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HomeMy WebLinkAbout7.a. Case 17-46-ME Request by Dakota Aggregates to Renew their Large Scale Mineral Extraction Permit through 2018 EXECUTIVE SUMMARY City Council Meeting Date: February 20, 2018 AGENDA ITEM: Case 17-46-ME Request by Dakota Aggregates to Renew their Large Scale Mineral Extraction Permit through 2018 AGENDA SECTION: Public Hearing PREPARED BY: Kyle Klatt, Senior Planner AGENDA NO. 7.a. ATTACHMENTS: Location Map; Draft 2018 Mineral Extraction Permit; Narrative Supplement; Application Narrative; Public Comment Letter, Overall Phasing Map; 2018 Sub-Phase Map; Mining Area – North; Mining Area – South; North Processing Equipment Location Map; Dakota Aggregates Noise Monitoring Report with Monitoring Location Map, Photo of Equipment, and Noise Charts; Aerial Photos; Planning Commission Minutes Except (12/17/18 and 1/23/18); Dakota Aggregates Informational Booklet APPROVED BY: LJM RECOMMENDED ACTION: Motion to renew the Dakota Aggregates Large Scale Mineral Extraction Permit for 2018, subject to the terms and conditions in the attached 2018 Mineral Extraction Permit. ISSUE Dakota Aggregates has applied for the annual renewal of their large scale mineral extraction permit (LSMEP) on the UMore property. An annual operating permit is required for all gravel operations within the City, and the Dakota Aggregates permit was last renewed in January 2017. None of the ancillary uses, including the aggregate processing facilities, concrete product casting yard and concrete and asphalt production are due for renewal this year. Due to the interconnected nature of the mineral extraction and processing activities taking place on the site, any concerns with the other activities may be reviewed as part of the LSMEP discussion. For 2018, Dakota Aggregates is proposing to expand the southern mining area by 11 acres and will expand into portions of six new subphases in the northern mining area. Expansion in the northern mining area coincides with completion of reclamation in earlier sub-phases. PLANNING COMMISSION 12/18/17 MEETING Meeting Summary The Planning Commission conducted a public hearing at its December 18, 2017 meeting concerning the LSMEP extension. The public hearing notice for this application used the same mailing area as used in previous years for Dakota Aggregates, which extended the notification area from the 500 feet required by the City Code to 1,320 feet (¼ mile). This expanded mailing area acknowledges the larger project site and scale of the permit compared to typical zoning applications, and means that over 500 residents received notice of the public hearing. The Planning Commission received 2 testimony from the following individuals: • Shaun Nelson (City Council Member), 14388 Bentley Way, expressed concern about the sound monitoring that was conducted, and noted that other cities do not allow 24-hour mining operations. He encouraged the Commission to remove the allowance for the mine to operate 24-hours a day. He suggested shutting the mining down in the evening and allowing them to work on the weekend, including Sundays to compensate for the amount of time lost by not working all night. • James Carlson, 14431 Bayberry Circle and representing owner at 14376 Bayberry Circle, stated that he has made numerous calls to the City and has also talked to the police concerning noise from the mining facility. He noted that he cannot have windows open at night due to noise from Dakota Aggregates, and asked that the mine not be allowed to operate 24-hours a day. • Gary Nelson, 14432 Bayberry Circle, stated that he has lived in his house since 2003 and that he is concerned with the noise that is continuous into the early morning hours. He also expressed concern about dust and dirt in the air, and requested that the allowance for 24- hour operation not be renewed. • Tim Becken, Dakota Aggregates, discussed the sand pile in the northern portion of the site, and noted that it is being drawn down. He reported that the 24-hour operation is critical for Minnesota because of the compressed mining season. He said that Dakota Aggregates operates two shifts Monday through Friday for 20 total hours with the occasional Saturday shift. Mr. Becken further commented on the noise mitigation strategies his company has completed, which included raising the berm around the perimeter of the site, moving mining equipment to the bottom on the pit, and continuing to move mining activities further south. He noted that changing the hours of operation would have a dramatic impact on their completion schedule. The Commission tabled action on the request in order to provide additional time to further document all noise complaints concerning the operation and to investigate the operating hours for mining operations in neighboring communities. The following sections include the updated information provided to the Planning Commission in advance of its January 23, 2018 meeting. Noise Complaints After the Planning Commission meeting, staff asked that the Police Department to review records for all properties located south of Bloomfield Path and north of 145th Street (199) to determine if any additional calls concerning noise at Dakota Aggregates were received by the City but filed under the reporting address (and not the mining site). In addition, staff reviewed its own records, including phone logs and emails, and asked for any calls that other departments may have received concerning noise. Based on this research, the following is a listing of any calls or complaints that were received by the City in 2017 concerning noise at the Dakota Aggregates site (in chronological order): • March 29 – Call to Engineering (Atwater Way). Expressed concern about train whistles and noise from contractors working in the gravel pit. Noted that it is hard to sleep at night with the windows open. Was informed to call police when noise is occurring, but resident expressed reservation at taking such action. 3 • April 13 – Email to City Administrator and Council. Written on behalf of two properties along Bayberry Circle. Concern about continued 24-hour operation and impact from dust and dirt. Unable to sleep with windows open due to trucks operating through the night and noise from tailgates slamming. Concerned about impacts to property values. • April 24 – Police call (Bayberry Circle). Excessive noise from gravel pit. Officer was not able to confirm any noise beyond CSAH 42 traffic. • May 5 – Police call with email follow-up (Bayberry Circle). Tailgates slamming at the Dakota Aggregates property. Officer reported hearing overall noise from CSAH 42 and various loud trucks from the mining operation. Over a period of 10 minutes officer heard two slamming sounds coming from the gravel pit. Follow-up email from resident stated that tailgate banging noise began at 12:05 a.m., with five occurrences noted in a 20 minute time period. • September 13 – Facebook (Bentley Way). Question about hours of operation. Response from staff with hours of operation and note to call police with complaints. • September 27 – Police call (Bentley Way). Report of noise coming from the Dakota Aggregates property. Officer reported hearing a loud pitched screeching noise coming from the gravel pit while at the residence. Officer visited northwest gravel pit area and noted that the squeaking/grinding noise was very loud. Discussed the issue with a worker who indicated that they would attempt to locate and fix the problem. • December 11 – Letter (Bentley Way). Letter from Peter and Martha Magnuson included in the December Planning Commission packet. Request for reduced hours of operation and request for information concerning the benefit to the City for allowing the 24/7 operation. • December 20 – Phone call (Atwater Way). Phone call after Planning Commission meeting to discuss experiences. Noted that noise was worse before berm was completed, but has been very loud at night, mostly from trucks loading and unloading. Please note that the incidents listed above came from four individuals at the addresses cited in each report. In response to Mr. Carlson’s comments at the Planning Commission, in which he indicated that he had additional information, staff has contacted Mr. Carlson several times. At the time this report was finalized, staff has not received any additional materials from Mr. Carlson. In conjunction with a more detailed review of records after the first Commission meeting in December, staff found that there was one additional call to police not noted in the previous staff report. The error was because the call was filed under the address of the complainant and not the Dakota Aggregates property. All comments, calls, emails, etc. received over the last year are listed above. Neighboring Community Review At its December meeting, the Planning Commission asked that staff review mining requirements in neighboring cities in order to gain a better understanding about how such facilities are regulated outside of Rosemount. Staff was able to connect with three of the adjacent communities, Apple Valley, Lakeville, and Empire Township, and offers the following general comments about each 4 jurisdiction: • Apple Valley – The City of Apple Valley’s mining ordinance limits activities to daytime hours, but allows for extended hours upon request of the operator. When mining operators are allowed extended hours they are required to follow the City’s noise ordinance. Staff in Apple Valley confirmed that local mines have been allowed to operate under extended hours. • Lakeville – The City of Lakeville also allows for extended hours under its mining ordinance, and has allowed mines to operate for 24-hours in the past. There is currently one active mine in Lakeville, which is near residential areas; however, they have not been allowed to operate outside of normal working hours. • Empire Township – Empire Township’s regulations include provisions to allow for night operations. All existing mines have the ability to operate 24/7, and generally are able to secure permission to do so on an as-needed basis. Not all have used this flexibility, and the ones that do, have used it to allow hauling during night hours. In some cases, the township has directed operators to operate under extended hours in order to shorten the overall time frame for activity in a specific area. Nearly all municipal mining ordinances list specific operating hours for mineral extraction operations, but many codes, including those adopted by Apple Valley and Lakeville, provide an option for the local municipality to grant additional hours as part of the permit. The operating permit approved by the City of Rosemont in 2013 (and subsequently amended in later years) follows a similar approach; however, rather than requiring Dakota Aggregates to request permission for each individual project that requires extended operating hours (with no maximum number specified in any given year), the City of Rosemount has decided to give up-font approval for certain mining activities and a limited number of hauling projects with extended hours. In the case of hauling from the north mining area, a maximum of three such projects each year is proposed with the 2018 operating permit. Noise/Monitoring Discussion Based on the information received and reviewed to date, it appears that of the complaints received, most focus on the noise being generated by trucks loading and unloading in the north mining area. The actual mineral extraction activity appears to generate few concerns, and any excessive sound from the mining is generally occurring when equipment or machinery needs maintenance (which has been addressed in a timely fashion). This is borne out from the experiences in 2017 and 2016 where equipment complaints were addressed by the operator. In order to provide the City with a little more information concerning the truck hauling and need for 24-hour operation, the applicant prepared a supplement (attached) to the previous application narrative. Staff would like to point out two of the more important points to consider in regard to trucks hauling out of the northern mining area: 1) the only time the applicant can haul at night is for public projects (which are almost exclusively MnDOT projects), and almost all MnDOT contracts require night hauling and 2) once the northern sand pile has been depleted, Dakota Aggregate will no longer need to run trucks out of the northern haul road. The applicant notes that the number of public projects that might occur in a given year is very hard to predict, and that in the past several years, there have been no more than three such projects in any given year. Given the rate of material being hauled out of the northern mining area over the last few years, the applicant estimates that it will take five to six years to eliminate the sand stockpile in this area. 5 At the Planning Commission meeting there was some concern expressed that the operator had overseen the sound testing. In order to address concerns regarding the monitoring of sound from the facility, staff recommended revisions to the mining permit requiring the City oversee the sound monitoring at times and in locations approved by the City, and to ensure that the monitoring is conducted at a time when trucks will be hauling out of the north mining area. The ultimate goal of the monitoring is to verify that the operations are consistent with City and MPCA sound standards, and to do so in a way that can provide good empirical data for review. As with many developments or operations in the City, neighbors often are concerned about noise, odor or dust that may arise. The City has ordinance standards that regulate these negative impacts, whether the operation be a mine, construction site, or industrial use. It should be recognized that the approval does not imply that no noise or light will occur due to activity at the site. Rather, the permit requires that activities operate within the confines of the existing regulatory standards; which in the case of noise are the PCA requirements. There may be noises and activities that can be heard from residential properties that still fall within ordinance standards. The applicant has also agreed to a further limitation on the number of MnDOT projects allowed each year by lowering the number from five to three over the course of each annual permit. This revision has also been included in the attached draft mining permit. PLANNING COMMISSION 1/23/18 MEETING The Commission reviewed the updated information (above) provided by staff and allowed additional testimony concerning the request as follows: • Martha Magnuson, 14412 Bentley Way, stated that she has commented on Facebook, called 911, and sent letters to the Planning Commission concerning the mining operation. She noted that calling 911 for mining or hauling noise does not seem to be a good use of the City’s emergency services. Ms. Magnuson also expressed concern that the sound monitoring equipment is placed too close to the ground to get an accurate assessment of the noise coming from the mine. • Shaun Nelson (City Council Member), 14388 Bentley Way, stated he likes that mining does not occur on Sundays, but he is not able to sleep with his windows open other nights during summer months because of the noise. He agreed with comments about the placement of the sound monitoring equipment, and suggested that it be placed at the level of most bedroom windows in the neighborhood. He questioned why the City allows 24-hour mining and hauling when other surrounding cities limit mining operations to 12 hours. Mr. Nelson noted that the City only receives benefits of $80,000 for hosting the gravel operation. • Shawn Dahl (Dakota Aggregates), 2000 Ames Drive, Burnsville, explained that the gravel taxes paid by Dakota Aggregates from 2013 to 2017 total $755,393.41 in addition to property taxes of $764,891.52 over the same time period. He also stated that Dakota Aggregates made an in-kind donation of $280,705 to the City for the Flint Hills Athletic complex, which brings the overall financial contribution to date to over $1,800,000. Mr. Dahl noted that while not all of this money goes directly to the City of Rosemount, all City residents reside in Dakota County and benefit from the tax revenue generated by the mineral operation. In response to a question from the Planning Commission, he also stated he is aware that their competitors in other cities are allowed to operate 12-hours each day, but generally are also allowed to shift to 24-hour mining without restrictions. 6 The Planning Commission reviewed the updated information provided by staff, and generally discussed the timing for completion of mining and sand removal in the northern mining area and the issues associated with MnDOT road construction projects. Shawn Dahl addressed the Commission and estimated that it would take approximately five years to completely draw down the sand pile in the northern mining area. He noted that when this pile is gone, there will be no more trucks hauling out of the northern portion of the site. Commissioners noted that there are presently no restrictions in place concerning the length of each project, and questioned why MnDOT projects are unique. In response, the applicant stated that the hauling requirements for each project can vary substantially, and even if it is a lengthy project, night hauling is not continuous and depends on how the related work is progressing. When questioned, staff indicated that MnDOT has been requiring night work to help minimize traffic disruptions and to help provide a safer work environment for its employees and contractors. The applicant also noted that the most MnDOT project sites have very little room for storing sand and gravel material at the construction site and therefore it isn’t possible to haul during daytime hours and stockpile materials. There is also additional cost involved for moving the material twice. Responding to questions concerning 24-hour hauling, the applicant stated that the need and timing for overnight hauling varies from job to job. He noted that there were about 90 to 100 nights where hauling occurred in 2017. He further commented that all night hauling stopped after complaints were received, and that there is only one public project lined up for 2018 so far. Shawn Dahl also addressed questions concerning hauling from the southern mine by noting that while some sand material is stored in this location, most of this material is stockpiled in the north. The quicker that northern pile gets moved, the faster Dakota Aggregates will be done hauling out of the north. The Commission generally discussed how the sound monitoring has been conducted, and Commissioners indicated that they want to make sure that the monitoring is done in the spring and at a time when hauling is occurring at night. Staff noted that regardless of the permit conditions, the sound standards are part of the City’s ordinances and must be observed. Staff stated that the annual permit conditions were updated to give the City’s more oversight in conducting the monitoring. The Commission encouraged residents to call 911 when excessive noise is occurring at the mining site, and pointed out that this is the only way to ensure that the City is able to respond to any events when they occur after business hours. Commissioners generally favored granting the IUP extension with an additional requirements concerning the sound monitoring and reducing the overall number of public (MnDOT) projects allowed in a year from five to three. The Planning Commission recommended approval of the 2018 Annual Operating Permit with amended conditions concerning noise monitoring and night hauling as descried above. The recommendation passed on a 4-1 vote. SUMMARY Applicant: Dakota Aggregates, LLC, 2025 Center Pointe Boulevard Suite 300, Mendota Heights, MN Property Owner: University of Minnesota (UMore Development, LLC), 1300 South 2nd Street Suite 208, Minneapolis, MN Location: Northwest corner of County Road 46 and Station Trail; and ¼ mile south of County Road 42 (active mining areas) Mining area in acres: 142.35 acres total area; 68.18 acres about ¼ mile south of County Road 42 (Dry Mining) and 74.47 acres at the northwest corner of County Road 46 and Station Trail 7 (Dry/Wet Mining). Comp Plan & Zoning: Agricultural Research Extraction progress: 10 Phases (5 partial) of 16 (approximately 15% complete). Nature of request: Annual renewal. Legal Authority The large scale mineral extraction renewal approval is a quasi-judicial action, meaning that if the application meets the City Code, the large scale mineral extraction permit conditions and interim use permit regulations, then the large scale mineral extraction renewal must be approved. Staff supports approval of the large scale mineral extraction renewal and finds that it is substantially in conformance with the approved large scale mineral extraction permit and the interim use permit regulations with recommended conditions. The detailed analysis of this finding is provided below. In accordance with the Zoning Ordinance, the purpose of the annual operating permit “is to provide an opportunity for the city council to review the operation of the mine, gather public comment on the operation, modify any permit conditions as necessary to address adverse impacts that arise from the operation, and revise the phases and/or subphases of the mine. The large scale mineral extraction interim use permit provides a zoning basis for the mine provided the city issues an annual operating permit”. Background The City of Rosemount approved a Large Scale Mineral Extraction Permit for Dakota Aggregates in late 2012. This action established the overall zoning permit for the mining and extraction activities that were planned for the property. Since the initial site approval, the applicant (or another parties working with the applicant) has brought forward requests for the various interim uses allowed under the ordinance and mining permit. The applicant has also received approval for the annual renewal of the mineral extraction use in subsequent years. In order to clarify the approvals that have been granted for the site, staff prepared the following updated summary chart, with the annual reviews highlighted: Permit Date Issued Term (yrs) Notes/Comment Large Scale Mineral Extraction 12/18/12 40 Initial IUP for entire site (northern dry mining area to be completed by 2028) LSMEP Annual Permit 12/18/12 1 Annual Permit for 2013 Aggregate Processing IUP 12/18/12 3 Interim use for aggregate processing and recycled aggregate processing LSMEP Renewal 12/17/13 1 Annual Permit for 2014 Primary Ready-Mix Concrete Plant IUP 5/20/14 10 Enclosed facility within the approved auxiliary use area Seasonal Ready-Mix Concrete Plant IUP 5/20/14 10 Within same area as the primary plant LSMEP Renewal 11/18/2014 1 Annual Permit for 2015. Extended hours approved with permit Aggregate Processing IUP 11/18/14 5 Interim use for aggregate processing and recycled aggregate processing – extension of original permit. Extended hours approved with permit Wells Concrete Casting Facility 12/16/15 30 Interim use for a concrete casting facility within the approved auxiliary use area LSMEP Renewal 3/1/16 1 Annual Permit for 2016, conducted review of sound issues LSMEP Renewal 1/17/17 1 Annual Permit for 2017 LSMEP Renewal* 1/16/18* 1 Annual Permit for 2018 * Permit currently under review 8 The current request is specific to the annual renewal of the large scale mineral extraction permit. The other auxiliary uses identified in the above chart have been approved or renewed by the City and are operating within their approved time frames and in compliance with approval conditions. As part of the current renewal application, the applicant is not requesting any changes to the general terms and conditions of the mining activity, including the hours of operation approved with previous permits. The original 2012 permit allowed truck loading and hauling within the ancillary use area for 24 hours, seven days a week. Loading and hauling in the north area is limited to M-F 6-10 and Saturday 10-10; however, 24 hours is permitted for up to three public projects per year (proposed change from five with 2018 permit). The City later approved 24-hour operations for mineral extraction activities in the north and south mining areas starting in 2014; therefore, Dakota Aggregates has been operating with the same operating hours for the past three years. The following is a brief summary of the operating hours that have either been approved with previous permits. The current request is consistent with the hours of operation approved since 2014. Year Activity Hours Notes 2014-2018* Wet/Dry Mining including conveyor system (both north and south mines) 24 hours/7 days a week 2014-2018* Loading and Hauling (north mining area) M-F 6-10 Sat. 7-7 24 hour operation allowed for no more than 3 public projects (MnDOT) per year (changed from five public project in 2018) 2015-2019 Aggregate Processing (located in south ancillary use area) 24 hours/7 days a week 2015-2019 Loading and Hauling (southern processing area and south mine) 24 hours/7 days a week Limited to TH46 * Request for same hours in 2018 as 2014-17. One of the key points from this chart is that even with the 24 hour time period for mining and processing at the site, the loading and hauling of trucks from the northern dry-mining area is still limited to weekday and weekend hours, with the exception of up to three public projects per year. In that instance they are permitted a 24 hour operation. In 2017, staff was notified that one public project would be hauling over a 24-hour period. This occurred from March 6, 2017 until May 17, 2017 and was associated with the Nine Mile Creek Bridge/TH 169 MnDOT project. As in previous years, the applicant is requesting modifications to the permit for 2018 in order to expand the active mining areas on the site to account for reclamation work that has been completed in earlier phases. The updated permit would allow active mining in the north dry-mining area to expand into new portions of phases 4, 5, 6, and 7 and a very small portion of phase 8, in addition to continuing work in phase 2. All active mining work is complete in phase 1, a small portion of which is currently being used for sand storage. The applicant is also proposing a slight modification to the southern mining area to conduct active mining of 11 acres within sub-phase 10a, which is immediately north of the phase 2 project area. With the newly excavated areas, the applicant will still be under the maximum allowed area of disturbance in any individual project phase. Staff has reviewed the operating permit conditions for 2017 and is recommending minor amendments in order to update this document for 2018 based on the applicant’s recent submission. Please note that the 24 hour allowance for the aggregate processing activity was approved by the City as part of a five-year interim use permit that is set to expire/be renewed in 2019, and is regulated under the terms of a separate permit with the City, as are the cement casting yard and concrete and asphalt production areas. 9 MINING OPERATION – UPDATE Dakota Aggregates commenced its mining operation in 2013 and has received subsequent annual operating permits through 2017. Upon approval of the initial permit, the applicant began working in portions of the first two phases of both the north dry mining and south dry/wet mining areas identified on the overall site plan. This work included removing aggregate materials from mining areas and placing Class 5 material on the floor of the aggregate processing area. Early project stages also included removal and stockpiling of the topsoil on the site, a large portion of which was used to create the extensive berm system along TH46, TH42, and Biscayne Avenue. As northern mining has progressed over the last few years, the active mining areas have moved further to the south and east. The applicant also elected to start work in the western project phases and move easterly as much as possible to keep moving the operating equipment further away from residential neighborhoods north and northwest of Highway 42. The mining has also been taking place long enough that larger portions of the site have been reclaimed and are no longer part of the active mining areas. There is still a large amount of stockpiled sand in the eastern part of phase 2 that is being gradually reduced over time. This pile as of late fall is comprised of approximately 900,000 tons of material. For the current operating year, from January 1 through October 29 of 2017, Dakota Aggregates removed and paid aggregate taxes on 300,000 tons of material trucked directly from the northern dry mining area. There was 1,560,000 tons of material from the southern wet/dry mining and processing area, which would include material from the north mine that was processed in the southern ancillary use area. The applicant has also indicted that as of October 29, 2016 there were 900,000 tons of aggregate stockpile (sand) in the northern mining area, and 463,350 tons of aggregate stockpiles (of various materials as broken out in the application materials) in the southern area. In addition, the applicant has reported that there were 87,700 tons of recycled aggregate materials sold during the same time frame, with 65,040 tons of this material being stockpiled on the site. The above numbers represent an increase across the board as compared to the amounts reported for last year, and demonstrate that there continues to be a strong demand for aggregate products from the site. The Large Scale Mineral Extraction Ordinance allows two separate areas for extraction operations of no more than 80 acres each. For 2018, the applicant is proposing to extend the North Dry Mining Area by an additional 39.13 acres into the southern portions of sub-phases 4B and 5A, all of sub- phases 6A and 7A, and very small portions of 5B, 6B, 7B, and 8A. This expansion is off-set by the completion of 19.89 acres of reclamation (mostly in phase 1), which results in an active mining area of 68.18 acres for 2018. As reclaiming continues in earlier phases, the applicant will be able to continue expanding into new phases providing the extraction operations do not exceed 80 acres (as projected for 2018, the applicant will be 11.8 acres below the maximum extraction area permitted). Most of the material from the north is conveyed to the south processing area, meaning that there is less truck traffic out onto County Road 42 than was initially anticipated. Please note that the applicant continues to indicate that work in the North Dry Mining Area is progressing ahead of schedule, and they do not anticipate any difficulties completing mining in the northern area before the 2028 deadline. The renewal application indicates that there will be slight expansion of the extraction operations in the South Dry/Wet Mining Area (southern mining area) in 2018. Active mining will continue within Phases 1 and 2 over a total area of 63.47 acres, with an additional 11 aces, within sub-phase 10A, being added to the extraction operations. By actively mining in sub-phase 10A, the overall operations are in the southern mining area will be 74.47 acres, which is still 5.5 acres below the maximum allowance. The Dry/Wet Mining Sub-phases are located on the northwest corner of 10 County Road 46 and Station Trail and all trucks entering and exiting this area access County Road 46 at Station Trail. All activity in the Dry/Wet Mining area in 2018 is planned to occur outside and above the groundwater elevation. The lowest portion of the mine is currently about 60 vertical feet deep and, and the applicant is working west while maintaining this depth. In the future, once the entire area of these four Dry/Wet Mining sub-phases are within a two feet of the groundwater, Dakota Aggregates will bring in a barge and dragline to begin mining below the groundwater elevation. The rest of the Dry/Wet Mining phases will be mined with the barge and dragline. The annual operating permit for the property notes that mining within any phase that will expose groundwater will not be permitted before borings are conducted in the deepest part of the proposed lake to confirm a minimum separation of 15 feet between lowest mining elevation and bedrock. The applicant completed these borings in the spring of 2017, with the intent of commencing mining below groundwater elevations sometime in 2019. The findings of the boring work will be included in the report due January 2018, which is annually reviewed by our consultant WSP (formerly LHG). Mining is otherwise allowed to occur within two feet of groundwater until the wet mining commences. As indicated, monitoring must be conducted to establish the pre-mining groundwater characteristics prior to mining wet mining begins as required under condition JJ of the operating permit. A report is due by January 31st for the preceding year, and historically the City has retained Leggette, Brashears & Graham, Inc. (which is now part of WSP) to evaluate the groundwater monitoring and sampling being conducted by American Engineering Testing on behalf of the applicant. In its review of the testing completed in 2016, LB&G recommended some changes to the frequency of certain sampling, and all testing will now occur on either an annual or semi-annual basis depending on the type of analysis being performed. As of early 2017, site activities were performed in accordance with the WMP and met the conditions of the mining permit. The testing of groundwater at the UMore site is an ongoing requirement for Dakota Aggregates, and the City will again be asking LB&G to review the 2017, report upon receipt. Dakota Aggregates was permitted in 2017 for North Dry Mining sub-phases 1A, 1B, 1C, 2A, 2B, 2C, 2D, 4B, 5A, and 6A. For 2018, the applicant is proposing to add sub-phases 5B, 6A, 6B, 7A, 7B, and 8A to this list, while removing sub-phases 1B and 1C since reclamation work has been completed in these areas. The mining floor is approximately at a depth of 60 feet and work will continue west and south while maintaining the 60 foot depth. The North Dry Mining area will continue to access County Road 42 through a haul road running west to east along the former rail line about a ¼ mile south of County Road 42, then north along Akron Avenue to the intersection with County Road 42. This road is used less frequently than County Road 46, as most of the aggregate is being conveyed to the south for processing and then transported off-site from there via County Road 46. Last year, 300,000 tons out of the overall 1,947,700 tons of material sold by Dakota Aggregates was trucked out from the northern mining area. With the discussion about development in the area south and west of DCTC, future discussions about the haul road location will be needed. As noted during previous reviews, the 60 foot depth of the north mining area is about 30 feet deeper than the approved reclamation plan. The current bottom elevation of the north mining area is 882.5 feet. A former test hole in the bottom of the north mining area indicated the groundwater elevation at 879.3 feet, which maintains the minimum required separation under the operating permit. The current operating permit includes a condition that limits the north mining to a depth of 882 feet, and this condition is proposed to remain in effect for 2018. Dakota Aggregates will need to haul-back material from construction projects or re-deposit their sand to achieve the reclamation height. This 11 reclamation work has been completed in two of the northern sub-phases and will continue into additional sub-phases as mining progresses further south and west. Dakota Aggregates was permitted in 2017 for Dry/Wet Mining sub-phases 1A, 1B, 2A and 2B; and is proposing to continue mining in those same sub-phases plus sub-phase 10A in 2018. Through October 29, 2017, 1,560,000 tons of aggregate material were sold and trucked off site via CSAH 46, which is an increase of 148,000 tons from the same time period last year. In 2018, material sales include sales to the concrete and asphalt plants located within the AUF. The berms around the south mining area and the AUF have been constructed, seeded and vegetated, and all vegetation appears to be doing well. This berm was expanded further to the west along CSAH 46 in 2017 to help provide additional screening and buffering between the highway and mining operations. In 2016 the applicant completed construction of the northern berm to its westernmost extension at Biscayne Avenue as required under the operating permit. The overall height of the berm has been increased from the original permit to 30 feet, in part to help provide further mitigation for noise and visual impacts from the mining activity. The berm has also been extended further to the south along Biscayne Avenue, and as of this fall, has been constructed to a point just south of the Boulder Trail/Biscayne Avenue intersection. An operating permit condition concerning the northern berm continues to require Dakota Aggregates to maintain this berm at a height of 30 feet. The berm is expected to remain in place until development occurs in the northwestern portion of the UMore site. Mining Concerns and Issues One of the primary issues discussed with recent annual reviews for Dakota Aggregates is concerning noise generated by the facility. In 2016, the applicant hired a sound engineering consultant to perform an analysis of the mining operation and to monitor the sound levels in the surrounding area. Subsequent to the sound study, Dakota Aggregates implemented a number of policies to reduce or eliminate the level of sound being generated by the mining operation. Some of these changes included the following: • Implementing a series of mechanical improvements to equipment and machinery to minimize the sound being generated on the site. Some of these changes included adding sound dampening liners to machines that process aggregate materials, changing warning horns on equipment, reducing curves in the conveyor line to reduce tumbling noise, and other similar measures. • Finishing construction of a berm along the northern and western boundaries of the mine, and making the berm higher to provide a higher barrier for sound leaving the site. • Moving mining equipment to the bottom portion of the mine and moving it close to the wall of the excavation pit to provide the maximum amount of sound dampening possible. • Accelerating the projected completion of project phases closest to residential neighborhoods north of Highway 42. • Providing direction to machine and equipment operators to address mechanical issues (i.e. bearings that are making noise because they need lubrication) in a timely manner. As one of the conditions attached to the 2017 permit renewal by the City, the applicant was required to conduct sound testing in the neighborhood north of the mining area to assess sound from mining activities by June 1, 2017. The monitoring was performed in late May of this year, and the summary and graphical results provided by Dakota Aggregates’ Environmental Manager are attached for review. The report tracks the sound levels reported by the monitoring equipment over a period of 12 time, and compares these levels to those allowed under MPCA noise standards. As noted in the report, there were five periods of non-compliance; however, four of these spikes occurred during times when the mine was not in operation. The other event occurred on a Monday evening at 8:00 p.m. and lasted for 8 minutes. The applicant notes that nothing unusual occurred in the mine during this time, and that the sound monitor may have picked up noise occurring in the neighborhood rather than from the mining operation. One of the challenges with conducting sound testing in any location is that the sound equipment will track all noise being generated around the test site and not just sound coming from a specific source. In this case, during large portions of the day, the noise levels generated from traffic along Highway 42 exceed any sound coming from the mining operation. At other times, weather events, construction work, or other sources will generate loud sounds that have no relationship to the mine. In general, monitoring can help provide a snapshot of the noise in a neighborhood and what is happening during a given period of time. It is assumed that as traffic along Hwy 42 diminishes, the noise shown by the monitoring is attributable to the mine or neighborhood activities. The results provided by the applicant generally conform to the modeling done by the sound consultant in 2016, and specifically demonstrate that the mine is able to function in compliance with applicable sound regulations. In addition to the formal monitoring performed by the applicant, Staff would also like to note that any complaints concerning noise from the mining operation submitted to the City in 2017 have been documented in an early section of this report. In response to these complaints, the applicant has indicated that they have a fairly good understanding of what may have caused them. In the first case, dump trucks loading and unloading on the site typically have a metal gate in the back that can slam against the bed of the truck when raised or lowered quickly. In the other instance, the squeaking/grinding sound was being generated by one of the bearings in the conveyor line that was either out of alignment, in need of lubrication, or failing. The applicant has indicated that they will continue to work with the equipment operators on the site to ensure that all machinery and equipment is being run in a manner that does not generate objectionable noise off-site. Since the beginning of 2016, the City has been stressing that residents with noise complaints regarding the Dakota Aggregates operations should call 911 so there is documentation concerning the specific nature of the compliant, the location of the complaint, and time when it was observed. The police department has also been directed to notify the applicant when any loud noises are reported so that problems can be addressed in a timely manner. Because noise from the site continues to be one of the more significant concerns with the mining operation, staff is recommending that the noise monitoring continue into 2018 in accordance with the revised permit conditions. Staff has received one comment letter in advance of the meeting from Peter and Martha Magnuson. In their letter, the Magnuson’s question what benefit the City receives from allowing 24 hour operation for the mine, and request that the City limit the hours of operation to 6 a.m. to 10 p.m. In response to the letter, staff would like to point out that there are many different activities taking place within the mining area, some of which were approved to operate for a full 24 hours under the original large scale mineral extraction permit issued in 2012 (such as loading and hauling from the processing area). The applicant has also been able to document that under normal operating conditions the mine will not exceed maximum sound levels as specified in MPCA rules, and has made improvements and adopted practices to minimize the sound leaving the site. It appears that 13 most of the documented complaints are the direct result of operators not following proper procedures for loading and unloading, or relate to equipment maintenance issues. Although no complaints or issues would be ideal, given the size and scale of the mining operation it appears that the applicant is addressing any issues in a timely manner, and outside of a limited number of isolated incidents, has been operating in compliance with all permit conditions. When a situation arises at the mine (like excessive noise levels), it is important for the City to be able to investigate, document, and work with the applicant to address such issues. The most responsive way for the City to handle any complaints is through the police department, which can dispatch an officer very quickly to investigate and evaluate the situation. All of these complaints are tracked through the permitting process, and the City will have a chance to evaluate the type and frequency of issues each year as part of the annual permit review. This process has led to many improvements that have ultimately reduced negative impacts, and has been useful to help avoid smaller problems from becoming a larger City-wide nuisance. Staff continues to encourage residents to call and report all matters of concern, and will continue to document all complaints so that the Planning Commission and City Council may be fully aware of any and all resident concerns in the future. 2017 Ground Water Monitoring Report Since the Planning Commission meeting, the City of Rosemount has received the 2017 Annual Groundwater Monitoring Report prepared American Engineering Testing for Dakota Aggregates. The City’s consultant has received the report and is reviewing it at this time. Staff will provide the Council with an update concerning the report, or any issues associated with the monitoring conducted in 2017, if it is available prior to the meeting. FINAL OBSERVATIONS In reviewing the current operating permit as part of its review, Staff would like to note the following general observations: • The City did not identify any events in 2017 that resulted in the depositing of dirt or debris on any public streets due to the extraction or hauling operations. • The applicant did not request to remove any topsoil from the site in 2017. • Dakota Aggregates did not submit a semi-annual report this year given the short amount of time between the last renewal in January of 2017 and the submission deadline for the current request (November 2017). The City performed an inspection of the site on December 6th after receipt of the attached report; no specific areas of concern were observed during the site inspection. • As part of its reclamation work, the applicant will need to demonstrate that it is in compliance with conditions X and Z of the operating permit concerning minimum reclaimed top soil depth and minimum compaction levels for all fill. • There was no “haul-back” material brought to the site other than recycled products allowed within the processing area. • No “wet” mining has commenced in the southern mining area; however, the applicant has notified the City that it intends to commence this work within two years. RECOMMENDATION Planning Commission and staff recommend the City Council approve the renewal of the Dakota Aggregates Large Scale Mineral Extraction Permit for 2018. This recommendation is based on the information submitted by the applicant, findings made in this report and the conditions detailed in the attached Large Scale Mineral Extraction Annual Operating Permit Agreement. Dakota Aggregates Property Information 0 1,750 3,500875 ft 0 525 1,050262.5 m 1:19,200 Disclaimer: Map and parcel data are believed to be accurate, but accuracy is not guaranteed. This is not a legal document and should not be substituted for a title search,appraisal, survey, or for zoning verification. 2018 Large Scale Mineral Extraction Annual Operating Permit Agreement for North Dry Mining Sub-phases 1A, 2A, 2B, 2C, 2D, 4B, 5A, 5B, 6A, 6B, 7A, 7B and 8A; and Dry/Wet Mining Sub-phases 1A, 1B, 2A, 2B and 10A DAKOTA AGGREGATES, LLC A. Dakota Aggregates, LLC (hereinafter "the Operator") signs a written consent to these conditions binding itself and its successors, heirs or assigns to the conditions of said permit. B. The term of the permit shall extend from January 1, 2018 until December 31, 2018 unless revoked prior to that for failure to comply with the permit requirements. C. Mining in Wet/Dry Mining Sub-phases 1A, 1B, 2A, 2B and 10A may occur 24 hours a day, 7 days a week. D. Mining, screening, and reclamation in North Dry Mining Sub-phases 2A, 2B, 2C, 4B, 5A, 5B, 6A, 6B, 7A, 7B, and 8A may occur 24 hours a day, 7 days a week. E. Trucks may haul from North Dry Mining Sub-phases 1A, 2A, 2B, 2C, 2D, 4B, 5A, 5B, 6A, 6B, 7A, 7B, and 8A from 6 a.m. to 10 p.m. Monday through Friday and 7 a.m. and 7 p.m. Saturday, except for hauling outside those hours for the execution of a contract requirement of up to three (3) MnDOT or other public agency roadway construction project. During the execution of the MnDOT or other public contracts, the hauling may occur 24 hours a day, 7 days a week. F. No crushing or washing equipment shall be located or used in the North Dry Mining Sub-phases 1A, 2A, 2B, 2C, 2D, 4B, 5A, 5B, 6A, 6B, 7A, 7B and 8A. G. The North Dry Mining Sub-phases, 2C, 2A, 2B, 2C, 4B, 5A,5B, 6A, 6B, 7A, 7B, and 8A shall not be mined below the 882 foot elevation. H. Protection equipment that is installed on hauling trucks, such as covers for the truck beds, shall be used while traveling on public roads. Non-use will be considered a violation of the permit condition. I. Trucks shall not use any locally designated road as part of their haul route except for the shortest route between the delivery site and the nearest County, State or U.S. highway. J. Trucks may not be loaded heavier that the public haul roads posted weight restrictions. K. Engineered designs for any reclamation steeper than a 3 to 1 slope must be submitted and approved by the City Engineer before the reclamation can occur. 2018 Annual Operating Permit Dakota Aggregates, LLC 2 of 6 L. A gate and thirty (30) feet of fencing on each side of the gate shall be installed at the Station Trail access. The gate shall be closed and locked when the mining or ancillary uses are not in operation. A knox box or similar devise shall be installed to provide emergency personal access to the key for the lock. M. Conformance with the City Engineer’s Memorandum dated September 20, 2012. N. The University of Minnesota (or designated entity) shall obtain approval and/or concurrence from the MPCA regarding completion of appropriate investigations and/or actions taken in response to identified releases of hazardous substances, pollutants or contaminates as defined under Minn. Statute 115B, and as deemed reasonable and necessary by the MPCA. O. Dakota Aggregates shall clean dirt and debris from streets that has resulted from extraction or hauling operations related to the Mineral Extraction Permit. After Dakota Aggregates has received 24-hour verbal notice, the City will complete or contract to complete the clean-up at Dakota Aggregates’ expense. In the event of a traffic hazard as determined by the City Administrator (or the Administrator’s designee) or Rosemount Police Department, the City may proceed immediately to complete or contract cleanup at Dakota Aggregates’ expense without prior notification. P. No topsoil shall be removed from the site unless Dakota Aggregates can demonstrate that there is topsoil in excess of the amount needed to reclaim the End Use Grading Plan with at least six (6) inches of topsoil. Dakota Aggregates shall take necessary measures to prevent erosion of the stockpiled topsoil. Q. 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 Dakota Aggregates. R. All costs of processing the permit, including but not limited to planning fees, engineering fees, and legal fees, shall be paid by Dakota Aggregates prior to the issuance of the permit. Dakota Aggregates 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. Dakota Aggregates agrees to reimburse the City for any other costs incurred as a result of the granting or enforcing of the permit. S. Dakota Aggregates shall deposit with the Planning Department a surety bond or cash deposit in the amount of Eight Hundred Fifty One Thousand one Hundred Dollars ($851,100) 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 resolution and City ordinances by Dakota Aggregates. The required surety bonds must be: 1. With good and sufficient surety by a surety company authorized to do business 2018 Annual Operating Permit Dakota Aggregates, LLC 3 of 6 in the State of Minnesota. 2. Satisfactory to the City Attorney in form and substance. 3. Conditioned that Dakota Aggregates 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 the Administrator’s designee) or any other City officials. 4. Conditioned that Dakota Aggregates will secure the City and its officers harmless against any and all claims, 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 Dakota Aggregates. 5. The surety bond or cash escrow shall remain in effect from January 1, 2018 until July 31, 2019. Once the interim reclamation grades and vegetation have been established and approved by the City, the bond may be reduced by Five Hundred Sixty Seven Thousand Four Hundred Dollars ($567,400 = 113.48 acres times $5,000 per acre). Once the end use grading grades and vegetation have been established and approved by the City, the bond may be reduced by Two Hundred Eighty Three Thousand Seven Hundred Dollars ($283,700 = 113.48 acres times $2,500 per acre). 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 deposit during the term of this permit in order to insure that the City is adequately protected. T. A landscape security of $42,625 (155 trees times $250 per tree times 110%) shall be provided. After the trees have been established, $38,362 (90%) of the landscaping security can be released. The final $4,263 (10%) shall be maintained through the existence of the berm for Dry/Wet Sub-Phase 1A and 2A to ensure that as trees die, that those trees are replaced. The landscaping security shall be in the form of a letter of credit in favor of the City or cash escrow. U. Dakota Aggregates 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 Five Hundred Thousand and no/100 ($1,500,000.00) Dollars for injury or death of more than one person arising out of any one occurrence 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 an additional insured and shall remain in effect from January 1, 2018 until July 31, 2019. V. Dakota Aggregates shall hold the City harmless from all claims or causes of action that may result from the granting of the permit. Dakota Aggregates 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. W. Dakota Aggregates shall submit to the City semi-annually a written report indicating 2018 Annual Operating Permit Dakota Aggregates, LLC 4 of 6 the amount of material extracted from the site for the prior six-month period. After said written report is submitted, the City shall perform an inspection of the site to confirm compliance with the conditions within the Annual Operating Permit. X. Reclamation requires the replacement of the 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 six (6) inches after reclamation. No restored slopes may exceed the gradients shown on Interim Reclamation Plan. Y. No mining activity will occur within fifteen (15) vertical feet of bedrock. Z. Dakota Aggregates shall compact the entire reclamation site to a minimum compaction of 95% of maximum dry density. AA. If not utilized by the University of Minnesota for agricultural purposes, fully reclaimed areas will be permanently seeded within 14 days of final completion. All disturbed non-operating areas not utilized by the University of Minnesota for agricultural purposes shall be seeded at a minimum of once per year, prior to October 1 with MnDOT seed mix 130B. Operating areas including work faces, material stockpiles, haul roads, staging areas, and active reclamation areas are not required to be seeded. BB. Dakota Aggregates shall submit quarterly to the City documentation of the Barr Engineering, Inc. (or other City approved geotechnical testing firm) environmental and geotechnical testing with documentation verifying the source and quantity of the “haul-back” material. These reports shall be provided within fourteen (14) days after the end of the quarter. CC. Dakota Aggregates shall submit an incidence report to the City within three days of any testing that fails for contamination or hazardous materials, or will not produce a normal moisture-density relationship for compaction. DD. 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. EE. Dakota Aggregates shall incorporate best management practices for controlling dust, erosion, noise, and storm water runoff as specified by the Minnesota Pollution Control Agency and the United States Environmental Protection Agency and proposed in the submitted LSME application to the City. FF. Compliance with Dakota County Ordinances No. 110 and 111, as well as all other applicable Federal, Minnesota, Dakota County, and Rosemount regulations. Soil materials in the Property will be managed in accordance with the Minnesota Pollution Control Agency’s Best Management Practices (BMPS) for the Off-Site Reuse of Unregulated Fill. 2018 Annual Operating Permit Dakota Aggregates, LLC 5 of 6 GG. Dakota Aggregates may not assign this permit without written approval of the City. Dakota Aggregates will be responsible for all requirements of this permit and all City ordinances on the licensed premises for the permit period unless Dakota Aggregates gives sixty (60) days prior written notice to the City of termination and surrenders permit to the City. Dakota Aggregates 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. HH. Dakota Aggregates 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. II. Dakota Aggregates shall maintain the berm located on the north side of the haul road.to a height of at least 30 feet. JJ. American Engineering Testing, Inc. (AET) shall submit the 2017 Annual Monitoring Report, including all groundwater testing, and submit the report to the City by January 31, 2018. Leggette, Brashears, & Graham, Inc. (LBG) shall review the revised report on behalf of the City and has the authority to adjust the frequency of the groundwater sampling based on testing results. KK. Dakota Aggregates shall implement the sound mitigation measures as documented in its 2016 Large Scale Mineral Extraction Permit application and referenced in the March 1, 2016 City Council report concerning said application. LL. The City of Rosemount shall oversee sound monitoring to assess the noise levels generated by the mining activity at times and in locations to be determined by the City. Sound monitoring will occur during times when trucks are hauling from the north mining area. Dakota Aggregates shall reimburse the City for all costs associated with said monitoring. MM. The city of Rosemount shall have the ability to collect independent soil and water samples. NN. Mining within any phase that would expose the groundwater will not be permitted before additional borings are conducted in the deepest areas of the proposed lake to confirm that a minimum of fifteen (15) feet of separation between the mining and the bedrock. Mining can occur within 2 feet of the groundwater prior to testing occurring. 2018 Annual Operating Permit Dakota Aggregates, LLC 6 of 6 IN WITNESS WHEREOF, Dakota Aggregates, LLC, the Operator, hereby consents and agrees to the foregoing conditions of said Annual Operating Permit this _______ day of ______________, 20__. Dakota Aggregates, LLC By:________________________________ Tim Becken, Its Chief Manager STATE OF MINNESOTA ) ) ss COUNTY OF _________ ) The foregoing instrument was acknowledged before me this _________ day of ____________, 20____, by Tim Becken, Chief Manager of Dakota Aggregates, LLC, the Operator, on behalf of the Corporation. ________________________________________ Notary Public Truck Hauling Hours of Operation in the North Mining Area In line with MNDOT and other local agency guidelines, nighttime and weekend construction activities are mandated most importantly to avoid peak hour traffic congestion in order to provide enhanced safety for the construction crews and to provide safer and better traffic flow for the daily commuters. Frequently, MNDOT will require lane closures in order to allow for haul trucks to safely access a job site and such lane closures are required to occur at night during non-peak traffic times. Nighttime and weekend material hauling also provides greater project material transportation efficiency during non-peak traffic times. Without the ability to transport material from the north mine during weekend and nighttime hours will result in a significant amount of squandered granular material sales and in turn will extend the life of north mining activities due to lost sales opportunities resulting from increased material haul times/routes. From 2015 through 2017 there have been a maximum of 3 MNDOT projects a year that have been supplied with granular material out of the north mining area. (3 projects in 2015, 2 projects in 2016 and 1 project in 2017) Dakota Aggregates would be agreeable to limit truck hauling after the normal hours of operation utilizing the north haul road to a maximum of 3 public/ MNDOT jobs a year rather than 5 jobs a year as currently permitted. Anytime possible, Dakota Aggregates will endeavor to utilize side dump trucks for material hauling out of the north access on weekends and at nighttime since side dumps hold more material than end dump trucks in an attempt to decrease the number of trucks accessing the north end after hours. Dakota Aggregates anticipates the existing screened sand stockpile located in the northeast corner of the north mine and consisting of approximately 900,000 Tons will be depleted within the next 5 to 6 years. Once this pile has been depleted, hauling out of the north mine onto Akron Avenue/County Road #42 will terminate. In the last 3 years of 2015 through 2017, approximately 420,000 tons have been sold out of the north mining area: 2015: 85,000 Tons 2016: 35,000 Tons 2017: 300,000 Tons AUTUMNCTBANYANTH ST W (CSAH 42)BISCAYNE AVEBISCAYNE AVEBI TTER-SWEETCTBITTE R -S W EETCIRBLOOOMF IELDWAYAUGU S TAWAY STATION TRLBRAZIL AVEAUBURNAVEBLOOOMFIELDPL B L O O M F IE L D C IR 148TH ST W BELMONT TRLBLANCA AVE154TH ST W BOULDER TRL BLOOMFIELDB E L FA S T S T W 140TH ST W BOXWOOD PATHBIRCHBUNRATTY AVEBEECH ST WBRIANBORU AVEAUTUMNWOODC T A ZA LE A B AY B E R RY T R L AVE 160TH ST W (CSAH 46) B E L F A S T BELMONT AUT U MNWOODAVANTI BUSINESSPKWYB A Y B E R R Y BOYSENBERRY CT BLACKBERRY 150151ST CT W ATWOODCIRPATHBLOOMF I E L DBUNDORAN AVEB LUEB ER R YC TC TB I S C A Y NEWAYBROUGHSHANEAVEBAYBERRYAUTUM NW O O DW AYC T A UDOBA NWAYTRL BRENNER CT BOSTONCIR ATWOODCT142NDST W C I RCTWAYB E L L EC T 142N D C T WBREMEN AVEWAYBLARNEYCT BLANCABLOO M F IELD PATH ATWATER WAY CTBIRCHWOODAVECTAVALONPATHLN B E NTLEYBOIS ECIR ST W BELMONT TR 140T H ST W AUBURNAVE AZALEA P A TH140TH ST W AVE160T H ST W (CSA H 46) 145TH ST W AURORA AVE L 147THCT ABBEYFIELDAVEABBEYFIELD CT AILESBURYCT141STST E A D A I R A V E 149TH ST W ALBANYAVEALLINGHAMAVEALMAAVEADELAIDEAVEABERCORNAVE AILESBURY AVE ALDBOROUGHAVEALMA CIR 1370'680'2 134 10 9 5 1187 3456 2 1AUTUMNCTBANYAN TH ST W (CSAH 42)BISCAYNE AVEBISCAYNE AVEBI TTER-SWEETCTBITTE R -S W EETCIRBLOOOMF IELDWAYAUGU S TAWAY STATION TRLBRAZIL AVEAUBURNAVEBLOOOMFIELDPL B L O O M F IE L D C IR 148TH ST W BELMONT TRLBLANCA AVE154TH ST W BOULDER TRL BLOOMFIELDB E L FA S T S T W 140TH ST W BOXWOOD PATHBIRCHBUNRATTY AVEBEECH ST WBRIANBORU AVEAUTUMNWOODC T A ZA LE A B AY B E R RY T R L AVE 160TH ST W (CSAH 46) B E L F A S T BELMONT AUT U MNWOODAVANTI BUSINESSPKWYB A Y B E R R Y BOYSENBERRY CT BLACKBERRY 150151ST CT W ATWOODCIRPATHBLOOMF I E L DBUNDORAN AVEB LUEB ER R YC TC TB I S C A Y NEWAYBROUGHSHANEAVEBAYBERRYAUTUM NW O O DW AYC T A UDOBA NWAYTRL BRENNER CT BOSTONCIR ATWOODCT142NDST W C I RCTWAYB E L L EC T 142N D C T WBREMEN AVEWAYBLARNEYCT BLANCABLOO M F IELD PATH ATWATER WAY CTBIRCHWOODAVECTAVALONPATHLN B E NTLEYBOIS ECIR ST W BELMONT TR 140T H ST W AUBURNAVE AZALEA P A TH140TH ST W AVE160T H ST W (CSA H 46) 145TH ST W AURORA AVE L 147THCT ABBEYFIELDAVEABBEYFIELD CT AILESBURYCT141STST E A D A I R A V E 149TH ST W ALBANYAVEALLINGHAMAVEALMAAVEADELAIDEAVEABERCORNAVE AILESBURY AVE ALDBOROUGHAVEALMA CIR 1370'680'2 134 10 9 5 1187 3456 2 1 Path: T:\GIS\City\Maps\Departmental Maps\CommunityDevelopment\Mining\Mining Phases.mxdMining PhasesBUFFER# Phase DRY WET Feet0 200 400Noise MonitorUMore Noise Monitor Location 25 35 45 55 65 75 85 Sound Intensity [dBA]UMore Sound Data from 5/22/2017 through 5/25/2017 at CR 42 and 145th St W OperatingWeatherL10 Non-ComplianceL50 Non-ComplianceSound DataL10 (Day: 65, Night: 55)L50 (Day: 60, Night: 50) Aerial Image - October 2016 Aerial Image - October 2017 PLANNING COMMISSION REGULAR MEETING MINUTES December 18, 2017 I. REGULAR MEETING CALL TO ORDER: Pursuant to due call and notice thereof, the Regular Meeting of the Planning Commission was held on Monday, December 18, 2017. Planning Commissioner Chair Kenninger called the meeting to order at 6:30 p.m. with Commissioners VanderWiel, Clements, Mele, and Freeman. Also in attendance were Community Development Director Lindquist, Senior Planner Klatt, Planner Nemcek and Recording Secretary Fasbender. The Pledge of Allegiance was said. ADDITIONS OR CORRECTIONS TO AGENDA: None AUDIENCE INPUT: None CONSENT AGENDA: a. Approval of the November 28, 2017 Regular Meeting Minutes Motion by Clements Second by Mele Motion to approve the minutes of the November 28, 2017 Regular Meeting Minutes Ayes: 4 Nays: 0 Chair Kenninger abstained from voting due to not being present at the November 28, 2017 meeting. PUBLIC HEARING: 5.a. Request by Shafer Contracting Co., Inc. for annual renewal of a Small Scale Mineral Extraction Permit for 2018. (17-44-ME) Planner Nemcek gave a brief summary of the staff report for the Planning Commission. The public hearing opened at 6:36 p.m. Public Comments: Motion by Clements to close the public hearing Second by Freeman Ayes: 5 Nays: 0. Motion Passes The public hearing was closed at 6:37 p.m. Additional Comments: None Motion by VanderWiel to recommend that the City Council renew the Shafer Small Scale Mineral Extraction Permit for 2018, subject to the terms and conditions in the attached Draft 2018 Conditions for Mineral Extraction. Second by Clements Ayes: 5 Nays: 0. Motion Passes 5.b. Request by Dakota Aggregates for an annual renewal of a Large Scale Mineral Extraction Permit for 2018. (17-46-ME) Senior Planner Klatt gave a brief summary of the staff report for the Planning Commission. Commissioner Clements inquired if the internal hall road will be extended with each new mining phase. Klatt stated that the sand pile and haul road will remain in its current location. Clements inquired when the berm will be removed. Klatt stated that the berm is required by the City and as the mining shifts South the berm will shift further to the south as well. Commissioner Freeman inquired about the noise monitoring and if the city has any regulations for the monitoring. Klatt stated that the City does not have any additional requirements. Chair Kenninger asked if the 24 hour is limited to specific projects throughout the year. Klatt stated that certain mining and hauling activities were assigned specific hours. Commissioner Clements clarified that there have not been any formal complaints about the site. Klatt stated that the formal complaints received by the City were noted in the staff report. Commissioner VanderWiel inquired if the formal complaints were reported during the day or at night. Klatt stated that they were reported during the night. Klatt stated that in terms of issues with Dakota Aggregates, noise has been discussed during previous reviews and they have better evaluated their sound by conducting a sound report from a vendor hired by Dakota Aggregates. The site would be allowed to perform within certain recommended guidelines by this sound report that was conducted in 2016. Staff stated there were two police calls documented for the site in 2017. One occurred in May and the second in September due to equipment that was not working properly and maintained. Both issues were dealt with in a timely manner by Dakota Aggregates. The public hearing opened at 7:12 p.m. Public Comments: Shaun Nelson (City Council Member), 14388 Bentley Way, stated that he has concerns about the sound testing that was completed. The sound box was placed at ground level and surrounded by grass that may have provided a buffer for the sound. Mr. Nelson stated that he has not called 911 to file a complaint because he knows how much it costs to make such call. Mr. Nelson stated that he is not requesting that the mine be shut down but that the 24-hour operation permit not be allowed and that it be changed to what our surrounding communities enforce with daytime to early evening hours. James Carlson, 14431 Bayberry Circle & 14376 Bayberry Circle, stated that the number of complaints that have been reported have been more than two as staff stated earlier. Mr. Carlson stated that he has personally contacted Rosemount Police Department more than twice. One of the calls that he is aware of has been at 12:23 a.m. Mr. Carlson stated that he also is not requesting that the mine not get their permit but that they not be allowed to operate 24 hours a day. Mr. Carlson stated that he is unable to open his windows and that he has to constantly have his air conditioner running so that his family can sleep. Mr. Carlson stated that he moved into his property long before Dakota Aggregates started mining. Gary Nelson, 14432 Bayberry Circle, stated that he moved into his house in 2003. Mr. Nelson stated that he is concerned with the noise that is continuous and during the early morning hours that is often disruptive to their household. Mr. Nelson continued that there is a noticeable increase to the amount of dust and dirt that is pushed towards their neighborhood. Tim Becken, Dakota Aggregates, stated that at the North end of the property the excess sand pile that continues to get hauled out of the property. Once that pile is gone then the materials can be moved from the South. Mr. Becken stated that the equipment is being used down low. That was from a recommendation from the noise consultant a few years ago. Mr. Becken stated that there is a two-part issue with the berm. The first is that the berm was constructed larger than original design. The second part is that Dakota Aggregates is using the land and then they will be turning it back over to the University of Minnesota for development. The status of the berm will stay in place until all mining on the north end is complete. Chair Kenninger inquired what kind of impact would changing the 24-hour operation have on the Dakota Aggregate business. Mr. Becken stated that with the Minnesota winter weather they can only operate the mine 30-32 weeks per year. Due to the compressed season of mining they need to operate with two shifts, Monday-Friday (20 hours total), with an occasional Saturday shift. The hauling is currently running 24- hours. Dakota Aggregates has attempted to adjust the hours, shift the equipment, as they continue to address issues that the residents have had. Changing the hours of operation would have a dramatic impact on their completion schedule. Commissioner Mele inquired about how much mining may be completed by 2020. Mr. Becken stated that the economy is very different from when the agreement originally began and that they are two or three years ahead of schedule. Shaun Nelson, 14388 Bentley Way, stated that if Dakota Aggregates changes their operating hours to 7:00 a.m. to 10:00 p.m., they could make up any lost hours on Sunday. Mr. Becken responded that Dakota Aggregates does not operate on Sundays in order to be considerate of their staff. Commissioner Clements inquired as to how many police calls were actually made in reference to Dakota Aggregates noise. Clements inquired what surrounding municipalities are doing with mining operations. Mr. Becken stated that staff will have to answer the inquiries on the police calls. Dakota Aggregates is only aware of two calls. Mr. Becken stated that there are surrounding municipalities operating with similar hours. Chair Kenninger questioned if the hours of operation were changed to 7:00 a.m. to 10:00 p.m. how would that impact the business. Mr. Becken stated that it would be difficult to find staff to work on Sundays. Motion by Clements to close the public hearing Second by Mele Ayes: 5 Nays: 0. Motion Passes The public hearing was closed at 7:43 p.m. Additional Comments: Commissioner Mele inquired if there were indeed more than two complaints received by the police. Community Development Director Lindquist stated that the calls should have been linked to one specific address so that they could be located easier. Commissioner Clements questioned if it would be okay to table this item. Lindquist stated that the item doesn’t need to be finalized at this meeting. Commissioner VanderWiel expressed concern about the sound testing as it was only done over a three-day period and conducted by a contractor paid by Dakota Aggregates. VanderWiel stated that she would prefer the testing be conducted by the City of Rosemount and by spot inspections versus a three-day period. VanderWiel questioned if there is a trigger included in the permit that if a certain number of complaints are heard over the summer the Commission could address them right away instead of waiting until this time next year. Senior Planner Klatt stated that there is a condition that if there are violations the permit may be reviewed Council. Community Development Director Lindquist stated that the mining and hauling often get lumped together. Commissioner Kenninger suggested that a base line of the sound testing be conducted on a Sunday during non-operating hours in order to compare it to the operating hours. Commissioner VanderWiel questioned if the sound study monitored the hauling along with the mining. Klatt stated that it includes all sounds. Klatt stated that there was only hauling taking place out of the South mine and not the North min during the sound study. Commissioner VanderWiel recommended that this item is continued to a future meeting to look into some of the issues further before it is approved by the Commission. Motion by Clements to continue this item to the next meeting date of January 23, 2018. Second by VanderWiel Ayes: 4 Nays: Mele. Motion Passes A public hearing will not be required, but if desired or if commissioners find fit during the meeting, the commission can open it up to the public. 6. OLD BUSINESS: None 7. NEW BUSINESS: None PLANNING COMMISSION REGULAR MEETING MINUTES JANUARY 23, 2018 PAGE 1 I. Regular Meeting Call to Order: Pursuant to due call and notice thereof, the Regular Meeting of the Planning Commission was held on Tuesday, January 23, 2018. Chair Kenninger called the meeting to order at 6:30 p.m. with Commissioners VanderWiel, Clements, Mele, and Freeman. Also in attendance were Community Development Director Lindquist, Senior Planner Klatt, Planner Nemcek, Public Works Director Erickson and Recording Secretary Bodsberg. The Pledge of Allegiance was said. Additions to Agenda: None. Audience Input: None. Consent Agenda: a. Approval of the December 18, 2017, Regular Meeting Minutes. MOTION by Clements. Second by Freeman. Ayes: 5. Nays: 0. Old Business: 5.a. Request by Dakota Aggregates for an Annual Renewal of a Large Scale Mineral Extraction Permit for 2018. (17-46-ME) Senior Planner Klatt gave a brief summary of the staff report for the Planning Commission. Commissioner Mele asked if mining in the northern portion of the site would be completed within five years, and whether or not this timing assumed three MnDOT projects each year. Klatt stated that if there are three MnDOT projects a year they may be finished in less than five years. Community Development Director Lindquist stated that the mining and hauling often are lumped together in the North section of the mine. The hauling piece of the project is what will last about five years. The mining will occur longer than the hauling. Commissioner Freeman questioned where the limitation on 24-hour projects is listed in the annual permit. Klatt stated that it is listed under the mineral operating permit under condition E. Commissioner VanderWiel questioned if we know how long an average MNDOT project will last. Klatt stated that they could last anywhere from two weeks to two months or longer. VanderWiel inquired if the City has thought about going the Lakeville route where projects are considered on a case-by-case basis. Klatt stated that the City is essentially doing this through the annual permit by listing elements of the operation that are allowed to exceed the 12-hour per day operation time frame for certain types of projects. VanderWiel stated that she is concerned that just because the special projects are limited to three, it does not guarantee that the project will be smaller in scale. VanderWiel stated that if the project occurs over a long time, then they should not be able to have three total projects. Klatt stated that Dakota Aggregates is notifying the City when the projects are taking place. Lindquist stated that even if they have a project going on that does not mean they are necessarily hauling every night. City is posting information on its website when it is notified about new public projects that will be hauling overnight. Commissioner Clements questioned why MnDOT projects are so unique that they have to disrupt our citizens by operating at night. Lindquist stated that MNDOT has been requiring night work to help minimize traffic disruptions and to help provide a safer work environment for its employees and contractors. Shawn Dahl, 2000 Ames Drive, Burnsville, Dakota Aggregates, stated that every project is different and it has a lot to do with the size and scope, unlike factory work. Preparation and the need to haul material and goes back and forth are major issues for road projects. He noted that Dakota Aggregates answers to the contractors and the contractors answer to MnDOT, which is in control of all aspects of a specific job. The need for night work has gone up and it does make it PLANNING COMMISSION REGULAR MEETING MINUTES JANUARY 23, 2018 PAGE 2 difficult to coordinate the hauling of gravel to job sites. He noted that night work is necessary for safety reason for both motorists and workers. Commissioner Clements noted that certain jobs haul both during the day and night, and questioned why these could not be limited to daytime hours only. Mr. Dahl replied that while all jobs are different, a specific job might last four years and the hauling may only take place during a two-year time span. Clements asked if there was a different location to stage the sand for a project closer to the construction site. Mr. Dahl stated that that there would be very little room to store sand on most road projects, and that it would not be economical for the project. Clements stated that the residents of Rosemount have to deal with the constant projects with 24-hour operation. Commissioner VanderWiel questioned if the 100 days of hauling last year all included 24-hour hauling. Mr. Dahl stated that they would not have all have been 24-hour hauling, but that he does not have the exact numbers with him. VanderWiel questioned what percentage of those days would have included night hauls. Dahl stated that there were about 90-100 days of night hauling in March through May of last year. After the second complaint, they stopped the night-time operation all together and made different arrangements with the customer. He exclaimed that it was important for Dakota Aggregates to avoid disturbing nearby residents. VanderWiel inquired if there was any more night hauling after May of 2017. Dahl responded that there was no more night hauling after May 2017 from the north mining area. Commissioner VanderWiel asked what the schedule looks like for hauling in 2018. Mr. Dahl stated that, at this point, there is only one project lined up for 2018. Commissioner Kenninger inquired what stopped after the second complaint. Mr. Dahl stated that all nighttime hauling from the north ceased. Kenninger questioned what is considered nighttime hauling. Dahl stated that the night shift starts at 6:00 pm. Commissioner Clements questioned if there is inventory on the south side of the mine. Mr. Dahl confirmed that there is some inventory on the south side, but not near the quantity as is stockpiled in the northern mining area. Clements questioned if they could just haul out of the south during the night shift. Dahl stated that they could if it worked with that specific project. He added that there is finished material in the north end that is ready to be moved, and that the quicker it is moved the quicker they will be done hauling out of the north side of the mine. Clements stated that he is in favor to giving them one more year. Commissioner VanderWiel expressed concern that night hauling could occur over the entire summer under the current permit requirements. She said that she understands it is necessary to haul materials from the mine, but that the City should have more oversight of this activity. Commissioner Clements stated that he strongly encourages citizens to call 911 so that their complaints can be documented by the City. Commissioner Kenninger questioned if the City could make sure that the sound monitoring is completed in late spring. She noted that earlier monitoring would give the applicant more time to address any issues if the noise measurements are over the allowed limit. Community Development Director Lindquist stated that it is not the operating permit but rather the City Ordinance that sets sound limits. The sound restrictions do not need to be referenced in the permit because regardless they are still held to that standard through the City Ordinance. Commissioner Freeman stated that she is in favor of giving Dakota Aggregates one more year. Chair Kenninger inquired if there were any additional changes on the motion. Klatt stated that the changes recommended by staff are already included in the conditions. Lindquist stated that a condition could be included to request better information for when they will be hauling and the specific times it will occur. Commissioner Mele stated that the Commission needs to be careful with setting limits and regulations. He said that he would like to see the permit language stay as it is. Chair Kenninger requested that staff keep track when complaints arrive to verify if Dakota Aggregates was hauling or not at that time. PLANNING COMMISSION REGULAR MEETING MINUTES JANUARY 23, 2018 PAGE 3 Public Hearing opened at 7:45 pm. for statements that included new information from the public hearing that was held December 18, 2017. Martha Magnuson, 14412 Bentley Way, stated that she is responsible for at least one Facebook post, one 911 call, and a couple of letters to the Planning Commission. Ms. Magnuson stated that calling 911 for the mining and/or hauling noise doesn’t seem like a good use of our emergency department. She thinks that the sound monitor equipment is located too low to get a good reading on the sound coming from the mine. She also questioned if Dakota Aggregates would get fined if they are found to be breaking the noise ordinance. Shaun Nelson, 14388 Bentley Way, stated that the Commission is discussing two different items; hauling and mining. Mr. Nelson stated that the provisions have a lot of grey areas. He said that he likes that they do not operate on Sundays and that he can have his windows open for one day a week. Mr. Nelson stated it is ridiculous that he cannot sleep with his windows open during the summer time. He stated that he agrees with Ms. Magnuson’s concern for the location of the sound monitor equipment. He would like to see it at the location of their bedroom windows instead of buried in the grass at the base of a telephone pole. Mr. Nelson questioned why the City of Rosemount is allowing 24-hour mining and hauling when surrounding cities only allow 12-hour operations. He asked how other cities are able to permit mining with 12-hour operations. He stated that the City only receives benefits of $80,000 for allowing the mining operation, and that the City is inconveniencing our residents for this small amount of revenue. Shawn Dahl, 2000 Ames Drive, Burnsville, Dakota Aggregates, stated that Mr. Nelson’s claim concerning the City’s financial gain is incorrect. He explained that the total gravel tax paid by Dakota Aggregates between 2013 to 2017 is $755,393.41, that the total property taxes paid between 2013 to 2018 is $764,891.52, and that Dakota Aggregates also made an in kind donation to City for the Flint Hills Athletic complex of $280,705.00. Overall, the overall tax payments or other contributions to date total $1,800,989.93. Mr. Dahl stated that not all of the money may go directly to the City of Rosemount, but everyone that resides in Rosemount resides in Dakota County and will see the benefits to the money that has been paid from this site. Mr. Dahl stated that he had discussed the site with Shaun Nelson earlier in the year, and that there were no negative things mentioned about the mining operation at this time. Commissioner Clements asked Mr. Dahl to comment on his competitor’s hours of operation. Mr. Dahl stated that most of his competitors operate under ordinances with limited hours, but can shift to 24-hour mining without restrictions as part of the permit issued by the municipality. MOTION by Freeman to close the public hearing. Second by Mele. Ayes: 5. Nays: 0. Motion Passes. The public hearing was closed at 7:59 pm. Additional Comments: Commissioner Kenninger stated that there is no current noise monitoring going on and when the City of Rosemount does start monitoring they will keep in mind the requests to position the equipment higher. She noted that the City does not have staff at City Hall 24/7 and that residents need to call 911 so that the police department can go out to the site and determine the source of any noise, especially during non-business hours when most City staff are not available. Motion by Mele to recommend that the City Council renew the Dakota Aggregates Large Scale Mineral Extraction Permit for 2018, subject to the terms and conditions in the attached 2018 Draft Conditions for Mineral Extraction Permit. Second by Clements. Ayes: 4. Nays: 1. VanderWiel.