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4.5 SR 07-17-2023 Request for Action To Item Number Mayor and City Council 4.5 Agenda Section Meeting Date Prepared by Consent Agenda July 17, 2023 Suzanne Fischer, Env. Services/Special Projects Director Item Description Reviewed by 2023 Mineral Excavation License Cal Portner, City Administrator Reviewed by Action Requested Approve, by motion, the 2023 Mineral Excavation License. Background/Discussion Mineral excavation in Elk River has been part of the community for many years and continues to be an active industry. The mineral excavation operators submit detailed information for the annual license and pay the required fee for operations. Application fee for these operators was $8587.60. There are no significant changes from these operators this year. Staff meets on site with each applicant annually to discuss operational plans and any concerns. The following operator has requested a 2023 Mineral Excavation license. Acres to be mined or Mine Operator not yet reclaimed. C. S. McCrossan 45.41 Holcim – MWR, Inc. 350.5 Financial Impact $8,587.60 Mission/Policy/Goal Responsibly grow. Attachments  C. S. McCrossan license  Knife River license The Elk River Vision A welcoming community with revolutionary and spirited resourcefulness, exceptional service, and community engagement that encourages and inspires prosperity. Updated: January 2023 2023 City of Elk River Excavation License A License is hereby issued by the City of Elk River (hereinafter referred to as the “City”), pursuant to Section 42-31 of the City Code (hereinafter referred to as the “Mineral Excavation Ordinance”), to: C.S. McCrossan Construction, Inc. 7865 Jefferson Hwy Maple Grove, MN 55369 (hereinafter referred to as the “Licensee”) for excavation operations upon the following described property: Acres approved, Acres to be Acres Active or Parcel ID # but not being reclaimed this Unreclaimed mined year 75-110-2102 39.51 75-103-3300 5.9 Total Acres 45.41 (hereinafter referred to as the “Property”). THIS LICENSE IS ISSUED SUBJECT TO THE FOLLOWING CONDITIONS: I. GENERAL CONDITIONS A. Mineral Excavation Ordinance. Licensee shall comply in all respects with the Mineral Excavation Ordinance, including the STANDARDS set forth in Section 42-71 thereof, and any amendments to the Mineral Excavation Ordinance duly adopted by the City Council. A copy of the current Mineral Excavation Ordinance is available upon request. B. Additional Approvals. This license is subject to the approval of appropriate permits by other governmental agencies, including the Minnesota Pollution Control Agency, and to Licensee’s compliance with all other applicable requirements of City Code, state law, and state regulations. This license does not authorize excavation at locations for which land use approvals required by the City Code have not been obtained. 1 Excavation License C. Violations. Operator shall orally notify the City of any violations of this License within 24- hours and follow this with notification in writing within four working days of the violation. Any violation of the terms and conditions of this License shall also be considered a violation of Section 42-31 of the City Code. D. Excavation Operations. Excavation operations shall comply in all respects with the Mineral Excavation Ordinance and shall also comply with and be consistent with the operations described in the application for this License, which application is hereby incorporated by reference in this License. No change in excavation operations from those described in the application for this License shall be implemented unless approved by the City pursuant to the procedure for issuance of this Excavation License. E. Area to be Mined. Excavation operations shall be conducted within the confines of the excavation site described in the application for this License. No expansion beyond the excavation site identified in the application for this License shall be made unless approved by the City pursuant to the procedure for issuance of this Excavation License. F. Reports to the City. Licensee shall submit annually in writing to the City Council the estimated quantity of minerals to be excavated. If the quantity of minerals to be excavated is for any reason likely to exceed the original estimate Licensee shall immediately notify the City Environmental Administrator in writing of the change in estimated quantity. II. SPECIFIC CONDITIONS A. Haul Roads. Material removed from the excavation site shall be transported within the City exclusively upon the following Haul Roads: st Gravel shall be hauled via 221 Ave NW to Hwy 169. Transportation of materials upon these Haul Roads shall not commence until the City Environmental Administrator certifies to the City Council that all upgrading and repairing required by the City Council as a condition to the granting of this License, if any, has been completed. It shall be the responsibility of the Licensee to maintain the Haul Roads during the period of this License and to make any necessary repairs to the Haul Roads due to abnormal wear from Licensee’s operation as required by the City Environmental Administrator. B. Zoning Ordinance. The issuance of this License and the authority to conduct mineral excavation operations in the City of Elk River pursuant to this License is specifically conditioned on Licensee applying with the City for the necessary land use approvals to bring the property into compliance with Section 900 of the City Code, the City Zoning Ordinance. Failure to apply for the necessary zoning approvals and to supply the required application materials within 90 days of being directed by the City to do so shall constitute grounds for suspension, revocation, or non-renewal of this License. Excavation License III. ADDITIONAL CONDITIONS A. Additional Conditions. In addition to the conditions set forth above, Licensee shall comply with such other requirements and conditions as the City Council shall from time to time deem proper and necessary for the protection of its citizens and the general welfare, or in a Conditional Use Permit issued by the City for the operation. B. Gravel Area Study and Plan. Licensee shall also comply with such additional conditions as are necessary to bring the excavation operations authorized by this License and the Property into compliance with the findings and conclusions of the gravel area study and plan to be implemented by the City. IV. EXPIRATION AND RENEWAL This Excavation License shall expire on July 1, 2024, as provided by Section 42-56 of the City Code. Application for renewal of this License may be made to the City Council in the form required by the Mineral Excavation Ordinance. Issuance of this License does not guarantee renewal or extension thereof. Renewal or extension of this License shall be at the sole discretion of the City council upon its review of the application for renewal. V. EXCAVATION LICENSE FEE Licensee shall promptly pay the License Application Fee and annual license fees required by Section 42- 54 of the City Code, in the amount of $ 908.20. This license fee is not in lieu of the gravel tax collected by the county, a portion of which the City receives. VI. COSTS The licensee shall reimburse the City for all costs incurred in the approval, administration, and enforcement of this License, including consultant and attorney’s fees. VII. SUSPENSION OR REVOCATION The City Council may suspend or revoke this License pursuant to the procedures and standards set forth in Section 42-31 of the City Code. VIII. INDEMNIFICATION OF CITY Licensee shall defend and hold the City, its officers, and employees harmless from all claims made by third parties for damages sustained or costs incurred resulting from excavation operations or other activities on the Property. IX. SURETY BOND This License is not effective until the Licensee has posted a surety bond with a surety acceptable to the City, or a cash escrow, in the sum of $N/A. This amount shall be conditioned to pay the City the extraordinary cost and expense of repairing, from time to time, any highways, streets, or other public Excavation License ways where such repair work is made necessary by the special burden resulting from hauling and travel removing material from any pit or excavation of Licensee and conducting this year’s required rehabilitation as per the yearly reclamation plan. This amount shall be conditioned further upon Licensee’s compliance with all the requirements of the Mineral Excavation Ordinance and of this License and to pay any expense the City may incur by reason of doing anything required to be done by the Licensee. The bond or cash escrow shall remain in full force and effect for a minimum period of one (1) year after expiration of this License to guarantee the required rehabilitation as well as the other requirements herein provided. ________________________________ 7.17.2023 Suzanne M. Fischer Dated Environmental Services/Special Projects Director ________________________________ 7.17.2023 Mayor John Dietz Dated City of Elk River Mayor 2023 City of Elk River Excavation License A License is hereby issued by the City of Elk River (hereinafter referred to as the "City"), pursuant to Section 42-31 of the City Code (hereinafter referred to as the "Mineral Excavation Ordinance"), to: Holcim-MWR, Inc. 2815 Dodd Rd. Suite 101 Eagan, MN 55121 (hereinafter referred to as the "Licensee") for excavation operations upon the following described property: Acres approved, Acres to be Acres Active or reclaimed this Parcel ID# but not being Unreclaimed year mined 75-109-4100 40 0 0 75-109-4200 71.02 4 0 75-109-4400 40 0 0 75-116-1100 0 70 0 75-116-1105 0 0 6 75-116-1106 4 0 0 75-116-1200 52 28 0 75-116-4100 70.5 0 0 20.46 54 0 75-116-4200 75-116-4400 10 0 0 (hereinafter referred to as the "Property"). THIS LICENSE IS ISSUED SUBJECT TO THE FOLLOWING CONDITIONS: I. GENERAL CONDITIONS A. Mineral Excavation Ordinance. Licensee shall comply in all respects with the Mineral Excavation Ordinance, including the STANDARDS set forth in Section 42-71 thereof, and any amendments to the Mineral Excavation Ordinance duly adopted by the City Council. A copy of the current Mineral Excavation Ordinance is available upon request. 1 Excavation License B. Additional Approvals. This license is subject to the approval of appropriate permits by other governmental agencies, including the Minnesota Pollution Control Agency, and to Licensee's compliance with all other applicable requirements of City Code, state law, and state regulations. This license does not authorize excavation at locations for which land use approvals required by the City Code have not been obtained. C. Violations. Operator shall orally notify the City of any violations of this License within 24- hours and follow this with notification in writing within four working days of the violation. Any violation of the terms and conditions of this License shall also be considered a violation of Section 42-31 of the City Code. D. Excavation Operations. Excavation operations shall comply in all respects with the Mineral Excavation Ordinance and shall also comply with and be consistent with the operations described in the application for this License, which application is hereby incorporated by reference in this License. No change in excavation operations from those described in the application for this License shall be implemented unless approved by the City pursuant to the procedure for issuance of this Excavation License. E. Area to be Mined. Excavation operations shall be conducted within the confines of the excavation site described in the application for this License. No expansion beyond the excavation site identified in the application for this License shall be made unless approved by the City pursuant to the procedure for issuance of this Excavation License. F. Reports to the City. Licensee shall submit annually in writing to the City Council the estimated quantity of minerals to be excavated. If the quantity of minerals to be excavated is for any reason likely to exceed the original estimate Licensee shall immediately notify the City Environmental Administrator in writing of the change in estimated quantity. II. SPECIFIC CONDITIONS A. Haul Roads. Material removed from the excavation site shall be transported within the City exclusively upon the following Haul Roads: Gravel shall be hauled via 21Jth Ave. and then onto Hwy 169. Transportation of materials upon these Haul Roads shall not commence until the City Environmental Administrator certifies to the City Council that all upgrading and repairing required by the City Council as a condition to the granting of this License, if any, has been completed. It shall be the responsibility of the Licensee to maintain the Haul Roads during the period of this License and to make any necessary repairs to the Haul Roads due to abnormal wear from Licensee's operation as required by the City Environmental Administrator. B. Zonin g Ordinance. The issuance of this License and the authority to conduct mineral excavation operations in the City of Elk River pursuant to this License is specifically conditioned on Licensee applying with the City for the necessary land use approvals to bring the property into compliance with Section 900 of the City Code, the City Zoning Excavation License Ordinance. Failure to apply for the necessary zoning approvals and to supply the required application materials within 90 days of being directed by the City to do so shall constitute grounds for suspension, revocation, or non-renewal of this License. Ill. ADDITIONAL CONDITIONS A. Additional Conditions. In addition to the conditions set forth above, Licensee shall comply with such other requirements and conditions as the City Council shall from ti.me to ti.me deem proper and necessary for the protection of its citizens and the general welfare, or in a Conditional Use Permit issued by the City for the operation. B. Gravel Area Study and Plan. Licensee shall also comply with such additional conditions as are necessary to bring the excavation operations authorized by this License and the Property into compliance with the findings and conclusions of the gravel area study and plan to be implemented by the City. IV. EXPIRATION AND RENEWAL This Excavation License shall expire on July 1, 2024, as provided by Section 42-56 of the City Code. Application for renewal of this License may be made to the City Council in the form required by the Mineral Excavation Ordinance. Issuance of this License does not guarantee renewal or extension thereof. Renewal or extension of this License shall be at the sole discretion of the City council upon its review of the application for renewal. V. EXCAVATION LICENSE FEE Licensee shall promptly pay the License Application Fee and annual license fees required by Section 42- 54 of the City Code, in the amount of $7,607.40. This license fee is not in lieu of the gravel tax collected by the county, a portion of which the City receives. VI. COSTS The licensee shall reimburse the City for all costs incurred in the approval, administration, and enforcement of this License, including consultant and attorney's fees. VII. SUSPENSION OR REVOCATION The City Council may suspend or revoke this License pursuant to the procedures and standards set forth in Section 42-31 of the City Code. VIII. INDEMNIFICATION OF CITY Licensee shall defend and hold the City, its officers, and employees harmless from all claims made by third parties for damages sustained or costs incurred resulting from excavation operations or other activities on the Property. Excavation License IX. SURETY BOND This License is not effective until the Licensee has posted a surety bond with a surety acceptable to the City, or a cash escrow, in the sum of $N/ A. This amount shall be conditioned to pay the City the extraordinary cost and expense of repairing, from time to time, any highways, streets, or other public ways where such repair work is made necessary by the special burden resulting from hauling and travel removing material from any pit or excavation of Licensee and conducting this year's required rehabilitation as per the yearly reclamation plan. This amount shall be conditioned further upon Licensee's compliance with all the requirements of the Mineral Excavation Ordinance and of this License and to pay any expense the City may incur by reason of doing anything required to be done by the Licensee. The bond or cash escrow shall remain in full force and effect for a minimum period of one (1) year after expiration of this License to guarantee the required rehabilitation as well as the other requirements herein provided. 7.17.2023 Dated Suzanne M. Fischer Environmental Services/Special Projects Director 7.17.2023 Dated Mayor John Dietz City of Elk River Mayor