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09-08-99 SCCSEP -08-1999 11:57 NAC 612 595 9837 P.02/12 - NORTHWEST ASSOCIATED CONSULTANT'S NINC COMMUNITY P'LANNINO - bESION - MARKET RESEARCH MEMORANDUM TO: Otsego Mayor and City Council FROM: Daniel Licht DATE: 8 September 1999 RE: Otsego - Pheasant Ridge; EAW FILE NO.: 176.02 - 99.18 BACKGROUND Arcon Development, Inc. has submitted a concept plan for development of 178 single family homes, 36 twin homes and 17 four -unit townhomes on approximately 120 acres west-southwest of Otsego Elementary. The applicant has requested and received preliminary plat approval for 178 single family lots and a final plat application is pending. The subject site is within the Urban Service Area - Sanitary Sewer Service District designated by the 1998 Comprehensive Plan Update. As part of the preliminary plat application approval, the single family portion of the subject site was rezoned to R-4 Residential Urban Single Family District. Development of the project is to be served by municipal sanitary sewer and water services. As part of their application, the developer prepared and submitted and Environmental Assessment Worksheet (EAW) for review. The EAW was published in the Environmental Quality Board (EQS) Monitor on July 12, 1999- Comments were received from the Minnesota Department of Natural Resources and Minnesota Historical Society. The purpose of this memorandum Is to outline the considerations necessary for the City Council to make a determination on the need for completion of an Environmental Impact Statement (EIS) for Pheasant Ridge Attached for Reference: Exhibit A: Subject Site Exhibit B: Findings of Fact 5775 WAYZATA BOULEVARD. SUITE 555 ST. LOUIS PARK. MINNESOTA 5541 6 PHONE 612-595-9636 FAX 612-595-9837 E-MAIL NACI9WIN-rERNET.COM SEP -08-1999 11:57 NAC 612 595 9837 P.03/12 ISSUES ANALYSIS Criteria. Review of EAWs are to be by the process outlined in Section 39 of the Zoning Ordinance. After publication of the EAW in the EQB Monitor and close of the 30 day comment period, the City Council must make a decision on the need for an EIS. In deciding whether a project has the potential for significant environmental effects, The City Council must consider the following factors as outlined in Minnesota Rules 4410.1700: a. Type, extent and reversibility of environmental effects. b. Cumulative potential effects of related or anticipated future projects. C. The extent to which the environmental effects are subject to mitigation by ongoing public regulatory authority. d. The extent to which environmental effects can be anticipated and controlled as a result of other environmental studies undertaken by public agencies or the project proposer, or of EISs previously prepared on similar projects. DNR Comments. The City received comments from the DNR pertaining to the Pheasant Ridge EAW in a correspondence dated August 9, 1999. The DNR's comments focus on four areas in evaluating the need for an EIS: Fish, Wildlife and Ecologically Sensitive Resources. The DNR states that the development of the project may result in a loss of habitat for the threatened Blanding's turtle, which has been documented within 1.5 miles of the subject site. The applicant has stated that the site does not contain the turtle's preferred habitat of sandy slopes on the south edges of wetlands. And, the species was not identified by the DNR's Natural Heritage Data Base used to prepare the EAW. Regardless, the project will not impact the one existing wetland on the subject site, thus preserving the existing natural habitat. Further, the applicant has agreed to implement measures to protect the existing habitat including working with appropriate agencies and providing education to future property owners. Other safeguards to be implemented to protect what turtles may exist in the area include storm sewer culverts that may be used to cross road ways, surmountable curb and buffer areas at the edge of the one existing wetland. The DNR also identified a potential impact to the threatened loggerhead shrike habitat. According to the National Heritage database used to prepare the EAW, loggerhead shrike's have been known in the general area of the project. However, as identified in the EAW, the subject site lacks suitable habitat for the loggerhead shrike. As such, development of the project will have a minimal impact to potential loggerhead shrike habitat, if any. 2 SEP -08-1999 1158 NAC 612 595 9837 P.04/12 - Erosion and Sedimentation. The DNR comments identify the potential for significant erosion resulting from the mass grading of the project, including five areas of moderate to steep slopes. While the SCS Soil Survey does, in fact, identify areas of the site with slopes of 12-35%, the actual topography at any point on the site does not exceed 6-12%. The applicant is required to submit grading, drainage and erosion control plans as part of the preliminary and final plat applications. These plans are subject to review and approval of the City Engineer to ensure proper grading and erosion control measures are implemented. The mass grading of the site will not present any significant environmental impacts. Mandatory EIS. The DNR asserts that a mandatory EIS is triggered because the development of Pheasant Ridge, the adjacent Crimson Ponds subdivision and construction of Page Avenue and 78th Street are all connected actions. The projects are considered 'connected actions' if the Responsible Government Unit (RGU - City of Otsego) determines that the are related in any of the following ways: 1. One project would directly induce the other; 2. One project is a prerequisite for the other; or 3. Neither project is justified by itself. The basis of the DN9s conclusion that these projects are connected actions is that the two residential developments, as well as other potential projects in the Sanitary Sewer Service District, cannot occur without the construction of 78th Street and Page Avenue, which are identified as collector streets by the Comprehensive Plan. This conclusion is erroneous. Pheasant Ridge, as well as Crimson Ponds, have potential access available from existing or planned local streets. Without construction of Page Avenue or 78th Street, access to Pheasant Ridge may be provided via local streets through the adjacent Country Ridge or Prairie Creek subdivisions. Crimson Ponds has frontage to 85th Street which is an existing collector street. Therefore, while each project is proposed to have connections to Page Avenue and 78th Street, the construction of these streets is not a prerequisite for development of the residential subdivisions. The DNR also cites other properties that abut the proposed Page Avenue or 78th Street right -of --way as evidence of a connected action mandating preparation of an EIS. Again, the development of these parcels with low and/or medium and high residential uses served by municipal sanitary sewer and water service is anticipated by the City's adopted Comprehensive Plan. The construction of 78th Street and Page Avenue are planned in order to provide for an efficient transportation system within the City. While development of the transportation system is based on fundamental planning principals, it is not necessitated by any one project or development of a given area. Each parcel abutting the proposed collector street corridors could develop independently with access only via internal streets. SEP -08-1999 11 59 NAC 612 595 9837 P.05/12 The City of Otsego has adopted a Comprehensive Plan that includes a transportation element outlining a functional classification system, which was certified by resolution to the EQB. The adopted functional classification system describes the provision of collector streets such as Page Avenue and 78th Street, to provide property access and local connections and distribution between local streets and arterial roadways. The Comprehensive Plan specifically establishes the need for the extension of Page Avenue from 85th Street to Packard Avenue to provide a north -south through route within the community. Similarly, 78th Street is identified on the Transportation Plan as a future collector street. These streets are not mandatory to accommodate development in this area, but ensure an efficient transportation system consistent with the City's adopted planning goals. The Comprehensive Plan states that these future street extensions should be considered as development proposals in the area occur, allowing the installation of trunk utilities within the right-of-way concurrent with construction of the street Again, the City could elect to pursue an alternative installation, which would likely be less efficient at a cost to developers and taxpayers within the City. The DNR also states that a mandatory EIS is warranted because the threshold for residential development is exceeded due to the combined number of dwelling units proposed in Pheasant Ridge and Crimson Ponds, as well as other properties that will have access to 78th Street or Page Avenue. This finding is inconsistent with the provisions of Minnesota Rules Chapter 4410.4400, subp. 14. and the definition of "propose' as provided for in Minnesota Rules Chapter 4410.0200, subp 68. For the purposes of requiring a mandatory EIS, a "proposer" is the person intending to undertake a project on land owned or for which an option is held. In that Pheasant Ridge and Crimson Ponds, as well as future developments in the area are separate projects being undertaken by separate developers, it is incorrect to use the sum of the two projects in evaluating mandatory EIS criteria. If each project is evaluated separately, the thresholds of a mandatory EIS in terms of dwelling units are not satisfied. Contrary to the DNR's conclusion, the three projects, as well as future development of other parcels within the Sanitary Sewer Service District, are independent and do not satisfy the criteria for connected actions. Further, the projects may not be considered collectively because they are not being undertaken by any single proposer. The timing of the development of Pheasant Ridge, Crimson Ponds and Page Avenue/78th Street is coincidental and a matter of efficiency relative the imminent availability of municipal sanitary sewer and water service. Each project may be constructed independent of the others and, are in fact, being undertaken by separate contractors with different construction schedules. MHS Comments, The Minnesota Historical Society has reviewed the EAW and commented that there are no properties listed on the National or State Register of Historical Places. Further, the Minnesota Historical Society has found no evidence of 4 SEP -08-1999 1200 NAC 612 595 9837 P.06/12 - potentially significant sites that may be eligible for listing on the National or State Register of Historical Places. As such, the project has no impact to significant or potentially significant historical places. CONCLUSION The EAW prepared and submitted by the applicant outlines that the analysis and findings that have been made relative to potential environmental effects that would result from development of Pheasant Ridge. In review of the EAW and the comments received pertaining to wildlife habitat, erosion control, connected actions and historical significance, the following conclusions may be made: 1. Issues regarding the type, extent and reversibility of potential environmental effects have been or are addressed by the EAW, adopted City plans, policies or Ordinances and conditions imposed as part of approval of the preliminary plat, final plat or development agreement for Pheasant Ridge. 2. No potential cumulative effects of anticipated future projects are anticipated due to the Pheasant Ridge project and effects that were addressed by the EAW. 3. All potential environment effects of the project will be adequately addressed by existing City plans, policies and Ordinances through requirements imposed on the preliminary plat, final plat or development contract with the City. On this basis, City Staff recommends that preparation of an Environmental Impact Statement is not required. A finding -of -fact consistent with this recommendation is attached for consideration by the City Council at a special meeting scheduled for September 8, 1999. PC. Mike Robertson Elaine Beatty Andy MacArthur Lary Koshak Rids Packer Todd McLouth SEP -08-1999 12 00 NAC 612 595 9837 P.07/12 EXHIBIT A SEP -08-1999 12:01 NAC 612 595 9837 P.08i12 CITY OF OTSEGO Applicant's Name: 1.7•AID: : ••u -a Need for EIS- Pheasant Ridge Findings of Fact & Decision Request: The applicant has submitted an EAW pertaining to development of a residential subdivision entitled Pheasant Ridge(°the project"). In review of the EAW and giving due consideration to comments received, the City Council must make a determination on the need to prepare an Environmental Impact Statement for the project. City Council Meeting Daae: 8 September 1999 Findings of Fact: Based upon review of the submitted EAW, giving due consideration to comments received and evidence received, the City Council now makes the following findings of fact: 1. 2. 3. 4. 5. 6. 7. 8. The legal description of the project area is attached as Exhibit A. The project is within the Sanitary Sewer Service District designated by the Comprehensive Plan. The City Council approved applications for zoning amendment, planned unit development - conditional use permit and preliminary plat on 23 July 1999. The project required preparation of an Environmental Assessment Worksheet (EAW) as outlined in Part 4410.4300 subp. 36A of the Environmental Quality Board (EQB) Rules. An EAW was prepared for the project by the applicant and submitted to the City on 1 July 1999 and was published in the EQB Monitor on 12 July 1999. Correspondence dated from the Minnesota Historical Society was received and Is incorporated herein. Correspondence dated 9 August 1999 from the Minnesota Department of Natural Resources was received and is incorporated herein. Comments received regarding the project EAW raised the following issues. The City's response to each issue follows: A. Fish, Wildlife and Ecologically Sensitive Resources (EAW Item 11 b) FINDING: The DNR states that the development of the project may result in a loss of habitat for the threatened Blanding's turtle, which has been documented within 9.5 miles of the subject site. The applicant has stated that the site does not contain the SEP -08-1999 12:02 NAC 612 595 9837 P.09/12 turtle's prefened habitat of sandy slopes on the south edges of wetlands. And, the species was not identified by the DNB's Natural Heritage Data Base used to prepare the EAW. Regardless, the project will not impact the one existing wetland on the subject site, thus preserving the existing natural habitat. Further, the applicant has agreed to implement measures to protect the existing habitat including working with appropriate agencies and providing education to future property owners. Other safeguards to be implemented to protect what turtles may exist in the area include storm sewer culverts that may be used to cross road ways, surmountable curb and bufiser areas at the edge of the one existing wetland. The DNR also identified a potential impact to the threatened loggerhead shrike habitat. According to the National Heritage database used to prepare the EAW, loggerhead shrike's have been known in the general area of the project. However, as identified in the EAW, the subject site lacks suitable habitat for the loggerhead shrike. As such, development of the project will have a minimal impact to potential loggerhead shrike habitat, if any. S. Erosion and Sedimentation (EAW Item 17) FINDING. The DNR comments identify the potential for significant erosion resulting from the mass grading of the project, including five areas of moderate to steep slopes. While the SCS Soil Survey does, in fact, identify areas of the site with slopes of 12-35%, the actual topography at any point on the site does not exceed 6-12%. The applicant is required to submit grading, drainage and erosion control plans as part of the preliminary and final plat applications. These plans are subject to review and approval of the City Engineer to ensure proper grading and erosion control measures are implemented. The mass grading of the site will not present any significant environmental impacts. C. Mandatory EIS. FINDING. The DNR asserts that a mandatory EIS is triggered because the development of Pheasant Ridge, the adjacent Crimson Ponds subdivision and construction of Page Avenue and 78th Street are all connected actions. The projects are considered "connected actions" if the Responsible Government Unit (RGU - City of Otsego) determines that the are related in any of the following ways: 1. One project would directly induce the other, 2. One project is a prerequisite for the other, or 3. Neither project is justified by itself The basis of the DNR's conclusion that these projects are connected actions is that the two residential developments, as well as other potential projects in the Sanitary Sewer Service District, cannot occur without the construction of 78th Street and Page Avenue, which are identified as collector streets by the Comprehensive Plan. 2 SEP -M-1999 12:02 NAC 612 595 9837 P.10i12 This conclusion is erroneous. Pheasant Ridge, as we// as Crimson Ponds, have potential access available from existing or planned local streets. Without construction of Page Avenue or 78th Street, access to Pheasant Ridge may be provided via local streets through the adjacent Country Ridge or Prairie Creek subdivisions. Crimson Ponds has frontage to 85th Street which is an existing collector street. Therefore, while each project is proposed to have connections to Page Avenue and 78th Street, the construction of these streets is not a prerequisite fur development of the residential subdivisions. The DNR also cites other properties that abut the proposed Page Avenue or 78th Street right-of-way as evidence of a connected action mandating preparation Of an EIS. Again, the development of these parcels with low and/or medium and high residential uses served by municipal sanitary sewer and water service is anticipated by the City's adopted Comprehensive Plan. The construction of 78th Street and Page Avenue are planned in order to provide for an efficient transportation system within the City. While development of the transportation system is based on fundamental planning principals, it is not necessitated by any one project or development of a given area. Each parcel abutting the proposed collector street corridors could develop independently with access only via internal streets. The City of Otsego has adopted a Comprehensive Plan that includes a transportation element outlining a functional classification system, which was certified by resolution to the EQB. The adopted functional classification system describes the provision of collector streets such as Page Avenue and 78th Street, to provide property access and local connections and distribution between local streets and arterial roadways. The Comprehensive Plan specifically establishes the need for the extension of Page Avenue from 85th Street to Packard Avenue to provide a north - south through route within the community. Similarly, 78th Street is identified on the Transportation Plan as a future collector street. These streets are not mandatory to accommodate development in this area, but ensure an efficient transportation system consistent with the City's adopted planning goals. The Comprehensive Plan states that these future street extensions should be considered as development Proposals in the area occur, allowing the installation of trunk utilities within the right- of-way concurrent with construction of the street. Again, the City could elect to pursue an alternative installation, which would likely be less efficient at a cost to developers and taxpayers within the City. The DNR also states that a mandatory EIS is warranted because the threshold for residential development is exceeded due to the combined number of dwelling units proposed in Pheasant Ridge and Crimson Ponds, as well as other properties that will have access to 78th Street or Page Avenue. This finding is inconsistent with the provisions of Minnesota Rules Chapter 4410.4400, subp. 14. and the definition of `proposer" as provided for in Minnesota Rules Chapter 4410.0200, subp 68. For the purposes of requiring a mandatory EIS, a "proposer" is the person intending to undertake a project on land owned or for which an option is held. In that Pheasant Ridge and Crimson Ponds, as well as future developments in the area are SEP -08-1999 12:03 NAC 612 595 9837 P.11/12 separate projects being undertaken by separate developers, it is Incorrect to use the sum of the two projects in evaluating mandatory EIS criteria. If each project is evaluated separately, the thresholds of a mandatory EIS in terms of dwelling units are not satisfied. Contrary to the Di11R's conclusion, the three projects, as well as future development of other parcels within the Sanitary Sewer Service District, are independent and do not satisfy the criteria for connected actions. Further, the projects may not be considered collectively because they are not being undertaken by any single proposer. The timing of the development of Pheasant Ridge, Crimson Ponds and Page Avenuel78th Street Is coincidental and a matter of efficiency relative the imminent availability of municipal sanitary sewer and water service. Each project may be constructed independent of the others and, are in fact, being undertaken by separate contractors with different construction schedules. 9. Not sooner than 10 days or later than 30 days from the close of a comment period of 30 days from the date of publication in the EQB Monitor, the City of Otsego, as the Responsible Government Unit (RGU) is required to determine the need for further environmental review of the project and the need for preparation of an EIS. Pursuant to Minnesota Rules 4410.1700, in deciding whether a project has the potential for significant environmental effects, the following factors shall be considered: a. Type, extent and reversibility of environmental effects. FINDING: Issues regarding the type, extent and reversibility of potential environmental effects have been or are addressed by the EA W, adopted City plans, policies or Ordinances and conditions imposed as part of approval of the preliminary plat, final plat or development agreement for the project. b. Cumulative potential effects of related or anticipated future projects. FINDING: No potential cumulative effects of anticipated future projects are anticipated due to the project and effects that were addressed by the EA W. C. The extent to which the environmental effects are subject to mitigation by ongoing public regulatory authority. FINDING: All potential environment effects of the project will be adequately addressed by existing City plans, policies and Ordinances through requirements imposed on the preliminary plat, final plat or development contract with the City. d. The extent to which environmental effects can be anticipated and controlled as a result of other environmental studies undertaken by public agencies or the project proposer, or of EISs previously prepared on similar projects. FINDING: The submitted EAWis adequate for anticipating and controlling the extent of environmental effects for the project. 4 SEP -08-1999 1204 NAC 612 595 9837 P.12i12 10. The report dated 8 September 1999 prepared by the City Planner, Northwest Associated Consultants, Inc., Is Incorporated herein. Decision: Based on the foregoing Information, the policies of the Comprehensive Plan and applicable ordinances, the City Council hereby determines that the potential environmental effects of the project have been adequately addressed and the preparation of an EIS for Pheasant Ridge Is not required. ADOPTED by the Otsego City Council this 8th day of September 1999. CIN OF OTSEGO By: Larry Fournier, Mayor Attest: Elaine Beatty, Zoning Administrator/City Clerk s TOTAL P.12