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10/27/09
C .l T Y WE 1 rDb0 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US Andover Planning and Zoning Commission Meeting Agenda October 27, 2009 Andover City Hall Council Chambers 7.00 p.m. 1. Call to Order 2. Approval of Minutes — September 8, 2009 3. Review modifications to Tax Increment Financing District 1 -1 and 1 -2 and adopt resolution certifying compliance with the Comprehensive Plan. 4. PUBLIC HEARING Preliminary Plat of Kwik Trip Andover Addition located at the southeast corner of Bunker Lake Boulevard and Jay Street NW. 5. PUBLIC HEARING Conditional Use Permit 09 -09 for Kwik Trip automobile service station and car wash with variances to parking area setbacks at the southeast corner of Bunker Lake Boulevard and Jay Street NW. 6. PUBLIC HEARING City Code Amendment to consider changes to City Code for wind turbines. 7. Other Business 8. Adjournment C II T Y O�{l� 1 1 D OVE 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Planning and Zoning Commissioners FROM: Courtney Bednarz, City Planner SUBJECT: Item 2. Approval of Minutes - September 8, 2009 DATE: October 27, 2009 Request The Planning and Zoning Commission is asked to approve the minutes from the September 8, 2009 meeting. 14 PLANNING AND ZONING COMMISSION MEETING —SEPTEMBER 8, 2009 The Regular Bi- Monthly Meeting of the Andover Planning and Zoning Commission was called to order by Chairperson Daninger on September 8, 2009, 7:00 p.m., at the Andover City Hall, 1685 Crosstown Boulevard NW, Andover, Minnesota. Commissioners present: Chairperson Daninger, Commissioners Michael Casey, Tim Kirchoff, Valerie Holthus, Devon Walton, Douglas Falk and Dennis Cleveland. Commissioners absent: None. Also present: City Planner, Courtney Bednarz Associate Planner, Angie Perera Others APPROVAL OFMINUTES. July 14, 2009 Motion by Kirchoff, seconded by Walton, to approve the minutes as presented. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. PUBLIC HEARING: CONDITIONAL USE PERMIT AMENDMENT (09 -07) TO EXTEND APPROVAL OF LAND RECLAMATIONAT 2748161 AVENUE NW. Mr. Bednarz noted the applicant has an existing permit for stockpiling up to 3,000 cubic yards of topsoil on the subject property. The permit will expire in December of this year. The applicant is requesting to extend this permit for an additional three years. Mr. Bednarz reviewed the staff report with the Commission. Commissioner Holthus asked if there have been any problems with the stockpile in the past. Mr. Bednarz stated they have not had any complaints or issues with the operation since it was established in 2003. Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 2 Chairperson Daninger asked if the resolution was the same as before except for the date. Mr. Bednarz indicated that was correct. Motion by Casey, seconded by Cleveland, to open the public hearing. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Mr. Rocky Lindberg, 14777 Lake Drive, Forest Lake, was at the meeting to answer questions. Chair Daninger asked if this will be the last time they will be asking for an extension. Mr. Lindberg explained the process they perform in their business and indicated Mr. Grant planned on only doing this for a few more years so he figured this will be the last extension request. Motion by Casey, seconded by Kirchoff, to close the public hearing. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Commissioner Falk asked if the stockpile went away in the next three years, how does the Conditional Use Permit go away. Mr. Bednarz explained the permit would be subject to annual inspection and they will make sure the site is restored to its previous state once the topsoil is gone from the site. He stated the permit; unless the Council revokes it will run for the three years as proposed. Motion by Casey, seconded by Kirchoff, to recommend to the City Council approval of proposed extension of the existing conditional use permit. Motion carried on a 7 -ayes, 0- nays, 0- absent vote. Mr. Bednarz stated that this item would be before the Council at the September 15, 2009 City Council meeting. PUBLIC HEARING: CITY CODE AMENDMENT TO CONSIDER CHANGES TO CITY CODE 12 -9 HOME OCCUPATIONS TO ADD EDUCATIONAL PETTING ZOO AS A CONDITIONAL USE. Mr. Bednarz explained a resident presented an idea for an educational facility for special needs students to the City Council at the July 23` Work Session. The Council was generally in favor of the idea and asked that the Planning Commission work through the details of how this type of use would be allowed. Mr. Bednarz reviewed the proposed City Code Amendment with the Commission. r Commissioner Holthus stated they were not changing anything in the code but were adding a paragraph. Mr. Bednarz explained the proposal as written in the staff report is r Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 3 to add Educational Petting Zoo as a Conditional Use in the three zoning districts and further restricted on properties larger than five acres. Chairperson Daninger noted the applicant will have to come back if approved for a CUP. Mr. Bednarz explained that was correct. Commissioner Holthus thought this was a great idea but had many questions and when she first looked at this she thought of a petting zoo but when she read further into it this became less of a petting zoo and more animal therapy so she wondered if what they were calling the change in the City Code was correct. Should it be a petting zoo or animal therapy. She also wondered if the State of Minnesota had any certification for animal therapy or an animal therapist. She also came up with more questions in regard to the students and animals. That she would like to ask the applicant and wondered how they would handle a CUP like this. Chairperson Daninger asked if the Council in their workshop look at a different area to define this as. Mr. Bednarz stated they did talk briefly about where in the City Code it might fit, they talked about the home occupation ordinance and as shown in the staff report there are some specific regulations for home occupations operating out of accessory structures that would conflict with the proposal which is only a three acre minimum and other things so they could go back into the home occupation code and spend time reworking it but it was deemed to be a little more straight forward and simpler to look at amending the uses section of the code with an appropriate definition but to have that listed as a use on larger than five acres and as a CUP. Commissioner Kirchoff asked without this being described as a petting zoo a person could have animals to this degree on eight acres already or was there a restriction on the type of animal. Mr. Bednarz stated this is regulated by acreage and the type of animal. Commissioner Kirchoff asked the only reason why they were looking at this being a CUP was because it was a business. Mr. Bednarz indicated that was correct. Commissioner Holthus thought this business seemed like more of a treatment or some exposure to animals that will have a result in the end and when she thinks of a petting zoo she thinks more recreational and not necessarily to reach some sort of goal. She thought a petting zoo to her seemed recreational so she wondered if this was called the correct thing. She also wanted the children and staff to be safe. She would like to be sure the animals are safe and that no one gets hurt. She also wondered what the State of Minnesota requires for animal therapists. Motion by Casey, seconded by Kirchoff, to open the public hearing. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Mr. Don Eveland, 2575 Andover Boulevard, thought this was a horrible idea. He stated he hated the classification of petting zoo because he allows people to come to his farm Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 4 and see and pet his animals. He stated the USDA will want to check the animals annually to make sure they are being taken care of He stated the animals will need to be accounted for. He did not think this should be a Conditional Use Permit of any kind. He thought if this was approved it would affect his business. He did not understand why the City needs to be involved in this. He thought the City was singling them out rather than all the other farms and factories going on in Andover. He did not understand why a person would need to have a CUP for animals. Commissioner Kirchoff asked if he had an animal farm where people came to the farm to pet his animals. Mr. Eveland stated that was correct but they come to see the animals and not necessarily to pet them. He stated if this is approved he will be required to have a CUP for his farm. He did not think the City had a right to be able to shut him down if they wanted to. Ms. Lauren Fischell, 4618 161" Avenue NW, Andover, was at the meeting to answer questions. Commissioner Holthus asked how Mr. Fischell can be absolutely positive that the animals the children will be exposed to will be safe. Ms. Fischell stated one of the ways of doing that is to bring them up as babies. She stated she is also running a small rescue farm and has had fifteen years in the animal rescue business. She stated the animals have to be certified as therapy animals so regardless of the animal she would envision raising some of them herself and they will need to be certified therapy appropriate in order to use them. Commissioner Holthus wondered how long the children will be exposed to the animals to work with them. Ms. Fischell indicated she envisioned a couple of hours in a group of maybe five students. Special Ed students are small with a couple of teachers. Commissioner Holthus asked if she thought of the word petting zoo or was this more of a therapeutic business for her. Ms. Fischell indicated she never thought this would be a petting zoo and when she talked with staff they needed to someone to envision what the structure was and they thought of the petting zoo because the animals will be, depending on the weather, in a building or outside in a pen, segregated so a student can work with each animal individually. Commissioner Holthus asked if the certification of the animals comes from the State of Minnesota. Ms. Fischell stated it is in her business plan and believed there are people in Minnesota that certifies animals. Commissioner Holthus asked if Ms. Fischell will need to get certified by the State. Ms. Fischell stated there is no certification and the people running these types of programs are Special Ed teachers, psychologists and social workers. There are no certifications anywhere in the Country for animal certification that she was aware of. f l Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 5 Commissioner Holthus asked if there would be only one school bus at a time. Ms. Fischell indicated that was correct. Commissioner Holthus asked how often the children would come to receive therapy. Ms. Fischell indicated that would be up to each individual school system. Commissioner Holthus asked Ms. Fischell if she has approached District 16 or 11 about her program. Ms. Fischell indicated she has not done that yet. She stated she has approached her own school about the program and they would be happy to utilize it. Commissioner Casey asked what type of animal Ms. Fischell will be using. Ms. Fischell did not envision a riding therapy program but would be using pigmy goats, potbelly pigs, llamas and donkeys. Commissioner Walton asked if there will be any advertisement or signage on the property. Ms. Fischell stated if she would she would need to go before the City for approval. She also envisioned a color brochure and visits to Special Ed directors. Commissioner Walton asked if there will be a fee or will this be open to the general public. Ms. Fischell stated the business will not be open to the public. Commissioner Walton asked how they are set up for buses. Ms. Fischell indicated the property was large enough to accommodate a bus. Commissioner Walton asked if her neighbors would be able to see a bus on the property. Ms. Fischell explained where on her property the bus would park. Chairperson Daninger stated his concern was snow removal. He asked what she would do if someone wanted to have a birthday party at this site. Ms. Fischell stated this would not be allowed because it will be strictly for therapy and helping special education students. Chairperson Daninger asked if there will be other people working there. Ms. Fischell explained it depended on how big the business becomes and how many schools visit. Chairperson Daninger asked what kind of animals she rescued and will they be segregated from the people. Ms. Fischell stated at present they have a few horses, a pony and two goats, which are segregated and would not work for therapeutic purposes because of their temperament. They are housed in a different place. Commissioner Falk asked how many kids she planned to have on site at one time. Ms. Fischell stated she planned on having five to eight students at one time. Commissioner Kirchoff asked if a person had a licensed therapy business in Andover would they need to have a home permit from the City. He asked if another building were Regular Andover Planning and Zoning Commission Meeting Minutes —September 8, 2009 Page 6 placed on site where therapy would be conducted what would they need a permit for other than animals because he did not think they should apply. Mr. Bednarz stated once a business is operated outside of an accessory building a Conditional Use Permit is needed under the terms of their home occupation ordinance along with at least three acres. Commissioner Kirchoff stated he thought this was a great business idea but he wondered if they really wanted to have this require a permit. Mr. Eveland stated the whole thing about this being a home business bothers him because it really is not in the home. The way this is written up, animals are permitted on five acres or more so basically anyone in Andover could have animals with a business like theirs. He stated there is no small acreage requirement. To him this is too much government. Motion by Walton, seconded by Casey, to close the public hearing. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Commissioner Kirchoff asked what would have to change in their existing ordinance to allow a business like this in Andover. Mr. Bednarz explained what the City would need to review and possibly change for a business like this to be allowed to exist in the City. The Commission discussed if they should add a paragraph to the code for this type of business or if this should be allowed without a CUP as a home business. Commissioner Holthus did not think they should anything to their City Code but if they did it should indicate "animal therapy" and not "petting zoo". Commissioner Falk thought this should be considered a farm. It is a business, which will need to be regulated somehow. Maybe they need to treat this as a home business and go from there. Mr. Bednarz reviewed if the City did not do any changes what would be required for the business to operate in Andover. Commissioner Walton stated he liked the idea of modifying the home occupation and calling it a therapy business. This is a fine line between farming and a different type of business with animals. He thought it would be good to lay some kind of baseline down on how to manage a home -based business versus a farm. He thought there needed to be some kind of regulation because it is not fanning; it needs a home occupation definition but not necessarily elsewhere in the code. Motion by Holthus, seconded by Casey, to recommend they do not add the Chapter 12 change to the City Code. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Regular Andover Planning and Zoning Commission Meeting Minutes —September 8, 2009 Page 7 Mr. Bednarz stated that this item would be before the Council at the September 15, 2009 City Council meeting. PUBLIC HEARING: CONDITIONAL USE PERMIT (09 -08) TO ALLOW TELECOMMUNICATIONS ANTENNA WITHIN PRAIRIE KNOLL PARK. Ms. Perera noted T- Mobile has applied for a Conditional Use Permit to locate a cellular phone antenna in Prairie Knoll Park at the location of one of the existing light poles west of the ball field. City Code 9 -12 provides the specific requirements for antennas and towers. Ms. Perera reviewed the staff report with the Commission. Commissioner Cleveland asked if the current light pole required a setback. Ms. Perera replied that it did not, just antennas and towers would require a setback. Commissioner Falk stated he came to the conclusion that some of the light poles have started to enlighten him because the city has changed the ordinance in the past to allow more than one antenna to be placed on a pole. Chairperson Daninger agreed. Commissioner Falk thought companies were now finding out they can use light poles now and get away with only having one antenna on them. He thought the City was at risk of having a lot of light poles with only one antenna on them if collocation requirements are not upheld. Chairperson Daninger explained the reason for the previous ordinance amendment pertaining to the subject. Commissioner Walton asked if this was the only location looked at in Prairie Knoll Park. Ms. Perera replied that the applicant was trying to maintain the existing character of the park and use the existing landscape as a buffer by utilizing this particular light pole. Commissioner Walton asked if the parking light at the north end of the park intended to be a temporary light structure. Ms. Perera was not sure. Motion by Falk, seconded by Walton, to open the public hearing. Motion carried on a 7- ayes, 0 -nays, 0- present, 0- absent vote. Mr. Jim Linahan, 665 148 Lane, asked if the Commission would want a large antenna in their front yard. He stated he did not want this across from his front yard and he wondered why the business could not find someplace where it will not be so intrusive to them and others. He did not think they needed this proposal. He also wondered what kind of radiation this will emit because he did not want any health issues because of this. He thought the building will be an eyesore along with the existing building already there. Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 8 Mr. Severen Bernin, 645 148 Lane, asked if anyone has done their homework regarding the possibility of dangers associated with a cell tower. He also thought if the City had space for an easement to get to a tower he suggested putting in a parking area because people are parking on Prairie Knoll Drive and he stated his concerns for safety related to existing traffic and parking in the area. Mr. Paul Harrington, Carlson and Harrington, indicated he does Site Acquisition work for wireless companies. He explained how they determine site acquisition along with how this site will look with the tower and building proposed. Commissioner Holthus asked how often the technician would need to reach the accessory building. Mr. Harrington stated they would come out about once a month for half an hour during business hours. He stated that he discussed working out a snow plowing agreement with staff. The applicant would be willing to snow plow the path to the building for access purposes. Commissioner Holthus asked what the health risks are. Mr. Harrington stated they are subject to the requirements of the FDA. He reviewed what the FDA and FCC require in regard to threshold requirements. Commissioner Falk asked if they were to extend the tower higher could they accommodate more customers. Mr. Harrington stated they could but the design of the pole would need to change or else "arms" could be added to the proposed pole in the future to accommodate for additional users. If they designed the pole to allow for additional users at this time, the pole would need to be a larger diameter since all of the cables are internal. Commissioner Falk asked if they were going to put fencing around the building. Mr. Harrington stated they did not plan to but could if the City wanted them to. He stated the building was secure and all the wiring would be run underground. He noted all their equipment could also be housed outside without a building to lower the footprint. Commissioner Walton asked if there was a reason why they selected this particular pole and not any other in the park. Mr. Harrington stated they wanted to capitalize on any type of screening already there and where the building would fit it in so it will not be as noticeable. Chairperson Daninger asked if Mr. Harrington was familiar with their lighting ordinance. Mr. Harrington indicated he was. Chairperson Daninger believed the proposed easement needs to be a paved surface. Ms. Perera stated they would be utilizing the existing path that is already there. Chairperson Daninger asked how the noise will be contained. Mr. Harrington stated the equipment will produce noise equivalent to a well operating household refrigerator. Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 9 Chairperson Daninger asked if Mr. Harrington would have a problem if they required sod rather than seed for replacement as one of the conditions of approval. Mr. Harrington indicated he would be fine with that. Chairperson Daninger stated there was mention of a fence and he was not really in favor of a fence but asked how they were going to protect their cable trays. Mr. Harrington indicated that the cables will be going underground since this is being proposed in a park. Chairperson Daninger asked when construction would be started. Mr. Harrington hoped it would be started in the spring 2010. Mr. Harrington reviewed with the Commission the problem they would have with co- location on this pole. Mr. Linahan asked if there was noise associated with the equipment. Chair Daninger stated that it would be as loud as a refrigerator. Mr. Linahan commented that the path may get destroyed with trucks driving on the path. Chairperson Daninger stated anything they destroy will need to be fixed by the applicant. Mr. Bernin asked if the structure was l Ox 12. Mr. Harrington indicated it was. Mr. Bernin stated he already looks at a couple of these buildings and does not want to see another one in the park. Mr. Harrington stated there is a condition regarding a sunset clause and he wondered if this is regarding when construction starts or if the CUP could expire for something other than discontinuing the operation. Mr. Bednarz stated the sunset clause is just to ensure you follow through with the construction within twelve months. Motion by Walton, seconded by Kirchoff, to close the public hearing. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Commissioner Casey asked what is the approximate height of the wooded area where the antenna and building are being proposed. Chairperson Daninger explained how tall the trees are approximately based on the height of the bleachers in the park. Commissioner Holthus asked what happens to the money the City gets from the cell phone company. Ms. Perera stated the funds will need to stay within the park for future improvements made within the park. Ms. Peres stated there is a proposed sample of what the building might look like and a condition in the resolution is that the exterior of the building be similar to the warming house currently located in the park. She stated if approval is recommended they would be recommending approval of a variance from the setback as well as the co- location requirements. Regular Andover Planning and Zoning Commission Meeting Minutes —September 8, 2009 Page 10 Chairperson Daninger asked if any of the Commissioners had issues with the setback. No one did. Chairperson Daninger asked if any of the Commissioners had issues with not co- locating. Commissioner Falk indicated he did. He asked if the building could hold more than one co- locator. Chairperson Daninger thought it would be just for T- Mobile but they could request the building be made bigger to accommodate additional users in the future. Commissioner Falk stated he would like to have the building bigger because there is a possibility they could have another co- locator in the future. Commissioner Kirchoff thought it was less intrusive by not having the co- locations and the possibility of hanging antennas on the sides of the tower. Commissioner Cleveland stated there are already some miscellaneous buildings in the park that the citizens are opposed to having and they would be opposed to having anymore. He thought they would need to have a much larger building if they added co- location. Chairperson Daninger concurred. He felt co- location would not work and would like to keep the building smaller if possible. He noted there are other light poles if another company came in and requested location in the park. Chairperson Daninger asked if anyone was opposed to the proposed location. No one was opposed. Motion by Falk, seconded by Kirchoff, to approve as presented adding that this will be a single location only. Chair Daninger asked if they could change Item 4 to sod instead of seed. The other Commissioners felt seed would be better because of watering needs. Motion carried on a 7 -ayes, 0 -nays, 0- present, 0- absent vote. Mr. Bednarz stated that this item would be before the Council at the October 6, 2009 City Council meeting. OTHER BUSINESS. Mr. Bednarz updated the Planning Commission on related items. ADJOURNMENT. e Motion by Falk, seconded by Casey, to adjourn the meeting at 8:53 p.m. Motion carried on a 7 -ayes, 0 -nays, 0- absent vote. Regular Andover Planning and Zoning Commission Meeting Minutes — September 8, 2009 Page 11 Respectfully Submitted, Sue Osbeck, Recording Secretary Timesaver Off Site Secretarial, Inc. 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Planning & Zoning Commission FROM: Jim Dickinson, City Administrator SUBJECT: Approve Resolution - Finding that the Modification to the Development Program for Development District No. 1 and the Proposed Adoption of the Modifications to the TIF Plans for TIF District Nos. 1 -1 & 1 -2 Conform to General Plans for the Development and Redevelopment of the City. DATE: October 27, 2009 INTRODUCTION As the City reaches the decertification dates of TIF District 1 -1 and 1 -2, City Administration would like to do some basic "housekeeping" to assure that the decertification and final close out reports for the TIF Districts goes smoothly. DISCUSSION A number of years ago (and Finance Directors ago), the budgets that were adopted for the TIF districts were under the true "pooling" concept, where the budget was not allocated by district, but by projects. Subsequent to the adoptions of those budgets, the Office of the State Auditor (OSA) is requiring the allocation by District instead of project. Since the new OSA requirement, there has been some confusion as to the most correct way to allocate the budgets. As a result, City Administration is recommending that the City process a formal adoption of a budget modification to allocate and confirm the budgets according the new OSA requirement. The attached resolution for the Planning and Zoning Commission is to document that the Commission has reviewed the modifications to determine their conformity with the general plans for the development and redevelopment of the City as prescribed in the comprehensive plan for the City. For the Commission's review I have attached the draft TIF plan modifications that were submitted to the County and the School District. The proposed modifications only clarify the budget and the duration of the TIF Districts, the city is not modifying the boundaries or proposing any land use changes that would impact the existing Comprehensive Plan. ACTION REQUESTED Receive a brief presentation, discuss and approve the attached resolution "Finding that the Modification to the Development Program for Development District No. I and the Proposed Adoption of the Modifications to the TIF Plans for TIF District Nos. 1 -1 & 1 -2 Conform to General Plans for the Development and Redevelopment of the City ". 12- PLANNING AND ZONING COMMISSION CITY OF ANDOVER ANOKA COUNTY, MINNESOTA RESOLUTION NO. RESOLUTION OF THE CITY OF ANDOVER PLANNING AND ZONING COMMISSION FINDING THAT A MODIFICATION TO THE DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 A MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -1 (COUNTY NO. F9) AND A MODIFICATION TO THE TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -2 (COUNTY NO. GI) CONFORM TO THE GENERAL PLANS FOR THE DEVELOPMENT AND REDEVELOPMENT OF THE CITY. WHEREAS, the Economic Development Authority and the City of Andover have proposed to adopt a Modification to the Development Program for Development District No. 1 (the "Development Program Modification "), a Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1, and a Modification to the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 (the "TIF Plan Modifications ") therefor (the Development Program Modification and the TIF Plan Modifications are referred to collectively herein as the "Modifications ") and have submitted the Modifications to the City Planning Commission (the "Commission ") pursuant to Minnesota Statutes, Section 469.175, Subd. 3, and WHEREAS, the Commission has reviewed the Modifications to determine their conformity with the general plans for the development and redevelopment of the City as described in the comprehensive plan for the City. NOW, THEREFORE, BE IT RESOLVED by the Commission that the Modifications conform to the general plans for the development and redevelopment of the City as a whole. Dated: October 27, 2009 Chair ATTEST: City Clerk _-5 -- October 16, 2009 BY FAX AND BY REGULAR MAIL Maureen Devine Marci Anderson Property Records /Taxation Division School Board Clerk Anoka County Anoka - Hennepin ISD # 11 2100 3rd Avenue 11299 Hanson Boulevard NW Anoka, MN 55303 Coon Rapids, MN 55433 -3799 Re: The Andover Economic Development Authority/City of Andover and the proposed modifications of two redevelopment tax increment financing districts The Andover Economic Development Authority (the "EDA ") and the City of Andover (the "City") are considering a proposal to modify the Development Program for Development District No. 1 and to modify the Tax Increment Financing Plans (the "TIF Plans ") for Tax Increment Financing District Nos. 1- 1 and 1 -2 (the "TIF Districts "), referred to collectively herein as the "Modifications ". The Modifications are being completed to clarify the budget and duration of the TIF Districts, and to bring the TIF Plans into conformance with current Office of State Auditor requirements and legislative changes. The City is not modifying the boundaries or extending the term of the TIF Districts. A map of the TIF Districts is in Exhibit A of the enclosed Modifications. As required by Minnesota Statutes, Section 469.175, Subd. 2 and 4, we hereby forward a draft of the Modifications for the TIF Districts. Please note that the Modifications are in draft form for distribution to the County Board and the School Board. The Modifications contain the estimated fiscal and economic implications of the proposed modified TIF Districts. The EDA and City reserve the right to make changes to the Modifications prior to the public hearing, however the authorized costs will not increase. We would like to solicit your comments and offer to meet with you at your convenience, if you so desire. In addition, we invite you to attend the public hearing to be held by the City Council at City Hall on November 17, 2009, beginning at approximately 7:00 P.M., or to direct any comments or questions that you may have to Jim Dickinson (City of Andover) at 763 - 767 -5110, or to me at 651- 697 -8504. Thank you for your consideration in reviewing the enclosed Modifications. Sincerely, EHLERS & ASSOCIATES, INC. Shelly Eldridge Financial Advisor Acting for and on behalf of the Andover EDA and the City of Andover, Minnesota Enclosure cc: Jim Dickinson, City of Andover Mary Ippel, Briggs and Morgan, P.A. Will Neumeister, City of Andover Jenny Boulton, Briggs and Morgan, P.A. Lee Brezinka, Ehlers & Associates, Inc. _y www,ehlers- inc.com JKM E H L E RS Minnesota phone 651 - 697 -8500 3060 Centre Pointe Drive LEADERS IN PUBLIC FINANCE Offices also in Wisconsin and Illinois fax 651- 697 -8555 Roseville, MN 55113 -1122 toll free 800- 552 -1171 As of October 15, 2009 Draft for Fiscal Implications MODIFICATIONS TO THE TAX INCREMENT FINANCING PLANS for TAX INCREMENT FINANCING DISTRICT NO. 1 -1 (COUNTY NO. F9) and TAX INCREMENT FINANCING DISTRICT NO. 1 -2 (COUNTY NO. G1) both redevelopment districts located within DEVELOPMENT DISTRICT NO. 1 NDOVER' ANDOVER ECONOMIC DEVELOPMENT AUTHORITY CITY OF ANDOVER ANOKA COUNTY STATE OF MINNESOTA TIF District No. 1 -1 Adopted: July 29, 1986 TIF District No. 1 -2 Adopted: September 2, 1986 Public Hearing on the Modifications: November 17, 2009 Modifications Adopted: This document is in draftform for distribution to the County and the School District. The TIF Plan Modifications contain the estimated fiscal and economic implications of the proposed modified TIFDistricts. The EDA or City may make minor changes to this draft documentprior to the public hearing. ERWWVWW EHLERS Prepared by: EHLERS & ASSOCIATES, INC. 3060 Centre Pointe Drive, Roseville, Minnesota 55113 -1105 651- 697 -8500 fax: 651 - 697 -8555 www.ehlers- inc.com LEADERS IN PUBLIC FINANCE TABLE OF CONTENTS (for reference purposes only) MUNICIPAL ACTION TAKEN ........................... ..............................i SECTION I. DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 ................ 1 -1 Subsection 1.1. Definitions ....................... ............................... 1 -1 Subsection 1.2. Statement and Finding of Public Purpose .............................. 1 -2 Subsection 1.3. Statutory Authority ................ ............................... 1 -2 Subsection 1.4. Statement of Objectives ............ ............................... 1 -2 Subsection 1.5. Estimated Public Costs and Supportive Data ........................... 1 -3 Subsection 1.6. Environmental Control ............. ............................... 1 -6 Subsection 1.7. Proposed Reuse of Property ......... ............................... 1 -6 Subsection 1.8. Administration and Maintenance of the Development District . ............. 1 -7 Subsection 1.9. Rehabilitation .................... ............................... 1 -7 Subsection 1.10. Relocation ......................... ............................1 -7 Subsection 1.11. Boundaries of the Development District .............................. 1 -7 Subsection 1.12. Parcels to be Acquired or Which may be Acquired in Whole or in Part Within the Development District ................ ............................1 -8 SECTION II. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -1 . ............................... 2 -1 Subsection 2.1. Statement of Obiectives ............ ............................... 2 -1 Subsection 2.2. Development Proaam ............. ............................... 2 -1 Subsection 2.3. Parcels to be Included in Tax Increment Financing District No ............. 2 -1 Subsection 2.4. Parcels in Acquisition .............. ............................... 2 -1 Subsection 2.5. Development Activity in the Development District for which Contracts have been Signed ........................ ............................2 -2 Subsection 2.6. Other Specific Development Expected to Occur within the Development District .. ............................2 -2 Subsection 2.7. Estimated Ct f Poje ........... ............................... 2 -2 Subsection 2.8. Estimated Amount of Bonded Indebtedness ............................ 2 -3 Subsection 2.9. Sources of Revenue ................ ............................... 2 -3 Subsection 2.10. Estimated Original and Captured Assessed Values and Estimate of Tax Increment ......................... ............................2-4 Subsection 2.11. Mill Rate ....................... ............................... 2 -4 Subsection 2.12. Tax Increment ................... ............................... 2 -4 Subsection 2.13. Capitalized Interest ................ ............................... 2 -4 Subsection 2.14. Investment Interest Rate .......... ............................... 2 -5 Subsection 2.15. Tvpe of Tax Increment Financing District ............................ 2 -5 Subsection 2.16. Duration of Tax Increment Financing District No. 1 -1 . .................. 2 -5 Subsection 2.17. Estimated Impact on Other Taxing Jurisdictions . ....................... 2 -5 Subsection 2.18. Tax Increment Financing Account for Tax Increment Financing District 1 -1 . ................. ............................... 2 -7 Subsection 2.19. Modification of Tax Increment Financing District No.1 -1 and/or Tax Increment Financing Plan .......... ............................... 2 -7 Subsection 2.20. Administrative Expenses . .......... ............................... 2 -8 Subsection 2.21. Use of Tax Increment . ............. ............................... 2 -9 —�Kl- SECTION III. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -2 . ............................... 3 -1 Subsection 3.1. Statement of Objectives . ............ ............................... 3 -1 Subsection 3.2. Development Program . ............. ............................... 3 -1 Subsection 3.3. Parcels to be Included in Tax Increment Financing District No. 1 -2 ......... 3 -1 Subsection 3.4. Parcels in Acquisition . ............. ............................... 3 -1 Subsection 3.5. Development Activity In the Development District for which Contracts have beenSigned . ....................... ............................3 -1 Subsection 3.6. Other Specific Development Expected to Occur within the Development District. ............................ ............................ -2 Subsection 3.7. Estimated st of Project ............ ............................... Co 3 -2 Subsection 3.8. Estimated amount of Bonded Indebtedness ............................. 3 -2 Subsection 3.9. Sources of Revenue . ............... ............................... 3 -3 Subsection 3.10. Estimated Original and Captured Assessed Values and Estimate of Tax Increment . ........................ ............................3 -3 Subsection 3.11. Mill Rate . ...................... ............................... 3 -4 Subsection 3.12. Tax Increment . .................. ............................... 3 -4 Subsection 3.13. Capitalized Interest ................ ............................... 3 -4 Subsection 3.14. Investment Interest Rate . ............................. 3 -4 is;ric Subsection 3.15. Type of Tax Increment Financing District . ............................ cin 3 -4 Subsection 3.16. Duration of Tax Increment Financing District No. 1 -2 . .................. 3 -5 Subsection 3.17. Estimated Impact on Other Taxing Jurisdictions . ....................... 3 -5 Subsection 3.18. Tax Increment Financing Account for Tax Increment Financing District No. 1 -2 . ............................................... 3 -6 Subsection 3.19. Modification of Tax Increment Financing District No. 1 -2 an Tax Increment Financing- Plan . ............ ............................3 -6 Subsection 3.20. Administrative Expenses . .......... ............................... 3 -7 Subsection 3.21. Use of Tax Increment . ............. ............................... 3 -7 Subsection 3.22. Excess Increments . ............... ............................... 3 -8 MUNICIPAL ACTION TAKEN Based upon the statutory authority described inthe Development Program attached hereto, the public purpose findings by the City Council and for the purpose of fulfilling the City's development objectives as set forth in the Development Program, the City Council has created, established and designated Development District No. 1 pursuant to and in accordance with the requirements of Minnesota Statutes, Section 469.126. The following municipal action was taken in connection therewith; July 29, 1986: The Development Program for Development District No. 1 was adopted by the City Council. September 2, 1986: The Development Program for Development District No. 1 was modified by the City Council. September 15, 1987: The Development Program for Development District No. 1 was modified by the City Council. April 5,1994: The Development Program for Development District No. l was transferred by the City Council to the Andover Economic Development Authority ( "EDA"). February 21, 1995: The Development Program for Development District No. 1 was modified by the EDA to reflect increased geographic area and increased project costs. September 19, 1995: The Development Program for Development District No. I was modified to increase authorized public costs, increase maximum bonded indebtedness and identify additional parcels for potential acquisition. June 20, 2000: The Development Program for Development District No. 1 was modified by the EDA to reflect increased public costs (Subsection 1.5) and technical and clarifying changes in Subsections 1.1, 1.3, 1.8, 1.10, 1.12. November 17,2009: The Development Program for Development District No.1 was modified to clarify the budgets and duration of TIF District Nos. 1 -1 and 1 -2. The following municipal action was taken with regard to the Tax Increment Financing Districts locatedwithin Development District No. 1: Tax Increment Financing District No. 1 -1: July 29, 1986: The Tax Increment Financing Plan for Tax Increment District No. 1 was adopted by the City Council. September 2, 1986: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was modified by the City Council. September 15, 1987: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was modified by the City Council. April 5, 1994: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was City of Andover Municipal Action Taken i y— transferred by the City Council to the Andover Economic Development Authority ( "EDA ") February 21, 1995: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was modified by the EDA to reflect increased geographic area and increased project costs within Development District No. 1. September 19, 1995: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was modified to increase authorized public costs, increase maximum bonded indebtedness and identify additional parcels for potential acquisition. June 20,2000: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 was modified to reflect increased expenditures, increased maximum bonded indebtedness, and general revisions to reflect current statutory references and provisions. November 17,2009: The Tag Increment Financing Plan for Tag Increment Financing District No. 1-1 was modified to clarify the budget and duration. Tax Increment Financing District No. 1 -2: September 2, 1986: The Tax Increment Financing Increment Financing Plan for Tax Increment Financing District No. 1 -2 was adopted by the City Council. April 5, 1994: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 was transferred by the City Council to the Andover Economic Development Authority ( "EDA "). February 21, 1995: The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 was modified by the EDA to reflect increased geographic area and increased project costs within Development District No. 1. November 17,2009: The Tag Increment Financing Plan for Tax Increment Financing District No. 1 -2 was modified to clarify the budget and duration. Tax Increment Financing District No. 1 -3: October 7, 1997: The Tax Increment Financing Increment Financing Plan for Tax Increment Financing District No. 1 -2 was adopted by the City Council. Tax Increment Financing District No. 1 -4: September 21, 2004: The Tax Increment Financing Increment Financing Plan for Tax Increment Financing District No. 1 -2 was adopted by the City Council. City of Andover Municipal Action Taken n I i�_. SECTION I. DEVELOPMENT PROGRAM FOR DEVELOPMENT DISTRICT NO. 1 Subsection 1.1. Definitions. The terms defined below shall, for purposes of this Development Program, have the meanings herein specified, unless the context otherwise specifically requires: "City" means the City of Andover, a municipal corporation and political subdivision of the State of Minnesota. "Comprehensive Plan" means the City's Comprehensive Plan which contains the objectives, policies, standards and programs to guide public and private land use, development, redevelopment and preservation for all lands and water within the City. "Council" means the City Council of the City, also referred to as the governing body. (See "Governing Body" below). "County" means the County of Anoka, Minnesota. "Development District Act" means the statutory provisions of Minnesota Statues, Sections 469.124 through 469.134 as amended and supplemented. "Development District" means Development District No. 1 in the City, which is created and established hereto pursuant to and in accordance with the Development District Act, and is geographically described in Section I, Subsection 1.11. of the Development Program. The Development District serves as the Project area for the purposes of Minnesota Statutes, Section 469.174, Subdivision 8. "Development Program" means this Development Program for Development District No. 1, initially adopted by the Council on July 29, 1986. As defined in Minnesota Statues, Section 469.125, Subdivision 3, a development program is a statement of objectives of the City for improvement of a development district which contains a complete statement as to the public facilities to be constructed within the district, the open space to be created, the environmental controls to be applied, the proposed reuse of private property and the proposed operations of the district after the capital improvements within the district have been completed. "EDA" means the Economic Development Authority for the City of Andover operating pursuant to Minnesota Statutes, Sections 469.090 through 469.1082. "Governing Body" means the duly elected City Council as defined in Minnesota Statutes Section 472A.02, subdivision 10. "State" means the State of Minnesota "Tax Increment Bonds" means any general obligation or revenue tax increment bonds issued and to be issued by the City to finance the public costs associated with Development District No. I as stated in the Development Program and in the Tax Increment Financing Plan for each Tax Increment Financing District within Development District No. 1. The term "Tax Increment Bonds" shall also include any obligations issued to refund the Tax Increment Bonds. "Tax Increment Financing District" means any tax increment financing district presently established or to be established in the future within Development District No. 1. City of Andover Development Program for Development District No. 1 1 -1 --A;— "Tax Increment Financing Act" means the statutory provisions of Minnesota Statutes, Sections 469.174 through 469.1799 inclusive, as amended. "Tax Increment Financing Plan" means the respective Tax Increment Financing Plan for each Tax Increment Financing District located within Development District No. 1. Subsection 1.2. Statement and Finding of Public Purpose. The City Council (the "Council') of the City of Andover (the "City") determines that there is a need for development and redevelopment within the corporate limits of the City in Development District No. 1 (the "Development District ") to provide employment opportunities, to improve the tax base and to improve the general economy of the State. It is found that the area within the Development District is potentially more useful and valuable than is being realized under existing development, is less productive than is possible under this program and, therefore, is not contributing to the tax base to its full potential. Therefore, the City has determined to exercise its authority to develop a program for improving the Development District of the City to provide impetus for private development, to maintain and increase employment, to utilize existing potential and to provide other facilities as are outlined in the Development Program adopted and modified by the City. The Council has also determined that the proposed development would not occur solely through private investment in the foreseeable future; that the tax increment financing plans proposed herein are consistent with the Development Program; and that the tax increment financing plans will afford maximum opportunity, consistent with the sound needs of the municipality as a whole, for the development or redevelopment of the Development District by private enterprise. The Council finds that the welfare of the City as well as the State of Minnesota requires active promotion, attraction, encouragement and development of economically sound industry and commerce to carry out its stated public purpose objectives. Subsection 1.3. Statutory Authority The Council determines that it is desirable and in the public interest to establish, develop and administer a Development Program for the Development District in the City to implement its Development District Plan, pursuant to the provisions of Minnesota Statutes. Funding of the necessary activities and improvements in the Development District shall be accomplished through tax increment financing in accordance with Minnesota Statutes, and through the use of industrial revenue bonds pursuant to the provisions of Chapter 474, as amended, of Minnesota Statutes (the "Municipal Industrial Development Act'). The City has designated a specific area within the corporate limits of the City as the Development District as authorized by Section 469.126 of the Development District Act which is hereby amended as outlined in this document. Within the Development District, the City has established three tax increment financing districts. Subsection 1.4. Statement of Objectives The Council determines that the establishment of the Development District will provide the City with the ability to achieve certain public purpose goals not otherwise obtainable in the foreseeable future without City intervention in the normal development process. The public purpose goals include: restoration and improvement of the tax base and tax revenue generating capacity of the Development District; increased employment opportunities; realization of comprehensive planning goals; removal of blighted conditions; revitalization of the property within the Development District to create an attractive, comfortable, convenient, and efficient area for industrial, commercial, and related uses. City of Andover Development Program for Development District No. 1 1 -2 The City and Council seek to achieve the following Development Program objectives: 1. Promote and secure the prompt development of certain property in the Development District, which property is not now in productive use or in its highest and best use, in a manner consistent with the City's Comprehensive Plan and with a minimum adverse impact on the environment, and thereby promote and secure the development of other land in the City. 2. Promote and secure additional employment opportunities within the Development District and the City for residents of the City and the surrounding area, thereby improving living standards, reducing unemployment and the loss of skilled and unskilled labor and other human resources in the City. 3. Secure the increase of commercial property subject to taxation by the City, Independent School District No. 11, Anoka County, and the other taxing jurisdictions in orderto better enable such entities to pay for governmental services and programs required to be provided by them. 4. Provide for the financing and construction of public improvements in and adjacent to the Development District, necessary for the orderly and beneficial development of the Development District and adjacent areas of the City. 5. Promote the concentration of new desirable residential, commercial, office, and other appropriate development in the Development District so as to maintain the area in a manner compatible with its accessibility and prominence in the City. 6. Encourage local business expansion, improvement, and development, whenever possible. Create a desirable and unique character within the Development District through quality land use alternatives and design quality in new and remodeled buildings. 8. Encourage and provide maximum opportunity for private redevelopment of existing areas and structures which are compatible with the Development Program. Subsection 1.5. Estimated Public Costs and Supportive Data The estimated costs of the public improvements to be made within the Development District and financed by tax increments will be derived from the tax increment financing districts within the Development District. (AS ORIGINALLY ADOPTED July 29, 1986) Tax Increment Financing District No. 1 -1 Land Acquisition $2,000,000 Relocation 1,000,000 Demolition 10,000 Improvements Including: soil correction, sewer & water, sanitary sewer, street lighting, curb and gutter 1,000,000 Removal of Hazardous Waste 1,000,000 Professional Services City of Andover Development Program for Development District No, 1 1 -3 — AE, Estimated project costs for legal assistance, planning, design, engineering, appraisals, marketing, bond issuance costs, and other project services 1,000,000 Discount 95,000 Interest on Bonds Prior to Receipt of Tax Increment To Fully Fund Principal and Interest 1,019,281.50 Less: Interest Income Earned During the Capitalized Interest Period - Assume 6% Interest Rate 97,469.53 Total Amount of Bonds to be Sold 4,810,000 Administrative Expense 264,000 (AS MODIFIED FEBRUARY 21, 1995) The estimated costs of public improvements to be made within the Development District and financed by tax increments derived from tax increment financing districts within the Development District are modified to include the following: Public Improvements, including sewer and water trunk lines to be located north of Crosstown Boulevard and adjacent to the Andover Public Utilities Building and park property. $1,000,000 (AS MODIFIED SEPTEMBER 19, 1995) The capital and administration costs identified in the Development Program and the Tax Increment Financing Plans for Tax Increment Financing Districts Nos. 1 -1 and 1 -2 are amended to reflect the following budget increases: Land acquisition and site improvements $3,000,000 Public improvements and public facilities 11,400,000 Administration expense and costs of issuance 1,600,000 Total project costs and maximum principal of bonds to be issued $16,000,000 As part of the 2000 Modifications, the budget for District No. 1 -1 has been configured to match the current annual reporting requirements. The column for each budget modification contains the expenditures added to the budget. The Bond interest payments added through the 2000 Modifications is not a new expense, but a recognition of the interest related to the principal authorized in 1995. The modified budget appears in the following table. City of Andover Development Program for Development District No. 1 1 -4 Total Uses of Funds 13,979,000 1,000,000 32,000,000 16,000,000 62,979,000 The amounts above include expenditures to be made outside ofDistrictNo. 1 -1 and within the Development District subject to the limitations of the Tax Increment Financing Act. Supportive Data for Estimated Costs of Improvements for the Development District Under the Development Program It was necessary to make certain assumptions regarding income, costs and timing of the tax increment financing district. These assumptions are based on discussions with City and County staff andthe developers. Item Basis for Estimate Acquisition, Improvements, Estimated by City Demolition, Relocation Professional Services Estimated by City Attorney, Bond Counsel and Financial Consultant (AS MODIFIED SEPTEMBER 2, 1986) Tax Increment Financing District No. 1 -2 Land Acquisition* $450,000 Public Improvements 450,000 Credit Support Expense (e.g., Letter of Credit Fees) 4,404.75 City of Andover Development Program for Development District No. 1 1 -5 -44- Original TIF 2/95 9/95 2000 Total Uses of Funds Plan Modification Modification Modification Budget Land/building acquisition 2,000,000 2,000,000 2,000,000 6,000,000 Site improvements- 1,010,000 1,000,000 2,000,000 4,010,000 preparation Installation of public 1,000,000 5,000,000 0 6,000,000 utilities Parking facilities 0 0 0 Streets and sidewalks 0 1,000,000 6,400,000 0 7,400,000 Public park facilities 0 0 0 Social, recreational, 0 0 0 conference Interest reduction payments 0 0 0 Bond principal payments 4,810,000 16,000,000 0 20,810,000 Bond interest payments 3,800,000 12,000,000 15,800,000 Loan principal payments 0 0 Loan/note interest 0 0 payments Administrative costs 264,000 1,450,000 0 1,714,000 Other Relocation 1,000,000 0 1,000,000 Discount 95,000 150,000 0 245,000 State Auditor Fee 0 0 0 Total Uses of Funds 13,979,000 1,000,000 32,000,000 16,000,000 62,979,000 The amounts above include expenditures to be made outside ofDistrictNo. 1 -1 and within the Development District subject to the limitations of the Tax Increment Financing Act. Supportive Data for Estimated Costs of Improvements for the Development District Under the Development Program It was necessary to make certain assumptions regarding income, costs and timing of the tax increment financing district. These assumptions are based on discussions with City and County staff andthe developers. Item Basis for Estimate Acquisition, Improvements, Estimated by City Demolition, Relocation Professional Services Estimated by City Attorney, Bond Counsel and Financial Consultant (AS MODIFIED SEPTEMBER 2, 1986) Tax Increment Financing District No. 1 -2 Land Acquisition* $450,000 Public Improvements 450,000 Credit Support Expense (e.g., Letter of Credit Fees) 4,404.75 City of Andover Development Program for Development District No. 1 1 -5 -44- Signal Light 65,000 Professional Services Estimated project costs for legal assistance, planning, design engineering, appraisals, marketing, bond issuance costs, and other project services 45,375 Discount 20,500 Interest on Bonds Prior to Receipt of Tax Increment to Fully Fund Principal and Interest 86,322.50 Less: Interest Income Earned During the Capitalized Interest Period - Assumes 6% Interest Rate (4,500.23) Total Amount of Bonds to be Sold $1,300,000 Bonds Sold at this Time 1,025,000 Administrative Expense 91,500 * As part of the developer's responsibility, he will assure thatthe following public improvements are included in the site preparation: Grading, Fill, Drainage and Soil Tests; Traffic Engineering; Curbs and Gutters; Basic Landscaping; Street Lighting; Parking Lot Lighting; Parking Lot; Directional Signal; Fence; Sidewalks; Public Toilets; Fire Protection; Exterior Building Lighting. SUPPORTIVE DATA FOR ESTIMATED COSTS OF IMPROVEMENTS FOR THE DEVELOPMENT DISTRICT UNDER THE DEVELOPMENT PROGRAM It was necessary to make certain assumptions regarding income, costs and timing of the tax increment financing district. These assumptions are based on discussions with City and County staff and the developers. ITEM ACQUISITION, IMPROVEMENTS, DEMOLITION, RELOCATION BASIS FOR ESTIMATE Estimated by Developer PROFESSIONAL SERVICES Estimated by City Attorney, Bond Counsel and Financial Consultant (AS MODIFIED NOVEMBER 17, 2009) The Development District budget equals all the budgets of all tax increment financing plans adopted and any future tax increment financing plans adopted. Subsection 1.6. Environmental Control The proposed economic development in the Development District does not present significant environmental concerns. All municipal actions, public improvements and private development shall be carried out in a manner consistent with existing environmental standards. Subsection 1.7. Proposed Reuse of Property The public improvements needed to bring about the new development include acquisition of land, site improvements, and general improvements. The Development Program does not contemplate the acquisition of private property until such time as a private City of Andover Development Program for Development District No. 1 1 -6 developer presents an economically feasible program for the reuse of that property. It shall be the intent of the City to negotiate the acquisition of property whenever necessary. Appropriate restrictions regarding the reuse and redevelopment of property shall be incorporated into any land sale contract to which the City is a part. Subsection 1.8. Administration and Maintenance of the Development District. Maintenance and operation of the public improvements will be the responsibility of the Administrator of the City who shall serve as Administrator of the Development District. The powers, duties and responsibilities of the Administrator are spelled out in the Administrative Guide for the Administration ofthe Development Program for the Development District, attached hereto as Appendix A. Each year the Administrator will submit to the Council the maintenance and operation budget for the following year. The Administrator will administer the Development District pursuant to the provisions of Section 469.131 of the Development District Act; provided, however, that such powers may only be exercised at the direction of the Council. No action taken by the Administrator pursuant to the above - mentioned powers shall be effective without authorization by the Council. Subsection 1.9. Rehabilitation. Owners of properties within the Development District will be encouraged to rehabilitate their properties to conform with the applicable state and local codes and ordinances, as well as any design standards. Owners of properties who purchase property within the Development District from the City may be required to rehabilitate their properties as a condition of sale of land. The City will provide such rehabilitation assistance as may be available from federal, state or local sources. Subsection 1.10. Relocation The City accepts its responsibility for providing for relocation pursuant to Section 469.133 of the Development District Act. Subsection 1.11. Boundaries of the Development District. A. Boundaries of the Development District as established July 29, 1985. PIN 34 32 24 44 0006 PIN 34 32 24 44 0005 PIN 34 32 24 44 0002 PIN 35 32 24 210001 PIN 35 32 24 12 0001 PIN 34 32 24 43 0004 PIN 34 32 24 410005 PIN 34 32 24 410011 PIN 34 32 24 410006 PIN 34 32 24 33 0001 PIN 34 32 24 42 0004 PIN 34 32 24 42 0002 PIN 34 32 24 42 0009 PIN 34 32 24 24 0001 PIR 34 32 24 13 0001 PIN 34 32 24 14 0001 PIN 34 32 24 32 0001 PIN 34 32 24 32 0004 PIN 34 32 24 310006 City of Andover PIN 34 32 24 44 0008 PIN 34 32 24 44 0004 PIN 34 32 24 44 0001 PIN 35 32 24 23 0001 PIN 34 32 24 43 0001 PIN 34 32 24 410001 PIN 34 32 24 410004 PIN 34 32 24 410008 PIN 34 32 24 31 0003 PIR 34 32 24 42 0006 PIN 34 32 24 42 0001 PIN 34 32 24 42 0007 PIN 34 32 24 42 0010 PIN 34 32 24 24 0003 PIN 34 32 24 13 0002 PIN 34 32 24 14 0002 PIR 34 32 24 32 0002 PIN 34 32 24 310004 PIN 34 32 24 310013 PIN 34 34 24 44 0007 PIN 34 32 24 44 0003 PIN 35 32 24 22 0001 PIN 35 32 24 24 0001 PIN 34 32 24 43 0002 PIN 34 32 24 410002 PIN 34 32 24 410010 PIN 34 32 24 410007 PIN 34 32 24 34 0001 PIN 34 32 24 42 0005 PIN 34 32 24 42 0003 PIN 34 32 24 42 0008 PIN 34 32 24 24 0003 PIN 34 32 24 12 0001 PIN 34 32 24 110001 PIN 34 32 24 14 0003 PIN 34 32 24 32 0003 PIN 34 32 24 310005 PIN 34 32 24 310007 Development Program for Development District No. 1 1 -7 PIN 34 32 24 310008 PIN 34 32 24 31 0010 PIN 26 32 24 32 0003 PIN 33 32 24 43 0033 PIN 33 32 24 44 0002 PIN 34 32 24 31 0009 PIN 35 32 24 11 0001 PIN 26 32 24 32 0004 PIN 33 32 24 410001 PIN 34 32 24 23 0002 B. Boundaries of the Development District as modified September 2. 1985. All of Blocks 1, 2, 3, and 4, ANDOVER COMMUNITY SHOPPING CENTER, according to the plat on file in the office of the County Recorder, Anoka County, Minnesota EXCEPT Lot 1, Block 2, and also EXCEPT that part of Lot 1, Block 3 described as follows: Commencing at the northeast corner of said Lot 1, Block 3; thence South, assumed bearing, along the east line thereof 196.00 feet to the point of beginning of the land to be described; thence South 254.46 feet; thence South 51 degrees 25 minutes 23 seconds West 129.99 feet; thence North 89 degrees 49 minutes 12 seconds West 166.00 feet to a point in the west line of said Lot 1; thence North 00 degrees 10 minutes 48 seconds East, along said west line, a distance of 335.00 feet; thence East 266.57 feet to the point of beginning. C. Boundaries of the Development District as modified September 15.1987. PIN 34 32 24 32 0004 D. Boundaries of the Development District as modified February 21, 1995. The boundaries of the Development District are expanded to include the area designated on the attached map labeled Exhibit I -D. Subsection 1.12. Parcels to be Acquired or Which may be Acquired in Whole or in Part Within the Development District. (AS ORIGINALLY ADOPTED ON JULY 29, 1986) Tax Increment Financing District No. 1 -1 PIN 34 32 24 42 0004 PIN 34 32 24 42 0002 PIN 34 32 24 42 0009 PIN 34 32 24 14 0001 PIN 34 32 24 310006 PIN 34 32 24 310008 PIN 34 32 24 310010 PIN 34 32 24 310009 PIN 34 32 24 310003 PIN 34 32 24 42 0006 PIN 34 32 24 42 0001 PIN 34 32 24 42 0007 PIN 34 32 24 42 0010 PIN 34 32 24 32 0002 PIN 34 32 24 310004 PIN 34 32 24 310011 PIN 35 32 24 14 0002 PIN 33 32 24 42 0001 PIN 33 32 24 44 0001 PIN 34 32 24 23 0003 PIN 34 32 24 42 0005 PIN 34 32 24 42 0008 PIN 34 32 24 32 0003 PIN 34 32 24 310005 PIN 34 32 24 31 0007 PIN 34 32 24 310011 PIN 34 32 24 310013 (AS MODIFIED ON SEPTEMBER 2, 1986) Tax Increment Financing District No. 1 -2 Lot 2, Block 3, Andover Community Shopping Center City of Andover Development Program for Development District No. 1 1 -8 i( '7— (AS MODIFIED FEBRUARY 21, 1995) This Subsection is amended to include all parcels as illustrated on Exhibit I -D. (AS MODIFIED SEPTEMBER 19, 1995) In addition, the City intends to acquire the following property: 34- 32 -24 -31 -0012 34- 32 -24 -42 -0006 34- 32 -24 -42 -0005 34- 32 -24 -32 -0006 34- 32 -24 -31 -0018 34- 32 -24 -31 -0016 34- 32 -24 -42 -0002 34- 32 -24 -42 -0009 34- 32 -24 -31 -0022 34- 32 -24 -42 -0001 34- 32 -24 -42 -0010 34- 32 -24 -31 -0014 34- 32 -24 -31 -0015 34- 32 -24 -42 -0003 34- 32 -24 -14 -0001 34- 32 -24 -31 -0003 34- 32 -24 -42 -0004 34- 32 -24 -32 -0005 34- 32 -24 -31 -0017 34- 32 -24 -31 -0008 34- 32 -24 -42 -0007 34- 32 -24 -42 -0008 The City reserves the right to acquire any other property located within Development District No. 1. City of Andover Development Program for Development District No. I 1 -9 -.O✓ SECTION II. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -1 Subsection2.1. Statement of Objectives._ See Section I, Development Program for the Development District, Subsection 1.4, Statement of Objectives. (AS MODIFIED NOVEMBER 17, 2009) The City desires to continue redevelopment and development of blighted and underdeveloped property in the City. The Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 is being modified in order to clarify the budget and statutory duration. Subsection 2.2. Development Program See Section I, Development Program for the Development District, Subsections 1.2 through 1.12. Subsection 2.3. Parcels to be Included in Tax Increment Financing DistrictNo.1 -1. The following parcels located in the City of Andover, County of Anoka, State of Minnesota: PIN 34 32 24 33 0001 PIN 34 32 24 42 0004 PIN 34 32 24 42 0002 PIN 34 32 24 42 0009 PIN 34 32 24 24 0001 PIN 34 32 24 14 0001 PIN 34 32 24 310006 PIN 34 32 24 310008 PIN 34 32 24 310010 PIN 33 32 24 43 0033 PIN 33 32 24 44 0002 PIN 34 32 24 310003 PIN 34 32 24 42 0006 PIN 34 32 24 42 0001 PIN 34 32 24 310015 PIN 34 32 24 42 0007 PIN 34 32 24 42 0010 PIN 34 32 24 32 0005 PIN 34 32 24 310004 PIN 34 32 24 310016 PIN 34 32 24 31 0017 PIN 34 32 24 310009 PIN 33 32 24 41 0001 PIN 34 32 24 23 0002 PIN 34 32 24 34 0001 PIN 34 32 24 42 0005 PIN 34 32 24 42 0008 PIN 34 32 24 32 0003 PIN 34 32 24 310005 PIN 34 32 24 310007 PIN 34 32 24 31 0011 PIN 33 32 24 42 0001 PIN 33 32 24 44 0001 PIN 34 32 24 23 0003 PIN 34 32 24 42 0003 PIN 34 32 24 410001 PIN 34 32 24 410002 PIN 34 32 24 41 0003 PIN 34 32 24 410004 PIN 34 32 24 410006 PIN 34 32 24 24 0002 PIN 34 32 24 310014 PIN 34 32 24 310012 (AS MODIFIED ON SEPTEMBER 15, 1987) Adding PIN 34 32 24 32 0004 FURTHER INFORMATION REGARDING THE IDENTIFICATION OF THE PARCELS TO BE INCLUDED IN TAX INCREMENT FINANCING DISTRICT NO. 1 -1 CAN BE OBTAINED FROM THE OFFICE OF THE CLERK - TREASURER. Subsection 2.4. Parcels in Acquisition. The City may acquire and reconvey any of the parcels identified in Section I, Subsection 1.12 of the Development Program. As the City acquires said parcels, the Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 will be modified to reflect the acquisitions of said parcels. The following are conditions under which properties not designated to be acquired may be acquired City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 2 -1 _/I at a future date: (1) The City may acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of the tax increment financing plan; and (2) Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. Subsection 2.5. Development Activity in the Development District for which Contracts have been Signed. The following contracts have been entered into by the City and the persons named below: [Contracts entered into by the City will be inserted in this Subsection as they are consummated.] (AS MODIFIED NOVEMBER 17, 2009) Contracts for development that have been entered into to date include: 1. Andover Limited Partnership, dated September 2, 1986. Under the contract, the developer was required to provide for the construction of 105,000 square foot shopping mall. The project is completed. Subsection 2.6. Other Specific Development Expected to Occur within the Development District. [As specified development is expected to occur, it will be inserted in this Subsection.] Subsection 2.7. Estimated Cost of Project. See Subsection 1.5 of the Development Program for estimated costs associated pith the Development District. (AS MODIFIED NOVEMBER 17, 2009) The EDA and the City have studied the feasibility of the development and redevelopment of property in and around the District. To facilitate the establishment and development or redevelopment of the District, this TIF Plan authorizes the use of tag increment financing to pay for costs of certain eligible expenses. The estimate and clarification of public costs and uses of funds with the District is outlined in the following table. USES OF FUNDS TOTAL Land/Building $39,000,000 Administration $1,800,000 PROJECT COST TOTAL $40,800,000 Interest $4,000,000 PROJECT AND INTEREST COSTS TOTAL $44,800,000 The above budget represents the total costs being authorized, which includes all prior budgeted amounts, and is organized according to the Office of the State Auditor (OSA) reporting forms. It is estimated that the costs of improvements, including administrative expenses which will be paid or City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1-1 2 -2 —l& financed with tax increments will equal $44,800,000 total project costs as is presented in the budget above. Estimated capital and administrative costs in the table on the previous page are subject to change among categories by modification of the TIF Plan without the hearings and notice required for the initial TIF Plan, so long as the total capital and administrative costs do not exceed the total listed above. Subsection 2.8. Estimated Amount of Bonded Indebtedness It is anticipated that $4,810,000 of bonded indebtedness will be incurred with respectto this portion of the Development District. The September 1995 Plan Modifications added $16,000,000 to this amount creating a maximum bonded indebtedness of $20,810,000. (AS MODIFIED NOVEMBER 17, 2009) The City may issue bonds, as defined in the Tax Increment Financing Act, secured in whole or in part with tax increments from Tax Increment Financing District No. 1-1 in the maximum principal amount of $12,000,000. This provision does not obligate the City to incur debt. The City will issue bonds or incur other debt only upon the determination that such action is in the best interest of the City. The City may also finance the activities to be undertaken pursuant to the Plan through loans from funds of the City or to reimburse the developer on a "pay -as- you -go" basis for eligible costs paid for by a developer. Subsection 2.9. Sources of Revenue Public improvement costs, acquisition and other costs outlined in the Estimated Cost of Proj ect (Subsection 2.7 above) will be financed through the annual collection of tax increments as described below. (AS MODIFIED NOVEMBER 17, 2009) The costs outlined in the Estimated Cost of Projects will be financed primarily through the annual collection of tax increments. The City reserves the right to incur bonds or other indebtedness as a result of the TIF Plan. Additional indebtedness may be required to finance other authorized activities. The total principal amount of notes to be issued, including a general obligation (GO) TIF bond, or other indebtedness related to the use of tax increment financing, will not exceed $12,000,000 without a modification to the TIF Plan pursuant to applicable statutory requirements. Any refunding amounts will be deemed a budgeted cost without a formal TIF Plan Modification. This provision does not obligate the City to incur debt. The City will issue bonds or incur other debt only upon the determination that such action is in the best interest of the City. The City may also finance the activities to be undertaken pursuant to the TIF Plan through loans from funds of the City or to reimburse the developer on a "pay -as- you -go" basis for eligible costs paid for by a developer. The estimated sources of funds for the District are contained in the following table: SOURCES OF FUNDS TOTAL Tax Increment $44,800,000 City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1-1 2 -3 L_(._ Subsection 2.10. Estimated Original and Captured Assessed Values and Estimate of Tax Increment The most recent assessed value (the original assessed value) of Tax Increment Financing District No. 1 -1 is estimated to be $80,560. The estimated captured assessed value of Tax Increment Financing District No. 1 -1 on January 1, 1989 is estimated to be $6,836,840. The 1987 original assessed value of PIN 34 32 24 32 0004, upon its inclusion into Tax Increment Financing District No. 1 -1 as modified September 15, 1987, is $10,512. The future estimated value of this parcel upon completion of the proposed improvement is estimated to be $2,130,048. The captured assessed value is estimated to be $2,119,536. (AS MODIFIED NOVEMBER 17, 2009) Pursuant to M.S., Section 469.177, Subds. I and 2, the County Auditor shall certify in each year the amount by which the original value has increased or decreased as a result of: 1. Change in tax exempt status of property; 2. Reduction or enlargement of the geographic boundaries of the district; 3. Change due to adjustments, negotiated or court - ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. In any year in which the current Net Tax Capacity (NTC) value of the District declines below the ONTC, no value will be captured and no tax increment will be payable to the EDA or City. Pursuant to M.S., Section 469374 Subd 4 and M.S., Section 469377, Subd. 1, 2, and 4, the estimated Captured Net Tax Capacity (CTC) of the District, within Development District No. 1, will annually approximate tax increment revenues as shown in the table below. The Project Tax Capacity (PTC) listed is the actual values used for taxes payable in 2009. Project Estimated Tax Capacity upon Completion (PTC) $2,044,050 Original Estimated Net Tax Capacity (ONTC) $139,601 Estimated Captured Tax Capacity (CTC) $1,904,449 Original Local Tax Rate 0,85767 Pay 2009 Estimated Annual Tax Increment (CTC x Local Tax Rate) $1,633,389 Percent Retained by the EDA 100% Subsection 2.11. Mill Rate. The mill rate is 102.021. Subsection 2,12. Tax Increment Tax increment has been at approximately $697,501 assuming a static mill rate and a increased by zero percent (0 1 /o) compounded annually. Subsection 2.13. Capitalized Interest Capitalized interest will cover interest payments on the Bonds prior to receipt of tax increment to fully fund the principal of and interest on the Bonds. City of Andover Tax Increment Financing Plan for Tax Increment Financing DistrictNo. 1 -1 2 -4 -2 7 - Subsection 2.14. Investment Interest Rate. Investment Interest is assumed at six percent (6 %). This is the estimated rate at which unspent but obligated funds will earn interest as well as any surplus tax increment funds within any given year. This rate is contingent upon rates paid on savings and upon arbitrage considerations. Subsection 2.15. Type of Tax Increment Financing District. Tax Increment Financing District No. 1 -1 is, pursuant to Minnesota Statutes Section 273.73, Subdivision 10 a redevelopment district as defined below: (2) 70 percent of the parcels in the district are occupied by buildings, streets, utilities or other improvements and 20 percent of the buildings are structurally substandard and an additional 30 percent of the buildings are found to require substantial renovation or clearance in order to remove such existing conditions as: inadequate street layout, incompatible uses or land use relationships, overcrowding of buildings on the land, excessive dwelling unit density, obsolete buildings not suitable for improvement or conversion, or other identified hazards to the health, safety and general well being of the community. Subsection 2.16. Duration of Tax Increment Financing District No. 1 -1. The duration of Tax Increment Financing District No. 1 -1 is expected to be twenty-five (25) years from the receipt of the first tax increment. The date of receipt of the first tax increment will be July, 1988. The first tax increment was received by the City was 1989. The maximum duration of District No. 1 -1 is 2014. (A5 MODIFIED NOVEMBER 17, 2009) Pursuant to M.S., Section 469.175, Subd. 1, and Section 469.176, Subd. 1, the duration of the District must be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Subd 1b, the duration of the District will be 25 years after receipt of the first increment by the EDA or City (a total of 26 years of tax increment). The date of receipt by the City of the first tax increment was 1987. Thus, it is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after 2012, or when the TIF Plan is satisfied. The EDA or City reserves the right to decertify the District prior to the legally required date. Subsection 2.17. Estimated Impact on Other Taxing Jurisdictions. The estimated impact on other taxing Jurisdictions assess construction would have occurred without the creation of Tax Increment Financing District No. 1 -1. If the construction is a result of tax increment financing, the impact is $0 to other entities. Notwithstanding the fact that the fiscal impact on the other taxing Jurisdictions is $0 due to the fact that the financing would not have occurred without the assistance of the City, the following estimated impact of Tax Increment Financing District No. 1 -1 would be as follows if the "but for" test was not met: Enti Andover Anoka County I.S.D. #11 City of Andover Captured IMPACT ON TAX BASE Assessed Value Original Future Tax Base Assessed Value Assessed Value 56,325,201 80,560 6,917,400 1,202,403,543 80,560 6,917,400 595,908,940 80,560 6,917,400 Captured District % Assessed Value of Enti 6,836,840 12.14% 6,836,840 .5% 6,836,840 1.15% Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 2 -5 --C.?— IMPACT ON MILL RATE The inclusion of PIN 34 32 24 32 0004 into Tax Increment District No. l -1 will have minimal Impact on the other taxing jurisdictions. See Subsection 2.10 above. The 2000 modifications are not the result of a pending development project. Therefore, it is difficult to accurately estimate the additional tax capacity that may be captured by District No. 1 -1 as a result of the modifications. The following table illustrates the estimated fiscal and economic implications from $10,000,000 in additional estimated market value. The actual implications will vary according to the value and the number of development projects. Taxing Entity Anoka County I.S.D. No. 11 City of Andover 1999/2000 Total Net Tax Capacity 166,478,361 107,286,469 14,722,272 Estimated Captured Tax Capacity 338,500 338,500 338,500 Percent of CTC to Entity Total 0.20% 0.32% 2.30% Taxing Entity Current Potential Entity Enti Mill Rate Tax Increment Andover 14.485 $99,032 Anoka County 28.738 196,477 I.S.D. #11 55.740 381,085 Other 3.058 20.907 TOTAL 102.021 $697,501 The inclusion of PIN 34 32 24 32 0004 into Tax Increment District No. l -1 will have minimal Impact on the other taxing jurisdictions. See Subsection 2.10 above. The 2000 modifications are not the result of a pending development project. Therefore, it is difficult to accurately estimate the additional tax capacity that may be captured by District No. 1 -1 as a result of the modifications. The following table illustrates the estimated fiscal and economic implications from $10,000,000 in additional estimated market value. The actual implications will vary according to the value and the number of development projects. Taxing Entity Anoka County I.S.D. No. 11 City of Andover 1999/2000 Total Net Tax Capacity 166,478,361 107,286,469 14,722,272 Estimated Captured Tax Capacity 338,500 338,500 338,500 Percent of CTC to Entity Total 0.20% 0.32% 2.30% Taxing Entity 1999/2000 Tax Percent of Total Estimated Potential Extension Rate Captured Tax Taxes Capacity Anoka County 30.8610% 28.53% 338,500 104,464 1.S.D. No. 11 51.7920% 47.88% 338,500 175,316 City of Andover 22.7350% 21.02% 338,500 76,958 Other 2.7850% 2.57% 338,500 9,427 108.1730% 100.00% 366,166 (AS MODIFIED NOVEMBER 17, 2009) IMPACT ON TAX BASE Pay 2009 Estimated Captured Total Net Tax Capacity (CTC) Percent of CTC Tax Capacity Upon Completion to Entity Total Anoka County 313,126,954 1,904,449 0.6082% City of Andover 28,032,781 1,904,449 6.7937% Anoka - Hennepin ISD # 11 26,040,929 1,904,449 7.3133% City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -I 2 -6 —Z-Y— IMPACT ON TAX RATES Pay 2009 Percent Potential Extension Rates of Total CTC Taxes Anoka County 0.320780 37.40% 1,904,449 610,909 City of Andover 0.321810 37.52% 1,904,449 612,871 Anoka - Hennepin ISD # 11 0.182630 21.29% 1,904,449 347,810 Other 0.032450 3.78% 1,904,449 61,799 Total 0.857670 100.00% 1,633 The estimates listed above display the captured tax capacity as of 2009. The tax rate used for calculations is the actual Pay 2009 rate. The total net capacity for the entities listed above are based on actual Pay 2009 figures. Subsection 2.18. Tax Increment Financing Account for Tax Increment Financine District No. 1 -1. The tax increments received with respect to payment of principal and interest for bonds issued for improvements made within Tax Increment Financing District No. 1 -1 will be segregated by the City in a special account or accounts (the "Tax Increment Account ") on its official books and records or as otherwise established by resolution of the City to be held by a trustee or trustees for the benefit of holders of the Bonds. Subsection 2.19. Modification of Tax Increment Financing District No. 1-1 and /or Tax Increment Financing Plan. lan. As of July 29, 1986, no modifications to Tax Increment Financing District No. 1 -1 or the Tax Increment Financing Plan therefore have been made. (AS MODIFIED SEPTEMBER 2, 1986) Pursuant to the adoption of the modification of the Development Program for Development District No. 1, Tax Increment Financing DistrictNo. I is hereby modified to reflect an enlargement of the geographic area and increased project costs of Development DistrictNo. 1 as outlined in Section I, Subsections 1.11 and 1.5, respectively, of the Development Program and is redesignated as Tax Increment Financing District No. 1 -1. (AS MODIFIED SEPTEMBER 15, 1987) Pursuant to the adoption of the modification of the Development Program for Development District No. 1, Tax Increment Financing District No. 1 -1 is hereby modified to reflect an enlargement of the geographic area of Tax Increment Financing District No.1 -1 and Development District No.l as outlined in Section I, Subsection 1.11 of the Development Program. (AS MODIFIED FEBRUARY 21, 1995) Pursuant to the adoption of the modification of the Development Program for Development District No. 1, Tax Increment Financing District No. 1 -1 is hereby modified to reflect an enlargement of the geographic area and increased project costs within Development District No. 1 as outlined in Section I, Subsections 1.5., 1.11., and 1.12. City of Andover Tax Increment Financing Plan for Tae Increment Financing District No. 1 -1 2 -7 -_ 2157 (AS MODIFIED JUNE 20, 2000) The Development Program for Development District No. 1 and the Tax Increment Financing Plan for Tax Increment Financing DistrictNo. 1 -1 are modified to authorized increased project costs (Subsections 1.5 and 2.7), increase the maximum bonded indebtedness (Subsection 2.8) and clarify the parcels that may be acquired (Subsection 2.4). The 2000 Modifications make technical and clarifying changes in Subsections 1. 1, 1.3, 1.8, 1.10, 1.12, 2.9, 2.16, and 2.17. These modifications do not enlarge the geographic area of the Development District or the Tax Increment Financing District. (AS MODIFIED NOVEMBER 17, 2009) Subsection 2.20. Administrative Expenses. In accordance with M.S., Section 469.174, Subd. 14, administrative expenses means all expenditures of the EDA or City, other than: 1. Amounts paid for the purchase of land; 2. Amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the real property in the project; 3. Relocation benefits paid to or services provided for persons residing or businesses located in the project; or 4. Amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued pursuant to M.S., Section 469.178; or 5. Amounts used to pay other financial obligations to the extent those obligations were used to finance costs described in clauses (1) to (3). For districts for which the request for certification were made before August 1, 1979, or after June 30, 1982, administrative expenses also include amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. Pursuant to M.S., Section 469.176, Subd 3, tax increment may be used to pay any authorized and documented administrative expenses for the District up to but not to exceed 10 percent of the total estimated tax increment expenditures authorized by the TIF Plan or the total tax increments, as defined by M.S., Section 469374, Subd 25, clause (1), from the District, whichever is less. Pursuant to M.S., Section 469.176, Subd 4h, tax increments may be used to pay for the County's actual administrative expenses incurred in connection with the District and are not subject to the percentage limits of M.S., Section 469.176 Subd. 3. The county may require payment of those expenses by February 15 of the year following the year the expenses were incurred. Pursuant to M.S., Section 469.177, Subd. 11, the County Treasurer shall deduct an amount (currently .36 percent) of any increment distributed to the EDA or City and the County Treasurer shall pay the amount deducted to the State Treasurer for deposit in the state general fund to be appropriated to the State Auditor for the cost of financial reporting of tax increment financing information and the cost of examining and auditing authorities' use of tax increment financing. This amount may be adjusted annually by the Commissioner of Revenue. City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 2 -8 Z,6� (AS MODIFIED NOVEMBER 17, 2009) Subsection 2.21. Use of Tax Increment. The EDA or City hereby determines that it will use 100 percent of the captured net tax capacity of taxable property located in the District for the following purposes: 1. To pay the principal of and interest on bonds issued to finance a project; 2. To finance, or otherwise pay the capital and administration costs of the Development District No. 1 pursuant to the M.S., Sections 469.090 to 469.1082; 3. To pay for project costs as identified in the budget set forth in the TIF Plan; 4. To finance, or otherwise pay for other purposes as provided in M.S., Section 469.176, Sub& 4; 5. To pay principal and interest on any loans, advances or other payments made to or on behalf of the EDA or City or for the benefit of the Development District No. 1 by a developer; 6. To finance or otherwise pay premiums and other costs for insurance or other security guaranteeing the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to M.S., Chapter 462C. M.S., Sections 469.152 through 469.165, and /or M.S., Sections 469.178; and 7. To accumulate or maintain a reserve securing the payment when due of the principal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C, M.S., Sections 469.152 through 469.165, and /or M.S., Sections 469.178. These revenues shall not be used to circumvent any levy limitations applicable to the EDA or City nor for other purposes prohibited by M.S., Section 469.176, Sub& 4. Tax increments generated in the District will be paid by Anoka County to the City for the Tax Increment Fund of said District. (AS MODIFIED NOVEMBER 17, 2009) Subsection 2.22. Excess Increments. Excess increments, as defined in M.S., Section 469.176, Sub& 2, shall be used only to do one or more of the following: 1. Prepay any outstanding bonds; 2. Discharge the pledge of tax increment for any outstanding bonds; 3. Pay into an escrow account dedicated to the payment of any outstanding bonds; or 4. Return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in proportion to their local tax rates. The EDA or City must spend or return the excess increments under paragraph (c) within nine months after the end of the year. In addition, the EDA or City may, subject to the limitations set forth herein, choose to modify the TIF Plan in order to finance additional public costs in the Development District No. 1 or the District. City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -1 2 -9 --17- SECTION III. TAX INCREMENT FINANCING PLAN FOR TAX INCREMENT FINANCING DISTRICT NO. 1 -2 Subsection1l. Statement of Objectives. See Section I, Development Program for the Development District, Subsectionl.4, Statement of Objectives. (AS MODIFIED NOVEMBER 17, 2009) The City desires to continue redevelopment and development of blighted and underdeveloped property in the City. The Tag Increment Financing Plan for TIF 1 -2 is being modified in order to clarify the budget and statutory duration. Subsection 3.2. Development Program. See Section I, Development Program for the Development District, Subsections 1.2 through 1.12. Subsection 3.3. Parcels to be Included in Tax Increment Financing District No. 1 -2 The following parcels located in the City of Andover, County of Anoka, State of Minnesota: All ofBlocks 1, 2, 3, and 4, ANDOVER COMMUNITY SHOPPING CENTER, according to the plat on file in the office of the County Recorder, Anoka County, Minnesota EXCEPT Lot 1, Block 2, and also EXCEPT that part of Lot 1, Block 3 described as follows: Commencing at the northeast comer of said Lot 1, Block 3; thence South, assumed bearing, along the east line thereof 196,00 feet to the point of beginning of the land to be described; thence South 254.46 feet; thence South 51 degrees 25 minutes 23 seconds West 129.99 feet; thence North 89 degrees 49 minutes 12 seconds West 166.00 feet to a point in the west line of said Lot 1; thence North 00 degrees 10 minutes 48 seconds East, along said west line, a distance of 335.00 feet; thence East 266.57 feet to the point of beginning. FURTHER INFORMATION REGARDING THE IDENTIFICATION OF THE PARCELS TO BE INCLUDED IN TAX INCREMENT FINANCING DISTRICT NO. 1 -2 CAN BE OBTAINED FROM THE OFFICE OF THE CLERK - TREASURER. Subsection 3.4. Parcels in Acquisition. The City may acquire and reconvey the parcels identified in Section I, Subsection 1.12 of the Development Program as originally adopted July 29, 1986. As the City acquires said parcels, the Tax Increment Financing Plan for Tax Increment Financing District No.1 -2 will be modified to reflect the acquisitions of said parcels. The following are conditions under which properties not designated to be acquired may be acquired at a future date: (1) The City may acquire property by gift, dedication, condemnation or direct purchase from willing sellers in order to achieve the objectives of the tax increment financing plan; and (2) Such acquisitions will be undertaken only when there is assurance of funding to finance the acquisition and related costs. Subsection 3.5. Development Activity In the Development District for which Contracts have been Signed. The following contracts have been entered into by the City and the persons named below: City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. I -2 3 -1 — 4-y— [Contracts entered into by the City will be inserted in this Subsection as they are consummated.] (AS MODIFIED NOVEMBER 17, 2009) Contracts for development that have been entered into to date include: 1. Andover Limited Partnership, dated September 2, 1986. Under the contract, the developer was required to provide for the construction of 105,000 square foot shopping mall. The project is completed. Subsection 3.6. Other Specific Development Expected to Occur within the Development District. [As specified development is expected to occur, it will be inserted in this Subsection.] Subsection 3.7. Estimated Cost of Project See Subsection 1.5 of the Development Program for estimated costs associated with the Development District. (AS MODIFIED NOVEMBER 17, 2009) The EDA and the City have studied the feasibility of the development and redevelopment of property in and around the District. To facilitate the establishment and development or redevelopment of the District, this TIF Plan authorizes the use of tax increment financing to pay for costs of certain eligible expenses. The estimate and clarification of public costs and uses of funds with the District is outlined in the following table. USES OF FUNDS TOTAL Land /Building $18,000,000 Administration $800,000 PROJECT COST TOTAL $18,800,000 Interest $3,000,000 PROJECT AND INTEREST COSTS TOTAL $21,800,000 The above budget represents the total costs being authorized, which includes all prior budgeted amounts, and is organized according to the Office of the State Auditor (OSA) reporting forms. It is estimated that the costs of improvements, including administrative expenses which will be paid or financed with tax increments will equal $21,800,000 total project costs as is presented in the budget above. Estimated capital and administrative costs in the table above are subject to change among categories by modification of the TIF Plan without the hearings and notice required for the initial TIF Plan, so long as the total capital and administrative costs do not exceed the total listed above. Subsection 3.8. Estimated amount of Bonded Indebtedness It is anticipated that $1,300,000 of bonded indebtedness will be incurred with respect to this portion of the Development District. At the present time $1,025,000 of bonded indebtedness will be incurred. City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 3 -2 (AS MODIFIED NOVEMBER 17, 2009) The City may issue bonds, as defined in the Tag Increment Financing Act, secured in whole or in part with tag increments from Tag Increment Financing District No. 1-2 in the maximum principal amount of $9,300,000. Subsection 3.9. Sources of Revenue Public improvement costs, acquisition and other costs outlined in the Estimated Cost of Project (Subsection 3.7 above) will be financed through the annual collection of tax increments as described below. (AS MODIFIED NOVEMBER 17, 2009) The costs outlined in the Estimated Cost of Projects will be financed primarily through the annual collection of tag increments. The City reserves the right to incur bonds or other indebtedness as a result of the TIF Plan. Additional indebtedness may be required to finance other authorized activities. The total principal amount of notes to be issued, including a general obligation (GO) TIF bond, or other indebtedness related to the use of tag increment financing, will not exceed $9,300,000 without a modification to theTIFPlan pursuant to applicable statutory requirements. Any refunding amounts will be deemed a budgeted cost without a formal TIF Plan Modification. This provision does not obligate the City to incur debt. The City will issue bonds or incur other debt only upon the determination that such action is in the best interest of the City. The City may also finance the activities to be undertaken pursuant to the TIF Plan through loans from funds of the City or to reimburse the developer on a "pay -as- you -go" basis for eligible costs paid for by a developer. The estimated sources of funds for the District are contained in the following tables. SOURCES OF FUNDS TOTAL Tax Increment $21,800,000 Subsection 3.10. Estimated Original and Captured Assessed Values and Estimate of Tax Increment The most recent assessed value (the original assessed value) of Tax Increment Financing District No. 1 -2 is estimated to be $66,720. The estimated captured assessed value of Tax Increment Financing District No. 1 -2 on January 1, 1988 is estimated to be $1,439,160. (AS MODIFIED NOVEMBER 17, 2009) Pursuant to M.S., Section 469.177, Subds. I and 2, the County Auditor shall certify in each year the amount by which the original value has increased or decreased as a result of: 1. Change in tag exempt status of property; 2. Reduction or enlargement of the geographic boundaries of the district; 3. Change due to adjustments, negotiated or court - ordered abatements; 4. Change in the use of the property and classification; 5. Change in state law governing class rates; or 6. Change in previously issued building permits. City of Andover Tax Increment Financing Plan for Tau Increment Financing District No. 1 -2 3 -3 _,3 b, — In any year in which the current Net Tax Capacity (NTC) value of the District declines below the ONTC, no value will be captured and no tax increment will be payable to the EDA or City. Pursuant to M.S., Section 469.174 Subd. 4 and M.S., Section 469.177, SuM 1, 2, and 4, the estimated Captured Net Tax Capacity (CTC) of the District, within Development District No. 1, will annually approximate tax increment revenues as shown in the table below. The Project Tax Capacity (PTC) listed is the actual values used for taxes payable in 2009. Project Estimated Tax Capacity upon Completion (PTC) $258,368 Original Estimated Net Tax Capacity (ONTC) $4,542 Estimated Captured Tax Capacity (CTC) $253,826 Original Local Tax Rate 0.85613 Pay 2009 Estimated Annual Tax Increment (CTC x Local Tax Rate) $217,308 Percent Retained by the EDA 100% Subsection 3.11. Mill Rate The mill rate is 102.021. Subsection 3.12. Tax Increment. Tax increment has been at approximately $146,825 assuming a static mill rate and a increased by zero percent (0 %) compounded annually. Subsection 3.13. Capitalized Interest Capitalized interest will cover interest payments on the Bonds prior to receipt of tax increment to fully fund the principal of and interest on the Bonds. Subsection 3.14. Investment Interest Rate Investment interest is assumed at six percent (6 %). This is the estimated rate at which unspent but obligated funds will earn interest as well as any surplus increment funds within any given year, This rate is contingent upon rates paid on savings and upon arbitrage considerations. Subsection 3.15. Type of Tax Increment Financing District. Tax Increment Financing District No. 1 -2 is, pursuant to Minnesota Statutes Section 273.73, Subdivision 10 a redevelopment district as defined below: (3) "Less than 70 percent of the parcels in the district are occupied by buildings, streets, utilities or other improvements, but due to unusual terrain or soil deficiencies requiring substantial filling, grading or other physical preparation for use at least 80 percent of the total acreage of such land has a fair market value upon inclusion in the redevelopment district which, when added to the estimated cost of preparing the land for development, excluding costs directly related to roads as defined in Section 150.01 and local improvements as described in Section 429.021, subd. 1, clauses 1 to 7, 11 and 12, and Section 430.0 1, if any, exceeds its anticipated fair market value after completion of said preparation; provided that no parcel shall be included within a redevelopment district pursuant to this paragraph (3) unless the authority has concluded an agreement or agreements for the development of at least 50 percent of the acreage having the unusual soil or terrain deficiencies, which agreement provides recourse for the authority should the development not be completed...' City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1-2 3 -4 Subsection 3.16. Duration of Tax Increment Financing District No. 1 -2. The duration of Tax Increment Financing District No. 1 -2 is expected to be twenty -five (25) years from the receipt of the first tax increment. The date of receipt of the first tax increment will be July, 1988. (AS MODIFIED NOVEMBER 17, 2009) Pursuant to M.S., Section 469.175, Subd 1, and Section 469.176, Subd. 1, the duration of the District must be indicated within the TIF Plan. Pursuant to M.S., Section 469.176, Subd 1b, the duration ofthe District will be 25 years after receipt of the first increment by the EDA or City (a total of 26 years of tax increment). The date of receipt by the City of the first tag increment was 1989. Thus, it is estimated that the District, including any modifications of the TIF Plan for subsequent phases or other changes, would terminate after 2014, or when the TIF Plan is satisfied. The EDA or City reserves the right to decertify the District prior to the legally required date Subsection 3.17. Estimated Impact on Other Taxing Jurisdictions. The estimated impact on other taxing jurisdictions assumes construction would have occurred without the creation of Tax Increment Financing District No. 1 -2. If the construction is a result of tax increment financing, the impact is $0 to other entities. Notwithstanding the fact that the fiscal impact on the other taxing Jurisdictions is $0 due to the fact that the financing would not have occurred without the assistance of the City, the following estimated impact of Tax Increment Financing District No. 1 -2 would be as follows if the "but for" test was not met: Enti ty Tax Base Andover 56,325,201 Anoka County 1,202,403,543 I.S.D. #11 595,908,940 Enti Andover Anoka County I.S.D. #11 Other TOTAL IMPACT ON TAX BASE Original Future Assessed Value Assessed Value 66,720 1,505,880 66,720 1,505,880 66,720 1,505,880 IMPACT ON MILL RATE Captured District % Assessed Value of Enti 1,439,160 2.56% 1,439,160 .12% 1,439,160 .24% Current Potential Entity Mill Rate Tax Increment 14.485 $20,846 28.738 41,359 55.740 80,219 3.058 4,401 102.021 $146,825 City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 3 -5 (AS MODIFIED NOVEMBER 17, 2009) IMPACT ON TAX BASE Pay 2009 Estimated Captured Total Net Tax Capacity (CTC) Percent of CTC Tax Ca aci UUon Completion to Entity Total Anoka County 313,126,954 253,826 0.0811% City of Andover 28,032,781 253,826 0.9055% Anoka - Hennepin ISD # 11 16,094,654 253,826 1.5771% IMPACT ON TAX RATES Pay 2009 Percent Potential Extension Rates of Total CTC Taxes Anoka County 0.320780 37.47% 253,826 81,422 City of Andover 0.324840 37.94% 253,826 82,453 Anoka - Hennepin ISD # 11 0.182630 21.33% 253,826 46,356 Other 0.027880 3.26% 253.826 7,077 Total 0.856130 100.00% 217,308 The estimates listed above display the captured tax capacity as of 2009. The tax rate used for calculations is the actual Pay 2009 rate. The total net capacity for the entities listed above are based on actual Pay 2009 figures. Subsection 3.18. Tax Increment Financing Account for Tax Increment Financing District No. 1 -2. The tax increment received with respect to payment of principal and interest for bonds issued for improvements made within Tax Increment Financing District No. 1 -2 will be segregated by the City in a special account or accounts (the "Tax Increment Account") on its official books and records or as otherwise established by resolution of the City to be held by a trustee or trustees for the benefit of holders of the Bonds. Subsection 3.19. Modification of Tax Increment Financing District No. 1 -2 and/or Tax Increment Financing Plan. As of September 2, 1986, no modifications to Tax Increment Financing District No. 1 -2 or the Tax Increment Financing Plan therefore have been made. (AS MODIFIED FEBRUARY 21, 1995) Pursuant to the adoption of the modification of the Development Program for Development District No. 1, Tax Increment Financing District No. 1 -2 is hereby modifiedto reflect an enlargement ofthe geographic area and increased project costs within Development District No. l as outlined in Section I, Subsections 1.5.,1.11., and 1.12. City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 3 -6 (AS MODIFIED NOVEMBER 17, 2009) Subsection 3.20. Administrative Expenses. In accordance with M.S., Section 469.174, Subd 14, administrative expenses means all expenditures of the EDA or City, other than: 1. Amounts paid for the purchase of land; 2. Amounts paid to contractors or others providing materials and services, including architectural and engineering services, directly connected with the physical development of the real property in the project; 3. Relocation benefits paid to or services provided for persons residing or businesses located in the project; or 4. Amounts used to pay principal or interest on, fund a reserve for, or sell at a discount bonds issued pursuant to M.S., Section 469.178; or 5. Amounts used to pay other financial obligations to the extent those obligations were used to finance costs described in clauses (1) to (3). For districts for which the request for certification were made before August 1, 1979, or after June 30, 1982, administrative expenses also include amounts paid for services provided by bond counsel, fiscal consultants, and planning or economic development consultants. Pursuant to M.S., Section 469.176, Subd 3, tax increment may be used to pay any authorized and documented administrative expenses for the District up to but not to exceed 10 percent of the total estimated tax increment expenditures authorized by the TIF Plan or the total tax increments, as defined by M.S., Section 469.174, Subd. 25, clause (1), from the District, whichever is less. Pursuant to M.S., Section 469.176, Subd 4h, tax increments may be used to pay for the County's actual administrative expenses incurred in connection with the District and are not subject to the percentage limits of M.S., Section 469.176 Subd.3. The county may require payment of those expenses by February 15 of the year following the year the expenses were incurred. Pursuant to M.S., Section 469.177, Subd 11, the County Treasurer shall deduct an amount (currently .36 percent) of any increment distributed to the EDA or City and the County Treasurer shall pay the amount deducted to the State Treasurer for deposit in the state general fund to be appropriated to the State Auditor for the cost of financial reporting of tax increment financing information and the cost of examining and auditing authorities' use of tax increment financing. This amount may be adjusted annually by the Commissioner of Revenue. (AS MODIFIED NOVEMBER 17, 2009) Subsection 3.21. Use of Tax Increment. The EDA or City hereby determines that it will use 100 percent of the captured net tax capacity of taxable property located in the District for the following purposes: 1. To pay the principal of and interest on bonds issued to finance a project; 2. To finance, or otherwise pay the capital and administration costs of the Development District No. 1 pursuant to the M.S., Sections 469.090 to 469.1082; 3. To pay for project costs as identified in the budget set forth in the TIF Plan; City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 3 -7 �y 4. To Finance, or otherwise pay for other purposes as provided in M.S., Section 469.176, Subd 4; 5. To pay principal and interest on any loans, advances or other payments made to or on behalf of the EDA or City or for the benefit of the Development District No. 1 by a developer; 6. To finance or otherwise pay premiums and other costs for insurance or other security guaranteeing the payment when due of principal of and interest on bonds pursuant to the TIF Plan or pursuant to M.S., Chapter 4620. M.S., Sections 469.152 through 469.165, and /or M.S., Sections 469.178; and 7. To accumulate or maintain a reserve securing the payment when due of the principal and interest on the tax increment bonds or bonds issued pursuant to M.S., Chapter 462C, M.S., Sections 469352 through 469.165, and /or M.S., Sections 469.178. These revenues shall not be used to circumvent any levy limitations applicable to the EDA or City nor for other purposes prohibited by M.S., Section 469.176, Subd 4. Tax increments generated in the District will be paid by Anoka County to the City for the Tax Increment Fund of said District. (AS MODIFIED NOVEMBER 17, 2009) Subsection 3.22. Excess Increments. Excess increments, as defined in M.S., Section 469.176, Subd 2, shall be used only to do one or more of the following: 1. Prepay any outstanding bonds; 2. Discharge the pledge of tax increment for any outstanding bonds; 3. Pay into an escrow account dedicated to the payment of any outstanding bonds; or 4. Return the excess to the County Auditor for redistribution to the respective taxing jurisdictions in proportion to their local tax rates. The EDA or City must spend or return the excess increments under paragraph (c) within nine months after the end of the year. In addition, the EDA or City may, subject to the limitations set forth herein, choose to modify the TIF Plan in order to finance additional public costs in the Development District No. 1 or the District. City of Andover Tax Increment Financing Plan for Tax Increment Financing District No. 1 -2 3 -8 APPENDIX A BOUNDARY MAPS OF DEVELOPMENT DISTRICT NO. 1 AND TAX INCREMENT FINANCING DISTRICT NOS. 1 -1 AND 1 -2 APPENDIX A -1 Lon i k ax Increment Financin District 1-1 Project Name: Andover Station wJ I DOE Project Location F Park rrrrr a �_ ■ ■ ■ ■ ■■ � 111111111/ 111 ■ ■ • i 11 � � �� ■ ... 1111► #���I 1� � ��►.�■ �� ��, F T'A .i 4vn f Water �= v= Right of Way City Limits c nr a o Tax Increment Financin D istrict ANLb 6 W Proj ect Ando ri �. �. ri. ■� X11111■ ■� a� .T.� IL111I11 r �� :'` j� � LIIIIII ■11 �■ � L .. �►' �11� � 1 ■I11�1i ■ � �1 ■ ■I 1t■ 11■ i � 1 C �� � I i � � ■' � �► 1111 ���' =ii I111r •� rl /� ii � /1I ■t ■ ■t� • WE w II�R tIIII■ ■■�I111j1 ■■ ■■■■■ rt■A'MA! a ��.urr� till ■I 1 ■1. 9 1111111 � ■■ ■tl■ ■ ■11�i � • VIII � ■■ IL ■■■ ' � > ■l'� VIII �� .� ■I■ I■ ■1� ■ ■ii �i i ■I ■�� ' �� ram " �� It ■ ■. ■IIr7 n o 1111■ ■■■■ �� � � ♦' 1111: �► .♦ �;�* � =�� 11111 I■ ■�# � �. � � � 1 '�In�n fir. w. -•� F 4`un. 1 1 1 1 1/ - .y 9• - ��6 . • - • ice_ L� ��Tr ,�� ll C I T Y O F NDOVE: 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Planning and Zoning Commissioners FROM: Courtney Bednarz, City Planne# SUBJECT: PUBLIC HEARING Preliminary Plat of Kwik Trip Andover Addition located at the southeast corner of Bunker Lake Boulevard and Jay Street NW. DATE: October 27, 2009 INTRODUCTION The Planning Commission is asked to review a preliminary plat that will combine two existing lots into one lot and dedicate right -of -way for realignment of the existing frontage road and associated drainage. DISCUSSION Conformance with Local Plans The proposal is consistent with the Light Industrial Land Use designation and Industrial Zoning District designations that exist on the subject property. Access The existing frontage road will be realigned to provide access from Jay Street NW from the southwest as shown on the attached plat. The existing frontage road along the north side of the property and the existing right -of -way and easements will be vacated through a separate action that will accompany the plat when it is reviewed by the City Council. The applicant will remove the existing frontage road to prepare the site for redevelopment. The new frontage road will be constructed as a public improvement project and will be assessed to the benefitting property owners. The purpose of the frontage road realignment is to improve traffic safety and improve access to a full movement intersection with Jay Street NW. The existing median in Jay Street NW will be modified to allow this to occur. The proposed frontage road right -of -way will also provide an area for drainage across the road at the southeast corner of the plat. A portion of the proposed frontage road encroaches onto property owned by Kottke's Bus Service, Inc. A street easement will be needed to allow the road to be constructed as shown. This has been included as a condition of approval. Lots The proposed lot will exceed the minim lot width, depth and area requirements of City Code 12- 3-5 for lots within the Industrial Zoning District. An outlot is shown to the southeast of the proposed right -of -way. This area will be used to collect drainage from the surrounding area. Staff and the applicant have agreed that this area should be platted as part of the right -of -way to eliminate the outlot. Easements Typical ten foot wide drainage and utility easements will be provided adjacent to the west, south and east property lines of the proposed lot. A 40 foot wide drainage and utility easement will be provided along the north property line to protect access to water, sanitary sewer and storm sewer in this area of the site. Park Dedication A park dedication fee will be required based on the area of the new lot as provided by City Code 1 -7 -3. The City Code 1 -7 -3 establishes a park dedication fee for commercial or industrial property of $8,984 per acre or 10% of the market value of the land, whichever is less. Based on the 1.673 acres of proposed Lot 1, the park dedication fee will be $15,030.32. Pedestrian Access A sidewalk will be required to be constructed in the right -of -way along the east side of Jay Street adjacent to the site. The sidewalk will connect with the existing trail along the south side of Bunker Lake Boulevard NW at the intersection of these two streets. Anoka County Highway Department A copy of the plat and a request for review comments was sent to the Anoka County Highway Department on September 23, 2009. No comments have been received. Staff Recommendation Staff recommends approval of the proposed preliminary plat subject to the conditions of the attached resolution. Attachments Resolution Location Map Preliminary Plat Engineering Department Memorandum ACTION REQUESTED The Planning Commission is asked to hold a public hearing, review the proposed plat and make a recommendation to the City Council. Re Xny knz itted, Co Cc: Leah Nicklaus Berlin P.O. Box 2107 —1626 Oak Street LaCrosse, WI 54602 2 CITY OF ANDOVER COUNTY OF ANOKA STATE OF MINNESOTA RES. NO A RESOLUTION APPROVING THE PRELIMINARY PLAT OF "KWIK TRIP ANDOVER ADDITION" FOR PROPERTY AT THE SOUTHEAST CORNER OF BUNKER LAKE BOULEVARD NW AND JAY STREET NW LEGALLY DESCRIBED AS: Lots 1 and 2, Block 1, Pankonin Addition, Anoka County, Minnesota; except that part of said Lot 1, plus interest, penalty and costs comprising Parcel 11, City of Andover Highway Plat of Right of Way No. 3, taken for highway purposes by the City of Andover as shown in Final Certificate recorded December 3, 1996 as document No.290262. Torrens Property Certificates of Title No. 51557 (Lot 1) and No. 91242 (Lot 2) And Parcels 9, 10 and 11, City of Andover Highway Right of Way Plat No. 3, according to the recorded plat thereof, Anoka County, Minnesota. WHEREAS, the Andover Review Committee has reviewed the preliminary plat; and WHEREAS, pursuant to published and mailed notice thereof, the Planning and Zoning Commission has conducted a public hearing on said plat; and WHEREAS, as a result of such public hearing, the Planning and Zoning Commission recommends to the City Council the approval of the plat; and NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Andover has received the recommendation of the Planning and Zoning Commission and approves the preliminary plat with the following conditions: 1. The Preliminary Plat shall conform to the plans dated September 17, 2009 and stamped received by the City of Andover on September 23, 2009 except as follows: a. To address the review comments in the Engineering Department Memorandum dated October 5, 2009. 2. Park dedication shall be paid based on the area of proposed Lot 1 as provided by City Code 1 -7 -3. 3 A sidewalk shall be required to be constructed within the right -of -way along the east side of Jay Street NW at the applicant's expense. 4. Removal of the existing frontage road, building, fences and other existing site improvements shall be the responsibility of the applicant. 5. The new frontage road shall be constructed as a public improvement with the cost of the project assessed to benefitting properties. 6. A street easement document if favor of the city shall be provided for the area of the proposed frontage road that encroaches onto the Kottke's Bus Service Inc. property. 7. Contingent upon staff review and approval for compliance with city ordinances, policies and guidelines and a development agreement acceptable to the City Attorney. A financial guarantee acceptable to the city is required as a part of this agreement to assure required subdivision improvements will be completed. Adopted by the City Council of the City of Andover this th day of , 2009. CITY OF ANDOVER ATTEST: Michael R. Gamache, Mayor Michelle Hartner, Deputy City Clerk 1VDOVER i Incorporated Location Map 1974 OT I m � 139Ci t -��- i � l � 5394 13947 ! �5 p y9 BgB m 13934 1 - 138THPVE /1 139a o' 13925 13909 -_ _ .. 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"121111 l 1 n 3. 'lb •.$� ` �:� -- ^' SF v e o R % - a ^.� we;��v �g ne :[ L I J crTY car 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US MEMMUNDOW TO: Courtney Bednarz, City Planner ..�2 t3 '. Todd Haas, Asst. Public Works Director Jason Law, Asst. City Engineer ;4V— DATE: October 5, 2009 REFERENCE: Kwik Trip Andover Station /Preliminary Plat /Review #1 1. The new right of way for the relocated street is to be labeled on the plat "Bunker Lake Boulevard Service Road NW" east of Jay Street NW. 2. A 5 -foot sidewalk along the east side of Jay Street between Bunker Lake Boulevard NW and the new Bunker Lake Boulevard Service Road will be required. Pedestrian ramps will also be required at the Service Road on both the north and south side of street. 3. The preliminary plat needs to be submitted to the Anoka County Highway Department for their review and comment. 4. All existing utilities within 100 feet of the proposed plat are required to be shown including sanitary sewer, manholes, watermains, hydrants, storm sewer, gas, telephone, electric, cable tv, etc. Please verify that the required information is there and they are all labeled properly. Note: It appears that the locations and number of sanitary sewer and water services to this parcel are not correctly indicated on the plan. Refer to the City of Andover as- builts for more information (attached). 5. Any revisions need to be indicated on the bottom of the plat with revision date and indicate as Review #1 comments. 6. The proposed Outlot A is to be eliminated and included as part of the Bunker Lake Boulevard Service Road right of way. 7. A street easement will be necessary from the property owner for the Bunker Lake Boulevard Service Road near the northeast corner of the plat. 8. The right of way radius in the northeast corner of the intersection of Jay Street and Bunker Lake Boulevard Service Road shall be a 20 foot radius. 9. Please review City Code Item 11 for compliance. 10. See comments on plan sheets. 11. Additional comments pending further review. H: \Engineering \Plats\Open Plats \Kwik Trip Andover Add itionWennos\Courtney.DOC rte" • r .l n y llr LNiff 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Planning and Zoning Commissioners FROM: Courtney Bednarz, City Planne* SUBJECT: PUBLIC HEARING Conditional Use Permit 09 -09 for Kwik Trip automobile service station and car wash with variances to parking area setbacks at the southeast corner of Bunker Lake Boulevard and Jay Street NW. DATE: October 27, 2009 INTRODUCTION City Code 12 -12 requires a conditional use permit for the proposed convenience gas station. Additional review criteria are provided by City Code 12 -8 -7 (attached). The project will also be required to complete the city's commercial site plan process to finalize the site plan. DISCUSSION The subject property is the current home of Eddy's Auto Body and repair. All of the existing improvements to the property will be removed to allow the site to be redeveloped. The attached site plan shows the proposed layout of the site. Building Setbacks The proposed building, canopy and fuel pump islands will comply with the Industrial Zoning District building setbacks required by City Code 12 -3 -5. Building Exterior Building and canopy elevations are attached. Building materials include two colors of brick, a stucco and aluminum accents and a standing seam metal roof. These materials conform to the construction standards of City Code 9 -7 -3. The canopy exterior is aluminum and includes a red LED channel lit stripe and Kwik Trip logo on all four sides. Trash Enclosure The trash enclosure will be constructed from the same materials as the principal building to appear as part of the building. The attached site plan and left side building elevation illustrate the proposed trash enclosure. Rooftop Equipment Any mechanical equipment mounted on the roof or ground will be required to be screened to comply with City Code 12 -13 -5. Parking City Code 12 -13 -8 requires parking for the fuel pumps as well as the retail store. No additional parking beyond stacking distance is required for the car wash. It is important to note that the proposed parking area will extend over utilities along the north side of the property. These utilities serve more than the subject property and may need to be accessed in the future by the city for repair or replacement. A hold harmless agreement will be required as a condition of approval to ensure that the city is not responsible for replacing private improvements within the public easement should this occur. Traffic Circulation The site is designed to allow vehicles entering the site easy access to the fuel pumps, car wash and parking area for the convenience store. Stacking distance at the car wash is sufficient for at least six vehicles and a seventh vehicle beyond the crosswalk on the north side of the building. The drive lanes on the north and south sides of the building are proposed to have a ten foot setback which is less than the twenty foot setback that is typically required adjacent to public streets. The reduced setback will require a variance to City Code 12 -13 -8 E.S. As with all variances, hardship must be demonstrated to vary from the City Code. The standards used to evaluate hardship are as follows: 1. There are circumstances unique to the property that were not created by the landowner. Unique conditions may include the physical characteristics, including topography or water conditions that may exist on the property. 2. The property, if the variance is granted, will not be out of character with other properties in the same neighborhood. 3. The applicant has exhausted all reasonable possibilities for using his/her property 4. Economic considerations may not constitute an undue hardship if reasonable use of the property exists with application of the minimum standards of this chapter. The findings for the variance provided by the applicant are as follows: • The applicant is proposing to dedicate right -of -way to create a new frontage road on the south side of the property resulting in a reduction in the developable area of the site. • The subject property will have public streets adjacent to all four sides of the property which increases the required setbacks and further reduces the developable area of the site. Hours of Operation City Code 12 -8 -7 requires the hours of operation to be regulated by the conditional use permit. The applicant is requesting that this facility be allowed to operate twenty four hours a day, seven days a week. City Requirement Proposed Site Required Stalls Proposed Stalls Fuel Pumps 2 /service stall 10 service stalls 20 20 Retail Store 1/200 s.f. floor area 2995 s.f. floor area 19 21 It is important to note that the proposed parking area will extend over utilities along the north side of the property. These utilities serve more than the subject property and may need to be accessed in the future by the city for repair or replacement. A hold harmless agreement will be required as a condition of approval to ensure that the city is not responsible for replacing private improvements within the public easement should this occur. Traffic Circulation The site is designed to allow vehicles entering the site easy access to the fuel pumps, car wash and parking area for the convenience store. Stacking distance at the car wash is sufficient for at least six vehicles and a seventh vehicle beyond the crosswalk on the north side of the building. The drive lanes on the north and south sides of the building are proposed to have a ten foot setback which is less than the twenty foot setback that is typically required adjacent to public streets. The reduced setback will require a variance to City Code 12 -13 -8 E.S. As with all variances, hardship must be demonstrated to vary from the City Code. The standards used to evaluate hardship are as follows: 1. There are circumstances unique to the property that were not created by the landowner. Unique conditions may include the physical characteristics, including topography or water conditions that may exist on the property. 2. The property, if the variance is granted, will not be out of character with other properties in the same neighborhood. 3. The applicant has exhausted all reasonable possibilities for using his/her property 4. Economic considerations may not constitute an undue hardship if reasonable use of the property exists with application of the minimum standards of this chapter. The findings for the variance provided by the applicant are as follows: • The applicant is proposing to dedicate right -of -way to create a new frontage road on the south side of the property resulting in a reduction in the developable area of the site. • The subject property will have public streets adjacent to all four sides of the property which increases the required setbacks and further reduces the developable area of the site. Hours of Operation City Code 12 -8 -7 requires the hours of operation to be regulated by the conditional use permit. The applicant is requesting that this facility be allowed to operate twenty four hours a day, seven days a week. Lighting All lighting is required to be shielded to prevent glare. The applicant has proposed lighting to be recessed into the underside of the canopy and roof of the building as well as shielded pole mounted lights along the perimeter of the parking area. Additional details will need to be provided for each type of fixture through the commercial site plan process to ensure adequate shielding will be provided. Exterior Storage and Sales City Code 12 -8 -7 requires any exterior sales area be regulated by the conditional use permit. The applicant has requested approval of exterior sales similar to many of their other locations. This includes pallets of salt near the pump islands, two ice chests on the north side of the building, one cage for prefilled propane tanks (filled off site) and small trash recycling containers on the west side of the building. Landscaping A preliminary landscaping plan is attached with the site plan. The proposed plant quantities exceed the requirements of City Code 12 -13 -6 as shown in the notes on that plan. The right -of- way trees shown along Jay Street need to be moved to make room for a sidewalk. Final adjustments to the landscaping plan will be made through the commercial site plan process. Signage Building and canopy signage is shown on the attached building and canopy elevations. A monument sign is also shown toward the northwest corner of the site. A sign permit will be required to complete review of signage on the site. Noise The applicant has indicated that there will be no exterior backup generator on the site. It should be noted that the site is surrounded by other industrial and commercial properties and the nearest residential lot is approximately one quarter mile away. ACTION REQUESTED The Planning Commission is asked to hold a public hearing and make a recommendation to the City Council on the proposed conditional use permit. Attachments Resolution Location Map Preliminary Site Plan Set (11x17 in packet) Building and Canopy Elevations City Code 12 -8 -7 R ec 1- ed, 0 Cc: Leah Berlin Nicklaus P.O. Box 2107 — 1626 Oak Street LaCrosse, WI 54602 CITY OF ANDOVER COUNTY OF ANOKA STATE OF MINNESOTA RES. NO. R A RESOLUTION APPROVING A CONDITIONAL USE PERMIT FOR AN AUTOMOBILE SERVICE STATION AND CAR WASH WITH VARIANCES TO THE PARKING AREA SETBACKS AT THE SOUTHEAST CORNER OF BUNKER LAKE BOULEVARD NW AND JAY STREET NW LEGALLY DESCRIBED AS: Lots 1 and 2, Block 1, Pankonin Addition, Anoka County, Minnesota; except that part of said Lot 1, plus interest, penalty and costs comprising Parcel 11, City of Andover Highway Plat of Right of Way No. 3, taken for highway purposes by the City of Andover as shown in Final Certificate recorded December 3, 1996 as document No.290262. Torrens Property Certificates of Title No. 51557 (Lot 1) and No. 91242 (Lot 2) Parcels 9, 10 and 11, City of Andover Highway Right of Way Plat No. 3, according to the recorded plat thereof, Anoka County, Minnesota. WHEREAS, Kwik Trip, Inc. has requested a Conditional Use Permit for an automobile service station and car wash on the subject property; and WHEREAS, Kwik Trip Inc. has requested variances to reduce the parking area setback from twenty feet to ten feet along the north and south sides of the subject property; and WHEREAS, pursuant to published and mailed notice thereof, the Planning and Zoning Commission has conducted a public hearing on said conditional use permit and variances; and WHEREAS, the Planning Commission finds the request would not have a detrimental effect upon the health, safety, and general welfare of the City of Andover; and WHEREAS, the Planning Commission recommends to the City Council approval of the conditional use permit and variances; and WHEREAS, the City Council received the recommendation of the Planning Commission; and WHEREAS, the City Council finds that the following conditions constitute an undue hardship for the subject property: 1. Right -of -way dedicated by the applicant to create a new frontage road on the south side of the property reduces the developable area of the site. 2. The subject property will have public streets adjacent to all four sides of the property which increases the required setbacks and further reduces the developable area of the site. NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Andover has received the recommendation of the Planning Commission and approves the conditional use permit for an automobile service station and car wash with variances to reduce the parking area setback to ten feet along the north and south property lines subject to the following conditions: 1. Approval of the conditional use permit shall be contingent upon approval of the preliminary and final plat, completion of all conditions of approval and recording of the final plat with Anoka County. If any of these actions should fail to be successfully completed the conditional use permit shall be null and void. 2. The applicant shall be required to successfully complete a commercial site plan in compliance with City Code 12 -14 -2. 3. The hours of operation shall be twenty four hours a day, seven days a week. 4. Exterior storage shall be limited to pallets of salt near the pump islands, two ice chests on the north side of the building, one cage for prefilled propane tanks (filled off site) and small trash recycling containers on the west side of the building. 5. The applicant shall enter into a hold harmless agreement with the city to prevent the city from being financially responsible for replacing private improvements within public drainage and utility easements on the site. 6. The Conditional Use Permit shall be subject to a sunset clause as defined in City Code 12- 14 -6D. Adopted by the City Council of the City of Andover on this _ day of , 2009. 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(Amended Ord. 314, 10- - 12 -8 -6: EXTERIOR STORAGE: In ' tricts excluding residential districts, the governing body may order the ow roperfy to apply for a Conditional Use Permit to conduct an open storage U luding existing uses, to provided it is found that said use constitutes a threat the health, safety, convenience, morals or general welfare. (Amended Ord. 8, 10 -2 - Ord. 380, 4121109) 12 -8 -7: AUTOMOBILE SERVICE STATION The regulation of automobile service stations strives to achieve compatibility of these stations with adjacent and abutting land uses. In addition, such regulation is intended to protect the public health, safety and general welfare by mitigating and potentially detrimental aspects of automobile service stations, including potential traffic hazards, noise, light glare at night, outdoor storage of merchandise, indiscriminate advertising, environmental health hazards, and the like. Automobile service stations shall be subject to the following: A. All new buildings, the site, tanks, piping and dispensing stations, shall comply with the current provisions of the International Building Code, Minnesota State Fire Code, and all provisions related to underground liquid storage systems required in Section 12 -8 -7 of this code. B. Building permits shall not be issued for new construction or remodeling of facilities unless Fire Department approval has been received. C. Hours of operation will be approved by the City Council. D. The site plan shall show parking areas for customers, employees, service vehicles and those needing repair and no other areas of the site will be allowed vehicle parking. No vehicle shall be parked awaiting service longer than ten (10) days. Inoperable vehicles are regulated per section 6 -5 of City Code. E. Pump islands are subject to setback requirements. F. Exterior storage and sales shall only be allowed as approved through the Conditional Use Permit. (Amended Ord. 314, 10 -4 -2005) �-y NDOVE^ • 1685 CROSSTOWN BOULEVARD N.W. • ANDOVER, MINNESOTA 55304 • (763) 755 -5100 FAX (763) 755 -8923 • WWW.CI.ANDOVER.MN.US TO: Planning and Zoning Commissioners FROM: Angie Perera, Associate Planner SUBJECT: PUBLIC HEARING: City Code Amendment to consider changes to City Code for wind turbines. DATE: October 27, 2009 INTRODUCTION The City has received a number of inquiries from residents wanting to erect small wind turbines (wind energy conversion systems) within residential districts. Since the City Code does not currently regulate wind turbines this item is being brought forward this evening for review and discussion and to also address a goal of the City Council. The City Council has discussed renewable energy options and goals on April 15, 2009 during their Strategic Planning Workshop. The following goal was derived at that meeting: 1. Begin looking at adopting ordinances similar to the cities of Anoka and St. Francis that would allow wind turbines. (School Districts are looking at these and Andover High School, Oakview Middle School and three elementary schools in town could come to the city with a proposal.) The purpose of the public hearing this evening is to determine if the Planning Commission agrees with supporting an ordinance amendment to include language pertaining to wind energy, to consider public input and testimony from residents, and to provide staff with direction as to what additional research or information is desired to proceed with amending the ordinance accordingly. DISCUSSION Staff had researched neighboring communities for the City Council's workshop meeting on August 25` The staff report and minutes from that meeting are attached for your reference. The staff report from that meeting includes attachments from Skystream regarding general information on residential wind turbines and sample ordinances from other communities. Other attachments included for your review are newspaper articles pertaining to wind turbines and surrounding communities, the City of Andover's Zoning Map, Andover's table of uses and minimum district requirements. Research from other communities & Ordinance Amendment Wind energy ordinances are somewhat of a new trend with communities seeking to "go green" or become economically friendly while providing residents with alternative options for energy. Before moving forward with drafting an ordinance amendment staff would like the Planning and Zoning Commission's feedback on the following pertaining to wind turbines: • Is the Commission in favor with the general concept of amending the ordinance to allow wind turbines? The City Council has expressed an interest in considering language similar to the City of Oakdale's ordinance and directed bringing this item forward to the Planning Commission for further review and discussion. • If in favor, what type of use would be most appropriate and how broad or specific of an ordinance is preferred? The City of Oakdale for example, has a basic ordinance that allows wind energy systems as a conditional use that is based on setback requirements. The City of Anoka's ordinance is more restrictive by only allowing commercial wind energy systems within the city, prohibited in certain areas, and are reviewed as a conditional use. Based on recent research and the number of concerns raised with wind turbines, staff is of the opinion that it may be advantageous to consider certain restrictions to be placed on wind turbines at a minimum or require a conditional use versus a permitted use. A conditional use would allow the opportunity to review each request and place appropriate conditions according to various concerns. • What additional information or research would you like in order to proceed with an ordinance amendment? There is a lot of information pertaining to wind energy available. Staff has provided some general information for your review and is seeking feedback from both the Commission and residents pertaining to the consideration of moving forward with drafting appropriate language. Many concerns have been raised from other surrounding communities in regards to some of the following: height, size, design, noise, safety, appearance, location (lot size, zoning districts, and compatible uses), setbacks, property values, ice buildup, maintenance, costs and power failures. STAFF RECOMENDATION Staff recommends that the Commission open the public hearing to obtain testimony from residents, discuss the topic and provide direction. If the Commission is in favor with proceeding with an ordinance amendment, this item may be continued to the following Planning Commission meeting, at which time staff can provide a draft ordinance based on comments received. ACTION REQUESTED The Planning and Zoning Commission is requested to hold a public hearing and provide staff with feedback on drafting an ordinance amendment to include wind turbines within the City Code accordingly. Res ectfull ubmitted, Angie Per a Associate Planner Attachments Staff Report and Minutes from the August 25 City Council Workshop Skystream — general information on residential wind turbines Examples of Wind Energy Codes (Anoka, Cottage Grove, Plymouth, Oakdale) 3 Newspaper Articles "In The Public Interest: How and why to permit for small wind systems" (a guide for state and local governments by the American Wind Energy Association Sept. 2008) "Permitting Small Wind Turbines: A Handbook (pages 1 -20 of 45 included) City of Andover Zoning Map City of Andover Table of Uses and Minimum District Requirements 0 C I T Y O l ri _ i v , D 1685 CROSSTOWN BOULEVARD N.W. o ANDOVER, MINNESOTA 55304 - (763) 755 -5100 FAX (763) 755 -8923 o WWW.CI.ANDOVER.MN.US TO: Mayor and Council Members CC: Jim Dickinson, City Administrator — FROM: Will Neumeister, Community Developin nit Director SUBJECT: Continued Discussion on Renewable Energy Options and Goals DATE: August 25, 2009 INTRODUCTION This report will focus only on wind turbines and the potential adoption of a code section that would allow them in the City of Andover. The Council's 2008 -2009 adopted goal is to "Make OF concerted effort toward promoting the usage of solar and wind power, including the identification of appropriate sites and installations ". DISCUSSION Because wi id generators are becoming more common, and more cost effective, staff believes these systems will likely be the first "renewable energy sources" to show up in the cormnunity. After the last workshop discussion on March 24, 2009 staff received a few emails and calls indicating that some residents want to be able to put up a small wind generator. These small wind energy systems would most likely be similar to the "Skystrealn" (see attached). Because of their low cost and the many new tax credits being offered, these will likely become part of mainstream America. Some cities have passed ordinances that regulate wind turbines (small and large) (i.e. City of Anoka, Oakdale, Cottage Grove, and Plymouth). These are attached for your review. Note that there are differences between the communities. Anoka does not allow small wind turbines at all; and only allows large (commercial) ones in large parks or commercial/industrial areas. The cities of Cottage Grove and Plymouth are similarly restrictive in where they may be placed. However, Cottage Grove distinguishes where small vs. large wind turbines will be allowed. The only city that is quite liberal in where they are placed is Oakdale. Oakdale allows small or large ones in all zones, but they have to meet setbackifall -zone criteria. ACTION REQUESTED Staff would like to obtain Council feedback before we do any further research or beginning the process of adoption of a potential wind turbine code. Respectfully Submitted, Will Neumeister Attachments: "Skystream" wind turbine information; Examples of Wind Energy Codes (Anoka, Cottage Grove, Plymouth, Oakdale) 3 1 7 3D- -i& TA�76C I V wi� i _ Rated Capacity 2.4 kW Rotor Diameter 12 ft (392 m) 170 Ih (77 kg) Swept Area 116.7ft IM [7olarnvind rotor with stall regulation control Direction of Potation � t Blades t Rated Speed 50 - 330 rpm y Y )y 4XJ t , Alternator 5[odesspermanent magnet bmshless Yaw Control Passive Grid Feeding 120/240 VAC Split 1 Ph, 60 Hz 120/208 VAC 3 Ph campatible, 60 Hz (Check with dealer forother f \ 6aftery Charge Controller kit avaifable 1 ' Braking Sy =_fen Electronic stall regulation with • 1 t Cut-ia Wind Speed 8 mph (3.5 m /s) Rated Wind Spead 29 mph (13 m /s) U NiTonitoring Wireless 2 -way interface Sunrivat Vd[nd Sneed f u rLJul t? yU�I 6.5 f ul ca tu w �dv Ted bPeci lcatocllls Rated Capacity 2.4 kW Rotor Diameter 12 ft (392 m) 170 Ih (77 kg) Swept Area 116.7ft IM [7olarnvind rotor with stall regulation control Direction of Potation � t Blades t Rated Speed 50 - 330 rpm y Y )y 4XJ 216.5 ,Vs (66 m /s) Alternator 5[odesspermanent magnet bmshless Yaw Control Passive Grid Feeding f u rLJul t? yU�I 6.5 f ul ca tu w �dv Ted bPeci lcatocllls Rated Capacity 2.4 kW Rotor Diameter 12 ft (392 m) Weight 170 Ih (77 kg) Swept Area 116.7ft Type [7olarnvind rotor with stall regulation control Direction of Potation Clockwise looking upvaind Blades (3) Fiberglass reinforced composite Rated Speed 50 - 330 rpm RRaximum Tip Speed ' 216.5 ,Vs (66 m /s) Alternator 5[odesspermanent magnet bmshless Yaw Control Passive Grid Feeding 120/240 VAC Split 1 Ph, 60 Hz 120/208 VAC 3 Ph campatible, 60 Hz (Check with dealer forother configurations) Battery Charging 6aftery Charge Controller kit avaifable I or battery charging systems ' Braking Sy =_fen Electronic stall regulation with ' redundant relay slvitch conael Cut-ia Wind Speed 8 mph (3.5 m /s) Rated Wind Spead 29 mph (13 m /s) U NiTonitoring Wireless 2 -way interface Sunrivat Vd[nd Sneed 140 rnph (63 m /s) Yderraniy 5 year limited v, 41Pd t:SIE)Gi•_ i.'.i_ t'�l "�. F- , l6 = :r' ij 7 tfy._t: f1s�a Designed for homes and small Businesses, [ lie Skysiream 3.7 "' convel Ls virld into clean electricity you can use. Its the first compact, €ISeI' iriendfy, all Wind generator (xviffi controls and inverter built in) designed to provide quiet, clean electricity in very low wind's. With a rated capacity of 2.4 kW, Skysiream can provide anywhere from 40 0 /o= 90 of a household's or small business's total energy needs. And because it operates at a low RPM, Skysiream is as quiet as the trees blowing in the wind. POWER 2800 2400 2000 1600 1200 I` e C 800 1- 400 nas 0 0 11 22.3 33.5 4 4.75 60 67.f m/- 0 5 10 15 20 25 30 ' Wind Speed it((OI\ITHLY ENERGY 900 rap C 600 Lu 500 y 400 ac Soo 200 70 0 17:::I=[ I 1 1 I. 1 1 1 0 6.5 Z9 10 123145 %a 19 27223.5 24b ,y ❑ 25 3,5 4.5 5.5 6..5 7.5 8.5 95 10.5 it Average Annual Wind Speed :FIVE=WARRAM 0VIi�us C E So €i iv'es_W[frtdpo-P4er 1801 W. Rowe 66 928.779.9463 Flagstaff, AZ 86001 USA un•nu.skystrearllelnergy.com Makers of Skystreanl 3.7' /AIR / Whisper ' Actual 9cv nps is based on Mid speed at ilia ails and mc,rhly energy cersampN.mY. Data measured and con by USOD. -AF.S F2esc�:d1 Lb, 2ushland, Tx_ =; cd paper with t�cget w ebla inks using 100, w v 4 nevi anargy. °tinted en cecyd _.- Imo:. a } =•: ���f� i ..: _. -A L� ��u rnfly 1 sL -r\edl Q ue , WfioLn, 'i�imwr des 5kystr°epan urortk? Skystream is a wind generator installed on top of a tower that converts the kinetic energy in the wind into electricity to be used in a home's electrical system. Ina typical residential application, a home is served simultaneously by the Slcystream and a local utility. If the wind speeds are below "cut-iii speed" (8 rnph) there will be no output from the generator and all of the needed power is purchased fiorn the utility. As wind speeds increase, the Skystream's output increases and the amount of power purchased fro the utility is proportionately - decreased. QVhen the Rom. Skystreain produces more power than the house needs, the meter spins backwards creating a "credit" that can be used later. All of this is done automatically without any interaction by the homeowner. Batteries are not required with Skystream. WHI S kystlream Save me MORICY9 Depending on the wind speed average and the amount of energy consumed- every month, Skystleam typically lowers a household electricity bill by 3 0% to 80 %- It is not uncommon for Skystream owners with total - electric homes to have monthly utility bills of only $ 9 to $15 for nine months of the year (2005 data). The amount of money a Skystream saves you in the long run will depend upon its installed cost, the amount of electricity you use, the average wind speed at your site, and other factors. Costs vary width local conditions and tower height. Most US installations range from $12,000 - $18,000. US Federal incentives and other state incentives can decrease this cost significantly. Learn about US Federal incentives here. Search for local incentives here. Check your local wind map here. 11n it . Ihelp tTm.e el��rgrrozfinentt' a 111mstall a Skystrea m at my homne? Because Skystream is a renewable energy source, produces no pollution, and uses wind power, you will be offsetting pollution that would have been generated by your utility company. Over its life, the Skystream can offset more than 6000 pounds of global warning pollutants (carbon dioxide and other gases that are associated with global warning) every year. Does SkystlreajLrn tweets nnY sound or Anteir>re re with TV a ecepli-I O 9 Skystream is extremely quiet and makes a small amcurit of operating sound similar to the level of a small office. It generally cannot be heard over typical background noise such as the sound of the wind. Skystream. does not interfere with TV reception. 1.. u...- ! /zrcxzsr ctr�r �t,- Pa,,,� „�, -w rnm /resources /fa�s.uliU 3/17/2009 Slcystream 3.7 Compact - Wind Turbine and Wind Energy System Page 3 of 4 While no formal studies have been done, anecdotal evidence indicates that birds occasionally collide with small wind generators as they do with any other type of structure. However, such events are very rare. I�bi.e i•erading: Download the "Small Wind & Birds" fact sheet. SlLou d? Li neAgAbors be coLacei`ned aTiTiout 9 a if ety IS R get a 91 '9tyre na' No. Skystream's design was done in collaboration with the U.S. De- partment bf Energy and the National Renewable Energy Laboratories. As part of this project, extensive computer modeling and field testing was done to ensure a safe design. All of Skystream's testing was done to internationally accepted standards for small wind safety and reliability. Your neighbors who may have some concerns about safety may appreciate the following information: Tower stability: Thousands of small wind generators are installed in the U.S. every year and their safety track record is excellent. Trees are much more likely to fall than a properly installed Skystxeara, but no setbacks or minimum property sizes ate required for trees. Scafety of utility t ep�airpeasonnei durin oa power out age: In accordance to IEEE and UL, Skystream will automatically shut down in the event of a power outage, and will not energize a dead power line. This is necessary to protect the utility line repair person. -Tee shedfront rotor blades: Ice buildup makes Skystream blades less aerodynamic, so that they turn more slowly_ Typically, ice will drop to the base of the generator tower and is not dangerous. Children. and towers: In terms of educating children about not climbing structures, a small wind generator should be treated no differently than other climbable structures such as water towers or amateur radio antennas. Morre. reading: Download the "Small Wind & Your Neighborhood" fact sheet. No. With thousands of small wind generators installed today in the U.S., there has never been any evidence to support this claim. Actually, there are several survey sources that indicate otherwise. More reo_rding: ham / /www awea oxQ /smallwind/toolbox/TDOLS /fs values.asn Yes. Federal regulations (specifically, the Public Utility Regulatory Policies Act of 1973, or PURPA) require utilities to coimect witli and purchase power from small wind energy systems. Your dealer should be able to help arrange the required utility company approvals. Sicystream 3.7 Compact Wind Turbine and Wind Energy System Page d. of 4 A Skystream is a structure that normally requires a building permit. Zoning regLdat oiien limit the height, placement, and other characteristics of "appurtenant" structures, so a conditional (special) use permit or variance may be necessary. hzve to c h%L� L (ue ate of QLe �r ITIA1 a in MY No. A Sicystream can easily be installed at any existing Ihome without the need to change any wiling or appliances. In most cases, the utility will install a second utility meter to measure how much surplus electricity it is receiving froill the generator owner. What about towers.? Towers as short as 35 feet are available with Skystrearn. However in some circumstances, a taller tower may be necessary to raise the generator above turbulence cleated by obstacles on the ground andlor trees. Wind speed increases with height above ground, and increasing speed increases the amount of energy your generator will produce. Relatively small investments in increased tower height can yield high rates of return in energy production. A rule of thumb for proper and efficient operation of a Slcystreanz suggests that the generator should be 20 feet (6 meters) above the top of anything within 300 feet (about 100 meters). o Installation FAOs o Downloads o External Resources o Owned: Loin o Product Registration "It's all the rage in our neighborhood. People are getting really excited..." ...More -Rena Wilson Jones, Urbana, IL Hear More Testimonials Join our email list for product info, pricing, rebates, incentives and snore. Home I Privac I Terms of Use I Feedback • Owners • Dealers • Product Registration • Locate a Dealer • Become a Dealer a 0 v✓cnw. sI,ystre am anergy,coill Those unfamiliar with small wind may wonder how such a new technology will affect their community. Here we address some of the most common inquiries from homeowners and other parties about small wind in their communities. Acoustics The sound from small wind generators typically blends in with common outside sounds like those from cars, airplanes, bark- ing dogs and wind blowing through the trees. According to the U.S. Department of Energy's National Renewable Energy Laboratory (NREL) the sound pressure level generated by a small wind generator is in the range of 40 -65 decibels which is quieter than background noise in a home or office. Skystream's sound is unrecognizable over trees blowing in the wind. Visual Impact Small wind generators are installed on towers similar those commonly- accepted in communities across the country and don't look much different than a common light pole or radio tower. Our generators are installed on towers ranging from 36 - 110 feet (10 - 30 m) tall and have blades. ranging from 3 - 6 feet (i - 6 m) in diameter, they don't look much different than a common light pole or radio tower. Southwest Windpower generators are designed to minimize the visual area and preserve the horizon. Structure Safety and Climbing Hazard As with any structure, wind generator towers must meet local building and safety requirements. I owers are installed according to manufacturer and local zoning specifications that ensure structural safety. Small wind generator towers pose no greater climbing risk than other similar poles and towers or even trees. Many wind generatortowers have a smooth sur- face, like a light pole, that is ready impossible to climb. Those towers that are climbable can be equipped with devices that prevent falls -as with other climbable towers. Interference Small wind generators have no effect on TV or communications signals, as their blades are made from materials (wood, fiberglass, and plastic) that signals can pass through. Nor do small wind generators electromagnetically interfere with tele- communications or radio waves. In fact, one of the major markets for small wind generators is powering military and remote telecommunications sites. Property Values There are as many as 20,000 small wind generators installed every year and to date, there has been no documented evi- dence that small wind generators - or even commercial wind farms - have ever lowered neighborhood property values. In fact, a 2003 study that examined property values near ten wind farms found that property values rose faster in those areas as compared to other homes within the region. According to the American Wind Energy Association (AWEA), a survey of 300 California homeowners conducted for the California Energy Commission found that 50 percent of homeowners surveyed "would be willing to pay more for a home equipped with solar and wind fechnology." The same study found that 60 percent of homeowners surveyed "would be more interested in a home Tat has a renewable energy system already installed versus a home that does not." Also, informal surveys of property values around three small windmills in New York showed that the asking price for most property near residential wind generators was higher than the assessed value. Page 1 of 2 r, inr - iRni W Rniiie 66 ° Flagstaff, AZ 36001 ° Tel 928.779.9463 ^ Fax 923.779.1485 Oakdale Code City of Oakdale Chapter 25 ofthe Zoning Code Article 24. Alternative Energy Sources and Systems Sec. 25 -253 Purpose and Intent The purpose of this Section is to promote the -safe, effective and efficient use of alternative energy sources and systems as the technology becomes available. The purpose of this Section is also to establish predictable and balanced regulations for the establishment of commercial and noncommercial WECS in the locations and circumstances under which the use may be established without detriment to the public health, safety and welfare of the neighboring property owners and occupants. Sec. 25 -254 Definitions 1) Wind Energy Conversion System: Any device such as a wind charger, windmill, or wind turbine, which converts wind energy to a form of usable energy. 2) WESC Height: The height of the tower /pole plus the rotor radius. 3) External solid fuel -fired heating device: External solid fuel -fired heating device also known as 'outdoor furnaces" means any equipment, device or apparatus, or any part thereof, which is installed, affixed or situated outdoors for the primary purpose of combustion of fuel to produce heat or energy used as a component of a heating system providing heat for any interior space. It is the intent of this section to regulate exterior freestanding solid fuel -fired devices that are contained within a structure primarily designed or used to house the solid fuel device. Sec. 25 -255 General Standards (1) No more than one Wind Energy Conversion System (WECS) shall be permitted per lot. (2) The setback shall be at least the following distances: a. From the nearest dwelling, school, business or other habitable structure: 300 feet or 1.5 tunes the height of the WECS, whichever is greater. b. From the nearest public right -of -way: 300 feet or 1.5 times the height of the WECS, whichever is greater. c. From the nearest property line: 300 feet or 1.5 times the height of the WECS, whichever is greater. In no instance shall any portion of the WECS extend over any property line, including the full are area created by any blades used in the system. Section 25 -253 to 25 -256 Revised: September 2008 Page 129 a�v Oakdale Code Cyty of 0111, date chapter 235 of the Zon code d, from recreational fields: 300 feet or 1.5 tines the height of the WECS, whichever is greater. However, in no instance shall any portion of the WECS extend over any recreational field, including the full arc area created by any blades used in the system. e. No portion of the WECS, including the full arc area created by any blades used in the system, shall extend over any aboveground power line or drainage and utility easement. (3) Blade arcs created by the WECS shall have a minimum of 30 feet of clearance over any accessory structure or tree within the full arc area created by any blades used in the system. (4) The WECS shall be equipped with both a manual and an automatic braking device capable of stopping the WECS operation in high winds. (5) The WECS, including the blades, shall be grounded and shielded to protect against natural lightning strikes in conformance with the National Electrical Code. (6) The WECS shall not include tower - climbing apparatus within twelve (12) feet of the ground. (7) The WECS shall display a sign posted at the base of the tower, not to exceed two (2) square feet in area. The sign shall contain the following information: a. A warning of high voltage, b. The manufacturer's name, G. An emergency telephone number, d. The emergency shutdown procedures Additional signs may be required on the basis of individual applications as safety needs dictate. (8) No WECS shall have affixed or attached lights, reflectors, flashers or any other illumination, except for those devices required by the Federal Aviation Administration. (9) The WECS shall be filtered, shielded or otherwise designed and constructed so as not to cause electrical, radio frequency, television, and other corrununication signal interference. (10) All obsolete and unused towers and equipment shall be removed within twelve (12) months of cessation of operation at the site, unless the Zoning Administrator grants all exemption. (11) Each WECS shall require a condition use permit. ,section 25 -253 to 25 -256 Revised: September 2608 Page 130 —1 -w Oakdale Code City of lkrlale Chapter 2s of llte Zoning Code (12) WECS may be an. allowed conditional use subject to the regulations and requirements of this Section in areas zoned Community Commercial (C -2), General Industrial (G -1), or in conjunction with such special uses as listed in Article 5, Sec. 25 -21. (13) WECS installed in accordance with the requirements of this Section shall not generate power as a commercial enterprise as defined by the Public Utilities Commission. (14) No building permit shall be issued for the construction of a WECS until and unless the applicant for the building pen deposits with the City Clerk a policy of liability insurance indemnifying the applicant from liability for personal injury or property damage in the sum of at least $500,000.00. The policy of insurance so deposited shall contain a clause obligating the company issuing the same to give at least thirty (30) days written notice to the City before cancellation thereof, the conditional use and building permits to be automatically revoked upon the lapse or termination of said policy. (15) Noise emitted from the WECS shall not exceed standards set forth in Chapter 19 of the Code of Ordinances. —f6, CITY0FANOK4 CITYCODE CHAPTER 74; ARTICLE IX, DIVISION4 Anoka Code ARTICLE IX. Supplemental Regulations DIVISION 4. Wind Energy Conversion Systems (WECS) Section 74 -560. Purpose and Intent. This ordinance is established to'mgulate the installation and operation of Wind Energy Conversion Systems (WECS) within the City of Anoka, not otherwise subject to siting and oversight by the State of Minnesota under the Minnesota Power Plan Siting Act (Minn. Stat. § 116C.51- 116C.697). Section 74 -561. Definitions. The definitions in Section 74 -2 of this Chapter apply herein. In addition, the following definitions shall apply in the interpretation and enforcement of this division. Commercial IVECS means a WECS of 40 kilowatts or more in tot name plate 4� Fall zone means the area defined as the furthest distance fiom the tower base, in which a tower will collapse in the event of structural failure. Feeder Line means any power line that carries electrical power from one or more wind turbines or individual transformers associated with individual wind turbines to the point of interconnection with the electric power grid; in the case on interconnection with the high voltage transmission systems, the point of interconnection shall be the substation serving the WECS. Meteorological Tower means towers that are erected primarily to measure wind speed and directions plus other data relevant to siting a WECS. For purposes of this ordinance, meteorological towers does not mean towers and equipment used by airports, the Minnesota Department of Transportation, or other similar applications to monitor weather conditions. Nacelle means the part of the WECS that contains the key components of the wind turbine, including the gearbox, yaw system and the electrical generator. �t .d S means a WECS c l ess than 40 kilowatts (KW) in total na w Rotor diameter means the diameter of the circle described by the moving rotor blades Substations means any electrical facility designed to convert electricity produced by a wind turbine to a voltage greater than 35,000 volts (35 kilovolts) for interconnection with high voltage transmission lines. Total height means the highest point, above ground level, reached by a rotor tip or any other part of the WECS. Tower means vertical structures that support the electrical generator, rotor blades, or meteorological equipment. Tower height means the total height of the WECS exclusive of the rotor blades. Page 1 of 7 Anoka Code CITYOFAAIOKA CITY CODE CHAPTER 74; ARTICLE LY, DIVISION 4 Transmission line means those electrical power lines that carry voltages of at least 69,000 volts (69 kilovolts) and are primarily used to carry electric energy over medium to long distances rather than directly interconnecting and supplying electric energy to retail customers. TyECS— Wind Energy Conversiois System means an electrical generating facility comprised of one or more wind turbines and accessory facilities, including, but not limited to, power lines, transformers, substations and meteorological towers that operate by converting the kinetic energy of wind into electrical energy. The energy may be, used ou -site or may be distributed into the electrical grid. Wind turbine means any piece of electrical generating equipmentthat converts the kinetic energy of blowing wind into electrical energy through the use of airfoils or similar devices to capture the wind. Section 74 -562. Application, process, building permits, fees and inspections. (a) Application. Applications for approval to construct a commercial WECS shall include the following. information: (1) The name(s) of the project applicant. (2) The narne(s) of the property owner. (3) The legal description and address of the project. (4) A description of the project including the type, name plate generating capacity, tower height, rotor diameter, and means of interconnecting with the electrical grid. (5) The proposed site layout, including the location of property lines, wind turbines, electrical wires, interconnection points with the electrical grid, and all related accessory structures. The site layout shall include distances and shall be drawn to scale. (6) An engineer's certification. (7) Documentation of land ownership or legal control of the property. (8) The latitude and longitude of individual wind turbines. (9) A USGS topographical map, or map with similar date, of the property and surrounding area, including any other WECS within ten (10) rotor diameters of the proposed WECS. (10) The location of wetlands, scenic and natural areas within 1,320 feet of the proposed WECS. (11) An acoustical analysis. (12) A Federal Aviation Administration (FAA) Permit Application, if applicable. (13) The location of all known Communication Towers within two (2) miles of the proposed WECS. (14) A decommissioning plan. (15) A description of potential impacts on nearby WECS and wind resources on adjacent properties. (b) Process. WECS applications will be processed under the procedures for applicable approvals contained within this Chapter. (c) Buildingpermits. (1) It shall be unlawful for any person to erect, construct in place, place or re- erect, replace, or repair any tower without first making application to Page 2 of 7 —1 Z.= Anoka Code CITYOFAATOKA CITYCODE CHAPTER 74, ARTICLE IX, DIVISION 4 the building inspections department and securing a building permit therefore as required in this sub- section. (2) The applicant shall provide, at the time of application, sufficient information to indicate that construction, installation and maintenance of the WECS will not create a safety hazard or damage to the property of other persons. (3) Only one tower shall exist at any one time on any one property. (4) Before issuance of a building permit, the following information shall be submitted by the applicant: a. Proof that the proposed tower complies with regulations administered by the Federal Aviation Administration; and b. A report from a State - licensed professional engineer that demonstrates the WECS compliance with structural and electrical standards. c. A conditional use permit approved by the City. (5) Any city cost of testing or verification of compliance shall be borne by the applicant. (d) Fees. The fee(s) to be paid shall be as prescribed by the City Council. (e) Inspections. WECS may be inspected by an official ofthe building department to determine compliance with original construction standards. Deviation from the original construction for which a permit is obtained constitutes a violation of this section. Notice of violations will be sent by registered mail to the owner of the WECS and the property owner upon which the WECS is located who will have thirty (30) days from the date notification is issued to make repairs. Upon completion of the repairs, the owner /applicant shall notify the building official that the repairs have been made. Section 74 -563, Conditionally Permitted and Prohibited WECS. (a) Conditionally permitted WECS. Commercial WECS are permitted in all zoning districts, except as noted in subpart (b) below, upon issuance of a conditional use permit, and are subject to the provisions of Section 74 -552. (b) Prohibited WECS. All WECS are prohibited in the environmental overlay districts — Mississippi National River Recreation Area (MNRRA) and the Rum River Wild and Scenic District and are prohibited in the flood plain or shoreland areas. Non - commercial WECS are prohibited in all areas of the City. Section 74 -564. Performance Standards. (a) Safety Design Standards. (1) Engineering Certification. For all WECS, the manufacture's engineer or another qualified engineer shall certify that the turbine, foundation and tower design of the WECS is within accepted professional standards, given local soil and climate conditions. Page 3 of 7 a Anaa Code CITY OFAArOKA CITY CODE CHAPTER 74; ARTICLELY,' DIVISION4 (2) Clearance. Commercial WECS: Rotor blades must maintain at Ieast fifteen (15) feet of clearance between their lowest point and the ground. (3) Rotor Safety. Each commercial WECS shall be equipped with both a manual and an automatic braking device capable of stopping the WECS operation in high winds (40 miles or greater). (4) Lightning Protection. Each commercial WECS shall be grounded to protect against natural lightning strikes in conformance with the National Electrical Code. (5) Warnings. For all commercial WECS, a sign or signs shall be posted on the tower, transformer and substation warning of high voltage, stating the manufacturer's name and listing an emergency phone number. (b) Standards. (1) Total Height. a. Commercial WECS shall have a total height of no more than one hundred fifty (150) feet. b. WECS shall not be roof - mounted. (2) Tower Configuration. a_ All towers that are part of a WECS, except meteorological towers, shall be installed with a tubular, monopole type tower. b. Meteorological towers may be guyed. (3) Setbacks. Page 4 of/7[/ Commercial Meteorological Towers WECS Property lines 1.1 times the The lesser of the fall zone, total height plus as certified by a ten feet professional engineer plus 10 feet or 11 times the total height Neighboring 1.25 times the The lesser of the fall zone, Dwellings total height as certified by a professional engineer plus 10 feet or 1.1 times the total height Road Rights- The lesser of the The Iesser of the fall zone, of -Way fall zone, as as certified by a certified by a professional engineer plus professional 10 feet or 1.1 times the engineer plus 10 total height feet or 1.1 times the total height Other Rights- The lesser of the The lesser of the fall zone, Page 4 of/7[/ Anoka Code CITYOFANOKA CITY CODE CHAPTER 74, ARTICLEM, DIVISION4 (4) Color and Finish. a. All wind turbines and towers that are part of a WECS shall be white, grey or another non - reflective, non - obtrusive color. b. Finishes shall be matte or non - reflective. (5) Lighting. Lighting, including lighting intensity and frequency of strobe, shall adhere to but not exceed requirements established by Federal Aviation Administration (FAA) permits and regulations. No additional lighting, other than building security lighting, is permitted. (6) WECS sites. The design of the buildings and related structures shaII, to the extent reasonably possible, use materials, colors, textures, screening and landscaping that will blend the WECS to the natural setting and then existing environment. Page S of 7 hr Commercial Meteorological Towers WECS of -Way fall zone, as as certified by a certified by a professional engineer plus professional ten feet or 1.1 times the engineer, plus total height ten feet or 1.1 times the total height. Other The lesser of the The lesser of the fall zone, Structures fall zone, as as certified by a certified by a professional engineer plus professional ten feet or 1.1 times the engineer plus ten total height feet or 1.1 times the total height Other Existing To be WECS determined through the CUP review based on relative size of existing and proposed WECS, alignment of WECS relative to predominant winds, topography, extent of wake interference on existing WECS, and other setbacks required; may be waived for multiple turbine p rojects. (4) Color and Finish. a. All wind turbines and towers that are part of a WECS shall be white, grey or another non - reflective, non - obtrusive color. b. Finishes shall be matte or non - reflective. (5) Lighting. Lighting, including lighting intensity and frequency of strobe, shall adhere to but not exceed requirements established by Federal Aviation Administration (FAA) permits and regulations. No additional lighting, other than building security lighting, is permitted. (6) WECS sites. The design of the buildings and related structures shaII, to the extent reasonably possible, use materials, colors, textures, screening and landscaping that will blend the WECS to the natural setting and then existing environment. Page S of 7 hr Anoka Code CITYOFANOKA CITYCODE CHAPTER 74; ARTICLE LY,- DIVISION 4 (7) Signs. The manufacturer's or owner's company name and/or logo may be placed on the nacelle of the WECS. No other signage, other than as required in this Division, shall be permitted. (8) Feeder Lines. All communications and feeder lines, equal or less than 34.5 kilovolts in capacity, installed as part of a WECS shall be buried where reasonably feasible. Feeder lines installed as part of a WECS shall not be considered an essential service. (9) Waste Disposal. All solid and hazardous wastes, including but not limited to crates, packaging materials, damaged or worn parts, as well as used oils and lubricants, shall be removed from the site promptly and disposed of in accordance with all applicable local, state and federal regulations. (10) Maximum Vibration and Shadow Flicker. a. No WECS shall produce vibrations through the ground that are humanly perceptible beyond the property on which it is located. b. Commercial WECS shall include a shadow flicker analysis study with the application submission. (11) Discontinuation and Decommissioning. A WECS shall be considered a discontinued use after one (1) year without energy production, unless a plan is developed and submitted to the City outlining the steps and schedule for returning the WECS to service. a. All WECS and accessory buildings shall be removed in their entirety including all footings and foundations within ninety (90) days of the discontinuation of use. Each Commercial WECS shall submit a Decommissioning Plan outlining the anticipated means and cost of removing the WECS at the end of its serviceable life or upon becoming a discontinued use. The plan shall also identify the financial resources that will be available to pay for the decommissioning and removal of the WECS and accessory facilities. The Decommissioning Plan shall be submitted as part of the conditional use permit application. c. The City may require financial surety in the form of a cash escrow, irrevocable letter of credit or performance bond to ensure that decommissioning of the Commercial WECS is completed. Section 74 -565. Other Applicable Standards. (a) Noise. All WECS shall comply with the MPCA and City of Anoka standards for noise. Page 6 of 7 Anoka Code CITYOFANOKA CITY CODE CHAP TER 74; ARTICLE Lk; DIVISION (b) Electrical Codes and Standards. All WECS and accessory equipment and facilities shall comply with the National Electrical Code and other applicable standards. (c) Federal Aviation Administration (FAA). All WECS shall comply with FAA standards and permit requirements. (d) Building Code. All WECS shall comply with the Minnesota Building Code as adopted by the State of Minnesota and the City of Anoka. (e) Interference. (1) The applicant shall minimize or mitigate interference with electromagnetic communications, such as radio, telephone, microwaves, or television signals caused by WECS. (2) The applicant shall notify all communication tower operators within two (2) miles of the proposed WECS location upon application to the City for a permit to operate a WECS. (3) No WECS shall be constructed so as to interfere with public safety telecommunications. Section 74- 566 — 74 -600. Reserved. Page 7 of 7 — /l Sterling Codifiers, Tnc. Cottage C� ®�T� ��� 11 -4 -6; WIND ENERGY CONVERSION SYSTEMS (WECS): A. Purpose: The purpose of this section is to provide for the regulation of the construction and operation of wind energy conversion systems in Cottage Grove, subject to reasonable conditions that will protect the environment, public health, safety, and welfare. B. Definitions: FACILITY OPERATOR: The entity responsible for the day to day operation and maintenance of'the wind energy conversion system. FACILITY OWNER: The entity or entities having controlling or majority equity interest in the wind energy conversion system, including their respective successors and assigns. SUBSTATION: The apparatus that connects the electrical collection system of the WECS (s) and increases the voltage for connection with the utility's transmission lines. WECS, LARGE: A wind energy conversion system consisting of one or more wind turbines, a tower(s), and associated control or conversion electronics, which has a total rated capacity of fifty (50) or more kilowatts. WECS, SMALL: A single system designed to supplement other electricity sources as an accessory use to existing buildings or facilities, wherein the power generated is used primarily for on site consumption. A small wind energy conversion system consists of a single wind turbine, a tower or roof mounted system, and associated control or conversion electronics, which has a total rated capacity less than fifty (50) kilowatts. WIND POWER: The conversion of wind energy into another form of energy. WIND TURBINE HEIGHT: The distance measured from grade at the center of the tower to the highest point of the turbine rotor or tip of the turbine blade when it reaches its highest elevation. C. Conditional Use: Wind energy conversion systems shall be allowed as a conditional use in the zoning districts listed below: District Rood 11 Small 11 Large Mounted 11 `44'tIECS WECS AG -1 and AG 72 R -1 and R -2 R -2.5, R -2A, R -213, R -2C, R -2D, R -2E, CUP 11 CUP 11 CUP CUP II CUP I Not permitted CUP II Not II Not -- /V - Sterling Codificrs, Inc. R -2F, R -3, R -4, R -5, and R -6 II Cottage Grove Code 11 permitted permitted II UR CUP Not permitted Not permitted B -1, B -2, B -3, P -B, and B -N CUP CUP Not permitted I -1 CUP CUP Not permitted 1-2,1-3 and 1 -5 CUP CUP CUP 1-4 CUP Not permitted Not permitted PUD and PDO CUP Site plan Not review permitted Mississippi River corridor critical area CUP CUP =permitted overlay district D. Permit Application: Application for a WECS permit shall be accompanied by drawings that show the following: 1. Location of the proposed WECS, including guywires and any other auxiliary equipment. 2. Property lines and physical dimensions of the lot. 3. A photograph or detailed drawing of the WECS, including the tower. 4. Specific information on the WECS, including type, size, rated power output, rotor material and performance, safety and noise characteristics. 5. Specific information on the type, height and material of the tower. 6. Clearance distances between the farthest extension of the WECS blades to property lines. 7. Location, dimensions and types of existing structures and uses on the lot. 8. Location of all aboveground utility lines within distance equivalent to the total height of the WECS. 9. Location and size of structures, trees and other objects within three hundred feet {300'} which are taller than the lowest extent of the blades of the proposed WECS. Sterling Codifiers, Inc. E. Size Regulations; Compliance: 1. Rotors: Cottage Grove Code a. No WECS in a residential or commercial district shall have rotors that are longer than thirty five feet (35') in diameter. b. No WECS in an industrial or agricultural district shall have rotors that are longer than fifty feet (50') in diameter. c. The minimum height of the lowest extent of any WECS rotor shall be thirty feet (30') above the ground. 2. Height: a. Freestanding wind turbine height limits: District Small WECS Large WECS AG -1 and AG -2 150 feet 250 feet R -1 and R -2 150 feet n/a R -2.5, R -2A, R -213, R -2C, R -2D, R -2E, R -2F, R- n/a n/a 3, R -4, R -5, and R -6 UR n/a n/a B -1, B -2, B -3, P -B, and B -N 150 feet n/a -1 150 feet n/a 1-2,1-3 and 1 -5 150 feet 250 feet I -4 PUD and PDO Site plan n/a review Mississippi River corridor critical area overlay 150 feet n/a district b. Roof mounted wind turbines must not exceed fifteen feet (15) above the height limit established for the principal or accessory structure. 3. Compliance With Regulations: All WECS shall comply with federal aviation -- --Z-d— Sterling Codifiers, Inc. Co-age Grove Code administration notification requirements and any other applicable regulations. F. Installation And Design: 1. Towers: a. All WECS tower structures shall be designed and constructed to be in compliance with pertinent provisions of the Minnesota state building code. indication of compliance may be obtained from the manufacturer's engineering staff or a state professional engineer. b. The compatibility of the tower structure with the rotors and other components of the WECS shall be certified by the manufacturer's engineering staff or by a state professional engineer. c. WECS towers shall either have tower climbing apparatus located not closer than twelve feet (12) to the ground or be unclimbable by design for the first twelve feet (12'). 2. Safety Wires: Safety wires shall be installed on the turnbuckles on guywires of guyed WECS towers. 3. Overspeed Controls: Every WECS shall be equipped with manual and automatic overspeed controls. The conformance of rotor and overspeed control design and fabrication with good engineering practices shall be certified by the manufacturer's engineering staff or by a state professional engineer. 4. Electrical Requirements: a. All electrical components of the WECS shall be in compliance with the applicable requirements of the national electrical code as currently adopted by the Minnesota state building code division and shall be inspected by a qualified electrical inspector. The interconnection between the WECS and the electric utility shall be in compliance with the most recent edition of the national electrical code. Certification will be supplied in writing that the WECS will automatically disconnect from the utility when there is no power input from the utility. This certification can be supplied by the manufacturer of the WECS. b. The interconnection of the WECS with the local electrical utility shall comply with all applicable federal and state regulations. Every applicant for a WECS permit should notify his /her electrical utility in advance of his /her instaliation plans. c. Every battery storage unit associated with a WECS shall be in compliance with the national electrical code as currently adopted by the Minnesota state building code division and shall be inspected by a qualified electrical inspector. d. The WECS, including the blades, shall be grounded and shielded to protect against natural lightning strikes in conformance with the national electrical code. e. No WECS shall have affixed or attached lights, reflectors, flashers or any other Sterling Codifiers, Inc. Cottage Grove Code illumination, except for those devices required by the federal aviation administration. 5. Structural Components: a. The safety of structural components of every WECS and the compatibility of the rotors with the towers of WECS shall be certified by a state engineer. The safety of electrical components of every WECS shall be certified by a state registered electrical engineer or individual with technical training on WECS. b. The safety of all modifications to any WECS shall be certified by a state registered professional engineer. Certification of safety is required before the building permit is granted for modifications made prior to installation. Certification of the safety of modifications made after the WECS is installed and the permit is granted is also required. Failure to have the safety of modifications certified after the permit has been granted shall result in revocation of the permit until certification has been obtained. 6. Signs Required: At least one sign shall be posted at the base of the WECS tower and shall contain the following information: a. Notice of no trespassing; and b. Warning of high voltage. c. The visual appearance of WECS shall at a minimum: (1) Be a nonobtrusive color such as white, off white or gray; and (2) Not display advertising (including flags, streamers or decorative items), except for identification of the turbine manufacturer, facility owner and operator. G. Siting: 1. Setbacks: The base of the tower of any WECS shall be set back from any property line a minimum of: District Small's EGS t arse AG -1 and AG -2 1.1 times the 1,000 feet VVECS's height R -1 and R -2 1.1 times the n/a Vi/ECS's height R -2.5, R -2A, R -213, R -2C, R -21D, R -2E, R- n/a n/a 2F, R -3, R-4, R-5, and R -6 Sterling Codifiers, Inc. C®lage Grove Code U R I B -1, B -2, B -3, P -B, and B -N n/a JL 1.1 times the WECS's height n/a n/a I -1 1-2,1-3 and 1 -5 1.1 times the WECS's height 1.1 times the WECS's height n/a 1,000 feet 1 -4 PUD and PDO 1.1 times the WECS's height n/a 2. Easements: No part of a WECS shall be located within or over drainage, utility or other established easements. 3. Property Lines: No part of a WECS shall be located on or over property lines. 4. Yards: The base of a WECS or the guywire anchors of a guyed WECS tower shall not be on any required minimum front, side or rear yards. 5. Mississippi River Corridor Critical Area Overlay District: No large WECS shall he located within the Mississippi River corridor critical area overlay district. 6. Vehicular Areas: Efforts should be made when siting a WECS and any related equipment to avoid locations that may be vulnerable to vehicular accidents. 7. Clearance From Electrical Lines: Clearance between a WECS and electrical lines shall be in compliance with the requirements outlined in the most recent edition of the national electrical code. .8. Wind Turbines: A wind turbine must not be within one thousand three hundred twenty feet (1,320') from any conservation easements or public parks. 9. Siting On Top Of Buildings: Every WECS sited on top of a building shall comply with applicable provisions of the Minnesota state building code. Certification of compliance by a state professional engineer is required. The WECS must be less than ten (10) kilowatts and not extend higher than fifteen feet (15') above the maximum height allowed for the structure the WECS is mounted on. N. Nuisance Concerns: 1. Noise Control: Noise area classification (NAC1, NAC2, etc.), established by the Minnesota pollution control agency shall be used to evaluate and regulate noise from ----17J -- Sterling Codifiers, Inc. Cottage Grove Code every WECS. The audible sound from a WECS will be measured at the property boundary line. Every owner of a WECS that is found to be in violation of Minnesota pollution control agency's noise standards shall cooperate in taking reasonable mitigating measures. 2. Electrical Or Radio Frequency Interference: Efforts should be taken by the proposed WECS owner to purchase, build or recondition an electrical generator that will not create electrical or radio frequency interference to reception of communication signals. Complaints about electrical or radio frequency interference shall be directed to the federal communications commission. 3. Communication Interference: Efforts should be made to site each WECS to reduce the likelihood of blocking or reflecting television or other communication signals. If signal interference occurs, both the WECS owner and the individual receiving interference shall make reasonable efforts to resolve the problem. If the problem cannot be eliminated or reduced to a reasonable level, the WECS can be shut down. 1. Other Regulations: 1. Supplying More Than One Structure: A WECS that supplies energy to two (2) or more structures shall be allowed as long as the proposed WECS complies with all applicable zoning regulations. 2. Wind Access: Adequate wind access is essential to the safe and efficient operation of a WECS, and the city encourages the use of private and restrictive covenants to protect wind access. 3. Maintenance Requirements; Abandonment; Nuisance: a. It shall be a public nuisance if any of the following conditions exist: (1) A WECS is not maintained in operational condition and poses a potential safety hazard; or (2) A WECS is not maintained and operated in compliance with applicable zoning provisions and state and federal laws; or (3) A WECS has not generated electricity for a period of twelve (12) consecutive months and the wind energy facility owner has failed to remove the WECS or make it operational within thirty (30) days after the city has given written notice to remove the WECS. b. The city has the right to abate a public nuisance under the procedures set forth at section 4 -1 -6 of this code, provided that the maximum notice period set forth at subsection 4 -1 -65 of this code shall be sixty (60) days and not thirty (30) days for any abatement under this section. 4. Exemptions From Provisions: Any WECS that is by nature ornamental, rather than functional, shall be exempt from this section if total height is less than twenty five feet (26')- Sterling Codifiers, Inc. Cottage Grove Code 5. Inspections: Each WEGS shall be inspected yearly by the building official, to verify that the WECS is operational and that all requirements of installation continue to be met. 6. Wind Turbines: All wind turbines shall comply with all applicable state and federal regulatory standards, including the uniform building code as adopted by the state of Minnesota; national electrical code as adopted by the state of Minnesota; federal aviation administration (FAA) requirements; and Minnesota pollution control agency (MPCA) /environmental protection agency (EPA) regulations (hazardous waste, construction, stormwater, etc.). 7. Violation; Revocation Of Permit: Violation of any provision of this section is grounds for revocation of a conditional use permit for a WECS. (Ord. 857, 4 -15 -2009) PLYMOUTH ZONING ORDINANCE Plymouth Code SECTION 21173 — WIND ENERGY CONVERSION SYSTEM (WECS) 21173.01. PURPOSE AND INTENT. The purpose of this Section is to establish predictable and balanced regulations for the establisluneut of commercial and noncommercial WECS in the locations and circumstances under which the use may be established without detriment to the public health safety and welfare of neighboring property owners or occupants. 21173.03. GENFRAL STANDARDS. The following shall apply to all WECS: Subd. L No more than one WECS shall be permitted per lot. Subd. 2. The height of a WECS shall be determined calculating the height from the base of the tower at grade to the highest possible extension of the blades. Subd. 3. The WECS shall be located to comply with the following minimum setback requirements: (a) From the nearest dwelling, school, business or other habitable structure: 300 feet or the height of the WECS, whichever is greater. (b) From the nearest public right -of -way: 300 feet or the height of the WECS whichever is greater. (c) From the nearest property line: 300 feet or the height of the WECS whichever is greater. This distance may be reduced if the applicant provides supporting information showing that the WECS can function within the nighttime noise standards specified in Section 2025.07 of the City's Noise Ordinance (Receiving Land Use Standards) and if the WECS is adjacent to permanent public open space. However, in no instance shall any portion of the WECS extend over any property line, including the full arc area created by any blades used in the system. (d) From recreational fields: 300 feet or the height of the WECS, whichever is greater. The setback may be reduced if the applicant provides documentation that the recreation field is not used or maintained for winter sport activities. However, in no instance shall any portion of the WECS extend over any recreational field, including the full arc area created by any blades used in the system. (e) No portion of the WECS, including the full arc area created by any blades used in the system, shall extend over any above - ground power line or drainage and utility easement. (Amended by Ord. No. 2002 -32, 11126102) Subd. 4. Blade arcs created by the WECS shall have a minimum of 30 feet of clearance over any accessory structure or tree within the fall arc area created by any blades used in the system. 21173 -1 Plymouth Code PLYMOUTH ZONING ORDINANCE Subd. S. The WECS shall be equipped with both a manual and an automatic braking device capable of stopping the WECS operation in high winds. Subd. o`. The WECS, including the blades, shall be grounded and shielded to protect against natural lightning strilces in conformance with the National Electrical Code. Subd. 7.. The WECS shall not include tower climbing apparatus within twelve feet of the ground. Subd. S. The WECS shall display a sign posted at the base of the tower, not to exceed two (2) square feet in area. The sigh shall contain the following information: a) A warning of high voltage. b) The manufacturer's name. c) An emergency telephone number. d) The emergency shutdown procedures. Additional signs may be required on the basis of individual applications as safety needs dictate. Subd. 9. No WECS shall have affixed or attached lights, reflectors, flashers or any other illuimination, except for those devices required by the Federal Aviation Administration. Subd. 10. The WECS shall be filtered, shielded or otherwise designed and constructed so as not to cause electrical, radio frequency, television, and .other communication signal interference. Subd. 11. The WECS shall be constructed in a monopole design of tubular steel and shall be self - supporting without the use of guy wires or other similar features. Towers under two hundred (200) feet in height shall be painted a non - contrasting color consistent with the surrounding area such as pale gray or white or have a galvanized finish to reduce visual impact. Towers over 200 feet shall follow the above requirements unless otherwise directed by the Federal Aviation Administration. Subd. 12. All obsolete and unused towers and equipment shall be removed within twelve (12) months of cessation of operation at the site, unless an exemption is granted by the Zoning Administrator. 21173.05.. TEMPORARY METEOROLOGICAL EQUIPMENT. Temporary meteorological equipment located upon a temporary tower used on an interim basis to gather wind and meteorological data to determine feasibility of the WECS shall require the processing of an Administrative Permit and shall comply with the following standards: Subd. 1. No more than one such temporary tower shall be permitted on a lot at one time. 21173 -2 'UT -- PLYMOUTH ZONING ORDINANCE Plymouth Code Subd. 2 The tower shall be placed on property for no longer than eighteen months from the date of Administrative Permit issuance. Any abandoned or obsolete temporary tower shall be removed within 30 days from the cessation of operation at the site. Subd. 3. The tower shall be temporary by nature and shall not have permanent foundations. Guy wires may be used as long as the connections to the ground are temporary and the wires are designed to support the wind and ice load of the tower. Subd. d. The tower shall meet the minimum wind and ice load design required by City Code and the Uniform Building Code. Subd. 5. The tower and any related guy wires shall be protected against unauthorized climbing. Subd. 6. The tower shall be set back a distance at least equal to its height from any lot line, recreational field, and dwelling, school, business or other habitable structure. Subd. 7. The tower shall be grounded and shielded to protect against natural lightning strikes, in conformance with the National Electrical Code. Subd. S. No tower shall have affixed or attached lights, reflectors, flashers or any other illumination, except for those devices required by the Federal Aviation Administration. (Amended by Ord. No. 2002 -32, 11126102) 21173.07. ADDITIONAL SUBMITTAL REQUIREMENTS: In addition to the information required elsewhere in this Code, development applications for WECS and temporary towers for meteorological equipment shall include the following supplemental information: Subd. I. A significant tree inventory in conformance with Chapter 5 of the City Code showing the loss of significant trees within the construction area for the WECS and/or temporary meteorological tower. (Amended by Ord. No. 2002 -32, 11126102) Subd. 2. A letter or copy of the review response from the Federal Aviation Administration concerning the development application and their requirements for warning devices, height restrictions, etc. Subd. 3. A certified survey for the property and/or all lands within two times the distances specified in Section 21173.03, Subd. 2, verifying the location, dimensions, types and uses of existing structures, proposed accessory structures, above - ground utility lines, property lines, height of all significant trees, drainage and utility easements, public rights -of -way and the proposed location for the WECS. Subd. 4. The technical specifications of the WECS including, but not limited to, the type, height, blade length, operating parameters, the anticipated sound level at the property line, and lightning protection. Stabd. 5. Clearance distances between the farthest extension of the WECS blades to the property lines. Andover City Council Workshop Meeting Minutes —August 25, 2009 Page 6 The Council is open to negotiations and hearing about what the wireless companies have to offer. CONTINUED DISCUSSION ON RENEWABLE ENERGY OPTIONS /GOALS Mr. Neumeister stated this report will focus only on wind turbines and the potential adoption of a code section that would allow wind turbines in the City of Andover. Mr. Neumeister reviewed the information with the Council. The Council is in agreement that they would like to continue to pursue this. Councilmember Jacobson stated a lot of these smaller units advertised, actual operation is substantially under what is advertised and expensive to install. He explained the requirements for these types of wind turbines. He noted because of the requirements it almost eliminates them from an R -4 or smaller parcels. Councilmember Trude wondered if they would consider allowing these in association areas with larger open areas. Councilmember Knight thought they could put one behind the high school so it would not even be noticed. Mr. Dickinson stated the residential ones are about making a statement and not making money. Mayor Gamache stated the information is about what is currently available and what is out there but they do not know what will be here in the future. Councilmember Jacobson stated his concern is if this is put in an R -4 District the fall distance would not be adequate in most areas because of trees and buildings. Councilmember Knight thought they needed to look beyond residential and research commercial use and how they could implement them in the City to earn revenue. Mr. Dickinson stated the turbines would need to be twenty feet above the tallest structure along with nothing around it and he wondered if anyone would want to do that to their property. The Council discussed the requirements and felt this was worth looking at using the Oakdale ordinance as a template and to bring this forward to the Planning Commission to review. -- PROGRESS REPORT ONHUGHES INDUSTRML PARKAND INTERIM USES Mr. Neumeister stated this report provides a status update on code compliance of the businesses --%1— �':, "We ought to have a law that allows homeowners and small business people to put up photovoltaic generators and small windmills and any other new sources of widely distributed generation that they can come up with." - Al Gore, March 19, 2007 CNN Glenn Beck Show "Bad zoning not only scares away potential customers, but also dealers - the local small businesses that distribute, install, and maintain small wind systems. " - Mike Bergey, Bergey WindPower Co. "Planners can encourage efficient energy use, diversification of energy supply, and emissions reductions through their influence over the built and natural environments - including both where and how we build, and where and how we preserve open spaces." - American Planning Association. Planning and Climate Change: Mitigation and Clean Energy Strategies. www.planning.org / energy /index.htm IN THE PUBLIC INTEREST: HOW AND WHY TO PERMIT FOR SMALL WIND SYSTEMS A Guide for State and Local Governments The greatest challenges to small -scale renewable energy are not technical, but rather financial, political, and regulatory. Confusing, inconsistent or even absent permitting processes discourage the very people a forward- thinking community would want to enable: those with the motivation and resources to generate their own clean electricity. Small wind turbines allow homeowners, farmers, small business owners, and public facilities to generate their own clean, safe, and reliable energy for on -site use. Though thousands of towns and counties already do, many have not yet included small wind systems in their zoning codes to allow their use. The reason is often no more than a lack of familiarity with the technology, resulting in overabundant care to avoid setting a controversial precedent. This often renders the permitting process the single most daunting obstacle for would -be consumers and prevents the installation - and associated public benefits - of thousands of small wind systems. The good news is this is easy to fix. Making the permitting process affordable, streamlined, and accountable is in the best interest of the consumer, environment, and community. This guide explains why, and identifies best practices for local governments to balance the interests of property owners and the community. Ron Stimmel September 2008 American Wind Energy Association rstimmel @awea.org (202) 383 -2546 CONTENTS Introduction What Are Small Wind Turbines? ....................... ............................... 2 HowAre They Used? ....................................... ............................... 3 What Can Neighbors and the Community Expect? .............................. 3 Responsibilities of Turbine Owners .................... ............................... 3 The "Power" of Good Zoning Precedent: Commonplace or "Bleeding Edge "? ... ............................... 4 Why Zone for Small Wind Systems? .................. ............................... 4 The Importance of Height Why Do They Need To Be Tall? ......................... ............................... 6 Issues 1. Setback Distances and Height .................... ............................... 8 2. Lot Size ....... . ....... ................................................................... 9 3. Aesthetics ............................................. ............................... 10 4. Sound ................................................... ............................... 11 5. Property Values ...................................... ............................... 13 6. Insurance .............................................. ............................... 13 7. Abandonment ........................................ ............................... 13 8. Multiple Turbines .................................... ............................... 14 9. Urban and Building- Integrated Installations .............................. 14 10. Potential of Structural or Electrical Failure .. ............................... 15 11. Soil Studies ........................................... ............................... 16 Non - Issues / "Red Herrings" i. Shadow "Flicker" ..................................... ............................... 17 ii. Fences /Attractive Nuisance ....................... ............................... 18 iii. Birds ..................................................... ............................... 19 iv. " Icing ..................................................... ............................... 19 v. Electrical Signal Interference .................... ............................... 20 vi. Lightning Strikes ..................................... ............................... 20 vii. Stray Voltage ......................................... ............................... 21 Making It Happen: Best Practices and a Model Ordinance Permitted use? Accessory use? or Conditional use? ........................... 22 Recommendations For State and Local Governments ......... ............................... 23 Specifically for Local Governments ........ ............................... 24 Specifically for State Governments ....... ............................... 25 Permitting Process: Time & Cost ........... ............................... 26 Conclusion .......................................................... ............................... 27 Contributing and Additional Resources ................ ............................... 28 Appendix: AWEA Model Zoning Ordinance ........... ............................... 30 American Wind Energy Association www.awea.org /smallwind INTRODUCTION What Are Small Wind Turbines? A small wind turbine is a device that produces electricity from wind. Moving air causes the turbine to rotate, which generates clean, emissions -free energy that can be used to power a home, farm, school, or small business.' Though most small wind turbines look like a miniaturized, "backyard" version of the large, utility- scale, three - bladed turbines, the industry encompasses over 200 different models and they can vary widely in appearance. A small wind turbine is technologically advanced but mechanically simple, with only two or three moving parts. Most feature three blades of 2 -15 feet in length, a generator located at the hub, and a tail. The turbine is mounted on a steel tower 35 -140 feet high, which is designed as a freestanding monopole (like a street light), a lattice tower (like a radio tower), or a guyed monopole (like a street light with support cables from mid -tower to the ground). (See p. 10 for illustration) Some models eliminate the traditional propeller- shaped blade design and instead feature a cylinder -like component that revolves similarly to a barbershop pole or corkscrew. Systems of this configuration are known as "vertical axis" turbines because the plane of rotation is perpendicular, or vertical, to the ground. The technology has advanced considerably in the recent years, making small wind turbines quieter, more reliable, and better able to blend in with surrounding aesthetics. A forthcoming (2009) program to certify small wind turbines to a safety, performance, sound, and reliability standard will further promote high performance and increase consumer confidence, 160' ' Rotor size and tower height do not necessarily correspond as depicted. 140' 120' 1001 60 -740 ft tower BO' 100 ft. 60120 R. tower 60' tower 40' 30-60 @. Ir 20' tower ra,. urn r ne enaawvw a.m an 2 Average Residential 1.8kW 10 kW 20 kW Flagpole turbine turbine turbine s."nao eesieenur. sae Syalem 5'vn 1 "Small wind system" encompasses not only the turbine, but the tower, foundation, and wiring equipment often necessary for an installation. "Small wind turbine" and "small wind system" are sometimes used interchangeably. 2 The Small Wind Certification Council (SWCC) is an independent, third -party program that will, upon its introduction in 2009, certify small wind turbines tested 50 kW 100M turbine turbine to a performance, safety, and reliability standard. Proposed and enacted incentives for small - turbine consumers at state and federal levels have already begun to account for this impending program by making future certification a requisite for eligibility. Other states, such as California and New York, have incorporated their own criteria for eligibility into their incentive programs in order to grant incentives only to products that meet certain performance and safety conditions. Basic parts of a traditional, Horizontal -Axis Small Wind System Vertical -Axis Turbine Skystream 1.8kW turbine aesthetic comparison to lampposts How Are They Used? Tens of thousands of homes, farms, small businesses, schools, and other institutions throughout the country use small wind turbines to lower or eliminate their electricity bills. Uses are diverse and quite similar to those of solar photovoltaic panels. The two technologies are in fact natural complements (wind resources are strongest in the winter and spring while solar resources are strongest in the summer) and are often used together in hybrid systems. Some small wind systems connect to the utility grid while others charge batteries for backup power for remote, stand -alone applications like cabins or even sailboats. Connecting to the electric grid allows a turbine owner to use electricity from the local utility when the wind does not blow, but also allows any surplus electricity - energy produced in excess of consumption, such as when winds are strong and usage is low - to be sent back into the grid and used by a neighbor. But unlike large turbines that power entire cities, small wind systems are used to produce power primarily on -site for a single user. What Can Neighbors and the Community Expect? After installation, which takes about two to 10 days to complete, life with a turbine in the neighborhood is largely uneventful. Visual assimilation of the new turbine is similar to neighbors becoming accustomed to a new building addition, landscaping project, or the removal of a prominent tree. The best way to assess the impact is to visit an actual installation. With approximately 10,000 turbines sold in the U.S. every year, and in all 50 states, they are relatively easy to locate. Contact a manufacturer or local installer to see an installation first -hand. (See www.awea.org/smallwind/smsyslst.htmi) Responsibilities of Turbine Owners The small wind industry is indeed small, and every installation potentially affects public perception of not only small wind turbines, but of renewable energy as a whole. Each installation is, in essence, an ambassador of the industry. It is in the long -term, self interest of the industry and consumers alike that owners exercise good judgment and courtesy toward their neighbors and community. Doing so often includes informing neighbors, in writing, of a proposed installation and educating them about potential impacts - both real and perceived - of a small wind turbine (see www.awea.org /smallwind/ tool box2/I NSTALL/bu i Iding_ perm its. htmI for a sample letter to neighbors). For fundamental reasons though, topography and the wind itself largely determine precisely where and how high a turbine must be installed. Sometimes there is no way to avoid these physical constraints other than to place or elevate the turbine into a more aesthetically sensitive place on a property. But a turbine owner should make a deliberate effort to take all reasonable measures to minimize impacts on neighboring areas. Common Applications On- or Off- Grid... • Single - Family Homes • Businesses • Farms • Institutions • Schools • Government Buildings • Industrial Sites • Military • Communications Systems "Everybody knows the good things about using renewable energy. I wanted to set an example down here and perhaps encourage others to do the same thing. " - Small- turbine owner Chuck Heide, Somers, WI American Wind Energy Association www.awea.org /smallwind 3 0.4 kW turbine an a sailboat "Never before has the general public been so interested in solar and wind energy, nor has the potential for political support ever been so high." - Ingrid N. Kelley, Chair, Environment, Natural Resources and Energy Division, American Planning Association "The way we plan urban areas significantly affects the energy usage of individual building sites. Appropriate site design standards and building codes can encourage energy conservation and the use of renewable energy technologies on site. " - American Planning Association' M THE "POWER"' OF GOOD ZONING Precedent: Commonplace or "Bleeding Edge "? Understandably, community leaders are sometimes hesitant to enact regulations that appear to be first of their kind. But with tens of thousands of small wind turbines in the U.S., in every state, zoning officials need not fear being on the "bleeding edge" of a new movement. Thousands of townships, counties, and cities have had small wind zoning regulations on the books for decades, setting a substantial precedent for others to follow. Below is a very small sample of localities with small wind zoning ordinances: Great Falls, MT San Bernardino County, CA Clarke County, VA Currituck County, NC Kern County, CA Long Lake Township, MI Norwich, VT Ocean Gate, N7 Mason City, IA Wicasset, ME Rockingham County, VA Denver, CO Thetford, VT Eliot, ME Henry County, GA Cape Elizabeth, MA Rochester, NY Tippecanoe County, IN San Francisco, CA Chicago, IL Fillmore County, MN Weber County, UT Why Zone for Small Wind Systems? Your family's electric bill has climbed to $400 per month and you expect it go higher. You are worried how global warming will affect your kids. And you don't want to wait around for others to fix these problems. Generating your own, clean power sounds like a great idea, and something you may even be able to afford with the rebate program your state offers for small wind turbines. So you spend months researching equipment, your neighborhood's wind resource, and ways to pay for a new turbine. All your ducks are finally in line, but when you apply for a building permit, the county office has never heard of small wind systems, or if they have, only of rumors that they are noisy and kill birds. This technology is also nowhere to be found in the zoning code and it is hard for the zoning office to find out information about how to treat this unique structure. Or, since the closest thing the zoning office has dealt with before is large, utility -scale turbines, your 5 kilowatt turbine is treated the same as a 50,000 kilowatt power plant and the permitting requirements and costs are impossibly out of reach. ' "Policy Guide on Energy." American Planning Association, April 2004. http: / /www.planning.org/ policyguides /pdf /Energy.pdf See also: 'Planning and Climate Change: Mitigation and Clean Energy Strategies." American Planning Association. http: / /www.planning.org/ energy /index.htm. Accessed May 2008. ° For a list of states and incentives available for small wind systems, see the Database of State Incentives for Renewables & Efficiency at http: / /dsireusa.org. Bergey WindPower 10kW turbine Left without a solution readily at hand, the permit is denied, and you are stuck with high electricity bills and a dependency on conventional fuels. Your community misses the opportunity to increase clean, in -state generation, reduce the pressure on a stressed power grid, and employ local businesses to sell, install, and maintain these systems. Simply listing small wind systems as an allowed use (such as an accessory, permitted, or conditional use) can avoid this scenario that happens with startling frequency around the country. Other reasons to permit for small wind systems include: To Be Prepared. Many states carefully craft incentive programs to help consumers purchase small wind systems only to find that local zoning ordinances stand in the way of the systems' installation. Communities may wish to design zoning policy to anticipate and accommodate small wind installations, especially in states that try to encourage them. To Retain Autonomy. The states of California, Nevada, Oregon, Wisconsin, Michigan, Vermont, and New Hampshire have been the first to create statewide rules for the permitting of small wind systems. Whether to follow suit or preserve local autonomy, knowing how best to deal with this technology in your community is good long -term strategy. To Conserve Public Resources. Case - by -case application reviews and hearings cost time and money. Proactively planning 5 Sandia National Laboratory has begun development of strategic Energy Surety Microgrids http: / /www. sand ia. gov /news /reso urces /rel eases/ 2006 /microgrid.html for small wind installations can be a rewarding investment. For the Personal Benefits. Owners of small wind systems enjoy: • Personal energy independence • Free electricity after recouping costs • Relief from high and volatile prices of other forms of electricity • Reliable electricity • Ability to support clean energy and fight global warming in a tangible way • Increased property values For the Public Benefits. Though the power generated by a small wind system is used only by a single residence or facility, the benefits of wind power extend to the entire community. Community benefits include: • Reduced pressure on the local electricity grid • Increased security: can provide back -up power to strategic applications like police stations or hospitals for "hazard mitigation" purposes • Increased local energy independence • Increased property values • Enhanced reliability and power quality of the power grid • Reduced peak power demands • Increased in -state electricity generation • Diversified energy supply portfolio • Reduced pollutants from traditional forms of energy • Increased market competition from more consumer choice • Increased visible indicators of community support for clean energy • Increased regional economic growth A turbine's productivity is largely in the hands of zoning officials. "Distributed small wind energy systems... enhance the reliability and power quality of the power grid, reduce peak power demands, increase in -state electricity generation, diversify the sate's energy supply portfolio, and make the electricity supply market more competitive by promoting consumer choice. " - California Government Code, Section 65891.13 (a)(2) www.leginfo.ca. gov /cgi- bin /displaycode ?section =gov &group= 65001- 66000 &file = 65892.13 Manufacturers ask: "In which state should I base my operations ?" The answer is: "States with the best policies." American Wind Energy Association www.awea.org /smallwind 5 Putting a turbine on too short of a tower is like placing a solar panel in the shade. Restrictive Zoning Rules Can Undermine State Law Several states offer financial incentives to promote small wind turbines and clean energy. But zoning height limitations can prevent turbines from generating any meaningful amount of energy, thwarting the intent of the state incentive. THE IMPORTANCE OF HEIGHT Why Do They Need To Be Tall? A tall tower is the single most important factor in the economic viability of a small wind system. Tall towers enable turbines to access faster and better quality winds, and even small increases in wind speed translate to exponentially more energy the turbine can generate. In other words, a taller tower means far more - and cheaper - energy. The best sites for turbines are those where the wind is least obstructed, which is often the highest point on a property. The bottom of the turbine rotor should clear the highest wind obstacle (rooftop, mature tree, etc.) within a 500 foot radius by at least 30 feet. Doing so ensures the turbine reaches consistent, fast wind speeds and prolongs the life of the turbine by avoiding stressful air turbulence. rs iz r s5 Wind Speeds Increase with Height 10- kilowatt PREVAILING WIND 500 feet °n'_ 2n' er 0 Ventera 10kW turbine o ai vs ioo iza Increase In xInd power. o For a 10kW residential -scale turbine Tower- Wind kWh /year System Incremental Incremental - Incremental height speed cost' cost from energy energy + (feet) (mph) 60' output from incremental 60' cost = ROI* 60 7.3 2,709 $48,665 - -- - -- --- 80 9.3 6,136 $49,841 $1176 or 226% 226 %+ 2.4 2.4% = 94 to 1 ROI 100 10.7 9,338 $51,346 $2681 or 344% 344 %+ 5.5% 5.5% 1 = 63 to 1 ROI * = Return on Investment Mick Sagrillo, AWEA Windletter, January 2006 Overly conservative zoning height restrictions therefore cost the owner money - and a lot of it. They can also mean more sound, since taller towers raise the generator high above the ground, diluting sound considerably. Sound decreases four -fold with every doubling of distance from the turbine (including distance above the ground) so taller towers are better for their owners as well as neighbors. (See also "Sound" p. 11.) For zoning officials, the importance of strong winds also means that tower height cannot be compromised as a gesture to neighbors concerned about the visibility of the turbine. "Hiding" a turbine from neighbors using a shorter tower almost always means hiding it from the wind, too. Power from the Wind 900% 800% 700% 600% 500% 400% 300% 200% t00% o% ❑ Wind Speed Increase ■ Power Increase Nor do two shorter installations make an acceptable substitute for a single, taller one. A tower alone can comprise 50 1 /6 or more of a system's total cost, so multiple, shorter turbines (on multiple towers) cost the owner far more than a single, taller system. (See also "Multiple Turbines," p. 14.) It is also important to keep in mind that a turbine's generator size (generating capacity, measured in kilowatts or kW) has little, if anything, to do with its tower height. Sometimes zoning regulations mistakenly limit tower heights based on the size of the turbine's capacity, thinking that a 2kW turbine, for example, always corresponds to a 40 foot tower. This is not the case. Appropriate tower height is matched to a turbine depending on surrounding terrain, trees and buildings, and wind resource. Therefore, tower height restrictions, if any, should only reflect sound and safety concerns rather than be designed to correspond to a system's generating capacity. Most often, in fact, established sound and setback requirements negate the need even to mention height in regulations for small wind systems. American Wind Energy Association www.awea.org /smallwind 7 Mariah Power Windspire 1kW turbine Bergey WindPower 10kW XLS turbine ISSUES Many existing height limitations still exist based upon the fact that 100 years ago water pressure in firefighters' hoses could not reach higher than 35 feet. EnergiePGE 35kW turbine Flagpoles, lamp posts, and utility poles are allowed in front of schools and parking lots among cars and people because they are engineered structures, just like wind turbine towers. They should all receive the same treatment under law. 0 The following issues are key components of land use law, as well as public acceptance of small wind systems, and are critical for the successful placement of a turbine: 1. Setback Distances and Height 2. Lot Size 3. Aesthetics 4. Sound S. Property Values 6. Insurance 7. Abandonment S. Multiple Turbines 9. Urban and Building- Integrated Installations 10. Potential of Structural or Electrical Failure 11. Soil Studies 1. Setback Distances and Height: To balance against the need for tall towers (see p. 6), good practice requires that a turbine in a residential district be "set back" from a property line some given distance. (For commercial or other zones, this distance is often considerably less, even zero, since in these areas affected parties seldom exist immediately outside a property line.) The mandated distance in residential zones should reflect valid concerns for property rights of abutting neighbors, as well as those of the turbine owner. This most commonly translates to the tower height plus the length of one blade (the turbine's "total extended height ") from the property line, inhabited neighboring structures, utility lines, and /or road right -of -ways. This distance should suffice so long as the tower is professionally engineered and /or the installer provides engineered plans of the tower, the foundation, and the system does not exceed the definition of nuisance noise as established in the zoning code. (See also "Sound," p. 11.) Independent structural analyses of a tower and its foundation are readily available from the manufacturer, so requiring additional studies is unnecessary and also prohibitively expensive for a turbine owner. For their own protection and insurance considerations, the manufacturer conducts these studies for reasons of economics, responsibility, and - even if for no other reason - self - preservation. (See "Potential of Structural or Electrical Failure," p. 15.) Southwest Windpower "Air" on lamppost However, in residential zones, some argue that a turbine's setback should be no different than that of a house, cellular tower, flag pole, street lights, or any other engineered structure, and that height should not be expressly limited nor specified in zoning regulations. Instead, they argue that in residential zones turbine heights are already self - regulated based on sound level restrictions at the property line. 2. Lot Size: Some zoning rules limit turbines and /or their heights to a corresponding property size. For example, some jurisdictions limit tower height to 80 feet for lots 0.5 -1.0 acre and impose no height limit for lots larger than 1.0 acre. This regulatory approach, however, usually has no meaningful effect simply Also keep in mind that: ■ Turbines on the market are engineered to withstand hurricane force winds (110 -130 mph). ■ Allowing abutting property owners to submit signed easements may be an alternative form of compliance should roads and utility lines be absent in the immediate vicinity. ■ A manufacturer's engineering specifications should be an acceptable means of ensuring safety and practicality. because sound and setback requirements, which are usually more restrictive, make such a stipulation redundant. Such a requirement may contribute only to additional administrative burdens and unnecessarily limit the use of wind turbines. American Wind Energy Association www.awea.org /smallwind 7 Bergey WindPower 1kW turbine Skystream 1.8kW turbine Allowing abutting property owners to submit signed easements may be an alternative form of compliance should roads and utility lines be absent in the immediate vicinity. Skystream 1.8kW turbine dual -use on lamppost "By placing these windmills where many people can see them, [people] will be able to learn about and experience alternative energy as part of their daily lives. " - Pennsylvania Gov. Edward Rendell 10 3. Aesthetics: To function, wind turbines must be tall and unobstructed, which means that they will likely be visible at some distance (see p. 6). It is also a fact that some people object to their appearance. However, legislating "taste" becomes a difficult task - and an inappropriate one for any authority other than a homeowners' association (and even homeowners' associations may wish to create policies that prohibit aesthetics from entering the debate). Regulating aesthetics requires balancing the perceived or desired character of a community; the public and private benefits of clean, renewable energy; and property rights of all parties. Advocates say that small wind turbines are icons of the American rural landscape, dating back to the 1920s, and that today they have again emerged as a symbol of independence and a cleaner future. They argue that so long as a turbine is installed safely, particularly on private property, they should be allowed. System owners compare the aesthetics of their turbine to that of a street lamp, utility pole, or flag pole, and like a flag on a flagpole, a turbine only moves or makes a sound when the wind blows (see "Sound," p. 11). Advocates also point to precedent, noting that communities already accept water towers, buildings, billboards, relay towers, cell phone towers, utility poles and lines, grain silos, and radio antennas as part of the landscape. But the aesthetic impact of wind turbines may be unacceptable in areas with historic significance where aesthetics play an important role in a district's long- established character. Opponents say that their height and movement are a distractive and unpleasant sight and visually intrude on their rights as property owners. Both views are based on emotion, however, not fact. As such, aesthetics are often a very sensitive issue and policymakers should take care to address any concerns fairly. Small turbines are designed to blend in with their surroundings as much as possible. Studies show that turbines best blend into the sky when painted the factory- default color. Manufacturers avail themselves of expertise to determine how to prevent their turbines from standing out like a sore thumb on the landscape. So requiring owners to "disguise" a turbine or tower by painting it green or other colors to match vegetation would actually make it stand out more and should be avoided. Some communities regulate appearance by prohibiting the use of commercial markings, messages, or banners on the turbine or tower. Some towns also dictate which tower types are acceptable in order to ensure only the most visually appealing design. This, too, is a subjective assessment, and such decisions are often made without considering the added cost of a "sleeker" tower that performs just as reliably as another design. A monopole tower (like a flag pole) generally has a "tidier" appearance than a lattice tower (like a radio tower) or guyed tower (like a flag pole with wire supports), but they can cost several thousands of dollars more and should not be considered equal economic substitutes. All towers on the market are professionally engineered for safety and reliability, leaving appearance and cost the only significant differences among them. Monopole Tower Lattice Tower Guyed Monopole Tower 4. Sound: Modern wind turbines have better insulation, lower rotation speeds, fewer moving parts, no gearboxes, and more efficient blades that make them much quieter than their ancestors. Today's turbines emit sound that is barely discernible from ambient noise, even with a decibel (dB) meter. Sound from traffic, rustling trees, airplanes, and people in fact often sufficiently mask the dull, low, "white noise" sounds a small turbine can make at certain wind speeds. Only during short -term events like severe storms or utility outages do turbines make distinctive sounds, but in these occurrences ambient sound levels increase as well. To put this into further perspective, the sound made by the lanyard clasp on a flagpole line hitting its pole is far more "tonal" and distinguishable than any sound a small wind turbine makes, and is less easily masked by ambient sound s. Zoning policy should reflect ambient sound levels as well as occasions where no affected parties are located immediately outside a property boundary. Therefore, except during short -term events like storms and utility outages, a small wind system should be installed and operated such that sound pressure levels do not exceed the definition of "nuisance noise" as established by existing zoning code. or at the nearest dwelling, whichever is greater. Sound levels should always be measured downwind of the turbine to account for the canceling effect of the sound of the wind itself. If ambient sound levels exceed "nuisance" levels on certain occasions, such as during storms, sound level limits of small wind systems should also be given reprieve during these events which are out of everyone's control. Or, instead of singling out wind turbines in sound regulations, it may be more fair and administratively simple to use default sound /noise regulations that apply universally to other objects and appliances in a community. The small wind section of Wisconsin's (state -wide) zoning ordinance, for example, has no mention of sound because its designers chose to treat small wind turbines equally with other allowed devices /structures. { { letAipleoa ;{ i i - i , I �7 r � �; i40C1C s !sins <j Sound Level Comparison Modern small wind turbines are typically quieter than most external air conditioners. A clasp hitting a flagpole is far more distinguishable than any sound a small wind turbine makes 6 Flag clasp photo credits: Flags Unlimited American Wind Energy Association www.awea.org /smallwind 11 Most people's reaction to turbines, even up close, is that they are much quieter than they expected. "Vermont turbine owner David Blittersdorf reports that the home next to his sold within one day for the full asking price. His new neighbors later told him that his 10kW turbine was a major factor in the quick sale. 'They said they wanted to live in a place where the community cared about the environment. They told me that they, too, wanted to install a small wind turbine someday,' says Blittersdorf. " - Permitting Small Wind Turbines: A Handbook: Learning from the California Experience. California Energy Commission, 2003. www.awea.org/ smallwind /documents/ permitting.pdf 4. Sound (con't): Planners and zoning committees should also keep in mind that: ■ Sound decreases significantly with distance from the source (including height - another good reason to allow tall towers). Doubling the distance from the turbine decreases the sound level by a factor of four. For example, sound level readings at 25ft. from the turbine hub drop by a factor of 4 at 50ft., and by a factor of 16 at 100ft. Noise intrusion across a property line from a turbine that is set back 100ft. or more is typically very limited. ■ Turbine manufacturers are keenly aware of the public demand for quieter machines and have invested in new materials and designs to minimize sound. As a result, today's turbines operate at near - ambient sound levels. ■ Only a few events or circumstances can cause a normal operating wind system to become audible, including utility blackouts (or a full battery bank for those models that incorporate 7 The National Renewable Energy Laboratory (NREL) has tested several residential -sized wind turbines for sound emission levels. NREL engineers noted a "marked progress toward quieter turbines" in recent years and concluded in one case that "the turbine noise could not be separated from the background noise." This is generally true of most of today's residential wind equipment over a great range of operating wind speeds. NREL engineers noted, however, that "the operating condition [of the wind turbine] has a strong influence on the noise characteristics." They found two scenarios where sound actually increased above normal operating batteries). Both situations are temporary, and in many cases (but not all), easily remedied by the owner by manually shutting down the turbine. ■ Sound level test data for some turbines is available from the U.S. Department of Energy's (DOE) National Renewable Energy Laboratory (NREL). ■ Requiring certified noise tests for a residential wind system is unnecessary given the lower sound emissions of today's turbines and that sound data is readily available from manufacturers. Such tests are also beyond the budget of any homeowner. ■ "Noise" is a subjective term. Whether a person generally favors wind turbines or not can determine how he or she views a single, seemingly objective sound. ■ The single best way to understand the nature of a turbine's sound is to visit an installation site. All turbines are a marginally different so be sure to visit a location with a similar wind resource and the same model turbine as is in question. conditions: when grid connection was lost (for grid - connected models) and when the batteries were full (for battery- charging models). The solution is simply for the owner to shut off the turbine in these situations to avoid excessive noise. See the NREL report, "Acoustic Tests of Small Wind Turbines," NREL/CP -500- 34662, by P. Migliore, ). van Dam, and A. Huskey at http://www.nrel.gov/tlocs/fy04osti/34662.pdf, Additional Resources: Alberts, Daniell. "Primer for Addressing Wind Turbine Noise ". Lawrence Technological University, 2005. http://hcme.nethere.com/dja17Ol/technical papers /Addressi ng W indTu rbineNoise. pdf 12 5. Property Values: Evidence indicates that the presence of wind turbines increases neighboring property values. No study has ever concluded that wind turbines - neither large nor small - have had a depressing effect on nearby residential property values. 6. Insurance: The small wind system should simply be added to existing homeowner, farm, or business policies as an "appurtenant" (uninhabited) structure and not require a separate policy. Precautions such as setback requirements for wind turbines 7. Abandonment: Some towns require assurance that any non - functioning turbine will be removed after a period of time to prevent unnecessary clutter in a community. Abandonment due to malfunction has become particularly rare due to today's improved technology, though a community should be entitled to recourse should an abandoned turbine present a nuisance Security bonds may be required for large, utility -scale turbines which are located on land leased from a third - party property owner, but these are a A May 2003 study by the Renewable Energy Policy Project (REPP) study, The Effect of Wind Development on Local Property Vdiues, finds that "...for the great majority of projects the property values actually rose more quickly in the view shed than they did In the comparable community. Moreover, values increased faster in the view shed after the projects came online than they did before." Available at http: / /www.crest.org/ articles /static /1/ binaries /wind_online_final.pdf. A recent survey found that most people are interested in or willing to pay more for homes equipped with solar panels or wind turbines. are designed specifically to protect that which is beyond one's own property line. Homeowner's insurance policies make no distinction based on how far a turbine is from one's own house, so neither should zoning rules. inappropriate and unduly burdensome for owners of small systems who install turbines on land they own. It is recommended that any small wind turbine owner whose equipment is inoperable for six months be notified by the zoning committee that the owners have six months from the notice date to restore their system to operating condition. If the owner fails, the wind turbine should be removed from the tower for safety reasons. The tower itself would then be managed under the Public Nuisance language of the rest of the existing zoning code. See also: Advice from an Expert: Residential Wind Turbines and Property Value. American Wind Energy Assoc. http: / /www.awea.org /faq /sagrillo /ms_zoning _property values.html. 9 "Renewable Energy Study." California Energy Commission, Nov. 2001. http: / /www.energy.ca.gov/ reports /2002 -04- 03_500 -02 -016. pelf. _ p. 28 .- a tir 2 �>, xis`:•,. Windward Engineering 4.25kW turbine American Wind Energy Association www.awea.org /smallwind 13 Bergey WindPower 1OkW XLS turbine lowered for ground maintenance S. Multiple Turbines: is WateVr patterns behave very differently around buildings and in densely -built areas, so a turbine must be sited very precisely in order to gain access to wind of sufficient quality. Height, for example, becomes increasingly important in order for the turbine to rise above aerodynamic obstacles and turbulence, as depicted in the graphic below. Regardless of these unusual physical conditions, as long as other sound and setback requirements are met, no additional or unusual standards should be imposed for architecturally - integrated turbines and /or those in dense environments. Source: Watson, S.J. 'Predicting the Yield of Micro - Turbines in the Urban Roof -Top Environment." Centre for Renewable Energy Systems Technology, Loughborough University, U.K. Presentation, March 2008. 14 Though rare, some small wind systems come in "arrays" of multiple turbines, each of which is usually very small. However, regulations should treat additional turbines no differently than the first. So long as each turbine, or the resulting aggregate installation, meets the sound, setback, and safety requirements as exist for other structures, there should be no need for further or special considerations. When determining height limits (if any - see "Setback Distances and Height," p. 8), keep in mind that rarely are multiple units equal economic substitutes for one larger, taller turbine. Therefore to meet restrictive height limitations, multiple small turbines are not an equal substitution. See the payback period table in the "Height` (p. 7) section of this guide for an illustration. 9. Rooftop Turbines and Urban Environments: In very rare instances turbines are installed directly onto building rooftops or even designed as part of the building itself (known as "architecturally integrated "). These installations appear mostly in urban or densely -built areas where small property sizes may prevent the use of towers elsewhere on a property. These types of installations currently account for less than 1 of all applications, but interest is increasing rapidly and zoning officials may receive permit applications for urban or rooftop installations. Siting becomes especially important for turbines in urban settings. Wind Abundant Renewable Energy ARE 110 2.5kW and ARE 442 10kW turbines Proven Energy 2.5kW turbine rooftop array AeroVironment rooftop array New ��1011111011111" -0-M A 0.5 1.0 1:5 VelocitylUo d 0:5 1.0 1:5 VelocityNa 10. Potential of Structural or Electrical Failure: Requiring code compliance and manufacturer drawings should sufficiently balance the public and private needs for an installation to be safe, practical, reliable, and affordable. Wind turbines are professionally engineered structures and are designed to withstand decades of near - constant operation (see "Setback Distances and Height" p. 8). They shut down automatically during utility outages in order to protect utility line workers, and will not energize a dead power line. They are also equipped with manual and automatic over -speed protection devices that keep the turbine operating in a controlled range of speeds. Because of these and other factors, mechanical failures are very rare, especially those that would have an impact on surrounding areas. But as a precaution, just as for any other allowed structure, the applicant should submit to the zoning board a line drawing of the electrical components, as supplied by the manufacturer, in sufficient detail to allow for a determination that the manner of installation conforms to the National Electrical Code. Doing so also serves to demonstrate that the installer and manufacturer are engaged in an evaluation of the suitability of the site. Though rare, some zoning boards require an engineering analysis of a tower and its foundation, but this is a very costly and often redundant measure. Even more rare is the requirement of an engineer's "wet stamp," which is a from- scratch calculation performed by a structural engineer of the tower's integrity. Such a study can cost thousands of dollars and serves only to duplicate work that the manufacturer originally performed as a prerequisite for securing liability insurance. "Renewable energy equipment has become more reliable and economical, and installation standards are more professional. " - American Planning Association, 2004. Bergey WindPower blade testing A small wind turbine can in fact be one of the more aesthetically pleasing features in a city. Rooftop heating and ventilation systems, antennas, and other structures found in urban environments usually reduce any aesthetic impacts from small wind turbines in comparison. 10 "Policy Guide on Energy." American Planning Association, April 2004. http: / /www. planning. org /policyguides /pdf /Energy,pdf American Wind Energy Association www.awea.org /smaltwind 15 Proven Energy, Ltd. manufacturing facility in Scotland, UK 11. Soil Studies: 16 Wind turbine foundations face forces that are not unlike those seen in light - pole or flag -pole foundations, but for the same height, wind turbine towers generally experience higher forces at the very top of the tower. The wind turbine foundation therefore plays an important role in an installation, as does the soil in which it is installed. As standard practice, manufacturers engineer foundations for "worst- case" scenarios by assessing soil conditions based on U.S. Geological Survey soil maps, core samples, studies from the National Resource Conservation Service, or other resources. For "abnormal" soils consisting of rock, gravel, sand, peat or water - saturated earth /muck, etc., a manufacturer or local professional engineer conducts a tailored, project - specific soil review and often designs a custom foundation for the site. The installer always confirms with the manufacturer or an independent professional engineer that the site's soil conditions meet minimum standards .as specified by the tower manufacturer, and that the tower is designed to local engineering standards (which vary by jurisdiction). For decades this has effectively ensured safe, durable installations while maintaining their affordability. These built -in safeguards make formal site soil analyses unnecessary for residential -scale (20kW or smaller) turbines and avoid the need for special studies and designs that can exceed the cost of the foundation itself. For example, a foundation designed for a "worst case" scenario might require 50% more concrete than that for another, similar structure. Assuming this fortified foundation also costs 50% more, an installation for a residential turbine normally costing, say, $4,000, would increase to $6,000. This is expensive, but a relatively small share of the total cost of the system. However, a foundation 50% more robust (and expensive) for a turbine larger , than 20kW, where the foundation might normally cost $30,000, would now cost $45,000 - an increase of $15,000. At this point, a professional engineer's "wet stamp" based off a site - specific geotechnical study is now the best economic option for achieving the same, safe ends. The best practice would be to require an engineer's wet stamp and a soil analysis for turbines greater than 20kW, but allow "worst- case" foundations (already the industry's standard practice) for turbines any smaller. This would ensure quality, secure, and affordable installations. Northern Power 100kW turbine Entegrity Wind Systems 50kW turbine in Quinter, Kansas N ®N- ISSUES / "RE® HERRINGS" The following are common misconceptions about small wind: Shadow "Flicker" ii. Fences /Attractive Nuisance iii. Birds iv. "Icing" L Shadow "Flicker ": Under very specific circumstances, low sunlight passing through the moving rotor of a turbine can cast visible shadows on the ground or on structures, This issue pertains almost exclusively (and similarly rarely) to large, utility - scale turbines because of their slower - moving blades. Shadows also depend on the time of day, day of year, and latitude of the site's location." Small turbines are shorter, have narrower blade profiles, and spin much faster than utility -scale turbines 11 The possibility of shadow flicker affecting a given location can be calculated very precisely. See http://www.windpower.org/er/tour/env/shadow/ shadowc.htm for a shadow flicker calculator. v. Electrical Signal Interference vi. Lightning Strikes vii. Stray Voltage so that any shadows become essentially invisible at operating speeds. Turbines of all sizes are designed to start spinning only after a minimum wind speed has been attained, so chances are very slim that a small turbine will spin slowly enough to make shadow flicker a concern. Furthermore, normal setback distances dictated by property lines or sound requirements mitigates, if not entirely eliminates, this potential nuisance, especially at U.S. latitudes. Northern Power 100kW turbine in Golden, Colorado American Wind Energy Association www.awea.org /smallwind 17 ii. Fences /Attractive Nuisance: 18 Some voice concern that a turbine could pose a temptation to unauthorized climbers and should be fenced off to prevent potential climbing - related injuries. However, decades of experience and tens of thousands of installations have shown that unauthorized climbing is exceedingly rare. A fence, which is itself climbable, can impose its own attractive and aesthetic nuisance and in the process do little more than create false, negative impressions about renewable energy. Furthermore, for a turbine tower to be an "attractive nuisance" to the public, in most cases a potential climber would first have to trespass on private property - a much more prevalent issue and one that should be dealt with separately. Requiring fencing also places a burden on turbine owners unlike any imposed on flagpoles, utility towers, or other common, climbable structures. Perhaps most detrimental of all, fences prevent access to the turbine in emergencies. Sometimes a turbine must be shut down manually during storms or electrical problems, and emergency shut -off switches are most often located at the base of the turbine tower. Utilities also require that the turbine be readily accessible to workers performing routine or emergency maintenance on power lines. Instead, to prevent unauthorized climbing: ■ Remove climbing foot rungs on the lower 10 or 12 feet of a freestanding tower. ■ For lattice or guyed towers, fasten sheets of metal or wood to the lower part of the tower to cover all hand - and foot - holds. ■ Display "Danger -High Voltage" or "Caution- Electrical Shock Hazard" signs to the sides of the tower. Of the thousands of freestanding utility high - line towers across the country, few, if any, are policed or fenced, but they all are posted with such signs. Utilities, tower manufacturers, and the small wind industry have successfully employed these techniques for decades and are more effective deterrents than any fence. Bergey WindPower 10kW XLS monopole turbine with fence in Erie, PA iii. Birds: The most common - and most exaggerated - misconception about both large and small turbines is that they are disproportionately harmful to bird and bat populations. Even the vastly larger, utility -scale wind farms that are grouped closely in large arrays account for less than 0.003% of all human - caused bird deaths. House cats and glass windows, by comparison, cause 10,000 times more bird deaths than do wind turbines. No study has been performed specifically to address avian effects of small wind turbines, but because of their dispersed nature and small size, it can be inferred that iv. "Icing ": Like trees, street lamps, or other structures, turbines in cold climates can become covered in ice, which falls to the ground as it melts. But just as an airplane's wing must be de -iced in order for it to fly, a turbine's blade must be free of ice in order to rotate at any significant speed. The weight and aerodynamic interference of ice buildup slows the blades' rotation to a near 12 "Environmental Impacts of Wind- Energy Projects." National Academy of Sciences, 2007. http:/ / books. nap. edu /catalog.php ?record_id =119 13 Erickson, et.al, 2002. Summary of Anthropogenic Causes of Bird Mortality they have an even smaller impact than their larger counterparts. Environmental impact or avian migration studies should not be required for individual small wind turbine installations. Are environmental impact studies required for every plate glass window or pet license? Small wind turbines in fact offer a net benefit to local and global environments: they emit no air pollutants, require no mining for fuel nor water for cooling, and have land use "footprints" of only a few square feet. stand - still, making any melting ice fall straight downward rather than being thrown from the blade. To put this in further perspective, a 1998 study calculated that the risk of personal or property damage from ice falling from a (large) turbine is lower than the risk of being struck by lightning . 14 14 Bossanyi, Morgan, and Siefert. "Assessment Of Safety Risks Arising From Wind Turbine Icing." Finland, April 1998. American Wind Energy Association www.awea.org /smallwind 19 Small wind turbines are commonly used to power communications equipment. They will not cause signal interference. W v. Electrical Signal Interference: Small wind turbine blades are made from materials that are "Invisible" to radio frequency transmissions and cannot cause interference problems. In fact, small wind turbines are used by the U.S. Navy to power military communications equipment. In the past, wind turbine blades were sometimes made of metal which did create unwanted radio or television interference, but the industry has long since abandoned the use of metal blades. Any structure under 200 feet high - that is to say, any small wind turbine - is also too short to interfere with civilian or military radar. Radar usually does not even scan for objects this close to the ground because common land features at this height, like trees, would normally cause distorted, cluttered, or misleading radar images. vi. Lightning Strikes: Wind turbines do not attract lightning, so pose no threat to neighboring properties. Lightning is essentially the release of pent -up static electricity that moves from a turbulent atmosphere to the ground. Small wind turbines are "grounded," meaning that any static electricity on the tower or generator is dispersed into the ground, preventing a build -up that could invite lightning strikes. As a result, even though small wind turbine towers are made of metal (a conductor of electricity), by virtue of their grounding they are less susceptible to lightning strikes than trees, which cannot shed built -up static electricity. To a lightning bolt, a turbine is therefore no more "appealing" than the ground itself. However, lightning strikes are still possible, which is why small wind turbines incorporate back -up technologies like surge and lightning arrestors (also known as silicon oxide varistors) and metal oxide varistors, which are also used to protect home computers from electrical surges. Lightning strikes are never completely preventable, but these industry- standard measures offer the best protection available to the owner of the wind system. Good practice in the wind industry includes grounding of all towers and guy wires, which significantly reduces the chance of a lightning strike. is Sagrillo, Mick. "Telecommunication Interference from Home Wind Systems." AWEA Windlette, Volume 22, Issue 4, April 2003. Bergey WinclPower 1kW turbine on telecommunications station in Bristol Bay, Alaska Proven Energy 6kW turbine powering telecommunications equipment vii. Stray Voltage: This unusual phenomenon, primarily affecting farm livestock, is the result of faulty wiring on any number of electrical systems (not just wind turbines) and easily prevented by industry- standard practices. It is also a strictly localized issue that will not affect off -site parties or properties. For safety reasons, including to minimize lightning strikes (see above), nearly all types of electrical systems in the U.S. are, at some point in the system, connected to the earth or "grounded." Electric current flowing in the ground dissipates quickly as it moves away from its source (much like sound from a wind turbine). Grounding also allows power systems to detect equipment malfunctions and automatically shut down before harming people or equipment. If a system is not properly wired, the point(s) at which a system is grounded can develop a small voltage (electrical pressure, essentially) that can push current through the earth and end up contacting unintended objects. Hence the name, "stray" voltage. This phenomenon is rare and primarily affects cattle, whose legs are far enough apart to stand on two points where different voltage levels in the ground exist. The cow may or may not feel this voltage difference, depending on the level and duration of the exposure. While the design of electrical system makes stray voltage possible, its actual occurrence is the result of poor grounding practices, improper or inadequate wiring, or deteriorated wire insulation. Most small wind turbine inverters - those that are IEEE 1547 or UL1741 compliant - can detect faulty grounding and automatically shut down current flow. Like solar photovoltaic installations that require "ground -fault circuit interrupter" (GFCI) devices to protect consumers from any stray voltage, small wind turbines are also equipped with GFCI measures. In other words, stray voltage is caused by problems on a particular customer's side of the utility billing meter so is not a problem beyond the electrical system of a particular home or farm. Nor can stray voltage move or be transferred from one property to another, since it is an "on- site" problem stemming from electricity distribution or wiring, not the generation of electricity. The issue therefore does not fall under the jurisdiction of zoning rules, which are designed to protect that which exists outside a property line. American Wind Energy Association www.awea.org /smallwind 21 MAKING IT HAPPEN: BEST 22 PRACTICES AND A MODEL ORDINANCE Permitted use? Accessory use? Or conditional use? Anticipating, acknowledging, and understanding small wind turbines not only reduces administrative burdens for zoning boards, but it lowers permitting time and costs to the point where it makes the project within the realm of financial reason for the owner. Streamlining the permitting process is often best achieved by listing small wind turbines as a conditional or accessory use. A Permitted Use permit allows a small wind system by default, provided it meets applicable design standards, and is applied commonly to flag poles, church steeples, and grain silos. A permitted use indicates that a justification has been established for the structure's standing eligibility. As such, no public hearings are required and a permit can be obtained quickly. Permitted uses are frequently found in rural areas where potential impacts are minimal. A Special /Conditional Use permit allows an installation under certain conditions identified in the statute. This option usually requires a more detailed description of the project from the applicant and often involves a public hearing. A hearing can disadvantage both the zoning board and potential owner, however, since each application must be decided on a case -by -case basis and educational efforts must begin from scratch. Many documented experiences show that this process can cost potential small- turbine owners thousands of dollars and take hundreds of hours to accomplish, if at all. A Site Plan Review allows an installation after a physical inspection of the proposed project site and surroundings. This option is usually accompanied by a special /conditional use permit. An Accessory Use of land is one that is subordinate, incidental to, and customarily found in connection with the principal use allowed on a lot by the zoning law. A garage, for example, is incidental to the principal use of a lot as a single - family residence and customarily found on a single - family lot. For small wind, this normally appears in agricultural, commercial, or industrial settings where energy produced by a turbine is instrumental in accomplishing a main function of the property's use. Importantly, allowing small wind as an accessory use avoids the need for special use permits for future applications. A Variance is a modification or waiver of certain zoning requirements for a permitted use structure. For a small wind turbine, this usually means making an exception for setback distances or height limits. Variances are issued when prevailing regulations cause an unreasonable "burden" on the property owner and usually require public hearings, making a variance for a small wind turbine very difficult to obtain. An Overlay Zone supersedes prevailing zoning rules in certain geographies. A jurisdiction may establish an overlay zone to indicate that a certain area is appropriate for small wind turbines or other renewable energy technologies. This expedites the permitting process, but planners must be careful that this strategy does not overly limit areas outside of zone. Entegrity Wind Systems 50kW turbine Recommendations See also AWEA's "Policies to Promote Small Wind Turbines: A Policy Menu for State and Local Governments" 2008. www.awea.org /smallwind FOR STATE AND LOCAL GOVERNMENTS ■ Create regulations in advance of public inquiries. ■ Recognize that small wind systems have very different impacts than large, utility -scale turbines and require completely separate siting considerations. In terms of impact, a residential -scale wind turbine has more in common with a solar photovoltaic panel than it does with a utility -scale wind turbine. Treat small turbines as improvements to an individual property, not as commercial or industrial projects. ■ Promote consistency among fees, requirements, and procedures across jurisdictions. Doing so reduces complications and inefficiencies for installers, applicants, and governments. ■ Experience your own permitting process firsthand: Mayors or governors may want to try to obtain a permit for a turbine for installation at city hall or the governor's mansion. ■ Educate permitting staff, zoning officials, and governments about small wind. Share with them this and other publications listed in the "Contributing & Additional Resources" section (p. 28). ■ Base code compliance on a common set of standards (IEEE 1547 and UL 1741) that ensure the reliability and safety of a turbine's electrical 16 http: / /www.newenergychoices.org /uploads/ Fre eingTheGrid2007_re port. pdf 17 Sandia National Laboratory has begun development of strategic Energy Surety Microgrids http://www.sandia.gov/news/resources/ releases /2006 /mi crog rid. htm I components, as installed according to the National Electric Code. But also ensure the grid interconnection process formed around these standards is well - founded. See "Freeing the Grid" 2007 report. Keep in mind the public benefits of small wind: • Increased property values • Increased in -state electricity generation • Reduced pressure on the utility grid • Increased local energy independence • Increased security /can provide back- up power to strategic applications like police stations or hospitals for "hazard mitigation" purposes 17 • Reduced dependence on polluting forms of electricity • Enhanced reliability and power quality of the electricity grid • Reduced peak power demands • Diversified state energy supply portfolio • Displaced pollutants from traditional forms of energy • Increased consumer choice • Increased visible indicators of community support for clean energy • Increased regional economic growth. Manufacturers ask, "In which state should I base my operations ?" The answer is: "States with the best policies." Education may be the single most important factor in streamlining the permitting process. American Wind Energy Association www.awea.org /smallwind 23 Proven Energy 2.SkW turbine Additional Options Creating incentives: Beyond removing obstacles and enabling installations to occur on their own, a state or community can create incentives to make small wind turbines a more attractive option for individuals and businesses. These include: • Reducing, or waiving, permit and development impact fees • Fast tracking review periods • Permitting small wind systems by- right in some or all districts to avoid costly and contentious hearings • Awarding points in performance - based review and green building programs • Awarding density bonuses for developments that reduce or generate >50 of energy demand on site Protecting windy areas: A town or state might also anticipate future installations by protecting areas in the community that have exceptionally good wind resources. Local dealers and installers are trained in wind resource assessment and can help locate these areas. SPECIFICALLY FOR LOCAL GOVERNMENTS Federal preemption of home rule for cell phone towers enabled the industry to expand dramatically, which would not have likely occurred without it. Fair zoning for small wind turbines could bring similar economic benefits. ■ Implement a stand -alone ordinance specifically to address small wind turbines (see "Appendix," p. 30). ■ Expedite processing times by consolidating a jurisdiction's permit review process to as few departments or agencies as possible. ■ Encourage permit applicants to notify their neighbors of their proposed installation. ■ Educate permit department staff about small wind to ensure safe, fair, expedited, and less costly installations. Demonstration projects offer an excellent educational opportunity. Contact a local dealer to locate a nearby installation. ■ Coordinate with neighboring zoning jurisdictions to establish consistent practices, rate schedules, etc. This can be done through Regional Councils of Government or independently, and will save time and money for the town, turbine owner, and installer. ■ In the absence of pertinent state legislation, local governments can overrule neighborhood covenants that unnecessarily restrict renewable energy. ■ Initiate a Community Energy Plan to assess the renewable energy potential of a locality and devise strategies for meeting energy goals. (This may include implementing a renewable energy overlay zone - see last paragraph.) ■ Consider establishing renewable energy overlay zones. This policy would be ideally situated in a local government's Comprehensive Plan (or equivalent) that describes a town's future objectives and strategies. Without proper care however, a renewable energy overlay zone could inadvertently prevent small wind installations outside the zone where they may be perfectly acceptable. As a precaution, make the zone sufficiently large and create or maintain a provision that allows small turbines (and other renewables) outside of the zone. It may in fact be easier to identify any areas not suitable for such installations and make distributed renewables an allowed use elsewhere by default. 24 SPECIFICALLY FOR STATE GOVERNMENTS State government action can very effectively streamline the permitting process by standardizing permitting requirements across local jurisdictions Consider implementing the following: ■ Establish statewide zoning standards for renewable energy systems. Oregon state law, for example, requires cities and counties to list small wind turbines as an allowed use on any land zoned for agricultural or forest use, pending they meet certain conditions, ■ Provide educational opportunities for planners and zoning officials. ■ Preempt private covenant restrictions that prohibit or restrict small wind and other distributed renewable energy systems on aesthetic grounds. ■ Follow precedent set by over 10 states that prohibit the unreasonable restriction of renewable, distributed energy use within planned communities. These laws are, unfortunately, not often publicly known and so are violated frequently. Therefore accompany any such rules with educational outreach efforts. The Community Associations Institute (CAI) and its chapters, for example, could provide a platform upon which to educate community associations and homeowners about their rights and responsibilities under the law. ■ Preempt local zoning jurisdictions. Though likely a politically sensitive measure, the most effective way to enable small wind installations is for a state to preempt "home rule" jurisdiction of local zoning codes to allow the (conditional), statewide installation of small wind turbines under a single umbrella policy. Several precedents demonstrate that doing so helps consumers, communities, and industry. Home rule was preempted on a national scale for cell phone towers (Telecommunications Act of 1996) and was far stronger than what would be needed for small wind systems. This federal preemption succeeded in passing largely because of the perceived national benefit that wireless communications would bring. Advocates argue that the same could surely be said of renewable energy. The states of Wisconsin 21 Nevada, 2 Vermont, Michigan , Oregon, New Hampshire, 2s and California 26 have all agreed and enacted laws that preempt home rule specifically to prevent undue prohibitions of small wind systems in their states. As a direct consequence, these states enjoy more in -state (non- imported) energy generation and other environmental and economic benefits that small wind offers. Ls Example renewable energy overlay zone: Klickitat County, WA. Klickitat County Planning Department: http://www.klickitatcounty.org/Planiiing/filesHtml/ 200408 -EOZ- EIS /06 -01- map- EOZ.pdf 19 Northwest Sustainable Energy for Economic Development. Community Wind: An Oregon Guidebook. Report for the Energy Trust of Oregon. (No date given). p. 41 -42. http: / /www.energytrust.org/ RR /wi nd /community /forms_requ est. h tml. 20 These states include Arizona, California, Colorado, Florida, Hawaii, Indiana, Iowa, Massachusetts, Nevada, Utah, and Wisconsin. 21 1993. Wisconsin statute 66.0401. Wisconsin's small wind zoning ordinance http: / /renewwisconsin.org /wind/ Toolbox - Zoning /Smal I %a 20 W i nd %20System %20Mode I 0 /o20Ordinance 0 %2012- 06.pdf. Available from http: / /renewwisconsin.org /wind /windtoolbox.litmi 22 Nevada State Legislature NRS 278.0208 http: / /wwvv.leg. state. nv.us/ Nrs/ N RS -278. html 4 NRS278Sec0208 23 Vermont Statute Title 30 Sections 219(a) and 219(b), and 248 amended with bill 209 from 2008 http: / /www.leg. state .vt.us /statutes /statutes2.htm 24 Michigan Siting Guidelines for Wind Energy Systems http: / /www. michigan.gov /documents /Wfnd_and_Solar_ Siti ng_G u idl i nes_Draft_5_96872_7, pdf 25 New Hampshire House Bill 310 http: / /wvvw.gencourt. state. nh.us /legisla Lion /2008 /HB0310. htm I 25 California AB 1207 http: / /info.sen.ca.gov /pub /01 -02/ bill /asm /ab_12o1- 1250 /ab_1207_bill_ _ 20011007 _chaptered.html Northern Power 100kW turbine in Kotzebue, AK American Wind Energy Association www.awea.org /smallwind 25 Vermont's Net - Metering Permitting Process Vermont's permitting process for net metered (thus, grid -tied) small wind turbines is straightforward and simple: A customer applies for a Certificate of Public Good (CPG), at no cost, from the Vermont Public Service Board (PSB) and distributes the application to adjacent: landowners, the town planning committee, and select board, local utility, and several state agencies. Barring any objections within 30 days, the CPG application is generally approved and is exempt from additional state or local zoning regulations. Should there be any public objections, witnesses for each party testify at a public hearing where the PSB makes a final decision. Windward Engineering Endurance 4.25kW turbine in Arkport, NY PERMITTING PROCESS: TIME & COST Even the best zoning ordinances are often thwarted by overly expensive and lengthy requirements for obtaining a permit. We recommend the following: 28 http: / /Iornaprieta.slerraclub.org /global_warming / pv_permit_study.htm Damian Pitt, 'Taking the Red Tape out of Green Power." Network for New Energy Choices, September 2008. In Vermont, permitting is free for all grid -tied renewables statewide under the Certificate of Public Good application process. go Permitted or Conditional Use Accessory Use Hearings are usually required to determine The permit should whether the installation meets the "conditions" be granted upon upon which permission is contingent. Any hearings timely review of should be held within 30 days of the application the application, not date. Promptly thereafter the zoning board should H exceeding 30 days. notify the applicant whether or not the permit has been granted and what conditions are necessary to satisfy the permit. If an application must be approved by a town or county board after being passed through a planning committee, a reasonable timeframe is 60 days or less. Total permitting costs should be commensurate with any other non- commercial end -use objects or structures, and should reflect the cost of administering the permit and any associated reviews or inspections. Most localities levy fees at a flat rate, but some occasionally use a "valuation method" that calculates the fee as a percentage of the system's cost. However, there is little, if any, correlation between the size of a turbine and the costs and time required for its inspection and review process. Flat fees are therefore more practical and desirable. Y Furthermore, the valuation method inadvertently discourages larger 0 systems and their associated public benefits. Paradoxically, under this fee structure, the more a turbine owner wants to contribute to the community, the more difficult it becomes to do so. Some localities have implemented a tiered fee structure to distinguish between residential and commercial uses. Still others have waived permitting fees entirely for on -site renewable generators, sending a powerful message of local government support for clean energy and their associated community benefits. Some communities that have waived permitting fees for on -site renewables include Tucson (AZ), San Diego (CA), Fairfax (CA), and the entire state of Vermont. 28 http: / /Iornaprieta.slerraclub.org /global_warming / pv_permit_study.htm Damian Pitt, 'Taking the Red Tape out of Green Power." Network for New Energy Choices, September 2008. In Vermont, permitting is free for all grid -tied renewables statewide under the Certificate of Public Good application process. go CONCLUSION Good zoning for small wind is important, achievable, and good public policy. Planners and zoning officials are in a unique and powerful position to help renewable energy and those who rely on it. Of all the challenges consumers and the industry face to deliver the benefits of clean, on -site power generation, the permitting process can be the most severe. But fortunately, a remedy is available and implementing it can come at a net benefit to the community at large. By understanding the issues and identifying a variety of potential solutions, renewable energy will be able to play a more vibrant part in American communities. American Wind Energy Association www.awea.org /smallwind 27 Entegrity Wind Systems 50kW turbine CONTRIBUTING AND ADDITIONAL RESOURCES "Policy Guide on Energy." American Planning Association, April 2004. http: / /www. planning. org /policyguides /pdf /Energy.pdf "Wind Energy Siting Handbook" for large turbines. American Wind Energy Association, 2008. http : / /www.awea.org /sitinghandbook/ "Small -Wind Policy Menu for State and Local Governments." American Wind Energy Association, 2008. www.awea.org /smallwind. Asmus, Peter; K. Fullerton; S. Peterson; H. Rhoads - Weaver; A. Shutak; and S. Savitt Schwartz. "Permitting Small Wind Turbines: A Handbook - Learning from the California Experience." September 2003. www.awea.org/smallwind/documents/permitting.pdf Beltrone and Constanti; U.S. Department of Energy / Energy Efficiency and Renewable Energy; National Association of Counties; National Renewable Energy Laboratory. "Wind Energy Guide for County Commissioners." October 2006. http://www.nrel.gov/wind/pdfs/40403.pdf Daniels, Katherine. The Role of Government Agencies in the Approval Process. Report for the New York State Energy Research and Development Authority's Small Wind Toolkit. 2005. Green, Jim and Sagrillo, Mick. "Zoning for Distributed Wind Power: Breaking Down Barriers." U.S. Department of Energy /National Renewable Energy Laboratory, Conference Paper NREL /CP- 500 - 38167. August 2005. http://www.nrel.gov/docs/fyO5osti/38167.pdf Phillips, et.al. "Micro -Wind Turbines in Urban Environments: An assessment." BRE Press, 2007. www. brebookshop.com /details.jsp ?id = 287567 Pitt, Damian. "Taking the Red Tape out of Green Power." Network for New Energy Choices, September 2008. RENEW Wisconsin Small Wind Toolbox. Web site. http://renewwisconsin.org/wind/windtoolbox.htmI Rogers, et al. "Wind Turbine Acoustic Noise." Renewable Energy Research Laboratory, University of Massachusetts at Amherst. January 2006. http: / /ceere.org /rerl/ publications / whitepapers /Wind_Turbine_Acoustic_ Noise_Rev2006.pdf Abundant Renewable Energy (ARE) 110 2.5kW turbine in Newberg, Oregon Rhoads - Weaver, Heather; R Asmus; S. Savitt Schwartz; C. MacIntyre; M. Gluckman; and A. Healey, Canadian Wind Energy Association. "Small Wind Siting and Zoning Study: Development of Siting Guidelines and a Model Zoning By -Law for Small Wind Turbines." April 2006. www.smallwindenergy.ca/ downloads / Small _Wind_Siting_Guidelines.pdf Stronberg, Joel. "Common Sense: Making the Transition to a Sustainable Energy Economy." American Solar Energy Society. May, 2005. http://www.ases.org/programs/policy/cornmon—Sense.pdf Sweatt - Essick, et al. "Land Use Compatibility and Airports: A Guide for Effective Land Use Planning," Federal Aviation Administration. N.d. http: / /www.faa.gov/ about / office_ org / headquarters _offices /aep /planning_toolkit/ media /III.B.pdf U.S. Department of Energy/ National Renewable Energy Laboratory. "Distributed Energy Interconnection Procedures Best Practices for Consideration." March, 2007. http: / /wwwl .eere.energy.gov /solar /pdfs/ doe_ interconnection— best_i)ractices.pdf www.stray- voltage.com. For in -depth information and a tutorial on stray voltage. Articles written for the American Wind Energy Association's Windletter by Mick Sagrillo, Sagrillo Light & Power, available at http: / /www.awea.org /smallwind/ sagrillo /index.html and /or RENEW Wisconsin's Small Wind Toolbox at http://renewwisconsin.org/wind/windtooIbox.htm1: Abandonment Aesthetics Barriers to small wind systems Code Compliance Considerations for wind turbine towers FAA Fences Ice shedding Keeping hearings under control Net metering and zoning Payback Perceptions and local concerns Property values Protecting your right Rules of thumb for tower heights Setbacks Shadow flicker and strobing Siting towers and heights for small wind turbines Sound Stray Voltage Tall tower economics Tower cost versus power Tower height versus power Tower engineering for building permits Tower heights and zoning hearings Tower Styles Towers and Engineering Trials and tribulations TV and communications interference Visibility Zoning obstacles A special thanks to Erica Heller of Clarion Associates, Mick Sagrillo of Sagrillo Power & Light, and Jim Green of the National Renewable Energy Laboratory for their expertise and contributions to this document. American Wind Energy Association www.awea.org /smallwind 29 Entegrity Wind Systems 50kW turbine in Quinter, Kansas APPENDIX: AWEA MODEL SMALL WIND ZONING ORDINANCE Writing Small Wind into Existing Laws This model zoning ordinance is used by many localities across the country and aims to strike an equitable balance among the interests of the consumer, industry, and community. It is the product of lessons learned over decades of industry experience and tens of thousands of installations. AWEA MODEL ZONING ORDINANCE Use Regulation for Small Wind Energy Conversion Systems 30 Section I: Purpose It is the purpose of this regulation to allow the safe, effective and efficient use of small wind energy systems installed to reduce the on -site consumption of utility supplied electricity. Section 2: Findings See p.4 for a sample of The [city or county] finds that wind energy is an abundant, renewable, and nonpolluting energy cities, counties, and states resource and that its conversion to electricity will reduce our dependence on nonrenewable energy that have enacted zoning resources and decrease the air and water pollution that results from the use of conventional energy laws for small wind systems. sources. Distributed small wind energy systems will also enhance the reliability and power quality of the power grid, reduce peak power demands, and help diversify the State's energy supply portfolio. Small wind systems also make the electricity supply market more competitive by promoting customer choice. The State of has enacted a number of laws and programs to encourage the use of small -scale renewable energy systems including rebates, net metering, property tax exemptions, and solar easements. [As appropriate] However, many existing zoning ordinances contain restrictions, which while not intended to discourage the installation of small wind turbines, that can substantially increase the time and costs required to obtain necessary construction permits. Therefore, we find that it is necessary to standardize and streamline the proper issuance of building permits for small wind energy systems so that this clean, renewable energy resource can be utilized in a cost - effective and timely manner. Section 3: Definitions Small Wind Energy System: A wind energy conversion system consisting of a wind turbine, a tower, and associated control or conversion electronics, which has a rated capacity of not more than 100 kilowatts (M) and which is intended to primarily reduce on -site consumption of utility power. Tower Height: The height above grade of the fixed portion of the tower, excluding the wind turbine itself. Total Extended Height: The height above grade to a blade tip at its highest point of travel. Section 4: Allowed Use Small wind energy systems shall be allowed as an accessory use in all zoning districts where structures of any sort are allowed; subject to the requirements of Section 5 below. Small wind energy systems not meeting the performance standards of Section 5 may be allowed by conditional use permit. 30 Section 5: Use Standards for Small Wind For more information contact Ron American Wind Energy Association www.awea.org /smaI]wind 31 Setback: The base of the tower shall be s¢ 5.01 public utility lines a distance equal to the tot property line than its total extended height 1 and the installation poses no interference wi Tower Height: So long as the total extern 5.02 shall be no specific height limitation, except; as stated in 5.07. Sound: Sound produced by the turbine un 5.03 property line, shall not exceed the definition during short -term events out of anyone's cc WindTurbine Equipment: Small wind u 5.04 benefits program or any other small wind ce Energy Association. Requirement for Engineered Drawing: 5.05 systems shall be accompanied by standard d engineered drawings of the tower, base, foot Wet stamps shall not be required. Soil Studies: For standard soil conditions 5.06 by the wind turbine manufacturer shall be ai not require project - specific soils studies or Compliance with FAA Regulations: N 5.07 to project above any of the imaginary airspa on airspace protection. Compliance with National Electric Co 5.08 systems shall be accompanied by a line draw manufacturer, in sufficient detail to allow for to the National Electrical Code. Utility Notification: No small wind ener 5.09 that the utility company has been informed, customer -owned generator. Off -grid systen 5.10 Insurance: Additional insurance beyond h Abandonment: If a wind turbine is inope that they must, within six months of receivir 5.11 If the owner(s) fails to restore their system then the owner shall be required, at his expi reasons. The tower then would be subject t Signage: All signs, other than the manufac 5.12 signs, or owner identification on a wind gen, a small wind energy system visible from any 5.13 Lighting. No illumination of the turbine o Access: Any climbing foot pegs or rungs b 5.14 prevent unauthorized climbing. For lattice c to the bottom tower section such that it cai For more information contact Ron American Wind Energy Association www.awea.org /smaI]wind 31 NOTES NOTES I � - I -� N-7 41 1 rt �R. tl -7l F, 1 V ).1 � - I -� N-7 41 1 rt �R. Y J a vN, V ri - T7 .7; SMI go L ;r ti ":'A W Rd A A Artiencan W e rg -1-150-1 M Street;- NW 10t - V262- - 83 2500-(Ohdne. 4 7 1, oddti6n - -,X.-.Y�20 � _105 as I gton RAL -7l Y J a vN, V ri - T7 .7; SMI go L ;r ti ":'A W Rd A A Artiencan W e rg -1-150-1 M Street;- NW 10t - V262- - 83 2500-(Ohdne. 4 7 1, oddti6n - -,X.-.Y�20 � _105 as I gton RAL l J . Av .y I '_ �I t 1 i i/ r E tm PERMITTING SMALL WIND TURBINES: A HANDBOOK Learning from the California Experience PERMITTING SMALL WIND TURBINES: A HANDBOOK Learning from the California Experience ACKNOWLEDGEMENTS "Permitting Small Wind Turbines" was developed by the American Wind Energy Association's Small Wind Advocate Team in cooperation with Northwest Sustainable Energy for Economic Development (SEED). Authors Peter Asmus, Kevin Fullerton, Sarah Peterson, Heather Rhoads - Weaver, Angela Shutak and Susan Savitt Schwartz Graphic Design Rachel Hein Reviewers and contributors Included: Michael Bergey, Bergey Windpower; David Blittersdorf, NRG Systems; Jim Ellis, Kern County; Leonard Erlanger, Los Angeles County; Tom Gray, AWEA; David Hardy, Sonoma County; Jim Heath, Integrity Partners; Andy Kruse, Southwest Windpower; Charles Lessmann, Center for Environmental Economic Development; Mick Sagrillo, Sagrillo Power & Light; and Kate Zocchetti, California Energy Commission. We would like to thank others who assisted with the project, including: California Energy Commission Project Manager Kate Zocchetti; AWEA Contract Manager Mary Childress; county planning officials, small wind turbine owners and various members of the small wind energy industry. To request a copy of this handbook contact: California Energy Commission Toll Free: (800) 555 -7794 Outside CA: (916) 654 -4058 renewable@energy.state.ca.us Available online at: www.consumerenergycenter.org/erprebate/forms SPONSORS Renewable Energy Program California Energy Commission www.energy.ca.gov/renewables/ This handbook was developed through a grant from the California Energy Commission. The Energy Commission's Renewable Energy Program was established in 1998to increase renewable electricity production statewide. Today, the program provides market -based incentives for new and existing utility - scale renewable energy facilities, consumer rebates for installing new on -site systems, and public education about the benefits of renewable energy. American Wind Energy Association www.awea.org Additional matching funding for this project and the related Small Wind Communications Toolbox was provided through AWEA's Critical Issues contract with the U.S. Department of Energy. AWEA is a national trade association that represents wind power plant developers, wind turbine manufacturers, utilities, consultants, insurers, financiers, researchers, and others involved in the wind industry. AWEA also represents hundreds of wind energy advocates around the world. Published September 2003 0 Printed on recycled paperwith say -based ink Permitting Small Wind Turbines: A Handbook CONTENTS INTRODUCTION 33 Small Turbines —Large Benefits 5 Using this Handbook 6 I. INSTALLING SMALL WIND ENERGY SYSTEMS 35 Evaluating the Site 7 Hybrid Solar and Wind Installation Pays Off 7 Positioning the Turbine 8 Your Best Guess May Not Be Good Enough 9 Utility Line Interconnection 10 Do it Yourself, but be Prepared to Wait 10 Communicating with Neighbors 11 Sample Letter to Neighbors 11 Who Says Wind Turbines Need Lights? Not the FAA 16 Vineyard Gets Good Wind Harvest 18 A Permitting Checklist 19 II, PERMITTING SMALL WIND TURBINES UNDER AB 1207: SOME COUNTY COMPARISONS Key Provisions of AB 1207 21 County Reluctance Generates Positive Interest in Wind Turbines 22 County Responses to AB 1207 23 WiU Winds Prevail in L.A. County? 24 Trial and Error in Riverside County 25 County Staff Make Way for Small Wind 27 Small Wind and Solar System Prompts Lifestyle Changes 28 III. AWENS RECOMMENDATIONS A Model Zoning Ordinance 29 Best Practices for Counties 31 IV. REFERENCES AND RESOURCES Publications and Websites 33 Agencies and Incentive Programs 34 Nonprofit Organizations 34 California Utility Companies 35 County Planning and Permitting Contacts 36 Small Wind Turbine Manufacturers and Dealers 3 V. APPENDICES California Wind Resources 39 California Wind Potential by County 41 California Windiest Zip Codes by Region 42 Large and Small Wind Energy Installations in California 43 Small Wind Energy Installations by County 45 3 INTRODUCTION Small Turbines — Large Benefits Americans today generally associate wind energy with dense arrays of commercial -scale turbines that rise on 200 ft or taller towers, so they are often less familiar with wind turbines scaled for personal use on small acreages. Small (or "residential ") wind energy systems typically generate just enough power to meet the demands of a home, farm, or small business. They range from 400 watts to 100 kilowatts or more, and typically consist of a single turbine, while commercial wind farms consist of dozens or even hundreds of megawatt -scale turbines. But small wind systems are not mere playthings for backyard hobbyists. They can be significant power resources that have proven records of performance, even in locations with modest winds. The success of the commercial wind industry has propelled significant advances in small turbine design, making these systems more reliable, quieter, and safer than those introduced in past decades. And though most of the electricity they produce is used on -site, excess generation from small wind turbines can be fed into distribution lines, strengthening the electric grid. Small wind'systems can be an important component of a power system that's more affordable, secure, and sustainable. Small wind turbines were commonplace on farms and ranches across the Midwestern United States before the advent of rural electrification programs. Wind gen- erators powered lights, radios, and kitchen appliances in far -flung reaches of the country, offering rural families most of the conveniences of modern urban life. In this new century, small wind turbines are an attractive investment for residents in rural areas looking for relief from high energy costs. Small turbines also contribute a larger public benefit by reducing demand on utility systems now supplied primarily by centralized fossil -fuel plants. In recent years this system has left electricity customers vulnerable to power shortages and sharp price increases. The development of large -scale power plants has become riskier in the turbulent energy market, creating the need for new forms of distributed generation sources to make the system more secure 5 N C Y T 0 s a and sustainable. Small wind systems can be an important component of such energy independence. In 2001, the California Legislature passed landmark legislation, Assembly Bill 1207, to promote small wind turbine installations by standardizing permitting requirements. Other state incentives include a rebate program administered by the California Energy Commission and a state income tax credit for purchasers of small wind systems. The following excerpt from AB 1207 articulates the benefits the state hopes to derive from small wind development: Distributed small wind energysystems ...enhance the reliability and power quality of the power grid, reduce peak power demands, increase in -state electricity generation, diversify the state's energy supply portfolio, and make the electricity supply market more competitive by promoting consumer choice. I 3 0 3 0 T N 0 V 0 0 d i.' ' h Tl V _ b• .Y 1. California Government Code, Section 65892.13 (a) (2) www.leginfo.ca.gov/cgi-bin/displaycode?sectian=gov& grou p= 65001 - 66000 &file = 65892.13 Using This Handbook Public officials and property owners alike will find the information in this handbook useful in determining best practices for siting wind turbines and in under - standing the permitting implications of California's new law. The handbook cites key provisions of Assembly Bill 1207 and describes how California counties are complying with the new law. It notes the steps counties have taken (and could take) to streamline the permitting of small wind turbines, using existing installations as examples. Public officials will gain a better understanding of small wind systems, and property owners will learn what to expect in the permitting process. I. The first section covers site considerations. It lists the factors that determine whether the site is right, where to position the turbine, and what impacts the turbine could have on neighboring properties, wildlife, and safety. II. The next section describes key provisions of AB 1207, explaining both the letter and the spirit of the law, and illustrates how the law has been applied in specific counties throughout California. III. The third section provides a model zoningordinance recommended by the American Wind Energy Association and a list of best practices for permitting small wind turbines both in California and nationwide. IV. The final section lists a variety of information resources, including publications and web resources offered by the American Wind Energy Association, the California Energy Commission, utilities, and other government agencies and organizations. Small wind turbine manufacturers are also listed. 6 I. INSTALLING SMALL WIND ENERGY SYSTEMS Permitting reviews can absorb a significant amount of time and energy from property owners and public officials. Before beginningthe process, property owners should be reasonably certain thattheir site is windy enough to justify the effort. After that, there's more to consider: How difficult will it be to obtain the necessary permit? How do you arrange for a utility line connection? What about safety and impacts on wildlife? Much of the land mass of the United States gets enough wing to power small wind turbines. Evaluating the Site Small wind turbines require lesser wind resources than large commercial turbines, so they are feasible in many more places. Much of the land mass of the United States gets enough wind to power small turbines. Simply put, if a site "feels" windy enough, it is probably worth investigating and determining the estimated pay back. Does the wind blow steadily for sustained periods on a regular basis? Are there large seasonal variations? What are the expected electricity bill savings? Turbine dealers can often help assess a potential site through visual inspection of surrounding terrain. Property owners in many parts of the country can analyze their hunches with recently updated wind maps that predict wind patterns. County officials also can use wind maps to familiarize themselves with local wind Hybrid Solar and Wind Installation Pays Off Ridgecrest (Kern County) —Tom and Angela Rhamy decided that electricity had become too expensive during the power crisis of 2001, so they bought a combination wind /solar energy system and started generating their own. When conditions are good their meter spins backward, cutting their power bills to half what they used to be. The Rhamys, who own a 2,000- square foot home and keep an office in the barn behind the house, have joined the ranks of homeowners discovering that small -scale wind systems are a viable alternative to high power bills. They took advantage of state 7 E a r E V `o T M N O V 0 0 a For more info on the economics of small wind, see: www.awea.org/smallwind/toolbox/[NSTALL/financing.asp incentives designed to encourage the installation of home generating systems, receiving a state tax credit and a rebate from the California Energy Commission that covered half the cost of their machine. Their system went online in May 2002 and should pay for itself within five to seven years. The Rhamys found plenty of information available from the American Wind Energy Association, Home Power Magazine, and state resources such as California's "Green Team" video conferences and the California Energy Commission. Their turbine dealer gave them the information they needed to approach the county building inspector, who approved a permit for the system that same day. Kern County allows towers up to 80 feet high in most zoning districts, so no special permitting was required. "It was very simple," says Tom Rhamy. Connecting their generator to the utility's system was also a straightforward process. Southern California Edison sent the Rhamys a blank contract that included a net metering agreement and other interconnection requirements. The Rhamys filled in specific information about their system, and the utility sent a completed contract for them to sign. Small wind turbine installations are not this easy in all California counties, but the Rhamys' experience shows the widespread acceptance that residential renewable power systems have earned in recentyears. resources and answer inquiries from prospective permit applicants. The primary map used by the small wind industry in California to predict the performance and economics of a small wind system for potential customers is produced by the California Energy Commission and available onlinez or by calling (916) 654 -3902. Also available online is The Renewable Energy Atlas of The West: A Guide to the Region's Resource Potential, which allows users to find average wind speeds at specific locations in 11 western states using ZIP codes or geographic coordinates.; The Department of Energy ranks wind strength accordingto seven classifications. Class 1 winds are the weakest. Small wind turbines are generally cost- effective when installed in at least Class 2 or Class 3 winds (taller towers, 100 ft or higher, may be necessary in Class 2 winds), or where winds average at least 10 to 12.5 miles per hour (4.4 to 5.6 meters per second) at a height of 33 ft (10 meters) above ground. However, the wind power on a particular site is greatly affected by terrain. The wind may be obstructed by a hill or accelerated by a trough or valley. In complex terrain, small turbine dealers can help determine whether the wind is sheltered or concentrated. In a few cases, the installation of a wind data logging system may be necessary. (See inset next page.) Positioning the Turbine Ideally, property owners will place their turbines where wind is least obstructed, which is often the highest point on the site. Wind speed increases with height, and gaining even a small increase in velocity boosts 2. www.energy.ca.gov /maps /wind.htmi 3. www.EnergyAttas.org 8 a turbine's generating potential significantly (see graph below). County officials may have aesthetic concerns about allowing turbines proposed on hills or ridges. However, planners and permitting officials should be aware that restricting the placement of a wind turbine within a site for aesthetic reasons may WIND POWER, P (W /m') O 25 so 75 100 125 50 V 0 N r 5 E N 0 a z a � 3 w 0 m 2 Q s w 1 s v T N W A in N X N H L b 5 10 15 20 25 WIND SPEED, V (mph) Typical Wind Shear Profile— Speed and power available in the wind increases with increasing elevation. The relationship is commonly referred to as the one seventh power law (a =1/7). Your Best Guess May Not Be Good Enough adversely affect project economics. Wind turbines should be elevated so that the bottom tips of their blades pass three times above the tallest upwind barrier, or at least 25 -30 feet above any physical wind barriers (trees, buildings, bluffs) within 300 -500 feet of the tower or the local treeline, whichever is higher. This is advisable to minimize air turbulence that places stress on mechanical components and reduces turbine performance. (See diagram next page.) Elevating the turbine higher above adjacent obstacles is always better, although one manufacturer suggests that clearance of at least 20 feet may be adequate for "micro" turbines (under :1 kW). However, optimum tower height is always determined by the terrain and wind resource, not the turbine size. In cases where it is impossible to elevate a turbine sufficiently because of local permitting restrictions, planning officials can review their rules to see Scotts Valley (Santa Cruz County) — Larry Gilliam found out that wind maps are no substitute for on -site wind measurements. A map may show healthy winds over a general area, but topological features significantly affect the strength of the wind blowing across a particular site. "I looked at the maps and thought I was in a Class 2 wind regime," says Gilliam, whose 10- kilowatt turbine hasn't been as productive as he'd hoped. "if I had to do it over again, I would have erected an anemometer." Still, Gilliam's enthusiasm for wind turbines — inspired by a visit to a wind farm in San Gorgonio Pass — is not diminished. His turbine cut his monthly. electric bill from $120 to about $80, and he's confident that the turbine will prove an even better investment over time as energy prices continue to rise. 3 0 3 T N Ol L m s a 9 Y Y t U 0 N Y 0 0 d if they are more restrictive than necessary or allowed by AB 1207 and grant waivers as appropriate. (See "County Staff Make Way forSmall Wind," page 27.) 20- kifo.ft 300 Net Utility Line Interconnection Do it Yourself, but be Prepared to Wait Tracy (San Joaquin County) — Steve and Kathy Nelson, who live five miles from one of the world's largest wind developments at the Altamont Pass, didn't have to worry about tower height restrictions when they put up a small turbine on their rural property. But they learned that it can still take some time and 20- patience to install a turbine, especially if you do it yourself rather than contract with a turbine supplier. Wind turbine owners serviced by distribution lines can derive significant economic advantages by connecting their generators with the utility's system. Federal law (PURPA, 1978) requiresthat all utilities permit customer - owned generators to interconnect with their systems and compensate them for energy production. In California and many other states, utilities are also required to provide net metering service, which allows turbine owners' electric meters to spin backward when the turbines generate more power than the owners need. This does not mean that the turbine owner is selling i electricity. Rather, net metering is a trade between the turbine owner and utility. When the turbine owner does not need the power the generator is producing, the energy is essentially banked with the utility. When the customer's demand exceeds the turbine's output, electricity is drawn back from the utility. 4. California State Public Utilities Code 1995 § 2827, as amended 1998, 2000 & 2201); www.dsireusa.org Local permitting officials required two sets of plans for the Nelsons' installation — one from a civil engineer, and another from a structural engineer. Local inspectors were sometimes too busy to sign off on plans right away and asked for revisions. The Nelsons waited three months just for utility staff to approve the interconnection. (Other utility customers, however, have not encountered such lengthy delays.) Fortunately for the Nelsons, the California Energy Commission had not yet changed the rules of its Emerging Renewables Program to discount the rebate awarded to owner - installed systems. The new rules, which took effect in 2003, now reduce the rebate by 15% for systems not installed professionally. So a prospective turbine owner should carefully consider whether self - installation will save money once the reduced rebate is calculated in. For the Nelsons, the do- it- yourself ethic did pay off. Their wind turbine has been performing well, reducing monthly bills on their 3,000 square -foot home from nearly $300 to under $100. The Nelsons expect their turbine to pay for itself in six to seven years. l] I. INSTALLING SMALL WIND ENERGY SYSTEMS Net metering shortens the payoff period for a wind turbine because it gives retail credit for power generated during low -use periods. Under net metering laws in California and several other states, however, utilities have the right to claim excess generation left over at the end of an annual requirements for interconnection, conditions under which the turbine is to be disconnected, and legal liability. They also set the rate at which the utility will credit the customer for excess electricity, the billing arrangement, and any administrative fees the customer must pay. The Energy billing cycle. If a turbine produces more electricity than Commission is preparinga document for customer- generators the customer uses over a 12 -month period, the utility does interested in interconnecting to their utility. not have to reimburse the customer for that extra power. For more information on net metering, see www.awea.org/smallwind / Wind turbines must be connected to the utility system to be eligible for rebates through the California Energy Commission's Emerging Renewables Program. Customers of Pacific Gas and Electric Company (PG &E), Southern California Edison (SCE), San Diego Gas & Electric Company (SDG &E), and Bear Valley Electric are eligible for rebates that can currently cover up to $2.30 /watt toward a wind turbine's installed cost Rebates apply only to equipment that has been certified bythe Energy Commission. Applicants must document and maybe asked to justify specific installation expenditures when applying for rebates. Utilities generally define requirements for connecting to the grid through interconnection agreements. California's three private utilities (PG &E, SCE, and SDG &E) offer simplified interconnection agreements that are consumer friendly. These contracts define turbine specifications, permitting and design requirements, technical 5. Emerging Renewables Program requirements are at: www. consumerenergycenter .org /erprebate 6. For more information see: www.energy.ca.gov/ distgen / interconnection /gu ide_book.html Communicating with Neighbors County planners advise and sometimes require that permit applicants notify their neighbors before proceeding with a project as visible as a wind turbine. Small wind turbine manu- facturers also recommend early notification of neighbors. That courtesy will in many cases correct misperceptions and head off full -blown opposition. A letter like the one below can answer mostquestions people have aboutsmall wind turbines. Dear Neighbor be interested to learn that 1 plan to install a small wind energy You may This modern, non - polluting system system on my property at [address]. reducing my dependence will generate electricity solely for my own use, on the local utility. Any excess generation will be supplied to the utility system, but I will not receive any income from this exchange. I plan to install a [turbine make and model] that will be mounted on a _ -foot tower, set back feet from the street and feet from the nd turbine uses a [two /three] [south north /east/west] property line. This wi - bladed propeller _ feet in diameter and has only t rnPnmoving parts. It does not turn until the wind speed reaches at least • On calm, quiet days the wind turbine will not likely be audible. When the rotor is turning, the sound of the wind passing over the blades will register about _ decibels WEIVO), at a distance of _ feet, which will barely be audible used by the wind. over other noises ca i _ Lnumber] of [turbine make and model] has insta [Manufacturer] have a proven track record of They in the United States [and overseas]. questions etly, cleanly, and safely. if you have any producing energy qui feel free to contact me, about the proposed installation, please Sincerely 11 It also lets the neighbors know that an applicant has properly researched the project. California law limits locally imposed notification requirements to neighbors living within 300 feet of the proposed installation. Concerns that may arise about small wind turbines are typically about noise and other perceived nuisances, safety, and impacts on views and property values. Often these worries are fueled by neighbors' lack of familiarity with wind systems. Below are some facts that address common issues. 1. Acoustics Wind turbines produce two types of noise: one from the equipment inside the nacelle, such as the generator, and the second from the aerodynamic noise of the rotating blades. Most small wind turbines do not have gearboxes or other noisy mechanical systems, and manufacturers have made them quieter through better sound insulation, lower rotor speeds and adjustments to blade geometry. Although turbine noise increases with wind speed, so does the background noise produced by nearby trees, cars, animals and airplanes. Research has found that the background can be almost as noisy as the wind turbine, and at low wind speeds, will usually mask the wind turbine noise. In a test conducted by the Clinton (Iowa) Detective Bureau, the noise from a 10 -kW Jacobs wind system was measured in winds between 16 and 36 miles per hour. At 50 feet, the decibels measured between 55 dB(A) and 59 dB(A). But the detective, noting thatthe turbine noise was partially masked by rustling leaves, also took readings from trees that were 300 feet away. The trees registered 60 dB(A) to 62 dB(A). 7. Mick Sagrillo, Windletter Feb /Mar 1997. 12 The report concluded that the wind generator pro- duced "inconsequential" noise emissions? Wind turbine noise is measured in two ways: sound power level is a measure of the acoustic strength of the source - the wind turbine itself, and sound pressure level is a measure of the noise perceived at a particular location. Therefore, a distance from the wind turbine rotor hub must be specified for the sound pressure level to be meaningful. The noise perceived at a receptor location also depends upon the wind speed and the local surroundings. Math- ematical models allow estimates of the sound pressure level at any location around the wind turbines. The acoustic source strength of a wind turbine is measured in dB (decibels) on a logarithmic scale. decibels Jet Airplane [ k — PneurnaticDrIll Industrial ' 110,, Noise _ 100 / 90 �i� Stereo Music Inside Car S 70 © Office Home 60 s0 \, ®® 40 Small Wind Bedroom Turbine* ® ® 30 20 Whispering Falling Leaves 10 *Sound pressure level at a distance of too feet. httpalwww,awea.orglfaq fnoisefaq.html Because humans hear higher frequencies better then lower frequencies, an adjusted dB(A) scale is used to replicate this human response. Tests at the National Wind Technology Center show that the sound power level of small wind turbines varies from about 75 -100 dB(A). At a distance of 100 feetfrom the rotor hub, this range corresponds to sound pressure levels (perceived noise) of 40 -65 dB(A). A level of 40 dB(A) - about the same as inside an average living room - is generally considered acceptable for neighboring structures. A level of 65 dB(A) - noisier than a loud conversation - may cause an annoyance. Noise complaints are rarely lodged against installed small wind {� Fa .. turbines. The noise from their blades tends to blend in with the background acoustic vibrations produced in windy conditions. When responding to neighbors' questions about noise, remember that sound levels decrease at a rate approximately equivalent to the square of the distance from the source. So a noise reading taken 25 feet away from a turbine will fall by a factor of four at 50 feet, by a factor of 16 at 1000 feet, and so on. 2. Aesthetics Turbines must be mounted on tall towers to achieve their best performance and avoid damaging turbulence, so visibility is unavoidable. This isn't a Permiffing Small Wind Turbines: A Handbook v 0 a 3 v 3 0 0 V 0 a 1, INSTALLING SMALL WIND ENERGY SYSTEMS problem for the many people who find wind turbines aesthetically pleasing. But in response to neighbors who do not, planning officials should consider the relative visual impacts of wind turbines. Communities already accept water towers, billboards, relay towers, and utility lines as part of the landscape. Does a wind turbine constitute a greater intrusion on a neighbor's view than would the addition of a second story to a home or other property improvements that are legally permitted? The right of applicants to generate their own local, clean energy, along with the public benefits spelled out by AB 1207, must be weighed against those who object to turbines on aesthetic grounds. County planners should weigh the potential cost impacts and lost revenue resulting from preventing turbines from being sited in optimal locations, and follow the guidance of Assembly Bill 1207: In light of the state's electricity supply shortage and its existing program to encourage the adoption of small wind energy systems... local agencies [should]... not unreasonably restrict the ability of homeowners, farms, and small business to install small wind energy systems ...It is the policy of the state to promote and encourage the use of small wind energysystems and to limit obstacles to their use. Small turbines are not as visibly noticeable as many people imagine. Even in flat, treeless areas it is difficult to pick them out from a quarter of a mile away. Among hills or treesthey are even less noticeable. Guyed lattice towers are the least visible from a distance. Turbines and towers can be painted light gray to further min- imize visual impacts. 8. Mighare, P., van Dam,). and Huskey, A, Acoustic Tests of Small Wind Turbines, NREL SR -500- 34601, Golden, CO, 2003, 9. California Government Code, Section 65892.13 (a) (2) 13 0 ; i; 0 s a 3. Property Values There is no documented evidence that wind turbines— including com- mercial wind farms — have ever lowered the values of surrounding properties. In fact, the opposite effect has been recorded. A recent study that examined 25,000 property transactions within five miles of wind farms found that values almost always rose faster in those areas than in similar communities without turbines. The report, commis- sioned by the U.S. Department of Energy, included data from 10 wind installations in seven states. Vermont turbine owner David Blittersdorf reports that the home next to his sold within one day for the full asking price. His new neighbors later told him that his 10 -kW wind turbine was a major factor in the quick sale. "They said they wanted to live in a place where the community cared about the environment. They told me that they too wanted to install a small wind turbine someday," says Blittersdorf. Wind turbine manufacturer Mike Bergey says that in 20 years of business he's never heard of a customer's wind turbine adversely affectingthe value of neighboring real estate. "Our customers have sold their homes and adjacent lots, and they have had direct and nearby neighbors sell their homes. In all but one case the wind turbine was not an issue. in that case, the turbine had been partially installed on the abutting property due to a faulty survey. This situation was resolved amicably," notes Bergey. 14 EMENNENIMM Some homebuyers will pay more for a home equipped with a renewable energy system. A California Energy Commission market survey of 300 California home- owners found that half were willing to pay extra for homes with solar panels or wind turbines. The study also found that more than 60% of homeowners preferred to buy a home already equipped with a renewable energy system rather than install it themselves." 4. Electronic Interference Experimental wind turbines with metal blades put up in the 197Os reportedly "chopped up" television signals, resulting in ghost images on TV screens. But the rotors on small -scale turbines are not large enough to interfere with TV or telecommunications signals, and their blades are made from wood, fiberglass, and plastic — materials that signals easily pass through. Small wind turbine generators have never been shown to disrupt telecommunications or radio waves through electromagnetic interference. Jim Green of the U.S. Department of Energy's National Renewable Energy Laboratory reports that in 10 years researching small wind turbines, he has never encountered a problem with electromagnetic interference, nor have other researchers found cause to study them. In fact, one of the major niche markets for small wind systems is powering remote telecommunications sites. Small wind turbines have been approved by the U.S. Navy for powering military communications. 10. www.REPP.org 11, www.energy.ca.gov/ reports /2002 - 04- 03_500- 02- 0i6.PDF 12. Mick Sagrillo, "Telecommunication Interference from Home Wind Systems" AWEA Windletter, Volume 22, Issue No. 4 April 2003. v 3 v 3 L J O N T W a 0 s L d 5. Safety No public injuries have been attributed to falls from the thousands of unfenced small turbine towers installed over the past 25 years. Turbine towers should be required to have the same access restrictions — such as fencing or warning signs — as similar structures such as ham radio towers. Some turbine tower models currently on the market, primarily for the smallest turbines, are designed to be lowered to the ground for maintenance and repairs and don't have hand - and foot - holds. The small wind industry does not recommend fencing or anti - climbing devices. Under AB 1207, turbine permit applications are required to include standard drawings and an engineering analysis of the system's tower, showing compliance with national or state building codes and certification by a licensed professional engineer, demonstrating that the system is designed to meet requirements for the most stringent wind (Uniform Building Code wind exposure D), the worst seismic class (Seismic 4), and the weakest soil class (soil strength of not more than 1,000 pounds per sq ft). Applications are also required to include a line drawing of the system's electrical components in sufficient detail to allow determination that the installation conforms to the National Electric Code. Utility personnel unfamiliar with wind generation may mistakenly worry that turbines are a threat to utility line workers responding to power outages. In the 25 years that utilities have been required to interconnect small wind turbines, not a single liability claim has been filed against a turbine owner over electrical safety. Inverters certified by the California Energy Commission for use with small wind turbine installations are required to comply with UL 1741, which ensures safe operation on an electricity grid, including during utility outages. Section 2827 of the California Public Utilities Code, most recently amended in 2002 by Assembly Bill 58, establishes standard terms for interconnection: A... wind turbine electrical generating system ...used by an eligible customer-generator shall meet all applicable safety and performance standards established by the National Electrical Code, the Institute of Electrical and Electronics Engineers, and accredited testing laboratories such as Underwriters Laboratories and, where applicable, rules of the Public Utilities Commission regarding safety and reliability. A customer - generator whose ... wind turbine electrical generating system meets those standards and rules shall not be required to install additional controls, perform or pay for additional tests, or purchase additional liability insurance. 6. Avian Risk Bird collisions with small wind turbines are very rare. Statistically, a sliding glass door is a greater threat to birds than a small, unlighted wind turbine. Smoke- stacks, power lines, and radio and television towers have been associated with far greater numbers of bird fatalities than have even larger -scale wind farms. 15 Motor vehicles nd pollution are responsible for an even higher pr portion of total bird deaths. House cats kill an estimated 100 million birds annually. Wind turbines have been associated with avian impacts prima ily because of unique conditions at California's Alt mont Pass Wind Development. Habitat for golden eag es and other protected species, Altamont Pass is one of the world's largest, and earliest, comm rcial wind installations. Much research has been con ucted to make wind turbines more "bird safe," inc udingtower design changes and better siting practice . According to a recent report from the Bonneville Po er Administration, "Raptor mortality has been absent t very low at all newer generation wind plants studied in the U.S. This and other information ...strongly su ests that the level of raptor mortality observed at AI amont Pass is unique. " Because small wind turbines have small rotor swept areas, are no usually tall enough to interfere with bird migratio patterns, and are not often installed in dense enou h configurations to create a "windwall" effect, they g nerally do not cause problems with birds or othe wildlife. The California chapter of the National Aud bon Society endorsed the passage of AB 1207, sta ing that the number of bird collisions with small -sc le turbines is expected to be "similar to the deaths caused by other stationary objects that birds routine y fly into." 15 13. National Win Coordinating Committee (NWCC), Permitting of Wind Energy Facilities: A Handbook, 2nd ed. 14. Synthesis a d Comparison of Baseline Avian and Bat Use, Raptor Nest ng and Mortality Information from Proposed and Existing Wi d Developments, West, Inc., December 2002 15. Letter from ohn McCaull, California Audubon, to California Assemblym n John Longville, July 17, 2001. 16 7. Air Traffic The height of small wind turbine towers is well below the 200 -foot elevation that would require them to be lit under Federal Aviation Administration (FAA) rules. Nor does the FAA require notification of small wind turbine construction unless the proposed tower would be within: • 20,000 feet of an airport or seaplane base with at least one runway more than 3,200 feet in length and the object would exceed a slope of 100:1 horizontally (100 feet horizontally for each 1 foot vertically) from the nearest point of the nearest runway; or • 10,000 feet of an airport or seaplane base that does not have a runway more than 3,200 feet in length and the object would exceed a slope of 50:1 horizontally (50 feet horizontally for each 1 foot vertically) from the nearest point of the nearest runway. (See figure to the right.) The California State Aeronautics Act is less stringent than FAA guidelines, requiring Department of Transportation review for structures exceeding 500 feet, which is four times as high as the tallest small wind turbine tower available. Some townships in close proximity to Edwards Air Force Base Flight Test Center are subject to a recent California law (SB 1989) that requires the military be notified of small wind energy systems proposed in the zone classified R -2515. R -2515 lies mostly in Los 16. FAA Advisory Circular AC70/7460 -1 K 17. State Aeronautics Act, Part 1 Division 9 Section 21656 of California State Public Utilities Code. Angeles County, extending slightly into Kern County. The law does not prohibit small wind turbines in R- 2515. It requires only that local planning agencies forward applications forsmall wind turbines to military authorities. The law is intended as a precaution — small wind turbines are not expected to raise problems for the air base. Object Penetrates Airport/ Seaplanes Base Surface ANTENNA PENETRATES SURFACE BUILDING PENETRATES SURFACE NOTICE REQUIRED NOTICE REQUIRED I WATER TOWER PENETRATES SURFACE NOTICE REQUIRED Airports with one runway more than 3,200 ft. X= 20,000 ft. Slope ratio 100:1 Airports with no runway over 3,200 ft. X= 10,000 ft. Slope ratio 50:1 17 0 m E a 4 0 m a LL u L 6 Vineyard Ge�s Good Wind Harvest Paso Robles ($an Luis Obispo County) — Joe Mathewso says permiffing staff weren't sure what to expect when he proposed the first small wind turbine in he county, but their ready acceptance of the project ade for a smooth installation. "San Luis Obi po County was very friendly toward the applicatio ," Mathewson says. 3 ; Mathewson h d been spending $15,000 annually i on electricity t irrigate his 40 -acre vineyard. He '. 4 figured it was ime to see if the wind, which blows steadily from fternoon to midnight in the summers, ' could do som of the work instead. Mathewson's s instincts were right: his 10- kilowatt wind generator o has cut his p wer bill from $1,000 to $200 per month during the grape irrigation season. All told, he has cut hi annual electricity bill by nearly half. Mathewson himself. The only a coupl were primari foundation r turbine was t up the turbine and 100 -foot tower ;rmit cost $400, and the process took if weeks. He says county planners interested in the integrity of his tower J electrical connections. Since the in the center of his property, he did not encounter any opposition from neighbors. He's so impressed with his system that Mathewson has taken to selling small wind turbines on the side. "If you have a consistent wind resource, a suitable location, and want to reduce your electric bill, this is a good way to go," he says. 18 PERMITTING OF SMALL WIND R: A CHECKLIST A summary of basic steps for obtaining a permit for a small wind turbine in California 1. Contact your county planning department ❑ Setback: No part of the system, including guy or permitting agency. wires, may be closer than 30 feet to the property boundary. (The installation must also comply • Find out if small wind energy systems are with fire setbacks established by Section 4290 addressed by local ordinance and, if so, get of the Public Resources Code.) a copy of the ordinance. (If not, see 2 below.) ❑ Noise levels: Must not exceed 60 dB(A) • Learn the relevant permitting procedures. during normal operation, as measured from the closest neighboring inhabited dwelling. ❑ Ask what documents you'll need. Are you required to submit plans from a consulting engineer, or ❑ Equipment: Contact the California Energy will documentation from the turbine manufacturer Commission for a list of certified small or dealer do? wind turbines and for recognized national certification programs. 2. Review the applicable standards and restrictions. ❑ Building code compliance: Standard drawings and In California, if small wind energy systems are not an engineering analysis of the tower are required specifically addressed by local ordinances in your showing compliance with the Uniform Building Code area, or if local ordinances have not been brought or the California Building Standards Code and into compliance with AB 1207, then your small wind certification by a licensed professional engineer. turbine is an allowable use, subject to the pro- "Wet stamps" are not required. visions of the California Government Code, Section 65892.13(f), which sets the following restrictions: ❑ Electric code compliance: Requires line drawings of system electrical components showing sufficient • Minimum parcel size: One acre; must be outside detail to determine that installation conforms to an "urbanized" area unless otherwise specified. the National Electric Code. • Minimum allowable tower height: Up to 65 feet 1 8. Many permit requirements are not applicable in certain must be allowed on parcels 1 -5 acres; up to 80 California counties or outside the state. For recommended feet must be allowed on parcels of five acres or practices, see "Do's & Don'ts" and AWEA's model zoning more. Taller towers are not prohibited by state law. ordinance, pages 27 -29. 19. www. consumerenergycenter .org /erprebate /equipment.htmi Permittin Small Wind Turbines� A Hand 1° kk H IV, ' fin Se i,; v a ,lx BRUCE BISPING • Star Tribune file By MARYTANE SMETANKA sm tan@sfartribune.com apolis, Maple Grove, Woodbury and other cities that have up- dated their city codes to manage new "green" technologies. f you build an apart ent complex in St. Louis Park, the "Some cities wait until they get approached the first time. city code says it mus have screens in the windows. If Some are doing it in anticipation," said Brian Ross, co-own - you add a dog kenne it has to be fenced. er of CR Planning of Minneapoliss, which prepared a back - But what if you want to put up a wind turbine on the roof ground report on the issue for St. Louis Park. of a house or on a tower ' a parking lot? "As wind energy has become more and more prevalent, It's an issue no one thou ht about until recently. Though no and more areas of the state are economically suited to it as one has yet asked the city or permission to erect a small tur- thetechnology gets better, we're seeing places that did not bine on a he se rooftop, t. Louis Park officials expect it will. expect to see wind development get calls about it. „ happen, and they want to e ready. So they're joining Minne - Wind continues: Safety, noise concerns under consideration. AA5 (NW) WEDNESDAY, OCTOBER 14, 2009 • STAR TRIBUNE • WEST EXTRA • AA5 f ) Ross' report shows the Twin Cities area in a relative dead zone for wind energy, especially compared with the gusty Southwest corner of the state, where utility-sized wind farms have sprouted. But ad- vances in technology and a strong interest in environ- mentally friendly energy are expected to spur building re- quests in area cities. With no space for giant turbines like those seen at St. Olaf and Carleton colleges in Northfield, officials in the 'Irvin Cities are concentrating on regulating small turbines or even micro turbines that rare- ly generate'more than 100 kilo- watts and may generate less than a kilowatt. St. Louis Park expects to have an ordinance drafted by the end of the year, said Kev- in Locke, community develop- ment director. "Part of the community 's vision is to be good environ- mental stewards, and ener- gy is a component of that," Locke said. "We could imag- ine there might be some inter- est in doing some wind gen- eration of energy. We looked at our zoning ordinances and realized they didn't really ad- dress that." turbines include height, noise, safety and appearance. "Residential areas are the core of our community, so we're very careful in thinking about what people can do and not do," Locke said. "We're kind of sorting that out right now" Ross' report points out that rules that are too restrictive can limit turbine effective- ness. Setting a 120 -foot limit for turbine towers will allow most small wind turbines to maximize wind power, Ross wrote. But that's higher than many cities consider safe. In Bloomington, towers for wind generators are covered by the same ordinance that governs antennas, limiting height to 100 feet in industrial areas and 30 feet in residential neighborhoods. St. Louis Park officials are thinking about a maximum tower height of 70 feet in residential areas and 110 to 199 feet in non- residen- tial and commercial districts. Safety and noise concerns will be considered in drafting ordinances. "Anytime you have some- thing that's mechanical and moving, you have potential for noise,", Ross said. "My sense is that wind generators are pret- ty quiet, but we want to antic- One -acre mir in um lot size A draft ordinance likely will include a requirement that wind generators be installed only on lots at least an acre in size. Standards also likely will include specifications for set- backs, maintenance, lighting, design and productivity. Ross said wind generators tend to be quieter and safer than they once were. Some new turbines have automat- ic braking systems that turn them off if winds get too high. Ross said concern over "ice throve'— ice chunks suppos- edly hurled by spinning tur- bines in wintry weather — are "a non - issue:" He recently worked with Stearns County to update or- dinances because officials think there may be interest in building large wind farms there. That's a sign of how much more efficient wind generators have become and why cities are acting to update their ordinances, Ross said. "Interest has grown dramat- ically in places where you did not expect to see it;' he said. "Now homeowners are saying, 'Gee, I want a piece of this: " per- Nat- Mary lane Smetanka • 612 - 673 -7380 twin Cities S T A R T R I B U N E. C O M / L O C A L CONTACT THE STAFF lVN"eapolis Team leader - Larry Oakes 612- 673 -1751 larry.oakes@startribune.com Schools • Emily Johns 612 - 673 -7460 'emily.johns@startribune.com Reporter • Randy Furst 612- 673 -7382 ra n dy.f urst@startribune.com Public safety • David Chamm 612 - 673 -4465 david,chanen@startribune.com Courts • Rochelle Olson 612 - 673 -1747 rochelle.olson@startribune.com startribune.com Suburban police - Abby Simons 612-673 -4921 abby.simons@startribune.com City hall • Steve Brandt 612.673 -4438 steve.brandt@startribune.com West Subtabs Team leader • Sam Barnes 612- 673 -7840 - sam.barnes@startribune.com Hennepin Co. Mary lane Smetznka 612 - 673 -7380 maryjane.smetanka@startribune - - .com Reporter• Laurie Blake 612 - 673 -1711 laurie.blake@startribune.com Schools • Aimee Blanchette 612 - 673 -1715 ai mee. bl anc hette@ startribunexom Reporter • Heron Marquez Estrada 612 - 673 -4280, hme@ startribune.com West prep sports Team leader • Mike Rand 612 - 673-7564 michael.rand@startribune.com Reporter •Brian Stensaas 612- 673 -4127 brian.stensaas@startribune.com the Drafting rules for wind turbines W1 4D FROM AA1 Fitting the local terrain ipate what we are going to al Possible issues with wind low if we have a noisy one:' V N N N LM W tk N W C o N ai o J y G N o U) W o N v 0 a w bo o N W Y ^ o :b w N O aU-+ FQ pp' i-+ W U U b G cn h a z O c V] N A rn n N C N OA �' r O ^ w ^' v C Y N Y 0- C'. U cd U .3� cG `� U O 3 A C4 U N O.y 'd r a 'Y O 'O ° w T [j C b "Y�' Y U° N N Y 0 N ' v U bA 4 cd U. 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W m w a W s 2 `n W Q U U f/� .� �Y0 0 as �°' N ." y O N [/l fi "d �. SO � 0 Y �b U a Z o o o N W.e Cd C) - �a N o ao , Y -b O-q N -, Y'0 Y N W Z . v b U _ C 0cd3 v- CD _ N — �0 °H 3� ��3�0 A41 www.abcnewspapers.com 763 - 421 -4444 Friday, March 27, 2009 Page 13A xs AROUND THE COUNTY Locals wary of wind power in Anoka ■ Anoka has plenty of questions before to meet those standards. sensitive to that." a wind turbine is all owed in the city y t 's confident it will, said Two years ago the list of Boyles with a combination potential sites for a turbine Anoka. Avant Energy oper- of these 12 small -scale tur- was 36 locations long — but By MANDY MORAN FROEMMING ates MMPAs power plants bines combined with two that has been sincenarrowed Union Edit in Chaska and Faribault. commercial wind farms to a piece of city -owned When it comes to envi- "This is the most com- south of the Twin Cities. land at Sunny Acres. ronmentally friendly power petitive form of renewable But Councilmember Jeff Even though he has con - production, "green" is a energy there is," said Boyles. Weaver asked if Anoka is cerns about locating a tur- buzzword that is likely here "Wind is a natural resource required to participate in bine in Anoka, Rice said he to stay. Minnesota has." this wind energy program. has not heard any negative But most of the Anoka The city has known The answer was no. But feedback from the neigh - City Council has not been since last summer that the as an agency, it must find a bors. blown away by the idea,of agency is turning to wind way to meet.the renewable When the council ques- having a wind turbine in to fill future requirements power mandate ortherewill tioned Boyles about look - the community to get on for environmentally friendly be costs for all of the mem- ing at an alternate location, i„ ' '. 6 board. - energy production. her cities, said Boyles. lie said it was his impression "If we're building a wind- But as the council works "You will see it on your , bill in a negative way if we the Sunny Acres site had already been agreed upon d, +„rt,;1• �.:., mill that can't pay for itself to update city code to cope haven't met the standards," by the city. _ that's a waste of time and with this new technology, he said. } Park board chairman .r �.• ", ' ?;i5" ` energy," said Mayor Phil Rice during a March 16 some members have s[ntg_ gled to be convinced of its The visibility of the wind Steve Nelson was more sup - work session that included value. turbine did spark debate portive of the idea of bring - members of Anolca's parks Boyles told the council among the council and the townn a wind turbine to electric and planning com- that the turbines are part commission members. - - -- — missions. of a larger plan to meet the "We want people to see " We have a chance to be in a leadership role and While the council has not said it won't take a turbine, state mandate that by 2025 MMPA must produce 25 it and know about our coin- mitment to renewable ener- I hope we can find a way it has been asking a lot of percent of its energy f r om said Bo les. gY," Y to . set the example," said - " r Nelson. _ •.;.- questions about the future renewable resources. But locally, some dis- """ti • It would no doubt be a "" '" of wind power in the city. Nearly 19 percent of agreed with the message a - _ - charged issue because a tur- Avant Energy's David MMPAs current energy, wind turbine can send. pine could be located near This is the size ands le of refurbished wind turbine Boyles was in Anoka to supply is from renewable "I think there are already the Minnesota Munich al Power Ag ency would like People's homes, he Said. y explain more about the resources, which includes enough thingsin Anoka that to put up in each of its member cities. The turbines are expected Minnesota Municipal Power the purchase of hydroelec- really detract (fi the city's to stand 115 feet tall, which Agency's (MMPA) plan to put 12 wind turbines in its tric power from Manitoba, Canada. By 2012, the agen- image)," said park board member Mary Blankenship. includes the blade length of Zero interest federal clean The council has yet to member cities — including cy must have a plan in place "I really think we. should be 35 feet. renewable energy bonds. give final approval on a new According to MMPA, When asked by ordinance that will regulate each turbine will produce Councilmember Mark wind turbines within the "We le to it and know about 160 kilowatts — enough Freeburg about the return city, which will require a want p eop le 1J 1J see energy to power about 110 on investment. Boyles said conditional use permit. our commitment to renewable energy." homes. it will take 10 years for one The agency is planning of these wind turbines to DAVID BOYLES to purchase refurbished tur- pay for itself and the lifer- Mandy Mora: Froemining is at editor: Avant Energy bines at a cost of $300,000. pan of the refurbished units They will be paid for with is about 20 years. anokaunion @ecnr- inccoin Local ACD members go #iinnal with conservation a Nowthen 740)10 comp plan a . open house ..t A ■ Plan can be viewed on April 8 By KELLY JOHNSON . l I Staff Writer ------ ~ ~l:~' ~ ~ ~ ~ ~ i ~ ~, ; "."'''''''',,,'' ,'~"'"O.,.,,, .., ~ . ~ _.",c_,..".' i:o: ~,,""~c"',. ;.. ~ ~ " '" " " '" <> ~ <. " ~ " .Q::; ",'..,,'"'' ~ ~.",..,.,,,, ~ M.'....""'" ~ ...',,,....'" " + ~ ,".,""., z . .... ~,~.".,,'" " ~ .7,:;-;:; ~ .' ~~;:,~~ ~ ,.,.....,," '" ..... t; g;*~~$~~ g~~~ g ~~~~ ~ ~ ~ ~ (l) a.t q,":<<!~~~..q q,,":~q C":! 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