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7.1 SR 02-22-2022Request for Action To Item Number Mayor and City Council 7.1 Agenda Section Meeting Date Prepared by Public Hearings February 22, 2022 Zack Carlton, Planning Manager Item Description Reviewed by Conditional Use Permit: Extend Mineral Chris Leeseberg, Senior Planner th Extraction Operations at 11650 225 Ave NW, Reviewed by Knife River Cal Portner, City Administrator Amanda Erickson, Environmental Coordinator Action Requested Approve, by motion, the Conditional Use Permit authorizing continued mineral extraction, operation of the asphalt plant, and hauling operations on the properties authorized under CU 97-02, CU 09-14, and CU 20-10 with the following conditions: 1. All previous conditions of approval included in CU 97-02, CU 09-14, and CU 20-10 remain in place. 2. Staff approval of a new reclamation plan for the entire site, to include a timeline for completion of the mineral extraction operations. Background/Discussion th Case No. CU 22-01 - Knife River has operated their gravel pit off 225 Avenue since 1997 with approval of their first mineral extraction CUP. That permit included a sunset date of December 21, 2021, for their asphalt plant and hauling operation. Since that approval, mining has continued, but full extraction of the mineral resources has not concluded. They also received authorization to expand the mining operation in 2020 with the purchase of a new property adjacent to the previously approved mine. The operation had been the subject of numerous complaints regarding th tracking of dirt and debris onto 225 Ave and Highway 169. Staff worked with the applicant to address these concerns as part of the CUP approved in 2020. Staff has since received very few complaints regarding the operation and environmental staff monitors the area for compliance with the CUP standards included in CU 20-10. The request does not include changes to any of the approved conditions and staff recommends keeping all previously included conditions of approval in place. The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: August 2020 Planning Commission th City staff received one letter from the public expressing concerns about tracking of dirt and debris onto 225 Ave between the pit and Highway 169. They also requested standards limiting the number of trucks and requiring loads to be covered. These complaints are similar to what had been received in 2020 during the last public hearing. That approval required installation of cattle grates to knock debris from tires prior to entering the roadway. The Planning Commission held a public hearing on January 25, 2022. Mark Magnuson with Knife River spoke and added that the paved segment of the entrance drive into the pit has been extended since approval of their 2020 CUP. Staff noted that the current extraction license limits the number of trucks to 35 per day and that previous approvals require loads to be covered prior to leaving the pit. The city has not received any complaints specific to the operation of this pit since Council approval of the 2020 CUP. The Planning Commission unanimously recommended approval. Financial Impact None Mission/Policy/Goal  Meet changing needs - Agile  Support business growth and development Attachments  Planning Commission Packed dated January 25, 2022  Public Comment Letter received January 21, 2022 N:\\Public Bodies\\Agenda Packets\\02-22-2022\\Final\\x7.1 sr Knife River.docx Request for Action ver To Item Number Planning Commission 5.1 Agenda Section Meeting Date Prepared by Public HearingsJanuary 25, 2022 Zack Carlton, Planning Manager Item Description Reviewed by Knife River, 11650 225" Ave NW Chris Leeseber , Senior Planner ■ Amendment to Conditional Use Permit Reviewed by allowing continued mineral extraction Amanda Erickson, Environmental Coordinator operations, Case No. CU 22-01 Action Requested Recommend, by motion, approval of the Conditional Use Permit authorizing continued mineral extraction specifically operation of the asphalt plant and hauling operations on the properties authorized under CU 97-02, CU 09-14, and CU 20-10 with the following conditions: 1. All previous conditions of approval included in CU 97-02, CU 09-14, and CU 20-10 remain in place. 2. Staff approval of a new reclamation plan for the entire site, to include a timeline for completion of the mineral extraction operations. Background/Discussion Knife River has operated their gravel pit off 2251h Avenue since 1997 with approval of their first mineral extraction CUP. That permit included a sunset date of December 21, 2021, for their asphalt plant and hauling operation. Since that approval, mining has continued, but full extraction of the mineral resources has not concluded. They also received authorization to expand the mining operation in 2020 with the purchase of a new property adjacent to the previously approved mine. CR 12 The operation had been the subject of numerous complaints regarding Figure 1 tracking of dirt and debris onto 225`' Ave and Highway 169. Staff worked with the applicant to address these concerns as part of the CUP approved in 2020. Staff has since received very few complaints regarding the operation and environmental staff monitors the area for compliance with the CUP standards included in CU 20-10. The request does not include changes to any of the approved conditions and staff recommends keeping all previously included conditions of approval in place. The Elk River Vision A avelcoming community n ith revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and insires prosperity. rPI1EIEI AY NATUREE Updated: August 2020 Applicable Regulations In approving a Conditional Use Permit, the council may impose such specific conditions with regard to the development or operation of the proposed use as it considers necessary to satisfy the seven standards set forth in Section 30-654 and the requirements contained in this article and to promote compatibility with and minimize any potentially adverse effects upon adjacent properties, the neighborhood or the city. The issuance of a Conditional Use Permit can be ordered only if the use at the proposed location: 1. mill not endanger, injure or detrimentally affect the use and enjoyment of otherproperty in the immediate vicinity or the public health, safety, morals, comfort, convenience or n elfare of the neighborhood or the city. Gravel mines create intense demands on adjacent properties. The approval includes conditions for yearly licensing and inspection by the city's Environmental Coordinator. Many of the operations are also regulated closely by the Minnesota Pollution Control Agency. The conditions that have regulated this use for the past 25 years are recommended to remain in place. Staff does not recommend additional conditions beyond what have been included in previous approvals. 2. W1711 be consistent n4th the comprehensive plan. The current Comprehensive Plan guides the area for Business Park industrial uses. The current zoning of he parcel also includes the Mineral Extraction Overlay District. Staff does not recommend additional conditions beyond what have been included in previous approvals. 3. mill not impede the normal and orderly development and improvement of surrounding vacantproperty. Three other gravel mining operations surround the property and the remaining undeveloped land is guided for similar uses. Staff does not recommend additional conditions beyond what have been included in previous approvals. 4. mill be served adequately by and will not adversely affect essential public facilities and services including streets, police and fare protection, drainage, refuse disposal, water and server systems, parks and schools; and will not, in particular, create traffic congestion or interference with traffic on adjacent and neighboring public thoroughfares. Mining uses require significant truck traffic and the tracking of gravel/mud onto adjacent roadways. Staff had numerous complaints regarding the gravel on the roadway in front of this operation and met with the operator last year to address those concerns. Knife River expanded the paved area near their entrance to tracking onto the roadways and increased the frequency of the street sweeping along 2251h Ave. Staff does not see a need to impose specific conditions to satisfy this standard. 5. mill not involve uses, activities, processes, materials, equipment and conditions of operation that will be detrimental to any persons or propery because of excessive traffic, noise, smoke, fumes, glare, odors, dust or vibrations. The mining operation includes numerous uses and activities that impact the surrounding area. These concerns are addressed and regulated with previous approvals and are monitored during the yearly inspections of the site and frequent inspections of the surrounding area by city staff. Staff does not recommend additional conditions beyond what have been included in previous approvals. N:\Depaftments\Commluiity Development\Plamung\Case Files\CUP\CU 22-01 Knife Rivef CUP amendment\4-Placuung Commission\5.1 sf Knife Rivef.docx 6. mill not result in the destruction, loss or damage of a natural, scenic or historic feature of major importance. The area has been mined since 1997 and most of the natural features have already been mined and reviewed as part of previous environmental reviews. Staff does not recommend additional conditions beyond what have been included in previous approvals. 7. lYlill fully copynvitb all other requirements of this Code, including any applicable requirements and standards for the issuance of a license orpermit to establish and operate the proposed use in the city. The use will fully comply with all other requirements of this Code, including any applicable requirements and standards for the issuance of a license or permit to establish and operate the proposed use in the city. Staff does not recommend additional conditions beyond what have been included in previous approvals. If denial of such a permit should occur, it shall accompany recommendations or determinations by findings or a report stating how the proposed use does not comply with the standards set forth in Section 30-654. Financial Impact None Mission/Policy/Goal ■ Meet changing needs - Agile ■ Support business growth and development Attachments ■ Location Map ■ Applicant's Narrative ■ Pit Exhibit ■ CU 97-02 Recording Document ■ CU 09-14 Recording Document ■ CU 20-10 Recording Document N:\Depaftments\Commluiity Development\Plamung\Case Files\CUP\CU 22-01 Knife Rivef CUP amendment\4-Placuung Commission\5.1 sf Knife Rivef.docx KN I FE RIVER AN MOU RESOURCES COMPANY December 17, 2021 City of Elk River Ms. Amanda Bednar 13065 Orono Parkway Elk River, MN 55330 Re: Ernest Toth Asphalt CUP Application Dear Ms. Bednar, Enclosed please find the following information pertaining to Knife River's request to extend our asphalt and truck hauling operations for an additional 15 years. Application Requirements Each of the following applicable requirements (unless waived by staff) shall be submitted: 0 Application Fee Attached x❑ Full legal description of the subject property in an editable Word format Attached 0 A typewritten narrative (see Description of Project Narrative) Attached 0 Site Plan, Utility, Grading/Drainage Plan Attached Site Plan Map Landscape Plan completed by registered landscape architect NA Z Drainage Calculations NA — all drainage will remain onsite o The grading/drainage plan must be reflective of the final plan, including any revisions required by the Technical Evaluation Panel, if appropriate Z Building Elevations, including one (1) color rendering NA o For townhome projects, calculations of material by elevation must be included. 1K Floor Plans NA KN I FE RIVER AN MDU RESOURCES COMPANY ❑x Wetland Delineation (if wetlands are present) April 7, 1997 Barr Engineering conducted a wetland delineation 0 Wetland Mitigation Plan (if wetlands are present) o The wetland delineation and mitigation must be reviewed by the Technical Evaluation Panel and revisions made prior to review by the Planning Commission Application Number WVCA 05-10 is on file with City of Elk River ❑x EAW/EIS Requirements NA o The EAW/BIS process must be in concert with any application process. The Planning Commission must comment on an EAW/EIS along with an application. ❑x All submitted documents shall be: o One (1) hard copy of all required drawings at a scale no smaller than 1"=50', and no larger than 24"x36" o Two (2) sets of hard copies of required drawings at 11"x17" o Provided in a digital format (e.g..pdf, .jpeg, .doc, Awg) at a resolution of least 300 dpi. Flash drives, CD's, and email are acceptable. o Folded (rolled drawings will not be accepted) ❑x All other information as determined by city staff 2 KNIFE RIVER AN MDU RESOURCES COMPANY Description of Pro i ect Narrative ■ Detailed description /scope of project. ■ What is being proposed? Knife River is requesting to extend our existing asphalt plant and hauling operations CUP for an additional 15 years. The proposed project will consist of all equipment necessary to operate an asphalt plant. This will consist generally of a HMA drum for heating and drying aggregate and mixing aggregate with asphalt cement (AC), storage tanks for fuels, AC and HMA, aggregate operations, recycled asphalt operations and aggregate and recycle stockpiles. The HMA production site will be located on an existing gravel mining site. That site is active and has a current, valid conditional use permit. Aggregate for the production of HMA at the proposed HMA plant will come from both the on -site gravel operation and off -site sources, in order to meet current asphalt specifications. As stated above a HMA production site includes the storage and processing of aggregate material and AC. Aggregate is combined with AC to produce asphalt. Currently, the HAM plant is portable. It is a piece of equipment that enters and leaves the site on wheels. At this time, there will not be any permanent structures constructed. Portable temporary storage tanks are placed at the time of operations that contain diesel fuel for trucks and engines, fuel for the HMA plant burner (used oil and type 6 fuel oil) and A. C. Tanks meet MPCA requirements. The tanks will be either double walled or bermed with landfill liners below them. Existing bituminous asphalt removed from a road as part of a paving project and new shingle scraps from manufacturing are recycled. All recycled bituminous asphalt associated with a particular paving project is stored and processed on site as part of hot mix asphalt production. The recycling operation includes a conveyor, hopper, loader, grinder and the asphalt plant. Recycled bituminous asphalt can also be used as road base if there is more than can be used by a particular project. 3 AN MDU RESOURCES COMPANY How is the request consistent with City of Elk River Comprehensive Plan? The City of Elk River has planned for mining in the City for several years including the completion of an Environmental Impact Statement in 1994, and the creation of a Mineral Extraction Overlay District. The Comprehensive Plan states: The primary objective of this land use category is to allow the current mining use of the land and address future land use when development becomes appropriate. ■ Hours of Operation lam -7pm, Monday — Saturday, with the exception that the asphalt plant and hauling operations can be extended by the Environmental Administrator for special cases. Maintenance allowed after hours. ■ Number of Employees Approximately 4 employees work on site with the asphalt plant operations. Number of parking stalls, existing and additional The parking area for employees is contained on the site. After operations are shut down, trucks will be returning to our designated job site parking or returned to our designated office locations. ■ Is there proposed screening of this site? Yes, currently there are required setbacks, existing berms and existing stockpiles are placed between the equipment and property lines providing a screening barrier to the neighbors and traveling public. = Proposed building materials ■ How do they comply with applicable design standards? NA = Signage — (at time of installation, a separate permit is required for each sign) There is an existing sign at the entrance of the site off 225th Avenue NW ■ How many? ■ Proposed sizes? ■ Locations? = What type? Is there outdoor storage? ■ What is being stored? Gravel products (rock, sand, gravel), recycled asphalt pavement and recycled concrete 9 Ir4KNIFF R WER AN MDU RESOURCES COMPANY ® How much? Volumes stored on site depends on project demand and need during the construction seasons. Proposed screening? Yes, currently there are required setbacks, existing berms and existing stockpiles are placed between the equipment and property lines providing a screening barrier to the neighbors and traveling public. Please feel free to contact me if you need any additional information pertaining to our request. Sincerely, Holly Runnoe Environmental Assistant Knife River 4 r_ Lu E F Fin ul U. r t"3 MI 7.� s r- =.A r i $2p � 3 Sg a -o UULJU- ++ rr` � � 3 - RS 4 2, s 3 E*. 'e 1. z• � ��• r + F �'�� t 346384 346384 COUNT Y RECORDER S€ E BURHH- CC., MINN y / �PUTY 'S7 JUL 9 PM 3 30 CITY OF ELK RNER AGREEMENT FOR ISSUANCE OF CONDITIONAL USE PERMIT FOR IMINERAL EXCAVATION THIS AGREEMENT, made and entered into this L23 day of 1967, by and between the CITY OF ELK RNER, a municipal corporation organized under the laws of the State of Minnesota (City), and BAUERLY BROS., INC., a Minnesota corporation, hereinafter referred to as (operator); WI=SSETH: VT=REAS, Operator has made application to City for approval of a conditional use permit to operate a gavel mining operation .within the City on property legally described as follows: The west half of the southeast quarter ff i/2 of SE 1/4), and the west half of the southeast quarter of the southeast quarter (W 1/2 of SE 1/4 of SE 1/4), and the east half of the southeast 114 of the southeast 1/4 (E 1/2 of SE 1/4 of SE 1/4), all in Section 3, Township 33, Range 26, Sherburne County, Minnesota. Also the west half of the south half of the southwest quarter (VV 1/2 of s 1/2 of SW 1/4), Section 2, Township 33, Range 26, Sherburne County, Minnesota. (the Property); and Page 2 346 384 W PREAS, the City of Elk River Planning Commission and City Council have held hearings on Operator's request for a conditional use permit, at which hearings all citizens of the City of Elk River and other interested parties have had the opportunity to be heard on the application; and AREAS, the City Council by motion adopted May 19, 1997, approved a conditional use permit for the operation of a gravel mining operation (the Operation) on the Property, subject to certain conditions, including that Operator enter into a License Agreement and Conditional Use Permit Agreement with City so as to fully comply with the City's Mineral Excavation, Zoning, and other applicable Ordinances; and WHEREAS, the City's Zoning Ordinance requires that a Conditional Use Permit be issued and that a Conditional Use Permit Agreement for mineral excavation be entered into. NOW, THEREFORE, in consideration of the premises and the mutual promises and conditions hereinafter contained, it is hereby agreed as follows: I.) Exxtirg A=gmpni- Except as otherwise provided herein, this Agreement shall constitute the Conditional Use Permit for the Property and, together with the License Agreement to be executed by City and Operator, shall govern the parties rights, responsibilities, and obligations with respect to the Operation, subject to the compliance by all parties with applicable city ordinances and state and federal. laws. 2.) W=anty of Operator- Operator hereby warrants and represents to the City , as inducement to the City's entering into this agreement, that the Operator has a valid lease for the operation and the fee owner of the subject property shall also enter into this agreement. 3.) _Conditions- The following general conditions shall apply to the Operation: (01) This Conditional Use Permit authorizes Mineral Excavation (gravel) from the Property. (32) All mineral excavation and processing operations on the property shalt comply with the City's mineral excavation, zoning and other applicable ordinances; with the terms of this Conditional Use Permit agreement and the license agreement to be executed by the City and operator; with the City o£Ell- River's Environmental Impact Statement on mineral excavation; and with the application materials and plans submitted by the f•\shrdoc\b&z\stovar\gravcup2.doc Page 3 operator, which plans and materials are the basis for the City's approval of the Conditional Use Permit. (03) The operator shall orally notify the City of any violations of this permit within 24 hours and follow this with notification in writing within 4 working days of the violation. The operator shall notify the City annually in writing of the total area and amount of material mined and projected estimates of area and amount of material to be mined in the following year_ This is to be done at time of license renewal.. (04) The license must be renewed annually and shall run from January I.st through December 3lst. The annual license fee is that which is specified by City Code at time of renewal. This license fee is not in lieu of gravel tax collected by the County and a portion of which the City receives. (Oa) 'violations of this Conditional Use Permit may result in suspension or revocation. (06) The City Building and Zoning Administrator and/or his/her agents shall be permitted to inspect the operation for compliance with the conditions of this permit during normal hours of operation. (0 r7) The City's approval of this Conditional Use Permit is subject to the approval of appropriate permits by other governmental agencies. (08) No explosives shall be allowed for this operation. (09) Reclamation a. Reclamation shall be implemented on an annual basis pursuant to the reclamation plans submitted by the operator. b. Each year a plan for that year's reclamation shall be approved by the Building and Zoning Administrator prior to issuance of the annual mineral excavation license. C. The reclamation shall include top soil from the site being preserved and put back into place after mi-ning. d. The vegetation established for the reclamation must be maintained until it is self sufficient. f..\shrdoclb&z\stover\gravcup2.doc Page 4 346384 e. Contours, finished grades, details of erosion control methods, and settling ponds, shall comply with the plans submitted and the city ordinance at the time of reclamation. g. Each ten (10) acre phase shall be reclaimed prior to work commencing on the next phase, other than areas that must remain part of the mining activity such as haul roads and storage. (10) Trafc a. Except for localized jobs, traffic through Elk River associated with this operation shall be limited to U-S. Highway 10 and 169. Haul trucks shall not be allowed to make right turns onto 2251h Ave. when e.ati.ng the property. (11) Dust, Control a. A permit from IAPCA regarding air emissions shall be obtained when required and particulate emission standards shall be met by the operation. b. All equipment shall be located as to reduce dust to adjacent properties. C. Water, but no chemical agents, shall be used to control dust as necessary. d. The City reserves the might to require additional measures to be taken, if warranted by dust problems, including but not limited to reducing stock pile heights, requiring routine sweeping of US gunk. Highway 169 at its intersection with 225th Ave. and temporarily closing the facility. (12) Flgw"o O eration All mineral excavation, processing, and sales activities shall be conducted between the normal hours of 7:00 a.m. and 7:00 p.m., Monday through Saturday with the following exception: Crushing may take place twenty-four hour a day for a maximum of 25 days per year, provided that this operation does not f \sWoc\b&z\stevcr\gravcup2,doe 346384 Page S (13) unreasonable annoy adjacent property owners. Problems arisin,5 from the extended hours (including, but not limited to, dust, traffic, glares, noise, etc) shall first be directed to Bauerly's for resolution, then to city staff if need be, and finally to the Planning Commission and City Council of the City of Elk - River (with public hearing) to determine if the extended hours shall be revoked. a. The noise from screening and crushing associated with this operation shall be controlled by equipment .location on site, the placement of stock piles, and the type of equipment used. b. Noise levels associated with this operation, shall at no time exceed State standards. c. The City reserves the right to require additional measures be taken, if warranted by noise_ (14) Eauinment Maintenance a. The operator: shall have an approved hazardous waste license and properly dispose of or recycle all waste. b. Only minor incidental repairs shall be allowed on site. (15) l ight ina Lighting from the operation shall be directed away from adjacent residential property. Glare, whether directed or reflected as different from general illumination, shall not be visible beyond the limits of the immediate site. All sources of artificial light shall be so fixed, directed, designed, or sized, that the minimum subtotal of their illumination shalt not increase the level of the illumination on nearby residential property by more than .I foot candles in or within 25 feet of a dwelling, or more than .5 foot candles on any part of the adjacent property. (16) The piling, storing, or keeping of old machinery, junk, debris, or abandoned motor vehicles, shall be prohibited on this site_ i\shrdoc\bdz\stever\gravcup2,doe Page 6 346384 (17) Aining activities shall not cause excessive vibration off site. If excessive vibration becomes an issue, the City reserves the right to take appropriate measures to alleviate the problem_ (18) Groundwater protection measures shall include: a. The operator shall file with the City an emergency spill response plan. The operator shall adhere to this plan in the event there is a spill. b. The operator shall provide the Fire Department with a copy of their flammable or hazardous materials. C. .All fueling equipment must comply with appropriate state and federal regulations. d. All incidences that have the potential to adversely affect groundwater, including but not limited to spills, shall be verbally reported to the City within 24 hours. This verbal notification shall be followed up in writing within 4 working days. e. The addition of a wash plant to this operation shall require an amendment to this permit. £ 14Tining activities shall be a minimum of 3 feet above ground water. g_ The city reserves the night to require the establishment of on site ground water monitoring wells and the monitoring of site wells if warranted by problems arising from the operation. h- The appropriate storm water permits shall be obtained by the operator from INTPCA.. i. On site sanitation facilities shall be provided. j. Wetlands on the site shall not be adversely affected - Mining activities shall not be allowed within one hundred (100) feet of the ordinary high water mark of wetlands on or adjacent to the property. The city may impose additional restrictions to the operation if warranted by conflicts with wetlands and shall order restoration. f.\shrdoc\h&z\stovor\gr:vcup?.doe Page 7 (19) Fencing and signs [every icy (50) feet] warning of the inherent dangers associated with the operation shall be installed and maintained where slopes exceed 1:1.5. (20) To prevent oak wilt, tree removal necessitated by the operation shall not be conducted between April 15 and July 15 and oaf: stumps shall be grubbed out prior to April 15. Mechanical damage to trees not being removed shall be avoided. (21) Six (6) foot high berms and two rows of four (4) foot high spruce with ten (10) foot spacing shall be erected adjacent to the entire length of 2205t'� Ave. during the first year of operation in phase two, as identified in the attached plans. (22) The operator is responsible for cost of materials and Labor for the installation of five inches of class-V and three inches bituminous on 225� Avenue from the pit access to US Trunk Highway 1.69. Further, a mineral excavation license shall not be issued for this operation in 1999, if the above mentioned improvements to 225th avenue are not completed by November of 1998. 4.) General_Pmv signs- (01) Permits- Operator agrees to comply with all of the provisions hereof and agrees to save and hold the City harmless from any and all claims or actions arising from the operations of the Operator on the Property- (02) Binding Effert- The terms and provisions hereof shall be binding upon, and inure to the benefit of the heirs, representatives , successors, and assigns of the parties hereto and shall be binding upon all future owners of all or any part of the Operation and shall be deemed covenants running with the land. This Agreement shall be placed of record so as to give notice hereof to subsequent purchasers and encumbrances of all or any part of the Property, and all recording fees, if any, shall be paid by the Operator. (03) Severable- In the event that any portion of this Agreement shall be held invalid for any reason, the same shall not affect in any respect whatsoever the validity of the remainder of this Agreement. (04) Waiver- Any waiver, whether express or implied, by any party of a breach of any provision of this Agreement will not operate as or be construed to be a waiver of any subsequent breach of this Agreement. f•\shrdoclb8 z\stovor\grsvcup2.doc Page 8 34G384 (05) Notices- All notices and demands specified herein shall be deemed appropriately and timely given when delivered personally or deposited in the United States mail to the addresses hereinafter set forth by certified mail (return receipt requested). The addresses of the parties hereto are as follows until changed by written notice given as above: If to the City at: City of Elk River ATTN-. Building and Zoning Administrator 13065 Orono Parkway P.O. Box 490 Elk River, I2innesota 55330-0490 If to the Operator at: Bauerly Bros., Inc. Attn: Laurie Seifert-ICssner 4787 Highway 23 N. E. Sauk Rapids, Minnesota 56379 (06) Incorporation by Reference- All plans, special provisions, proposals and specifications, submitted pursuant to this Agreement shall be and hereby are made a part of this Agreement by reference as :may as if set forth herein in full. IN WITNESS WI3EREOF, the City and Operator have caused this Agreement to be duly executed on the day and year first above written. CITY OF ELK RIMER FEE OWNER (S) OF PROPERTY: LEI Im OPERATOR: BAUERLY BROS., INC. sr: By: By: , ,��� s:\b&z\stever\%ravcup2.doc Page 9 346384 STATE OF MINNESOTA SS. COUNTY OF SHERBURNE The foregoing instrument was acknowledged before me this -&L day of , e &.h a 1997, by Henze A. Duitsman, the Mayor of THE CITY OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. Notw-y Public STATE OF MINNESOTA SS. COUNTY OF SHERBURNE t foregoing instrument was acknowledged before me this�3 day of I997, by Patrick D. Maers, the City Administrator of tflE CITY OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. .�- - - Et> All rrl-v STATE OF lti: `ESCsTA ss. COUNTY OF PXc 4otaryv Public + The foregoing instrument was acknowledged before me this day of � _ , 1997, by &m_ld ,j...��C the �of Bauerly Bros., Inc., a Minnesota corporation, on ehalf of the corporation. VIP or No!tary �. iltiirl Public i s-\b&z\stever\gravcup2.doc Paga 10 STATE OF MINNESOTA ss. COUNTY OF SHERBURNE 34C-384 The foregoing instrument was acknowledged before me this day of 1997, by L-1644- b. t crut the _ of Bauer& Bros., Inc., a Minnesota corporation, on behalf of the corporation. Notary Public STATE OF MINNESOTA ss. COUNTY OF e. The foregoing instrument was acknowledged before me this day of 1997, by the fee owner of the subject property. GLORIA I EKHOW NOTARY PUBLIC MINNESOTA MY =Z= D?R:S 0*3f2000 Notary Public STATE OF 1VIINNESOTA ss. COUNTY OF�e.,Aiate- The foregoing instrument. :vas acImowled�en -9r� one this day of 1997, by l` �', the fee owner of subject property. "'NOTARY PUBL, ONES wf augm ENO Wes& This instrument was drafted by: NIJtary Public City of Elk. River Building and Zoning Department 13065 Orono Parkway PO Box 490 Ells. River, MN 55330 s:\b&z\staver\gravcup2.doc STATE OF MINNESOTA COUNTY OF SHERBURNE CITY OF ELK RIVER In the matter of: I<aiife River Doc. No. 697417 Certified filed and/or recorded on 07-24-2009 at 09:03 i h le Ashe, County Recorder CU b �1 �( Deputy Fee: $ 46,00 11111111111111111 697417 CITY OF ELK RIVER CITY COUNCIL CONDITIONAL USE PROCEEDINGS Request: Conditional Use Permit to Amend Conditional Use Permit 97-02 Case No. CU 09-14 ORDER GRANTING CONDITIONAL USE Richard Toth -Trustee, Owner The above entitled matter came to be heard before the City Council on the 15th day of June, 2009, on a petition for a Conditional Use pursuant to the City of Elk River Zoning Ordinance, for the following described property: See Attached Agreement for Issuance of Amended Conditional Use Permit No. 97-02 for Mineral Excavation IT IS ORDERED that a Conditional Use be granted as upon the following conditions or reasons: See Attached Agreement for Issuance of Amended Conditional Use Permit No. 97-02 for Mineral Excavation DATED this 15th day of June, 2009. STATE OF MINNESOTA ) COUNTY OF SHERBURNE) ss. CITY OF ELK RIVER OFFICE OF CITY PLANNING AND ZONING ELK RIVER I, Jeremy Barnhart, Planning Manager for the City of Elk River with and in for said City, do hereby certify that I have compared the foregoing copy and Order granting a Conditional Use with the original record thereof preserved in my office, and have found the same to be a true transcript of the whole thereof. If the proposed work described in a conditional use permit has not been substantially completed within two (2) years after its date of issuance, the permit shall expire and become void except that the Council may, following recommendations of the Planning Commission, extend the permit for an additional period determined by the council on the receipt of a request for a permit extension prior to its expiration. A Conditional Use permit authorizes only the use specified in the permit and shall expire if, for any reason, the authorized use ceases for more than one (1) year. J emy B ihart Planning Manager IN TESTIMONY WHEREOF, I have hereunto subscribed my hand at Elk River, Minnesota, in the County of Sherburne, in the City of Elk River, on the day of Jbdcl .)2009. F V-1 � City of Elk River Elk River, Minnesota 55330 Signed before me a NOTARY PUBLIC -I!- / this ' day of c/ fR �� , 2009. DEBORAH KAY HUEBNER NOTARY PUBLIC - MINNESOTA My Commission Expires Jan. 31, 2010 sAplanning main\case files\cup\cu 09-14 knife river\recording doc.doc CITY OF ELK RIVER AGREEMENT FOR ISSUANCE OF AMENDED CONDITIONAL USE PERMIT NO. 97-02 FOR MINERAL EXCAVATION This Conditional Use Permit No. 97-02 was approved by the City Council of the City of Elk River on June 23, 1997, and amended by the City of Elk River on December 13, 2005, September 18, 2006 and this-Z�Zday of , 2009, by and between the CITY OF ELK RIVER, a municipal corporation organized under the laws of the State of Minnesota (City), and Knife River, a Minnesota corporation, hereinafter referred to as (Operator); WITNESSETH: WHEREAS, Operator has made application to City for approval of a conditional use permit to operate a gravel mining operation within the City on property legally described as follows: The west half of the southeast quarter (W % of SE 1/), east % of the southeast 1/ of the southeast 1/ (E %2 of SE 1/ of SE 1/), all in Section 3, Township 33, Range 26, Sherburne County, Minnesota. And the west half of the south half of the southwest quarter (W Y2 of S Y2 of SW 1/), Section 2, Township 33, Range 26, Sherburne County, Minnesota. (the Property); and WHEREAS, the City of Elk River Planning Commission and City Council have held hearings on Operator's request for a conditional use permit, at which hearings all citizens of the City of Elk River and other interested parties have had the opportunity to be heard on the application; and WHEREAS, the City Council by motion adopted, on this 15th day of June, 2009 an amended conditional use permit for the operation of a gravel mining operation (the Operation) on the Property, subject to certain conditions, including that Operator enter into a conditional use permit Page 2 agreement with City so as to fully comply with the City's Mineral Excavation, Zoning, and other applicable ordinances; and WHEREAS, the City's Zoning Ordinance requires that a conditional use permit be issued and that a conditional use permit agreement for mineral excavation be entered into. NOW, THEREFORE, in consideration of the premises and the mutual promises and conditions hereinafter contained, it is hereby agreed as follows: 1.) Entire Agreement - Except as otherwise provided herein, this Agreement shall constitute the Conditional Use Permit for the Property and, to be executed by City and Operator, shall govern the parties' rights, responsibilities, and obligations with respect to the operation, subject to the compliance by all parties with applicable city ordinances and state and federal laws. 2.) Warranty of Operator- Operator hereby warrants and represents to the City, as inducement to the City's entering into this agreement, that the Operator is the fee owner of the subject property or has a valid lease for the operation and the fee owner of the subject property shall also enter into this agreement. 3.) Conditions- The following general conditions shall apply to the Operation: (01) This Conditional Use Permit authorizes mineral excavation (gravel) from the Property and the operation of a washing plant. The operation of hot -mix asphalt plant is also authorized.as long as annually 25% of asphalt product is derived from the on -site gravel operation and is conducted no later than 2021. (02) All mineral excavation and processing operations on the property shall comply with the City's Mineral Excavation, Zoning and other applicable ordinances; with the terms of this Conditional Use Permit agreement and the license agreement to be executed by the City and Operator; with the City of Elk River's Environmental Impact Statement on Mineral Excavation; and with the application materials and plans submitted by the Operator, which plans and materials are the basis for the City's approval of the Conditional Use Permit. (03) The Operator shall orally notify the City of any violations of this permit within 24 hours and follow this with notification in writing within four (4) working days of the violation. The Operator shall notify the City annually in writing of the total c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Page 3 area and amount of material mined and projected estimates of area and amount of material to be mined in the following year. This is to be done at time of license renewal. (04) The license shall be renewed annually and shall run from June 1st through May 31st. The annual license fee is that which is specified by the Elk River City Council at time of renewal. This license fee is not in lieu of gravel tax collected by the County, a portion of which the City receives. (05) Violations of this Conditional Use Permit may result in suspension or revocation. (06) The City Environmental Administrator and/or his/her agents shall be permitted to inspect the Operation for compliance with the conditions of this permit during normal hours of operation. (07) The City's approval of this Conditional Use Permit is subject to the approval of appropriate permits by other governmental agencies. (08) No explosives shall be allowed for this operation. (09) Reclamation a. Reclamation shall be implemented on an annual basis pursuant to the reclamation plans submitted by the Operator. b. Each year a plan for that year's reclamation shall be approved by the Environmental Administrator prior to issuance of the annual mineral excavation license. C. The reclamation shall include topsoil from the site being preserved and put back into place after mining. d. Revegetation of the property shall include seeding with a mixture approved by city staff accompanied by a nurse crop or approved mulch. The vegetation established for the reclamation must be maintained until it is self sufficient. e. Contours, finished grades, details of erosion control methods, and settling ponds, shall comply with the plans submitted and the City ordinance at the time of c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet files\olk87e4\gravcup-amend knife river (2).doc Page 4 reclamation. Additional measure as determined by city staff may be required. (10) Traffic a. Except for localized jobs, traffic through Elk River associated with the Operation shall be limited to U.S. Highway 10 and 169. The Operator will route traffic from the Operation to 225th Ave NW west to Highway 169 interchange as directed by the Minnesota Department of Transportation or the City of Elk River. b. The number of trucks per day is limited to 35 unless prior approval is given by the Environmental Administrator for special cases. C. As deemed necessary by the Minnesota Department of Transportation and the City of Elk River, any required improvements to the highway intersection must be constructed prior to the operation of the HMA. d. As deemed necessary by the City of Elk River, any required improvements to 225th Ave NW must be constructed prior to the operation of the HMA (11) Dust Control a. A permit from MPCA regarding air emissions shall be obtained when required and particulate emission standards shall be met by the Operation. This permit and all other correspondence between the Operator and MPCA shall be copied to the City. b. All equipment shall be located as to reduce dust to adjacent properties. C. A water truck shall be on site at all times when mining activities are taking place to control dust as necessary. Chemicals shall not be use for dust control. d. A minimum of 100 feet must be paved from 225th Ave NW into the pit. e. The City reserves the right to require additional measures to be taken, if warranted by dust problems, including but not limited to reducing stock pile heights. c-\users\dhuebner\appdata\local\microsoft\windows\temporary internet files\olk87e4\gravcup-amend knife river (2).doc Page 5 (12) Hours of Operation All mineral excavation, processing, and sales activities shall be conducted between the normal hours of 7:00 a.m. and 7:00 p.m., Monday through Saturday, except the hours for the hot -mix asphalt plant can be extended by the Environmental Administrator for special cases. (13) Noise a. As deemed necessary by city staff, noise from screening and crushing associated with this Operation shall be controlled by equipment location on site, the erection of sound barriers, the placement of stockpiles, and the type of equipment used. b. Noise levels associated with this Operation shall at no time exceed State standards. C. The City reserves the right to require additional measures be taken, if warranted by noise. (14) Air Emissions a. The MPCA air emission permits for all equipment associated with the mining and hot -mix asphalt operations shall remain current. b. A maximum of 20% opacity is allowed for emissions from the hot -mix asphalt plant. (15) Lighting Lighting from the Operation shall be directed away from adjacent residential property. Glare, whether directed or reflected as different from general illumination, shall not be visible beyond the limits of the immediate site. All sources of artificial light shall be so fixed, directed, designed, or sized that the minimum subtotal of their illumination shall not increase the level of the illumination on nearby residential property by more than .1 foot candles in or within twenty-five (25) feet of a dwelling, or more than 0.5 foot candles on any part of the adjacent property. c=\users\dhuebner\appdata\local\microsoft\windows\temporary internet files\olk87e4\gravcup-amend knife river (2).doc Page 6 (16) The piling, storing, or keeping of old machinery, junk, debris, or abandoned motor vehicles, shall be prohibited on this site, with the exception that reusable parts may be stored on the mineral excavation site provided that it is in a location that cannot be viewed from adjacent properties or is totally screened. (17) Mining activities shall not cause excessive vibration off site. If excessive vibration becomes an issue, the City reserves the right to take appropriate measures to alleviate the problem. (18) Groundwater protection measures shall include: a. The Operator shall file with the City an Emergency Spill Prevention and Counter Control Plan and a Storm Water Pollution Prevention Plan as may be required by other governmental entities. The Operator shall adhere to these plans in the event there is a spill. b. The Operator shall provide the Fire Department with a copy of their flammable or hazardous materials. C. Fuel tanks shall be above ground, properly diked (if required by law), and registered with MPCA. d. All incidences that have the potential to adversely affect groundwater, including but not limited to spills, shall be verbally reported to the City within 24 hours. This verbal notification shall be followed up in writing within four (4) working days. e. The appropriate storm water permits (NPDES) shall be obtained by the Operator from MPCA and copied to the City. f. Stockpiles of recycled asphalt must not be placed in surface water and run-off from these stockpiles shall be directed away from surface waters. Further, the size of the stock piles is limited to the amount of material that can be used in one year, but need not necessarily be used in one year and can be stored over winter. g. That the hot -mix asphalt operations take place a minimum of three (3) feet above the water table. Any deviation to this requirement will require an amendment to this permit. c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Page 7 h. The wells located at the site shall be monitored once a year for diesel range organics (DRO). Mining activities shall not take place closer to ground water levels than indicated in the plans submitted without amending this conditional use permit; however, if mining is proposed to occur below the water table in the future, the above referenced wells shall be monitored for DRO prior to excavation activities commencing and after their cessation each year. Further, in the event of a spill, appropriate water tests (as determined by the city) will be taken until the spill is deemed clean by the city. i. Except for minor repairs, maintenance of vehicles and equipment shall take place in the Operator's shop. The Operator shall have an approved hazardous waste license for this facility and properly dispose of all waste. j. A minimum of a two -celled system to recycle water from the wash operation shall be utilized. k. Water usage by mining activities shall not adversely affect adjacent wells. Mitigative measures may include, but are not limited to, curtailing of pumping activities until water levels return. (19) Signage Signage for the operation shall be that which is permitted for an industrial operation in a medium industrial zone, with the exception that billboards are not allowed. (20) Odor Odor from the hot -mix operation must be controlled. The City recognizes that from time to time odor emissions from the hot - mix asphalt operation will occur, however, if weather conditions make odor noticeable, the operator shall take measures to reduce odor. If odor problems can not be resolved by the Operator within 24 hours, the City reserves the right to take appropriate measures to alleviate the problem, including temporary cessation of operations. (21) Fencing The Operator shall fence the entire perimeter of the site with a four (4) foot high fence with support post every ten (10) feet. c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet files\o1k87e4\gravcup-amend knife river (2).doc Page 8 (22) Oakwilt Cutting of trees between April 15 and July 15 is prohibited. The Operator shall take other measures deemed appropriate by the Sherburne County Forester to control oakwilt, such as, but not limited to: debarking or destroying fallen diseased trees prior to April 15th, not leaving roots exposed and avoiding mechanical damage on remaining trees. (23) Berming The Operator shall erect berms adjacent to 225th Ave NW as required by the City of Elk River. (24) Other Permits The Operator shall obtain all state and federal permits appropriate to their operation and file copies of said permits with the City. (25) Gravel wash operations a. Identify and/or confirm the location of nearby groundwater wells (groundwater receptors) and surface water receptors on and immediately surrounding the mining and gravel washing operation and document their proximity to the washing operations on a map. b. Install a water table monitoring well or wells at the site and generally between the washing operation and the nearby groundwater receptor(s). Survey the monitoring well(s) for horizontal and vertical control and identify their location on a site map. c. Measure and record water elevations at the monitoring well(s) within approximately one week of initiating pumping of water from the dug pit for washing, mid -way during washing and within one week upon cessation of washing operations. d. Conduct water quality testing of samples collected from monitoring well(s) for diesel range organics (DRO), BETX, pH (field), temperature (field) and specific conductance (field) prior to and at the cessation of washing operations on an annual basis. c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Page 9 e. In the event of a spill, washing operations should be terminated until such time that the extent and potential impact from the spill can be determined through testing as determined necessary by the City. 4.) General Provisions- (01) Permits- Operator agrees to comply with all of the provisions hereof and agrees to save and hold the City harmless from any and all claims or actions arising from the operations of the Operator on the Property. (02) Binding Effect- The terms and provisions hereof shall be binding upon, and inure to the benefit of the heirs, representatives, successors, and assigns of the parties hereto and shall be binding upon all future owners of all or any part of the Operation and shall be deemed covenants running with the land. This Agreement shall be placed of record so as to give notice hereof to subsequent purchasers and encumbrances of all or any part of the Property, and all recording fees, if any, shall be paid by the Operator. (03) Severable- In the event that any portion of this Agreement shall be held invalid for any reason, the same shall not affect in any respect whatsoever the validity of the remainder of this Agreement. (04) Waiver- Any waiver, whether express or implied, by any party of a breach of any provision of this Agreement will not operate as or be construed to be a waiver of any subsequent breach of this Agreement. (05) Notices- All notices and demands specified herein shall be deemed appropriately and timely given when delivered personally or deposited in the United States mail to the addresses hereinafter set forth by certified mail (return receipt requested). The addresses of the parties hereto are as follows until changed by written notice given as above: If to the City at: City of Elk River ATTN: Environmental Adm. 13065 Orono Parkway Elk River, Minnesota 55330 If to the Operator at: Knife River ATTN: Holly Brisk 4787 Shadow Wood Dr NE Sauk Rapids, Minnesota 56379 c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Page 10 (06) Incorporation by Reference- All plans, special provisions, proposals and specifications, submitted pursuant to this Agreement shall be and hereby are made a part of this Agreement by reference as fully as if set forth herein in full. c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet files\&H7e4\gravcup-amend knife river (2).doc Page 11 IN WITNESS WHEREOF, the City and Operator have caused this Agreement to be duly executed on the day and year first above written. CITY OF ELK RIVER By. ham,�l,r. U°w tin Its: ayor / By: Its: City Administrator STATE OF MINNESOTA ss. COUNTY OF SHERBURNE OPERATOR/FEE OWNER: Knife River 1 By: din Its:1AVdoTjq, A6 j [N[\Qq �r- T foregoing instrument was acknowledged before me this 1,!Aay of 2009, by Stephanie A. Klinzing, the Mayor of THE CI OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. Notary Public 11 ��yilrrrrr�- 1�i- - � r_ rr rrrrri. c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Page 12 STATE OF MINNESOTA ss. COUNTY OF SHERBURNE The foregoing instrument was acknowledged before me this /stay of zL2 , 2009, by Lori Johnson, the City Administrator of THE C6Y OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. Notary Public STATE OF MINNESOTA ss. COUNTY OF The foregoing instrument was acknowledged before me this C0'Nay off\A , 2009, by (�=��C�`� �eL , the �ocv�rc,�te.�,,aeR.of Knife River a Minnesota corporation, on behalf of the corporation, fee owner of a portion of the subject property and Operator on the subject property. � 1 .14ol7i Ann Brisk tY PUBLIC KJ'V'*1rJ%.V`)1.'V1 1MINNESOTA ,.,,ow3s, . .a Expires 1-31-2fl13� .L This instrument was drafted by Notary Public City of Elk River Environmental Dept. 13065 Orono Parkway Elk River, MN 55330 c:\users\dhuebner\appdata\local\microsoft\windows\temporary internet fi1es\o1k87e4\gravcup-amend knife river (2).doc Nd 6E:6ZZ 600Z/6Z/b'6mp-deN uoile:)ol\jania @I!UN bi-60 nD\dnD\saI!J as2D\9NINNVld\:S LU W LL- AlMW O MP -4411w— W-J U >M Wg i Z s M � rcu/f fC MA State Highway A4 �a— AW. IA-Y 70 00 70 10 0 950 " IA Ow r 9ro PRIEW 4, Mot cj -4tL 70 fly! f 44 9901-7 4 co Office of the County Recorder Sherburne County, MN Doc. No. 895014 Certified, filed, and or recorded on July 2, 2020 10:30 AM Michelle Ashe, County Recorder By SD Deputy Fees: $46.00 111111111111111111111111111 895014 CITY OF ELK RIVER SHERBURNE COUNTY CONDITIONAL USE PERMIT Case No. CU 20-10 Permit. Subject to the terms and conditions set forth herein, the City of Elk River hereby grants a conditional use permit ("Permit' requested by Knife River Corporation — North Central for the following use: Conditional Use Permit for Mineral Extraction Operations at 11602 225th Avenue NW Property. The Permit is for the following described property ("Subject Property' in the City of Elk River, Sherburne County, Minnesota: cc That part of the East Half of the Southwest Quarter (E 1/2 SW '/4) lying East of US Highway 169 in m Section Three (3), Township Thirty-three (33), Range Twenty-six (26), Sherburne County, Q Minnesota, less and except that part of the Northeast Quarter of the Southwest Quarter (NE'/4 SW '/4) of Section Three (3), Township Thirty-three (33), Range Twenty-six (26), East of the Highway No.169 and North of the center line of township road, according to the United States Government Survey thereof and situate in Sherburne County, Minnesota. Owner. Owner of the Subject Property at time of the approval of the Permit: Knife River Corporation -North Central Conditions. The Permit is issued subject to the following conditions: 1. Installation of a cattle grid device at the entrance/exit. 2. Staff approval of a maintenance agreement addressing street sweeping and concerns with maintenance of the public street. 3. Maintain yearly gravel mining license. 4. Follow all conditions of approval outlined in CU 09-14 and CU 97-02. Termination of Permit. The Permit shall remain in effect only for so long as the conditions set for the herein are complied with. The City may revoke the Permit following a public hearing for violation of the terms and/or conditions set forth in the Permit. Lapse. If within two (2) years of the issuance of the Permit the proposed work described in a conditional use permit has not been substantially completed, the permit shall expire and become void, except that the council may, following recommendation of the planning commission, extend the permit for an additional period determined by the council on the receipt of a request for a permit extension prior to its expiration. A conditional use permit authorizes only the use specified in the permit and shall expire if, for any reason, the authorized use ceases for more than six (6) months. Criminal Penalty. Both the owner and any occupant of the Subject Property are responsible for compliance with the permit. Violation of the terms of the Permit is a criminal misdemeanor. Recording. The Permit shall be recorded against the title to Subject Property. Dated: May 18, 2020 By: By: STATE OF MINNESOTA ) ) ss. COUNTY OF SHERBURNE ) OF ELK RIVER City Clerk The foregoing instrument was acknowledged before me this IS4-c�day of , 2020, by John J. Dietz and Tina Allard, respectively, the Mayor and City Clerk of the City of Elk River, a Minnesota municipal corporation, on behalf of the corporation and pursuant to the authority granted by the City Council. � LI 1-611 Ob-- DRAFTED BY: No P lic City of Elk River 13065 Orono Parkway JESSICA M. MILLER Elk River, MN 55330 NOTARY PUBLIC - MINNESOTA 763-635-1032 My Commission Expires Jan. 31, 2022 CITY OF ELK RIVER AGREEMENT FOR ISSUANCE OF AMENDED CONDITIONAL USE PERMIT NO. 97-02 FOR MINERAL EXCAVATION This Conditional Use Permit No. 97-02 was approved by the City Council of the City of Elk River on June 23; 1997, and amended by the City of Elk River on December 13, 2005, September 18, 2006, June 15, 2009, and this 1st day of June, 2020, by and between the CITY OF ELK RIVER, a municipal corporation organized under the laws of the State of Minnesota (City), and Knife River, a Minnesota corporation, hereinafter referred to as (Operator); WITNESSETH: WHEREAS, Operator has made application to City for approval of a conditional use permit to operate a gravel mining operation within the City on property legally described as follows: The west half of the southeast quarter (W 1/2 of SE 1/ ), east 1/2 of the southeast 1/ of the southeast 1/ (E %2 of SE 1/ of SE 1/), all in Section 3, Township 33, Range 26, Sherburne County, Minnesota. And the west half of the south half of the southwest quarter (W %2 of S Y2 of SW 1/), Section 2, Township 33, Range 26, Sherburne County, Minnesota. (the Property); and WHEREAS, the City of Elk River Planning Commission and City Council have held hearings on Operator's request for a conditional use permit, at which hearings all citizens of the City of Elk River and other interested parties have had the opportunity to be heard on the application; and WHEREAS, the City Council by motion adopted, on this 1st day of June, 2020 an amended conditional use permit for the operation of a gravel mining operation (the Operation) on the Property, subject to certain conditions, including that Operator enter into a conditional use permit agreement with City so as to fully comply with the City's Mineral Excavation, Zoning, and other applicable ordinances; and Page 2 WHEREAS, the City's Zoning Ordinance requires that a conditional use permit be issued and that a conditional use permit agreement for mineral excavation be entered into. NOW, THEREFORE, in consideration of the premises and the mutual promises and conditions hereinafter contained, it is hereby agreed as follows: 1.) Entire Agreement - Except as otherwise provided herein, this Agreement shall constitute the Conditional Use Permit for the Property and, to be executed by City and Operator, shall govern the parties' rights, responsibilities, and obligations with respect to the operation, subject to the compliance by all parties with applicable city ordinances and state and federal laws. 2.) Warranty of Operator- Operator hereby warrants and represents to the City, as inducement to the City's entering into this agreement, that the Operator is the fee owner of the subject property or has a valid lease for the operation and the fee owner of the subject property shall also enter into this agreement. 3.) Conditions- The following general conditions shall apply to the Operation: (01) This Conditional Use Permit authorizes mineral excavation (gravel) from the Property and the operation of a washing plant. The operation of hot -mix asphalt plant is also authorized as long as annually 25% of asphalt product is derived from the on -site gravel operation and is conducted no later than 2021. (02) All mineral excavation and processing operations on the property shall comply with the City's Mineral Excavation, Zoning and other applicable ordinances; with the terms of this Conditional Use Permit agreement and the license agreement to be executed by the City and Operator; with the City of Elk River's Environmental Impact Statement on Mineral Excavation; and with the application materials and plans submitted by the Operator, which plans and materials are the basis for the City's approval of the Conditional Use Permit. (03) The Operator shall orally notify the City of any violations of this permit within 24 hours and follow this with notification in writing within four (4) working days of the violation. The Operator shall notify the City annually in writing of the total area and amount of material mined and projected estimates of area and amount of Page 3 material to be mined in the following year. This is to be done at time of license renewal. (04) The license shall be renewed annually and shall run from July 1st through June 30th. The annual license fee is that which is specified by the Elk River City Council at time of renewal. This license fee is not in lieu of gravel tax collected by the County, a portion of which the City receives. (05) Violations of this Conditional Use Permit may result in suspension or revocation. (06) The City Environmental Administrator and/or his/her agents shall be permitted to inspect the Operation for compliance with the conditions of this permit during normal hours of operation. (07) The City's approval of this Conditional Use Permit is subject to the approval of appropriate permits by other governmental agencies. (08) No explosives shall be allowed for this operation. (09) Reclamation a. Reclamation shall be implemented on an annual basis pursuant to the reclamation plans submitted by the Operator. b. Each year a plan for that year's reclamation shall be approved by the Environmental Administrator prior to issuance of the annual mineral excavation license. C. The reclamation shall include topsoil from the site being preserved and put back into place after mining. d. Revegetation of the property shall include seeding with a mixture approved by city staff accompanied by a nurse crop or approved mulch. The vegetation established for the reclamation must be maintained until it is self-sufficient. e. Contours, finished grades, details of erosion control methods, and settling ponds, shall comply with the plans submitted and the City ordinance at the time of reclamation. Additional measure as determined by city staff may be required. Page 4 (10) Traffic a. Except for localized jobs, traffic through Elk River associated with the Operation shall be limited to U.S. Highway 10 and 169. The Operator will route traffic from the Operation to 225th Ave NW west to Highway 169 interchange as directed by the Minnesota Department of Transportation or the City of Elk River. b. The number of trucks per day is limited to 35 unless prior approval is given by the Environmental Administrator for special cases. C. As deemed necessary by the Minnesota Department of Transportation and the City of Elk River, any required improvements to the highway intersection must be constructed prior to the operation of the HMA. d. As deemed necessary by the City of Elk River, any required improvements to 225th Ave NW must be constructed prior to the operation of the HMA. e. Placement of signs notifying traffic of trucks hauling is required as needed. Trucks entering and exiting the plant must be aware of traffic on roadway and yield to traffic on 225th Ave NW. Number of trucks may be limited further if traffic concerns become an issue. f. All loads must be covered prior to entering any public right- of-way. (11) Dust Control a. A permit from MPCA regarding air emissions shall be obtained when required and particulate emission standards shall be met by the Operation. This permit and all other correspondence between the Operator and MPCA shall be copied to the City. b. All equipment shall be located as to reduce dust to adjacent properties. C. A water truck shall be on site at all times when mining activities are taking place to control dust as necessary. Page 5 Daily dust control is required when site is in use. This requirement is the responsibility of the mine operator and includes a requirement to notify all contractors working at the site. Chemicals shall not be use for dust control. d. A minimum of 100 feet must be paved from 225th Ave NW into the pit. e. The City reserves the right to require additional measures to be taken, if warranted by dust problems, including but not limited to reducing stock pile heights. f. Installation of a cattle grid device at the entrance/exit is required to prevent tracking into 225th Ave NW. g. Annual approval of a maintenance agreement is required, which will address street sweeping and ongoing maintenance concerns. (12) Hours of Operation All mineral excavation, processing, and sales activities shall be conducted between the normal hours of 7:00 a.m. and 7:00 p.m., Monday through Saturday, except the hours for the hot -mix asphalt plant can be extended by the Environmental Administrator for special cases. (13) Noise a. As deemed necessary by city staff, noise from screening and crushing associated with this Operation shall be controlled by equipment location on site, the erection of sound barriers, the placement of stockpiles, and the type of equipment used. b. Noise levels associated with this Operation shall at no time exceed State standards. C. The City reserves the right to require additional measures be taken, if warranted by noise. Page 6 (14) Air Emissions a. The MPCA air emission permits for all equipment associated with the mining and hot -mix asphalt operations shall remain current. b. A maximum of 20% opacity is allowed for emissions from the hot -mix asphalt plant. (15) Lighting Lighting from the Operation shall be directed away from adjacent residential property. Glare, whether directed or reflected as different from general illumination, shall not be visible beyond the limits of the immediate site. All sources of artificial light shall be so fixed, directed, designed, or sized that the minimum subtotal of their illumination shall not increase the level of the illumination on nearby residential property by more than .1 foot candles in or within twenty-five (25) feet of a dwelling, or more than 0.5 foot candles on any part of the adjacent property. (16) The piling, storing, or keeping of old machinery, junk, debris, or abandoned motor vehicles, shall be prohibited on this site, with the exception that reusable parts may be stored on the mineral excavation site provided that it is in a location that cannot be viewed from adjacent properties or is totally screened. (17) Mining activities shall not cause excessive vibration off site. If excessive vibration becomes an issue, the City reserves the right to take appropriate measures to alleviate the problem. (18) Groundwater protection measures shall include: a. The Operator shall file with the City an Emergency Spill Prevention and Counter Control Plan and a Storm Water Pollution Prevention Plan as may be required by other governmental entities. The Operator shall adhere to these plans in the event there is a spill. b. The Operator shall provide the Fire Department with a copy of their flammable or hazardous materials. C. Fuel tanks shall be above ground, properly diked (if required by law), and registered with MPCA. Page 7 d. All incidences that have the potential to adversely affect groundwater, including but not limited to spills, shall be verbally reported to the City within 24 hours. This verbal notification shall be followed up in writing within four (4) working days. e. The appropriate storm water permits (NPDES) shall be obtained by the Operator from MPCA and copied to the City. f. Stockpiles of recycled asphalt must not be placed in surface water and run-off from these stockpiles shall be directed away from surface waters. Further, the size of the stock piles is limited to the amount of material that can be used in one year, but need not necessarily be used in one year and can be stored over winter. g. That the hot -mix asphalt operations take place a minimum of three (3) feet above the water table. Any_deviation to this requirement will require an amendment to this permit. h. The wells located at the site shall be monitored once a year for diesel range organics (DRO). Mining activities shall not take place closer to ground water levels than indicated in the plans submitted without amending this conditional use permit; however, if mining is proposed to occur below the water table in the future, the above referenced wells shall be monitored for DRO prior to excavation activities commencing and after their cessation each year. Further, in the event of a spill, appropriate water tests (as determined by the city) will be taken until the spill is deemed clean by the city. i. Except for minor repairs, maintenance of vehicles and equipment shall take place in the Operator's shop. The Operator shall have an approved hazardous waste license for this facility and properly dispose of all waste. j. A minimum of a two -celled system to recycle water from the wash operation shall be utilized. k. Water usage by mining activities shall not adversely affect adjacent wells. Mitigative measures may include, but are Page 8 not limited to, curtailing of pumping activities until water levels return. (19) Si rage Signage for the operation shall be that which is permitted for an industrial operation in a medium industrial zone, with the exception that billboards are not allowed. (20) Odor Odor from the hot -mix operation must be controlled. The City recognizes that from time to time odor emissions from the hot -mix asphalt operation will occur, however, if weather conditions make odor noticeable, the operator shall take measures to reduce odor. If odor problems can not be resolved by the Operator within 24 hours, the City reserves the right to take appropriate measures to alleviate the problem, including temporary cessation of operations. (21) Fencing The Operator shall fence the entire perimeter of the site with a four (4) foot high fence with support post every ten (10) feet. (22) Oakwilt Cutting of trees between April 15 and July 15 is prohibited. The Operator shall take other measures deemed appropriate by the Sherburne County Forester to control oakwilt, such as, but not limited to: debarking or destroying fallen diseased trees prior to April 15th, not leaving roots exposed and avoiding mechanical damage on remaining trees. (23) Bermina The Operator shall erect berms adjacent to 2251h Ave NW as required by the City of Elk River. (24) Other Permits The Operator shall obtain all state and federal permits appropriate to their operation and file copies of said permits with the City. Page 9 (25) Gravel wash operations a. Identify and/or confirm the location of nearby groundwater wells (groundwater receptors) and surface water receptors on and immediately surrounding the mining and gravel washing operation and document their proximity to the washing operations on a map. b. Install a water table monitoring well or wells at the site and generally between the washing operation and the nearby groundwater receptor(s). Survey the monitoring well(s) for horizontal and vertical control and identify their location on a site map. c. Measure and record water elevations at the monitoring well(s) within approximately one week of initiating pumping of water from the dug pit for washing, mid -way during washing and within one week upon cessation of washing operations. d. Conduct water quality testing of samples collected from monitoring well(s) for diesel range organics (DRO), BETX, pH (field), temperature (field) and specific conductance (field) prior to and at the cessation of washing operations on an annual basis. e. In the event of a spill, washing operations should be terminated until such time that the extent and potential impact from the spill can be determined through testing as determined necessary by the City. 4.) General Provisions- (01) Permits- Operator agrees to comply with all of the provisions hereof and agrees to save and hold the City harmless from any and all claims or actions arising from the operations of the Operator on the Property. (02) Binding Effect- The terms and provisions hereof shall be binding upon, and inure to the benefit of the heirs, representatives, successors, and assigns of the parties hereto and shall be binding upon all future owners of all or any part of the Operation and shall be deemed covenants running with the land. This Agreement shall be placed of record so as to give notice hereof to subsequent purchasers and encumbrances of all or any part of the Property, and all recording fees, if any, shall be paid by the Operator. Page 10 (03) Severable- In the event that any portion of this Agreement shall be held invalid for any reason, the same shall not affect in any respect whatsoever the validity of the remainder of this Agreement. (04) Waiver- Any waiver, whether express or implied, by any party of a breach of any provision of this Agreement will not operate as or be construed to be a waiver of any subsequent breach of this Agreement. (05) Notices- All notices and demands specified herein shall be deemed appropriately and timely given when delivered personally or deposited in the United States mail to the addresses hereinafter set forth by certified mail (return receipt requested). The addresses of the parties hereto are as follows until changed by written notice given as above: If to the City at: City of Elk River ATTN: Environmental Coordinator 13065 Orono Parkway Elk River, Minnesota 55330 If to the Operator at: Knife River ATTN: Holly Brisk 4787 Shadow Wood Dr NE Sauk Rapids, Minnesota 56379 (06) Incorporation by Reference- All plans, special provisions, proposals and specifications, submitted pursuant to this Agreement shall be and hereby are made a part of this Agreement by reference as fully as if set forth herein in full. Page 11 IN WITNESS WHEREOF, the City and Operator have caused this Agreement to be duly executed on the day and year first above written. CITY OF ELK RIVER OPERATOR/FEE OWNER: Knife River By: By: yor Its: By: --� T Its: City C\Q3r\< STATE OF MINNESOTA ss. COUNTY OF SHERBURNE The foregoing instrument was acknowledged before me this c ay of i -1P , 2020, by John Dietz, the Mayor of THE CITY OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. JESSICA M. MILLER NOTARY PUBLIC - MINNESOTA om My Cmission Expires Jan. 31, 2022 Page 12 STATE OF MINNESOTA ss. COUNTY OF SHERBURNE The foregoing instrument wa =o me this a d y of r , 2020, by AV 4before ty Administrator of THE CITY OF ELK RIVER, a Minnesota municipal corporation, on behalf of the corporation. STATE OF MINNESOTA ss. COUNTY OF cal 9=NWCARYPUBUC ILLER INNESOTA Jan. 31, 2022 The foregoing instrument was acknowledged before me this Shay of , 2020, by QoCs "09riL , the RiV� of Knife River a Minnesota corporation, on behalf of the corporation, fee owner of a portion of the subject property and Operator on the subject property. HOLLY ANN BRISK Notary Public is Minnesota My commission Expires Jan 31, 2023 This instrument was drafted by: Notary Public City of Elk River Environmental Dept. 13065 Orono Parkway Elk River, MN 55330 From: Melanie Curtis <> Sent: Friday, January 21, 2022 3:04 PM To: Erickson, Amanda <AErickson@ElkRiverMN.gov> Cc: 'todd.curtis Carlton, Zachary <zcarlton@ElkRiverMN.gov> Subject: PC Agenda 1/25/2022 / Knife River CU22-10 Item 5.1 Planning Commission and Staff: I’m writing in response to Knife River’s recent request to expand the mining operation into the adjacent property as well as extend the timeline for mining operations. th As a daily user of 225 Avenue for over 16 years, I have observed that as the mining operations expand the level of truck traffic has also naturally increased. With the increase of traffic and use of the site, the negative impacts to the roadway and have increased. Quite often the roadway is covered with an accumulation of dust/debris/dirt and mud which creates environmental and safety concerns. I have shared my below comments with the city staff in the past and many of the past comments still apply today. Trucks/Number of trips: From a resident perspective, the number of vehicle trips to/from this property each day during the active season is unbearable; and some of the truck drivers drive very carelessly for example: rolling through or disregarding the stop sign at the site entrance as well as crossing 169 to get to the southbound side th without stopping at the stop sign at 225/169. This behavior is unsafe and reckless. The number of trucks going into and out of the site per day is unreasonable. During the active season, at any time in the day residents trying to access 169 may have to wait behind 3-5 side dump trucks to reach the intersection; and in that time 4 to 10 trucks may drive past entering the site. On a normal day, it th could take 15 minutes to get to the 225/169 intersection. From my past conversations with City staff, I know they have observed this traffic as well. According to one of the planning staff, traffic was identified as a concern when the pit was permitted in the early 2000s and there was a limitation placed on the number of individual trucks allowed to access the site per day. While this was a step in the right direction, the real limiting measure should have been a limit on the number of vehicletrips per day. th Debris/Dust: The road leading to/from the Knife River driveway onto 225is often covered in spilled th gravel, sand, and dirt from the trucks, and as a result of the trucks driving off of the shoulder of 225 to make the turn. This is often not cleaned up for many days and is a hazard. Additionally, the southbound acceleration lane to 169 is often completely covered in dirt/mud. This continues through the summer and creates a very dangerous situation for drivers. Not to mention is consistently inconvenient as we have all had to increase the frequency of washing our vehicles from the mud on the roadway, which is money out of our own pockets. Since my initial complaints to city staff there has been a skidsteer with a brush “cleaning” the roadway at times. This brush really just stirs up the dust and dirt and blows it around until it can settle back onto the roadway. We would ask for closer monitoring by the city on this matter. There must be a better solution. City Code section 42-78 talks about the safety requirements for access to the site and use of public rights-of-way. Section 42-53 specifically states the following: ”The council shall issue an extraction license only upon a finding that the proposed extraction activities will comply with the standards and requirements set forth in this article and will not be dangerous or otherwise detrimental to persons residing or working in the vicinity thereof, or to the public health, safety or welfare, and will not impair the use, enjoyment or value of any neighboring property. The council, in its discretion, may attach conditions to protect the public health, safety and welfare, to avoid traffic congestion or hazard, or to promote conformity of a proposed use with the character of adjoining property and uses.” I understand this to mean that in order to issue the original extraction license / CUP, the city determined and the applicant demonstrated they could meet the conditions. Is there not an expectation that the conditions continue to be met? At this time, with the request to expand the size of the operation as well as Knife Rivers’ operating timeline, the City has an opportunity to apply additional, reasonable conditions on the operation to address new concerns. I note that staff is not recommending any new conditions of approval. I ask whether or not the staff’s previous conditions have been applied/implemented such as: installation of a cattle grid at the entrance to help limit tracking out of the site; and a maintenance agreement for street sweeping / cleaning. I believe these conditions are appropriate and are the result of recent operational issues. It would help further if the loads were covered prior to leaving the site as they should be. to and from the site should be limited and the Lastly, as safety should be a priority, the number of trips frequency managed to avoid the noted congestion issues. The drivers should be monitored and reminded to follow all traffic laws. I would be happy to answer any questions. Thank you, Melanie Curtis th 10988 235 Avenue NW Elk River, MN 55330