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02-03-03 PC
ITEM 3. 1. 5775 Wayzata Boulevard, Suite 555, St. Louis Park, MN 55416 Telephone: 952.595.9636 Facsimile: 952.595.9837 planners@nacplanning.com PLANNING REPORT TO: Otsego Mayor and City Council Otsego Planning Commission FROM: Daniel Licht RE: Otsego - Waterfront PUD; Hotel/Water Park REPORT DATE: 29 January 2003 APPLICATION DATE: 15 January 2003 NAC FILE: 176.02 - 03.02 CITY FILE: 2003-01 BACKGROUND Landcor Construction Inc. has submitted plans for development of a 125 room hotel and 20,000 square foot water park entitled "Quality Inn and Suites and Wild Woods Waterpark of Otsego". The use is to be developed 4.25 acres of land currently platted as Outlot D, E, and F of the Waterfront subdivision. This site was originally anticipated to develop with three separate uses including a hotel, restaurant, and office building by the Waterfront PUD Development Plan. The Comprehensive Plan guides the subject site for commercial uses within the east sanitary sewer service district. The subject site is zoned PUD District and is also within Subdistrict B of the WS Overlay District for the Mississippi River. Site and building plan reviews each phase of the development are processed as an amendment of the original PUD Development Plan. A final plat has also been submitted to subdivide the three outlots. Exhibits: A. Site Location E. Building Floorplans B. Site Plan F. Grading Plan C. Landscape Plan G. Utility Plan D. Building Elevations H. Final Plat ANALYSIS PUD District. The PUD District zoning of the subject site is based upon the uses and performance standards of the City's B-3, General Business District. The PUD Development plan approved by the City Council on anticipated development of the subject site with three separate buildings including a smaller hotel, a family restaurant, and office space. In that the current proposal is processed as an amendment of the approved development plan, the City may allow for the change in use and site design if deemed appropriate. The proposed hotel use is a permitted use within a B-3 district provided that there is at least 500 square feet of lot area per guest room. The proposed use provides 1,481 square feet of lot area per unit. The proposed waterpark would be considered to be an Indoor amusement facility, which is also a permitted use of the B-3 District. As such, both uses are considered appropriate for the PUD District. Furthermore, the proposed use is a unique destination that would add to the variety of uses within the community attracting local and regional patrons. As an amendment of the original PUD Development Plan, the Planning Commission and City Council must consider the criteria outlined in Section 20-3-2.17 of the Zoning Ordinance in evaluating the request: 1. The proposed action's consistency with the specific policies and provisions of the official City Comprehensive Plan. 2. The proposed use's compatibility with present and future land uses of the area. 3. The proposed use's conformity with all performance standards contained in the Zoning Ordinance (i.e., parking, loading, noise, etc.). 4. The proposed use's effect upon the area in which it is proposed. 5. The proposed use's impact upon property values of the area in which it is proposed. 6. Traffic generation by the proposed use in relation to the capabilities of streets serving the property. 7. The proposed use's impact upon existing public services and facilities including parks, schools, streets, and utilities and its potential to overburden the City's service capacity. Lot Requirements. Lots within the PUD District are not subject to minimum lot area or width requirements, although the subject site exceeds the requirements of the B-3 District. Setbacks in the PUD District are intended to be the same as required in the B-3 District: K Front Side Rear Parking (Quaday Ave.) (TH 101) Street Interior B-3 District 35 ft. 10 ft. 65 ft 10 feet 5 feet Proposed 32 ft 25/215 ft. 67 ft. 23ft/3ft. 7ft. The proposed building encroaches slightly into the typical 35 foot setback from Quaday Avenue. The encroachment due to the space required on the east side of the building for the parking stalls and drive aisles. Under the PUD District, the front yard setback can be reduced. The three foot encroachment is off -set by not having parking on the west side of the building, resulting in a larger yard area. The parking area along the east lot line abutting TH 101 also encroaches into the minimum setback area. This setback is required along rights-of-way to provide area for landscaping and ensure traffic visibility. Given the width of the TH 101 right-of-way, no negative impact is anticipated and the reduced setback is appropriate for the PUD District. Building Design. Elevations have been provided for the north and south facades of the building. The exterior appearance of the east and west facades must also be shown. The proposed hotel building has 86,000 square feet of floor area within four stories. The exterior finish of the building consists of a brick base and columns, and EIFS siding. Base to roof brick sections have been used to disrupt the horizontal mass of the building with shakes and other detailing added for character. The pitched roof is a standing seam metal surface. These materials are consistent with the requirements of the PUD District Design Guidelines and Section 20-17-4.B of the Zoning Ordinance. The proposed building has a defined height of 46 feet from the base to the mid -point of the highest pitched roof section. From the base of the building to the top of the center cupola measures 69 feet. Buildings within the B-3 District are limited to a height of three stories or 35 feet. The additional building height can be accommodated under the PUD District. and the Elk River Fire Department has the equipment to protect a four story building. The mass of the building relative to other surrounding uses should also be considered by the Planning Commission and City Council. Section 20-95-8.A of the Zoning Ordinance limits the height of principal buildings within the WSRR District to not more than 35 feet. The City has always questioned this area's classification as "wild and scenic" due to its location next to a four lane highway and distance from the Mississippi River. While the City may allow for the additional building height under the PUD District, the DNR has approval authority by Statue. No building plans have been submitted for the design of the waterpark. These plans must be submitted and are subject to review of the Planning Commission and approval of the City Council in accordance with Section 20-9-3 of the Zoning Ordinance. K3 Landscaping. The landscaping plan provides for a wide variety of perimeter and foundation plantings in types and sizes consistent with the Zoning Ordinance and PUD Design guidelines. The interior courtyard at the entrance to the building is also heavily landscaped. The landscaping plan does show plantings between the hotel and waterpark buildings that may receive only limited amounts of sunlight. These plants are appropriately shade tolerant and will grow at this location. We would recommend eliminating the ten black hills spruce trees along the east lot line. These trees grow to a diameter of approximately 25 feet and the lower branches would encroach into the adjacent parking stalls. These trees could either be replaced with shade trees or ornamental trees to provide variety. Access. The subject site has only one access to Quaday Avenue. This access measures 24 feet wide as allowed by Section 20-21-4.H.7 of the Zoning Ordinance. Given the size and location of the proposed building, the only other potential access to the subject site would be at the north end of the property. The parking stalls along the east lot line are a 350 foot dead-end. The site plan should be revised to provide more of a turn -around or outlet from the north end of these stalls. Space constraints in this area of the property limit options and may require a reduction in parking stalls Pedestrian access is provided via sidewalks along Quaday Avenue (the site plan should be revised to show the sidewalks). The internal sidewalks at the west perimeter of the building should be extended to connect to the public sidewalks. Parking. The hotel use of the subject site is required to provide one stall per guest room plus one stall for each 10 guest rooms: 1 stall / 125 guest rooms + 1 stall / 125 guest rooms / 10 = 138 stalls. The Zoning Ordinance does not have a parking requirement applicable to the waterpark use. The APA publication_ Off -Street Parking Requirements (PAS Report No. 432) lists two examples for off-street parking requirements for amusement parks: 1 stall per 200sf. of area within enclosed buildings, plus 1 stall per 3 persons outdoor facilities are designed to accommodate. 1 square foot of parking per 1 square foot of public area. The second requirement would appear most applicable to the proposed use. One 9 foot x 18 foot parking stall has an area of 162 square feet. Based on the 20,000 square foot size of the waterpark the following calculation may be made: 12 20,OOOsf. x 90% net floor area / 162sf. = 112 stalls A total of 250 parking stalls are required for each of the uses separately. The site plan provides for 245 stalls, a deficit of five stalls, However, it is reasonable to expect some interchange of hotel guests using the waterpark, which would likely serve to account for the five stall deficit. Also, the subject site is required under the PUD District to allow for cross parking with adjacent sites within the Waterfront development. Therefore, our opinion is that the proposed parking supply is adequate. All of the stalls are designed to a 9 foot x 18 foot dimension with adjacent 24 foot wide drive aisles as required by Section 20-21-4.H of the Zoning Ordinance. There are 12 disability accessible parking stalls on the site plan. The number of disability accessible stalls exceeds ADA requirements by four stalls. The disability stalls have been distributed around the building to provide good access. Loading. A loading area has been provided at the northeast corner of the hotel building for deliveries and trash storage. The access to this area is sufficient for a single unit truck, but not a tractor trailer. If based on the needs of the specific use, the access to the loading area is appropriate. Signs. The submitted plans do not identify freestanding or wall signs for the proposed use. All signs must conform to Section 37 of the Zoning Ordinance and the PUD District design guidelines. A freestanding sign would be required to be located at the site entrance from Quaday Avenue. Lighting. No plans for exterior lighting have been submitted. A lighting plan must be provided that illustrates the type, location and illumination pattern of all proposed exterior lighting. Grading Plan. Grading and drainage plans have been submitted for development of the subject site. These plans are subject to review and approval of the City Engineer. Utilities. The proposed use will be connected to City sewer and water services. A utility plan has been submitted and is subject to review and approval of the City Engineer. Easements. Ten foot wide drainage and utility easements are required at the perimeter of the site per Section 21-7-15 of the Subdivision Ordinance. The subject site is encumbered by easements that were dedicated with the original final plat that created the outlots. The proposed project requires that certain portions of these easements be vacated leaving those as shown on the proposed final plat. A separate public hearing is required to be held by the City Council for vacation of the easements. The vacation of the easements requires a finding that they serve no public purpose. All easements and the easement vacation are subject to review an approval of the City Engineer. 5 Final Plat. The applicant has provided a final plat that combines the three outlots into Lot 1, Block 1 of the Waterfront 4h Addition. The final plat is consistent with the requirements of the Subdivision Ordinance and may be approved with the amended development plan. Park Dedication. Park and trail dedication for the Waterfront development is to be in the form of a cash fee in lieu of land equal to 10 percent of the pre -development estimated market value of the property. The pro -rated portion of the park dedication required for the 4th Addition final plat is $34,692.00. Development Contract. Upon approval of the amended PUD Development Stage Plan and Final Plat, the applicant is required to enter into a development contract with the City. The development contract will outline all applicable requirements, fees and securities and is subject to review and approval of the City Attorney. CONCLUSION The proposed hotel and waterpark are a departure from the uses anticipated by the original development plan for the Waterfront project. However, the proposed use would be allowed in within the B-3 District on which the PUD District for the Waterfront project is based. The proposed use is also a destination opportunity that will provide a unique business for Otsego residents and regional patrons. As such, we would consider it appropriate provided that the Planning Commission and City Council accept the scale of the development relative to surrounding properties. The scale of the proposed development requires some minor flexibility under the PUD District as it applies to setbacks and more significant flexibility on building height. The setback flexibility is off -set by the maintenance of a green yard adjacent to the building along Quaday Avenue. While the building height issue is not significant from the City's perspective other than for fire protection, the DNR may take greater exception because of the WS overlay district. Based on the requirements of the Comprehensive Plan, Zoning Ordinance and PUD District for the Waterfront project, our office recommends approval of the applications as outlined below. A. Motion to approve a PUD Development Stage Plan and Final Plat for a hotel/waterpark use, subject to the following conditions: 1. The height of the proposed building is subject to review and approval of the DNR in accordance with Section 20-95-22 of the Zoning Ordinance. A C. PC 2. Plans are provided for the east and west facade of the hotel and for all facades of the waterpark, subject to review by the Planning Commission and approval of the City Council. 3. The landscape plan is revised to replace the ten black hills spruce trees along the east lot line with shade or ornamental trees, subject to review and approval of City Staff. 4. The site plan should be revised to provide more of a turn -around or outlet from the north end of the parking stall on the east side of the building. 5. The site plan is revised show the sidewalk along Quaday Avenue and to provide a connection between the public sidewalk and private sidewalks adjacent to the building, subject to City staff review and approval. 6. All signs must conform to Section 37 of the Zoning Ordinance and the PUD District requirements. 7. A lighting plan must be provided that illustrates the type, location and illumination pattern of all proposed exterior lighting, subject to review and approval of City Staff. 8. All grading and utility plans are subject to approval of the City Engineer. 9. The requested easement vacations are approved by the City Council based upon a finding that they serve no public purpose, subject to review of the City Engineer. 10. The applicant shall pay a cash fee in lieu of land equal to $34,692.00 in satisfaction of park dedication requirements. 11 The applicant shall enter into a development contract and pay all fees and securities, subject to review and approval of the City Attorney. 12. Comments of other City Staff and the DNR. Motion to deny the application based on a finding that the use is inconsistent with the Comprehensive Plan and PUD District. Motion to table the request. Mike Robertson Ron Wagner Patty Fowler Robert Fields Judy Hudson Andy MacArthur Bruce West Steve Fisher 7 BASEMAP DDATA PROVIDED BY Hnerroi■ Assoc.,Inc. PREPARED OCTOBER 2001 NOTE. THIS MAP IS FOR PLANNING PURPOSES ONLY AND SHOULD NOT BE USED FOR EXACT MEASUREMENT. 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MNit . , ; '::,—%... o« EXHIBIT A-2 CONCEPT PLAN Oe % xep Ns. % illE NO.: l9l0.�1-0] N tt i i i (j a 0 F n i z �L) is° o 3 0 _ € Z a3,}, m In _��i3 ��j li��!Iplti i aii1 lY;, I 777 a y } 0] o _ i..i,l.l it .r.; {! ; — m x LW E i s to iz i i b :s '•Es •lis O v•i •f �} I t•: si: #Z' ! oil - 1%; +•!i}11,11?', int+!�S9Y � l�,�+ Z '7• t �'i _ _�+il: �}4 .y } �}' SY'= _: i+i Y dt a � iE` o c3}Y! ;i}l •lii7;�l]jid S}, sYSr .{ i :-'q. i! �; Y ! aisz ExE fix i .+ i ii• •..3Sdrz ■ € — i;! :} }.s E ! Sai s;. ii x ,! i ii't- 'E-Sj� ytc i� + _ - :i Y y; gii`!gE .ilk i•fi; i)x iz 1:i �?} is 3_i S i+s:E ,s.lF St:3 .!: .!a ?ii^ di•• soli ?aY �Y s4aa '- Trunk Highway No. 101 f Lit Westerly'Rignt—of—WoY Per .MNDOS RIGHT OF WA re Iece� oc-No-i fll� ' I r I 1 I r rll , I r 1I Io^I ��5^JIO' 6I0' I SCALE: t' PDFI IA aIAIADV DI AAITIKIf. PI AAI m� �rsT,..aissr cas ti¢a�mata�rtanm_ mm Rva�r:�ssz�amle� mrt. savzmnr,cmrar[rtr� rnm s:acmr�neraarrE,_ rmm rracr,rrti.rjmncat_� �� rim Ar>arJv� c rr>t'v�trtiiaem . n s�_t�o¢rtn i rnm csrr,rvaom:¢si Loi C K mm �c � • cmm� ter: �srnm �c�n mm A■oot•ffl . cnmri na .. .. � �o�raomma+, EXHIBIT C- LANDSCAPE PLAN PRFI IMINARY PI ANT SCHFf)111 F• 'gs1 71-11-721 ^' � 7 r : ) \ ¥4 /\z ' (� \ � b �LA^ v� ssc� �u ID urn 1. Cl o U. 'n C� O z d 9� j��•' m X HIM Q a{Na m `3� m :�P A -02 0 ' N lo sl�,.-6,c 3 3r Ei gad CNV4* fm 30 LH01,8- -tA 7 'ON A em 4/P -Yun-l-L tOt e 4 a 1 ..,!0,- t,W Z-1 O O V i OTSEGO WATERFRONT OTSEGO MOTEL AND WATER PARK OUTLOTS D. E AND F nowrx C IT Y OF o w oo �I sulEIN FELT � j M I N N E S 0 T A n Cor 'onswConst—tion. st dion, Inc. p p ■ yew c o�und.l.+u.a,... UTILITY PLAN aNIRAI NOTES EXHIBIT G- UTILITY PLAN -- ------ I i I I t•Ot r I � � I ------L-------``\\ I •� N ' I I I I_ ------------ it I I r I}1 I to 1 I v I I� I rn I fa I T ----- L------- e/._____p,r,q, r Y.p r.......... fl= _1_!_—___ _----ti"�Lt 3+2_ I_______________,�;,I _ -__ - ---- --_--_ --------------- ----I b•.. wp N Iq�� _ �� --------------- — — — — — — — qi, �bn Ir" 4 d gp z 03 � -� 4 yy _T 2 D '1) r 0 N89°40'36"E 428.21 Meas. 348.21 W.00 I 40.00 'ffl0 284.91 31 V U-) NIIQ O) �p o N 8jz IMI W z IN I� (o cNp n L F T J 9.20 N89.40'36"E T I I� Drainage & Utility Easement ,,.\ 1201 i 0 UTLOT D y r,i . 1 1 d' I I N89°41' 17"E I 330.72 �o00 CI � 0 °N OUTLOT E I ZI aco o 00 � CON O _ "N I I a r 1 Ja / d ~' C,- ,� , - ,0 1 201 Q 0� v �'b tiA %Jj• o l .01/ h `� , �. Ir `� — N89°41'17"E 184.95 o � � . ID 37.921--- �O y .� N 45• 18 43 W Q 01 - O UTLOT F �' � •co 10 N 30 o z rn gg I 6 ZZZZ/T1 / 79.63 N - N89.41'17"E 410.35 ,�� 1% Ar y --------------------i 51.41 m m Z 3 04 Hakanson 1 Anderson Assoc., Inc. MEMORANDUM I lV . J✓J7 3601 ThulrSton Avenue, Suite 101, Anoka, MN 55303 Phdne;7611427-5860 Fax: 763/427-0520 To: Honorable Mayor and City Councif cc: Mike Robertson, Administrator Judy Hudson, Clerk Dan Licht, NAC Andy MacArthur, City Attorney Bob Fields, LandCor Steve Fischer, LandCor Jeff Shopek, P.E., Loucks Associates From: Ronald J. Wagner, PE Date: January 30, 2003 Re: Otsego Waterfront 4th (Outlot D, Op E, Outlot F) -- Hotel and Waterpark We have reviewed the Construction Plans (ngtidated) for the above -referenced project and offer the following comments: 1. The setback from Quaday Avenue, (20-77-7-C.1.) 2. Removal of the driveway provider and shall be depicted on the plans; 3. Designate tip,out curb where appl�l 4. Proposed storm sewer shall be shgi 5. proposed water service shall be s4c 6. Proposed invert elevations for saril Plan. 7, It appears that a gate valve will bo Southeast comer of Outlot E, Otsd 8. It appears that the proposed water E, Otsego Waterfront will conflict{ 9. Specify how the contractor is to 4ydrauts. The existing stubs shall 10. It appears that storm water run-oo riot being directed into the storm �e sewer north of the building to ha� easement over the property to then 11. Verify that the trees/plantings do �( 12. Resubmit for review, Full sized sal 30') shall be submitted for rgv' W ' CiViIrI'M", Page 1 of 1 Land Su G:\Muni cipnl\AdTSHGo2000\2259b'2259hmcc, doc ROW shall be 35' rather than 30', Outlot E, Otsego Waterfront will be necessary on t11e Utility Plan. i on the Utility Plan. sower services shall be shown on the Utility :eded near the watermain connection point at the Waterfront. in crossing near the southwest comer of Outlot nth the existing 45" x 73" RCP storm sewer. Ito the existing watermain for the proposed utilized where possible. 3m the north half of the proposed watermark is er system. Please revise grading and/or storm this runoff or obtain a drainage & utility th (Mr. Richard Lefebvre). interfere with any of the existing utilities. drawn to a recognized engineering scale (I" _ p'%l 25 f°' ITEM 3. 2. 5775 Wayzata Boulevard, Suite 555, St. Louis Park, MN 55416 Telephone: 952.595.9636 Facsimile: 952.595.9837 planners@nacplanning.com MEMORANDUM TO: Otsego Mayor and City Council Otsego Planning Commission Otsego Park and Recreation Commission FROM: Daniel Licht DATE: 11 November 2002 RE.: Otsego - Park Dedication Study FILE NO.: 176.08 - 02.01 BACKGROUND Our office has been directed by the City Administrator to prepare an evaluation of Otsego's present dedication requirements for park and trails. This information is intended to determine if Otsego's present requirements are fair to developers and adequate for addressing the park needs of the community related to new development. It must be emphasized that case law from Dolan v. Tigard requires the City's dedication requirements be related to the benefit of the effected property. The purpose of this study is to determine the relationship of the City's existing dedication fees to actual land acquisition and development costs. The basis of this analysis is raw land costs and projected improvement costs. The results of the study will illustrate how the City's present fees should be adjusted, if necessary, to meet the City's future park and trail needs related to new development. Exhibits: A. Sec. 21-7-18 Park Land Dedication B. Park Dedication Survey ANALYSIS Existing Dedication. For both residential and commercial/industrial dedications, it is the City Council's decision, with recommendation from the Park and Recreation Commission, whether land, cash or a combination thereof will be accepted. Existing requirements for Park Dedication are outlined in Section 21-7-18 of the Subdivision Ordinance. The City last updated its park and trail dedication requirements in August 1995. Residential park dedication requirement are 10 percent of the gross area being subdivided or a $950.00 per unit cash fee in lieu of land. Commercial and industrial properties are required to dedicate 10 percent of the gross area being subdivided or 10 percent of the fair market value of the property in an undeveloped state. Fair market value may be based upon appraisals, purchase agreements, comparable transactions or other records the City may rely upon. Otsego also requires a separate dedication for City trails, which was established in 1995 as well. The requirements of Section 21-7-18 of the Subdivision Ordinance require that any proposed trail conform to the City's bikeway plan. If no trails are proposed, the developer must pay a $125.00 per unit fee in lieu of land. As such, Otsego's total park and trail dedication fee in lieu of land is $1,075.00 per unit for residential uses. Surrounding Jurisdictions. The table attached as Exhibit B illustrates the park dedication requirements of several cities to the northwest of the Twin Cities. All of the communities require a 10 percent land dedication for residential subdivisions. There is significant variation between the communities in terms of cash dedications for parks in lieu of land, ranging from $700.00 to $1,300.00. Eight of the twelve surveyed communities, including Otsego, require commercial or industrial development to dedicate land for parks. Most require dedication of a percentage of raw land or a specified cash fee in lieu of land, as does Otsego. In terms of trail dedication, only five of the 12 communities surveyed, including Otsego required a separate trail dedication. Of these, Albertville requires dedication of trails only when shown on their trail plan, which is then credited towards total park dedication and Monticello requires sidewalks on one side of all new streets. Park Land Acquisition and Development. The following paragraphs analyze the costs of acquiring and preparing a parcel for development. The City would incur similar expenses if it were to elect to accept fees in lieu of land and acquire park lands on it own. As such, the following factors, based upon informal discussions with developers active in the City, must be considered in evaluating a "per unit" park dedication fee in lieu of land. For comparison purposed only, Crimson Ponds, Heritage Hills, Pheasant Ridge and Prairie Creek subdivisions were used as examples. Heritage Hills was developed with one -acre minimum lot sizes and individual on-site treatment and water systems. The other three subdivisions were all platted with urban sized lots within the East Sanitary Sewer Service District and are provided municipal sanitary sewer and water services. Raw Land Costs. In discussions with area developers, it has been determined that raw land is selling between $10,000 and $16,000 per acre. In the following analysis of raw land cost per lot, the $16,000 estimate is used. s Per Unit Dedication. The City currently requires a cash dedication in lieu of land based upon a per unit fee. This method allows for simple calculation of park dedication fees in lieu of land from project to project based upon average raw land values and the assumption of low density development. The analysis above demonstrates that a flat park fee does not recognize the varying land values and/or development intensities occurring in the community. The following formula illustrates if the park dedication fee may need to be adjusted to reflect the relationship and benefit between park development and raw land values: Estimated Area # of Lots Density Cost of Raw Cost of Raw Single Family Per Unit Cash Raw Land Land Land Per Lot Cash Density Ranpe (per acre Dedication in Heritage 64.5 ac. 38 0.59 $16,000 $27,158 Hills Lieu of Land Acre' Crimson 120.0 ac. 180 1.50 $16,000 $10,667 Ponds x 10% $1,600 — Prairie 62.7 ac. 118 1.88 $16,000 $8,502 Creek _ $710 Pheasant 79.1 ac. 178 2.25 $16,000 $7,110 Ridge s Per Unit Dedication. The City currently requires a cash dedication in lieu of land based upon a per unit fee. This method allows for simple calculation of park dedication fees in lieu of land from project to project based upon average raw land values and the assumption of low density development. The analysis above demonstrates that a flat park fee does not recognize the varying land values and/or development intensities occurring in the community. The following formula illustrates if the park dedication fee may need to be adjusted to reflect the relationship and benefit between park development and raw land values: Estimated Required Per Acre Single Family Per Unit Cash Raw Land 10% Land Cash Density Ranpe Dedication in Value Per Dedication Contribution (units/acre) Lieu of Land Acre' $16,000 x 10% $1,600 — 1.50 - 2.25 $1,070 to _ $710 N otes: 1. Estimated raw land cost based upon developer interviews. 2. Average ensity estimates based on Prairie Creek, Pheasant Ridge and Crimson Ponds Preliminary Plats Based upon the above analysis, a park dedication fee in lieu of land between approximately $700 and $ 1,070 is justifiable. This range of per unit park dedication fees in lieu of land would adress Otsego's existing park and trail dedication fee ($1,075 per unit), as well as being comparable to those of surrounding Cities illustrated by Exhibit B. Utilization of a fixed per unit fee does not automatically account for inflationary land values, differences in land value in various areas of a community, or variations in development densities. A final consideration not incorporated as part of the City's existing flat fee is an expense for developing the park and trail system, including land preparation, equipment, and construction. These factors can be included within the fee but must be justified based upon reliable estimates. Improvement Costs. The City adopted a Comprehensive Parks and Trails Plan in 2001 that outlined future park and trail locations to expand the existing system. The Parks and Trails plan basically anticipates developing new neighborhood parks for each square mile of new development and trails along all collector and minor arterial roadways. The plan also programs the need to establish a second community class park in the western areas of the City. The City prepared plans and specifications for a neighborhood park to be constructed adjacent to Otsego Elementary. This park, located within the east sanitary sewer service district is intended to be the prototype for all future neighborhood parks built in areas of new development. The lowest bid price received for construction of School Knoll Park in 2002 was $408,000. Assuming a one square mile service area with an average density of 2.5 dwellings per acre, these neighborhood parks would serve 804 households. As such, development costs for construction of new neighborhood park facilities would be equal to $507 per unit. Added to the existing $1,075 cash fee in lieu of land to address land acquisition and development, an appropriate cash fee in lieu of land would be equal to $1,700. s Medium/High Density Dedication. The existing park dedication requirements do not distinguish residential dedication based upon density. As such, the park land dedication for medium and high density uses is the same as low density single family uses. Because there is a corresponding increase between higher density and impact to the City's park system, many communities will establish higher park land dedication requirements for medium or high density developments with a corresponding fee in lieu of land. The following table illustrates the impact in density changes for a hypothetical 40 acre development in terms of park land per household. As the present dedication is based upon the impact of a development at urban single family density, there is a diminishing return on net park land per household for medium and high density developments. Therefore, the land accepted for parks from medium and high density developments may not be adequate for actual park demands generated by the concentrated households. Land Area Gross Density Households Land Dedication Land Land/H.H. 40 ac. 1.0 du/ac 40 4 ac. 0.1 ac. 40 ac. 2.5 du/ac 100 4 ac. 0.04 ac. 40 ac. 5.0 du/ac 200 4 ac. 0.02 ac. 40 ac. 7.5 du/ac 300 4 ac. 0.01 ac. Based on this information, the following graduated scale can be used to determine park land dedication requirements. Except for the lowest density subdivisions, the graduated scale provides more a more equal land to household ratio. Itis recommended that the Subdivision Ordinance be amended to include this graduated park land dedication requirement. Gross Density Land Dedication Requirement 40 ac. Example Land Land/H.H. 0>3 du/ac. 10% 4.0 ac. 0.10-0.03 3>6 du/ac. 13% 5.2 ac. 0.04-0.02 6>10 du/ac. 17% 6.8 ac. 0.03-0.02 10 du/ac. and over 20% 8.0 ac. 0.02 - NA Trail Dedication. As noted above, Otsego is one of a few area communities that require a separate dedication for trails. Our office and the City Attorney have discussed whether separate exactions for parks and trails are justifiable. In consideration of applicable case law, it would be our recommendation that the exactions be combined into a single dedication fee in lieu of land. Further, the provisions Albertville has provided for in terms of providing trails where indicated on the trial plan and deducting the cost from the park dedication would also be appropriate. Commercial/Industrial Dedication. The City of Otsego currently requires a park dedication from commercial and industrial developments. The basis of such an exaction is that employees of a business within the City may benefit from the location of parks, trails and/or recreation programs. The present requirements provide for dedication of 10 percent of the gross land being subdivided or a cash fee of 10 percent of the fair market value of the undeveloped property in lieu of land. However, because the City typically would not plan for park facilities in areas planned for commercial or industrial development, the cash fee in lieu of land is most often accepted. Because the value of commercial or industrial property is significantly higher than residential land prices, the cash fees can be significant. This large amount for park dedication is potentially burdensome from a economic development standpoint. Given the importance of developing commercial and industrial land uses to support the local tax base and use of reserved sewer and water capacity, the City may consider eliminating the fee or reducing the present requirement for either or both commercial and industrial land to five percent. CONCLUSION Because of the Dolan case law, the City needs to evaluate its park and trail dedication requirements regularly to verify that they are equitable and related to the benefit to the impacted properties. This is a good practice to because it also helps determine if the City's park and trail dedication requirements are adequate to cover the costs of developing a park and trail system to serve new development. Based upon the analysis outlined herein, the present combined fee is likely an accurate indicator of the land costs the City would incur to acquire parkland. However, the present fixed per unit fee does not account for development costs. As such, the following changes to the City's current park and trail dedication requirements are recommended: The cash fee in lieu of land for residential uses should be raised to $1,700 per unit to account for land acquisition costs and development of neighborhood parks to serve new development in accordance with the City's park and trail plan and specs for a prototype neighborhood park. As plans are finalized for improvements to Prairie Park and a future second community park, these costs may also be incorporated as part of the cash fee. 2. The existing cash fees in lieu of land for park land and trails should be combined into a single fee, with credits for construction of any facilities shown on the City's Parks and Trails plan. 3. A graduated scale for park land dedication should be adopted to ensure a consistent land to household ratio for residential developments with varied density. 4. Consideration is given to eliminating or reducing park dedication requirements for commercial and industrial developments in support of economic development goals. PC. Mike Robertson Judy Hudson Andy MacArthur Ron Wagner runoff rate existing prior to development except as may be approved by the City Council. G. The City shall have the authority to remove the topsoil for its own purposes from all dedicated streets within its corporate boundaries. Said topsoil shall be utilized in the development project from which it is taken unless otherwise specified as part of a development agreement. 21-7-17: PROTECTED AREAS: Where land proposed for subdivision is deemed environmentally sensitive by the City, due to the existence of wetlands, drainageways, watercourses, floodable areas, vegetation, or steep slopes, the design of said subdivision shall clearly reflect all necessary measures of protection to ensure against adverse environmental impact. Based upon the necessity to control and maintain certain sensitive areas, the City shall determine whether said protection will be accomplished through lot enlargement and redesign or dedication of those sensitive areas in the form of outlots. In general, measures of protection shall include design solutions which allow for construction and grading involving a minimum of alteration to sensitive areas. Where these areas are to be incorporated into lots within the proposed subdivision, the applicant shall be required to demonstrate that the proposed design will not require construction on slopes over eighteen (18) percent, or result in significant alteration to the natural drainage system such that adverse impacts cannot be contained within the plat boundary. � 21-7-18: PUBLIC SITES AND OPEN SPACES (PARK LAND DEDICATION): A. As a prerequisite to final plat approval, and at the sole determination by the City, applicants and/or developers shall dedicate land for parks, playgrounds, public open spaces or trails and/or shall make a cash contribution to the City's Park and Multi -Purpose Trail Funds roughly related to the anticipated effect of the plat on the park and traii system. The amounts listed in this section are the City's best estimate of the dedication or cash contribution needed to offset the effect on those systems. The requirement may also be met with a combination of land and cash if approved by the City Council Amended Ordinance No. 95-22, 28 August 1995 7-15 EXHIBIT A P. Land to be dedicated shall be reasonably suitable for its intended use as determined by the City and shall be at a location convenient to the public to be served. Factors used in evaluating the adequacy of proposed park and recreation areas shall include size, shape, topography, geology, hydrology, tree cover, access and location. C. The applicant shall confer with City Staff and the Parks and Recreation Advisory Committee at the time the preliminary plat is under consideration, to secure a recommendation as to the location of any property that should be dedicated to the public, such as parks, playgrounds or other public property. The preliminary plat shall show the location and dimensions of all areas to be dedicated in this manner. Such contribution requirement reccmmendation(s) will be sent to the Planning Commission for review and comment and subsequently to the City Council for their approval. D. When a proposed park, playground, recreational area, or other public ground has been indicated in the City's official map or Comprehensive Plan and is located in whole or in part within a proposed plat, it shall be dedicated to the appropriate governmental unit. If the applicant elects not to dedicate an area in excess of the land required hereunder for a proposed public site that the City feels is in the public interest to acquire, the City may consider acquiring the excess land through purchase or condemnation. E. Land area conveyed or dedicated to the City shall not be used in calculating density requirements of the City Zoning Ordinance and shall be in addition to and not in lieu of open space requirements for planned unit developments. F. Where private open space for park and recreation purposes is provided in a proposed subdivision, such areas shall not be used for credit against the requirement of dedication for park and recreation purposes, unless the City Council finds it is in the public interest to do so. G. The City, upon consideration of the particular type of development, may require that a lesser parcel of land should be dedicated due to particular features of the development. In such cases, a cash contribution shall be required above the land dedication to insure that compensation is received for the full amount of the impact on the City's park and trail system. H. In all new subdivisions, ten (10) percent of the gross area subdivided, or a different percentage as the City Council shall determine to be reasonably necessary as a result of the subdivision approval, shall be dedicated for public recreation space or other public use as established by City Council resolution. The dedicated percent of the gross area subdivided shall be in addition to property dedicated for streets, alleys, easements, or other public * Amended Ord. No. 95-22, 28 August 1995 7-16 ways. No areas may be dedicated for public use until such areas have been approved by the City Council as suitable and necessary for the health, safety, convenience and general welfare of the City. When a subdivision is proposed, the Developer shall make a dedication of land for public park use, or shall pay a fee in lieu of such land dedication as follows: 1. Residential Development. 10% of the gross land area being subdivided, or a fee in lieu of land dedication as follows: $750.00 per dwelling unit commencing on the effective date of this amendment and for a period of one year thereafter, $850.00 per dwelling unit commencing one year from the effective date of this amendment and for a period of one year thereafter, and $950.00 per dwelling unit commencing two years from the effective date of this amendment and thereafter. 2. Commercial and Industrial Development. 10% of the gross area being subdivided, or 10°1 of the fair market value of the undeveloped land. Whether land or cash will be required is left solely to the discretion of the City. For purposes of this section, fair market value shall be determined by reference to appraisals, accepted purchase agreements, comparable market transactions or other pertinent records, at the discretion of the City Council or Parks and Recreation Commission. Undeveloped land shall mean raw land with only those improvements present on the property on the date of plat approval. Said amounts are the City's best estimate of the effect of the subdivision on the City's nark system. J. All land proposed for trail and/or bikeway dedication shall be subject to the recommendations of the Parks and Recreation Advisory Board and the approval of the City Council. Such lands must also correspond and conform with the City's bikeway pian. * K. When a residential subdivision is approved, the developer shall pay a fee in lieu of dedication of land for trail purposes as follows: $125.00 per dwelling unit. Said amount is the City's best estimate of the effect of the residential subdivision on the City's trail system. L. The City may elect at its sole discretion to receive a combination of cash, land, and development of the land for park use. The potential cash donation generated by the dedicated land and/or the value of the development of land shall be calculated. That amount shall be subtracted from the cash contribution required by the Subsection I above. * Amended Ord. No. 95-22, 28 August 1995 7-17 M. Planned unit developments with mixed land uses shall make cash and/or land contributions in accordance with this Section based upon the percentage of land devoted to the various uses. N. Park cash contributions are to be calculated and established at the time of final plat approval. The Council may require the payment at the time of final plat approval or at a later time under terms agreed upon in the development agreement. Delayed payment may include interest at a rate set by the City. 0. Cash contributions for parks and trails shall be deposited in either the City's Park Fund or multi-purpose trail fund and shall only be used for park acquisition or development, and trail acquisition or development as determined by the City. Additionally, said funds may be utilized anywhere within the City park and trail systems. P. Wetlands, ponding areas, and drainageways accepted by the City may not be considered in the park land andicr cash contribution to the City. Q. Property being replatted with the same number of lots and same number of dwelling units shall be exempt from all park land dedication requirements. If the number of lots or the number of dwelling units is increased, or if land outside the previously recorded plat is added, then the park land dedication and/or park cash contributions shall be based on the additional lots and on the additional land being added to the plat. If the additional land does not create additional lots, then each one-third (1/3) acre added shall be considered a new lot for purposes of calculating the dedication requirements. R. When land is dedicated and deeded to the City for park purposes, it shall be the responsibility of the City to maintain such dedicated property. S. Land dedication to the City shall be in the form of lots or outlots with approved lot and block numbers. * T. If the applicant or developer does not believe that the estimates contained in this section fairly and accurately represent the effect of the subdivision on the park or trail system of the City, the applicant or developer may request that the City prepare in indepth study of the effect of the subdivision on the park and trail system and an estimate of that effect in money and/or land. All costs of such study shall be borne by the developer or applicant. if the developer or applicant requests the preparation of such a study, no application for development submitted shall be deemed complete until the study has been completed and a determination is made as to the appropriate amount of land or money necessary to offset the effects of the subdivision. * Amended Ord. No. 95-22, 28 August 1995 7-18 PARK AND TRAIL FEE INVENTORY OF OTSEGO AREA Northwest Associated Consultants, Inc. February 7, 2000 CITY SINGLE FAMILY COMMERCIAL/ TRAIL OR RESIDENTIAL PARK INDUSTRIAL SIDEWALK DEDICATION (per unit) PARK DEDICATION DEDICATION Land Cash Land Cash Albertville 10% $1,300 commercial 10% commercial 10%/ Trails as industrial 5% industrial 5% of required by fair market value Plan, deducted from Park Fees Big Lake 10% $1,300 Brooklyn Park $1,300 $4,000 per acre Clear Lake 10% $750 $150 Clearwater 10% fee set by Council Dayton 10% $1,100 Elk River As required $1,200 As required by commercial by Plan, Plan, equal to $3,000/ equal to cash cash contribution industrial $2,000 contribution based on fair per acre based on fair market land market land value value Maple Grove 10% $1,125 71/2% commercial $3,600/ industrial $2,850 per acre Monticello 10% 10% raw Sidewalks on land cost one side of street Otsego 10% $950 10% $175 Plymouth 10% $1,600 10% $4700 per acre Rogers 10% $700 10% commercial $4,000/ industrial $2,000 per acre St. Michael 10% $1,100 10% commercial $200 for $3,000/ residential industrial $2,000 per acre EXHIBIT B NORTHWEST ASSOCIATED CONSULTANTS, INC. 5775 Wayzata Boulevard, Suite 555, St. Louis Park, MN 55416 Telephone: 952.595.9636 Facsimile: 952.595.9837 planners@nacplanning.com MEMORANDUM TO: Otsego Mayor and City Council Otsego Planning Commission FROM: Daniel Licht DATE: 3 February 2003 RE: Otsego — Waterfront PUD; Retail Center Sign NAC FILE: 176.02 -02.19 Landcor Construction, Inc. has submitted plans for a freestanding sign to be erected for the Market West center. The sign measures 20 feet tall and has a sign area less than 100 square feet per side. The developer is proposing to locate the sign on the west side of the building along CSAH 42. The PUD District approved 8 April 2002 included the following condition related to the location of freestanding signs: h. Freestanding signs shall be limited to monument type structures constructed of the same material as the principal building. The signs are to be located at the entrance to each site, except for a convenience gas use on Lot 1, Block 1, which may locate its sign along the CSAH 39 frontage. Co -location of individual businesses on one sign at a common entrance will be allowed subject to the standard height limitation. This condition would require that the sign be located on the east side of the building on Quaday Avenue. The developer has requested that the Planning Commission and City Council consider allowing the sign as they have proposed. A decision on the location of the sign is considered a minor amendment of the approved plans and no public hearing is required. PC. Mike Robertson Judy Hudson Andy MacArthur Ron Wagner JAHI-200 Hl) H11 WFOR 00H] ilk Ull P,0WE] �.J PROPOSED MON SIGN Ll Lll PARISH VEJNUE NE � 40 SCALE IN FEET �SAD�6` QYII �iMlOdRj . �1 $i�t� RETAIL CENTER Eso !As� ciATEs OTSEGQ, MINNESOTA PYLON SIGN LOCATION .'ENI FER , ----rl �.J PROPOSED MON SIGN Ll Lll PARISH VEJNUE NE � 40 SCALE IN FEET �SAD�6` QYII �iMlOdRj . �1 $i�t� RETAIL CENTER Eso !As� ciATEs OTSEGQ, MINNESOTA PYLON SIGN LOCATION