HomeMy WebLinkAbout6.m. Renewal of the Shafer Contracting Co., Inc. Small Scale Mineral Extraction Permit for 2022
EXECUTIVE SUMMARY
City Council Regular Meeting: January 18, 2022
AGENDA ITEM: Renewal of the Shafer Contracting Co.,
Inc. Small Scale Mineral Extraction
Permit for 2022
AGENDA SECTION:
Consent
PREPARED BY: Anthony Nemcek, Senior Planner AGENDA NO. 6.m.
ATTACHMENTS: Site Location, Draft 2022 Mining Permit,
Excerpt from the December Planning
Commission Meeting Minutes, Applicant
Letter, 2021 Current
Operations/Reclamation Status, 2022
Proposed Operations and Reclamation,
Site Aerial, Site Photos
APPROVED BY: LJM
RECOMMENDED ACTION: Motion to approve the Shafer Contracting Co., Inc. Small
Scale Mineral Extraction Permit for 2022, subject to the terms and conditions in the
attached Draft 2022 Conditions for Mineral Extraction.
SUMMARY
Applicant and property owner: Shafer Contracting, Co. Inc.
Location: ¼ mile west of Rich Valley Blvd., 1 mile north of Bonaire Path
East.
Area in acres: 93 acre total area, approximately 15 acres active in the western 100
feet of Phase 4 and all of Phase 5.
Comp Plan & Zoning: Agriculture
Extraction progress: Phase 5 out of 7 (approximately 60% complete).
Nature of request: Annual renewal
The City Council is being asked to consider a request from Shafer Contracting Company, Inc. to renew the
existing Small Scale Mineral Extraction Permit for its operation located within the 12000 Block of County
Road 71 (one mile north of Bonaire Path East along Rich Valley Blvd.) in the northeastern portion of
Rosemount. Small Scale Mineral Extraction is permitted in the City as an Interim Use within specified
areas, and the permit for such uses expires after one year. The Shafer site has been operating as a mine for
several years, and the request for renewal is consistent with similar renewals that have previously been
issued for the site. The operator indicated that in effect no activity has occurred at the mine site and
therefore the attachments and conditions are consistent with what was approved since 2018. The mine is
used solely for projects associated with Shafer Contracting projects. The Planning Commission and staff
are recommending approval of the renewal request.
2
PLANNING COMMISSION ACTION
The Planning Commission held a public hearing and reviewed the renewal request at its meeting on
December 20, 2021. No public comments were received by the Commission during the hearing, but the
Commission did inquire about the frequency of the renewal of small-scale mineral extraction permits and
future land uses in the area. Staff informed the Commission that the term of the IUP is one year and that
small-scale mineral extraction permits are renewed annually, while other IUPs have longer terms. For
example, community solar gardens generally have a renewal term of 25 years. Staff also described the
anticipated future land uses on the site and the plans of the owner, Flint Hills Resources, to maintain the
area as a buffer around its refinery.
The Commission also asked about what the remedy would be if the haul back material that is brought into
the site doesn’t meet the compaction requirements. Staff indicated that additional material could be
brought in and equipment could be used to increase the compaction of the haul back.
The Planning Commission voted unanimously to recommend the City Council renew the Small Scale
Mineral Extraction Permit for Shafer Contracting Co. for 2022.
BACKGROUND
Shafer has been extracting minerals from the site since 1998 and has owned the property since 2000. No
significant amount of sand or gravel was removed in 2021, and there was no haul-back or recycled material
brought to the property over the past year. It is unclear what the expectations are for 2022 although the
applicant wants to have the resource available should the need arise.
Shafer would continue removing aggregate from Phase 5 as identified on the 2021 Proposed Operations
and Reclamation Plan and depositing haul-back material in the middle 500 feet of phases 2, 3, and 4.
Haul-back operations have a low elevation of about 850 feet in phases 3 and 4, and would progress up to
an 875 elevation in phase 2. In 2006, the City Council approved the haul-back operation if it complied
with the following standards: from a MnDOT construction project, is clean fill material, does not contain
organic matter, and meets a 95% compaction threshold. Shafer previously submitted test results for the
haul back material through 2015, but in recent years had asked to delay the compaction testing due to the
limited amount of haul-back material brought into the site, since 2015. Shafer conducted compaction
testing in 2019 unfortunately a portion of the haul-back failed. The operator did provide test information
completed in September 2020 that met the 95% compaction requirement. Because of the lack of material
brought in over the past year, staff is comfortable waiting on additional compaction testing.
As a part of the annual review of all mineral extraction permits, staff performs an inspection of the site
and consults with the Rosemount Police Department regarding any police activity. No ordinance or
permit condition violations were apparent during the inspection. Police records found no incidents at the
subject property during 2021.
RECOMMENDATION
The site has had very little mining activity over the last several years. The issue of mining and haul-back is
addressed in the IUP conditions. The Planning Commission and staff recommend renewal of the Small-
Scale Mineral Extraction Permit at the Shafer Contracting Co. Inc., mine for 2022.
Site
Small Scale Mineral Extraction Permit
2022 Conditions for Small Scale Mineral Extraction Permit Renewal
SHAFER CONTRACTING COMPANY, INCORPORATED
A. Shafer Contracting Co., Inc. (hereinafter "the Property Owner") signs a written
consent to these conditions binding itself and its successors, heirs or assigns to the
conditions of said permit.
B. This permit is granted for the area designated as the western 100 feet of Phase 4 and
all of Phase 5 (19.5 acres), on Exhibit A (Mining Operation and Phase Plan), which
is attached hereto as one of the exhibits. Haul-back activities from Mn/DOT projects
are permitted only within the middle 550 feet of Phase 2, Phase 3, and Phase 4 (19.5
acres), on entitled 2022 Proposed Operations/Reclamation.
C. The term of the permit shall extend from January 1, 2022 until December 31, 2022
unless revoked prior to that for failure to comply with the permit requirements.
D. All required permits from the State of Minnesota, County of Dakota and City of
Rosemount (hereinafter "City") or any of their agencies shall be obtained and
submitted to the City prior to the issuance of the permit. Failure by the Property
Owner to comply with the terms and conditions of any of the permits required under
this paragraph shall be grounds for the City to terminate said mining permit.
E. The final grading for the permit area shall be completed in accordance with the
grading plan Exhibit B (Proposed Reclamation and End Use Plan), which is attached
hereto, or as approved by the City Engineer, and any other conditions as may be
imposed by the City from time to time.
F. All gravel trucks and other mining related traffic shall enter and exit the mining area
from County Road 71 (Rich Valley Boulevard). It shall be the Property Owner’s
responsibility to obtain any access permits or easements necessary for ingress and
egress. The location of the accesses and/or easements for ingress and egress shall be
subject to approval by the City, as well as the County Highway Department or the
Minnesota Department of Transportation if applicable or if any changes occur
relative to the mining process. The current location of the access driveway is
indicated on the Phasing Plan. A stop sign shall be installed at the driveway
entrance to County Road 71, in accordance with standards on file with the City or
County Highway Department. Warning signs including “Trucks Hauling” shall be
installed at the Property Owner’s expense as needed in accordance with Dakota
County requirements.
2022 Mining Permit
Shafer Contracting
2 of 6
G. A plan for dust control shall be submitted to and subject to approval by the City.
The Property Owner shall clean dirt and debris from streets that has resulted from
extraction or hauling operations related to the Mineral Extraction Permit. After the
Property Owner has received 24-hour verbal notice, the City will complete or
contract to complete the clean-up at the Property Owner’s expense. In the event of
a traffic hazard as determined by the City Administrator (or the Administrator’s
designee) or Rosemount Police Department, the City may proceed immediately to
complete or contract cleanup at Property Owner’s expense without prior notification.
H. The surface water drainage of the mining area shall not be altered so as to interfere,
contaminate, or otherwise affect the natural drainage of adjacent property.
I. No topsoil shall be removed from the site and the Property Owner shall take
necessary measures to prevent erosion of the stockpiled topsoil. The location of the
stockpiled topsoil shall be indicated on Exhibit C (Current Operations Map).
J. Any costs incurred now or in the future in changing the location of existing public or
private utilities including but not limited to pipelines, transmission structures and
sewer infrastructure located within the permit area shall be the sole obligation and
expense of the Property Owner.
K. All costs of processing the permit, including but not limited to planning fees,
engineering fees and legal fees, shall be paid by the Property Owner prior to the
issuance of the permit. The Property Owner shall reimburse the City for the cost of
periodic inspections by the City Administrator or any other City employee for the
purpose of insuring that conditions of the permit are being satisfied. The Property
Owner agrees to reimburse the City for any other costs incurred as a result of the
granting or enforcing of the permit.
L. The daily hours of operation for the mining area shall be limited to 7:00 a.m. to 7:00
p.m., Monday through Saturday, subject, however, to being changed by the City
Council.
M. The Property Owner shall deposit with the Planning Department a surety bond or
cash deposit in the amount of Seven Thousand Five Hundred Dollars per acre
($7,500.00/acre) for any active phase in favor of the City for the cost of restoration,
regrading and/or revegetating land disturbed by mining activities and to ensure
performance of all requirements of this agreement and City ordinances by Property
Owner. The required surety bonds must be:
(1) With good and sufficient surety by a surety company authorized to do
business in the State of Minnesota.
(2) Satisfactory to the City Attorney in form and substance.
2022 Mining Permit
Shafer Contracting
3 of 6
(3) Conditioned that the Property Owner will faithfully comply with all the
terms, conditions and requirements of the permit; all rules, regulations and
requirements pursuant to the permit and as required by the City and all
reasonable requirements of the City Administrator (or the Administrator’s
designee) or any other City officials.
(4) Conditioned that the Property Owner will secure the City and its officers
harmless against any and all claims, for which the City, the Council or any
City officer may be made liable by reason of any accident or injury to
persons or property through the fault of the Property Owner.
(5) The surety bond or cash escrow shall remain in effect from January 1, 2022
until July 31, 2023.
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.
N. The Property Owner shall furnish a certificate of comprehensive general liability
insurance issued by insurers duly licensed within the State of Minnesota in an
amount of at least Five Hundred Thousand and no/100 ($500,000.00) Dollars for
injury or death of any one person in any one occurrence, 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, 2021 until July 31,
2022.
O. No processing or mixing of materials shall occur on the site, except as approved by
the Dakota County Environmental Health Department as incidental to a sand and
gravel mining operation at which time such activities will be enclosed with snow, or
cyclone fencing or as approved by City staff. Construction of any ponding areas,
wash plants or other processing or equipment brought to the site shall require
additional City Council approval and notification of adjacent property owners.
P. The Property Owner shall hold the City harmless from all claims or causes of action
that may result from the granting of the permit. The Property Owner shall
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.
Q. The Property Owner shall comply with such other requirements of the City Council
as it shall from time to time deem proper and necessary for the protection of the
citizens and general welfare of the community.
2022 Mining Permit
Shafer Contracting
4 of 6
R. Complete mining and reclamation is required in all phases before any additional
mining is authorized. Modifications or expansion of the mining areas must be
approved in writing to the City. Property Owner shall submit to the City semi-
annually a written report indicating the amount of material extracted from the site
for the prior six-month period. After said written report is submitted, the City shall
perform an inspection of the site to confirm compliance with the conditions within
this Mineral Extraction Permit.
S. The Property Owner shall incorporate best management practices for controlling
erosion and storm water runoff as specified by the Minnesota Pollution Control
Agency and the United States Environmental Protection Agency.
T. Reclamation requires the replacement of the entire stockpile of topsoil to the mined
area, reseeding and mulching necessary to re-establish vegetative cover for
permanent slope stabilization and erosion control, provided also that the minimum
depth of topsoil shall not be less than two inches after reclamation. Topsoil for
reclamation shall conform to specifications on file with the City. No restored slopes
may exceed the gradients shown on exhibit Proposed Operations 2022.
U. The Property Owner must show how materials stockpiled for recycling will be
processed and inform the City of all stockpiled materials.
V. All recycling must be completed within the 280 feet of Phases 2, 3, as shown on
exhibit 2022 Current Operations/Reclamation Status. No recycling processes shall
be allowed to continue into subsequent phases.
W. The Property Owner may not assign this permit without written approval of the City. The Property Owner will be responsible for all requirements of this permit and all City ordinances on the licensed premises for the permit period unless the Property Owner gives sixty (60) days prior written notice to the City of termination and surrenders permit to the City. The Property Owner shall identify all Operators prior to their commencement of mineral extraction-related activities in the pit area. The City shall have the authority to cause all mineral extraction activities to cease at any time there is an apparent breach of the terms of this Permit. X. The Property Owner shall install and maintain a “stock” gate (or equivalent) at the entrance to the property where the mining operation is located. The gate must be secured at 7:00 p.m. and at any time the pit is not in use. Y. There shall be no “haul-back” of materials from any other property or job site that would be imported to the property for fill or other purposes other than incidental concrete recycling as referred to in paragraphs O, U and V; and topsoil imported for the purpose of re-establishing turf as accepted by the City; and earthen fill materials from Mn/DOT projects that further meets the requirements of testing in documents by American Engineering Testing, Inc., and which is used to replace sand and gravel mined below approved finish grades. Z. No mining activity will occur below the elevation of 840 feet above mean sea level. In no instance shall any mining activity occur within a groundwater aquifer.
2022 Mining Permit
Shafer Contracting
5 of 6
AA. Shafer Contracting Co., Inc. shall submit quarterly to the City documentation of the American Engineering Testing , Inc. (or other City approved geotechnical testing firm) environmental and geotechnical testing with documentation verifying the source and quantity of Mn/DOT generated “haul-back” material if requested. These reports shall be provided within 14 days after the end of the quarter. BB. Shafer Contracting Co., Inc. 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. CC. Shafer Contracting Co., Inc. shall compact the entire reclamation site to a minimum compaction of 95% of maximum dry density.
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. Fully reclaimed areas will be permanently seeded within 14 days of final completion. All disturbed non-operating areas shall be seeded at a minimum of once per year, prior to October 1 with MnDOT seed mix 130B. Operating areas including working faces, material stockpiles, haul roads, staging areas, and active reclamation areas are not required to be seeded.
FF. The City of Rosemount shall have the ability to collect independent soil and water
samples.
2022 Mining Permit
Shafer Contracting
6 of 6
IN WITNESS WHEREOF, Shafer Contracting Company, Inc. the Property Owner, hereby consents and agrees to the foregoing conditions of said mining permit this _______ day of ______________, 20__. Shafer Contracting Co., Inc.
By:________________________________ Frank Weiss, Its President STATE OF MINNESOTA ) ) ss COUNTY OF _________ ) The foregoing instrument was acknowledged before me this _________ day of _________________, 20____, by Frank Weiss, President of Shafer Contracting Company, Inc., the Property Owner, on behalf of the Corporation. ________________________________________ Notary Public
EXCERPT FROM THE DECEMBER 20, 2021 PLANNING COMMISSION MEETING MINUTES
5.b. Request by Shafer Contracting Co. to approve renewal of their Small-Scale Mineral Extraction Permit for 2022.
(21-63-ME)
Senior Planner Nemcek gave a presentation and summary of the staff report for the Planning Commission.
Commissioner Hebert inquired if the renewal was for one year. Nemcek stated that it is, and he mentioned the duration
of other Interim Use Permits. Commissioner Schmisek asked about the recourse if there are future failures of
compaction tests. Mr. Nemcek explained that equipment could be brought in to further compact the hauled-back
materials to bring it into compliance with the requirements of the permit.
The public hearing opened at 6:56 pm.
Public Comments: None.
MOTION by Schmisek to close the public hearing.
Second by Marlow.
Ayes: 5. Nays: 0. Motion Passes.
The public hearing closed at 6:57 pm.
Additional Comments: None.
MOTION by Marlow to recommend that the City Council renew the Shafer Contracting Co. Small Scale
Mineral Extraction Permit for 2022, subject to the terms and conditions in the attached Draft 2022 Conditions
for Mineral Extraction.
Second by Hebert.
Ayes: 5. Nays: 0. Motion Passes.
Current Operations 2022
Proposed Operations 2022
September 2021
September 2020