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Mineral Extraction Permit Renewal for Vesterra, LLC 04-86-MECITY OF ROSEMOUNT EXECUTIVE SUMMARY FOR ACTION City Council Meeting Date* Februa 15, 2005 AGENDA ITEM: Mineral Extraction Permit Renewal for AGENDA SECTION: Vesterra, LLC 04 -87 -ME Consent PREPARED BY: Rick Pearson, City Planner A DA NO ATTACHMENTS: Draft Conditions for 2005, Draft 01/25105 PC �Ww as Minutes, Location map, Present conditions and APPROVED B 2005 mine plan, Narrative RECOMMENDED ACTION: Motion to approve the mineral extraction permit renewal for Vesterra, LLC subject to conditions ACTION: ISSUE Jonathan Wdmshurst of Vesterra, LLC is applying for a renewal of the mineral extraction permit originally granted in 2003 Activity in 2004 was primarily focused on commencing the extraction process and organizing related activities in the pit area PLANNING COMMISSION PUBLIC HEARING On January 25, 2005, the Planning Commission conducted a public hearing as required by ordinance The Vesterra plan required revisions in accordance with the new Stonex mineral extraction permit They both are affected by the conceptual street connections between Connemara Trail and County Road 38, and grades transitioning to the outer edges of the property at the street corridors With the revised plans, the Planning Commission's only concern was the provision of a referenced letter from Engineering Staff to be included with the conditional approval BACKGROUND Applicant Property Owner(s) Jonathan Wilmshurst of Vesterra, LLC Location. 2112 135` Street East South side of 135`" Street East, 1/3 mile west of County Road 71 Area in Acres Comp Guide Plan Desig• Current Zoning Total amount to be extracted Completion date Material extracted in 2004 Planning Commission Action 75 Agriculture Agriculture 3 5 million tons (projected) Dec 31, 2014 (includes rehabilitation) Less than 2000 tons Recommendation of approval (4 -0). SUMMARY The Vesterra mineral extraction permit is the most recent mining permit issued in Rosemount Mining in this area of the Agriculture district is structured as an Interim Use Permit This IUP is projected to expire at the end of 2014 Activity in 2004 primarily consisted of stripping topsoil and organizing the activity and process areas into the first phase south and east of the old Darsow farmstead buildings The amount of material extracted was minimal, less than 2,000 tons Projections for 2005 range from 50,000 to 100,000 tons One concern has developed regarding the information provided by the applicant The fourth paragraph in the provided narrative refers to reselling small amounts of imported aggregate This activity would occur in an area labeled "storage bins" near the entrance road on the Present Conditions map. This information introduces a retail use to the property that is not permitted by zoning Staff was under the impression that these bins were intended for indigenous material originating and processed on the site The importation and reselling of aggregate materials, even in small quantities is inconsistent with the Agricultural zoning, and there is no provision in the mineral extraction standards to suggest it would be permitted as an accessory use Therefore, staff will include a specific prohibition in the recommended operating conditions concerning this particular use proposed for the site Another consideration is the mineral extraction permit reclamation plan has been revised to allow for a north -south collector street that will connect 135 Street with Connemara Trail The street has not been designed, but the approximate location of future streets are being recommended by the Cities' engineering consultant This is a modification of the original plan, but is appropriate in the interest in shaping the land for appropriate reuse post mining. The Vesterra proposal includes lowering 135 Street, and providing a transition for the street west of the farmstead, approximately at the mid point along the northern property boundary line The proposed street splits near the boundary line of the neighboring southerly Stonex property The two streets then connect with Connemara Trail in two locations, generally in the southwest and southeast corners of the Stonex property to the south CONCLUSION With the exception of the reference to the sale of imported aggregate materials as mentioned above, staff is comfortable recommending renewal of the Vesterra mineral extraction permit for 2005 The grading and reclamation plan will have to be approved by the City Engineer, and Dakota County concerning the reduction of grade at County Road 38 if it is not to be turned back to the City RECOMMENDATION Motion to recommend approval of the mineral extraction permit renewal for Vesterra, LLC subject to the attached conditions for 2005 2 Mineral Extraction Permit 2005 Conditions for Mineral Extraction Permit Renewal VESTERRA, LLC A Vesterra, LLC (hereinafter "the Property Owner shall sign a written consent to these conditions binding itself and its successors, heirs or assigns to the conditions of said permit Mineral Extraction is an Interim Use in the Agriculture District of which the permit area is a part according to Ordinance B, the City of Rosemount Zoning Ordinance Regulations B. This permit is granted for the area designated as Phase 1 on Exhibit 2 which is attached hereto as one of the exhibits C The completion date of the overall mineral extraction process including site reclamation shall be no later than December 31, 2014 The term of this permit shall extend from February 15, 2005 until December 31, 2005 unless revoked prior to that for failure to comply with the permit requirements A mmmg permit fee of $370 00 shall be paid to the City of Rosemount D. All required permits from the State of Minnesota, County of Dakota and City of Rosemount (hereinafter "City or any of their agencies shall be obtained and submitted to the City prior to the issuance of the permit Failure by the Property Owner to comply with the terms and conditions of any of the permits required under this paragraph shall be grounds for the City to terminate said mining permit E The final grading for the permit area shall be completed in accordance with the grading plan labeled Exhibit 3, which is attached hereto, or as approved by the City Engineer, and any other conditions that may be imposed by the City from time to time F All gravel trucks and other mining related traffic shall enter and exit the mining area from 135 Street East (County Road 38) It shall be the Property Owner's responsibility to obtain any access permits or easements necessary for ingress and egress The location of the accesses and /or easements for ingress and egress shall be subject to approval by the City, as well as the Dakota County Highway Department or the Minnesota Department of Transportation if applicable or if any changes occur relative to the mining process The current location of the access driveway is indicated on the Phasing Plan, Exhibit A Warning signs including "Trucks Hauling' shall be installed at the Property Owner's expense as needed in accordance with Dakota County requirements Any street improvements to County road 38, 71 or CSAH 42 necessary to accommodate the generated traffic shall be the sole responsibility of the Property Owner 2005 Mmmg Permit Vesterra, LLC 2 of 5 G A plan for dust control shall be submitted to and subject to approval by the City. The Property Owner shall clean dirt and debns from extraction or hauling operations related to the Mineral Extraction Permit from streets After the Property Owner has received 24 -hour verbal notice, the City may complete or contract to complete the clean-up at the Property Owner's expense In the event of a traffic hazard as determined by the City Administrator (or his designee) or Rosemount Police Department, the City may proceed immediately to complete or contract cleanup at Property Owner's expense without prior notification H. The surface water drainage of the mining area shall not be altered so as to interfere, contaminate or otherwise impact the natural drainage of adjacent property No topsoil shall be removed from the site and the Property Owner shall take necessary measures to prevent erosion of the stockpiled topsoil The location of the stockpiled topsoil shall be indicated on Exhibit A, the Phasing Plan J. Any costs incurred now or in the future in changing the location of existing public or private utilities including but not limited to pipelines, transmission structures and sewer infrastructure located within the permit area shall be the sole obligation and expense of the Property Owner K. All costs of processing the permit, including but not limited to planning fees, engineering fees and legal fees, shall be paid by the Property Owner prior to the issuance of the permit The Property Owner shall reimburse the City for the cost of periodic inspections by the City Administrator or any other City employee for the purpose of insuring that conditions of the permit are being satisfied The Property Owner agrees to reimburse the City for any other costs incurred as a result of the granting or enforcing of the permit L The daily hours of operation for the mining area shall be limited to 7.00 a m to 7 00 p in, subject, however, to being changed by the City Council M. The Property Owner shall deposit with the Planning Department a surety bond or cash escrow in the amount of Seven Thousand, Five Hundred Dollars per acre ($7,500 00 /acre) for any active phase in favor of the City for the cost of restoration, regrading and /or revegetatmg land disturbed by mining activities and to ensure performance of all requirements of this agreement and City ordinances by Property Owner The required surety bonds must be. (1) With good and sufficient surety by a surety company authorized to do business in the State of Minnesota with the right of the surety company to cancel the same only upon, at least thirty (30) days written notice to the permit holder and the City. (2) Satisfactory to the City Attorney in form and substance 2005 Mmmg Permit Vesterm, LLC 3 of 5 (3) Conditioned that the Property Owner will faithfully comply with all the terms, conditions and requirements of the permit, all rules, regulations and requirements pursuant to the permit and as required by the City and all reasonable requirements of the City Administrator (or his designee) or any other City officials (4) Conditioned that the Property Owner will secure the City and its officers harmless against any and all claims, or for which the City, the Council or any City officer may be made liable by reason of any accident or injury to persons or property through the fault of the Property Owner (5) The surety bond or cash escrow shall remain in effect from February 15, 2005 until July 31, 2006 Upon thirty (30) days notice to the permit holder and surety company, the City may reduce or increase the amount of the bond or cash escrow during the term of this permit in order to insure that the City is adequately protected N. The Property Owner shall furnish a certificate of comprehensive general liability insurance issued by insurers duly licensed within the State of Minnesota in an amount of at least Five Hundred Thousand and no /100 ($500,000 00) Dollars for injury or death of any one person in any one occurrence, bodily injury liability in an amount of at least One Million and no /100 ($1,000,000 00) Dollars and property damage liability in an amount of at least Two Hundred Fifty Thousand and no /100 ($250,000 00) Dollars arising out of any one occurrence The policy of insurance shall name the City as an additional insured and shall remain in effect from February 15, 2005 until August 1, 2006 O. No processing or mixing of materials shall occur on the site, except as approved by the Dakota County Environmental Health Department as incidental to a sand and gravel mining operation Any such activities will be enclosed with snow, or cyclone fencing or as approved by City staff Construction of any ponding areas, wash plants or other processing or equipment brought to the site shall require additional site and grading plan information subject to review and approval of the City Engineer P The Property Owner shall hold the City harmless from all claims or causes of action that may result from the granting of the permit The Property Owner shall indemmfy the City for all costs, damages or expenses, including but not limited to attorney's fees that the City may pay or incur in consequence of such claims Q. The Property Owner shall comply with such other requirements of the City Council as it shall from time to time deem proper and necessary for the protection of the citizens and general welfare of the community 2005 Mining Permit Vesterra, LLC 4 of 5 R Complete mining and reclamation is required m all phases before any additional mining is authorized Modifications or expansion of the mining areas must be approved in writing to the City Property Owner shall submit to the City semi- annually a written report indicating the amount of material extracted from the site for the prior six -month period S The Property Owner shall incorporate best management practices for controlling erosion and storm water runoff as specified by the Minnesota Pollution Control Agency and the United States Environmental Protection Agency T. The Property Owner must have a copy of the Dakota County Soil and Water Conservation District mining application completed and on file with the City of Rosemount Planning Department prior to the approval of the Mineral Extraction Permit U Reclamation shall include the replacement of the entire stockpile of topsoil on the mined area, reseeding and mulching necessary to re- establish vegetative cover for permanent slope stabilization and erosion control The minimum depth of topsoil shall not be less than two inches after reclamation Topsoil for reclamation shall conform to specifications on file with the City. No restored slopes may exceed a gradient of 25% or four to 1 (4 1) V The Property Owner must show how materials stockpiled for recycling will be processed and inform the City of all stockpiled materials W The Property Owner may not assign this permit without written approval of the City The Property Owner will be responsible for all requirements of this permit and all City ordinances on the licensed premises for the permit period unless the Property Owner gives sixty (60) days prior written notice to the City of termination and surrenders the permit to the City The Property Owner shall identify all Operators prior to their commencement of mineral extraction- related activities in the pit area The City shall have the authority to cause all mineral extraction activities to cease at any time there is an apparent breach of the terms of this Permit X. The Property Owner shall install and maintain a "stock" gate (or equivalent) at the entrance to the property where the mining operation is located. The gate must be secured at 7 00 p m and at any time the pit is not in use Y. There shall be no "haul- back" of materials from any other property or job site that would be imported to the property for fill or other purposes other than incidental concrete recycling as referred to in paragraphs O, V and W, and topsoil imported for the purpose of re- establishing turf as accepted by the City Z Truck operators within the pit area shall not engage in practices involving slamming tailgates, vibrating boxes, using of "lake" or engine brakes (except in emergency situations) or other such activities that result in excessive noise. 2005 Mining Permit Vesterra, LLC 5of5 AA. The Property Owner shall comply with comments in the attached memo from the City Engineer dated July 16, 2003 BB A landscaping plan shall be prepared subject to approval by City Staff, for the purpose of providing vegetative screening within the setback areas of the various phases of the mining area Said landscaping shall be installed according to City standards, prior to commencement of operations within an adjacent phase area CC No retail activity is permitted on the site Materials imported to the site are limited to materials to be recycled and mixed with aggregate extracted from the site and topsoil for reestablishing ground cover or turf DD Off -site mining connected with the reconstruction of County Road 38 or construction of Connemara Trail shall require separate project approval by the City Council The site reclamation plan with proposed grades and future street alignments is subject to approval by the City Engineer IN WITNESS WHEREOF, Vesterra, LLC hereby consents and agrees to the foregoing conditions of said mining permit this day of 2005 Vesterra, LLC Ln Jonathan J. Wilmshurst, Owner STATE OF MINNESOTA ss COUNTY OF DAKOTA The foregoing instrument was acknowledged before me this day of 2005, by Jonathan J Wilmshurst. the Owner of Vesterra, LLC. Notary Public NIENIORANDUM TO: Rick Pearson, City Planner FROM: Andrew J Brotzler, P E City Engineer DATE: July 16, 2003 RE: Vesterra, LLC Application for Permit for Mineral Extraction Dated July 1, 2003 Upon review of the above referenced document, the following comments are offered For the proposed access to County Road 38, a permit will need to be obtained by the applicant from Dakota County, a copy of v%hich shall be provided to the City prior to approval The applicant shall be required to conform to all requirements of the Dakota County permit As discussed in the Environmental Assessment Worksheet (EAW) and presented to the responses to comments and Findings of Fact for the proposed project, Dakota County will monitor the volume of traffic at the intersection of County Road 38 and County Road 71, County Road 71 and 117` Avenue, and County Road 71 and County Road 42 Upon receipt of written notice from Dakota County that intersection improvements are required at any or all of the above -noted intersections due to truck traffic from the proposed mmmg operation, improvements shall be made in accordance with Dakota County standards with the full cost of the improvements borne by the applicant, Vesterra, LLC Any and all required improvements shall be completed within 6 months from the receipt of written notice from Dakota County As noted in the application, County Road 71 north from County Road 38 to 117` Avenue shall not be used as a haul route until the MnDOT TH52 /117` Avenue Interchange project is complete Approval for the use of the above -noted route as a haul route shall not be issued until the City has received written notice from Mn/DOT that the TH52 /117` Avenue Interchange project is complete 4 Load limits as determined by Dakota County shall be adhered to by the applicant Structural roadway improvements required by Dakota County shall be completed with the full cost of the improvements borne by the applicant, Vesterra, LLC The EAW for the proposed project noted the potential existence of a Type 1 Wetland within the proposed project area The applicant shall provide written confirmation of the status of this existing wetland as identified by the National Wetland Inventory (NWI) and 1999 City of Rosemount Wetland Inventory It should be noted that the status of this wetland as identified by the NWI was not confirmed as part of the 1999 RE: Vesterra, LLC Application for Permit Page 2 City of Rosemount Wetland Inventory Upon receipt of wntten venfication of the status of the wetland from the applicant, a proper course of action will be determined 6. On Exhibit 2, Operations Plan Year 1 and Exhibit 7, Boundary Survey, there are existing structures shown within the proposed mining area It is assumed that these existing structures will be remo as part of the mining operation Documentation of abandonment of the existing well(s) and removal of the existing septic system in accordance with current regulations shall be provided As noted in the EAW, stormwater calculations shall be prodded for the proposed pondmg The design of the proposed ponds shall be in accordance with City standards for both water quality and quantity The permit approval for the proposed mining operation shalt reference the Environmental Assessment Worksheet for the Vesterra, LLC Sand and Gravel Mine dated April 14, 2003 and responses to comments and Findings of Facts dated May 22, 2003 Should you have questions regarding the above comments, please do not hesitate to contact me Excerpt from the Regular Planning Commission Meeting of January 25, 2005 Public Hearing: 5C. Vesterra, LLC Mineral Extraction Permit Renewal. City Planner Pearson reviewed the Staff Report Vesterra, LLC applied for a renewal of the mineral extraction permit originally granted in 2003 Chairperson Messner asked the Commission for any questions for Mr Pearson. Commissioner Powell stated that in the 2005 Conditions, Paragraph AA references a memorandum which has not been attached Mr Pearson apologized for the over sight and stated it would be attached to the conditions Chairperson Messner opened the Public Heanng MOTION by Powell to close the Public Hearing Second by Humphrey Ayes• Zurn, Messner, Humphrey and Powell. Nayes None Motion carried Chairperson Messner asked for any follow -up questions or discussion. MOTION by Powell to recommend that the City Council approve the mineral extraction permit renewal for Vesterra, LLC subject to the attached conditions for 2005 Second by Humphrey Ayes Zurn, Messner, Humphrey and Powell Nayes None Motion approved. Mr Pearson indicated this item will be on the February 15, 2005 City Council Agenda �y EuEFER �l i7 `CHASE -1,Y� J SE Jam' 1�� 3lexl k 1 -sa �+--�A `1 it I_ SUIkGE I_. 1 f f u�l• W CALEO J 6ETT G �V SEE 3/E,Yx 5� j I 1 1111 �xtEND CZ) _E FOI TC (s G),F�r��� F Mining Operations P lan F SURGE WASH SCREW SCREENS PILE I 80% 15'I. E N E 95 100% C� SAND 3j�''�8W! COARSE I� y l SAND 1� CRUSHER 3 /A' 1 I I 1 1 Exhibit 2 2Mlni Operations Plan 0 yp If0 200 4" Exhibit 3 u F TU C IL GH p !S 611 1 ti 1a Cunenl EnUSace tc�� r�mi.. ENrnnce to Norlheael Induslrlal Sile of 10OW TFIIAL SI E i berm planted with trees w eRa andim comeback Qio NESS S Preserved A s 4 K i —'f• Rs+ 1� tisvM U 011 If 11. 'Ocb— °at ter^ i r-. L ���yV.... �i 1 .4.�w PI `\J4��d0�-•: a y\ 1�� C:0 �I l 1� 3rti has ,1 1 z V A id nj I Vesterra, LLC Annual Mining Permit Renewal Request December, 2004 As indicated in last year's permit renewal, mining activity commenced on the Vesterra property in spring, 2004, under a lease agreement with Plaisted Companies It took several months to complete all the stripping, berm construction and site layout work. The black dirt was thicker in some places than anticipated, but it has all been stored in the berm along the east side of the operation, as originally planned A small settling pand was also contructed between the cropland and the nine face in order to trap sediment washing off the feet and also to act as a retention/infiltration pond A slightly larger pond was dug at the lowest point on the pit floor to act as a setthnghnfiltration pond During the summer a small dry- screen processing plant was moved onto the property and mining commenced. It took much of the rest of the season to `fine tune the plant and the products Consequently, less than two thousand tons of product were actually removed from the property during the year It is anticipated that sales volume will begin to ramp up in 2005 It is very hard to estimate the exact numbers, but something in the 50,000 to 100,000 ton range would be reasonable. This is still well below the levels expected once the operation is fully established One of the activities normally associated with an operation such as this is the reselling of small amounts of imported aggregate This is not really a retail operation in the normal sense of the definition, but rather a service offered to small contractors such as landscapers The amounts of material will likely be very small not more than a few hundred tons a year Plaisted has built a row of holding bins usign concrete blocks. These are rtiarked on the plar. Tlie concrete blocks are _fully portable, interlocking units that can easily be removed once operations cease. Truck traffic from the operation is minimal as yet Eventually, it is intended to exit the pit in the southeast corner using the existing Kraft farm driveway direct onto Co Rd 71, but this will probably not occur until 2006 At that time, the appropriate driveway and access improvements will be made In the meantime, Vesterra accepts that it Aill be responsible for fixing any impacts made to Co Rd 38 as a result of Vesterra truck traffic. Owing to scheduling conflicts, the berm has not yet been properly seeded This will be done as soon as the weather permits in the spring Vesterra thanks the Rosemount Planning Con mssion and City Council for its consideration of this application