construction on the first phase of the development consisting of the Northwest Airlines site and to complete the development (Northwest Airlines) within ten years from the date hereof. The balance of the property intended for Office, Retail, Office/Showroom area shall be developed within ten years from February 19, 1985.1 E. In paragraph 5, under the heading of "Rezoning" it is noted that the City approves the rezoning to a planned development district and that the rezoning is supplemental to the former zoning of Regional Shopping Center Planned Development and Residential Multiple (R-4).2 It is also stated that any removal of the superimposed planned development district zoning or termination of this Agreement shall automatically result in the subject land being zoned Commercial Shopping Center (CSC). It is our opinion that the Laukka Beck Planned Development Agreement remains in full force and effect. This opinion is consistent with Mr. Coyle's representation to the City Council that the contract ought to mean something. Pursuant to the contract, the City is entitled to receive the benefit of the uses enumerated in Exhibit D, setting forth the uses as Office, Office Showroom, Research and Development and Retail. None of the enumerated uses allow for a residential use. To the extent that the uses set forth in Exhibit D may be removed, the parties have agreed that the use of the property would be Commercial Shopping Center (CSC). The City Code no longer provides for any residential use within the zoning district of Commercial Shopping Center. LOAN OAK Loan Oak Development has acquired an interest in 80 acres of land within the east half of the southeast quarter of Section 1 within the City. This property is governed by a planned development agreement entered into with Cray Research, Inc. While the document indicates that it was entered into in February of 1987, the contract is executed in June of 1992. I am unaware of the specifics of the reasoning behind the gap in the time references, however, my general recollection is that the City and Cray, when reviewing matters in connection with construction on the Cray campus, identified the oversight in not having a written planned development agreement and thus, proceeded to complete one in 1992. I do not believe that there is any legal significance in the date discrepancies. ' The Laukka Beck Planned Development covered approximately 460 acres of land. Successors in title and developers of vacant land contained within the Laukka Beck P.D. have, subsequent to February 19, 1995, along with the City, operated under the premise that the Laukka Beck P.D. remains in full force and effect. 2 At the time of the execution of the Laukka Beck P.D., there existed a strip of land along the southern edge of the applicant's property, designated as R-4, for Multiple Residential. This area represents approximately 40 % of the applicant's property. Additionally, the CSC zoning district allowed multiple residential as a conditional use, at the time of execution. CRAY RESEARCH PLANNED DEVELOPMENT The Cray Research Planned Development contains the following provisions: A. Under paragraph 2.1, Cray agreed that it would develop the property in compliance with the Eagan City Code and the terms and conditions contained within the Planned Development Contract. B. Within paragraph 3.2, there is a table listing the zoning uses that are allowed as permitted or conditional. No structure or land shall be used for any other use except for "uses deemed similar" by the City Council. The list does not contain any residential use. C. Paragraph 3.4 governs the lot area and width of platted lots and also regulates building and parking setbacks, floor area ratios, etc. The requirements are typical to commercial development (e.g. minimum 100 foot lot widths). D. In paragraph 3.7(A), it is stated that all uses and improvements shall reflect the natural capabilities and limitations of the property and the various structures, use areas, functions and elements of the property shall be consistent with the improvements constructed on Cray 2nd Addition. E. Under paragraph 3.8, it is noted that the Schedule of Development of the Property shall be prepared and submitted to the City at the time of initial development of the property. The Schedule will then be attached to the Agreement.3 F. The Agreement does not contain a stated Term. Until or unless there is a default as set forth under the Agreement, the Agreement remains in full force and effect. A default under the Planned Development Agreement is the failure to observe or perform any covenant, condition, obligation or agreement contained within the Agreement or in the City Code. The occurrence of an uncured default would allow the City to amend the Comprehensive Guide and/or change the zoning classification. To date, I am unaware of any action or inaction by the parties that would be classified as a default. It is our opinion that the Cray Research Planned Development Agreement remains in full force and effect. Pursuant to the contract, the City is entitled to the uses set forth in the agreement, consistent with the appearance of the Cray Campus buildings and developments. At the time of the creation of the Cray Research Planned Development Agreement, the underlying property was zoned for R-1, Single Family Residential development. Under Section 11.60, subd. C(16) of the City Code, if a planned development is not completed within the 3 Cray 2°d Addition lies to the west of the applicant's property and is the plat for the Cray campus. 3Y7 required time period, the planned development classification shall automatically terminate and the underlying zoning classification shall thereafter apply to the undeveloped area. As noted, there is no term in the Cray Planned Development and therefore the Agreement cannot expire. As such, the underlying zoning district would not become applicable by expiration or termination. CURRENT STATUS OF EXISTING PLANNED DEVELOPMENTS In our opinion, under the terms and conditions of the Planned Development Agreements, the uses identified in the existing agreements are consistent with the City's Comprehensive Guide Plan. C. PROPOSALS 1. LAUKKA BECK The applicant has submitted a concept plan showing residences throughout the 27 -acre site. The overall density of the proposal falls within the medium density land use designation under the Comprehensive Guide Plan. As discussed above, the Comprehensive Guide Land Use Plan designates the property as O/S, Office Service. The Planned Development Agreement designates the property for Office, Office Showroom, Research and Development and Retail. The Planned Development Agreement states that if terminated, the use of the property would convert to CSC, Community Shopping Center district. The CSC district does not permit a residential use. 2. LOAN OAK The applicant has submitted a concept plan showing residences throughout the 80 -acre site. The concept reveals a residential density consistent with the medium density land use designation under the City's Comprehensive Guide Plan. Currently, the property is designated O/S, Office Service under the Comprehensive Guide Land Use Plan. The Cray Research Planned Development sets forth specific land uses which does not include residential. While the property was zoned R-1, Single Family Residential, prior to the approval of the planned development district, the Agreement contains no stated term. SUMMARY In its review of the applicants' proposals, City staff determined that an amendment of the Planned Development Agreements to provide for residential uses would conflict with the City's Comprehensive Plan. However, the final determination of whether a proposal conflicts with the Comprehensive Plan lies with the City Council. Based upon its review of the salient facts, the Council needs to make a determination as to whether a conflict exists would require an amendment. To the extent that such decision has a rational basis, it would not be arbitrary or capricious. As a note, under Minn. Stat. §473.175, subd. 1, the Metropolitan Council may require the City to modify any comprehensive plan or part thereof which may have a substantial impact on or contain a substantial departure from the Metropolitan Systems Plans. I do not know if City staff or staff for the Metropolitan Council would determine that the applications represent a substantial departure from the systems plans. OTHER ISSUES II. To what extent does the Comprehensive Guide Plan control the Council's decision? A. SUBDIVISION AFTER PTL. In his presentation to the City Council, Peter Coyle stated that the Comprehensive Plan is not controlling and it is only a vision, not a regulatory statement. Mr. Coyle's position stems from a decision by the Minnesota Court of Appeals in the spring in 2003. In the case of PTL v. Chisago County, the County Board denied an applicant's preliminary plat application, though the proposal complied with the existing zoning designation and met the dimensional requirements of the County's subdivision ordinances. One of the reasons given for denying the subdivision application was that the proposal failed to implement the County's Comprehensive Plan. The Court found that the Board's finding was legally insufficient to reject the application. As part of its decision, the Court of Appeals stated that the County failed to recognize the unique advisory role of the Comprehensive Guide Plan and elevated it to the status of the zoning and subdivision ordinances, both of which have the force of law. First, the Court recognized that a majority of jurisdictions treat comprehensive plans as advisory, notwithstanding ordinance provisions such as Chisago County's that require the subdivision of land to be consistent with or in accordance with the Comprehensive Plan. Secondly, the Court stated that elevating the Comprehensive Plan to the level of zoning and subdivision ordinances ignores the stated purpose of the plan, which is merely to guide the Board in setting the zoning standards. It is the standards implicit in the zoning and subdivision ordinances that govern the decision making when reviewing a specific proposal. Finally, the Court stated that even if the Comprehensive Plan had the force of law, the provisions are "intended to be general in nature and are thus, legally insufficient as a basis for denying an application for preliminary plat approval." In PTL, the Court held that because the County's zoning and subdivision ordinances implement the Comprehensive Guide Plan, a preliminary plat that conforms with the requirements of zoning and subdivision ordinances conforms, by definition, with the Comprehensive Guide Plan. The Court stated that it was mindful of the demands of land use management and noted that the County may consider aesthetics, historical uses of the land, and the public costs of providing services for given land uses, provided these considerations are reflected with sufficient specificity in the land use ordinances. B. ZONING AFTER PTL. It is our opinion that the Court's decision in PTL is based upon the review of an application for a permissible use. Essentially, the Court determined that the City had designated a specific use as permissible and had already exercised its discretion and determined that such use is consistent with the goals of its Comprehensive Plan. PTL's subdivision application met the criteria set forth in the County's zoning and subdivision ordinances. Having already set forth the controls deemed necessary to implement the Comprehensive Plan, the Court was reluctant to allow the Comprehensive Plan to be the basis for the denial of an application that met those ordinances. In contrast, the courts have historically held that a City's decision to amend a zoning ordinance is a legislative decision and must be upheld unless the challengers prove that the classification is not supported by any rational basis related to promoting the public health, safety and welfare. A city's denial of a rezoning request will not be arbitrary when at least one of its given reasons for the denial satisfies the rational basis test. As recently as 1997, the Court of Appeals reviewed a case in which the developers argued that mere inconsistency with a comprehensive plan is an insufficient basis for denial. The court, in rejecting the developer's agreement, stated that Minnesota courts have decided this issue more than once and that the Supreme Court has held that when a municipality refuses to rezone because it would be inconsistent with its comprehensive land use plan, that action does not "without evidence to the contrary, constitute arbitrary or capricious action on the part of the village council." Several times since the Supreme Court's statement, it has upheld decisions fording that the inconsistency with the comprehensive plan as being legally sufficient reason for denial. It is our opinion that to the extent an applicant seeks to change the existing zoning regulation of its property, i.e. rezoning, the consistency with the comprehensive guide may provide for the primary reason of denial. Each council decision, with respect to a rezoning in light of the comprehensive plan, should not be conclusary statements, but should set forth the stated factual reasons for its action. Section 11.60, subd. 18, of the City Code governs planned development districts. Section 18(C)(15)(B) provides that development of land for which a planned development has been approved which does not conform to the approved final plan, shall only be allowed after an amendment to the approved final plan by the City Council in the same manner as required for approval of a planned development. Section 18(C)(4), requires that planned developments shall be processed by the City in the same manner in which rezoning petitions are processed. As noted in the introductory material, the planned development agreements governing the Laukka Beck and Cray Research property do not enumerate residential uses as a use for which the parties have contracted. Therefore, the proposed development would not conform to the approved uses and thus, requires an amendment to 3 SU the planned development agreement. Under Section 18(C)(14), one of the standards and criteria to be evaluated by the City in acting upon a planned development request is the consistency of the proposed plan development with the Comprehensive Guide Plan. APPLICANTS' CONCEPT The concept for the development of applicants' properties involves a mixture of housing types in the range of medium density under the City's Comprehensive Plan. The applicants' argument for approval by solely amending the planned developments rests on the historical reference that some of the property had previously been zoned residential. Of these historical uses, the CSC district does not permit residential housing; the R-4 district only permits apartment buildings with four or more units and the R-1 district only allows single-family attached dwellings. Under the applicants' proposal there is a limited amount of single-family homes located within the Loan Oak Proposal, the balance of the residential component is inconsistent with the historical context of residential uses of any housing on the properties. ISSUE OF AIRPORT NOISE EASEMENT Mr. Coyle, on behalf of the applicants, raised a concern about a regulatory taking in relation to the City unlawfully imposing airport noise easements on his clients' property. I am unaware of the context in which this item was raised. I do not know of any instance in which the City is requiring the property owners to grant easements or to whom such easements are expected to be granted. OPINION It is our opinion that it is possible for the City Council to use the Comprehensive Guide to control the development of Applicants' properties. The extent to which the Council applies the elements of the Comprehensive Plan and the weight it gives to such elements are wholly within the Council's discretion. As stated earlier, the determination of the need for a Comprehensive Plan Amendment is a policy decision to be made by the Council in light of the applicants' proposals. The determination of whether to grant a rezoning request is a legislative decision and will be upheld unless there is evidence that the City's action was arbitrary. MGD/jlt 3 si SEVERSON, SHELDON, DOUGHERTY & MOLENDA, P.A. TO: Tom Hedges, City Administrator FROM: Michael G. Dougherty, City Attorney DATE: June 10, 2004 RE: Loan Oak — Laukka Beck Our File Nos. 22183 and 22184 Pursuant to your request, the following is an attempt to outline the future actions needed by the City Council. To assist in this effort, I have attached a schematic as a reference to the discussion below. 1. While Mr. Coyle withdrew the applications for amendments to the Comprehensive Guide Plan on behalf of his clients, the issue of the need for a Comprehensive Plan Amendment still rests with the Council. As noted in my attached memo, state law prohibits the City from rezoning in conflict with the Comprehensive Plan. Whether the Applicants' proposals conflict with the Comprehensive Plan, and therefore whether the Comprehensive Plan needs to be amended before considering rezoning the property, is a policy issue to be decided by the City Council. The question of whether a conflict exists can be decided by the Council at its meeting of June 15, 2004, but it should be decided prior to any action on the Applicants' requests regarding the zoning or development of the sites. The answer is determined by three votes of the Council. The Council should state its reasons for the decision. 2. If the Council determines that an amendment is necessary, the Council must then act upon the question of whether it seeks to amend the Comprehensive Guide Plan. If the Council desires to amend the Comprehensive Plan, it should address the extent to which it finds housing on the subject properties to be acceptable for consideration. The Council should address both the scope and type of housing and whether there would be any conditions on such consideration. The original application submitted by the Applicants' proposed an impact similar to a medium density designation within the Comprehensive Plan. Is the Council comfortable with such designation or are there any conditions, standards or limitations the Council wishes to pursue as part of its Comprehensive Plan amendment? If the Council finds that housing would only be 35 a appropriate within certain limitations or to a certain extent, what other uses would the Council wish to pursue as a part of a Comprehensive Plan amendment? This action can take place at the Council's meeting of June 15, 2004, but should occur prior to any action on the Applicants' requests. It takes four votes of the Council to amend the Comprehensive Plan. 3. (A) If the Council is favorable to amending the Comprehensive Plan it should direct staff to forward the proposed amendment to the Metropolitan Council. This action should occur prior to any Council action on the Applicants' requests. (B) Following the above noted action, the Council should set forth the parameters or elements the Council desires to pursue with respect to the City's interest in having housing as part of the Comprehensive Plan designation for the properties. 4. After the Metropolitan Council acts upon the amendment to the Comprehensive Plan, the City would then take action on the formal adoption of the amendment to the Plan and thereafter discuss the Applicants' Concept Plan. The Council should identify any parameters or elements that the Council desires to have within the Planned Development similar to those noted in #2 above and direct staff to work with the Applicants to incorporate such expectations into a Planned Development Amendment proposal. 5. If the Council fails to approve an amendment to the Comprehensive Plan, it should state its reasons for the denial and direct staff to prepare findings of fact for denial which findings should include the Council's resolution to deny each of the Applicants' applications submitted to the City. 6. Following the preparation of the findings, the Council would then adopt the resolution for denial of the Comprehensive Plan amendment, the P.D. Concept as well as any P.D. amendment. 7. If the Council determines that a Comprehensive Plan amendment is unnecessary, it should state its reasons for the decision. Following the determination, the Council should identify any parameters or elements that the Council desires to have within the Planned Development similar to those noted in #2 above and direct staff to work with the Applicants to incorporate such expectations into a Planned Development Amendment proposal. 8. Following the Council's direction to staff and the Applicant, the Council would, at a later date, address the generalities of the P.D. Concept, noting the extent to which the Concept meets its expectations. However, the Council should clearly note that it is not acting on the Planned Development itself, and that an EAW is necessary prior to any formal action on the Applicants' requests. MGD/j it L.3S3 feed Comprehensive P1 Amendment' 35Y 952-896-3214 E 0 u c E W 0 a) c 4u__ro c .> 1— .c . O V i 1-5, vi4_, a) O (1) 0- C Om CU Q. . U -6.) O • —- N O -C v ca D CL cn C a U ui C 4- O > •O O O -' C U ca a""'ro o = 0 4) a. O O• — N T3 ▪ L i 611) o_ a) ID E .4.) (f) c > i_. o 1-1 = O Q U O 0 m 0 35--g . Airport Noise II MEM= . Whether to a 35% (0 (0 L ca. Q _ E) (a rcl V . 2-= (0 = (0 ip . - L0.. cD W ,d.. - V O = 00 a) c ieL .J ro p co co izuJ J 0 3..c8**- INANNES (f) V 4) V L ro °C- .0,0- •� L V O •c E t5. O mial Lc cn F—mfn 4J L ca = C9 E-- ,359 g),.., z 1,51 ig a) O v) (in 4) O ■ > V = (o — V ■_ c = c 0) O .1-.) c U Li. a) c -1(D) 2 0) E 0 N Z ca :1") < (13 - O G L Lrac0) cu 0 = (i) Oi (a_� C 0. i°- = 1) a)E = cm > E 0 • a) — 0 s-- . V V) lio -iJ �_eL cL E 0 Z Q 360 V1 ■ L O 0 N V _ fo co i cu (3.) c L) p rEs .(1)c ail75 _fts. E eL >' 4� fa to Q. OiEL O c = uDe 36/ V C O U � has discretion to authori use as part of PD S. (l) 4. O .O aJ XG (0 4J L • 4) c (n 4) -0 4) c V ' 4- O ca Q) 4— L aJ V 4) cp 01 O T. (2 C9. Cn O O4) V V -0 W O 3L c a) ro In a. ca E E O O U U 0 4) •,-, (f) O 4) CI. C O i V O C V O y-= C = .F3 Q) szu 0 to 30 a) • • . u 73 c E a) to O U O O Z -c (70 U = 0 0 Com!) -1-) a_ Q" 4) >. E f"‘V � O Om C > 0 a) (I) c 2 2 ro 0 •> ic, cm L) >.cL� c0 o,,,, y- 0 0 O 0 0 Q .= a--' C O 4- (f)O -I-' O cn (I) Et' ca 2 E -o ca O .O 0 L) c c c a) a) i V _ Q °- >Ez Q 0 m 0 m c 73 _c ._ W () c ca O ca ._ _cco V O C a) _C 1`1-- C -1-1 Ln to Ca ca tn ro a.E"a2 O .O U .�.� ca V " a --J ca 4— -i -J Q .1.- KE V c . _ O . ca 4� (n ..0 .(I) E mr1 it '-I-'�4.) > ti O lzj49 ca 70 E .---. E .-). a = r > O L O ca a.2a)2 O O . a) a) a) -i-J= 0 0 ca �S W (1) O •- = (1) c 0 .(0C;; -10 caroO .5 .0 CL rcs 0 a) i iv) ca V 73 O V a3 cps. .<c cuv) .R aj ra c c - E 4) O c3 4J a) c1 (0 _ > Z% (I) ( ) I) 0 5 aJ :- > oi E O i a) • ~' = ( U 366 W W c E m>,% o V 4) c -0 ._ c O ti) O >%> a 4) co E o_ O ca 4) J -0 E 0 N a) (1) 0 a) V 4) (1) 0 � Q a) O > c 0_ ca fa. 0c173 4J O C J = 36 7 0 C v) o -t .% o o ..(n r 4) L Q O L s- a_ cn c a) . (i)c la Z% L) Ca 4) O -� ` - -5, L 0) . — ca O >, c ro cp .fts = o L .' 4_,_ 4.- il o O L .1-) = o , C co CU co 0 V = E 4-ju)4) O O Qom) 0)u z z U u . . 'o z c O sz--; ro cn :7E-2 E _c :i--) a) ow residentia Q ro :I-) W O 0 c O ii----; co cn .:1111E (f)E c O V >i% -o 1p IP_ m m V 4- 4- 4) O c 1 L O 4-•c O U a) v)O z N O O N 30 W tn of residentia 0 Cannot discriminate ^o W cm_ W W V � 4-- r Pim!0 tj 4..) _ c O a� cn U O L... a) O a) _in i -c o_ u -o . ,, C) i.12 ' Z' L = c .a) = = -. 0. = a) a� U cu ra q) o.- a; O ci. u (ri- ion over 5 years ?o 4) cn > Q) (I) x o_ 1-8 cn u V O '05 E >. -0 -0 c O = = V (f) () 4) :0� fp O U U cn = c m2 .0 o • eL sp . 4...) co E =O N O V 1 ' 111 - _CD L. L c V r .0 . _ 4) - 4—) (1) - . _ 4) E co rz O 4> >• o0 c 2 -Lpi- D U .37i . CSM - 42.5 acres . Eirrthum Trust - 24 acres 3 ?c) . DR Horton plan 323 Benefits to the City of Eagan Findings in Support of Resolution for Lone Oak Mixed Use Development 1. Project Meets Community Goals (a) Meets housing needs for largest forecasted population growth 50-64 at 48% increase, 65-74 at 32% and 14-24 at 28%. (Source: City of Eagan Comprehensive Plan 2/22/01) (b) Residential minimizes traffic impacts. Current zoning generates 8,700 total daily trips. Proposed project generates 4,300 total daily trips. (c) Project incorporates natural features, architectural standards, and uniform design elements presenting a positive and attractive community focal point. (d) Project links pedestrian areas within the community. (e) Locates workers near employment opportunities. (f) Provides for green space of 68.93 acres or 62% of the site. 2. Economic Benefits (a) Tax Revenue Impacts i. New market Value of $241,750,000 ii. New Net Annual Local Taxes $2,502,302 (full build out) iii. Net New Annual City Taxes $771,597 iv. Generates $9,637,815 in new net local taxes over a 5 -year term (b) Best Cash Flow Scenario — 5 year total — fiscal disparities included: 1 Loan Oak LLC -- $9,637,815 in net new local taxes 2. R&D -- $9,244,730 3. Office Warehouse -- $1,524,123 (c) If left in current zoning, most likely to fall in between R&B and Office Warehouse. Example: 700,000 square feet of development = $ 1,627,600 Net New Taxes = $49,000,000 New MV Comparable to 480,000 sq. ft. Ecolab, 264,000 sq.ft. Northwest Airlines, 279,000 sq. ft. NATCO training facility. 3. Airport Noise Can Be Managed (a) Met Council policy allows residential use with sound attenuation. L.37 (b) 2007 Noise Contour excludes Lone Oak Development area. (c) Housing allowed with new Cedar Grove project. (d) City has no regulating authority to impose MAC/Met Council noise standards. 4. Land Supply (a) Not taking the last of the developable commercial property. "Eagan has an ample supply of vacant commercial -industrial land and the existing infrastructure is generally adequate to handle forecast growth." (Source: City of Eagan Comprehensive Plan 2002) (b) (c) City data shows 120 acres in immediate vicinity of Waters Area. R&D projection does not account for market conditions. • For the past twenty (20) years the site has been zoned for this particular use and development has not occurred. • In the last five years, Dakota County has had one research and development facility constructed and it has been converted to offices. (Source: Gloria Pinke, Dakota County Assessing Services) • The five-year absorption rate for the East Bloomington and South of River Region has been 1,001,613 square feet annually, according to 2003 NAIOP Annual Office Market Update. • The site would be competing with other locations in the market that are ready to be developed and have better access. • A project with 3.8 million feet would be heavily sought and the likelihood that it would be in a tax increment district for at least 8 years is high. If Eagan does not offer TIF, other municipalities would for this type of project. • Large corporate projects, such as Best Buy and Medtronic, have required substantial financial assistance. • Best Buy is 2.5 million square feet and is currently 25% vacant. (d) City ignored its policies when establishing Central Park. 942262.1 3 7s ..- -_ - ... Larkin Hoffman ATTORNEYS May 24, 2004 Michael Dougherty, Esq. Severson, Sheldon, Dougherty & Molenda, P.A. 7300 West 147th Street Apple Valley, Minnesota 55124 • Re: Loan Oak Development, LLC Laukka-Beck Eagan Partnership Dear Mike: Larkin Hoffman Daly & Lindgren Ltd. 1500 Wells Fargo Plaza 7900 Xerxes Avenue South Minneapolis, Minnesota 55431-1194 GENERAL: 952-835-3800 FAX: 952-896-1 WEB: R'WW.kar We appreciate the willingness of the Eagan City Council to consider amending the existing Planned Development Agreements relating, respectively, to the so-called Laukka-Beck Planned Development Area and Cray Research Planned Development Area in order to allow housing as a defined use. I am writing to reiterate the support for this approach, on behalf of Laukka-Beck Eagan Partnership and Loan Oak Development, LLC. Loan Oak Development and Laukka-Beck are, respectively, proposing to add "residential" to the category of uses allowed within the existing PD Agreements governing their respective land interests. Specifically, Laukka-Beck retains an interest in a 26.9 acre parcel in the northeast comer of the Laukka-Beck Planned Development Area. Loan Oak Development is the successor in interest to the Cray Research PD Agreement and has an interest in approximately 83 acres on the eastern edge of the City, east of the former Cray Research headquarters building and directly north of Lone Oak Road. Neither of these parcels has been the subject of use -specific development applications. We agree with your March 23, 2004 characterization that the City's Comprehensive Plan is "advisory". We also agree with your characterization of the Planned Development District as a flexible zoning category, tied to written contract obligations, pursuant to the City's Zoning Ordinance. See generally memorandum from Dougherty to Hohenstein, March 23, 2004. Discussion The City's Planned Development Ordinance ("the PD Ordinance") does not enumerate permitted or conditionally permitted uses. Instead, the City's PD Ordinance allows a developer to propose a flexible land use plan, subject to negotiation and ultimate approval by the City Council. Under the City's PD Ordinance, a Planned Development is intended to: • Provide greater flexibility in environmental design and relaxation of strict zoning standards in exchange for greater creativity and environmental sensitivity. 32,4 Michael Dougherty, Esq. May 24, 2004 Page 2 • Recognize the economic and cultural advantages that will accrue to the residents of a planned community. • Encourage a more creative and efficient use of land. • Encourage the preservation and enhancement of desirable site characteristics, natural features, andopen space. • Encourage a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. Zoning Ordinance, § 11.60, Subd. 18, A. (1-5). The respective Laukka-Beck and Loan Oak proposals must be evaluated based on the existing PD Agreements and the City's PD Ordinance factors: The consistency of the proposed Planned Development with the adopted or proposed Comprehensive Guide Plan of the City. The City's Special Area Comprehensive Plan designation does not, by itself, address land uses. The Waters Plan seeks to encourage the development of office and office/showroom uses, along with other commercial uses, in the 640 -acre Waters Area. The Waters Plan is not a regulatory tool, in the manner of a Zoning Ordinance. Compliance with the Waters Plan is identified as only one factor for the City Council to consider, among many factors. In any event, the City's PD Ordinance expressly recognizes that the underlying residential zoning remains in place. The Waters Plan seeks to promote development that presents an attractive image of the City and development which will retain the natural features of the area, including wetlands and mature vegetation. The proposed residential development at the Site will establish an attractive image at an important entrance to the City, while protecting substantial natural terrain of the Site. Approximately 62 percent (62%) of the total Site area will be preserved as greenspace (69 acres); of this amount, about 45 acres will be dedicated park land, along with protected wetlands. The Met Council has cited the preservation of open space and recreation areas as increasingly important and policy considerations. The Site is directly adjacent to the border of the City of Inver Grove Heights. Inver Grove Heights guides adjacent property along Argenta Trail for residential development. High-quality low and medium density residential use of the Site will create an appropriate and desirable transition of uses between the two cities in this area. The Waters Plan encourages new development in the Waters Area to incorporate sound attenuating construction techniques. While the Metropolitan Airports Commission's proposed 2007 noise contours favorably affect the Site and project reduced noise impacts, the applicants 377 Michael Dougherty, Esq. May 24, 2004 Page 3 will incorporate noise mitigation construction techniques into its building plans as recommended by Met Council policy, in accordance with the 1996 noise contours. The Loan Oak project proposes new condominium offices and a full-service transit hub, with retail services. Transit services are specifically oriented to the Waters Area and the project proponents are anxious to cooperate with the Met Council in developing a more focused transit delivery point, while also integrating the proposed residential with existing commercial in the area. The extent to which the proposed Planned Development is designed to form a desirable and unified environment within its own boundaries in terms of relationship of structures, patterns of circulation, visual character and sufficiency of drainage and utilities. The respective Loan Oak and Laukka-Beck projects will include both single-family detached, townhome, condominium and senior housing at low to medium densities. Commercial condominium suites and a full-service transit hub with retail services are proposed as well. The overall project will be designed in accordance with City standards, to ensure high quality finish, protection of natural features and minimal offsite impacts. All aspects of the Project will be subject to City approvals and association management standards and requirements. The extent to which the proposed uses will be compatible with present and planned uses in the surrounding area. Residential and office commercial uses currently exist in the surrounding area. The project area is adjacent to land guided for residential in the City of Inver Grove Heights. Commercial property owners do not object to the proposed project. Residential customers place a premium on maintenance -free living, coupled with the goal of minimizing freeway commutes. The City's Cedarvale Plan is a recent example of the type of integration envisioned by Loan Oak and Laukka-Beck. Other examples include the redevelopment of the Control Data Campus in Bloomington and the Centennial Lakes Campus in Edina. That any exceptions to the City Zoning Ordinance are justified by the design or the development. The PD Ordinance does not, itself, establish specific uses within a Planned Development. The proposed residential uses are consistent with the provisions of the existing PD Agreements based on underlying residential zoning. In any event, approval of residential uses are within the discretion of the City Council, based on consideration of all relevant factors. The sufficiency of each Planned Development phase's size, composition, and arrangement in order that its construction and operation is feasible without dependence upon any subsequent phase. The proposed developments will be subject to specific City Council authorization in an amended PD Agreement. Design, phasing and densities will be within accepted City standards. The burden or impact created by the Planned Development on parks, schools, streets, and other public facilities and utilities. Laukka-Beck and Loan Oak Development will finance the cost of public utility, ponding and 78' Michael Dougherty, Esq. May 24, 2004 Page 4 street improvements relating to their proposed uses. Offsite impacts will be minimal or non- existent, as acknowledged by City staff. The impact of the Planned Development on environmental quality and on the reasonable enjoyment of the surrounding property. The Waters Plan seeks to promote development that presents an attractive image of the City and development which will retain the natural features of the area, including wetlands and mature vegetation. The proposed residential development at the Site will establish an attractive image at an important entrance to the City, while protecting substantial natural terrain of the Site. Approximately 62 percent (62%) of the total Site area will be preserved as greenspace (69 acres); of this amount, about 45 acres will be dedicated park land, along with protected wetlands. The Met Council has cited the preservation of open space and recreation areas as increasingly important and policy considerations. The surrounding environment consists of office and residential uses which will not be affected by the proposed development. Surrounding commercial users do not object to the proposed developments. Legal Analysis Under Minnesota law, metropolitan communities, such as Eagan, are required to enact both a Comprehensive Plan and regulatory controls, ie zoning and subdivision regulations. See generally Minn. Stat. 462.357, subd. 1 and 473.864, subd. 1. Minnesota law requires cities in the metropolitan area to zone land in conformity with their approved Comprehensive Plans. Minn. Stat. § 473.858, subd. 1. Notwithstanding the statutory directives, it is well established that the Comprehensive Plan remains "advisory" with "objectives, policies, standards and programs to guide public and private land use...." Minn. Stat. 473.859, subd. 1. Regulatory enforcement derives from the City's "official controls", which include the Zoning and Subdivision Ordinances. See PTL, LLC v. Chisago County Board of Commissioners, 656 N.W.2d 567 (Minn. App. 2003). The Minnesota Court of Appeals recently held that a County's Comprehensive Plan was merely an advisory device and did not, by itself, provide a substantive basis to deny a land use application which otherwise met the requirements of the County's official controls. PTL, LLC v. Chisago County Board of Commissioners, Id. The City's PD Ordinance cites compliance with the Comprehensive Plan as one of several factors to be considered in deciding whether to approve a specific Planned Development request. Even if one were to argue that the Comprehensive Plan explicitly opposes residential development in the so-called Waters Area, there are numerous other factors identified in the City's Planned Development Ordinance which allow the proposed Laukka-Beck and Loan Oak development applications to move forward as PD amendments. Given this fact, it would be improper to rely on the City's Comprehensive Plan to deny, respectively, the Laukka-Beck and Loan Oak requests. See Amoco Oil Co. v. City of Minneapolis, 395 N.W.2d 115 (Minn. App. 1986). 37°/ Michael Dougherty, Esq. May 24, 2004 Page 5 The City's obligations are satisfied by the existing Laukka-Beck and Cray Research PD Agreements, which were adopted in conformance with the City's Comprehensive Plan and without amending the underlying residential zoning. Laukka-Beck and Loan Oak do not propose to change the existing Comp Plan designation or PD zoning affecting their parcels. Instead, the applicable PD Agreements and City's PD Ordinance give the City broad discretion to approve acceptable uses in a PD Zoning District, subject to compliance with the referenced PD standards. Given the plain language of the City's PD Ordinance, amendment of the existing Laukka-Beck and Cray PD Agreements would, in our opinion, be within the City Council's discretion and supported by law and fact. Thank you for considering this information. y, Peter J. Coyle, for Larkin Hoffman Daly & Lindgren Ltd. Direct Dial: (952) 896-3214 Direct Fax: (952) 896-3265 Email: pcoyle@larkinhoffman.com Cc: Loan Oak Development, LLC Laukka-Beck Eagan Partnership 943337.1 38a LARRY S. SEVERSON MICHAEL G. DOUGHERTY* MICHAEL E. MOLENDA$ LOREN M. SOLFEST*$ SHARON K. HILLS DAVID L. KNUTSON ROBERT B. BAUER* CHRISTOPHER A. GROVE TERRENCE A. MERRITT$ March 31, 2004 SEVERSON, SHELDON, DOUGHERTY & MOLENDA, P.A. A PROFESSIONAL ASSOCIATION ATTORNEYS AT LAW SUITE 600 7300 WEST 147TH STREET APPLE VALLEY, MINNESOTA 55124-7580 (952) 432-3136 TELEFAX NUMBER (952) 432-3780 www.seversonsheldon.com Peter Coyle, Esq. Larkin, Hoffman, Daly & Lindgren, Ltd. 1509'Wells Fargo Plaza 79./0 Xerxes Avenue South ifinneapolis, Minnesota 55431 Re: Loan Oak Development, L.L.C. Mixed Use Development Our File No. 206-22183 Dear Mr. Coyle: ANNETTE M. MARGARIT STEPHEN A. LING GARY L. HUUSKO KRISTINE K. NOGOSEK CHRISTINE J. CASSELLIUS$ MICHAEL D. KLEMM$ EMILY FOX WILLIAMS BRANDON D. DERRY OF COUNSEL JAMES F. SHELDON We write on behalf of the City of Eagan to notify you that the City of Eagan extends the time limit established by Minn. Stat. §15.99 for completing processing of Loan Oak Development, L.L.C.'s applications for a Comprehensive Guide Plan Amendment and a Planned Development Amendment from 60 to 120 days. This extension results from analysis of the need for an EAW with respect to the City's process. Though it is our opinion that Minn. Stat. §15.99 does not apply to the Comprehensive Guide Plan Amendment, the extension is applicable to the application for the Comprehensive Guide Plan Amendment as well as the application for the Planned Development Amendment. Please also note, it is our opinion that the City is prohibited from approving the application for the Planned Development Amendment until such time as the EAW has been acted upon. Without a written request from your client to further extend the deadline for the City's action and absent the completion of an EAW prior to June 15, 2004, the Council will have the sole option of denying the Planned Development Amendment. Notwithstanding the extension as noted herein, the applications will be considered by the Eagan Advisory Planning Commission at a public hearing on April 27, 2004. If you have any questions regarding this procedure, please give me a call. Corcjt • Ily, , chael G. Dsugh GD/jlt Tom He. ges, Ci i Administrator Jon Hohenstein, Community Development Director f ---M ke Ridley, City Planner cc: 38/ INDIVIDUAL ATTORNEYS ALSO LICENSED IN IOWA AND WISCONSIN $QUALIFIED NEUTRAL UNDER RULE 114 OF THE MINNESOTA GENERAL RULES OF PRACTICE *CERTIFIED REAL PROPERTY LAW SPECIALIST, MSBA JUN.1012004 16:55 952 432 3780 SEVERSON SHELDCN DOUGHERTY #4891 P.002/002 Larkin Haan ATT01tNITS May 28, 2004 Michael. G. Dougherty Severson, Sheldon, Dougherty & Molenda, P.A. 7300 West 147th Street, Suite 600 Apple Valley, Minnesota 55124-3136 Re: Loan Oak Development, LLC Laukka-Beck Eagan Partnership Dear Mike: Larkin Hoffman Daly & Lindgren Ltd. 1500 Wells Fargo Plaza 7900 Xerxes Avenue South Minneapolis, Minnesota 55431-1194 GENERAL: 952-835-3800 c&x: 952.896-3333 wEn: www.larkinhoffinan.com Loan Oak Development, LLC and Laukka-Beck Eagan Partnership agree to grant the City of Eagan a 60 -day extension of time under Minn. Stat. § 15.99, subd. 2, for further processing of any pending g application. We understand that you will be evaluating for the City Council the manner in which to process a suitable PD amendment to allow housing on, respectively, the Laukka- Beck and Loan Oak sites. We expect this item will be back on the City Council's agenda at its meeting of June 15, 2004. Please call me if you have any questions. Peter J. Coyle, for Larkin Hoffman Daly & Lindgren Ltd. Direct Dial: (952) 896-3214 Direct Fax: (952) 896-3265 Email: pcovlena.larkinhoffmaitcom cc: Loan Oak Development, LLC Laukka-Beck Eagan Partnership 942605.1 3d-2 MAY.28'2004 14;46 952 432 3180 bt,VtktbON Jr1ri 1JVN 1JVUVrlLL4. 1 ttYftv7 Larkin Hoffman ATTORNEYS May 27, 2004 Michael Dougherty, Esq. Severson, Sheldon, Dougherty & Mol.enda, P.A. 7300 West 147th Street Apple Valley, Minnesota 55124 Re: Loan Oak Development, LLC Laukka-Beck Eagan Partnership Dear Mike: Larkin Hoffman Daly & Lindgren Ltd 1500 Wells Fargo Plaza 7900 XereLs Avenue South Minneapolis, Minnesota 55431.1194 GENERAL: 952-835-3800 FAA; 952-896-3333 WEE: WWW.13rkin})Offiflan.com I am writing on behalf of Laukka-Beck Eagan Partnership and Loan Oak Development, LLC to confirm that they have withdrawn their respective applications seeking to amend the City of Eagan's Comprehensive Plan relating to Special Area 1 (the so-called Waters Area). This action is consistent with our stated view that the City Council can amend the existing Laukka-Beck and Cray Research PD Agreements, respectively, without a Comp Plan change. We further understand that on June 15, 2004, the City Council will resume consideration of the pending concept PD application relating to the Laukka-Beck/Loan Oak proposals for amendment of the aforementioned PD Agreements. Larkin Hoffman Daly & Lindgren Ltd. Direct Dial: (952) S96-3214 Direct Fax: (952) 896-3265 Email: pcoyle®Iarkinhoffman.com Cc: Loan Oak Development, LLC Laukka-Beck Eagan Partnership 944002.1 3 83 Jon Hohenstein From: Mira McGarvey Sent: Thursday, June 10, 2004 3:48 PM To: 'Margaret.Jensen@securian.com' Subject: RE: Argenta Trail rezoning request Your message has been forwarded to the Mayor and City Council as well as the Community Development Director. Thank you for your comments. Original Message From: Margaret.Jensen@securian.com [mailto:Margaret.Jensen@securian.com] Sent: Thursday, June 10, 2004 3:43 PM To: City Council Subject: Argenta Trail rezoning request Dear Eagan city council members: I read with alarm in the June 4 edition of the The Business Journal, remarks made by an advocate for developers who want to construct 660 housing units north of Lone Oak Road near Argenta Trail. The location is about four miles from the Minneapolis -St. Paul International Airport, directly under the landing approach. The article quoted Greg Miller of Interstate Partners, which built the Grand Oak Business Park near the proposed residential site. Miller reportedly said, "Let the market dictate where the noise level is going to be. Let potential residents stand out there before they buy their house and determine if it's too noisy or not." Later in the article he was quoted as saying, "...look at what they're doing in south Minneapolis. Do they buy there despite the noise? Yes." I'm sure you see the flaws in these arguments. Potential homeowners are not always at their most rational when looking at home sites. And, despite the magnitude of the investment, they don't always do adequate research before committing to a purchase. There are numberless examples of people who buy homes with problems, regret their purchases, and look for compensation for the property's deficiencies. We all shake our heads at news of homeowners who actually buy into NIMBY situations, but it happens every day in Minnesota. So Mr. Miller's contention that buyers can determine how much noise they can stand is not an appropriate standard for re -zoning this parcel. Using south Minneapolis as an example of an area where people are willing to live with airport noise also is a flawed argument. How many millions of dollars have the airport commission, the FAA, the airlines, and the cities of Minneapolis and Richfield paid for noise abatement programs in that area? Yes, expensive construction techniques may help reduce noise inside houses, but it's not reasonable to assume homeowners will not occasionally venture out onto their decks or into their yards and be bothered by the roar of a 747 a few hundred yards above their heads. In the evenings as I drive down 35E from downtown St. Paul, I look to the east and see the lights of dozens of planes lined up to land at MSP. I love watching them approach and am thrilled when I time my commute so that I'm right under a big plane when it crosses the interstate. I doubt I'd have the same positive feelings if my house was located on Argenta trail where I'd hear and see -- close up -- huge jets land every five minutes, all day, every day. 3,87L Learn from Minneapolis and Richfields' experience and retain the commercial zoning for the parcel on Argenta Trail. If these developers are allowed to build homes there, the city undoubtedly will have to pay to mitigate the noise problems that surely will arise. Thank you for your consideration, Maggie Jensen 1579 Mallard drive Eagan MN 55122 Agenda Information Memo June 15, 2004, Eagan City Council Meeting G. PLANNED DEVELOPMENT AMENDMENT — DIEDRICH BUILDERS ACTIONS TO BE CONSIDERED: To approve (OR direct findings of fact for denial) a Planned Development Amendment to increase the berm along Diffley Road by two feet for Eagan Townhomes 3rd Addition; subject to the conditions in the Advisory Planning Commission minutes. To approve (OR direct findings of fact for denial) a Planned Development Amendment to increase the porch size for Lots 5,9,10 and 17 and to add a two foot cantilever on the units on Lots 5,8,9, and 10. For townhomes on Lots 5,8,9,10 and 17 Block 2, Eagan Heights 3rd Additions; subject to the conditions listed in the Advisory Planning Commission minutes. REQUIRED VOTE FOR APPROVAL • Majority of Quorum * Items in bold are new information FACTS: • This request was continued from the June 1, 2004 City Council meeting to the June 15 City Council meeting, in order for Mr. Diedrich to address screening issues. • The site is currently under construction. • The approved decks are 8'x10' or 8'x14' and the porches are 10'x14' • Two options were proposed for Lot 17 a 0 foot setback for the deck or a wrap around deck that will encroach across the property line. • The Advisory Planning Commission held a public hearing on May 25, 2004, and is recommending approval for each lot except the setback deviations for Lot 17, subject to the conditions in the APC minutes. ISSUES: • The revised Landscape Plan does not increase the number of plantings that were previously approved, appears to rearrange them. • The revised Landscape Plan calls for plantings off the subject site, on property to the north. 60 DAY AGENCY ACTION DEADLINE • August 19, 2004 — City extended deadline ATTACHMENTS (4): Advisory Planning Commission Minutes page(s)3E9 Planning Staff Report pages, hrou h Revised Landscape Plan on page 34 5 Original Landscape Plan on page 3gh City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 17 I. PLANNED DEVELOPMENT AMENDMENT — DIEDRICH BUILDERS, INC. A Planned Development Amendment to modify the final planned development plans for Lots 5, 9 and 17, Block 2, Eagan Heights Townhomes 3rd Addition, located on Liberty Lane in the SW 1/4 of Section 19. Planner Cartney introduced this item and highlighted the information presented in the City Staff report dated May 19, 2004. She noted the background and history. Chair Heyl opened the public hearing. There being no public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Member Gladhill moved, Member Bendt seconded a motion to recommend approval of a Planned Development Amendment to increase the berm alongDfley Road by two feet for Eagan Townhomes 3rd Addition subject to the following condition 1. The Planned Development Amendment Agreement must be executed and recorded. All voted in favor. Motion carried 7-0. Member Gladhill moved, Member Leeder seconded a motion to recommend approval of a Planned Development Amendment to increase the porch size for Lots 5, 9, 10, and 17, and to add a two foot cantilever on the units Lots ,,8=,.9, and 10. For townhomes located on Lots 5, 8, 9, 10 and 17 Block 2, Eagan Heights 3rd Addition subjecto the following conditions: 1. The Planned Development Ame dment Agreement must be executed and recorded. 2. The changes only apply to 5,'8, 9, 0, and: 17 Block 2, Eagan Heights 3rd Addition. 3. The changes are as specified on the submitted Site Plans. All voted in favor. Motion carried 7-0. 3?7 PLANNING REPORT CITY OF EAGAN REPORT DATE: May 19, 2004 APPLICANT: Bill Diedrich PROPERTY OWNER: Same CASE: 19 -PA -12-04-04 HEARING DATE: May 25, 2004 APPLICATION DATE: April 21, 2004 REQUEST: Planned Development Amendment PREPARED BY: Sheila Cartney LOCATION: West of Highway 77 north of Diffley Road COMPREHENSIVE PLAN: MD, Medium Density Residential ZONING: PD, Planned Development SUMMARY OF REQUEST The applicant is requesting approval of a Planned Development Amendment to increase the berm along Diffley Road by two feet and to increase the porch size for Lots 5, 9, 10, and 17, and to add a two foot cantilever on the units on Lots 5, 8, 9, and 10. For townhomes located in the Eagan Heights 3`a Addition. Located north of Diffley west of Cedar Avenue in the SW '/a of Section 19. AUTHORITY FOR REVIEW Chapter 11, Section 11.50, Subdivision 5 states, in part, 1. The provisions of this chapter may be amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two-thirds of all members of the council. 2. The Council shall not rezone any land in any zoning district or make any other proposed amendment to this chapter without first having referred it to the planning commission for its consideration and recommendation. BACKGROUND/HISTORY There have been several Planned Developments associated with this site. One Planned Development designated this site for a water park and another for apartments. In 1995 the site was approved for a 200 unit townhome development. Most recently, Mr. Diedrich received City approval in 2002 to allow the development of 36 town homes on the 6.2 acre site. 38K Planning Report — Diedrich Builders May 25, 2004 Page 2 EXISTING CONDITIONS The site is currently under construction. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: EVALUATION OF REQUEST Proposal — When the Planned Development was approved, the Site Plan indicated the decks on the rear of the units would be 8 feet by 14 feet or 8 feet by 10 feet and the porches would 14 feet by 10 feet. The applicant is requesting to increase the deck and porch sizes on certain units. The table below indicates the proposed changes: Lot Existing Use Zoning Land Use Designation North Vacant PD, Planned Development MD, Medium Density East TH 77 ROW ROW South School Dist. 191 PF, Public Facility QP, Quasi Public West Super America GB, General Business RC, Retail Commercial EVALUATION OF REQUEST Proposal — When the Planned Development was approved, the Site Plan indicated the decks on the rear of the units would be 8 feet by 14 feet or 8 feet by 10 feet and the porches would 14 feet by 10 feet. The applicant is requesting to increase the deck and porch sizes on certain units. The table below indicates the proposed changes: Lot Porch Deck 5 Increase to 16 feet wide 10 feet deep No change 9 Increase to 23 feet wide 8 feet deep No change 17 Increase to 20 feet wide 12 feet deep Add side deck 5 feet wide 22' deep* * Two options were proposed for this lot, option 2 located the deck over the property line and is not permitted, option one is represented in the table. Additionally these units on Lots 5, 8, 9, and 10 will have a two foot cantilever to the rear. The applicant is also requesting to increase the height of the berm along Diffley Road; the applicant did not indicate the reason for the increase in height. The applicant is trying to provide custom built townhomes for the buyers and in doing so, some of the designs are changing not only on the exterior but internally as well. The proposed changes to the decks and porches maintain the same setbacks as proposed except for lot 17. Lot 17 is proposing a side deck which will not be consistent with other decks in this development and will have a 0 lot line setback. The appropriateness of this Amendment is to be determined by City Officials. 3a7 Planning Report — Diedrich Builders May 25, 2004 Page 3 SUMMARY/CONCLUSION The request is for a Planned Development Amendment to allow deck and porch sizes to increase for Lots 5, 9, 10 and 17. The proposed changes will maintain approved setbacks except for Lot 17, which will have a 0 foot side yard setback. The applicant would like to provide custom homes to the buyers which may require some changes. The request is also to increase the berm along Diffley Road by two feet. ACTION TO BE CONSIDERED To recommend approval of a Planned Development Amendment to increase the berm along Diffley Road by two feet for Eagan Townhomes 3rd Addition. If approved the following conditions shall apply: 1. The Planned Development Amendment Agreement must be executed and recorded. To recommend approval of a Planned Development Amendment to increase the porch size for Lots 5, 9, 10, and 17, and to add a two foot cantilever on the units Lots 5, 8 ,9, and 10. For townhomes located on Lots 5, 8, 9, 10 and 17 Block 2, Eagan Heights 3rd Addition. If approved the following conditions apply: 1. The Planned Development Amendment Agreement must be executed and recorded. 2. The changes only apply to Lots 5, 8, 9, 10, and 17 Block 2, Eagan Heights 3rd Addition. 3. The changes are as specified on the submitted Site Plans. 396 I P447ifij ,4,w fr9,o74-•./7 Ei4 cam,' /E/67 ,6i -D)/7 -t / -/-.z? -oy Begetsr. - G RAD /N & PG/M/ ,- !� L36 Rri! %4Ioit/6- /P'/ ' P -/'Jc4e74-sc , -DD,r'o,"LZ 2 ' /A/6. T ry,i s.ua4..✓ irr/ Er 6,1,1 GR,9L '4J d- Pe."),./ 2) z o 7` ' c/e 2- ,*c' S PLS✓ >»o.D/f>D i2r2 '4/c)- 2_2_c/.2? -osa-o2 C/M I/6ES .4.c4Qv&37-a a) /S "cam/ S ADD oN?o .AWN€R S /36-D2vom b) //ticAEA:56 PoRcff W i D 77f 7-o /b 'wipe c) ti 1) Eck To „y/Ni/a6 ,2i 4i s, D e or ,yo usc- 3� Lo7 9 & ock 2_ A4g Zs ,P.1 -40t, MOD/P/6.9 P-. D. 44/ O-22_4,127 -09o-0 G /t*/&E$ R6-42 c/c--3 re --13 q) /NcR sc DEPriq of Gr b) 4 DD sP.4cc o.vro f-LoaR ,p{ .CAT /7 mac,( Z /.Fo o so, p44"1 /ri co/F�cr) -/70-02 Gam/✓ Gds % a-epu i,"67/ c) m ciee- ►sor Sizes' a/2 Pc'R b) ADD s!D F.2)6. -c1.4 /z wrD oR 7'wiDd c) / N ci e K A-motfrw ,Derjes CD SG/le-Z-4) PdRC.N efi-teDeg:Q 3 9/ RECEIVEn I 2004 lob y1. N 4tipTai V kg • SO 1 • .404 • • ar • sit I. 1// 91: Location Map Slat V. a• • iVl Subject Site a+' Eagan Boundary A/ Street Centerline Parcel Area Building Footprint 0ri.0 1117: a1ilAU a 1'-25» rig OW ItS,...1 tirom 4._ LIPAid I Sk.VPittktv EVAtialligi Haulm am tirefile SAAPIANZ ANL Iz7 1>fJ "•+Llin .,XPi •�r 4*(1 VIVA VS 47-4,q`.4-4*. '1:6•01 CIIIIII, `'rili``�`4� MIAIS r` 14 iii MUM 410 �lol�l�l�l�ld4 4 „., 1 i PQ!': GO1R d 11 seal IE LIV. 4W ailii in la lai GO co 1t tun. a� t � _$•D� 1:1 CI �'0 atilt Uel So` 11iin O �GOppp2 z Q 11//4 argivil le e4F-Lio, .<„,„ „.) , ,v -A V4?El AMA „ •IV IN:20 ifFe • 0 i 1 r. 1 1000 la 0 M 0 Ad G50 Eg I UM LIPAI LIMA inn Lau 'arP SIMMOOLAM 0225222222A 65!5555555 CAiH...0...0 EEN5522222211.21 4744. cfmtAk LA OD -0 alp NO L1RI:1 IR1 Ir-1 Liflr.J :LMI TIMI I. EIII LIM!J ml[BF.J d 'Mill I°IEI.iIJli1 1.7113 IIIn IL UM LILtI L1RJ� ��GIsL7II L7ISel LL'ISI `LgRU IIBA i 1 •1' EIuiJ1'Il iEl IL I J Lim QV40. V4, WO le 41pitt X1,4' 4:47, `e 4:4444/ 1P4,44- 4 *tgePio a�4 ! N Ir�.F 0 WOARRQUATiaradig- PP \11.1.LP� 0 1000 AMPew 4 00 wu Lw I!Ii LAU iii Oda Er B 1, ANIALI 0 e 1 Ja miz 0 4 0 o$ a 1431431. 2000 Feet Development/Developer: Diedrich Builders Application: PD Amendment Case No.: 19 -PA -12-04-04 city or eagan Community Development Department Map Prepared SI psMI fv 3.1. Parcel base map data provided by Dakota County Office of GIS and is current as of January 2004. /r THIS MAP IS INTENDED FOR REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. N WE 5 Current Zoning and Comprehensive Guide Plan Land Use Map Diedrich Builders Case No. 19 -PA -12-04-04 Cit of Eagan Community Development lopment Department Parcel base map information pro derby 0 eta County Land Survey Department June 2003. Loring information maintained byCity Staff. Zi THIS MAP IS INTENDED FOR REFERENCE USE ONLY. The City of Eagan and Dakota County do not guarantee the accuracy of thls information. W+ E N m Zoning Map ` UU .. flLEIf .. wra PD h' Current Zoning: c' imm ®®® P PD t := Planned Development........,..E.ihili Single N7 A UM r MD Eft 'W Fri II ' ®®RCQF ... I Current Land Use Designation: 'it . PF r O o s PD P. 0 MD Medium Density Residential 4-12u/a /A1 A=, MN s a s } r r QP In w V A m• z s MI WO I 111111111111111.1 s,g PF coo o coo tyos Feat PF r Cit of Eagan Community Development lopment Department Parcel base map information pro derby 0 eta County Land Survey Department June 2003. Loring information maintained byCity Staff. Zi THIS MAP IS INTENDED FOR REFERENCE USE ONLY. The City of Eagan and Dakota County do not guarantee the accuracy of thls information. W+ E Comprehensive Guide Plan ` UU 6 imm Land Use Map IND = := Single N7 Famil UM MD Eft 'W ' ®®RCQF Current Land Use Designation: 'it �� MD Medium Density Residential 4-12u/a /A1 A=, i� �i a MC r r QP In w V A m• z s MI I/IIlII uiiu 1v. QP GOO 0 coo 1200 Feat QP r Cit of Eagan Community Development lopment Department Parcel base map information pro derby 0 eta County Land Survey Department June 2003. Loring information maintained byCity Staff. Zi THIS MAP IS INTENDED FOR REFERENCE USE ONLY. The City of Eagan and Dakota County do not guarantee the accuracy of thls information. W+ E P NGINEEflING ROBE CONSULTING LAND�SURVEYORS INC. O 17 E COPLANNERS oond SURVEYORS COMPRNY, INC. DIEDRICH BLDRS. 1000 EAST 146th STREET, BURNSVILLE, MINNESOTA 55337 PH 432-3000 PROJECT NO. BOOK PAGE 12121.00 CERTIFICATE OF SURVEY Legal Description: LOT 15, 16, AND 17, BLOCK 2, EAGAN HEIGHTS TOWNHOMES 3RD ADDITION, DAKOTA COUNTY, MINNESOTA. SCALE : 1" = 30' APDRCSSC$: LOT 15 - 21% LOT 11, LOT I1 - 2198 - 2Z00 N N d99_5) (900.6 90/, /7 8914-.17 gill. 17 DENOTES EXISTING ELEVATION DENOTES PROPOSED ELEVATION INDICATES DIRECTION OF SURFACE DRAINAGE = FINISHED GARAGE FLOOR ELEVATION = BASEMENT FLOOR ELEVATION = TOP OF FOUNDATION ELEVATION LIBEVY LANE LoT AAEA = 2644.7 Sq, Fr. LI9E27Y (.AIiE LcT AR EA 2 329.9Sq. FT. LIBERTY LAME .Cor AREA =.2644.7Sq Fr. ��y�D -PLAT L ofi 099./,?j7me 1515 (m�I To/ . � -895. / (�41ydJl CBN CB � Iz.oN N sr. N �. n'9 (0 ) S89'53'52"Wo (@_ N89481 ce. 62..9�7r 95.093. 0) _ 015(0� �9���893.� x�a_89 915. 8.9 X h....11-- "L.," t 018.00 4183 #2,511V1013.14 (f41_Z) N" �_ � 3.00 W g`_�I Z. I 20 . oo O (n W o o ""I- 8.00°., 0ti'1 `,--> LLri J‘ Z I %N 1!_7o ` O CC - 1 0 O x .200 N 0a I o_ 7.00 a,_ 1 N 0 " p =� 15 �� ■ (� 00 39.83 N3.00 0 .� (ALL., 8.00 v 0 (n CLD o Qd I 00 CC N 0g I 0 0 4 4.1 3 12 I0 3 0'J 0 N O 6.0000 0_ 0 3.00 2Op�p CL yZ 35%i 62.97 N89 • DBcR zer2.� Deurrer/ rI1.14 0 te 44 40 RECEIVED APR I hereby certifythat this is o true and correct representation of o tract as shown hereon. As prepared by me this 7.7" day of Oc-ro2003. 1(V /0 23 0y 0'We.! -4.erg f.;ia,o 0£v .,-.7 -c) R(u 00.4 0,,enme., for /3 +r7 Arc! •,.• /` AJI-P� P /09-,-0,- Minn. 2 1 2004 and described Reg. No 19,986 n h r..12.7; 0000000 0 W Z V) -; 0 li= U 00 S 9 ceb e� W £8'6f o0 N A CV" 00.£N O 01?lo U 00w 'ZQ OOS� ! � a �o OOW 03'1"-i.(253_1(2-).4.00'9 t n OOCt _ c18m lc��RtR,n�\r-Ii��\ 00 0 • _, ,.,; 3JVOVJ J oo. 100 f8'6£ 00 0 Ic3o 5 o P -LI j 00'S° o tr L'6Z W Ie ,11 £8'6£ o at 000 00'£ -'•. to to 00 o ()Io w o 00.S0 o V CO OS'9 gt 00'8 t n'') 0. nO(W<n 0rn n -DD 00_t o O O Z ▪ ^ N w0 0_ , 8 ^ 30Y8V0 Y U1 oil�� lo0.ot C. OS'at O 0x0 o 0 s-8 L9'L,`°ri�60'L N 0 �W �wtiloz I W 00..0 WN.. 7.t. M 0 n x N�reOOS0_Do`'L_0 0ct N LL O 8 0O CY • a • 00Z rrv1 —08 n N LO • XS'L W T �& oma, OVA o60'I1 NYSL 9'L99 -NA - N0S m 9cL69-9t1H OS'91 13W0 Y6'L rn S'L99-N4 g :NDS U ,fel 0££'L> v .r4 csi o WLLJ0 re0 115; oos a0N N �l LTC IoY oo=Eo " 0 OU „FO N la 0 - L3- o Ls' Lo '�6�•- ff'Of -' to i'L 0ti, M n N 00'S L 2 tfj (T 00'S t z z 5 x ' o^ _ 100'9 (n1 :e YOI O 00'0 t o0 d No [7 vl M1 0l w .m2 CL94-u+1 Ro oom ^I N •NO$ 0_o 3t-� OS'9 L 009 ''100. ca 00'S -U .3 00.Z tr 2' 6 y to 0- 0 0010 a 8 £- 8'6f (11611-eal 00'11 Lisiio 00'S `L6 o,66°M„90,90.00N L679 6 O LIBERTY LANE (S11611) •03d'131 u rmlx (o.16g) Ycot —• W • > pc') VP 8-8 00'9 1 00•S t 00•S1 a3 DIEDRICH BLDRS. 01 0 8 0 6 kl it 5 3 s v z 6 ZZ s Z t. wz00 0 =z V a I.% Q \ \\ `\ \ \ `I \�\ I \ //iii, a F. I- - s 9 r \ /( 5 ..,0•0.,m.....Luer....—+�..,e...u�.n� N O 0 Z 0 0 k PLANT SCHEDULE a m 22222 m 416 5E1 21 j ' ADZ Y .1.!; 3 1;1, Ir. q •ai: 1 ;i3 'Iraq: g 114141 r- N e' F f !GEO 41 1 .4 of a. a7 e^ , 1• • V 0 Y 411 O 1. 411arpd Pm ' BF g8 411 ,gyp vae tk 4 42. 0; • vama 4 I1 4) 3 0 • 1 N 0 Y i ••••`.:� j110in1 tmlwiess Y 1. 14 0 e." b Agenda Information Memo June 15, 2004 Eagan City Council VII. NEW BUSINESS A. PLANNED DEVELOPMENT AMENDMENT - MSP COMMERCIAL —DESIGN OF AN EXISTING MONUMENT SIGN ACTION TO BE CONSIDERED: To approve a Planned Development Amendment to allow design, size content changes to the existing monument sign on property located at 1185 Town Centre Drive, legally described as Lot 1, Block 1, Gatewoods Addition, in the NE 1/4 of Section 15. FACTS: • The Planned Development approved for this site allows for placement of two identical monument signs at the two entrances into Town Centre Plaza. One monument has been constructed. • An application for an amendment to the PD to change the face on the second sign was denied in June 2003 based on the conclusion that the proposal was a substantial deviation from the approved Planned Development Agreement. • The applicant is proposing to eliminate the second monument, and redesign the existing monument to allow for 10 tenant names. The location of the monument would not change. The proposed monument would consist of the same materials to match the Town Centre Plaza building. The sign height would increase approximately 10", but would not exceed City Code allowances of 7' maximum height. • The applicant's request "...is to provide destination information to visitors without the difficulty of entering the building to verify the location." Approximately half of the tenants provide medically -related services. • On May 25, 2004, the Advisory Planning Commission held a public hearing on this item and recommended approval of the PD Amendment on a split vote. ISSUES: • APC members opposed to the amendment did not believe the perceived identification problem would be alleviated by listing ten tenants on the monument, concern was also stated that the 3-1/2 inch tall tenant names would not be visible from the street, and the name of the office building would be lost. 3 9? ATTACHMENTS: (2) / May 25, 2004 APC meeting minutes, pa e 0r ' c'l' 0 4. Planning Staff Report, pagetfO3 to W foo City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 15 H. PLANNED DEVELOPMENT AMENDMENT — MSP COMMERCIAL A Planned Development Amendment to change the design of an existing building monument sign on Lot 1, Block 1, Gatewoods Addition, located at 1185 Town Centre Drive in the NE 1/4 of Section 15. City Planner Ridley introduced this item and highlighted the information presented in the City Staff report dated May 17, 2004. He noted the background and history. Applicant Bridget Helwig MSP Commercial explained that they have received complaints that tenant names are not on the sign. Mark Clinchman CEO of St. Paul Radiology stated they are a referral business only; however the patients get confused when coming to the building for the first time. Chair Heyl opened the public hearing. There being no public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Member Leeder stated he will vote in favor of theg proposal. He stated tenant signage solves the problem and does not negatively affect the situation Member Leeder moved, Member Hansen seconded a motion"to=recommend approval of a Planned d Development Amendment to allow a design ansize change on one monument sign and to reduce the number of monuments allowed from two to one on property located at 1185 Town Centre Drive, legally described as Lot 1, Block 1, Gatewoods Addition, in the NE'/ of Section 15 subject to the following conditions: 1. An Amendment to the Planned Development Agreement shall be executed and recorded against the property at the Dakota County Recorder's office. Recording of the Agreement must be completed prior to issuance of a sign permit. 2. A sign permit must be obtained prior to installation of the monument sign. 3. The monument sign location shall not change; the sign shall be set back at least 10 feet from all property lines, and shall not exceed 7 feet in overall height, 4 feet in sign face area height, and 12 feet 6 inches in overall sign width. 4. The second monument, proposed to be located at the O'Leary Lane entrance, shall be eliminated from the Planned Development. Member Gladhill stated he will vote against because the building name has been lost and 10 tenant names with 3 1/2 inch tall letters will not the perceived problem as stated by the applicant. Chair Heyl agreed with Member Gladhill and stated 10 tenants on one sign is too much. 4 o/ City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 16 Member Bendt said it is a validation technique when you enter the site and know you are in the right building. Chair Hey' and Member Gladhill voted Nay. All others voted in favor. Motion carried 5-2. you I PLANNING REPORT CITY OF EAGAN REPORT DATE: May 17, 2004 CASE: 15 -PA -09-09-04 APPLICANT: MSP Commercial HEARING DATE: May 25, 2004 PROPERTY OWNER: Town Centre Plaza LLC APPLICATION DATE: April 20, 2004 REQUEST: Planned Development Amendment PREPARED BY: Mary Granley LOCATION: 1185 Town Centre Drive COMPREHENSIVE PLAN: SA, Special Area ZONING: PD, Planned Development SUMMARY OF REQUEST Bridget Helwig of MSP Commercial is requesting approval of a Planned Development Amendment to allow a design and size change to one of the two approved monument signs, and an elimination of the second approved monument sign, on property located at 1185 Town Centre Drive, legally described as Lot 1, Block 1, Gatewoods Addition, in the NE 1/4 of Section 15. AUTHORITY FOR REVIEW Chapter 11.70, Subd. 28. F states in part, that up to one freestanding ground sign is allowed per building. Such signs are limited to seven feet total height, with four -foot maximum height of sign area. Chapter 11.50, Subd. 5 states, in part 1. The provisions of this chapter maybe amended by the majority vote of the council, except that amendments changing the boundaries of any district or changing the regulations of any district may only be made by an affirmative vote of two-thirds of all members of the council. 2. The Council shall not rezone any land in any zoning district or make any other proposed amendment to this chapter without first having referred it to the planning commission for its consideration and recommendation. 3. No application of a property owner for a zoning amendment shall be considered within a period of one year following a denial of such request, except that a new application may be permitted if new evidence or a change of circumstances warrant it. 5`O3 Planning Report — Town Centre Plaza LLC May 25, 2004 Page 2 BACKGROUND/HISTORY On April 18, 2000 a Final Plat was approved establishing 1.9 and 3.2 acre lots upon property previously platted as Outlots in Town Centre 100 Thirteenth Addition. A Final Planned Development was approved to allow a 45,110 square foot office building upon the 1.9 acre site. A condition of the Planned Development is that two identical monument signs are approved as depicted in the signage plan in lieu of wall signage on two sides of the building. One sign is to be placed at the O'Leary Lane entrance to the site and the other at the Town Centre Drive entrance to the site. All other signage must comply with the applicable provisions of the City Sign Code. On April 16, 2003, Welsh Construction on behalf of Town Centre, LLC, made application for a Planned Development Amendment for a size and design change to the yet -to -be constructed sign at the O'Leary Lane entrance to add tenant names, while retaining the existing sign at the Town Centre Drive entrance. The application was denied based on the conclusion that the proposal was a substantial deviation from the approved Planned Development Agreement. The proposed sign was determined to be incompatible with the classic look of the existing sign on the property (photo below). Discussion also occurred relative to safety and aethetics that by directing customers to the "Town Centre Plaza" office building would be safer for the traveling public and in keeping with the attractive architecture of the 2 -story building. EXISTING CONDITIONS The site is at the northwest comer of Town Centre Drive and O'Leary Lane. There are two entrance drives, one at Town Centre Drive on the south side of the property and the other at O'Leary Lane on the northeast side of the property. The front door of the two-story office building faces Town Centre Drive. Only one of the two allowed monument signs was erected during building construction, and it is located at the Town Centre Drive entrance. The sign is constructed of tan brick, brown tile, and an off-white exterior finish system to match the building. Eight inch gold metal surface -mounted letters indicating Town Centre Plaza and four inch gold metal surface -mounted letters indicating the address are placed on the sign. The sign is 6 feet 3 inches in overall height with a split sign face panel 3 feet 3 inches high in approximately half the width, and 2 feet high in the remainder of the width. The sign is 12 feet wide. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: Planning Report — Town Centre Plaza LLC May 25, 2004 Page 3 North - Culver's Restaurant, zoned PD, Planned Development, designated SA, Special Area, under the comprehensive guide plan. South - Waterford Apartments, zoned PD, Planned Development, designated SA, Special Area, under the comprehensive guide plan. East - Eagan Counseling Clinic, zoned LB, Limited Business, designated SA, Special Area, under the comprehensive guide plan. West - Access Lifts Incorporated, zoned PD, Planned Development, designated SA, Special Area, under the comprehensive guide plan. EVALUATION OF REQUEST Description of Proposal — MSP Commercial is requesting Planned Development Amendment approval to remove the existing sign's exterior finish system down to the concrete masonry unit, and reconstructing the sign changing the design and size to allow for a 4 foot face for placement of the address and ten tenant names. The existing brick coursing would remain, and additional brick coursing and cap would be added to attain a base height of 2'4". A new off-white EFIS would be added to match the building and sign's existing finish, and to create a 4' sign face area. The 5" address letters and 3-1/2" tenant letters would be constructed of cast metal in a dark bronze color. The monument would be capped with flashing to match the existing finish. The sign is proposed to be 7 feet in overall height, somewhat taller than the 6 feet 2- 1/2 inches of the existing sign. The 12 foot 6 inch overall width would remain the same. Two columns of tenant names would be presented on the face in five rows, and the address would be centered above the tenant names. The style of type proposed is Quadrata, slightly different than the existing style type of Helvetica. The sign location would not change. The exterior of the sign would be lit with extemal indirect ground lights. The landscaping at the base of the sign would remain the same. The applicant is proposing the second monument originally approved in the Planned Development and not installed, be eliminated from the Planned Development. The design for the two signs originally approved in the Planned Development was classic and understated, reflective of the high-quality office building and location. The classic design remains in this proposal, yet deviates from being understated by removing the Town Centre Plaza name and replacing it with tenant names on the sign face. The proposed sign dimensions deviate somewhat from the approved monument sign; however, the proposed content represents a change Planning Report — Town Centre Plaza LLC May 25, 2004 Page 4 that appears contrary to the intention of having uniform signage throughout this Planned Development site. Modifications to a Planned Development would be a proposal that provides reciprocal benefits to the City and the applicant. The applicant is requesting the proposed amendment to provide the public with visual information concerning their destination. Half of the tenants within the building are medical services. The applicant would like to provide destination information to patients without the difficulty of entering the building in order to verify the location of an office. The City has received complaints stating it is confusing to try to reach businesses on Town Centre Drive between Town Centre/Yankee Place and O'Leary Lane because Yankee Place, a very short street, intersects with Yankee Doodle and with two segments of Town Centre Drive. In response to this issue, in late April 2004 the City determined no properties address off Yankee Place. The Yankee Place 6 inch sign plates were replaced May 10, 2004 with 9 inch Town Centre Drive plates from the Yankee Doodle Road/Yankee Place and Town Centre/Yankee Place intersections to better direct traffic to the continuation of Town Centre Drive. Considering whether this proposal is in keeping with the intent of the original Planned Development is a policy decision to be determined by City officials. Sign Code Requirements — City Code allows a maximum overall height of 7 feet for a monument sign, with a maximum of 4 feet in height for the sign face area. All freestanding signs are required to be setback a minimum of 10 feet from all property lines. Compatibility with Surrounding Area — The applicant is proposing a monument sign with base, flashing and EFIS matching the existing monument sign and the building. Ten tenant names in two columns and the address would be placed on the face. The proposed sign location will not change. The applicant is proposing to eliminate the approval of the second monument sign that was approved for placement at the entrance drive at O'Leary Lane. The grade is level, with no additional landscaping planned at the base of the sign. Setbacks — A minimum setback of 10 feet from all property lines is required. The existing sign is located approximately 15 feet from the south property line, and approximately 12 feet from entrance drive curb. Sign Area — City Code allows a maximum of 4 feet in sign face height with no width restrictions. The proposed sign face area is 4 feet in height and 12 feet 6 inches in width. Landscaping — The grade is level with no additional landscaping proposed for the base of the monument sign. The existing landscaping is adequate and consists of assorted shrubs and juniper in a rock landscape base. �o� Planning Report — Town Centre Plaza LLC May 25, 2004 Page 5 SUMMARY/CONCLUSION Bridget Helwig of MSP Commercial is requesting approval of a Planned Development Amendment to allow a change in sign design and size on the existing monument sign, and elimination of the proposed second sign on property located at 1185 Town Centre Drive. The proposed monument is consistent with City Code provisions regarding overall height and setbacks. Staff believes the issues related to the Planned Development Amendment denial in April of last year are still applicable. Considering whether this proposal is in keeping with the intent of the original Planned Development is a policy decision to be determined by City officials. ACTION TO BE CONSIDERED To recommend approval of a Planned Development Amendment to allow a design and size change on one monument sign and to reduce the number of monuments allowed from two to one on property located at 1185 Town Centre Drive, legally described as Lot 1, Block 1, Gatewoods Addition, in the NE 1/4 of Section 15. If approved, the following conditions should apply: 1. An Amendment to the Planned Development Agreement shall be executed and recorded against the property at the Dakota County Recorder's office. Recording of the Agreement must be completed prior to issuance of a sign permit. 2. A sign permit must be obtained prior to installation of the monument sign. 3. The monument sign location shall not change; the sign shall be set back at least 10 feet from all property lines, and shall not exceed 7 feet in overall height, 4 feet in sign face area height, and 12 feet 6 inches in overall sign width. 4. The second monument, proposed to be located at the O'Leary Lane entrance, shall be eliminated from the Planned Development. Z N W .. > uZ — -D mDZ ▪ C m '9 CO m m - m ZA Z • rn , 70u, • C • D_ V - CD Mm CO N co OO p 1J 0 The property is located at 1185 Town Centre Drive, legally described as Lot 1, Block 1, Gatewoods Addition, in the NE V4 of Section 15, and contains a commercial structure. The site is on the northwest corner of Town Centre Drive and O'Leary Lane. There is an entrance drive on the northeast side of the property at O'Leary Lane. The front door of the two- story office building faces Town Centre Drive. The building itself is used exclusively as a multiple tenant medical/office building. The following existing uses, zoning and comprehensive guide plan designations surround the property: North- Culver's Restaurant, zoned PD, Planned Development, designated SA, Special Area under the comprehensive guide plan. South- Waterford Apartments, zoned PD, Planned Development, designated SA, Special Area under the comprehensive guide plan. East- Eagan Counseling Clinic, zoned LB, Limited Business, designated SA, Special Area under the comprehensive guide plan. West- Access Lifts, Incorporated, zoned PD, Planned Development, designated SA, Special Area under the comprehensive guide plan. We propose to change the design of the building monument sign. The new sign will be constructed of the same materials and feature the same color scheme, but it will include 10 new tenant names. The existing CMU foundation and footings will remain as is. To accomplish this, we will remove the EIFS finish, top cap flashing and associate top plates and demolish it to the existing CMU backup wall. The signage letters will be removed along with the cast stone cap and brick coursing. The latter will be reused in the new sign where possible. The new sign will include new 26 G.A. prefinished cap flashing, and new 5 inch high surface mtd. cast metal letters, and a new 1 '/2 inch EIF finish, which will also match the existing finish. Finally, new 3 1/2 inch letters for the new tenant names will be installed. We anticipate a two (2) week timeframe to complete construction of the sign. The impact on the subject property is twofold: it will help clients, customers, and patients find the appropriate office more easily once on the property, and it will visually identify the appropriate location for the public without the inconvenience of having to enter the building in order to verify the location of an office. There will be no impact to any city services, as the sign will be built upon the same location and foundation as the existing sign. CD8 MARRATIVF RECEIVED APR 1 9 Z004 Location Map ti= Eagan Boundary \v Street Centerline. I Parcel Area Building Footprint 111.13•11•1 I Subject Site aLJLJ EJP 1,147, Y7(1�- fuLIBIP rarararme �7l_.����� mGAN ann ® fir,. b16-61 jec fiCylk imam*LILJULO 1000 1000 2000 Feet city of eagan Community Development Department Development/Developer: MSP Commercial Application: PD Amendment Case No.: 15 -PA -09-04-04 1. Parcel base map data provided d is currant as of January 2004. ED FOR REFERENCE USE ONLY do not guarantee the accuracy of this Information and are responsible for errors or omissions. 7 I 1 L 1) UIN tLtVH 1 IVIN oo W W 5 111 6.4 6. X Ewa! 2z 21 N Q N N xi W W 11 11 11 11 r1Y 1— J 2 W .0-.I x L_1 W n aN tr;a L6.3 az 0 n N. K a CO .. • e4 N ✓ 1u) 01 o Z ,7t. an n K3 IS;t a. i oo 1 e WONWIR 1 Re OitV ifko° 12 .54VtIE 24 io 2w g a i J l 0 W1E 2!84 m0 20 W u 1 Iii ciao o d W 210 rQE y N W 3 rE W u�^ga WQE wf� LLJ 4i' 1111 1111 11111 u u u LJ LJ a' 12 .9 L .0-.t .Y .0 J .0-.I o XI k 6_, 5 D PV tx r r X0 r a X W 111111111., lllll 1011/111111.01.1.111J1.111111110.1.11.11 L_J Agenda Information Memo June 15, 2004, Eagan City Council B. COMPREHENSIVE GUIDE PLAN AMENDMENT, REZONING & PRELIMINARY SUBDIVISION — INTERSTATE PARTNERS ACTION TO BE CONSIDERED: To direct that a Comprehensive Guide Plan Amendment from BP (Business Park) to O/S (Office Service) be submitted to the Metropolitan Council for review and approval. To review a Rezoning/Preliminary Planned Development and Preliminary Subdivision (Grand Oak Five). FACTS: > The site consists of 13.5 acres of land located at the northwest intersection of Highways 55 & 149 in the east 1/2 of Section 2. ➢ The area in question is located within a Tax Increment Financing (TIF) Redevelopment District created by the City and designed to remove blighted structures and land uses inconsistent with Business Park zoning standards. The City has recently acquired portions of the subject site that contain an office building, three office/warehouse buildings and areas with assorted outside storage. ➢ The site currently has a zoning designation of BP, Business Park, and a land use designation of Special Area — Business Park. The applicant is proposing a land use designation of O/S, Office Service and a rezoning to PD, Planned Development. > The proposed Comprehensive Guide Amendment from Business Park to Office/Service will continue to provide for the expansion of the office uses that currently exist in the Grand Oak Business Park. The Office/Service designation will also allow a feature that does not exist in the park by allowing a zoning change to permit the introduction of retail service uses that are not permitted in the Business Park Zoning District. ➢ The proposed project consists of: Lot 1 — 100,000 SF three-story office building. Lot 2 — 10,000 SF one-story office building or 20,000 SF two-story office building. * Lot 3 — 9,600 SF retail & 3,600 SF restaurant (13,200 SF total) or 6,000 SF retail & 6,000 restaurant(s) (13,200 SF total). Lot 4 — 30,000 SF two-story office building or 20,000 SF one-story office building. * The combination of Lots 2 & 4 will not exceed 40,000 SF of office building. 2-/ /3 ➢ In exchange for allowing an overall reduction in required parking, shared parking and flexibility in lot development, the City receives a comprehensive development plan, architectural consistency, uniform signage and "public" amenities that will enhance the appearance and appeal of this highly visible gateway property at a prominent intersection of two state highways. ➢ The proposal appears to satisfy most typical City Code performance standards. However, the developer is proposing free-standing and building signage to be determined at a later date when tenants are identified. ➢ The Advisory Planning Commission held a public hearing on May 25, 2004. The APC recommended approval of the Comprehensive Guide Plan Amendment, and of the Preliminary Planned Development and Preliminary Subdivision, subject to the conditions in the APC minutes. ISSUES: > The developer is agreeable to Site Plan review of signage by the City Council when the tenant mix is more firm. The suitability of the proposed process for determining site signage and the characteristics of the signage to be allowed is a decision for City policy makers. > Since Comprehensive Guide Plan amendments are subject to review and approval of the Metropolitan Council, formal action on the associated Rezoning/Preliminary Planned Development and Preliminary Subdivision will be withheld until the Metropolitan Council has responded to the proposed Comprehensive Guide Plan Amendment. ➢ Although formal City action on the proposed Rezoning/Preliminary Planned Development and Preliminary Subdivision will be withheld pending Metropolitan Council review and approval of the Comprehensive Guide Plan Amendment, it is appropriate for the Council to comment on the proposed subdivision and development plans at this time. ATTACHMENTS: (2) Draft May 25, 2004 APC Minutes pages Vi -through )/7 Staff Report, pages- f 'f g through 1. LW/ City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 20 K. COMP. GUIDE PLAN AMENDMENT, REZONING, PRELIMINARY SUBDIVISION, & PRELIMINARY PLANNED DEVELOPMENT — INTERSTATE PARTNERS, LLC A Comprehensive Guide Plan Amendment to amend Special Area #2 from Business Park to Office Service, a Rezoning from Business Park to Planned Development, a Preliminary Subdivision (Grand Oak Five) to create four lots and a Preliminary Planned Development located on Lot 1 & 2 Block 1, Imre Addition and part of Lot 3, The Robert O'Neill Homestead in the north half of Section 2. Chair Heyl stated she would be abstaining from this item. City Planner Ridley introduced this item and highlighted the informationpresented in the City Staff report dated May 20, 2004. He noted the background and histo Vice Chair Bendt opened the public hearing. There being no public comment, Vice Chair Bendt closed the public hearing , and turned the discussion back to the Commission. Vice Chair Bendt inquired about the percentage of green space. Applicant Greg Miller, Interstate Partners, stated there is 32.5% greenspace on the property. City Attorney Bob Bauer explained a modification to condition three to acknowledge the need for temporary outdoor storage until all existing tenants ofthe property have relocated. Member Leeder moved, Member Chavez secondedamotion to recommend approval of a Comprehensive Guide Plan Amendment to chane the designation from Special Area 2 -Business Park to Special Area 2-Office/Service. All voted in favor. Motion carried 6-0-1. Heyl Abstained from voting on this item. Member Hansen moved, Member Chavez seconded a motion to recommend approval of a Rezoning �ri of approxiiiately 13.5 acres from Business Park to Planned Development and a Preliminary Planned Development All voted in favor`. Motion carried 6-0-1. Heyl Abstained from voting on this item. Member Leeder moved, Member Chavez seconded a motion to recommend approval of a Preliminary Subdivision of approximately 13.5 acres to create four Tots on property located at the northwest intersection of Highways 55 and 149 in the east 1/2 of Section 2subject to the following conditions as amended: 1. The developer shall comply with these standards conditions of plat approval as adopted by Council on February 2, 1993: Al; B1, 2, 3, 4; C1, 2, 4; D1; E1; F1; and H1 City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 21 2. The property shall be platted. 3. The developer shall enter into and record a Preliminary Planned Development Agreement against the property. The Agreement shall include the following exhibits: • Preliminary Site Plan • Preliminary Building Elevations • Preliminary Landscape Plan • Preliminary Sight Lighting Plan • Temporary outdoor storage plan for the existing tenant on Lo 4. The Preliminary Planned Development shall have a term of five yea 5. Development of each lot shall require Final Planned Development approva 6. The developer shall enter into and record a Final Planned Development Agreement against each parcel. Each Agreement shall include the following exhibits: • Final Site Plan • Final Building Elevations Plan • Final Sign Plan • Final Landscape Plan • Final Site Lighting Plan 7. Overall square footages are set below: • Lot 1 — 100,000 SF two-story office building. • Lot 2 — 10,000 SF one-story office building or 20,000 SF two-story office building.* • Lot 3 — 9,600 SF. retail& 3,600 SF restaurant (13,200 SF total) or 6,000 SF retail & • 6,000 restaurant (13,200 5F total). • Lot 4 — 30,000 SF two-story office building or 20,000 SF one-story office building.* * The combination of tots 2:& 4 will not exceed 40,000 SF of office building. It is acknowledged that footprint or floor plate sizes shown on the Site Plan may differ at the time of development. 8. The developer shall provide cross';parking easements over all Tots. 9. The developer shall provide landscaping that is consistent with the Master Landscape plan dated April 23, 2004 with the latest revision date of May 5, 2004. 10. The retail/restaurant buildings shall exhibit exterior materials that will consist of glass (50%), brick (30%) and accent material (20%) such as synthetic stucco (EFIS). 11. The developer shall submit specific elevation and material plans at the time of application for Final Planned Development approval. 12. All building elevations shall be treated the same in regard to finish materials. 13. The developer shall revise the building design for the bank prior to this application proceeding to the City Council. 14. The ultimate Signage Plan shall be subject to Site Plan review and approval by the City Council. y/� City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 22 15. Other than "Open or Closed" and hours of operation, window signage shall be prohibited. 16. All trash/recycling shall either be handled internally or within an enclosure attached to the building and constructed of materials to match the building. 17. A photometric site lighting plan and design detail plates illustrating the type, location, and height will be required at the time of application for Final Planned Development approval. 18. The developer shall be responsible for all roadway modifications necessary to accommodate this development, as required by MnDOT and the City. 19. The developer shall provide berming to screen parking areas adjacent to public right-ofway, where possible. 20. This development should accept the City's determination of responsibility and costs of $3,760.00 per net developable acre for AUAR Mitigative Trap mprovem, nts as identified in the Final AUAR document approved by the City Council on October 20, 998, and updated in September 2003. The financial obligation should be placed in an escrow account with the City to be used solely for financing the AUAR improvements and any unus^ed;Eamount will be returned to the payers upon full development of the AUAR properties. 21. An agreement between MnDOT and the City regarding perpetualmauintenance of these frontage roads shall be reached before final subdivision approval for this development. 22. The developer shall satisfy any parks and trails dedication due with a cash dedication based on the rates in effect at the time of development. 23. This developer shall eet the Citys water quality requirements entirely through on-site ponding. 24. One stormwater pond (Pond A) shall be,constructed with a minimum wet -pond volume of 1.3 acre-feet and a minimum area'of 0 27 acres Tt e" other stormwater treatment pond (Pond B) shall be constructed with a minimum wet -pond volume of 0.5 acre-feet. Both ponds shall have a 10:1 aquatic bench and outlet skimm`ers:according to City design standards. All voted in favor. Motion carried 6-0-1."" Hey! Abstained from voting on this item. 9/ 7 PLANNING REPORT CITY OF EAGAN REPORT DATE: May 20, 2004 APPLICANT: Interstate Partners, LLC PROPERTY OWNER: Same REQUEST: Comp Guide Amendment, Rezoning & Prelim. Subdivision CASE: 02 -CG -03-03-04, 02 -PS -05-03-04, 02-RZ-06-03-04 HEARING DATE: May 25, 2004 APPLICATION DATE: March 18, 2004 PREPARED BY: Michael J. Ridley LOCATION: East 1/2 of Section 2 COMPREHENSIVE PLAN: Special Area 2 - Business Park (BP) ZONING: Business Park (BP) SUMMARY OF REQUEST Interstate Partners, LLC is requesting approval of a Comprehensive Guide Plan Amendment to change the designation from Special Area 2 -Business Park to Special Area 2-Office/Service, a Rezoning of approximately 13.5 acres from Business Park to Planned Development, and a Preliminary Subdivision of approximately 13.5 acres to create four lots on property located at the northwest intersection of Highways 55 and 149 in the east %s of Section 2. AUTHORITY FOR REVIEW City Code Section 13.20 Subd. 6 states that "In the case of platting, the Planning Commission and the Council shall be guided by criteria, including the following, in approving, denying or establishing conditions related thereto: A. That the proposed subdivision does comply with applicable City Code provisions and the Comprehensive Guide Plan. B. That the design or improvement of the proposed subdivision complies with applicable plans of Dakota County, State of Minnesota, or the Metropolitan Council. C. That the physical characteristics of the site including, but not limited to, topography, vegetation, susceptibility to erosion and siltation, susceptibility to flooding, water storage and retention are such that the site is suitable for the type of development or use We. Planning Report — Grand Oak Five May 25, 2004 Page 2 contemplated. D. That the site physically is suitable for the proposed density of development. E. That the design of the subdivision or the proposed improvement is not likely to cause environmental damage. F. That the design of the subdivision or the type of improvements is not likely to cause health problems. G. That the design of the subdivision or the improvements will not conflict with easements of record or with easements established by judgment of court. H. That completion of the proposed development of the subdivision can be completed in a timely manner so as not to cause an economic burden upon the City for maintenance, repayment of bonds, or similar burden. I. That the subdivision has been properly planned for possible solar energy system use within the subdivision or as it relates to adjacent property. (Refer to City Handbook on Solar Access). J. That the design of public improvements for the subdivision is compatible and consistent with the platting or approved preliminary plat on adjacent lands. K. That the subdivision is in compliance with those standards set forth in that certain document entitled "City of Eagan Water Quality Management Plan for the Gun Club Lake Watershed Management Organization" which document is properly approved and filed with the office of the City Clerk hereinafter referred to as the "Water Quality Management Plan". Said document and all of the notations, references and other information contained therein shall have the same force and effect as if fully set down herein and is hereby made a part of this Chapter by reference and incorporated herein as fully as if set forth herein at length. It shall be the responsibility of the City Clerk to maintain the Water Quality Management Plan and make the same available to the public." Planned Development: City Code Chapter 11.60, Subd. 18, A., states the intent of the Planned Development zoning district as follows: 1. Providing greater flexibility in environmental design and relaxation of strict application of the zoning ordinance in exchange for greater creativity and environmental sensitivity. y/9 Planning Report — Grand Oak Five May 25, 2004 Page 3 2. Recognizing the economic and cultural advantages that will accrue to the residents of a planned community. 3. Encouraging a more creative and efficient approach to the use of the land. 4. Encouraging the preservation and enhancement of desirable site characteristics, natural features, and open space. 5. Encouraging a development pattern that is consistent with land use density, transportation facilities and community facilities objectives of the Comprehensive Plan. BACKGROUND/HISTORY Interstate Partners, LLC has developed almost 100 acres in their Grand Oak Business Park and this corner will complete the park. The development to date has included eight buildings ranging from Class A office to office/warehouse. The area in question is located within a Tax Increment Financing (TIF) Redevelopment District created by the City and designed to remove blighted structures and land uses inconsistent with Business Park zoning standards. The City has recently acquired portions of the subject site that contain an office building, three office/warehouse buildings and areas with assorted outside storage. EXISTING CONDITIONS The City and Interstate Partners, LLC are negotiating the sale of the City -owned property. Some structures have been or are currently being removed and existing outdoor storage is being moved indoors where possible to make way for the proposed development. There is a one mile long bituminous trail around the centralized stormwater pond that serves all existing buildings in Grand Oak. The developer intends to extend the trail to also serve the proposed development. SURROUNDING USES The following existing uses, zoning, and comprehensive guide plan designations surround the subject property: Vao Existing Use Zoning Land Use Designation North Grand Oak I & II BP Special Area 2 - BP South Office/Warehouse Limited Industrial IND East The Waters Office Park — Office & Office/Warehse Planned Development Special Area 2 — Office/Service West Office & Office/Warehse BP Special Area 2 - BP Vao Planning Report — Grand Oak Five May 25, 2004 Page 4 EVALUATION OF REQUEST Compatibility with Surrounding Area — The applicant is proposing the Guide Plan Amendment primarily to allow the introduction of service retail uses in the business park. According to the applicant, the business park employs approximately 2,000 people that currently have no option but to leave the park to take care of their daily service retail needs. The addition of approximately 150,000 SF of office space (including a bank w/drive through) to the Grand Oak Business Park and 14,000 SF of retail/restaurant at this prime intersection appears beneficial to this area and the City as a whole. Comprehensive Guide Plan Amendment The subject site is located within Special Area 2. Seven Special Areas were created with the most recent Comprehensive Guide Plan Update that was adopted in February 2001. The Special Areas were created because they were areas that either contained unique circumstances that could be best dealt with in a manner specific to the area or a large amount of undeveloped land existed and the City wanted to more closely analyze a given situation. Most of the Special Areas include existing uses that are not consistent with the long-range vision for development in that area but may not negatively impact the vision and can be phased out over time. Special Area 2 provides for Business Park zoning and a Guide Plan designation of Business Park for the entire area. The subject site matches that zoning and Guide Plan designation. The proposed Comprehensive Guide Amendment from Business Park to Office/Service will allow a zoning change to allow the introduction of retail service uses that are not permitted in the Business Park Zoning District. Staff suggests that this is a minor amendment that will continue to provide for the expansion of the office uses that currently exist in the Grand Oak Business Park and offer a feature that does not exist in the park. The introduction of restaurant and retail service will provide an alternative to employee traffic leaving the site during lunch hour to enjoy a meal and/or attend to daily retail service needs. Planned Development The Planned Development Zoning District allows the developer to benefit from a relaxation from the strict application of the Zoning Ordinance requirements and allows the City to require higher development standards in exchange for that flexibility. In exchange for allowing an overall reduction in required parking, shared parking and flexibility in lot development, the City receives a comprehensive development plan, architectural consistency, uniform signage and "public" amenities that will enhance the appearance and appeal of this highly visible gateway property at a prominent intersection of two state highways. Planning Report — Grand Oak Five May 25, 2004 Page 5 Proposed Mix of Uses — The developer is proposing the following: Lot 1 —100,000 SF three-story office building. Lot 2 —10,000 SF one-story office building or 20,000 SF two-story office building.* Lot 3 — 9,600 SF retail & 3,600 SF restaurant (13,200 SF total) or 6,000 SF retail & 6,000 restaurant (13,200 SF total). Lot 4 — 30,000 SF two-story office building or 20,000 SF one-story office building.* * The combination of Lots 2 & 4 will not exceed 40,000 SF of office building. Term — Staff recommends a five-year term for this Preliminary Planned Development. Phasing — Interstate Partners anticipates a two phase build out. The developer intends to begin construction on Lots 2, 3 and 4 this fall. Construction of the 100,000 SF office building on Lot 1 will occur subsequent to the tenants of the "triangle" building relocating and the building being demolished next spring. Setbacks — All building and parking setbacks meet or exceed Code requirements based on the Site Plan dated May 5, 2004. Parkin — The developer is proposing an overall shared parking plan that, depending on the build out alternatives will be anywhere from 83 and 113 stalls short of the minimum required by City Code. From a strict City Code standpoint, the office parcels are "under parked" while the retail/restaurant lot is "over parked". In addition to providing cross parking easements over all lots, the developer has extensive experience in leasing building space in this area and is certain that the office parking will be prove to be more than adequate. Additionally, the proposed office buildings on Lots 1 and 4 will likely have underground parking. These stalls have not been included in the parking numbers listed above. Staff recognizes that the developer (who is also a landlord) has far more expertise with actual parking need than City staff and, further, staff believes the proposal represents a true shared - parking scenario where peak parking times for the office use and retail/restaurant use will generally not conflict with one another due to the pedestrian connections within the business park and the fact that the office park hours are predominantly 8 a.m. to 5 p.m. Nevertheless, City policy makers should determine the suitability of the proposed parking arrangement. Landscaping — The Master Landscape Plan dated April 23, 2004 with the latest revision date of May 5, 2004 is acceptable. The developer is proposing a good mix of plant material that will provide screening and year-round color to the site. Building Elevations All building elevations will be treated as building "fronts" in regard to finish materials. y a� Planning Report — Grand Oak Five May 25, 2004 Page 6 Office The developer is proposing that the 100,000 SF office building (Grand Oak 10) located on proposed Lot 1 will match the design and materials that exist on Grand Oak 1. (Below) The developer is proposing that the 30,000SF office building (Grand Oak 9) located on proposed Lot 4 will match the design and materials that exist on Grand Oak 2 (below) although the standing seam roof feature may be expanded. The developer is proposing a 10,000 SF bank with drive-through. The plans submitted match the brick and limestone materials that are incorporated into the other existing and future office buildings proposed here. However, the architecture of the bank building does not appear compatible with the other buildings in the business park. Specifically, the style presented reflects a residential design that is out of character with the professional office park that has been established and proposed on the east side of the park. The developer should revise the building design for the bank prior to this application proceeding to the City Council. Planning Report — Grand Oak Five May 25, 2004 Page 7 Retail/Restaurant The developer has not prepared a final design of this portion of the development; however, the photographs below illustrate a design similar to what the developer has in mind. The proposed retail/service component will provide pedestrian access and parking available from both sides of the building. Additionally, the developer has stated that the exterior materials will consist of glass (50%), brick (30%) and accent material (20%) such as synthetic stucco (EFIS). The developer should be required to submit specific elevation and material plans at the time of application for Final Planned Development approval. Signage — The developer is proposing free-standing and building signage to be determined at a later date when tenants are identified. The developer is agreeable to Site Plan review of signage by the City Council when the tenant mix is more firm. While the suggested process is out of the ordinary, it should not be problematic provided that the developer understands that the site signage will need to be uniform as to materials/architecture and understated. For example, the City may seek less sign square footage than the Sign Ordinance would allow, no flashing lights or moving copy and perhaps all signage should be externally lit. The suitability of the proposed process for determining site signage and the characteristics of the signage to be allowed is a decision for City policy makers. Other than "Open or Closed" and hours of operation, window signage should be prohibited. Trash/Recycling — Depending on the building, trash/recycling will either be handled internally or within an enclosure attached to the building and constructed of materials to match the building. Site Lighting — A lighting Plan has not been submitted. The applicant should provide a photometric site lighting plan and design detail plates illustrating the type, location, and height will be required at the time of application for Final Planned Development approval. Adequate lighting of guest parking areas will be required in addition to the proposed building lighting. Planning Report — Grand Oak Five May 25, 2004 Page 8 Preliminary Subdivision Lots — The four proposed lots range in size from 1.7 — 5.4 acres. Grading - The preliminary grading plan is acceptable. The site is relatively flat and is open. The buildings within the development are proposed to be approximately level to 10 feet above the elevations of adjacent Highway 55 and Highway 149. The developer should provide berms to screen parking areas adjacent to public right-of-way, where possible. Storm Drainage —This development will construct two storm water ponds, and utilize existing ponds built with previous development, for storm water management purposes. A portion of the development runoff will drain to Highway 55 right-of-way. The developer will be required to maintain post -development rates of runoff to the State right-of-way to existing pre -development rates. Water Quality/Wetlands - This proposed 14.1 -acre commercial subdivision is located in the City's F -watershed, which is in the northwest corner of the city. Stormwater runoff from the development eventually would enter nearby City Pond FP -1 a Class V (Nutrient Trap) waterbody that is also DNR public water wetland #19-120W. The required volume and area of water quality treatment ponds are based on the impervious proportion of proposed developments (i.e., land covered by buildings, parking lots, driveways, and walks). To meet City water quality requirements, the developer proposes to direct runoff from the site through three treatment ponds, two of which would be constructed. New Pond A in the southeast portion of the site would receive runoff from 8.8 acres of the site with 66 percent impervious cover, requiring a minimum wet -pond (treatment) volume of 1.3 acre feet. New Pond B in the northeast portion of the site would receive runoff from 3.0 acres with 76 percent impervious cover, requiring a minimum wet -pond (treatment) volume of 0.5 acre feet. An existing stormwater treatment pond to the southwest of the project has adequate extra treatment capacity and would receive runoff from the remaining portion of the site. Both constructed ponds would need a minimum 10:1 aquatic bench beginning at the normal water level. The outlet structures of the ponds would need to be consistent with City of Eagan standards. There are no wetlands issues associated with this project. Utilities - Sanitary sewer and water main pipes of sufficient size, depth and capacity are available for connection within and adjacent to the site. Streets/Access/Circulation — Street access for the entire development is proposed from two existing frontage roads, one each along Highway 149 and Highway 55. These frontage roads will be upgraded and modified to accommodate the development layout. The frontage road along Highway 149 intersects with the highway at an existing signal. The frontage road at Highway 55 will be restricted to right -in/ right -out vehicle turning movements only, as required by MnDOT gas Planning Report — Grand Oak Five May 25, 2004 Page 9 access spacing guidelines. A private service drive network will provide circulation within the development. The developer should be responsible for all roadway modifications necessary to accommodate this development, as required by MnDOT and the City. A portion of the frontage roads will be located within MnDOT right-of-way. An agreement between MnDOT and the City regarding maintenance of these frontage roads should be reached before final subdivision approval for this development. The City Council approved an Alternative Urban Area wide Review (AUAR) environmental study (City Project No. 736) in October, 1998. This study, also updated in September 2003, evaluated the various transportation related impacts and the associated improvements necessary during a twenty-year period due to the development of properties bordered by I-494, Highway 55 and Highway 149. The AUAR identifies estimated costs for the needed mitigative improvements based on the potential land uses in the area. With the original Grand Oak development, the City Council approved a condition obligating developer to contribute financially to fund these future improvements, based on the projected increase of traffic generated from that development. This proposed development is generally consistent with the potential uses and potential traffic generation identified in the latest version of the AUAR. This development should accept the City's determination of responsibility and costs of $3,760.00 (2004 rate) per net developable acre for AUAR Mitigative Traffic Improvements as identified in the Final AUAR document approved by the City Council on October 20, 1998, and updated in September 2003. The financial obligation should be placed in an escrow account with the City to be used solely for financing the AUAR improvements and any unused amount will be returned to the payers upon full development of the AUAR properties. Easements/Permits/Right-of-Way — The developer should obtain all necessary permits from MnDOT for any work within Highway 55 and Highway 149 rights-of-way. Airport Noise Considerations — The City of Eagan considered airport noise as a factor in its Comprehensive Land Use Guide Plan. The Metropolitan Council has adopted an Aviation Chapter in Metropolitan Development Guide that anticipates the impacts from the continued operation of the airport at its current location. The noise policy contours in Eagan place the subject property within Noise Zone 4. The proposed uses are considered consistent uses in Noise Zone 4. Tree Preservation — There are no tree preservation issues with this proposal. Parks and Recreation — Park and Trail dedication should be satisfied with a cash dedication at the rates in effect at the time of development. Currently, the rates are $1,033 per net acre for both park and trail dedication ($2,066 total/net acre). Planning Report — Grand Oak Five May 25, 2004 Page 10 SUMMARY/CONCLUSION Interstate Partners, LLC has developed almost 100 acres in their Grand Oak Business Park and this corner will complete the park. The development to date has included eight buildings ranging from Class A office to office/warehouse. The area in question is located within a Tax Increment Financing (TIF) Redevelopment District created by the City and designed to remove blighted structures and land uses inconsistent with Business Park zoning standards. The Comprehensive Plan Amendment that will continue to provide for the expansion of the office uses that currently exist in the Grand Oak Business Park and offer a feature that does not exist in the park. The introduction of restaurant and retail service will provide an alternative to employee traffic leaving the site during lunch hour to enjoy a meal and/or attend to daily retail service needs. In exchange for allowing an overall reduction in required parking, shared parking and flexibility in lot development, the Planned Development provides the City with a comprehensive development plan, architectural consistency, uniform signage and "public" amenities that will enhance the appearance and appeal of this highly visible gateway property at a prominent intersection of two state highways. The developer is proposing free-standing and building signage to be determined at a later date when tenants are identified. The developer is agreeable to Site Plan review of signage by the City Council when the tenant mix is more firm. That process should not be 'problematic provided the developer understands that the site signage will need to be uniform and, perhaps, understated. For example, the City may desire less sign square footage than the Sign Ordinance would allow, no flashing lights or moving copy and perhaps all signage should be externally lit. ACTION TO BE CONSIDERED To recommend approval of a Comprehensive Guide Plan Amendment to change the designation from Special Area 2 -Business Park to Special Area 2-Office/Service. To recommend approval of a Rezoning of approximately 13.5 acres from Business Park to Planned Development and a Preliminary Planned Development. To recommend approval of a Preliminary Subdivision of approximately 13.5 acres to create four lots on property located at the northwest intersection of Highways 55 and 149 in the east 1/2 of Section 2. 1. The developer shall comply with these standards conditions of plat approval as adopted by Council on February 2, 1993: Al; B1, 2, 3, 4; Cl, 2, 4; D1; El; F1; and H1 eta Planning Report — Grand Oak Five May 25, 2004 Page 11 2. The property shall be platted. 3. The developer shall enter into and record a Preliminary Planned Development Agreement against the property. The Agreement shall include the following exhibits: > Preliminary Site Plan > Preliminary Building Elevations > Preliminary Landscape Plan > Preliminary Sight Lighting Plan 4. The Preliminary Planned Development shall have a term of five years. 5. Development of each lot shall require Final Planned Development approval. 6. The developer shall enter into and record a Final Planned Development Agreement against each parcel. Each Agreement shall include the following exhibits: ➢ Final Site Plan ➢ Final Building Elevations Plan > Final Sign Plan > Final Landscape Plan > Final Site Lighting Plan 7. Overall square footages are set below: > Lot 1 —100,000 SF two-story office building. > Lot 2 —10,000 SF one-story office building or 20,000 SF two-story office building.* > Lot 3 — 9,600 SF retail & 3,600 SF restaurant (13,200 SF total) or 6,000 SF retail & 6,000 restaurant (13,200 SF total). > Lot 4 — 30,000 SF two-story office building or 20,000 SF one-story office building.* * The combination of Lots 2 & 4 will not exceed 40,000 SF of office building. It is acknowledged that footprint or floor plate sizes shown on the Site Plan may differ at the time of development. 8. The developer shall provide cross parking easements over all lots. 9. The developer shall provide landscaping that is consistent with the Master Landscape Plan dated April 23, 2004 with the latest revision date of May 5, 2004. 10. The retail/restaurant buildings shall exhibit exterior materials that will consist of glass (50%), brick (30%) and accent material (20%) such as synthetic stucco (EFIS). �a� Planning Report — Grand Oak Five May 25, 2004 Page 12 11. The developer shall submit specific elevation and material plans at the time of application for Final Planned Development approval. 12. All building elevations shall be treated the same in regard to finish materials. 13. The developer shall revise the building design for the bank prior to this application proceeding to the City Council. 14. The ultimate Signage Plan shall be subject to Site Plan review and approval by the City Council. 15. Other than "Open or Closed" and hours of operation, window signage shall be prohibited. 16. All trash/recycling shall either be handled internally or within an enclosure attached to the building and constructed of materials to match the building. 17. A photometric site lighting plan and design detail plates illustrating the type, location, and height will be required at the time of application for Final Planned Development approval. 18. The developer shall be responsible for all roadway modifications necessary to accommodate this development, as required by MnDOT and the City. 19. The developer shall provide berming to screen parking areas adjacent to public right-of- way, where possible. 20. This development should accept the City's determination of responsibility and costs of $3,760.00 per net developable acre for AUAR Mitigative Traffic Improvements as identified in the Final AUAR document approved by the City Council on October 20, 1998, and updated in September 2003. The financial obligation should be placed in an escrow account with the City to be used solely for financing the AUAR improvements and any unused amount will be returned to the payers upon full development of the AUAR properties. 21. An agreement between MnDOT and the City regarding perpetual maintenance of these frontage roads shall be reached before final subdivision approval for this development. 22. The developer shall satisfy any parks and trails dedication due with a cash dedication based on the rates in effect at the time of development. 23. This developer shall meet the City's water quality requirements entirely through on-site ponding. ya9 Planning Report — Grand Oak Five May 25, 2004 Page 13 24. One stormwater pond (Pond A) shall be constructed with a minimum wet -pond volume of 1.3 acre-feet and a minimum area of 0.27 acres. The other stormwater treatment pond (Pond B) shall be constructed with a minimum wet -pond volume of 0.5 acre-feet. Both ponds shall have a 10:1 aquatic bench and outlet skimmers according to City design standards. L/30 STANDARD CONDITIONS OF PLAT APPROVAL A. Financial Obligations 1. This development shall accept its additional financial obligations as defined in the staffs report in accordance with the final plat dimensions and the rates in effect at the time of final plat approval. B. Easements and Rights-of-Wav 1. This development shall dedicate 10 -foot drainage and utility easements centered over all lot lines and, in addition, where necessary to accommodate existing or proposed utilities for drainage ways within the plat. The development shall dedicate easements of sufficient width and location as determined necessary by engineering standards. 2. This development shall dedicate, provide, or financially guarantee the acquisition costs of drainage, ponding, and utility easements in addition to public street rights-of-way as required by the alignment, depth, and storage capacity of all required public utilities and streets located beyond the boundaries of this plat as necessary to service or accommodate this development. 3. This development shall dedicate all public right-of-way and temporary slope easements for ultimate development of adjacent roadways as required by the appropriate jurisdictional agency. 4. This development shall dedicate adequate drainage and ponding easements to incorporate the required high water elevation plus three (3) feet as necessitated by storm water storage volume requirements. C. Plans and Specifications 1. AU public and private streets, drainage systems -and utilities necessary to provide service to this development shall be designed and certified by a registered professional engineer in accordance with City adopted codes, engineering standards, guidelines and policies prior to application for final plat approval. 2. A detailed grading, drainage, erosion, and sediment control plan must be prepared in accordance with current City standards prior to final plat approval. 3. This development shall ensure that all dead-end public streets shall have a cul-de-sac constructed in accordance with City engineering standards. 4/ 3/ 4. A separate detailed landscape plan shall be submitted overlaid on the proposed grading and utility plan. The financial guarantee for such plan shall be included in the Development Contract and shall not be released until one year after the date of City certified compliance. D. Public Improvements 1. if any improvements are to be installed under a City contract, the appropriate project must be approved by Council action prior to final plat approval. E. Permits 1. This development shall be responsible for the acquisition of all regulatory agency permits required by the affected agency prior to final plat approval. F. Parks and Trails Dedication 1. This development shall fulfill its park and trail dedication requirements as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. G. Water Quality Dedication 1. This development shall be responsible for providing a cash dedication, ponding, or a combination thereof in accordance with the criteria identified in the City's Water Quality Management Plan, as recommended by the Advisory Parks, Recreation and Natural Resource Commission and approved by Council action. H. Other 1. All subdivision, zoning and other ordinances affecting this development shall be adhered to, unless specifically granted a variance by Council action. Advisory Planning Commission City Council Approved: August 25, 1987 September 15, 1987 Revised: July 10, 1990 LTS#5 STANDARD.CON Revised: February 2, 1993 FINANCIAL OBLIGATION- Preliminary Subdivision -Grand Oak Five There are pay-off balances of special assessments totaling $-O-on the parcels proposed for subdivision. The pay-off balance will be allocated to the lots created by the subdivision. At this time, there are no pending assessments on the parcel proposed for subdivision. This estimated financial obligation is subject to change based upon the areas, dimensions and. land uses contained in the final subdivision. Based upon the study of the financial obligations collected in the past and the uses proposed for the property, the following charges are proposed. The charges are computed using the City's existing fee schedule and for the connection and availability of the City's utility system. The charges will be computed using the rates in effect at time of connection or subdivision. IMPROVEMENT USE RATE QUANTITY AMOUNT Water Trunk C.I. $2,165/Ac 2.43 Ac $5,261 Water Supply and Storage C.I. 3,415/Ac 2.43 Ac 8,298 Total $13,559 ,D)_3 NARRATIVE FOR PRELIMINARY PLAT FILING Sc REZONING GRAND OAK FIVE SUBDIVISION EAGAN, M N 1�nis is t1e written narrative supporting the preliminart. subdivision and rezoning °rectuest made above Comprehensive Guide Plan designation (existing and proposed) Interstate Partners LLC, in conjunction with the City of Eagan, has acquired three parcels of land located at the NW quadrant of the intersection of State Trunk Highways 149 and 55. There are currently three buildings comprised of older dysfunctional office/warehouse and office buildings as well as outdoor storage of construction equipment and are zoned Business Park. The sites are all guided Business Park under the city's Comprehensive Guide Plan. There are no wetlands on the site and there are four trees that will be removed. We understand that we will need to replace them above and beyond the landscape plan included in this submittal. In addition we would like to ask the city for their approval with some flexibility as to the sizes of the buildings on lots 2 & 4 as shown on Exhibit A attached hereto. As it is currently proposed, the building on lot 2 (shown in green on Exhibit A) is one-story & 10,000 sf and the building on lot 4 (shown in yellow on Exhibit A) is two -stories & 30,000 sf. We would like the approval to create a building on lot 2 that would range from a one-story 10,000 sf building to a two-story 20,000 sf building. On lot 4 we would like to create a building that is a two-story 30,000 sf building or one-story 20,000 sf building. It would also be understood that the combination of the two buildings would not exceed 40,000 sf. We believe that this is a minor issue due to the fact that there will be cross -parking easement agreements between the four lots and this is simply dealing with a different way to allocate the square footage contemplated on the site plan. - Zoning Classification (existing and proposed) The parcels are currently zoned Business Park and have obtained variances or conditional use permits to allow for the uses currently contained on the sites. We propose that the sites be rezoned Planned Development — Business Park. - What you want to do; timing/phasing We would like to create four parcels to construct three office buildings and a small retail/restaurant site. - Existing land uses on subject property The site is currently zoned Business Park and also guided Business Park under the city's Comprehensive Guide Plan and we are asking the site to be rezoned Planned Development — Business Park. Currently located on the site is one office building, R E C E I E 3 MAR 1'7 2004 three office/warehouse buildings, and outside storage of construction equipment associated with one of the buildings. - Surrounding land uses and zoning within 660 feet The four parcels that we are proposing would complete the approximately 100 acre Grand Oak Business Park. Grand Oak and all the surrounding areas of development are zoned Business Park and contain office and office/warehouse buildings consistent with the Business Park zoning. 1-1i5 is e written narrative addressing e following rezoning questions. - What impact does the rezoning have on the surrounding property and land uses? The rezoning will allow Grand Oak Business Park to be completed and developed in a manner consistent with the rest of the area. The redevelopment of these parcels will complete the upgrading and redevelopment of this strategic area within the city of Eagan. In addition, the proposed restaurant/retail site will be an enhancement to the services offered for offices in the area. - What impact does the rezoning have on the subject property? The rezoning of the property will allow the property to be significantly improved through the development of office buildings that are consistent with the intended uses of the property under the Business Park zoning. - What impact does the rezoning have on city services, such as sewer, water, storm water run-off, and roads? This rezoning and development of the property will not have any adverse impact on the surrounding properties. The improvements should be easily accommodated by the city's existing services to this area. The rezoning will allow the property to be improved in a manner more consistent with the expectations of the city. . Does the requested land use proposed by the rezoning result in a better use of the land? Yes. Specifically, the land will be used to create four lots that will be incorporated into the existing Grand Oak Business Park, an approximately 100 acre master planned business park that currently consists of eight buildings ranging from Class A office to office /warehouse consistent with the Business Park zoning. There is a one -mile long bituminous trail around a centralized lake with several tenant plazas and a putting green that currently exists and connects all the current buildings that will be expanded to service the new development. The proposed development will not only help make a better entrance into the city of Eagan but also bolster the services in the area with the addition of a restaurant and service retail for the surrounding business community. Location Map Eagan Boundary ./AV Street Centerline I Parcel Area Building Footprint Subject Site 5555555955E 55555555M MENEM 55555555555 222• 22i2a 555555555 22▪ 222222 P OP 1000 0 1000 2000 Feet Development/Developer: Interstate Partners, LLC Application: Comp Guide Amendment, Rezoning, Prelim Sub. and PD Case No.: 02 -CG -03-03-04, 02-RZ-06-03-04, 02 -PS -05-03-04, 02 -PD -02-03-04 city of =man Community Development Department Map Prepared us p EIySi Arc4r 3.1./arcel base map data provided by Dakota C my ce of CG$ antes current as of January 2004. THIS MAP 1REFERENCE USE ONLY The City of Eagan and Dakota County do not guarantee the accuracy of this information and are not responsible for errors or omissions. E Current Zoning and Comprehensive Guide Plan Interstate Partners Land Use Map Case No. 02 -CG -03-03-04, 02-M-06-0304, 02 -PS -05-03-04 Zoning Map .",..._.\ii iit %," t a . 3 i Current Zoning: 1 BP Business Park arq PD -11140! 4.1 r� e PD 000 0 600 1200 Foot 1-1 Comprehensive Guide Plan Land Use Map ,„)" SAot c 0 "111111ksF4hil' to SA Current Land Use Designation: ,rp11.1,1%. iih SA Special Area Business Park - } s r Y 4>ssN 600 0 000 1200 FM IND E a~( Parcel base tn.,.I Mod Land barony Deyl.rtment June 2003. N m.intal by City Stan. City of Eagan W E THIS MAP INTENDED F R REFERENCE USE ONLY Community Development Department The City of Eagan and Dakota County do not guarantee the accuracy of this information. S Sit int bbt ON AMH 31YLS to 11„ Z 1111 1\1 i ;� .1 't' ill TRIP fir, Clagligt 'Fb-TION H 11 1 D 1111 ENNSESS MOM t iir rrurrumm�►�no. ral Agenda Information Memo June 15, 2004 Eagan City Council Meeting C. ORDINANCE AMENDMENT — CITY OF EAGAN ACTION TO BE CONSIDERED: To approve an Ordinance Amendment and direct publication of same to modify Chapter 11, Section 11.60 regarding accessory buildings in the Public Facility Zoning District. FACTS: ➢ On October 7, 2003 the City Council approved the ordinance amendment updating Chapter 11 in its entirety. This amendment inadvertently omitted private garages (accessory structures), off-street parking and loading spaces as permitted accessory uses in the Public Facilities District. ➢ At their meeting on May 4, 2004, the City Council directed that an Ordinance Amendment to Chapter 11 regarding accessory structures in a PF zoning district be prepared. ➢ The APC held a Public Hearing and recommended approval of the amendment at their regular meeting of May 25, 2004. ISSUES: None ATTACHMENTS: (2) Staff Memo and Ordinance Amendment language on page /through Y y44 Draft APC Minutes on page City of Eaga MEMO TO: Mike Ridley, City Planner FROM: Mary Granley, Code Enforcement DATE: May 11, 2004 SUBJECT: Ordinance Amendment Section 11.60 Subd. 20(C) Permitted Accessory Uses in Public Facilities District On October 7, 2003 the City Council approved the ordinance amendment updating Chapter 11 in its entirety. This amendment inadvertently omitted private garages (accessory structures), off- street parking and loading spaces as permitted accessory uses in the Public Facilities District. Research into Chapter 11 has revealed that there exist performance standards for the design of garages and accessory structures and off-street parking in public and institutional developments. At their meeting on May 4, 2004, the City Council directed that an Ordinance Amendment to Chapter 11 regarding accessory structures in a PF zoning district be prepared. Attached please find a draft ordinance amendment to correct the zoning code omission. 4/3 ORDINANCE NO. 2ND SERIES AN ORDINANCE OF THE CITY OF EAGAN, MINNESOTA, AMENDING EAGAN CITY CODE CHAPTER 11 ENTITLED "LAND USE REGULATIONS" BY AMENDING SECTION 11.60 SUBD. 20(C) REGARDING PERMITTED USES; AND BY ADOPTING BY REFERENCE EAGAN CITY CODE CHAPTER 1 AND SECTION 11.99. The City Council of the City of Eagan does ordain: Section 1. Eagan City Code Chapter Eleven, Section 11.60, Subd. 20(C) is hereby amended to add the following provision: 3. Private garages, off-street parking and loading spaces, as regulated by this chapter. Section 2. Eagan City Code Chapter 1 entitled "General Provisions and Definitions Applicable to the Entire City Code Including `Penalty for Violation" and Section 11.99, entitled "Violation a Misdemeanor" are hereby adopted in their entirety by reference as though repeated verbatim. Section 3. Effective Date. This ordinance shall take effect upon its adoption and publication according to law. ATTEST: CITY OF EAGAN City Council By: Maria Petersen Its: City Clerk Date Ordinance Adopted: Date Ordinance Published in the Legal Newspaper: Date of Advisory Planning Commission Hearing: By: Pat Geagan Its: Mayor City of Eagan Advisory Planning Commission Meeting Minutes May 25, 2004 Page 23 L. ORDINANCE AMENDMENT — CITY OF EAGAN An Ordinance Amendment to Chapter 11 Entitled "Land Use Regulations (Zoning)" to amend Chapter 11 to allow Accessory Structures in the Public Facility zoning district. City Planner Ridley introduced this item. Chair Heyl opened the public hearing. There being no public comment, Chair Heyl closed the public hearing and turned the discussion back to the Commission. Member Heyl moved, Member Bendt seconded a motion to recommend approval of an Ordinance Amendment to Chapter 11 Entitled "Land Use Regulations Zoning)" to amend Chapter 11 to allow Accessory Structures in the Public Facility zoning district!! All voted in favor. Motion carried 7-0. V. OTHER BUSINESS A. Consideration of "Ring Road" - Duckwood Drive OfficiaJMap Assistant City Engineer John Gorder introduced this item and presented the information in Memorandum dated May 25, 2004. Member Bendt moved, Member Chavez seconded a motion to recommend approval of the Consideration of "Ring Road" — Duckwood Drive Official Map. All voted in favor. Motion carried City Planner Ridley stated a joint workshop with the Advisory Parks Commission would be held on June 10, 2004. There was no Other Business to discuss,at this time. VI. VISITORS T_BE HEARD (FOR ITEMS NOT ON THE AGENDA) There were no visitors o be heard for items not on the agenda. VII. ADJOURNMENT Member Leeder moved, and Member Hansen seconded a motion to adjourn the Advisory Planning Commission meeting at 12:05 a.m. All voted in favor. Motion carried 7-0. 4qs TO: FROM: DATE: city of eagan MEMO HONORABLE MAYOR AND CITY COUNCILMEMBERS CITY ADMINISTRATOR HEDGES JUNE 11, 2004 SUBJECT: INFORMATIVE WEEK OF JUNE 14 -18 Tuesday, June 15 Thursday, June 17 Future Meetings Tuesday, June 22 Tuesday, June 29 Saturday, July 3 Sunday, July 4 Tuesday, July 6 Tuesday, July 13 Tuesday, July 20 UPCOMING MEETINGS / EVENTS 6:00 p.m. Listening Session / City Hall Eagan Room 6:30 p.m. Regular City Council Meeting / City Council Chambers 11:30 a.m. Municipal Legislative Commission Board of Directors Mtg/ - 1:30 p.m. Woodbury — Mayor Geagan 8:30 a.m. Ron Maddox, Mayor Kelley meeting @ Eagan City Hall to acknowledge Eagan's recognition in 2004 Taste of MN 5:30 p.m. Special City Council Workshop/tentative pending action by Council on 6/15 9:00 a.m. 4th of July Parade 10:00 p.m. Fireworks 6:00 p.m. Listening Session / City Hall Eagan Room 6:30 p.m. Regular City Council Meeting / City Council Chambers 4:30 p.m. Anderson parcel celebration @ Anderson site 5:30 p.m. Special City Council Worksession 6:00 p.m. Listening Session / City Hall Eagan Room 6:30 p.m. Regular City Council Meeting / City Council Chambers INTERGOVERNMENTAL CDA ASSISTED HOUSING COMMUNITY DEVELOPMENT UPDATE Enclosed on page4V%is a copy of the status report for assisted housing in community development as presented by the Dakota County Community Development Agency for the City of Eagan. MUNICIPAL LEGISLATIVE COMMISSION/2004 REGULAR SESSION REPORT Enclosed on pages through 95 are excerpts from the MLC 2004 Regular Session Minnesota Legislative Report. MVTA NEWS RELEASE Enclosed on pages y,5through95 is a copy of a news release provided by the Minnesota Valley Transit Authority entitled, "MVTA Commemorates Opening of Hiawatha Line with Buses Wrapped as Original Train." DAKOTA COUNTY CDA CDBG UPDATE Enclosed on pages9SS ` tais a copy of the most recent update on the CDA's Community Development Block Grant activities. In particular, it indicates that there has been strong demand for the Housing Rehab Program in Eagan, with over 10% of the past year's rehab projects occurring in Eagan. GENERAL ARTICLE FEATURING EAGAN COMMUNITY CENTER Enclosed on pad/ is a copy of an article that appeared in Athletic Business, the business magazine for athletic fitness and recreation professionals, that features the City of Eagan Community Center as an architectural showcase. Congratulations to the City Council, the Citizens Committee, the community and the staff for making this happen! NEWSPAPER ARTICLES Enclosed on pagesWithrough4, are copies of newspaper articles which recently appeared in local papers. Thomas L. Hedges City Administrator Status Report for Eagan May -04 Elderly Amount Handicapped/ of ASSISTED HOUSING Disabled Family Total Change Section 8 Housing: Vouchers 172 246 418 -6 Portable 17 53 70 2 Project Based 0 0 0 0 HOME TBRA 4 2 6 0 Low Rent Housing (HUD) 0 30 30 0 CDA Bond Financed Senior Housing 190 0 190 0 CDA Tax Credit Housing 0 42 42 0 Non -CDA Bond Financed Housing 32 0 32 0 Non- CDA Tax Credit Housing 0 16 16 0 MAX 200 (Short Term Senior) 1 0 1 0 Shelter + Care 0 0 0 0 Bridges 0 5 5 0 RAFS 0 1 1 0 TOTAL ASSISTED HOUSING 416 395 811 -4 Elderly Amount Handicapped/ of COMMUNITY DEVELOPMENT Disabled Familv Total Change CFUF 0 1 1 0 MHFA Home Improvement Loan 3 14 17 0 MHFA Home Rehab Loan 6 12 18 0 MHFA Home Energy Loan 1 13 14 0 CDBG Rehab Loan 11 75 86 1 First Time Homebuyer 0 780 780 6 Weatherization 18 135 153 0 TOTAL COMMUNITY DEVELOPMENT 39 1030 1069 7 Project Based Section 8 None Project Based Tax Credit: Non -CDA Managed: Wescott Townhomes (16 units) CDA Managed: Oak Ridge Townhomes (42 units) Erin Place (34 not completed) Project Based Bond Financed: Non -CDA Managed: Cedar Villas (21 affordable/104 total family units - not completed) Commons on Mance (32 affordable/ 156 total senior units) CDA Managed: Senior: O'Leary Manor (65 units) Oak Woods of Eagan (65 units) Lakeside Pointe (60 units) I. INTRODUCTION GENERAL SESSION OVERVIEW A "BUDGETLESS" NIGHT The 2004 legislative session ended with a whimper rather than a bang. The 7:00 a.m. motion to adjourn sine die came in the wake of a grueling all night floor session. Though plenty of bills were passed between both bodies, no late night policy missiles were lobbed in either direction. Suffice to say, few people were able to take something home and most were left scratching their heads wondering just what really happened. Reminiscent of the days when Governor Ventura shut everyone out, this was political gridlock at its best. Important issues were left hanging by the wayside. In all fairness, the session wasn't a complete loss, even if compromise came on the heels of late night, last minute negotiations. Among the legislation concurred to and passed by both bodies were new science and social studies standards for public schools, limitations for owning dangerous animals, threshold blood alcohol levels for impaired drivers were reduced from .10 to .08 and job reference protection was enacted. Laying the groundwork for the 2004 Legislative session, the Govemor outlined his priorities tong before the session began. The initiatives seemed attainable and fair enough: fix the $160 million deficit, enact a modest bonding bill, strengthen sentences for sexual predators, house the homeless and clean up impaired waters - to name a few. After struggling to balance the $4.5 billion budget shortfall last year, a $160 million deficit said Chief of Staff, Dan McElroy, is a "speed bump compared to the Mount Kilimanjaro of last year." Unfortunately, as the session drew to an uneventful close, the Senate and the House couldn't reach a global agreement on how to plug the $160 million budget deficit. So, making true on an earlier promise, Governor Pawlenty unilaterally solved the state's $160 million short fall. Wielding his pen in two executive orders, the Governor plugged the deficit by transferring federal funds from the Healthcare Access fund, cutting state agencies budgets by 3%, putting $18 million worth of bond sales on hold for previously authorized projects, and stepping up efforts to collect delinquent taxes. In the end, the Governor, the House and the Senate couldn't come to a consensus on the years major bills so they shut down; blaming each other all the way to the outskirts of our fair state. And we are left to look ahead to the 2005 session or special session? The remainder of this report will focus on initiatives that were pursued this year at the Legislature that relate specifically to the Municipal Legislative Commission. As always, it has been a pleasure to work with the MLC, and the lobbyists at Messerli & Kramer P.A. look forward to representing you at the Capitol in 2005 and beyond. 2 AFFORDABLE LIFE CYCLE HOUSING DETERMINATION (ALOHA) CHAPTER 259 S.F. 2177 (REP. RON ABRAMS & SEN. LINDA HIGGINS) EFFECTIVE MAY 30, 2004 • Changes the formula for determining the amount that municipalities must expend for affordable and life -cycle housing in order to participate in the livable communities program. • Specifies that the present formula for calculation of a municipality's affordable and life- cycle housing opportunity's amount (ALHOA) remains in effect through the end of calendar year 2002. • Establishes a new formula for the calculation of the ALHOA amount for calendar year 2003 and thereafter. The new formula provides that the ALHOA amount is equal to the sum of the municipality's proportionate share of the $1 million Metropolitan Council levy, which is credited to the local housing incentives account, plus the municipality's proportionate share of the amount levied for the livable communities demonstration account. • Replaces the negotiation of affordable life -cycle housing goals with a fixed requirement that any municipality that does not spend 85 percent of its ALHOA amount to create affordable and life -cycle housing opportunities must distribute that amount either to the local housing incentives account or the city or county HRA. • Caps the increase in ALHOA amounts for calendar years 2003 through 2007 at 20 percent of the increase caused by the new formula. Link:htto://www.revisor.leq.state.mn.us/cgibin/getbill.ol?version=latest&session=ls83&session nuber=0&sess ion year=Requ&number=sf2177 7 (-/9' III. BILLS THAT DID NOT BECOME LAW DURING THE 2004 SESSION EMINENT DOMAIN: HF 1901 (PAULSEN)/ SF 2037 (KISCADEN) TAXPAYER BILL OF RIGHTS (TABOR): HF 3135 (KRINKIE)/SF 1073 (BACHMAN) COUNTY PLAT APPROVAL OF ROAD PROJECTS: HF 1913 (KUISLE)/ SF 2600 (OURADA) CHANGES TO PAY EQUITY REPORTING: HF 2215 (KAHN)/SF 1782 (RANUM) CHANGES TO SALARY CAP: HF 1759 (ERHARDT)/SF 2713 (KELLEY) INVERSE CONDEMNATION OF GOVERNMENT TAKING: HF 898 (THISSEN)/ SF 1233 (ORTMAN) HOMEOWNER PROTECTION ACT: HF 1801 (KLINZING)/SF 2248 (SCHEID) CITY REGULATION OF RETAIL SALE OF TOBACCO: HF 561 (GERLACH)/SF 992 (KNUTSON) INITIATIVE AND REFERENDUM: HF 2051 (PAULSEN)/ SF 1565 (KLEIS) WINE IN GROCERY STORES: SF 914 (SCHE/D)/HF 938 (SYKORA) ADMINISTRATIVE FINES: HF 2243 (SAMUELSON)/SF 1951 (FISCHBACH) PENSION ELIGIBILITY FOR DISABLED POLICE/FIRE: HF 1086 (SMITH) LAKE ELMO COMPREHENSIVE PLAN CHANGES: HF 1719 (LIPMAN)/SF 1770 (LECLAIR) TRANSPORTATION UTILITY AUTHORITY: HF 965 (BEARD)/SF 825 (REST) IMPAIRED WATERS PROGRAM FUNDING (varying provisions) BONDING BILL HF 2991 (KRINKIE)/ SF 3057 (LANGSETH) REVERSE REFERENDUM (no bill) LEVY LIMITS (no bill) 9 ys� BILLS THAT DID NOT BECOME LAW DURING THE 2004 SESSION CONTINUED... TAX BILL PROVISIONS THAT WERE EITHER IN THE HOUSE OR SENATE BILLS HF 2540 (ABRAMS)/SF 2302 (POGEMILLER): • LGA RESTORATION ($60 MILLION) FOR 2003 CUTS TO CITY AID • LOCAL OPTIONS SALES TAX (FOR CITIES OF THE 1ST 2ND AND 3RD CLASS CITIES OVER 10,000) • REINSTATE TRANSIT PROPERTY TAX • CUTS TO MARKET VALUE CREDIT (MVC) • PERMANENTLY RETAINING LIMITED MARKET VALUE AT 12% FOR HOMES • INCREASING THE STATEWIDE PROPERTY TAX ON CII PROPERTY • FISCAL DISPARITIES STUDY • INCREASE IN FISCAL DISPARITY CONTRIBUTION TO PAY FOR UNCOMPENSATED CARE AND PUBLIC DEFENDER COSTS • LIMITED MORTGAGE INTEREST DEDUCTION FOR MARKET VALUE GREATER THAN $500,000 ■ FREEZE STATEWIDE BUSINESS PROPERTY TAX ■ TIF CHANGES PUBLIC FINANCE PROVISIONS THAT WERE EITHER IN THE HOUSE OR SENATE BILLS: HF 3081(ABRAMS)/ SF 2846 (POGEMILLER): ■ ALLOW CITIES TO EXTEND THE TERM FROM 5 YEARS TO 10 YEARS FOR CERTIFICATE ON INDEBTNESS WHEN PURCHASING CAPITAL IMPROVEMENT ■ AUTHORITY TO ISSUE CAPITAL NOTES FOR COMPUTER SOFTWARE ■ EXTEND SUNSET DATE FOR NEW HOUSING IMPROVEMENT AREAS FROM JUNE 2005 TO JUNE 2009 • EXPANDS DEFINITION OF QUALIFIED HOUSING PROJECTS REGARDING BONDING FOR HOUSING AND REDEVELOPMENT AUTHORITIES ■ CIP BONDS FOR STREET RECONSTRUCTION INCLUDING TURN LANES, REALIGNMENTS, INTERSECTIONS, AND LOCAL SHARE OF STATE/LOCAL PROJECTS • TAX ABATEMENT (INCREASE IN DURATION LIMITS) • $32 MILLION IN BONDING AUTHORITY BY MET COUNCIL FOR TRANSIT CAPITAL 10 IV. CONCLUSION The 2004 legislative session was predicted to be challenging for MLC cities. We expected that many of the initiatives that failed in 2003 would be resurrected from the dead and braced ourselves for the onslaught. The prediction held true to its word in the 2004 regular legislative session, as we were not only bombarded by ghosts from the past, but presented with new demons that needed to be exorcised. These initiatives included the ARMR agenda (Alliance for Reasonable Municipal Regulation) which incorporated changes to municipal regulation including eminent domain, non -conforming use, moratoriums and municipal fees. Other significantly challenging issues included: Taxpayer Bill of Rights, inverse condemnation, levy limits, cuts to market value credit, LGA funding proposals, changes to limited market value and initiative and referendum, to name a few. As the dust settled the ARMR proposals held up to be the greatest fight, the MLC joined with the LMC and the AMM to quell the sprite and a compromise was reached on a number of these ARMR initiatives. We were successful in opposing the most devastating of all the ARMR proposals, the eminent domain provision which was not enacted in any way this year. However, there is no question that we will be back fighting this battle next year. In addition, the 2005 legislative session will bring some new faces and perspectives as the following Representatives announced on the last night of session that they would be retiring from the legislature: Rep. Borrell, Rep. Stang, Rep. Lipman, Rep. Walz, Rep. Harder, Rep. Strachan, Rep. Jacobson and Rep. Biernat. Furthermore, in the Senate, Sen. Dave Knutson has recently been named a District Court Judge and a special election will be held in late June or early July to determine his replacement. Looking ahead, the 2005 session will be equally if not more challenging, not only due to a large potential deficit, but because many potentially devastating policy provisions will again be confronting us. On behalf of the Messerli & Kramer Government Relations Division, it was a pleasure providing legislative representation to the MLC this past year. Please accept our thanks for the opportunity to serve as your voice at the State Capitol. If you have questions or comments about this report, please contact Tom Poul, Bill Schreiber, James Clark or Nilani Jayatilaka at 651/228-9757 or at tpoul@mandklaw.com, bschreiber@mandklaw.com, jclark@mandklaw.com or njayatilaka@mandklaw.com. Thank you. 11 6/04/04 FRI 11:16 FAX 6128827600 MN VALLEY TRANSIT NEWS RELEASE To: Local Editors 4-)4 Eagan MINNESOTA VALLEY TRANSIT AUTHORITY 100 E. Highway 13, Burnsville, MN 55337 MVTA Contact: Robin Selvig, (952) 882-7504 MVTA Commemorates Opening of Hiawatha Line with Buses Wrapped as Original Train Burnsville, Minn. -- (June 3, 2004) — The Minnesota Valley Transit Authority (MVTA) will commemorate the opening of the Hiawatha Light -Rail Line by wrapping two buses to look like the original Hiawatha train operated between Minneapolis -St. Paul and Chicago by the Milwaukee Road. The wrapped buses will operate commuter service on express routes along the 1-35W (Routes 460/465) and TH 77 (Route 477) corridors. The MVTA will also connect with the light-rail line at the Fort Snelling and 46th St. Stations, with Route 471 operating between Eagan and the 46th St. Station. Riders can connect to light-rail at either of these stations to continue to downtown Minneapolis or other locations. When the line is completed to the Mall of America (MOA), many of MVTA's local routes will connect with the Hiawatha Line at the MOA. "We wanted to do something special to commemorate the opening of the light-rail line," said MVTA Board Chair Meg Tilley. "We knew we would operate service that would accommodate riders transferring between our buses and the rail system," she said, "but we wanted to do something striking to mark the occasion." The MVTA worked closely with the Milwaukee Road Historical Association (MRHA) in designing the wrapped bus, which was completed by American Lasercut Grafix of St. Paul. Extensive time was spent detailing the wheels of the rail cars for the bus wrap. The book, The Story of the Hiawatha" by Charles H. Bitty was useful in viewing colors and designs for the bus. The original Hiawatha train was created to travel between Chicago and St. Paul in rapid time, to beat the competition from Burlington's Zephyr and the Chicago Northwestern "400." 41S3 fiti col 06/04/04 FRI 11:17 FAX 6128827600 MN VALLEY TRANSIT MVTA Commemorates Opening of Hiawatha Line — Page 2 444 Eagan a002 Put in service in May 1935, the name of the train was selected to reflect the route of the train, as it traveled through many towns named in the Longfellow's poem, The Song of Hiawatha." The name was also selected to represent speed, based on Longfellow's comments about Hiawatha: "Swift of Foot was Hiawatha, He could shoot an arrow front him, And run forward with such fleetness, That the arrow fell behind him!" "The (wrapped) bus looks awesome!" said to Bob Storozuk, president of the Milwaukee Road Historical Association. The MRI -TA is hoping to have one or more of the buses available for viewing at its annual conference, June 17-20 at the old Milwaukee Road Depot in Minneapolis. The Milwaukee Road was founded in 1 849. The Soo Line acquired the Milwaukee Road in 1985; in 1990, the Soo Line became a wholly owned subsidiary of Canadian Pacific Railway (CP). The vinyl wrap affixed to the two MCI coach -style buses is expected to last for about 1 year. The MVTA operates a fleet of some 106 buses of varying sizes and manufacturers. The MVTA is the public transportation provider for the businesses and residents of Apple Valley, Burnsville, Eagan, Rosemount and Savage. CDA Dakota County Community Development Agency MEMORANDUM TO: Dakota County CDBG Subrecipients FROM: Dan Rogness, Director Department of Community Revitalization DATE: May 28, 2004 RE: CDBG Update jim b.12004 Housing Rehab. The year-to-date rehab count now stands at 106 units, which is above the total annual average of 95 (see enclosed summary table). The rehab revolving account balances have gone down significantly the past six months, which is actually good news. The various city and county -wide revolving account balances have been very high due to loan payoffs ... over $500,000 for much of 2002 and 2003. We are now able to start spending the regular entitlement dollars for rehab, which helps the county meet its annual spend -down. rate requirement. In addition, the program will gain an additional $430,000 on July 1 as a result of furtherallocations fromnext year's CDBG budget. Program Manual. An intern at the CDA will start working this summer on a manual for the CDBG Program. It will be targeted to Subrecipients in Dakota County with information about program rules/regulations, forms and project examples. We hope to provide this to all of you at a local CDBG training workshop in early October of 2004. FY05 Applications. In past years, the CDA has requested all CDBG applications to be completed and sent to the CDA by the end of January. This year, we hope to move that up a month to the end of December. The new timeline will allow us to work better with HUD's percentage requirements related to UM Income (at least 70% must meet this national objective) and Public Services (no more than 15% can be funded under this activity category). Therefore, the CDA intends to make applications available at the October workshop. This should give all Subrecipients nearly three months to complete the application process. Implementation Plan. As you may know, the CDBG Implementation Plan was completed in 1984. The Plan allocated CDBG funds to four districts, which in turn, allowed each district to establish its own guidelines for further allocation to cities and townships. The original percentage of funds going to each district was more evenly distributed in 1984 (low = 10.5%; high = 35.8%) compared to the percentages in 2004 (low = 3.6%; high = 48.2%), based largely on population 1228 Town Centre Drive • Eagan, MN 55123-1066 tel 651- 675-4400, •,f ' j$ -- 675-4444 shifts. CDA staff will identify options to allocate funds differently to Dakota County cities and townships due to population shifts in the past 20 years. We'll discuss various options during the next three months and present those to you in October. Activities Underway. Brief summaries of some CDBG-funded activities currently underway in Dakota County include the following: • Commercial Rehab --- (1) replacing windows in a downtown Northfield historic commercial building, and (2) renovating the kitchen of the VFW in downtown Lakeville to correct code deficiencies. • Acquisition --- acquiring property in Apple Valley for a 36 -unit workforce and supportive housing project. • Clearance --- (1) demolishing a vacant house next to the VFW building in Lakeville, (2) demolishing a house within the floodplain area of Inver Grove Heights, and (3) completing a Phase 2 environmental investigation on property proposed for acquisition/demolition in Inver Grove Heights. • Homeownership Assistance --- replacing older mobile homes in Apple Valley with units that are at least 10 years old. • Site Improvements --- funding site improvements (e.g., parking lot and sidewalks) at the CDA's newly completed senior housing & commercial building in West St. Paul. • Public Services --- (1) updating interior space and supporting programs at The Garage Youth Center in Burnsville, and (2) paying rent for new space of the Hastings Family Service Center. • Rental Rehab --- renovating public housing townhome units (e.g., new windows and doors) in Burnsville. • Public Facilities --- installing new playground equipment at a local park in Miesville. Enclosure cc: Mark Ulfers, CDA Executive Director 0 2 c.) RS w U) N �: e0 c`") c'') c 0 .1 O 0 NC. O d' t) 0 r 0 c`) r 0 u) N 0 O c`') 0 CO Ch 0 ti In 0 N 4 0 O) O 0 O OO r TOTAL C) r O r r r 0 r NDN r r OD 1- .t `CO lf) r r 106 100.0% "Zr r O r C:✓ 7 O O O R co r 0 0 O O O O O O N .- 'i- o co M 0 O J Q co O r 0 0 0 CV 0 0 0 0 O o [t CO ' la 2 r r 0 r - CO r 0 0 - 0 0 to o t!7 O O co 0 d U N co - r - CV r 0 r C') r 0 co r 0- ,-- 10 10 (0 c0 7 0 0 co O— r 0 0 0 0 0 0 O 641. ti r 0 SJr- 0 0 Cl r O r O r O r N 0 0 0 0 too 10 r r �, Z. r 0 0 0 N r O r r 0 0 0 top N. u) 0 0 0, 0 O r r c)) r r r 0 0 O N O 0 r ? Cr; r r 0cu N r N N N r N 0 r N 0 M 0 CD r r Ili N '-- Q N O r N r 0 r 0 0 r r 0 too °° 0 0 ) N N r r CO N r 0 0 r N 0 15 14.2% 0 '- -. Ci lAtple m. > Z 'Eagan F rmington N, C =.J Ilrhver Grove Hgts I d - RI lendota Hgts • • osemount outh St. Paul 'fest` St. Paul ural/Other OTA'. ERCENT. N C la O J 2 N m E O = no 0 E c1 F-aIIE Z 4 LC 2 0 to (1) a 0 • N ca _N o y w m V) Cc 0) o ami "c "� -o t) � U 13 Q C 2 o. U Nd C D [a ._ • to O > c c ns 0 QJ o O 0)-0 o o loa ` = L a) a) fi o a)g� Cf) 00 co a) = o LL M Cn N d O Z Workers use Lead Safe Work Practices to repair and replace windows in a mixed-use building in Northfield's Historic Downtown. CDBG funds assisted with site improvements at The Dakotah, the CDA's newest mixed-use senior building. !IL This house, located in Inver Grove Heights within the 100 - year floodplain of the Mississippi River, is scheduled to be demolished by mid-June. vsg \o,(Tuh LA• (ITYof [flGRD Comm (EOTER ZiShoggicadgf. ..�,. {agan, Minn. lagan Community Center, the anchor of a new 60 -acre city park, is gently integrated into a hillside overlooking one of many natural ponds within the park. Indigenous stone was used as the highlighted material to tie the Prairie -style building together, connecting it to its park setting. The main entry is on an upper level, opening to a two-story atrium overlooking the pond and visually connecting all of the activities and spaces of the community center: On the lower level, a three -court gym-. nasium, youth play space, arts rooms, a teen center, a senior center, a caf€, a group exercise room and fitness center are organized around a community living room (complete with fire- place) and the reception desk. The living room atrium and the fitness, senior and teen centers all open onto patios that con- nect with the park's walking trails. An upper-level jogging track, accessed from the fitness center, surrounds the gym while offering large corner views into the park and the community atrium. The lower level also contains a large, subdividable community hall, complete with a catering kitchen and direct access to outdoor patios. The lower -level entry and the zoning of spaces throughout the facility allow flexibility for multiple special events, all while the drop-in fit- ness center, play space and other activity areas continue normal operation. The mixture of program spaces and the abil- ity to operate them indepen- dently was a central element of the facility's business plan. Large swaths of tinted glass provide park views, bring day - lighting deep into the heart of the structure and provide a glow of activity in the long dark evenings of the north. Interior colors play off the natural stone, adding vibrancy to active spaces and warmth to meeting and lounge spaces. aNdefcbusiness.com LARGE SWATHS OF TINTED GLASS PROVIDE PARK VIEWS AND A GLOW OF ACTIVITY. THE FITNESS CENTER IS ONE OF MANY INTERIOR SPACES TO OPEN ONTO PATIOS THAT CONNECT WITH THE PARK'S WALKING TRAILS. 45`j INDIGENOUS STONE WAS USED TO TIE THE PRAIRIE STYLE BUILDING TOGETHER, CONNECTING IT TO IIS PARK SETTING. Architect of Record: TKDA St. Paul, Minn. Programming/ Operational Consultant: Moody• Nolan Inc. Columbus, Ohio Cost: $9 million Square Feet: 73,200 Occupancy: May 2003 June 2004 ATHLETIC BUSINESS 175 city of ecigcin Press Coverage Published the week of June 5 - 77 TA (3 1/0e_k' 6f S�o y agan gets its own Snoopy. ECVB bought, decor by Erin Johnson THISWEER NEWSPAPERS They are guaranteed crowd pleasers, big draws for tourists. Last year alone, they brought about 2 million visitors to St. Paul. Now the Eagan "-Convention and Visitors Bureau (ECVB) is hoping the Peanuts crowd can work a little of that magic for Eagan: The ECVB is participating in the final installation of St. Paul's statuary tribute to Charles Schulz, a ,Minnesota native and creator of the Peanuts characters. Schulz was honored in previous years with statues of Charlie Brown, Lucy, Linus and Snoopy (minus Woodstock) planted on every street comer.: in downtown St. Paul. s�bm�n�P��o The fifth and final year of :hael,4, and Ben, 2, McNeil of South St. Paul were among - the tribute, called 'Doghouse first to visit the Dog E Rouse in front of the Science Days of Summer," features per seum on May 26. haps ;the most quintessential 46/ rated doghouse statue Peanutsimage: Snoopy on his doghouse with Woodstock on his belly. "It was the last year to do it, and being so close to St. Paul, we thought that being a part of it would be important, said ECVB Executive Director Ann Carlon. Known as the "Dog E House," the _.ECVB statue is covered with Es and features a word find and a "Count the Es" puzzle.` "We wanted to make it inter- active," Carlon said: "This par- ticular statue lends itself to being able to do a little more.' In order to sponsor a statue, a design outline must be pre- sented with the application, and it must be approved by the Schulz family. The Dog E House got the thumbs up, Carlon said. "I think they liked the inter- -active part of it. I haven't real- See Snoopy, 10A 3� 3 N '" 0 v 0 • .0 0 ." o▪ .0 I. >, 0 aye , �� =5737S.�o a o o 0'0 n 3 y o �.[ 5 o E 0 O.d W p, + b y 3 A � yQ c*0 Va) `600. ..)o0 • w 4.s. .-, > N � GU[ C" wC0Y �aC0 ��'11=1.)u c0 •=0E NN0hyu'� r0 U .0 J GcCti ib yti r) ▪ A 0= 2„ ....6 U0O • 0,00 °cd000.,0 o • c) 5r 0 " y °" 0 3 U 3 a -v ° N , o . o o C b 2"= oj▪ c0b%o o ao0o.x CL) y o,,gw •°• 7000 w >3ca▪ ,.)� �� >,v� .DA1hijH > 0...c 0 CL U�. +• ❑.fl W C • 0 0W.— .5 2.2 ,t, v., v) Zw...W i ) o 70 o 'b Q ' -0 bo 0 :� 0 6 'U `i' o Y � � 0 � H'cs 1. w = `l 0. to Li.; ›,¢'�� > 0 - = 0' o yPa CI)aa) .. � o� W > C o oN czt '7 w . ' 3 6...?3 =' om❑ Na 0 • "wo oWLi; „oz, �E 'b oz' 6Tjgo o.[o� �> . m▪ w • 7cn a)❑ C OG7U .oa0� 0od LQ S � • Cy o ) >+ -y NI bc� o t; � � o o �'ro 3 � ti ❑ � � C:14 Cd Gin ., o.wa vacd. c33� 33a. 0 l''CS 0 a is .— 3 v o a,0 g4 .0) a)W ow.. c y is y 4 w C .0 .. .S4 Q b Wa 3°av) -rh qb -9. o o 44 a :O ° Ua a\ :.. o b rn�W5 0 1T+ a) a) o 11. pc a, 3 0 0 Baa? 0 w Cd CD 0 .0 CCI ea 0 O U ti, a) 0 > d . O 0 O O timi o ,. c° 0Ct C..5'O •)cdLr 01.4 U 4'4Ncb ONO y0•O N! meg, .. 0. 0 0,�= 5tu ti �1gS,8 ME p. :8>°,Z 0'3,04 V ct o ❑ !,:i1;:„..,=.: z „.....,,,42 .'tt..) 1,....1(:: :::,- i.7 -11::0F; - :0P.'.1.1g X ,..., oiLg gr!.. Wim, 7Sg.°,."' ° W .° cgx a �6 c:cf ° WL3 Eo THISWEEK June 5, 2004 I9A P/xxu b, Erix Johnson Jim Gabrilescu found his car's air cleaner at a swap meet, took it to his painter and said, "Make this look cool." Cars/from 1.A The free event will feature food, beverages and Eagan mer- chandise for sale, and door prizes will be awarded. Visitors are encouraged to bring lawn chairs or blankets. The event will feature special- ized vehicles from the 1930s through the 1990s. "These cars are really something to look at," said Sue Hegarty, public relations director for the Eagan Convention and Visitors Bureau, which is a co-sponsor of the event. For instance, there is Bill Larson's 1954 Oldsmobile 98. "I've had it since high school, so it's been with me almost 40 years now," he said. "It turas 50 years old this year." While the engine has always been good, he said, he had to do major paint and interior work, making sure to use the same fab- ric and design used in the original interiors. He drove it as his every- day car, even in winter, until the past few years. This is a particularly poignant year for his car, he said, because it reaches its 50 -year milestone just as Oldsmobile ends produc- tion of all its models. "The last Oldsmobile rolled off the line last month," he said. Classic car collectors put years of sweat and elbow grease into each vehicle. It's always a work in progress, Gabrilescu said. "You never take it apart too much where you can't put it back together and drive it next week- end. You're never done," he said. "You're never done:" Richard Osmundson, who along with his wife, LeaEtta, owns his -and -hers Metropolitans, said there is no such thing as "done" "You're always restoring them," he said. Nall bought his '67 Camera RS/SS (converted) about 25 years ago for $600, and only recently considered it ready for the street. "it didn't run, the top was bad, it was a totally different color;" he said. He spent "many, many years" restoring it, he said, and painted over the chocolate paint with its original color, gold. The car is now valued at about $28,000, he said. Nall and his son, Justin, who helped him with the car, attached a license plate that reads "Fnlydun:" "Because after having it for 20 -plus years, it's finally on the road," Justin said. Justin is currently fixing up his own car, a limited production GMC Tycoon. "I have one in the garage tom apart right now," he said. "I blew the engine on it." Clearly, classic car owners are a passionate bunch. When these guys get together, phrases like "motor mounts," " rear -end kits," and "tri -power intake" are thrown around at a rapid pace as fingers point and jab under the hood. The networks created by enthusiasts have made it easier than ever to locate or modify parts, Gabrilescu said. "In the '70s there were no companies making parts to mod- ify these cars. It was all fabricate your own. And now there are so many companies, it's a billion - dollar business;" he said. Larson said that joining a club is a must for the serious collector. "You can't just go to the store and get parts:' he said. "Clubs are where the parrs are. Or at least the guys who know where the pans are:' Gabrilescu has made several modifications to his '46 Ford, which is based on a '505 California hot rod. "It has a '66 289 Mustang motor in it, and an automatic transmission," he said. "I've belonged to the Minnesota Street Rod Association since the late '70s. They're into modifying cars." The car is not reserved just for special occasions, he said. "The kids and the wife like to pile in and we like to take off and go somewhere," he said."You know, Dairy Queen or wherever:' The Osmundsons even take their Metropolitans, a convertible and a hard -top, on long distance trips, just never at the same time. They recently drove the hard- top to Pontiac, Mich., and Indianapolis, with the convertible towed alongside. "I didn't want two on the road. If that one broke down, then we would trade," Richard said. Metropolitans are relatively rare, compact cars with large steering wheels that were made in England between 1954 and 1961. "They're pretty much made to drive through a metropolitan area," LeaEtta said. "You can park, it's easy to maneuver. Apparently easy to maneuver." "The one thing big on it is the hom;' Richard said. "The first Above, George Nall (left), his son Justin and Jim Gabrilescu (middle) take a peek under the hood of a fellow enthusiasts car. Left, a pair of his -and -hers Metropolitans for Richard and LeaEtta Osmundson. Plxmx by Ebb l_An ,_ time I tooted it, I was expecting a little 'beep -beep.' 1t wasn't. It sounded like a truck." Cruise Central Park 2004 is sponsored by the Eagan Convention and Visitors Bureau (ECVB), the Eagan Parks and Recreation Department and Superior Collision Center of Eagan. Viewing areas for the parade include Central Park, 1501 Central Parkway; Municipal Center, 3830 Pilot Knob Road; Thomas Lake Park, Pilot Knob Road, south of Wildemess Run Road; MVTA Park and Ride lot, corner of Blackhawk and Cliff roads; Rahn Athletic Fields, on Nicols Road; Cedarvale Mall, and Skyhill Park, corner of Blackhawk and Blue Cross roads. For more information, call the ECVB at 1-800-324-2620 or visit www.eagammn.com. Erin Johnson is at eagan.thisweek@ecm-inc.com. Left, Bill Larson with his 1954 Oldsmobile 98. Above, the Nails show off their '67 Camero, with its `finally done" license plate (right). EG THISWEEK June 5, 2004 3A To raise revenue, community television will take sponsors by John Gessner THISWEEK NEWSPAPERS Viewers of Bumsville-Eagan Community Television (BECT) will see something new next year while watching high school sporting events, govern- ment meetings and other local programs. BECT will accept sponsor- ships for its programming. A high school basketball game might be sponsored by a sport- ing -goods store, or an outdoor concert by a music store. The sponsorships are part of a plan to balance the operation's budget amid stagnating rev- enue. BECT hopes to raise up to $50,000 next year from spon- sorships. The plan also includes cut- ting full-time community tele- vision staff positions from 9.5 to eight. And each city will con- tinue to contribute $103,500 to the operation annually over the next five years. At the same time, the organ- ization is planning to buy new equipment, including a $380,000 production van, according to Jim Skelly, com- munications coordinator for the city of Burnsville. The van and other equip- ment are of "1982 vintage," when the Burnsville -Eagan cable franchise was started, Skelly said. "That van needs to be replaced." BECT revenue this year will total $1.09 million, according to Tom Garrison, communica- tions director for the city of Eagan. The budget -balancing plan is intended to keep BETC afloat with a minimum fund balance of $100,000. "If we made no changes, the operation would have been in danger of running out of money by the end of 2006," Garrison said.- BECT's chief source of funding is the public -access fee paid monthly by cable sub- scribers. Competition between cable and satellite television has stemmed growth in cable subscriptions and cut into fee revenue. "The fees that support local programming directly tie to the number of cable subscribers," Skelly said. "They're about the same in 2004 as they were in 2001. Up until that point, they were growing. Our past projec- tions were based on continued growth at historical levels. I'm sure there's a number of factors why they didn't grow, but I think it's safe to say satellite was one of those factors." Revenue -raising sponsor- ships aren't new to public - access television in the Twin Cities, Skelly said. "The key is to do it tasteful- ly so it doesn't take away from yes the meaning of the communica- tion," he said. Under proposed guidelines that await approval by the two city councils, display adver- tisements would be allowed on Showcase 20, a channel that carries community announcements. Sponsorships — of shows, or even an entire evening's pro- gramming — would be allowed on channels 14, 15, 16, 18 and 19, which carry locally pro- duced programming. There will be standards. "We're not going to allow tobacco products, liquor, alco- hol, firearms, or gambling," Garrison said. "We basically also prohibit- ed political advertising, issue advertising, interest groups or advocacy organizations of any kind," he said. "They can't be sponsors." Citizen producers of their own shows are already free to attract their own nsponsors to underwrite the . shows, Skelly said. For example, Alan Miller's "Access to Democracy" show is sponsored by U.S. Federal Credit Union, Skelly said. John Gessner is at . burnsville.thisweek@ecm- inc.com. Cul-de-sac culture clash Wsac, hen is that most suburban of creations, the cul -de - not a cul-de-sac? When it's a "stub street" slated for eventual extension. That's the prospect facing the residents of bucolic Wellington Way, tucked into a sheltered corner of southern Eagan, who believed that they were living on a cul-de-sac ending at a regional park and one-time horse ranch. Now, the developer of a planned cluster of luxury homes nearby wants to extend Wellington through its development to busy Pilot Knob Road. But this isn't a tale about an "evil" developer and "uncaring" city government setting out to make life miserable for the good folks of the Brittany Estates neighborhood. Instead, it is a cautionary tale for home -buyers: Things aren't always as they seem. It always pays to check them out before you buy. Wellington Way has never been considered a "cul-de-sac" — in fact, city maps have had it penciled in for eventual extension to Pilot Knob Road since 1985, said Eagan Public Works Director Thomas A Colbert. His advice: Give the city a call before signing that purchase offer. "People call all the time, 'Hey, I'm thinking of buying this property What can you tell me about it?' " he said. "We wish more people would do that before buying a home." This is not just an issue on Wellington Way, Colbert says, but a problem throughout the growing suburb as people discover their cul-de- sac is to be extended or nearby "parkland" is to sprout a shopping center. Many people hire a professional to check the root windows and fur- nace before buying a new home. A quick visit to City Hall to check the five-year capital plan and to take a peek at zoning and planning maps could save a lot of additional heartache years down the road. We can certainly sympathize with the Wellington Way neighbors, who strenuously object to the upsetting of the status quo — after all, their street would be extended to one of the city's busiest arteries. The cul-de- sac where their children have played safely for close to two decades would become a through street, undoubtedly carrying more traffic. But the city has not hidden its plans for Wellington Way. And city offi- cials ask a good question: Should the 16 or so homes on Wellington be able to deny the hundreds of other homes in the neighborhood a second access to a major north -south street? Extending "stub streets" like Wellington Way provides better access for fire, ambulance and police, as well as school buses and service vehi- cles. Too, completion of such through streets better disperses traffic in neighborhoods. Some residents of streets near Wellington, in fact, have spoken in favor of the extension, city officials add. For now, the developers of the luxury home community at the site of the former Diamond T Ranch have pulled back their rezoning applica- tion after it drew fire at a recent Planning Commission meeting. But they could be back before the board as soon as June 22. The dilemma facing the city as it sorts out the issue holds a lesson for all prospective homebuyers: caveat emptor. Cul -de -sacrilege Developer of luxury homes wants to extend Wellington Way cul- de-sac to Pilot Knob Road, which has residents upset. PIONEER PRESS co L c c- y L UJbL • ONU0 �c=00.1 (a u) 0 f•' a)E4111 NO(E . c O O i" +' 0_ O L N E c 2 N E (n p O O O O O NY to N2 c� o mc a) N� �CC not s a�'c ns a�i•-t— tot 00 y c c catu, Q �� ���� E asp mt c °,~ ° o o c N iA3 T� c �--. F,N Os 5� °' o 67 °•a.—'—'°- aim co) o c ° ,'°n -o u`)i , m m -0_a o a c �co L u)._..J.Q •II c o O a> m .= 3 ;.0 QOU c.n c -6 71 a� `a) c. o(�L N i �t 6 o o NY a) a)ci O 10 p c N �- c a) O O= N .Or .a 'O c E C3 a) +.+ N as .- .,, a) c .n ▪ p U .O q4 H (6 c TO 14 5 a9 p d ° u) (0 tto m > -Oicf) 41 ,so t c U 'a) = �O T O (0 •- N i O c ++ N (0 N N c (4 Q (0 ,� 'a .0 L U '03 E p ti c 7 CO O 0_ O 7 .O -NO �. n>3..0._ am •Y G C Q L as L to +JO +Ja>a)0 Nino wo-a (n(nctco co'�'-'— V IA) d ._ U N C N H U.e O .y N U .0 d N .c O L 'O (6 LN-- (6 E E fl. N O m aa) =y E � t6 a4 te O•NO i22 '4: �•, igs • E a)c. ra ° OE c . N VL7 >,,a) r sa. y as •._ ° C .Qa. i2 N ¢ °- " a) .fes c ..3 o o.-0 O L toaF gglc 4m Cd � �'� ° "� !�, t3 � Ll. i � „� . O O C ., O O p .yr. a O '(� is 67 L. _> �" 'e"' [6 c• a) ¢ it c . E : a +"•7 ... E y V E a O ca pa a c,. '6: 0 N cd l``L' c =' N c E a c f.V N 0." fir 4(""i -11::.; G� y >, N y+ y ca O 0. l cit c c, t•. c Y �.+ 'd a.i �, jui5.9 O+_��,O O'C7bDykvial,.m.0,to Q.N VO1 (y0 VO O 0WO .._ c .0mss+ m '4 a)_y o o4 a) -• °' o o.' n� O y cC CZ ,� 4 p fl to �.° ccu c � 0: 3 '-- 54 5 , =• 0404 � r o o cr,r � q a) vi o t3 N ,� .. a� .r a) a 61 lit" y •— E O U � c��(o;o�° �.:a �O � v ooa�a 3'(ao�•...}aaO�o �"�ts' ca ssv a•a' 3 m-5 �„-�7 °' ,„111P,,,©' O o.0 gn. %� c)Gs.RsO o-< °i "a- ›''•oW-o OOa,o• 0*:'b>+'v)c.�a�Z. , 1 .:.▪ -7▪ 1 `�a'• yT�Q'�x o • ,r}y �� c , � 3y; g41 v vim' • �• ►�i 4=�+;x� ..:1.3) ° y --1:::9-..1:141 01 :• .�(y,�oyw•. No tUn ) =1.,=1.,c, oq;3��y��t�°° :.ton?�r 'Co.,:1) ::: r❑ a 4 y • •o°'►Z✓ yoS.E'S� a a Hn, awa°°vi°ay�,�"° oy ^H.0 b4 ate-'1...122'ya` AC�T.) % aJ Cb4 U y .0 b •- a 'La) •:C O •Ci a N ,a O�ti O t:VwVb "a) y.-wO .+ y ,„ V ° >+ '.5a yc 7 .0 O 0- vif cs5Q CR. a ...0- -07,1 - .0 •r O y y °• 'oaaOy ooioeoao U CD a) O ^ O e y L., ;b r.' °aOw .YV Nu a ON4,b.� bA.ob4° •�co '0—"Ot.4,5=a.5 dyoaAo � c5,8U OJ E O 0 -O�a�E. c.�O 0..00-6,u5..6.-.1.0 o �aa)n>o ,� W i =..o . •.o 0° u) gac" u))g o47) ci9 E ic �•a �'- yy o �(.�Um (/) w�[ -S•4'"°,42•02....,0Cvi ,"' .7 i8N•z919Uvio° 9,6 7 '� .. .a. ° ++ c JO O . •••• 4 U 7 O O U .� e0 O G, rn t-. V .,y., a).. .a O M a"7. ? O o -i h s 'n az a) ,O o y ,-ccs-0-°)0 p ^ a O o o c [^�� U n�A!CJ Oj Off❑ ��t4•N [�� y r 4 ' ro'Ci �-. a) t� O .7 y n 3 cd y O _may N O s., •�. b a0.y rj C^w o Q .5 O cC,,.+ LS k2 5 0is) 0a) °:�oriyFy zo es o d U a, T) O VO �." 'O :� cc3 in v° c, y BY RHODA FUKUSHIMA and ALLISON KAPLAN Pioneer Press t takes some seriously speedy slides and wild waves to keep teenagers enter- tained at a water park all afternoon. Our Student Store Troopers — super -savvy consumer volunteers — checked out four of the Twin Cities' top water parks. They offer tips on everything from the coolest and lamest attractions to the ideal spot to set your towel. And if these parks don't get your adrenaline pumping, our pool guide includes plenty of refreshing alternatives. testing the waters PHOTOS BY NATHAN BERNDT, PIONEER PRESS ABOVE: Carly Sippe], left, and Jolene Jacquart, both 14, splash in the water fountains at Cascade Bay Family Aquatic Center in Eagan. TOP: Erin Runquist, 8, goes to Cascade Bay a few times a week when summer is in full swing. r Our Student Store Troopers rate the — and the rest — of the Twin Cities' water parks. CASCADE BAY FAMILY AQUATIC CENTER 3830 Pilot Knob Road, Eagan; 651-675-5577 Reviewed by: Jolene Jacquart, Highland Park Junior High eighth -grader Cost $8 admission Coolest attraction: The Lazy River slide, a long, winding purple slide you ride on inner tubes. Lamest aspect: Not much to do. It's geared toward kids 12 and under. Older kids would get bored pretty fast. Best tip: Head toward the slide in deeper water — it didn't have many peo- ple on it. Worth the price? For $8, I'd go there on a hot day. But compared to the water park at Valleyfair, it wasn't as much fun. 00Y' ocilotd (€SS Ring around Eagan City Council approves map showing Duckwood Drive portion of ring road BY JoSfl NICHOLS Sun Newspapers Eagan has been planning for more than 13 years to give the community a ring; now it just wants to be suit ,that when that time comes andher suitor doesn't get in the way. Plans for an eventual "ring road" around the heart of the city has been on the drawing board since 1991. The city is merely waiting for the right time to finish the final pikes of the road and for funding to fall into place, which could take years or even decades. At question during the Eagan City Council's June 1 meeting, was the portion of the ring road that would extend Duckwood Drive over Interstate 35E to con- nect with Federal Drive on the west side of the highway. "This has been discussed for the better part of 13 years by not only this council but also previous city councils," City Administra- tor Tom Hedges said. "Some parts have been completed and others are still off into the future." While the official map of the Duckwood Drive extension does not mean the city is close to going ahead with the project, it is need- ed to show the city's intent, Public Works Director Tom Colbert said. "There are some vacant proper- ties on the west side of the highway that may come through the city for development proposals," he said. RING: To Page 21A N Apple Valley/Rosemount, Eagan Sun•Current/Thursday, June 10, 2004 ..... > 03 T„'.. sem' 'wo,.1 0 5 cd �+4'...as .may, '...u, ca vs0 O 0 04. CA 1.-.a 0v 3 "_=said~' ° .s" GG c 0c0 a, ca .Ama° .0 � ......a: 0 0. • a> on z 4 'o ' o O. ) .— 0 , .o ri, 4-. 4) - -4 d w o CI) as - c.:. a oaA o 0 d + :d 0 oa....- 0•C �O 3 b ° cd w • O+0 0:�". 5 i•. >:,".>1 bia 0 >'p °o- o ani. a v. oa`di� sem°.cddas'o .5 .1'32 b0,aa s.�s. $ll30o'45,c :r. ao icnWnC em� wc ,W Cd ~as d°y aAx !. X:::.). +�s.0 o O07120:1 005-0 5~ . .',.,�:s. y sn3 °) ' 0 O �0 y.'O i. '° CO_a y3cd0'dOoOo^a,,,x4- cd aim .44 °�' 0 U) lel o 0 °n° IT N U. d Q 0. �o� O• o o4' °o C.) CD Cd'w 0 3 s�°.� ami ai 0.>.+' °� o o 3� 3, x°. o x .0 tim 2 s.+, s. '8Zo 0 ''s cvFb0c�dw0o0 0,a)°' 0As°.033 0.w 0 cd 0 ° 00'�w,A. o +.... a-> 00 oaf':' 0 0+ A v a> 3 at r.' > s.�+, �� �+' to ca s., cz E" y •�aa�.4. :0, c/3 y2i a�iO+Ay ao .3 A.--. as')- 0 3 ss.-2RI T o� o oft 0 ++...0 o 0 s�.��asrn4�UO V..ti .t.1),E cii°ii0ai � - 0 0 s� 0+ 0 0 v x 4 2s 7S .o v, .V o o ..5 8 d � t0 °;w 4-'0 Or o,q N� •. - +,..0., ..'Oo+ 0'' ov 0 +' o aOi U d= .� � 0 0 •0 -4 0 0 '0 Z 0 y .,•x :� ° m� s� ° 3 a cd ani oPi 'n rs', o v,� > c .>.� sem. c°� 3Q, a> y Q) C o+, 3 tired m CI) Ooc�dbs�.sx.�a>w �c�+'axi��a7M 3 RS 0 �0i s°. 07°. S. o+� ° v c�+0 °ca V Ax > 3 a4'„a)-3ba0>ooaa) .a4 aim°oaW'tf, IA z 75 0o.oQ.a,Qo›, s°.c°>.,0Uba0, 05 ao.' aid cvsr3 o sOaq O c°> al 773 W CI) E o 4 1203c 4 cn. C E lig From Page lA CD C1) .0 a4�w0.0o,: oa>i a., o0 CD 040d00q�' +°+x cl d 4-1 s. cd 3~w cP ,CD o 4 s 63 °. 0yw 0 • cd 0 >, •2 s, w „ .0 a> 0 ..0 , . C - a, cd t)110 o . 0 3 'C 3-, 'd .'''.-, �' 0 G .c 0 a✓ > 3 4 0 .--,.a el0'a> `' 0 .„ a> . a, Das. �w-,oa,00a,7.1� o. oar", 4�.,0 '� 03 El a'ri +•''doa .0a).o+- —u. c0 cd v +'0'A 2A cdAa r:14043 -0.u) 3" .Suri Cv-tere-Y 6//0/04 --..0 , ca o a> u •00.�0UaoA�dy a>>�w'..• dcoyoyOo te& EE_, '`'prs �± as N cC d A . ° .1 > 0 h .0 a) S'.. N O a) 0"0 V ca yr D, ... Cn ....a .O0 0 .a, c� s, ., h ^�>1CC V b = ° O C6 I V -00' ;0 .0 pop � aa m ' g� c >v)A a)�4•04 sb °; 0 3 L. dZ s; , CD2 -0 x1 ca 3 a C6 c/) ^t,, 0 O N... -8 -C,;' F0.' ya o a� go•A axW p,E Go y� aiq a`au cao a5 �0o°' >o•d. ca s, ap .b p. v,Uw a.)„. -,",w 51' 3 coo Oa�cC�. oo a;a. as 'ci'z�. >” o ca a)O s, > o a> ci 0 ti, 0 `� ca ,4 ▪ cnp, W 0� SCG v cnR:U 'a a) CD "II �A h to 04 s.. c�p"''Os:s,a^r5wa> 00$o �x °° in 7"> as w0• y w z V U •Fo,F �.��,•��•' .d 0.o, 5N .� x •a 0 p. a� - 0 s. ° sn 5x °" N d cC as E. 0 3�°3y.0-4s. sem..u)�s, cacCRV 0.0. z 0.- O ca ca o 0 x ... gS,-! o as 8 ea W cd v) 0 on..., as o �s,y,�srVca�a�c�p's.�Q 0�Zc�OW= - s c) 1_, • c� ca pg�z y1bU wa>• .CL)r4 ez,-44,ONS0 4 > N -I to.,...,_,0 4 ca • �x °cam oU as as > uJ d�� o yU s°'.e4cao3U F' U) 4r..gas�• WAa>°Aa,0�•O>;. N 'is' Vs 'as>'CSCS>caca,7cC � ",o ••�a0 • "'•cvs"gg' • cd • d ' d 0°0 ,, bb.C aaaa cC y c s°, W �� x° Eu) y cn yrjE' i F°,-0 °2 `Cw Fa ,FF;��y`••; ,~ O 6� To P, sem. GG p ., a) ,•4 w O U b A. 0 o v, >, Gz.' .0 +, y 3 "5 0 0 -d s , as o4 W =. P. • 7 °swit.' E> '' ;5 o =vim o m W) g .aw°•o • LI ›. w J'a � aa;:5,t a�o:ccn E yCpSmaci).�.y,.,Ca O,nv•.Vco.2 ,.„to '� `mc 75 to 0 > cd H H awy� p5+'~$'n~sz,�jAoca .5 cts aFc�) 3 ema ca m ..0p of i ca -; t S •§ y D O i 1> ""' SE 5. QQiWcCrvSctS �s•• :,_ca' �f�E°.'.cpcp N4.'a�+,s.'„CI a> TF5 V V 2.d �c1 '5�0 a o c ���w y^o a'� tc) � O g v' . 4 C' .1 V E ."i h „moi 'cnn aai C. 0 W w 0 ..-. vct ii G' U cc4 'G n. m 6- 97b Audit report Egives high grades BY JOsavA NIcaoLs Sun Newspapers Once again the city earned straight A's in its annual audit report, which was presented to the Eagan City Council at its June 1 meeting. The audit by Kern, DeWenter, Viere Ltd., (KDV) gave the city an unqualified report for 2003 and said the city is right where it wants to be. The city had budgeted to take in $21.3 million in revenue and spend the same amount over the course of 2003. The audit showed that while expenditures stayed at that level, revenue was $21 mil- lion for the year. Part of that drop can be attributed to the loss of $1.3 million in market value credit and local government aid the city was to receive from the state, but which was eliminated after the initial budget - Mg process was done, said Matt Mayer of KDV. Facing the lost revenue, the council at the time decided to raise certain service fees and make internal transfers rather than raise taxes, Councilmember Peggy Carlson said. "Last year was probably one of the scariest years I have ever sat through," Carlson said. "We set the budget and then part of it was taken away. We really had to scramble to not raise taxes and find other ways to make it work." When asked by Mayor Pat Geagan how the city looks in comparison to other cities, Mayer declined to compare the city based on the report. However, -he = said .that_cifies couldj2e.e o - thew,f d•talances,,the.amountIeft over. �- in the city's general fund at the end of the year. The fund balance is important be- cause cities rely on it to get them through the first part of the new year when little revenue is coming in, Mayer said. "What you had at the end of the year was a fund balance of about $9.5 million, which represents 43 percent of your ex- penditures," Mayer said. "The recom- mendation is that cities retain enough to get them through four to six months and you have enough to get through five months, so you're right there in the mid- dle."