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6.4. SR 02-22-1999 rCI ----'\) ( )j !It{ Item # 6. 4 . MEMORANDUM FROM: Mayor and City Council Stephen Wensman, Planner :7 vJ TO: DATE: February 22, 1999 SUBJECT: Park Dedication Fees Reauest That the City Council consider Resolution 99-_ to amend the park dedication fees. Attachments . . Resolution 99- . Elk River Park Dedication /Trail Fees Survey . Andover Park Dedication /Trail Fees Survey . Residential, Industrial, and Commercial Fee Graphs . Resolution 95-87 Overview In 1987, the City Council passed Ordinance 87-1 that established a fIxed fee to be paid for park dedication purposes and that the fee shall be set by resolution of the City Council. In 1992 and 1995, the City Council passed resolutions amending those fees. The Park and Recreation Commission recently asked staff to research park dedication fees in other cities. Staff surveyed 19 cities and found a variety of approaches to park dedication fees with some greater than and some lesser than Elk River. Overall, Elk River park fees fall to the low-to-middle by comparison. Upon surveying cities, there were no obvious method that were used to determine fees. The cities surveyed tended to have varying amounts of developable land and varying needs for parks and park improvements. . 13065 Orono Parkway. P.O. Box 490 · Elk River, MN 55330. TDD & Phone: (612) 441-7420 · Fax: (612) 441-7425 . . . Memo to the Park and Recreation Commission February 22, 1999 Page 2 According to Sherburne County, there has been a raw land value increase of roughly 71% from 1995 to 1998. In 1995, raw land was selling for roughly $7,000 an acre, and in 1998, roughly 12,000 an acre. The City of St. Cloud recently hired the planning firm of SDU to study park dedication fees in the region. Elk River was surveyed and will share in the results when the study is completed in April or May of 1999. Park and Recreation Recommendation The Park and Recreation Commission has discussed park dedication fees for several months and have made the following one year fee recommendation: Residential: $1,100/lot or dwelling unit with a $200 trail fee. Commercial: $3,000 per acre Industrial: $2,000 per acre After sharing in the results of the St. Cloud study being conducted by SDU, the Park and Recreation Commission hopes to use the information for future park dedication fee recommendations. Action Reauested Staff and the Park and Recreation Commission request that the City Council approve the Resolution 99-_ to amend the park dedication fees. f:\shrdoc\planning\stevewen\ccmmo\pkdedfe3.doc . RESOLUTION NO. 99 - CITY OF ELK RIVER A RESOLUTION AMENDING THE PARK DEDICATION FEE FOR RESIDENTIAL, COMMERICAL, AND INDUSTRIAL DEVELOPMENT WHEREAS, the City Council of the City of Elk River, in Ordinance 87-1, established that a development fee may be paid for Park Dedication purposes and that this fee shall be set by resolution of the City Council; and, WHEREAS, the City Council has received and reviewed a recommendation from the Elk River Park and Recreation Commission that the Park Dedication Fees be increased, due to the increased need for recreational opportunities which increased development causes; increasing land values in the City of Elk River; and the increasing costs of providing recreational opportunities in the City of Elk River; and, WHEREAS, the adoption of this resolution adjusts the Park Dedication Fees adopted in Resolution 95-87. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River that the Park Dedication Fees paid to the City in lieu of 10% of the undeveloped land shall be set at: . Residential: $1,100/lot or dwelling unit with a $200 trail fee, effective 2/22/99. Commercial: $3,000 per acre, effective 2/22/99. Industrial: $2,000 per acre, effective 2/22/99. Passed and adopted by the City Council of the City of Elk River this _ day of ,1999. Stephanie Klinzing, Mayor ATTEST: Sandra Peine, City Clerk . . PARK DEDICA-IN/TRAIL FEES SURVEY . CITY RESIDENTIAL COMMERCIAL INDUSTRIAL TRAil FEES Albertville Cash - $1300/unit Land - 10% gross land area Cash - $400/unit Andover Land - 10% gross land area Land-10% gross area Land - 10% gross area N/A Land or Cash - Single Family - Anoka $700/unit Townhouse - $637/unit Duplex - $574/unit Land - 3% of gross area Land - 5% of gross area Mobile Home - $455/unit Cash -negotiated fee Cash -negotiated fee N/A Multiple Family - $441/unit Cash - $2,OOO/acre Land - 5% of market Land - 5% of market Developer responsible Apple Valley Land - 10% of market value value value for actual construction costs Cash (present mkt. value), or Cash or Land - 5% Cash or Land - 5% No trail fees, but Becker Land - 10% (case-by-case basis; (case-by-case basis; requires sidewalks (case-by-case basis, no M Plan; may be more or less) may be more or less) on two sides of rd. may be more or less) Cash - Single Family - $818/unit Blaine Duplex - $700/unit Townhouse/Quad - $607/unit Multiple Family - $515/unit Mobile Home - $627/unit Cash - $2,455/acre Cash - $2,152/unit N/A Cash - Single Family/Duplex - Brooklyn Park $900/unit Cash - $3,1 OO/acre Cash - $2,1 OO/acre N/A Townhome/Apartm't - $650/unit Land - based on density/acre Buffalo formula N/A N/A N/A Cash - $800/unit Burns Township Cash - $900 per lot Land - Champlin Cash - $2,500/acre Cash - $6,750/acre Cash - $6,750/acre N/A Cash - Single Family - $384/unit Two Family - $326/unit Mobile home - $291/unit Townhome - $286/unit . . . CITY RESIDENTIAL COMMERCIAL INDUSTRIAL TRAIL FEES Land - 1 acre per 75 persons Forest Lake (Densities computed for single family, townhouse, apartments) N/A N/A N/A Cash - Council decision based on market value and density Land - 1 acre per 75 persons Hanover or 25 dwellings Cash - $650 single family Cash - $650 per lot, or $650 per lot, or N/A $1,300 two-family, $450 per unit $450 per acre, $450 per acre, plus $100 per bedroom after 1st whichever is greater whichever is greater Land - 10% land, or Maple Grove Cash - $1,1 OO/unit Cash - $3,600/acre $2,775/acre N/A Monticello Cash - $7501lot N/A N/A N/A 10% of gross land area or 10% of gross land area $125 per home in Otsego Land - 10% of gross land area 10% of fair market value or 10% of fair market residential Cash - $950 per dwelling unit of the undeveloped land value of the subdivisions undeveloped land Cash: $650/unit Rural Cash: Cash: $100 per lot Ramsey $875/unit Urban 5% of fair market value 5% of fair market value (if planned city trail Land: 0.-.31 dwelling unitlac.-7% (no less than $2/sq. ft.) (no less than $1/sq. ft.) within/adjacent to .31 - 3.0 dwelling units/ac.-10% Land: Land: development, 3.1 - 5.0 dwelling units/ac.-12% 5% gross land area 5% gross land area developer must build 5.1 + over dwelling units/ac.- (negotiable - cash/land (negotiable - cash/land at his expense, in Additional.5% combination) combination) addition to trail fees Rogers Cash - $560/unit $1,800/acre $1 AOO/acre None Land - 3% market value Land - 3% marketvalue 81. Francis Cash- $600 lot Cash - 3x residential rate, Cash - 3x residential N/A Land - 10% whichever is less rate, whichever is less Land - 0-1.0 units/acre - 8% 81. Michael 1.01-3.49 units/acre - 10% 3.50-5.99 units/acre - 12% 6.0 units/acre or more - 14% 1998 ELK RIVER Cash - $650/lot or dwelling unit Cash - $2,000/acre N/A N/A \ \elkriver\sys \shrdoc \planning\stevewen \parkmmo \parkfees.doc · RESIDENTIAL PARK DE8.CATION SCHEDULE . CITY SNGL FAMIL V lWlNlTOWU MUlll (APTs) MONETARV DEDICAllON KEV LAND ONLY ADO'L mAIL FEES Champlin $2,500 $4.500 $4.500 oer acre 10% N/A ADDie Valley $2.000 $2.000 $2.000 rer acre (t 0% 01 $201d 10% Case bv case basis Farmington $1,875 $1 .875 $1.875 oor acre (12.5% 01 $15kl 12_500k 20% 0' lees Per Acre Ava, $2,125 $2.192 $2,192 oer acre .. . . . . . Plymouth $ , .500 $1.500 S 1 500 oer residential unit 1 OOk none Eden Prairie $1.400 $1.400 $1 400 per residential unit 10% none Chaska $1,200 $750 . $1,200 $700 oer residential unit 10% $200 per unit Chanhassen $1.100 $1.100 $900 oer residenlial uni1 acreaqe based on densi1Y $300 - $367 unil Elk River '/, .;-G .. .fin j' --, .... .^^ .. (/I ~O oer residential unit 10% N/A "> "'..IUU:- DaYlon 111.100 $1,100 $1 100 oer residential unit 10% N/A Maple Grove Itl.100 $ 1. 1 00 $1.100 oer residenlial unit 10% none Burnsville 111.098 $9n - $1.062 S 1 034 oer residenlial unit acreaae based on density none Eagan $1.028 $823 - $1 .200 ' $B18 per residential unit 8 10 -% density lormula $160 per unil Woodbury $1 ,000 $1,000 SBOO Der residential unit 10 to -% density formula none Ramsev $925 $925 $925 oer residential unit 10 to -% density lormula $150 Der unit lakeville $900 $900 $900 Der residential unit 10-20% based on formula $225 per unil Rosemount $900 $760 $760 oer residential unit 1125 acre per unit none Brooklvn Park $900 $650 - $900 $650 oer residential unil 10% NlA Blaine $-:WO $668 - $770 $566 oer residential unit 1 0% N/A Ham Lake sno sno $770 Der residential unit 1 oak N/A Rockford. $500 $400 $250.$50Ibedroom oer residential unit 1 0010 NIA Coon Rapids. $384 $326 $238 per residential unit 10% NIA Avg (Less -) $1057.56 $986.43 $938.94 Der residential unit SI. Michael see 'ormula see formula see lormula 8-14% based on densitv 8 10 -% density formula N/A N/A - Information NOT AVAILABLE NOTE: Many cities such as Coon Rapids, Rockf9rd and Ham Lake are either in the process 0' updaling their dedication lee schedule or are wailing to update based on the results or the Andover Park & Recreation Commission Survey.- . lhis survey was compiled trom data lurnished by the staff of cities which were considered as developing suburbs similar to Andover. ." fTl (T] I (S) ill ill ill ~ U1 ru (J'\ ." AI o 3 . - . _ __. .n..... ) -.J U1 U1 I OJ ill ru w ~ o .l> ') ~ -.J .l> ru U1 '1J D Gl fTl (S) ru COIMERCIALIINDUSTRIAL PJIIK DEDICATION SCHEDU~ CITY COMMERCIAL INDUSTRIAL ADD'L mAIL FEES Cham tin $6,750 $6,750 None Chaska $5,000 $5,000 None Eden Prairie $4,500 $4,500 None Chanhassen $4,500 er acre $4,500 er acre $1,500 r acre .~. .~--:-: Burnsvll!e,... __. ....7'" -~$4;-2S0, er=acre'.- . :=.:=$2;250~ er.-.acre'..-, -::: -.":'==None'..--.-:_~ .__':. ..._u... u PI mouth $4.200 er acre $4,200 r acre None Ma Ie Grove $3,600 r acre S2,nS r acre None Ea an $3,200 er acre $3.200 r acre $900 r acre Brookl n Park $3,100 er acre $2,000 r acre None Blaine $2,700 er acre $2.367 r acre None Elk River $2,000 r acre None Wood bur $?,OOO er acre $2,000 None Rosemount $1,100 eracre $1,100 None Oa on $1,000 er acre $1.000 r acre None Farmington- $500 per acre $500 per acre None Average (less -) $3.421 per acre COMMERCIAL 10% of Mkt Value 10%01 Mkt Value 5% of Markel Value . 5% of Markel Value 5% of Markel Value N/A Rockford NJA N1A - Inlormation NOT AVAIlABLE INDUSTRIAL $1.152 r acre 100/0 of Mkl Value 5"10 of Markel Value 5% of Markel Value 5% of Markel Value N/A NlA ADD"L TRAIL fEES None None None NfA None N1A NlA " m OJ I (S) W W W ..... V1 ru U\ " ;:0 o :3 --.I V1 V1 I OJ W ru w -I o .l> ) ~ --.I .l> ru V1 "'U D Gl m (S) w Residential Park Dedication Fees per unit . . Woodbury 51. Francis Rosemount Rogers Rockford Ramsey Plymouth Otsego Monticello Maple Grove lakeville Hanover Ham lake Elk River Eden Prairie Eagan Dayton Coon Rapids Chaska Chanhassen Burnsville Buffalo Brooklyn Park Blaine Anoka Andover Albertville $- $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 . . Farmington Elk River Eden Prairie Eagan Dayton Chaska Chanhassen Champlin Burnsville Brooklyn Park Blaine . . Commercial Park Dedication Fees per acre $- $3,000.00 $7,000.00 $1,000.00 $2,000.00 $4,000.00 $5,000.00 $6,000.00 . Farmington Elk River Eden Prairie Eagan Dayton Chaska Chanhassen Champlin Burnsville Brooklyn Park Blaine . . Industrial Park Dedication Fees per acre $- $2,000.00 $7,000.00 $3,000.00 $4,000.00 $5,000.00 $6,000.00 $1,000.00 . . . RESOLUTION 95 -87 RESOLUTION AMENDING THE PARK DEDICATION FEE FOR RESIDENTIAL AND COMMERCIAL DEVELOPMENT WHEREAS, the City Council of the City of Elk River, in Ordinance 87-1, established that a development fee may be paid for Park Dedication purposes and that this fee shall be set by resolution of the City Council; and, WHEREAS, the City Council has received and reviewed a recommendation from the Elk River Park and Recreation Commission that the Park Dedication Fees be increased, due to the increased need for recreational opportunities which increased development causes; increasing land values in the City of Elk River; and the increasing costs of providing recreational opportunities in the City of Elk River; and, WHEREAS, the adoption of this resolution adjusts the Park Dedication Fees adopted in Resolution 92-122. NO'V, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River that Park Dedication Fees paid to the City in lieu of 10% of the undeveloped land shall be set at: Residential: $550/lot or dwelling unit effective 1/1/96 $600/lot or dwelling unit effective 1/1/97 $650/lot or dwelling unit effective 1/1/98 Commercial: $1,750 per acre effective 1/1/96 $2,000 per acre effective 1/1/97 Passed and adopted by the City Council of the City of Elk River this 18th day of December, 1995. ~ - /T i . 'A-t./..u tt.. ^~:' 4--<.A- ~ .'/.v.<>--- ;Hen~ A. Duitsman, Mayor / Sandra A. Thack'eray, City Cler .