7.1. SR 07-05-2016 EGty1� ,.,�� Request for Action
River
To Item Number
Mayor and City Council 7.1
Agenda Section Meeting Date Prepared by
Public Hearin� 1july5, 2016 Zack Carlton,Planning Manager
Item Description Reviewed by
Ordinance Amendment Regarding Park Dedication Peter Beck, City Attorney
Fees Reviewed by
Cal Portner, City Administrator
Action Requested
Adopt,by motion, an ordinance amendment modifying the park dedication requirements described in
Section 30-327 of the City Code.
Background/Discussion
Staff has been working with a number of consultants over the past six-plus months to draft an
amendment to the city's park dedication ordinance. The need for the change was identified during the
Parks and Recreation Master Plan project, and this update is the final component of the larger master
plan. After a number of discussions with the City Council and outside consultants, the following changes
to the park dedication ordinance are recommended.
Residential Park Dedication
The current park dedication requirements require a dedication of 10% of land, or a per unit cash
dedication described in the city's fee schedule. Staff is recommending a change to both the land
dedication requirement and the current fee schedule. The new residential rates are based to factors unique
to Elk River, and do not rely on comparisons to peer cities generalizations. The land dedication rate is
based on the average acres of park land required per resident, as described in the Parks and Recreation
Master Plan, and the average household size for three residential land classes. The household size was
calculated using information sourced from the latest census, and will be updated with future census data.
The results are shown in the table below:
Acres of land Persons per Acres of land
Land Use Designation dedicated per Household dedicated per
person dwelling unit
Low Density Residential 0.03 X 2.82 = 0.0846
Medium Density Residential 0.03 X 1.80 = 0.0540
High Density Residential 0.03 X 1.58 = 0.0474
The land dedication will be based on impacts to the park system created by each new dwelling unit,rather
than a flat 10% dedication rate.
POWERED 6T
AR
The cash dedication fee is established by multiplying the land dedication and the fair market value of the
land. The fair market value for the current update was established with an appraisal study from Patchin,
Messner,Dodd, & Brumm. The study identified the average fair market value of three residential land
classes in communities similar to Elk River. The fee, as included in the fee schedule,is described below:
Low Density (<4 DU/ acre) $1,425.93/dwelling unit
Medium Density (4 to <7 DU/ acre) $1,075.79/dwelling unit
High Density (>7 DU/ acre) $4,897.04/dwelling unit
The appraisal study will be completed every five years, or as market conditions warrant, to ensure
consistent application of a fair land valuation.
Specialized Housing Uses
Staff recognizes and anticipates an increase in the development of facilities providing 24/7 care, such as
assisted living, nursing, or memory care facilities, and that the park dedication impacts resulting from
these facilities are not the same as other housing types. Staff views these types of facilities similar to
commercial (service) or office uses, and recommends using the commercial dedication rates for these
facilities.
The dedication rate for facilities with a mix of independent and 24/7 care units will dedicate the
proportionate share of the different uses. The same practice will be applied to other mixed-use facilities,
commercial and residential uses for example.
Commercial and Industrial Uses
Current land dedication rates for commercial and industrial rates utilize a flat 10% rate, and cash rates are
established annually in the fee schedule. The current proposal modifies both rates and is tied to the
county assessed value of the property. Commercial and office uses will dedicate 8% of the buildable land,
or 8% of the county assessed value of the property. Industrial uses will dedicate 6% of the buildable land,
or 6% of the county assessed value of the property. The fee, as included in the fee schedule,is described
below:
Commercial 8% of county assessed value
Industrial 6% of county assessed value
Financial Impact
The proposed changes to the cash dedication rate will result in an overall decrease in the total amount of
money collected. The goal of this update is to be in compliance with state statute, and reviews by the City
Attorney and others show that this goal has been met.
Attachments
■ Ordinance Amendment for Section 30-327 —Redlined Copy
■ Ordinance Amendment for Section 30-327 — Clean Copy
■ Residential Park Dedication Calculations
N:APublic Bodies\Agenda Packets\07-05-2016\Final\7.1 sr Pork Dedication.docx
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City ofElk -m"' -�
River
Ordinance 16 -
An Ordinance Amending Section, 30-327, Dedication of Land or Contribution of
Cash for Public Purpose of the City of Elk River, Minnesota, City Code
The City Council of the City of Elk River does hereby ordain as follows:
SECTION 1. That� 30-327, Dedication of land or contribution of cash for public purpose of
the City of Elk River Code of Ordinances shall be amended to read as follows:
(a) Dedications forpark purposes required. In every plat,replat of subdivision of land to be developed for
residential, commercial, or industrial uses, or as a planned unit development which includes such
uses or any combination thereof,it is reasonable to require that an amount of land
to tefi percefi+ of the tmdeveloped land proposed to be shall be set aside and
dedicated by the tract owner or owners to the city for parks, playgrounds, trails, or public open
space. The amount of land that shall be dedicated shall be in accordance with the following
standards:
(1) Residential uses
(a) The amount of land to be dedicated shall satisfy the parkland standard of 0.03 acres per
person as established, and as may be amended, in the Park and Recreation System Plan.
The total amount of land to be dedicated shall be calculated by multiplying the proposed
number of dwelling units in each land use designation by the required acres of land to be
dedicated per dwelling unit as shown below. The acres of land dedicated per dwelling
unit has been determined by multipling the parkland standard of 0.03 acres per person
by the number of persons per dwelling unit, as determined by analyzing the most recent
census data specific to the City of Elk River.
Acres of land Acres of land
Land Use dedicated per Persons per dedicated per
Designatio person Household dwelling unit
Low Density
Residential 0.03 X 2.82 = 0.0846
Medium
Densi 0.03 X 1.80 = 0.0540
Residential
High
Densi 0.03 X 1.58 = 0.0474
Residential
P a N E R E R R Y
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(b) Specialized Housing Uses
1. Facilities providing 24 hour a day/7 day a week care, such as assisted living or
nursing home facilities, shall be subject to park dedication requirements equivalent to
commercial uses.
2. Facilities with a combination of senior independent living and 24/7 care shall make
the required dedication based on the number of units designated for each type of
use.
( Commercial and industrial uses -the amount of land to be dedicated shall be a percentage of
the buildable land proposed to be subdivided. The percentage to be dedicated shall be eight
( percent for commercial and office uses and six (6) percent for industrial uses.
( Mixed uses -the amount of land to be dedicated shall be calculated based on the percentage
of land area devoted to each use, except in the case of mixed use projects within the same
building where the amount of land to be dedicated shall be calculated based on the
percentage of square feet devoted to each use.
(b) Gffh eontyibntion in&u of land dedication. if the city couticil,in its sole discretion, deteifnines tha
the land proposed to be dedicated is unsuitable for parks, then the"act owner shAll
contribute to the city,in liett of park land dedication, an amount of cash not to exceed the fai
market value of the undeveloped land required to be dedicated, as the city Council sh
deteftnine by reso�dtioti from
(bl Cash contribution in lieu of land dedication. If the city council,in its sole discretion, determines that all
or a portion of the land proposed to be dedicated is unsuitable for parks, then the tract owner
shall contribute to the city prior to releasing the final subdivision,in lieu of park land dedication,
a cash contribution proportionate to the fair market value of the land, and set forth in the city's
fee schedule. If the applicant disputes the amount of the proposed cash contribution in lieu of
the land dedication, the applicant, at their own expense,may obtain an appraisal of the property.
The appraisal shall be made by approved members of the MAI, or equivalent real estate
appraisal societies. If the city disputes such appraisal the city may, at the applicant's expense,
obtain an appraisal of the property aqualified real estate appraisal.
(c) Refilatkd n-si&nM4pmfietft. Previously platted residetitial property on which park dedication has
not beeft received by,the city-,bei,19 replatted with the same immber of lots aiid the satn
number of dweffing untits, sha-R be exempt frotn A park land dedicatio., if the-
made based on the number of additional lots or the number of additional dwelli� -.-i"I.
(c) Buildable land. For the purposes of calculating the required dedication described in this section,
shall be defined as the gross acres less the area of wetlands, lakes, and streams below the
OHWL.
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(d) Riyh�amed eomwirial or indffs-hit�yVeitv. Prior platted comme rcial and industfial land on which
park dedieatiofi has not been received by the city,being replatted with the same land area,
shaR be exempt from a4l park dedication requiremeffts. if laiad area is being added
P-1-ttsly recorded plat, then additional park dedicatioia requirements sha4l be based on th-e
(dl Beplatted property. Previously subdivided property from which a park dedication has been
received, being re-subdivided with the same number of lots, is exempt from park dedication
requirements. I£ as a result of re-subdividing the property, the number of lots is increased, then
the park dedication or per-lot cash fee must apply only to the net increase of lots.
(e) Use of casb contributions. Any monies paid to the city in lieu of park dedication shall be placed in a
special fund and used only for the acquisition and development or improvement of land for
parks, recreational facilities, playgrounds, trails, wetlands, �or open space; for the
develepmerrt based on the approved park systems plan. Cash payments must not be used for
ongoing operation or maintenance of such areas fid sites. and for debt re fir,.metit tn cofineefto
with lafid previously acquired or developed for such public pttToses. Afty monties specifica4ly
paid to the city for parks, recreational facilities, playgrounds, trails,
I . *�Ofl of lafid for trails and for the development of such lafi wetlands, or open space.
Deteymbiation t�F*-mayAet Palue of�nd For pttToses of this section,the term "fair market vaItte
of the undeveloped land" is defined as the fair ffiarket value of the land within such plat
replat, or subdivision as of the date the plat, replat, or subdivisiofi is presented to the city
cottficil for approval of the final plat, as deten=nified by the city ifi the same fnanfler as the
county assessor deteffnifies the fiair market value of lafid for tax puToses.
(fg)Dedications for purposes otber than parks. In addition, in every plat, replat, or subdivision of land, the
land required for public streets, regional stormwater holding ponds and wetlands shall be set
aside and dedicated on the plat subdivision by the owners to the city for these purposes. These
areas will not be credited towards park dedication requirements.
(gh)Giteria for determining suitability of land. The suitability of land proposed to be dedicated for park
and recreational purposes shall be determined by reference to the following criteria:
(1) Whether the land is reasonably located and suited for its intended use.
(2) Whether the land has frontage on public or private roads as determined by the city.
(3) Size, shape,topography,geology,hydrology, tree cover, access, and location.
(4) Consistency with the goals and objectives of the master park and recreation plan.
(hi)Improvements to dedicated land. As part of the subdivision or plat approval, the tract owner shall be
responsible for making certain improvements to land dedicated for park, trail and public open
space purposes,including, but not limited to, finish grading, ground cover, construction of trails
and clearly identifying park and trail boundaries with city-approved markers.
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(ij) Credit for construction of recreational facilities. Park dedication credit shall not be granted for the
construction of recreational facilities unless specifically approved by the city council. The
submission for review by staff and the park and recreation commission shall include an estimate
of installation costs, equipment specifications and a site plan. The park and recreation
commission shall review such improvements for appropriateness with the park and trail master
plan.
(k) Consultation by developer witb city staff. As part of the application procedure at the time of submitting
the subdivision, the tract owner is encouraged to confer with city staff and the
park and recreation commission to secure a recommendation as to the location of any property
that should be dedicated to the public for park and recreation purposes.
(kl) Survey required. As part of any park dedication of land, a survey at a scale of one inch equals 50
feet shall be provided with topographic data, based on city datum,including contours at vertical
intervals of at least two feet,watercourses,wetlands,marshes,rock outcrops, easements,utilities
and vegetative data. This data shall also be provided in a format which is readable by Arc View`
GIS. Portions of any property dedicated to the public for park and recreation purposes to be
used for borrow and fill activities elsewhere in the development shall be clearly identified.
SECTION 2. That this ordinance shall take effect upon adoption and be published as provided by
law.
Passed and adopted by the City Council of the City of Elk River this 5th day of July, 2016.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City Clerk
AVR
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City of
Elk -�-�
River
Ordinance 16 -
An Ordinance Amending Section, 30-327, Dedication of Land or Contribution of
Cash for Public Purpose of the City of Elk River, Minnesota, City Code
The City Council of the City of Elk River does hereby ordain as follows:
SECTION 1. That § 30-327, Dedication of land or contribution of cash for public purpose of
the City of Elk River Code of Ordinances shall be amended to read as follows:
(a) Dedications for park purposes required. In every subdivision of land to be developed for
residential, commercial, or industrial uses, or as a planned unit development which includes such
uses or any combination thereof,it is reasonable to require that an amount of land shall be set
aside and dedicated by the tract owner or owners to the city for parks,playgrounds, trails, or
public open space. The amount of land that shall be dedicated shall be in accordance with the
following standards:
(1) Residential uses
(a) The amount of land to be dedicated shall satisfy the parkland standard of 0.03 acres per
person as established, and as may be amended, in the Park and Recreation System Plan.
The total amount of land to be dedicated shall be calculated by multiplying the proposed
number of dwelling units in each land use designation by the required acres of land to be
dedicated per dwelling unit as shown below. The acres of land dedicated per dwelling
unit has been determined by multiplying the parkland standard of 0.03 acres per person
by the number of persons per dwelling unit, as determined by analyzing the most recent
census data specific to the City of Elk River.
Acres of land Acres of land
Land Use dedicated per Persons per dedicated per
Designation person Household dwelling unit
Low Density 0.03 X 2.82 = 0.0846
Residential
Medium
Densi 0.03 X 1.80 = 0.0540
Residential
High
Densi 0.03 X 1.58 = 0.0474
Residential
(b) Specialized Housing Uses
1. Facilities providing 24 hour a day/7 day a week care, such as assisted living or
nursing home facilities, shall be subject to park dedication requirements equivalent to
commercial uses.
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2. Facilities with a combination of senior independent living and 24/7 care shall make
the required dedication based on the number of units designated for each type of
use.
(2) Commercial and industrial uses — the amount of land to be dedicated shall be a percentage
of the buildable land proposed to be subdivided. The percentage to be dedicated shall be
eight (8) percent for commercial and office uses and six (6) percent for industrial uses.
(3) Mixed uses — the amount of land to be dedicated shall be calculated based on the percentage
of land area devoted to each use, except in the case of mixed use projects within the same
building where the amount of land to be dedicated shall be calculated based on the
percentage of square feet devoted to each use.
(b) Cash contribution in lieu of land dedication. If the city council,in its sole discretion, determines
that all or a portion of the land proposed to be dedicated is unsuitable for parks, then the tract
owner shall contribute to the city prior to releasing the final subdivision, in lieu of park land
dedication, a cash contribution proportionate to the fair market value of the land, and set forth
in the city's fee schedule. If the applicant disputes the amount of the proposed cash contribution
in lieu of the land dedication, the applicant, at their own expense, may obtain an appraisal of the
property. The appraisal shall be made by approved members of the MAI, or equivalent real
estate appraisal societies. If the city disputes such appraisal the city may, at the applicant's
expense, obtain an appraisal of the property by a qualified real estate appraisal.
(c) Buildable land, for the purposes of calculating the required dedication described in this section,
shall be defined as the gross acres less the area of wetlands, lakes, and streams below the
OHWL.
(d) Previously subdivided property from which a park dedication has been received, being re-
subdivided with the same number of lots, is exempt from park dedication requirements. If, as a
result of re-subdividing the property, the number of lots is increased, then the park dedication or
per-lot cash fee must apply only to the net increase of lots.
(e) Use of cash contributions. Any monies paid to the city in lieu of park dedication shall be placed
in a special fund and used only forthe acquisition and development or improvement of parks,
recreational facilities, playgrounds, trails, wetlands, or open space based on the approved park
systems plan. Cash payments must not be used for ongoing operation or maintenance of parks,
recreational facilities, playgrounds, trails, wetlands, or open space
(f) Dedications for purposes other than parks. In addition, in every subdivision of land, the land
required for public streets, regional stormwater holding ponds and wetlands shall be set aside
and dedicated in the subdivision by the owners to the city for these purposes. These areas will
not be credited towards park dedication requirements.
(g) Criteria for determining suitability of land. The suitability of land proposed to be dedicated for
park and recreational purposes shall be determined by reference to the following criteria:
(1) Whether the land is reasonably located and suited for its intended use.
(2) Whether the land has frontage on public or private roads as determined by the city.
(3) Size, shape, topography,geology,hydrology, tree cover, access, and location.
(4) Consistency with the goals and objectives of the master park and recreation plan.
URE
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Underlines to be added
(h) Improvements to dedicated land. As part of the subdivision approval, the tract owner shall be
responsible for making certain improvements to land dedicated for park, trail and public open
space purposes,including, but not limited to, finish grading, ground cover, construction of trails
and clearly identifying park and trail boundaries with city-approved markers.
(i) Credit for construction of recreational facilities. Park dedication credit shall not be granted for
the construction of recreational facilities unless specifically approved by the city council. The
submission for review by staff and the park and recreation commission shall include an estimate
of installation costs, equipment specifications and a site plan. The park and recreation
commission shall review such improvements for appropriateness with the park and trail master
plan.
(j) Consultation by developer with city staff. As part of the application procedure at the time of
submitting the subdivision, the tract owner is encouraged to confer with city staff and the park
and recreation commission to secure a recommendation as to the location of any property that
should be dedicated to the public for park and recreation purposes.
(k) Survey required. As part of any park dedication of land, a survey at a scale of one inch equals 50
feet shall be provided with topographic data, based on city datum,including contours at vertical
intervals of at least two feet,watercourses,wetlands, marshes, rock outcrops, easements, utilities
and vegetative data. This data shall also be provided in a format which is readable by Arc ViewT"'
GIS. Portions of any property dedicated to the public for park and recreation purposes to be
used for borrow and fill activities elsewhere in the development shall be clearly identified.
SECTION 2. That this ordinance shall take effect upon adoption and be published as provided by
law.
Passed and adopted by the City Council of the City of Elk River this 5th day of July, 2016.
John J. Dietz,Mayor
ATTEST:
Tina Allard, City Clerk
URE
Last Updated il7asch 2014 INATJ
Park Dedication Calculation
Assumptions for Park Dedication
2.82, 1.80, and 1.58 Average Household size for City of Elk River(based on 2014 ACS Data)
0.03 Acres of park land per resident as identified by Parks and Rec Master Plan
$ 16,855.00 Mean per acre value of low density residential land established by appraisal study
$ 19,922.00 Mean per acre value of medium density residential land established by appraisal study
$ 103,313.00 Mean per acre value of high density residential land established by appraisal study
Land dedication required
low density 2.82 x 0.03 = 0.0846 acres of land per residential unit
med density 1.80 x 0.03 = 0.054 acres of land per residential unit
high density 1.58 x 0.03 = 0.0474 acres of land per residential unit
Cash dedication required
low density 0.0846 x $ 16,855.00 = $ 1,425.93 cash dedication per residential unit
med density 0.0540 x $ 19,922.00 = $ 1,075.79 cash dedication per residential unit
high density 0.0474 x $ 103,313.00 = $ 4,897.04 cash dedication per residential unit