HomeMy WebLinkAbout6.n. Renewal of the Vesterra, LLC, and Stonex, LLC, Small Scale Mineral Extraction Permit for 2020
EXECUTIVE SUMMARY
City Council Meeting: January 21, 2020
AGENDA ITEM: 19-52-ME Renewal of the Vesterra, LLC,
and Stonex, LLC, Small Scale Mineral
Extraction Permit for 2020
AGENDA SECTION:
Consent
PREPARED BY: Kyle Klatt, Senior Planner AGENDA NO. 6.n.
ATTACHMENTS: Location Map; Excerpt from the
December 16, 2019, PC Meeting
Minutes; Draft 2020 Mining Permit;
Applicant’s Narrative; Site Plan; Phasing
Plan; Reclamation (End Use) Plan; Site
Photographs; Aerial Images
APPROVED BY: LJM
RECOMMENDED ACTION: Motion to Approve Renewal of the Vesterra, LLC., and
Stonex, LLC., Small Scale Mineral Extraction Permit for 2020, subject to the terms and
conditions in the attached 2020 Conditions for Mineral Extraction
SUMMARY
Applicant: Jonathan Wilmshurst of Vesterra, LLC and Stonex, LLC
Property Owner: Flint Hills Resources
Operator(s): Solberg Aggregates, Bolander and Sons, Frattelone Companies
Location: South of Bonaire Path, ¼ mile west of Blaine Ave.
Area in acres: Vesterra – Northern 75 Acres along Bonaire Path
Stonex – Southern 80 Acres directly south of Vesterra.
Comp Plan Designation: LI, Light Industrial
Current zoning: AG, Agriculture
Material removed in 2019: Approx. 140,000 tons through November
The City Council is being asked to consider an application from Jonathan Wilmshurst of Vesterra
LLC/Stonex LLC to renew the the Vesterra and Stonex mineral extraction permit for 2020. The subject
properties are located south of Bonaire Path, ¼ mile west of Blaine Avenue (County Road 71). The
properties are owned by Flint Hills Resources which leases them back to the applicant for mineral
extraction. While Flint Hills Resources and Vesterra, LLC/Stonex, LLC are parties to the application, the
responsibility for securities and compliance with the conditions remains with Vesterra and Stonex as the
property lessee. Upon review of the mineral extraction standards, police records and the information
submitted by the applicant, staff recommends renewal of the permit for 2020.
PLANNING COMMISSION
The Planning Commission reviewed this item at their meeting on December 16, 2019. Staff gave the
presentation and after affirming there were no public complaints about the project, the Commission
unanimously approved the mining renewal. There were no public comments received during the hearing.
Since the Planning Commission meeting the applicant has submitted a revised mining plan which depicts
more accurately where the three different operations are located, and the phasing associated with each
individual operator. While this is a less desirable situation, the plan does clearly lay out the locations for
2
each operator and hopefully the responsibility for compliance with all conditions. However, overall the
mining permit is granted to the applicant who will need to insure all operators continue to operate
consistent with the city permit. There are no problems at this juncture; the new plan is the most accurate
portrayal of what is occurring on the site.
BACKGROUND
In early 2019, the applicant revised their mining permit to include another operator within the mining area.
The additional operator would be located in the south portion of the site and modifications to access and
some ponding area were required with the approval. The 2020 permit is the first time all three operators
are noted in the permit application. The three operators are Solberg Aggregates, Bolander and Sons,
Frattelone Companies. Each operator will work within their designated area as depicted on the 2020 Mine
Plan. With the updated operator information, the applicant removed the pervious phasing areas from the
plan, which makes it difficult to assess compliance with all applicable mining standards in the zoning
ordinance. The active mining areas still fall within the allowed total mining area of 19 acres; however, the
applicant should submit an updated phasing plan for 2020 prior to City Council action that accounts for
the three operators. The plan should also clearly define all stockpile and non-active mining areas.
The applicant received their last permit approval in February 2019; the delay was due to the inclusion of
the third operator. At that time there were no issues associated with the activity taking place at the mine,
which is still the case. According to information provided by the applicant, excavation activity increased at
the mine from the previous year. The market for aggregate continues to be strong, with 125,000 tons of
material removed in 2018 and 140,000 tons in 2019. This compares to 75,000 tons that were removed in
2017. No fill was brought into the site. Mining will continue west and south as depicted in the 2020 mine
plan. The applicant still expects Solberg, one of the operators, to install an above-ground scale and
portable scale house if business levels justify it.
ISSUE ANALYSIS
Standards for Small Scale Mineral Extraction are detailed in Section 11-10-4 of the City Code. A summary
review of the subject property is provided below with more detailed conditions of operation listed in the
attached Draft 2020 Conditions for Mineral Extraction Permit. This use meets or exceeds the applicable
performance standards for small scale mineral extraction subject to the conditions listed in the attached
permit, including submission of an updated phasing plan. Staff has toured the site and checked with the
police to ascertain whether there were any complaints relating to the mining operation. The site visit
illustrated that the mine appears to be operating in compliance with the permit; there were no public
complaints cataloged with the police for 2019.
The subject property is zoned AG - Agriculture. Small scale mineral extraction is listed as an interim use
within this district. The table below details the zoning, current land use, and future land use information
for the surrounding properties. The sites to the west, south, and east are located within the current
Metropolitan Urban Service Area (MUSA). It should be noted that some of the agriculture uses include
associated residential uses and the applicant has a farming tenant operating on a portion of the subject
property outside the active mining area.
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Surrounding Land Use and Zoning Information
Direction Current Land
Use
Guided Land Use Zoning
North Agriculture Agriculture Agriculture
South Agriculture Medium Density Residential (west half)
Business Park (east half) Agriculture
East Agriculture Light Industrial Agriculture
West Agriculture Low Density Residential Agriculture Preserve
With the commencement of mining in the southern portion of the site immediately west of the existing
farmstead (the Frattelone Area), the applicant has revised the previous haul routes to and from the site.
Up until this year, all access to the mine occurred at a gated entrance at the northeast corner of the
Vesterra property along Bonaire Path. Starting in 2019, all incoming traffic is routed through the northern
entrance along Bonaire Path, while outgoing traffic follows the existing farmstead access road west to
Blaine Avenue (County Road 71). This reconfiguration reduces truck traffic on Bonaire Path (a gravel
road) and provides more direct access to County Road 42.
The applicant is leasing the property, and the current lease runs through 2025. If the applicant and
property owner determine that the lease will not be extended beyond that date, an updated reclamation
plan taking that into account that mining activity will be truncated, should be developed.
CONCLUSION AND RECOMMENDATION
Upon review of these standards, police records, and the information submitted by the applicant, the
Planning Commission and staff recommend renewal of the Vesterra LLC. and Stonex LLC. Mineral
Extraction Permit for 2020. The request is subject to the conditions outlined in the attached permit.
Stonex-Vesterra Site Map
Property Information
0 875 1,750437.5 ft
0 270 540135 m
1:9,600
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.
Excerpt from the December 16, 2019, Planning Commission Meeting Minutes
5.c. Request by Vesterra, LLC and Stonex, LLC for a Renewal of their Small Scale Mineral Extraction Permit for
2020. (19-52-ME)
Senior Planner Klatt gave a brief summary of the staff report for the Planning Commission.
Reed inquired if there have been any complaints reported. Klatt stated that there has not been.
The public hearing opened at 8:36 pm.
Public Comments:
Stated that the mine is doing well.
MOTION by Freeman to close the public hearing.
Second by Reed.
Ayes: 5. Nays: 0. Motion Passes.
The public hearing was closed at 8:38 pm.
Additional Comments:
MOTION by Reed to recommend that the City Council renew the Vesterra, LLC. and Stonex LLC. Small
Scale Mineral Extraction Permit for 2020, subject to the terms and conditions in the attached Draft 2020
Conditions for Mineral Extraction.
Second by VanderWiel.
Ayes: 5. Nays: 0. Motion Passes.
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 1 of 6
Mineral Extraction Permit
2020 Conditions for Mineral Extraction Permit
VESTERRA, LLC and STONEX, LLC
A. By their signatures below, Vesterra, LLC and Stonex, LLC (hereinafter collectively
referred to as the “Property Lessee") and Flint Hills Resources (herein after “the
Property Owner”) consent to these conditions, binding themselves and their
successors, heirs or assigns to the conditions of this permit. Vesterra, LLC and
Stonex, LLC are jointly and severall y liable and responsible for compliance with all
conditions of this permit and all requirements of law relating to the licensed
activities. Mineral Extraction is an Interim Use in the Agriculture District of which
the permit area is a part according to Ordinance B, the City of Rosemount Zoning
Ordinance Regulations. Propert y Owner consents to entry onto the Subject Property
by the City, the Cit y’s employees, agents, and contractors, as needed to inspect the
work of the permit, enforce the conditions of the permit and undertake an y work
needed to compl y with permit conditions including mine closing and reclamation.
B. This permit is granted for the area designated as Phases 1, 2, 3, 4, and 7 on
Exhibit 1 Present Conditions and 2019 Mine Plan and as updated on Exhibit 2
Present Conditions and 2020 Mine Plan. C. The completion date of the overall mineral extraction process including site reclamation shall be no later than December 31, 2021 for the northern 75 acres, the Vesterra site. The completion date of the overall mineral extraction process including site restoration shall be no later than December 31, 2024 for the southern 80 acres, the Stonex site. The term of this permit shall extend from January 1, 2020 until December 31, 2020 unless revoked prior to that for failure to comply with the permit requirements. A mining permit fee of $370.00 shall be paid to the City of Rosemount.
D. All required permits from the State of Minnesota, County of Dakota and City of
Rosemount (hereinafter "City") or an y of their agencies shall be obtained and
submitted to the City prior to the issuance of the permit. Failure by the Property
Lessee to compl y with the terms and conditions of any of the permits required under
this paragraph shall be grounds for the City to terminate said mining permit.
E. The final grading for the permit area shall be completed in accordance with the
grading plan (Conceptual End Use Plan dated 1/13/05) labeled Exhibit 3, which is
attached hereto, or as approved by the City Engineer, and any other conditions that
may be imposed by the Cit y from time to time.
F. All gravel trucks and other mining related traffic shall enter and exit the mining
area from Bonaire Path (County Road 38) and exit via the private drive to Blaine
Avenue. It shall be the Propert y Lessee’s responsibility to obtain an y access
permits or easements necessary for ingress and egress. The location of the
accesses and/or easements for ingress and egress shall be subject to approval b y the
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 2 of 6
City, as well as the Dakota County Highway Department or the Minnesota
Department of Transportation if applicable or if any changes occur relative to the
mining process. The current locations of the access driveways are indicated on the
Present Conditions and 2020 Mining Plan. Warning signs including “Trucks
Hauling” shall be installed at the Property Owner’s expense as needed in
accordance with Dakota County requirements. Any street improvements to
Bonaire Path, County Road 71 or CSAH 42 necessary to accommodate the
generated traffic shall be the sole responsibilit y of the Propert y Lessee.
G. A plan for dust control shall be submitted to and subject to approval by the City.
The Propert y Lessee shall clean dirt and debris from extraction or hauling
operations related to the Mineral Extraction Permit from streets. After the Property
Lessee has received 24-hour verbal notice, the City may complete or contract to
complete the clean-up at the Propert y Lessee’s expense. In the event of a traffic
hazard as determined by the City Administrator (or their designee) or Rosemount
Police Department, the Cit y may proceed immediatel y to complete or contract
cleanup at Propert y Lessee’s expense without prior notification.
H. The surface water drainage of the mining area shall not be altered so as to
interfere, contaminate, or otherwise impact the natural drainage of adjacent
propert y.
I. No topsoil shall be removed from the site and the Property Lessee shall take
necessary measures to prevent erosion of the stockpiled topsoil. The location of the
stockpiled topsoil is located on Present Conditions and 2020 Mine Plan.
J. Any costs incurred now or in the future in changing the location of existing public
or private utilities including but not limited to pipelines, transmission structures and
sewer infrastructure located within the permit area shall be the sole obligation and
expense of the Property Lessee.
K. All costs of processing the permit, including but not limited to planning fees,
engineering fees and legal fees, shall be paid b y the Propert y Lessee prior to the
issuance of the permit. The Propert y Lessee shall reimburse the City for the cost of
periodic inspections b y the City Administrator or any other City employee for the
purpose of insuring that conditions of the permit are being satisfied. The Property
Lessee agrees to reimburse the City for any other costs incurred as a result of the
granting or enforcing of the permit.
L. The daily hours of operation for the mining area shall be limited to 7:00 a.m. to
7:00 p.m., Monday through Saturday subject to being changed b y the City Council.
M. The Propert y Lessee shall deposit with the Planning Department a suret y bond or
cash deposit in the amount of Seven Thousand, Five Hundred Dollars per acre
($7,500.00/acre) for any active phase in favor of the City for the cost of
restoration, regrading and/or revegetating land disturbed by mining activities and
to ensure performance of all requirements of this agreement and City ordinances
b y Property Lessee. The required surety bonds must be:
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 3 of 6
(1) With good and sufficient surety b y a surety company authorized to do
business in the State of Minnesota.
(2) Satisfactory to the City Attorney in form and substance.
(3) Conditioned that the Property Lessee will faithfully comply with all the
terms, conditions and requirements of the permit; all rules, regulations and
requirements pursuant to the permit and as required by the City and all
reasonable requirements of the City Administrator (or his designee) or an y
other Cit y officials.
(4) Conditioned that the Property Lessee will secure the City and its officers
harmless against any and all claims, or for which the City, the Council or any
City officer may be made liable by reason of any accident or injury to
persons or propert y through the fault of the Propert y Lessee.
(5) The suret y bond or cash deposit shall remain in effect from January 1, 2020
until J ul y 31, 2021.
Upon thirty (30) days’ notice to the Propert y Lessee and suret y compan y, the City
may reduce or increase the amount of the bond or cash deposit during the term of
this permit in order to insure that the City is adequately protected.
N. The Propert y Lessee shall furnish a certificate of comprehensive general liability
insurance issued b y 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 an y 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 one occurrence and property damage liability in
an amount of at least Two Hundred Fift y Thousand and no/100 ($250,000.00)
Dollars arising out of an y one occurrence. The policy of insurance shall name the
City as an additional insured and shall remain in effect from January 1, 2020 until
July 31, 2021.
O. No processing or mixing of materials shall occur on the site, except as approved by
the Dakota County Environmental Management Department as incidental to a sand
and gravel mining operation. Any such activities will be enclosed with snow or
cyclone fencing or as approved b y Cit y staff. Construction of any ponding areas,
wash plants or other processing or equipment brought to the site shall require
additional site and grading plan information subject to review and approval of the
City Engineer.
P. The Propert y Lessee and the Propert y Owner shall hold the City harmless from all claims or causes of action that may result from the granting of the permit. The Property Lessee shall indemnify the Cit y 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.
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 4 of 6
Q. The Propert y Lessee and the Propert y Owner shall comply with such other requirements of the City Council as it shall from time to time deem proper and necessar y for the protecti on of the citizens and general welfare of the community.
R. Complete mining and reclamation is required in all phases before an y additional
mining is authorized. Modifications or expansion of the mining areas must be
approved in writing to the City. Propert y Lessee shall submit to the City
annuall y a written report indicating the amount of material extracted from the site
for the prior 12-month period.
S. The Propert y Lessee shall incorporate best management practices for controlling
erosion and storm water runoff as specified by the Minnesota Pollution Control
Agency and the United States Environmental Protection Agency.
T. The City of Rosemount shall have the ability to collect independent soil samples
U. Reclamation shall include the replacement of the entire stockpile of topsoil on the
mined area, reseeding and mulching necessary to re-establish vegetative cover for
permanent slope stabilization and erosion control. The minimum depth of topsoil
shall not be less than two inches after reclamation. Topsoil for reclamation shall
conform to specifications on file with the City. No restored slopes may exceed a
gradient of 25% or four to 1 (4:1).
V. The Propert y Lessee must show how materials stockpiled for recycling will be
processed and inform the City of all stockpiled materials.
W. The Propert y Lessee ma y not assign this permit without written approval of the City. The Propert y Lessee will be responsible for all requirements of this permit and all City ordinances on the licensed premises for the permit period unless the Propert y Lessee gives sixty (60) days prior written notice to the City of termination and surrenders the permit to the City. The Property Lessee shall identify all Operators prior to their commencement of mineral extraction-related activities in the pit area. The City shall have the authority to cause all mineral extraction activities to cease at any time there is an apparent breach of the terms of this Permit. X. The Propert y Lessee shall maintain a “stock” gate (or equivalent) at the entrance to the propert y where the mining operation is located. The gate must be secured at 7:00 p.m. and at an y time the pit is not in use. Y. There shall be no “haul-back” of materials from any other propert y or job site that would be imported to the property for fill or other purposes other than incidental concrete recycling as referred to in paragraphs O, V and FF; and topsoil imported for the purpose of re-establishing turf as accepted by the City. Z. Truck operators within the pit area shall not engage in practices involving slamming tailgates, vibrating boxes, using of “jake” or engine brakes (except in emergency situations) or other such activities that result in excessive noise.
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 5 of 6
AA. The Propert y Lessee shall comply with directions from the City Engineer. BB. A landscaping plan shall be prepared subject to approval by City Staff, for the purpose of providing vegetative screening within the setback areas of the various phases of the mining area. Said landscaping shall be installed according to City standards, prior to commencement of operations within an adjacent phase area. CC. No retail activit y is permitted on the site. Materials imported to the site are limited to materials to be rec ycled and mixed with aggregate extracted from the site and topsoil for reestablishing ground cover or turf. DD. Off-site mining connected with the reconstruction of County Road 38 or construction of Connemara Trail shall require separate project approval by the City Council. The site reclamation plan with proposed grades and future street alignments is subject to approval by the City Engineer. EE. The storage of equipment (unrelated to the sand and gravel mining and processing), manure, construction debris, or hazardous materials of any kind shall not be permitted on site. The placement of construction debris, manure, asphalt or hazardous materials in any form within the pit as fill shall be strictly prohibited. FF. The fill area re-grading and reclamation shall follow the procedures described in the Stonex LLC and Vesterra LLC Reclamation Protocol Rosemount, Minnesota. Stonex, LLC and Vesterra, LLC shall compact the entire reclamation site to a minimum compaction of 95% of maximum dry density. Reports shall be submitted
to the City b y August 1st and February 1st describing an y fill importation from
January 1st through June 30th and July 1st through December 31st respectively. The bi-annual reports submitted shall describe the quantities of material brought in, where the material came from, and the test results, including supporting analytical results of the materials.
IN WITNESS WHEREOF, Vesterra, LLC and Stonex, LLC hereb y consents and agrees to the foregoing conditions of said mining permit this day of , 20 .
Vesterra, LLC and Stonex, LLC By: Jonathan J. Wilmshurst, Owner
2020 Mining Permit
Vesera, LLC/Stonex, LLC
Page 6 of 6
STATE OF MINNESOTA ) ) ss COUNTY OF DAKOTA )
The foregoing instrument was acknowledged before me this day of , 20 , by Jonathan J. Wilmshurst, the Owner of Vesterra, LLC and Stonex, LLC
Notary Public
IN WITNESS WHEREOF, Flint Hills Resources, hereb y consents and agrees to the foregoing conditions of said mining permit this day of , 20 .
Flint Hills Resources
Its
STATE OF MINNESOTA ) )ss COUNTY OF DAKOTA )
The forgoing instrument was acknowledged before me this day of , 20 , by_ , Flint Hills Resources, Its , the Property Owner, on behalf of the company.
Notary Public
Vesterra, LLC and Stonex, LLC
Revised Annual Mining Permit Renewal Request for 2020
November, 2019
Material removed from the pit during 2019 was approximately 125,000 tons. Solberg and Bolander were the only
users. Frattalone stripped an area ready for mining, but had not mined any material at the time of writing. The
market for construction aggregates has been pretty good in 2019, and it looks set to continue this way in 2020.
The attached plan shows how the existing Solberg and Bolander mining operations are progressing steadily to the
west on the northern Vesterra parcel. Frattalone opened a new mining footprint on the southern eighty acres
Stonex parcel, as shown on the attached plan. Frattalone has stripped, established a storm water impoundment
within the new pit floor, and added a culvert to carry field run-off between the two mining areas. In this way, we
will maintain separation of run-off from the fields to that of the mine pit floors. All storm water within the mine
footprints will be contained on-site and infiltrate into the floor, as in the past. Frattalone recently secured a
project and expects to start mining later this year or early next year.
Reclamation has proceeded on the east end of the pit as the mine plan shows. Also marked are areas proposed to
be reclaimed as more stripping is done to the west. On-site meetings with the operators have been conducted to
emphasize the need for reclamation to proceed at least as fast as new mining areas are opened up. A more
detailed plan will be developed ahead of the permit renewal process next fall once we have a better idea of how
fast the various operators are removing material.
Truck traffic from the operation continued to exit onto Bonaire Path for 2019. In 2020 it is proposed to switch
traffic flow so that all inbound trucks will enter on Bonaire Path, and all outbound trucks will exit on the farm
road east of the old Kraft farmhouse onto Co Rd 71. This traffic flow is shown on the attached plan. This flow
will minimize structural loading on Bonaire Path, while maximizing public safety.
We continue to market the east end of the northern parcel.
Dust control measures will be employed as follows: regular reclamation and planting/seeding of berms and pit
floor will keep exposed soils to a minimum, and roads will be sprayed with water as necessary. In addition, the
much lower elevation of the mine floor with the trees and vegetation that have sprouted in earlier areas of activity
have been steadily reducing the exposed pit floor.
All the storm water is retained on the property, and mining does not approach anywhere near the water table
(approximately 30 feet of separation), with the floor of the pit being at or above the elevation of Bonaire Path.
No fill materials were imported onto the site during 2019.
Vesterra/Stonex thanks the Rosemount Planning Commission and City Council for its consideration of this
application for renewal.
100-Foot Setback135th Street E.H A U L R O U T E I N T O P I T
H A U L R O U T E - O U T T O B L A I N E A V E .
F R A T T A L O N E
B O L A N D E RSOLBERG
FutureMining
Phase 2
Phase 3 Phase 2 Phase 1
Phase 3
Phase 1
Phase 1Phase 2
To Be Reclaim
ed
To Be Reclaimed
Pre pared for Vesterra, LL CI hereb y ce rtify that this plan, docum ent, or re port was prepared byme o r u nde r m y dire ct supe rvisio n an d th at I a m a duly LicensedProfessional Geo logist un der the laws o f the state of M innesota.
J.D. L ehr Date: January 3, 2020Reg. No. 30 063 ,
Stonex and Vesterra Properties
City of Rosemount, Dakota County, MN
PRESENT CONDITIONS AND 2020 MINE PLAN
0 300 600 Feet
Parce l data fro m Dakot a Count y.
Aeria l p hoto graph fro m USDA-FSA-APFOFlown Au gust 3 1, 2 017
50-foot prope rty line se tbacks excep t where n oted in north west
Top of Mine Face - November 7, 2019
Reclaimed
Stripped
Topsoil Storage
Berm
Pond
Stonex & Vesterra Property Line
Vesterra/Stonex Mine Inspection October 2019
Active Mining West View (Solberg)
Active Mining South View (Bolander)
Vesterra/Stonex Mine Inspection October 2019
Mining Area Southwest View
Mining Area Frattelone
Vesterra/Stonex Aerial Images
September 2019
September 2018