7.4. PRSR 04-30-1990 TO: MAYOR & CITY COUNCIL •
Elk : River FROM: PAT KLAERS, CITY ADMIN S BATOR
DATE: AUGUST 4 , 1989 +/Lf/
SUBJECT: PARK ISSUES 6.1 & 6.2
6.2 Park Dedication Fee Recommendation
Attached for your information is a memo from Building and
Zoning • Administrator, Stephen Rohlf, regarding the possible
collection of Park Dedication Fees for commercial and
720 Dodge Avenue N.W., Elk River, Minnesota 55330 (612) 441-7420
Page 2
Park Issues Memo
August 4, 1989
industrial development. This memo which includes a Planning
Commission recommendation was reviewed by the Park and
Recreation Commission on 8/2/89 . The Park and Recreation
Commission unanimously voted to recommend approval of this
new fee to the City Council. In order to start collecting
this fee, the new policy must be approved by City Council
resolution. The resolution for the collection of this fee
is being drafted by the City Attorney and will be handed out
at the City Council meeting on 8/7/89 .
Also at the 8/7/89 Council meeting, Stephen will be able to
address the Park and Recreation.: Commission concern about
collection of fees for new commercial and industrial
development that takes place on existing approved lots and
in the Planned Unit Development (PUD) areas.
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Page 2 ,
City Council Minutes
August 7, 1989
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Mayor Tralle indicated that he felt there was a need for a survey to be
sent out to the Elk River citizens to receive input regarding the parks
and general desires of the Elk River citizens. He indicated that when
the Park and Recreation Commission sends this survey out, he would like
to see other issues facing the City, such as a joint Community Center and
City Hall included in the survey. Mike O'Brien indicated that the Park
and Recreation Commission has been discussing this and that they will
keep the Council informed.
COUNCILMEMBER KROPUENSKE MOVED TO ACCEPT THE REQUEST FOR PROPOSAL FOR AN
ELK RIVER MASTER PARKS PLAN SUBMITTED BY SANDERS AND ASSOCIATES,
INCORPORATED. COUNCILMEMBER SCHULDT SECONDED THE MOTION. THE MOTION
CARRIED 3-0.
6.2. Consider Commercial and Industrial Park Dedication Fee Policy
Mayor Tralle indicated that the City currently collects park dedication
fees for residential developments at $350.00 per dwelling unit. He
further stated that the City ordinance does allow for collecting of park
dedication fees for commercial and industrial development, however, the
City currently does not collect park dedication fees from these types of
developments.
Steve Rohlf, Building and Zoning Administrator, indicated that the
Planning Commission and Park and Recreation Commission have both reviewed
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this subject and have recommended that the park dedication fees for
commercial and industrial development be charged on a per unit basis with
a unit being considered one acre. He further indicated that they
recommended that the charge per unit be $2,000.
Councilmember Kropuenske indicated that he felt it was a good idea to
collect park dedication fees from commercial and industrial development.
However, he stated that $2,000 per unit is overpriced at this time.
Councilmember Kropuenske stated that the City of Elk River is struggling
now to get small businesses into town and if the park dedication fees are
too high, this would further discourage development. He indicated that
he would be against the proposal if $2,000 per unit was used because he
felt that this was higher than 10% of the fair market value.
The Council discussed the possibility of differentiating between
industrial and commercial land and also between land with no city
services and land with city services. It was the consensus that
industrial and commercial land with city services had a higher market
value than land without and, therefore, a higher park dedication fee
could be charged for land with city services.
COUNCILMEMBER SCHULDT MOVED TO ADOPT RESOLUTION 89-52, A RESOLUTION
SETTING COMMERCIAL AND INDUSTRIAL PARK DEDICATION FEES AT $1,000 PER UNIT
FOR NON CITY SEWER AND WATER INDUSTRIAL AND COMMERCIAL DEVELOPMENT, AND
$1.500 PER UNIT FOR INDUSTRIAL AND COMMERCIAL DEVELOPMENT WITH CITY SEWER
j AND WATER. COUNCILMEMBER KROPUENSKE SECONDED THE MOTION. THE MOTION
CARRIED 3-0. Ilk
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RESOLUTION 89-52
A RESOLUTION OF THE CITY OF ELK RIVER
A RESOLUTION SETTING COMMERCIAL AND INDUSTRIAL PARK
DEDICATION FEES
WHEREAS, the Elk River Planning Commission has studied the
need for providing adequate park facilities for the
Community, and;
WHEREAS, the Elk River Planning Commission has been requested
to study the park dedication fees and made
recommendations regarding park dedication, and;
WHEREAS, the Planning Commission has recommended that park
dedication fees should be charged for commercial and
industrial developments.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the
City of Elk River does ordain and adopt the park
410 dedication fees for commercial and industrial
4 development as follows:
1 . That park dedication fees for commercial and
industrial development shall be charged on a per
unit basis.
2 . A unit is considered one acre .
3 . Commercial and industrial lots will be considered
to be a minimum of one unit (a one-half acre
commercial or industrial lot would still be
charged one unit for park dedication fees) .
4 . The charge per unit shall be:
a . $1 ,000 for commercial and industrial lots
without City sewer and water.
b . $1 , 500 for commercial and industrial lots
with City sewer and water.
1410
Resolution 89-52 Page 2
August 7 , 1989
110 '
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5 . Commercial and industrial lots over one acre in
size with or without City sewer and water, would
be charged proportionately.
Passed and adopted by the Elk River City Council this 7th day
of August, 1989 .
James A. Tralle, Mayor
ATTEST:
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Sandra A. Thackeray, City Cle
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