HomeMy WebLinkAbout8.c. Lance Johnson / Bituminous Roadways Mining Permit RenewalCITY OF ROSEMOUNT
EXECUTIVE SUMMARY FOR ACTION
CITY COUNCIL MEETING DATE: January 2, 1991
AGENDA ITEM:
Lance Johnson Mining Permit
AGENDA SECTION:
Application
New Business
PREPARED BY:
Michael Wozniak, AICP
AGENDAIV=M
City Planner
7F" 8C
ATTACHMENTS:
Mining Permit Application
APPROVED Y: -
Form, Staff
Memo with attachments.
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The City has received a request for renewal of a sand and gravel mining
permit for the east 34 acres of the Lance Johnson Property located off of
Rich Valley Boulevard. Attached with this summary is a memorandum which
outlines issues relating to this permit request.
RECOMMENDED ACTION: Motion to approve the Lance Johnson Mining
Permit subject to the subject to Mining Permit Conditions for 1991
and subject to Property Restoration Conditions for the Charles Koehnen
Property.
COUNCIL ACTION:
Approved.
TO:
FROM:
DATE:
SUBJ:
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P.O BOX 510
2875 -145TH ST W
ROSEMOUNT. MINNESOTA 55068
612-423-4411
MAYOR NAPPER; COUNCIL MEMBERS: KLASSEN, OXBOROUGH, WILLCOX
& WIPPERMAN; AND, CITY ADMINISTRATOR JILK
MICHAEL WOZNIAK, AICP, CITY PLANNER
December 27, 1990
January 2, 1991 - REGULAR MEETING REVIEWS
5a. Lance Johnson Property - Mining Permit Application
The City has received a request for renewal of a sand and gravel
mining permit for the east 34 acres of the Lance Johnson Property
located off of Rich Valley Boulevard. Attached with this review
are the following:
1. Phasing Plan.
2. Grading Plan (revised).
3. Permit Application form.
4. List of Permit Conditions for 1991 permit.
5. List of Conditions for Restoration of Koehnen Property.
6. Location Map.
7. Letter of Authorization for Property Restoration signed by
Charles Koehnen.
The current phasing plan, reclamation (grading) plan, and
c-onditions associated with this mining permit were originally
approved in 1982 with the recognition that the mining would
continue for several years.
The current operator of the sand and gravel operation is Bituminous
Roadways, Inc. of Minneapolis and the owner and applicant for the
permit is Lance J. Johnson.
During the last permit period mining was being conducted in Phases
1, 2 and 3 as indicated on the attached Phasing Plan. In a recent
site inspection staff observed that mining had encroached beyond
the Lance Johnson property boundaries onto the property of Charles
Koehnen (see phasing plan). Kent Peterson, representing the
operator, Bituminous Roadways, has indicated that this encroachment
onto the Koehnen property was unintentional. Mr. Peterson has
further indicated that the area which was excavated on the Koehnen
property and area that was inadvertently excavated within required
mining setbacks would be restored this spring. A revised grading
plan has been submitted which indicates the area which will be
restored during the upcoming permit period. A letter has been
submitted providing Mr. Koehnen's authorization to allow
restoration of his property to be completed by Bituminous Roadways.
Staff recommendation regarding this matter is that Council should
make approval of the Lance Johnson Property Mining Permit
contingent on Bituminous Roadways agreeing to completely restore
all acreage on the Koehnen property which was inadvertantly
excavated by July 1, 1991. City Administrator Jilk has advised
that a separate performance bond, cash escrow or letter of credit
be required to guarantee proper restoration of the Koehnen
property.
Mr. Peterson has indicated that Bituminous Materials intends to
operate on the property for approximately two more years. Current
mining activities are taking place primarily in Phases 2 and 3,
however, a portion of Phase 1 is used as a staging area for
activities being conducted in Phases 2 and 3. Phase 4, is not
owned by Lance Johnson and is no longer considered part of the
Mining Plan. A revised phasing plan has been submitted which
identifies that Phase 4 is not included in the current plan.
During the last permit period the City required that a $25,000.00
Performance Bond be provided to guarantee adequate restoration of
the site should the applicant not meet the conditions of the
permit. As specified in the Zoning Ordinance financial security
requirements for mining permits are established by City Council.
This bond amount has been used for many years without being
adjusted. Currently it is the City's policy to require a
performance bond in the amount of $2,000 per acre of area being
excavated to adequately guarantee the ability of the City to have
the property restored should the applicant default on the
conditions of the mining permit. The Lance Johnson property is 34
acres in size and would and, therefore, using the $2,000 per acre
requirment a performance bond of $68,000 would be required. During
Planning Commission consideration of this matter Mr. Johnson argued
that a bond requirement of $68,000 was excessive and that he would
be willing to agree to a bond requirement of $34,000 or $1,000 per
acre. The Planning Commission has forwarded a recommendation to
Council that a bond amount of $34,000 be required. Since the
Planning Commission does not by ordinance have authority to
establish financial security requirements and since the
Commission's recommendation differs from Staff recommendation it
is necessary for Council to evaluate this matter and reach
agreement on an amount of financial security to guarantee site
restoration which is acceptable to the City. City Engineer Rich
Hefti will explain how the $2,000 per acre financial guarantee for
restoration was derived at the meeting.
The Planning Commission has recommended that Council approve the
Lance Johnson Mining Permit Application subject to the attached
list of conditions and revised mining plan and has further
recommended that financial guarantee for site restoration be set
at $34,000.
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CITY OF ROSEMOUNT, MINNESOTA Mining Permit #
APPLICATION FOR MINING PERMIT
Date/ Z —2—
Applicant ZApplicant
Address �4a2/4" l �. S�, Telephone ��02
STATUS OF APPLICANT:
Owner // , Buyer Lessee Other
Property Descriptions
Type of Materiz
Cubic Yards of
Access Routes:
Estimated Number of Years of Operation: .-r'?,,J .
£ . The excavation w.i Qt be nev.iewed .in tight o6 the o'k i.ginal? plan, and .i6
conzi,stent thenew.i th, a new pehmc,t may be .i 6zued. The appti.cant heAeby ag%cem
to comply with the plan submitted by him and appnoved by the City. The appticajzt
undelc,stand,s that gaituxe ,to comply with said plan .6hatt be su66icient neason
bon the City to deny zubzequent appt icati.on,6 and teAmi.nate the opeAati.on.
Z; Ok4ganUe o ppca►vt ate
-----------------------------------------------------------------------------------
FOR OFFICE USE ONLY
Application Received by
Date
Fee Date
Plan Submitted
Planning Commission Action2C�
/ ate
Council Action '�'(��o��c/ t Su��P�f ca17'.,7s� /Z/Zc, /
,,„ Date
Conditions if approved Sec- 4r�- c/ Ca.Icl/h0'9s
Authorization
erk Date
Copy to Applicant
Conditions of Lance J. Johnson Mining Permit
A. That Lance J. Johnson (hereinafter "the Operator") sign a
written consent to these conditions binding itself and its
successors or assigns to the conditions of said permit.
B. That this permit is granted for the area designated as Phases
1, 2 and 3 on Exhibit A which is attached hereto as one of
the exhibits dated August 13, 1982.
C. That the term of the permit shall extend for from January 1,
1991 until December 31, 1991 unless revoked prior to that for
failure to comply with the permit requirements. Thereafter,
any application for renewal of the permit shall be made at
least sixty (60) days prior to the expiration date. A mining
permit fee of $250.00 shall be paid to the City of Rosemount.
D. That all required permits from the State of Minnesota, County
of Dakota and City of Rosemount (hereinafter "City") or any
of their agencies be obtained and submitted to the City prior
to the issuance of the permit. That failure by the Operator
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. That the final grading for the permit area shall be completed
in accordance with the attached exhibits, revised December,
1990, and any other conditions as may be imposed by the City
from time to time.
F. All gravel trucks shall enter and exit the mining area from
County State Aide Highway No. 71. It shall be the Operator's
responsibility to obtain any easements necessary for ingress
and egress. The location of the easements for ingress and
egress.shall be approved by the City and a plan for dust
control shall be submitted and approved by the City.
G. That the surface water drainage of the mining area shall not
be altered so as to interfere or affect the natural drainage
of adjacent property.
H. Any costs incurred now or in the future in changing the
location of the Williams Bros. Pipeline located within the
permit area shall be the sole obligation and expense of the
Operator.
I. That all costs of processing the permit, including but not
limited to planning fees, engineering fees and legal fees,
shall be paid by the Operator prior to the issuance of the
permit. That the Operator reimburse the City for the cost of
periodic inspections by the City Engineer or any other City
employee for the purpose of insuring that conditions of the
permit are being satisfied. That the Operator agrees to
reimburse the City for any other costs incurred as a result
of the granting of enforcing of the permit.
J. That the daily hours of operation for the mining area shall
be limited to 7:00 a.m. to 8:00 p.m., subject, however, to
being changed by the City Council.
K. That the Operator deposit with the City Clerk a surety bond
or cash escrow in the amount of
Dollars in favor of the City. The required surety bond 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 upon
thirty (30) days written notice to the permit holder and
the City.
(2) Satisfactory to the City Attorney in form and substance.
(3) Conditioned that the Operator 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 Engineer or other City officials.
(4) Conditioned that the Operator will secure and hold 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 Operator.
(5) The surety bond or cash escrow shall remain in effect from
January 1, 1991 until July 30, 1992.
Upon thirty (30) days notice to the permit holder and the
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.
L. That the Operator furnishes a certificate of comprehensive
general liability insurance issued by insurers duly licensed
withyn 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 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 co-insured and
shall remain in effect from January 1, 1991 until June 30,
1992.
2
M. That construction
require additional
adjacent property
of any ponding areas or wash plants shall
City Council approval and notification of
owners.
N. That the Operator shall hold the City harmless from all
claims or causes of action that may result from the granting
of the permit. That the Operator shall indemnify the City
for all costs, damages or expenses, including but not limited
to attorney's fees which the City may pay or incur in
consequence of such claims.
O. That the Operator 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.
P. Complete mining and reclamation is required in phases 1, 2
and 3 before any additional mining is authorized.
Modifications or expansion of the mining areas must be
approved in writing to the City.
Q. Reclamation requires the replacement of the entire stockpile
of topsoil to the mined area, reseeding and mulching
necessary to re-establish vegetative cover for permanent
slope stabilization and erosion control, provided also that
the minimum depth of topsoil shall not be less than two
inches after reclamation.
That Lance J. Johnson, a Minnesota resident, hereby consents
and agrees to the foregoing conditions of said mining permit.
Dated this day of
By:
Lance J. Johnson
, 1990.
That Palmer G. Peterson, President, Bituminous Roadways,
Inc., 2825 Cedar Avenue South, Minneapolis, Minnesota, pit
operator, hereby consents and agrees to the foregoing conditions
of said mining permit.
Date: Bv:
Palmer G. Peterson
K7
Charles Koehnen Property
Conditions for Restoration of Excavated Property.
A. That Palmer Peterson, President, Bituminous Roadways, Inc.
(hereinafter "the Operator") sign a written consent to these
conditions binding itself and its successors or assigns to
the conditions of said property restoration conditions.
B. That permition is granted by the City of Rosemount to proceed
with restoration of that portion of the Charles Koehnen
property designated on Exhibit A which is attached hereto.
C. That restoration of the subject property shall be completed
by July 1, 1991.
D. That the final grading for the permit area shall be completed
subject to compliance with maximum slope requirments specific
in Ordinance B (Zoning Ordinance) and subject to approval of
final grades by the City Engineer.
E. All gravel trucks shall enter and exit the mining area from
County State Aide Highway No. 71. It shall be the Operator's
responsibility to obtain any easements necessary for ingress
and egress. The location of the easements for ingress and
egress shall be approved by the City and a plan for dust
control shall be submitted and approved by the City.
F. That the surface water drainage of the mining area shall not
be altered so as to interfere or affect the natural drainage
of adjacent property.
G. That the Operator reimburse the City for the cost of periodic
inspections by the City Engineer or any other City employee
for the purpose of insuring that these property restoration
conditions are being satisfied. That the Operator agrees to
reimburse the City for any other costs incurred as a result
of the enforcing these property restoration conditions.
H. That the daily hours of operation for property restoration
activities shall be limited to 7:00 a.m. to 8:00 p.m.,
subject, however, to being changed by the City Council.
I. That the Operator deposit with the City Clerk a surety bond
or cash escrow in the amount of Two Thousand and 00/100
($2,000.00) Dollars in favor of the City. The required
surety bond 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 upon
thirty (30) days written notice to the permit holder and
the City.
1
(2) Satisfactory to the City Attorney in form and substance.
(3) Conditioned that the Operator 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 Engineer or other City officials.
(4) Conditioned that the Operator will secure and hold 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 Operator.
(5) The surety bond or cash escrow shall remain in effect from
January 1, 1991 until July 30, 1991.
Upon thirty (30) days notice to the Bituminous Roadways, Inc.
and the surety company, the City may reduce or increase the
amount of the bond or cash escrow during the term of said
property restoration activity.
J. That the Operator furnishes 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 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 co-insured and
shall remain in effect from January 1, 1991 until June 30,
1992.
K. That the Operator shall hold the City harmless from all
claims or causes of action that may result from the granting
of authorization to restore said property. That the Operator
shall indemnify the City for all costs, damages or expenses,
including but not limited to attorney's fees which the City
may pay or incur in consequence of such claims.
L. That the Operator 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.
M. Reclamation requires the replacement of the entire stockpile
of topsoil to the excavated area, reseeding and mulching
necessary to re-establish vegetative cover for permanent
slope stabilization and erosion control, provided also that
the minimum depth of topsoil shall not be less than two
inches after reclamation.
F,
That Palmer G. Peterson,
Inc., 2825 Cedar Avenue South,
operator, hereby consents and
restoration conditions.
Date:
President, Bituminous Roadways,
Minneapolis, Minnesota, pit
agrees to the foregoing property
By:
Palmer G. Peterson
3
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To Whom It May Concern:
I understand and approve of Bituminous Roadways' intention
to restore the portion of my property that they disturbed during
their gravel mining operations on the Lance Johnson property.
This restoration is to take place in the spring of 1991.
Charles Koehnen
City of Rosemount
M E M O
TO: City Planner Wozniak
FROM: Public Works Director/City Engineer Hef
DATE: December 28, 1990
SUBJ: Grading Bond Financial Amount Calculation
Since there has been a question regarding the use of $2, 000 per
acre to determine financial guarantee amounts for grading and
mining permits, this memo will provide documentation that will
justify the $2,000 per acre.
Per Acre
Description Amount
Common excavation to level site $380
4 hrs of D-6 dozer @ $95/hr
Common excavation to place 3" topsoil $800
stockpiled on site
400 cy @ $2/cy
Seeding & Mulching $700
Erosion Control around 1/2 perimeter
400 if @ $1.20/lf $480
Total cost per acre restoration $2,360
As you can see from this itemized breakdown the restoration costs,
without contingincies, exceed our current bonding requirement of
$2,000 per acre. Assuming that not every square foot of the
disturbed area needs to be restored, then the $2,000 per acre
figure should suffice.
All costs used are taken from actual bids on city projects.
If you have any questions regarding this matter, I would be happy
to try to answer them.
cc: Ron Wasmund, Building Official
Dean Johnson, Community Devel. Dir.
Steve Jilk, Admininstrator