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7.11. SR 05-31-1994 e M~ CONSULTING ENGINEERS CIVil ENGINEERING ENVIRONMENTAl MUNICIPAl PlANNING STRUCTURAL e SURVEYING TRAfFIC TRANSPORTATION 1326 Energy Pork Drive 51. Paul, MN 55108 612-6,44-4389 Fax: 612-644-9446 e 9800 5helard Parkway Minneapolis, MN 55441 612-546-0432 Fox: 612-544-6398 ITEM 7.11. May 10, 1994 File: 230-161-75 Mr. Pat Klaers City Administrator City of Elk River 13065 Orono Parkway Elk River, MN 55330 RE: STORMWATERIMPACTFEE Dear Mr. Klaers: As you are aware, in mid-April we sent out letters to seven developers in the City requesting input on a potential stormwater impact fee. The letter that was sent out explained briefly the proposal the City Council is considering and asked for any comments either in writing or by phone. We also indicated if there was a desire a meeting between developers and City staff could be arranged sometime in early May. As of today's date, we have received no comments from any developers, either positive or negative. Since the letters have gone out, we have had reasons to have conversations on other issues with all persons to whom these letters were sent, and none have mentioned the storm water impact fee. Please let me know how you would like to proceed with this issue. If there is any additional follow-up with the developers I should be doing, please let me know. Sincerely, MSA, CONSULTING ENGINEERS 0-- TJM:tw 161-II05.may _ MS ~ COXSL'LmC &'CUEERS CIVIL ENGINEERING: ENVIRONMENTAL MUNICIPAL PLANNING STRUCTURAL _ SURVEYING TRAFFIC TRANSPORTATION 1326 Energy Pork Drive SI. Paul, MN 55108 612.644.4389 Fox: 612.644.9446 _9800 Shelard Parkway Minneapolis, MN 55441 612.546-0432 Fox: 612.544.6398 April 19, 1994 File: 230-161-75 Mr. Tony Emmerich Country Ridge Partnership 2619 Coon Rapids Boulevard Coon Rapids, MN 55433 RE: CITY OF ELK RIVER STORM WATER IMPACT FEE Dear Mr. Emmerich: The City of Elk River has recently completed a Comprehensive Stormwater Master Plan. Following the completion of that plan, they are in the process of revising their assessment! funding procedure for storm drainage improvements. The City Council, based on staff recommendations, is considering a combination stormwater impact fee and surface water management fee. The stormwater impact fee would be charged to all developing properties at rates estimated to be initially $600 per acre for all non-residential property, .$100 per lot for urban residential developments, and $50 per lot for rural residential developments. The surface water management fee would be a user fee for storm drainage, likely billed monthly with the rate based on the type of zoning or development. By instituting these two fees, the City would eliminate any trunk storm drainage assessments. In other words, new developments would pay for any internal storm drainage improvements plus the impact fee, but would not be assessed for improvements outside of the immediate development. Prior to recommending adoption of this policy to the City Council, staff would like to give current Elk River developers a chance to comment. We expect to make a formal recommendation to the City Council by mid to late May. If you have any questions or comments regarding this proposed policy change, please either send them to me in writing or call me at 644-4389. If you think it would be useful to have a developer/City staff meeting regarding this issue, that could also be arranged for some time in early May. Sincerely, MSA, CONSULTING ENGINEERS C;;;;:1llI~ .r;;7~aurer, P.E. City Engineer over -- --- ~ - TJM:tp cc: Mr. Pat Klaers, City Administrator 161-1901.apr M~ COXSIUUC K\GIXEERS ,,; I C1lssrLTUC K\G1~'EERS MS COlSULTIIC K\G1NEERS CIVil ENGINEERING: April 19, 1994 File: 230-161-75 Mr. Eric Pedersen 1875 Plaza Drive Eagan, MN 55122 RE: CITY OF ELK RIVER STORMWATERIMPA Dear Mr. Pedersen: April 19, 1994 " File: ,230-161-75 Mr. Carl Carlson Kraus-Anderson Construction 525 South 8th Street Minneapolis, MN 55404 RE: .- ... ~;';;~;""-:. . '.#...~-...,.- April 19 ,. 1994 File: 230-161-75 Mr. Dennis Chuba 317 Main Street Elk River, MN 55330 RE: CITY OF ELK RIVER STORM WATER IMP Dear Mr. Chuba: The City of Elk River has rei FoIl . . I MS April 19, 1994 File: 230-161-75 mSI'LmC &\GI.\EERS e ........ "0. ,"",''',,,,,..'''' MS Mr. Richard Kincannon 13375 - 178th Avenue NW Elk River, MN 55330 RE: CITY OF ELK RIVER STORM WATER IMPACT FEE Dear Mr. Kincannon: April 19, 1994 COlSrLTlSC&\CU"EERS File: 230-161-75 MS Mr. Dennis Backes 7026 Brooklyn Boulevard Brooklyn Center, MN 55430 e RE: CITY OF ELK RIVER STORM WATER IMPACT FEE Dear Mr. Backes: . April 19, 1994 COISl'LTlSG EJGlnm File: 2~0-161-75 CIVil ENGINEERING: Mr. Rick Foster Riverside Development 241 Main Street Elk River, MN 55330 e RE: CITY OF ELK RIVER STORM WATER IMPACT FEE Dear Mr. Foster: FEB-25-94 FRI 13:33 MSA ST PAUL .'M~ CON81UUG };NGINt;t;IL~ (lVfl ENGINEERING ENVIRONMENTAl MUNICIPAl PlANNING eSTRUOUf'A~ 5URVfYINC; If/lf!/l: rRAN5PORrATlON February 25, 1994 File: 230-161-75 Mr. Pat Klaers City Administrator City of Elk River 13065 Orono Parkway Elk River, MN 55330 RE: STORM SEWER IMPACT FEE Dear Mr. Klaers: P.02 This is a follow-up to my Febru 24, 1994, memo in which I summarized our findings from a survey of several metropoli communities. In that particular memo, I neglected to include specifics on the impact fees harged by some of the metropolitan communities. As you will recall, the memo indicated that four of the communities we contacted in the metro area do have impact fees. We were able to recontact three of them and get the specifics on those. The following table lists the osts in dollars per square foot charged by the Cities of Burnsville, Lakeville, and Lino es. Single Family Multi-Family Churches Commercial/Industrial Rllrn~viHe $0.11 0.15 0.15 0.17 I .;! kevi11 e $0.105 0.116 0.147 Linn T ~ke~ $0.10 0.14 As you can see from these three ommunities, a typical single family lot of 10,000 to 15,000 square feet would pay $1, to $1,500. On the other end, commercial/industrial property would pay on the order f $6,000 to $7,500 per acre. These rates are roughly 1326 Energy Pork Drive ten times higher than those being c ntemplated by the City of Elk River. St. Poul, MN 55108 612-64.H389 Fox: 612-644-9446 e 9800 Shelord Porkway Minneapolis, MN 55441 612-546-0432 Fox: 612-544-6398 It is our understanding that these ommunities still require the developer to build lateral facilities within ,the developments d the impact fees are used for trunk facilities and/or any oversizing of the internal later facilities. FEB-25-94 FRI 13:34 MSA ST PAUL P.03 e Mr. Pat Klaers February 25, 1994 Page Two I'm sure there are other metropolitan communities that have impact fees similar to these. If you would like, we could do further research on this issue. Please let me know if additional information is needed. Sincerely, MSA, CONSULTING ENGINEERS T2~ TJM:tp 161-2S05.f~b e e .M~ I CONSULTING ENGINEERS CIVil ENGiNEERING. ENVIRONA'iENTAI MUNICIPAl PLANNING STRUCTURAl .URVEYING TRAFFIC TRANSPORT A nON 1326 Energy Park Drive St. Paul, MN 55108 612-644-4389 Fax; 612-644-9446 _00 Shelard Parkway Minneapolis, MN 55441 612-546-0432 Fax: 612-544-6398 I-- February 24, 1994 File: 230-161-75 Mr. Pat Klaers City Administrator City of Elk River 13065 Orono Parkway Elk River, MN 55330 RE: STORMSEWERIMPACTFEE Dear Mr. Klaers: As requested by the City Council, we have researched various metropolitan communities to determine how they deal with storm sewer charges for improvements off of a project site. The communities we contacted and from whom we received responses back include Shoreview, New Hope, Golden Valley, Lakeville, Bumsville, Brooklyn Park, Lino Lakes, and Roseville. We found that the vast majority of these communities have already implemented a surface water management utility fee. However, they are split on the issue of an impact fee versus trunk storm sewer assessments. The Cities of Shoreview, New Hope, and Golden Valley currently do not have any type of impact fee. However, they do still charge trunk assessments for improvements outside the boundaries of developments. The City of Brooklyn Park is currently in the process of developing a new plan to include a surface water management utility fee and are considering an impact fee as part of that. The Cities of Lakeville, Bumsville, Lino Lakes, and Roseville have impact fees. For the most part, they are charged on a square footage basis with rates varying for different types of development. Interestingly, the City of Lino Lakes has a policy to not assess for storm sewer; therefore, their only method of paying for it is the impact fee charged on a square foot basis. The City of Lakeville has used this approach for over 10 years. If the City of Elk River were to consider an impact fee as discussed at the last meeting, I believe it should be considered not an additional charge, but a charge in lieu of a trunk storm sewer assessment. I believe it is the intent to construct trunk storm sewer facilities utilizing the impact fee and the surface water management utility fee. In most cases, if not all, this type of approach should be less expensive for developers. This is because they will be paying only the impact fee and the potential owners of their development will pay the ongoing surface water management utility fee. . Mr. Pat Klaers February 24, 1994 Page Two As we discussed last Monday, the potential rates for an impact fee would be $50 per unit for rural residential developments, $100 per unit for urban residential developments, and $600 per acre for commercial and industrial properties. These rates would be collected similarly to the park dedication fee, that is, payable prior to recording of the plat. I hope this additional information is helpful. If you have any questions or would like me to do further research, please call. Sincerely, MSA, CONSULTING ENGINEERS ~fJ/1'a.-C*-0 Terry J. i1;urer, P.E. TJM:tp e 161-2405.feb .