HomeMy WebLinkAbout6.l. Vesterra, LLC and Stonex, LLC Annual Mineral Extraction Permit Review and Renewal, 09-02-MEAGENDA ITEM: 09 -02 -ME Vesterra, LLC and Stonex,
LLC Annual Mineral Extraction Permit
Review and Renewal
AGENDA SECTION:
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PREPARED BY: Jason Lindahl, AICP, Planner
AGENDA NO. (1-1
ATTACHMENTS: 2009 Conditions for Mineral Extraction,
Location Map, Phasing Plan, Applicant's
Narrative
APPROVED BY:
Off}
RECOMMENDED ACTION: Motion to approve renewal of the Vesterra, LLC and Stonex,
LLC Mineral Extraction Permit for 2009, subject to the standards outlined in Section 12.4 of
the Zoning Ordinance and the 2009 Conditions for Mineral Extraction.
4 ROSEMOUNT
City Council Meeting:
SUMMARY
Applicant:
Property Owner:
Location:
Area in acres:
Comp Plan Designation:
Current zoning:
Nature of request:
Material removed in 2008:
CITY COUNCIL
March 18, 2009
EXECUTIVE SUMMARY
Jonathan Wilmshurst of Vesterra, LLC and Stonex, LLC
Flint Hills Resources
South of Bonaire (County Road 38) and 1 /4 mile west of Blaine Ave.
Vesterra 75 Acres, the north half along 135 Street East.
Stonex 80 Acres, the south half.
IM Industrial Mixed Use
AG, Agriculture
Annual renewal of the mineral extraction permit
Less Than 5,000 tons
The applicant, Jonathan Wilmshurst of Vesterra LLC /Stonex LLC, requests renewal of the Vesterra and
Stonex mineral extraction permits for 2009. The subject properties are located south of Bonaire Path and
1 /4 mile west of Blaine Avenue (County Road 71). The properties are owned by Flint Hills Resources
which leases them back to the applicant for mineral extraction. While Flint Hills and Vesterra,
LLC /Stonex, LLC are parties to the permit, the responsibility for securities and compliance with the
conditions remains with Vesterra and Stonex as the property lessee.
PLANNING COMMISSION ACTION
The Planning Commission reviewed this item during their regular meeting on February 24, 2009. Staff
presented this item stating Vesterra /Stonex, LLC requests renewal of their mineral extraction permit for
2009. Planner Lindahl noted the subject property still does not have a long term operator and therefore
had minimum activity in 2008. Staff concluded by stating there was no police activity at the site during
2008 and recommended approval of this item. Chairman Messner opened the public hearing inviting any
public comment on this item. After hearing none, the public hearing was closed. The Planning
Commission then voted unanimously to recommend the City Council approve renewal of the Vesterrra
and Stonex mineral extraction permit for 2009.
Surrounding Land Use and Zoning Information
Direction
Current Land Use
Guided Land Use
Zoning
North
Agriculture
Agriculture
Agriculture
Agriculture
South
Agriculture
Medium Density Residential (west half)
Business Park (east half)
East
Agriculture
Mixed Use Industrial
Agriculture
Agriculture
West
Agriculture
Urban Residential
BACKGROUND
According to the applicant, there was minimal activity in the mine during 2008 due to the slow economy.
Mr. Wilmshurst reports less than 5,000 tons of material was removed from the pit in 2008. The applicant
continues to promote the site in hopes of retaining a long term operator. Should the applicant retain an
operator for the pit, the applicant anticipates processing up to 500,000 tons of construction sand and
gravel during a normal year. In the meantime, the applicant will continue marketing the mining material
themselves.
The applicant also anticipates some recycling of concrete and asphalt material and importation of clean fill
for reclamation. In addition, the applicant is in discussions with a potential farming tenant. While the
farming would occur outside of the mining area, all of the mining activity in 2008 will occur in Phase I of
the applicant's Phasing Plan.
The table below details the zoning, current land use and future land use information for the surrounding
properties. The combined sites are zoned AG, Agriculture, guided IM, Industrial /Mixed Use and are
located within the current Metropolitan Urban Service Area (MUSA). It should be noted that some of the
agricultural use includes associated residential uses.
Currently, access to both properties comes through a gate at the northeast corner of the Vesterra property
along Bonaire Path. As the activity on the Stonex property progresses, the applicant plans to shift access
to the pit to County Road 71 across an 80 acre parcel owned by Flint Hills Resources. Mr. Wilmshurst
does not anticipate a change in access during 2009. Should conditions warrant a change in access, the
applicant will come back to the City to amend the permit.
RECOMMENDATION
Staff recommends renewal of the Vesterra and Stonex Mineral Extraction Permit 2009. This request is
subject to the conditions outlined in the attached permit as well as the mineral extraction permits standards
outlined in Section 12.4 of the Zoning Ordinance. Upon review of these standards, police records, and the
information submitted by the applicant, staff recommends renewal of this permit.
2
Mineral Extraction Permit
2009 Conditions for Mineral Extraction Permit Renewal
VESTERRA, LLC and STONEX, LLC
A. By their signatures below, Vesterra, LLC and Stonex, LLC (hereinafter collectively
referred to as the "Property Lessee and Flint Hills Resources (herein after "the
Property Owner consent to these conditions, binding themselves and their
successors, heirs or assigns to the conditions of this permit. Vesterra LLC and
Stonex, LLC are jointly and severally liable and responsible for compliance with all
conditions of this permit and all requirements of law relating to the licensed
activities. 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. Property Owner consents to entry onto the Subject Property
by the City, the City's employees, agents, and contractors, as needed to inspect the
work of the permit, enforce the conditions of the permit and undertake any work
needed to comply with permit conditions including mine closing and reclamation.
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 for the northern 75 acres, the
Vesterra site. The completion date of the overall mineral extraction process
including site restoration shall be no later than December 31, 2018 for the southern
80 acres, the Stonex site. The term of this permit shall extend from January 1, 2009
until December 31, 2009 unless revoked prior to that for failure to comply with the
permit requirements. A mining 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
Lessee 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 Bonaire Path (County Road 38). It shall be the Property Lessee'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
2009 Mining Permit
Vesterra, LLC Stonex, LLC
2 of 6
relative to the mining process. The current location of the access driveway is
indicated on the Location Map, 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 Lessee.
G. A plan for dust control shall be submitted to and subject to approval by the City.
The Property Lessee shall clean dirt and debris from extraction or hauling operations
related to the Mineral Extraction Permit from streets. After the Property Lessee has
received 24 -hour verbal notice, the City may complete or contract to complete the
clean-up at the Property Lessee'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 Lessee'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.
I. No topsoil shall be removed from the site and the Property Lessee shall take
necessary measures to prevent erosion of the stockpiled topsoil. The location of the
stockpiled topsoil shall be indicated on Exhibit 2, 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 Lessee.
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 Lessee prior to the
issuance of the permit. The Property Lessee 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
Lessee 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.m., subject, however, to being changed by the City Council.
M. The Property Lessee shall deposit with the Planning Department a surety bond or
cash deposit 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 revegetating land disturbed by mining activities and to ensure
performance of all requirements of this agreement and City ordinances by Property
Lessee. The required surety bonds must be:
2009 Mining Permit
Vesterra, LLC Stonex, LLC
3 of 6
(1) With good and sufficient surety by a surety company authorized to do
business in the State of Minnesota.
(2) Satisfactory to the City Attorney in form and substance.
(3) Conditioned that the Property Lessee 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 Lessee 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 Lessee.
The surety bond or cash deposit shall remain in effect from January 1, 2009
until July 31, 2010.
Upon thirty (30) days notice to the Property Lessee and surety company, the City
may reduce or increase the amount of the bond or cash deposit during the term of
this permit in order to insure that the City is adequately protected.
N. The Property Lessee 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; and at least One Million
and no /100 ($1,000,000.00) Dollars for injury or death of more than one person
arising out of one occurrence 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 January 1, 2009 until December 31, 2009.
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 Lessee and 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 Lessee shall indemnify 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.
(5)
2009 Mining Permit
Vesterra, LLC Stonex, LLC
4 of 6
Q.
The Property Lessee and 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.
R. Complete mining and reclamation is required in all phases before any additional
mining is authorized. Modifications or expansion of the mining areas must be
approved in writing to the City. Property Lessee 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 Lessee 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 Lessee 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 issuance 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 Lessee must show how materials stockpiled for recycling will be
processed and inform the City of all stockpiled materials.
W. The Property Lessee may not assign this permit without written approval of the City.
The Property Lessee will be responsible for all requirements of this permit and all
City ordinances on the licensed premises for the permit period unless the Property
Lessee gives sixty (60) days prior written notice to the City of termination and
surrenders the permit to the City. The Property Lessee 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 Lessee 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 0 and V; and topsoil imported for the
purpose of re- establishing turf as accepted by the City.
2009 Mining Permit
Vesterra, LLC Stonex, LLC
5 of 6
Z. Truck operators within the pit area shall not engage in practices involving slamming
tailgates, vibrating boxes, using of "jake" or engine brakes (except in emergency
situations) or other such activities that result in excessive noise.
AA. The Property Lessee shall comply with directions from the City Engineer.
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.
EE. The storage of equipment (unrelated to the sand and gravel mining and processing),
manure, construction debris, or hazardous materials of any kind shall not be
permitted on site. The placement of construction debris, manure, asphalt or
hazardous materials in any form within the pit as fill shall be strictly prohibited.
IN WITNESS WHEREOF, Vesterra, LLC and Stonex, LLC hereby consents
and agrees to the foregoing conditions of said mining permit this day of
20
STATE OF MINNESOTA
ss
COUNTY OF DAKOTA
Stonex, LLC
Notary Public
Vesterra, LLC and Stonex, LLC
By:
Jonathan J. Wilmshurst, Owner
The foregoing instrument was acknowledged before me this day of
20 by Jonathan J. Wilmshurst, the Owner of Vesterra, LLC and
2009 Mining Permit
Vesterra, LLC Stonex, LLC
6 of 6
IN WITNESS WHEREOF, Flint Hills Resources, hereby consents and agrees to
the foregoing conditions of said mining permit this day of
20
Flint Hills Resources
Its
STATE OF MINNESOTA
)ss
COUNTY OF DAKOTA
The forgoing instrument was acknowledged before me this day of
20 by Flint Hills Resources, Its the
Property Owner, on behalf of the company.
Notary Public
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LOCATION MAP
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CONCEPTUAL END USE PLAN
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1 hereby crony that Rtis plan, document or report was prepared by
me or under my direct supervision and gat I am a duly Licensed
Professional Geologist under tha lawn of the state or Minnesota*
J.D. Lahr
Reg. No. 30D63
Datm January 13,2005
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Vesterra, LLC and Stonex, LLC
Annual Mining Permit Renewal Request
January, 2009
There was again limited activity at the Vesterra/Stonex operation during 2008, with many
companies in the construction materials sector reporting volume declines of 50%
compared with three years ago. Less than five thousand tons was removed during the
year. We continue to have discussions with several prospects, any one of which has the
potential to become a long -term lessee. It remains our plan to attract one or two solid
operators to work the whole site. In the event that this does not happen, then we will
continue to market material ourselves as we have the last couple of years.
Truck traffic from the operation remains minimal to date. In due course it is still our plan
to relocate truck access onto Co. Rd. 71 along the old Kraft farm road.
We are also in discussion with potential farming tenants that have expressed an interest in
setting up greenhouse facilities on the property. This would occur in areas not slated for
mining any time soon.
Dust control measures will be employed as follows: regular reclamation and
planting/seeding of berms and pit floor will keep exposed soils to a minimum, and roads
will be regularly sprayed with water. In addition, the much lower elevation of the mine
floor will tend to protect it from westerly winds that may pick up dust. Vesterra/Stonex
thanks the Rosemount Planning Commission and City Council for its consideration of
this application for renewal.