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6.1. & 6.2. SR 07-06-2009REQUEST FOR ACTION To Item Number Ma or & Ci Council 6.1. & 6.2. Agenda Section Meeting Date Prepared by Community Development July 6, 2009 Rebecca Haug, Environmental Admin Item Description Reviewed by 6.1. Request by Elk River Landfill, Inc. for Land Use Lori Johnson, City Amendment to change the Land Use of Certain Administrator Property from Mining to Landfill, Public Hearing - Peter Beck, City Attorney Case No. LU 09-01 6.2. Request by Elk River Landfill, Inc. for Rezoning to change the zoning from Al (ME) Agricultural Conservation (Mineral Excavation) to AI (SWF), Agricultural Conservation (Solid Waste Facility), Public Hearin -Case No. ZC 09-01 Item to be discussed at a future meeting Request by Elk River Landfill, Inc. for Conditional Use Permit and License to expand the existing landfill into 109 acres of property located immediately south of the existing landfill, Public Hearing -Case No. CU 09-12 Action Requested Hold Public hearings for items noted above. Action on the request is scheduled for July 20; action must be taken by July 28 unless an extension is requested by the applicant. Introduction The Planning Commission reviewed this request at their June 9 and June 23, 2009 meetings. At the June 9 meeting, the applicant and staff presented on the request and then the public hearing was held. Those who spoke at the public hearing were in favor of the request. Please see the attached minutes. The Planning Commission tabled the item to address questions raised by the applicant in regards to the staff report and questions raised by staff and the Planning Commission on the information presented by the applicant. At the June 23 meeting the applicant and staff presented additional information. The Planning Commission discussed the information presented and ultimately, a recommendation was made to deny the request. The motion passed 4-2. The reasons for the denial hinged upon the future loss of revenue if the land use is changed from "mining" to "landfill". If the area is land filled, it will always be a landfill where as if the area is mined out, it can be development. Discussion Please refer to the previously distributed staff reports for a comprehensive review of this project including memos and reports from the city staff, city attorney, and city consultants, as well as from the applicant. Case File: CU 09-]2 Page 2 ERL CUP City of Elk River The Council is charged with deciding whether or not to amend the City's Comprehensive Plan to allow the Elk River Landfill to expand to the south of its existing site, the proposed site is referred to as the Southern Development Area (SDA). This 109-acre SDA is designated as "mining" in the City's Comprehensive Plan. The Council needs to determine if a landfill is what is envisioned for this area at the intersection of Highway 169 and 2215` Ave. Would this use be compatible with existing and future land uses in the area? Along term approach must be considered when making this decision as the property cannot easily or quickly be redeveloped in to a different use after it is used as a landfill. This decision should be made by weighing all of the information that has been provided through the Environmental Impact Statement (EIS), materials and presentations by the applicant, City staff and the applicant's and City's Planning Consultants up to this point. Attachments • Draft Planning Commission minutes -June 9, 2009 • Previously distributed: o June 23, 2009 Planning Commission staff report o June 9, 2009 Planning Commission staff report (Both of these are available on the City's website: www.ci.elk-river.mn.us under your Government; agendas and minutes; Elk River; City Government; Boards and Commissions; Planning Commission; Planning Packets: 2009; 06-09-2009 -item 5.3 & 5.4 and 06-23-2009 -item 3.1 & 3.2) Planning Commission Action Motion by Second by Vote Follow Up C:\Documents and Settings\jmiller\Loca] Settings\Temporary Internet Files\OLK3E\SR - CC - CU 09-]2.doc MEETING OF THE ELK RIVER PLANNING COMMISSION HELD AT ELK RIVER CITY HALL TUESDAY, JUNE 9, 2009 Members Present: Chair Scott, Commissioners Anderson, Ives, Staul and Westberg Members Absent: Commissioner Lemke Staff Present: Lori Johnson, City Administrator; Jeremy Barnhart, Planning Manger; Chris Leeseberg, Park Planner; Rebecca Haug, Ens-ironmental Administrator; Peter Beck, City Attorney; Debbie Huebner. Rccc ~rding Secretary Call Meeting To Order Pursuant to due call and notice thereof, the meeting of the Elk ]Zi<<cr Planning Commission was called to order at 6:30 p.m. by Chair \x'estgaard. 2. Consider 06/09/09 Planning Commission Agenda MOVED BY COMMISSIONER STAUL AND SECONDED BY COMMISSIONER WESTBERG TO APPROVE THE JUNE 9, 2009 PLANNING COMMISSION AGENDA. MOTION CARRIED 5-0. 3.1. Consider 4/14/09 Planning Commission Minutes MOVED BY COMMISSIONER IVES AND SECONDED BY COMMISSIONER STAUL TO APPROVE THE APRIL 14, 2009 MINUTES. MOTION CARRIED 5- 0, 3.2. Consider 5/12/09 Planning Commission Minutes MOVED BY COMMISSIONER STAUL AND SECONDED BY COMMISSIONER ~Y'ESTBERG TO APPROVE THE MAY 12, 2009 MINUTES. MOTION CARRIED 6-0. 4. Planning_Comcnission Representative to Attend City Council Meeting Commissioner ~~~cstberg will attend the June 15, 2009 City Council meeting. 5.1. Request by Knife River for Conditional Use Permit to Amend Existing Permit to Allow Washing Operation, Public Hearing -Case No. CU 09-14 Rebecca Haug presented the staff report. Knife River wishes to amend their existing conditional use permit to place a portable wash plant at the Ernest Toth site. She explained how the wash plant water would be recycled and stored. Ms. Haug stated that noise levels must meet EPA requirements and dust is covered in the MPCA permit. The request is consistent with the Comprehensive Plan and drainage plan. Staff recommends approval of the request with the condition that all comments in the memo dated June 4, 2009 from Liesch Associates, Inc. shall be addressed. Planning Commission Minutes June 9, 2009 Chair Scott opened the public hearing. Page 2 Ron Klinker, representative for Knife River -Stated that the closest residence is 2,000 feet east of the proposed wash site, and the next closest residence is 3,300 feet north. He explained that the process involves recycling of the wash water, with additional water only added as needed. Since the water draw is quite small, the impact on the water in the area is minimal. He stated that they will respond to any problems immediately. Eileen Schulz, 11661 225th Avenue - asked if there would be any change in the hours of operation with the wash site. Mr. Klinker stated no, the hours would remain the same as the mining. There being no other public comment, Chair Scott closed the public hearing. MOTION BY COMMISSIONER IVES, SECONDED BY COMMISSIONER WESTBERG TO RECOMMEND APPROVAL OF THE REQUEST BY KNIFE RIVER FOR A CONDITIONAL USE PERMIT TO ALLOW GRAVEL WASHING/PROCESSING OPERATIONS AT THE ERNE5T TOTH MINING SITE, WITH THE FOLLOWING CONDITION: 1. ALL COMMENTS FROM THE MEMO DATED JUNE 4, 2009 FROM MARK OLSON, LIESCH ASSOCIATES, INC., SHALL BE ADDRESSED. MOTION CARRIED 5-0. 5.2. Request by City of Elk River for Ordinance ^~mendment to Land Use Regulations Regarding Massage Therapy in the DT Downtown District, Public Dearing -Case No. OA 09-03 Chris Leeseberg presented the staff report. He noted that the Ciry Council authorized staff to prepare an ordinance amendment to remove therapeutic massage as a conditional use in the Downtown District. Staff recommends approval of the amendment as proposed. Chair Scott opened xhe public. "There being no one to speak to this issue, Chair Scott closed the public hearing. MOTION BY ANDERSON, SECONDED BY WESTBERG TO RECOMMEND APPROVAL OF THE ORDINANCE AMENDMENT REQUEST TO REMOVE THERAPEUTIC MASSAGE AS A CONDITIONAL USE PERMIT IN THE DOWNTOWN DISTRICT, CASE NO. OA 09-03. MOTION CARRIED 5-0. 5.3. Request by Elk River Landfill Inc for Land Use Amendment to Change the Land Use of Certain Property from Mining to Landfill Public Hearing -Case No. LU 09-01 Rebecca Haug presented the staff report. She provided an overview and history of the existing landfill and their proposal to expand. Brad Scheib of HKGi reviewed their memo dated June 2, 2009 regarding landfill expansion impacts. He stated that they looked at direct impacts on the proposed expansion area, as well as peripheral impacts (2,000 feet beyond the expansion area). Land uses, jobs/employment opportunity, fiscal impacts, and aesthetics were reviewed. He summarized their findings by stating that lost development opportunity on the SDQA and peripheral area could have an impact of approximately $400 million in cumulative property tax revenues Planxung Commission Minutes June 9, 2009 Page 3 from 2009 to 2090 and roughly 3,000 new jobs that could be ultimately absorbed upon full build out of the area (assumed to occur between 2050 and 2080). Ms. Haug introduced John Kellas, representing Waste Management. Mr. Kellas (?) discussed benefits to community provided by the landfill. He stated that the landfill was established in 1972, and was the first landfill (?in the state?) to install a liner. He stated that Waste Management took over in 1995. He discussed the methane recovery project which is a joint project with Elk River Municipal Utilities. Mr. Kellas noted that Waste Management submitted a full application, including the conditional use permit request for the expansion, but that staff recommended the land use amendment and rezoning be reviewed first. Mr. Kellas stated that Waste Management has spent $14 million paying vendors in the last five years. This figure does not take into account indirect benefits to the community such as patronizing local hotels, restaurants, and retail. He stated that their-payroll is $1 million/year and employees have a combine 175 years of services. He stated that the average length of employment is 12 years and average employee salary is $65,OQ0/year. He stated that property taxes, gravel mining fees, and landfills. total $1 million/year. Mr. Kellas explained that the methane power generating facility produces power for 7,50 he>mes and the number of engineers will be increased from four to tweh~e. He noted that Wasrc ~'~'Ianagement contributes $50,000 in local donations. Mr. Kellas suggested that instead of the annual city clean up event, Waste IVlanagement could mail out a free coupon t~~nce a year to each resident to drop off their items at the landfill. He stated that there is a large ~~~etland behind their facility and that they are working Wildlife Habitat to (?). I Ie stated that Waste Management supports the Energy City statement by providing the city with green power. He noted that the Environmental Learning Center has been very successful and have given many tours. Mr. Kellas stated that information is available on the EPA website, rucking 500 projects/companies that use landfill gas. He felt this was an opportunity to attract businesses and jobs to the area. Mr. Kellas provided a slide presentation of the project and progression of development. He concluded by stating that Waste Management feels that the project meets the city's goals. John Shardlow, of Boonestroo, representing Waste Management -provided his credentials ui the planning and zoning field. He discussed compatibility of the mining and landfill operations. Mr. Shardlow stated that his firm was contracted by the State of Minnesota to prepare the Environmental Impact Statement for the expansion project. He stated that a number of end use plans are available, and examples can be found around the country. But, he stated that the City was not interested in anything other than passive recreation. Mr. Shardlow noted that the city's zoning map dated March 30, 20091abeled the area south of the existing landfill as L,lk River Landfill. He stated thatdle expansion area is expected to'be completed in 2033 and reclauned as open space. Tiller has stated that if the expansion is not approved, they will not start mining this area for approximately 40 years. He stated that the city would lose approximately $663,000 (6 cents/ton) in landfill tax and $14.9 million in property taxes (2010 - 2015). He concluded that there would be a substantial loss of revenues to the city without the expansion, and he could not think of another use that would have the same benefit to the city. Mr. Shardlow stated that the only way to grow a business is to expand. He noted that the Ruprecht appraisal states that the expansion would not have a significant impact on property values. He discussed HKGi's report and questioned which studies were used and where Planning Commission Minutes June 9, 2009 Page 4 they could be found. Mr. Shardlow stated that they feel Mr. Schreib's report makes a lot of assumptions and they question the accuracy of those assumptions. Stephanie Stolz, Engineer representing Waste Management -was present to answer questions. Chair Scott opened the public hearing. Stephen Rohlf, 11282 188 Avenue, Elk River -stated he was in favor of the expansion. He stated he had 22 years experience working for the City of Elk River, and worked closely with Waste Management for 10 years. He stated that not all garbage can or should be burned and it needs to go somewhere. He stated that Elk River Landfill voluntarily subjected themselves to be regulated by the city. He explained that the city understood the capacity of the current landfill was 30 - 50 years. He noted rh,~e the landfill gas-to-energy project was awarded the 1998 U.S. Environmental Protection :\gency Project of the Year. Mr. Rohlf stated that apre-existing landfill contamination problrn~ wok over a decade to figure out and it was found the contamination «-as moving toward Rice Lake, and that Waste Management has been doing the clean up, even though they were not responsible for the contamination. Mr. Rohlf stated that he did not want to see his garbage going to an inferior landfill. He also did not agree with statements made by the City's EconomicDevelopment Director in her memo dated June 4, 2009. He stated that as a taxpayer, he would not want to see a loss of $.5 million in revenue to the city through surcharge fees. He stated that the city would have to cut services or personnel. Gary Saur, Tiller Corporation -stated he questioned the process used to make the assumptions stated in the HKGi report, and felt they were highly unrealistic. He stated that he is very aware of cnd use planning. He stated that Tiller began mining in the Maple Grove area in 1940 and they began planning the Arbor Lakes area in the 1980's. He stated that development began in the 1990's and that less than one-third of the property has been developed.. He stated that the end: use plannuig was a cooperative effort of the owners, citizens and city officials. Mr. Sauer stated that HhGi's studies are wrong in stating that the gravel mining will be completed in 2030. He stated that if the landfill expansion does not move forward, Tiller will not start mining in dic ctpansion area for 40 years. It would take approximately 20 years to mine out the reserves, so it will be approximately 60 years or more before the property would be reads for development. He stated he felt the city's consultant's projections were fabricated for shock value. Mr. Saurer stated that there a number of vendors that have jobs depending upon the project. He stated that the process in Maple Grove was very open, but that has not been the case here. He stated that it would have been nice to be asked what their plans were. He stated he felt that staff wants to move in a particular direction. Bruce Weaver, 13625 320~h Avenue (Livonia Township) - he supports the project as a supervisor of a small business that depends on Waste Management. He stated that there would be a significant. impact to many small businesses if the expansion is not approved. Shane Steinbrecks - He has operated a small roll-off business for 15 year. He stated that landfill staff helps sort out various materials Planning Commission Minutes June 9, 2009 Page 5 MOTION BY COMMISSIONER ANDERSON, SECONDED BY COMMISSIONER IVES TO POSTPONE THE REQUEST BY ELK RIVER LANDFILL, INC. FOR A LAND USE AMENDMENT TO CHANGE THE LAND USE OF CERTAIN PROPERTY FROM MINING TO LANDFILL, CASE NO. LU 09-01, TO A SPECIAL PLANNING COMMISSION MEETING JUNE 23, 2009. MOTION CARRIED 5-0. 5.4. Request by Elk River Landfill, Inc for Rezoning to Change the Zoning from Al Agricultural Conservation to SWF (Solid Waste Facilit~. Public Hearing -Case No. ZC 09-01 MOTION BY COMMISSIONER ANDERSON, SECONDED BY COMMISSIONER IVES TO POSTPONE THE REQUEST BY ELK RIVER LANDFILL, INC. FOR A REZONING TO CHANGE THE ZONING FROM 1A AGRICULTURAL CONSERVATION TO SWF SOLID WASTE FACILITY, CASE NO. ZC 09-01, TO A SPECIAL PLANNING COMMISSION MEETING JUNE 23, 2009. MOTION CARRIED 5-0. 6. Other Business -None Adjournment There being no further business, MOVED BY COMMISSIONER STAUL TO ADJOURN THE MEETING. The meeting of the Elk River Planning Commission :~~3journed a~ R:~45 p.m. Minutes prepared by Debbie Huebner. Tina Allard City Clerk Kevin Scott Acting Chair ~_.: ~... '~~~ '- _ ~ ELK RIVER AREA CHAMBER OF COMMERCE _.~ ~ ~•~ _ 509 Highway 10 Elk River, MN 55330-1415 Voice (763) 441.3110 Fax (763) 441.3409 www. elkriverch amber. org RESOLUTION FOR ELK RIVER AREA CHAMBER OF COMMERCE A RESOLUTION IN SUPPORT OF ELK RIVER LANDFILL'S REQUEST FOR AN EXPANSION WHEREAS, Elk River Landfill contributes significantly to the region by providing jobs with a combined payroll of $1 million dollars with the potential of additional well paying jobs; and, WHEREAS, Elk River Landfill is a patron of local businesses contributing approximately $5 million in local spending annually as well as significant contributions to numerous local charities; and, WHEREAS, Elk River Landfill adds greatly to the local economy and the City of Elk River by paying local taxes & host fees that would by necessity be absorbed by other city businesses if they were to cease operations; and WHEREAS, Elk River Landfill has demonstrated itself to be an excellent corporate citizen by participating in Energy City, the Environmental Learning Center, and sponsoring community events; and, WHEREAS, Elk River Landfill has been a business partner with the Elk River Area Chamber of Commerce since 1988 and, it is the chamber's charge to advocate for its members. NOW, THEREFORE, BE IT RESOLVED that the Elk River Area Chamber of Commerce supports Elk River Landfill's request for an expansion of its current facility. 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