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HomeMy WebLinkAboutCC June 28, 2005 :j 1685 CROSSTOWN BOULEVARD N.W, . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER,MN.US City Council Workshop Tuesday, June 28, 2005 Conference Rooms A & B 1. Call to Order - Following EDA Meeting scheduled at 6:30 p,m. 2. Award BidJ05-18/Wintergreen Street NW & CSAH 20 Improvements - Engineering ~ ) 3. Review Public Works Site Expansion Phase II RFP/o4-55 - Engineering/Public Works 4. Discussion on Land Use Designation (Transitional Commercial/Industrial) 5. Park Study Update 6. Community Center Update - Administration 7. Other Business 8. Adjournment \ '-) @ ':~) CITY o F NDOVE 1685 CROSSTOWN BOULEVARD N.W, . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW,CI.ANDOVER.MN.US TO: Mayor and Council Members CC: Jim Dickinoon, City Admini,tmto,~ \) FROM: David D. Berkowitz, City Engineer SUBJECT: Award Bid/05-18/Wintergreen Street NW & CSAH 20 Improvements- Engineering DATE: June 28, 2005 INTRODUCTION /' '\ The 'City Council is requested to receive bids and award the contract for Project 05-18, 'J Wintergreen Street NW & CSAH 20 Improvements. DISCUSSION The project consists of construction of Wintergreen Street NW from County Road 20 to the north end of the Country Oaks West plat and turn lanelby-pass lane improvements on County Road 20 to access Country Oaks West and Birch Point Estates. This section of Wintergreen Street NW is identified as a State Aid route in the City's Transportation Plan. The bids received are as follows: Contractor Bid Amount C.W. Houle Inc. $422,107.35 Bauerly Companies $428,201.42 Universal Enterprises ofMid-MN Inc. $439,594.57 Park Canst. Co. $451,964.78 Hardrives Inc, $479,761.65 Forest Lake Contracting Inc. $505,316.85 Engineer's Estimate $527,445.78 BUDGET IMP ACT The project would be funded by assessments and Municipal State Aid Funds. City and developer ,/ '\ costs were identified in the feasibility report that was approved at the May 3, 2005 City Council \.J meeting. :J Mayor and Council Members June 28. 2005 Page 2 of2 ACTION REOUIRED The City Council is requested to approve the resolution accepting bids and awarding the contract to C.W. Houle Inc. in the amount of $422,107.35 for Project 05-18, Wintergreen Street NW & CSAH 20 Improvements. Respectfully submitted, Q~0. David D. Berkowitz , \ Attachments: Resolution./' \J cc: Scott Wold, Pentagon Holdings, LLC, 9457 State Hwy. 10, Ramsey, MN 55303 Larry Emmerich, 1341 - 161st Ave, NW, Andover \ 0 CITY OF ANDOVER / '\ COUNTY OF ANOKA ,,) STATE OF MINNESOTA RES. NO. MOTION by Council member to adopt the following: A RESOLUTION ACCEPTING BIDS AND AWARDING CONTRACT FOR THE IMPROVEMENT OF STREETS & STORM SEWER FOR WINTERGREEN STREET NW (NORTH OF 161sT AVENUE NWJ THROUGH COUNTRY OAKS WEST AND TURN LANE IMPROVEMENTS TO 161 I AVENUE NW ,PROJECT NO. 05-18. WHEREAS, pursuant to advertisement for bids as set out in Council Resolution No. 090-05 ,dated May 17, 2005, bids were received, opened and tabulated according to law with results as follows: C.W. Houle Inc. $422,107.35 Bauerly Companies $428,201.42 Universal Enterprises of Mid-MN Inc. $439,594.57 NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Andover to hereby accept the bids as shown to indicate C.W. Houle Inc. as being the apparent low bidder. '\ " ) BE IT FURTHER RESOLVED TO HEREBY direct the Mayor and City Clerk to enter into a contract with C.W, Houle Inc. in the amount of $422,107.35 for construction of the improvements; and direct the City Clerk to return to all bidders the deposits made with their bids, except that the deposit of the successful bidder and the next lowest bidder shall be retained until the contract has been executed and bond requirements met. MOTION seconded by Council member and adopted by the City Council at a special meeting this 28th day of June , 2005 , with Council members voting in favor of the resolution, and Council members voting against, whereupon said resolution was declared passed. CITY OF ANDOVER ATTEST: Michael R. Gamache - Mayor ~ Victoria Volk - City Clerk (J) , ~NDbVE~ ' ) 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304 . (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US TO: Mayor and Council Members ~ CC: Inn Dickinwn, City Admini'tmto~ Frank Stone, Public Works Supt. FROM: David D. Berkowitz, City Engineer SUBJECT: Review Public Works Site Expansion Phase II RFP/04-55 - Engineering/Public Works DATE: June 28, 2005 INTRODUCTION '. The City Council is requested to review the attached Request for Proposal (RFP) for Public Works 'J Site Expansion Phase II, Project 04-55. DISCUSSION At the April 26, 2005 City Council Workshop the Council directed staff to prepare a RFP for Public Works Site Expansion. Attached is a draft RFP for your review. ACTION REQUIRED The City Council is requested to review the draft RFP and give staff direction on how to proceed. Respectfully submitted, il (Jcv-~~ CO .~J2-M. David D. Berkowitz .. ) ,~ Attaclunents: Draft Request for Proposal , :DRi~~u " ) REQUEST FOR PROPOSAL PUBLIC WORKS SITE EXPANSION PHASE II (City Project No, 04-55) 1. BACKGROUND AND PROJECT DESCRIPTION The City of Andover will engage professional services to evaluate the City's Public Works facility site expansion and future needs to continue to provide high quality service. Attached is a layout of the City Campus. Parcel C and two residential properties have been purchased by the City. Parcel A and Parcel B are proposed to be acquired in the future. The following items are to be addressed: i) What are the current and future site needs in terms of facilities such as: . Salt Storage ,_/ . Material Storage for All Public Works Departments . Dump Station . Relocating the Recycling Center . Water Tower . Equipment Storage . Fueling Station . Vehicle Storage Building (100'X250') . Washing Station . Access Road to Nightingale Street NW . Future Community Center Parking . Etc, ii) How can the existing site be utilized more efficiency? iii) What space needs are likely in the future, based on the City's Comprehensive Plan, through 2020? iv) How can improvements be phased in utilizing the property that has been acquired and the timeframe for the future property acquisitions? v) Evaluate what expansion opportunities are available if the City acquires , \ the adjacent 20,34 acres. ) '_/ vi) What range of cost would be expected for the site expansion and new facilities? I H:IEngineeringlCity ProjectslOpen City Projectsl04-55 Public Works Expansion Phase 21Word DocumentslRFPlletter & rfp,doc vii) Submit a comprehensive site report and schematic layout (laB) formatF that shall include current and future needs. RAT /' ( ". 7 ',. , ) viii) Evaluate other City facilities that could utilize the additional sp~c~ th'at ,is " '- , not needed for Public Works expansion, such as ball fields, soccer/football fields, skate park or other governmental related facilities. The study may suggest other issues that need to be evaluated and it is expected that those issues will be addressed as part of this study. Information can be provided to the applicants to review including copies of the City's Codes, Comprehensive Plan, etc. A minimum of 4 meetings will be required . Kick off meeting with staff . Public Works Committee meeting . Final meeting with staff . City Council Workshop A minimum of twelve bound copies and one unbound copy of the proposal are required. 2. SUBMISSION REQUIREMENTS Please provide the following information as part of your submission: , , , A narrative relating to your general approach to this project. " ) . . An anticipated timeframe for the project. . Company history. . Examples of work in the past five years in government office space planning or analysis. . Examples of work in the past five years in site development and/or site expansion. . Resumes, including responsibilities, background and relevant experience of key personnel that will be working directly on this project. . The names of three to five individuals that can be contacted as references concerning the professional capabilities and resources of your firm. . Any additional information or materials that you believe communicate the capabilities of your firm to perform on this project 3, FEES Please submit the fee for your service on this project. The fee shall be submitted on a hourly basis with a not to exceed amount for the service provided. , '\ '-- j H:IEngineeringlCity ProjectslOpen City Projectsl04-55 Public Works Expansion Phase 21Word DocumentslRFPlletler & rfp,doc 4, SUBMISSION TIMEFRAME AND PROCESS DRAfT r l A, Submission Deadline and Requirements Please send twelve bound copies and one unbound copy of the response to this Request for Proposal. They are to be received at the offices of the City of Andover no later than 4:30 p.m., Proposals should be directed and delivered to: David D. Berkowitz, P.E. City Engineer City of Andover 1685 Crosstown Boulevard NW Andover. MN 55304 B. Selection Process Following review of the Request for Proposal by City staff, firms will be contacted for additional information or to participate in an interview process. We anticipate that interviews will be conducted during the week of , and that consideration of engaging professional services will be placed on the or _' meeting agenda for the City Council. This timeframe is a guideline and , may be subject to change. ,/ Any questions regarding this Request for Proposal should be directed to the City at (763)767-5133. \. , I H:IEngineeringlCity ProjectslOpen City Projectsl04-55 Public Works Expansion Phase 21Word DocumentslRFP~elter & rfp,doc 2 ~ - - I (11.1. 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GJ . . . . . . . . . . . . . a. ~ . . . . . . . . . . . . . t; '" 0 . . . . . . . . . . . . . . . . . . . . . . . . . . a. ~ . . . . . . . . . . . , . ~ ''to. e,) ~~ ~. t~l ' r:'l e" ' >- e, ,q IT! ~ o~ , -' ,r-- .. '0", w ca- ~e, U" "'~ i -<: . a.~ ---=;1 -- =----~- - ~ I (60 ~ 'ON O'IfOH A.LNnO:)) 'M'N .L33H1S 3Tv'E>NI.LHE>IN I ~ hill ... z . I :.. , , , ) I C) (] @ ,.. "- V 1685 CROSSTOWN BOULEVARD N,W, . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW,CI.ANDOVER,MN.US TO: Mayo, ",d Couo,,! Mombm ~ CC: Jim Dickinson, City Administrator FROM: Will Neumeister, Community Development DirectorM- SUBJECT: Discussion on Land Use Designation (Transitional CommerciallIndustrial) DATE: June 28, 2005 INTRODUCTION At a recent Council meeting the staff presented information related to how the Transitional Commercial Industrial land use designation was put on the City's Comprehensive Land Use 0 Plan. Attached are the minutes of a Council meeting from February 16, 1999 that indicated there were four Council members that were interested in giving one particular site that designation. There are four locations in Andover that have that designation on the land use map (attached is a map showing the locations). An excerpt from the current comprehensive plan defines what is meant by the term "Transitional Land Uses"; as well as "Transitional CommerciallLight Industrial": City of Andover Comprehensive Plan - Chapter Four 4. Transitional Land Uses Transitional land uses encompass areas where future land use may differ from that of the designated Zoning District. Transitional districts recognize the possibility for land use change in the future, but do not exempt development under current Zoning Guidelines, a. Transitional Commercial\Light Industrial (TC) Areas designated as TC, Transitional Commercial\Light Industrial are currently designated as residential in the Zoning Ordinance, but may potentially become commercial because of their proximity to existing commercial development or location along a major thoroughfare. Property designated as TC may develop as either residential or commercial under the rules of the Zoning Ordinance and Land Use Guide Plan. 0 DISCUSSION " " ) In discussions with the City Attorney, he has advised that properly following Zoning Case , law, a designation of this type on the Comprehensive Plan means that Council is willing to rezone the site to either commercial or light industrial. If the sites in Andover that have this designation are improperly designated, then the Council should discuss whether the plan is consistent with the intentions of the Council. If the plan is, not, then the staff should be directed to prepare a minor plan amendment to review them and process a land use change to a new designation that the Council would recommend. ACTION REQUESTED The Council is requested to discuss the issue of whether the four locations that have 'Transitional Commercial! Light Industrial" are in need of change on the Comprehensive Land Use Map. If Council is not comfortable with the current designation, then the process of making the needed changes should begin. Respectfully Submitted, W:fv..- Will Neumeister Attachment: / " Minutes of Feb. 16, 1999 Council Meeting '......) Land Use Map (11" x 17") '1 '-.J ( " , Regular Andover City Council Meeting Minutes - February 16, 1999 Page 12 er Feasibility/Approve Feasibility/1P98-19/14223 Quay Street, Continued) Councilmember I noted this expedites the project, especially when the report is done in house. The approvals are to me e legal requirements so the project can be assessed. He didn't have a problem with this procedure on minor projects. Mr. Erickson stated normally such reports are ordered at one meeting and approved at xt. This was a simple project. The house on this lot is for sale, and the desire is to have the assessm the lot before it is sold so those fees are on record. Motion by Orttel, Seconded by Johnson, to approve Items 26 and 27. (Res . n R049-99 ordering the feasibility report and R050-99 approving the feasibility report and ordering lie hearing forIP98-19/14223 Quay Street NW) Motion carried on a 4- Yes, I-No (Jacobson) vote. MAYOR/COUNCIL INPUT Potential commercial designation/Bunker Lake Boulevard and Crooked Lake Boulevard - Mr. ; Carlberg stated three landowners between Crooked Lake Boulevard and Gladiola along Bunker Lake ( , '. , Boulevard has requested a change in the land use from urban residential, R-4, to TCI - Transitional Commercial/Industrial. This would allow the lots to be developed as commercial in the future. With the reconstruction of Bunker Lake Boulevard, the decision would be whether to stub the properties for residential or potentially commercial development. He did contact five of the Comprehensive Plan Task Force members regarding the request. Two did not approve; three didn't have a problem with it. One property owner will proceed to have a single family home constructed if this request is not considered by the Council. The Council discussed the benefits of commercial development along that portion of Bunker Lake Boulevard, noting there are few other single family residences along that road, the desire to have a service road between Crooked Lake Boulevard and Heather, the negative impact the reconstruction of Bunker Lake Boulevard will have on the front yard of the lots, not wanting to see the single family homes converted into businesses as is often done in similar situations and raising the concern of another single family house in that area. A concern was with the "industrial" designation, though the hope was that this would develop as small offices and lighter uses, not high use commercial, especially because of the right-in, right-out situation that will exist at the Crooked Lake Boulevard intersection. Charlie Vieman explained that his intent was to sell his house and be able to get a nice little place for his wife that is all on one level. What he discovered was that his property is not worth what he thought; when the road is widened, his property will be worth $10,000 to $20,000 less. Now at 7 o'clock in the morning, the sound of the traffic disturbs his wife. The only alternative is to zone the , property as commercial to be able to recoup his investment. Dale Scott has been in a wheel chair , '-. " ; for a number of years, and he too would like to move to a place with one floor. The widening of the road will impact that property significantly. , '. . .' ~~ Regular Andover City Council Meeting Minutes - February 16,1999 Page 13 (Mayor/Council Input, Continued) Four of the five Councilmembers were interested in giving serious consideration to the request. < Council member Jacobson was generally opposed because of the amount of commercial along Bunker Lake Boulevard already. School speed zones - Mr. Erickson stated they have met with the county and the school. At the next meeting, the Council will be asked to support the reduction in the speed limit in front of the schools, which will then be passed on to the county. Length of meetings - Councilmember Jacobson was concerned with the timing of the meetings. The first item on the agenda this evening was not considered until 8:20. The Council felt that problem should be alleviated since the EDA will now be held on another night. No changes were made this evening. APPROVAL OF CLAIMS U The Council noted the claim to E & H Earth Movers, $91,899.20, must be removed from the list. Motion by Jacobson, Seconded by Johnson, to move the Claims with the exception as noted. Motion carried unanimously. Motion by Jacobson, Seconded by Knight, to adjourn. Motion carried unanimously. The meeting adjourned at 11 :23 p.m. Respectfully submitted, ~~UVL Marcella A. Peach Recording Secretary / "\ 0 - -- . . -. ... ...- .. . .._~.. ,... ~ C :>.'~ ~ co ,.... '11iiii ~ ~ >. :li"".,I"" C :>.'- . ,~ ... V'l a.. ,..... >. Q) ... .::. E u.... E \0"" co '-' ""O';;;Ul" .!i ::I 0:::: Q) en C:J.- ro ~ .::::: +oJ w cE"'~ ~ I C Cll Q) ~ ~,:!o~ ~ ~ C/l 0 u -=::.. z ;:"'C.!: <0 (,):::: Q) > l:'-. 0 ~ :f'~ ~ l;; ,~ 0 ; ('f') 0) Q) c::: ~ ._ ...J Q.) 'E E C5 .... ... 0 c: > .- '<T (/) Q) ~ _~]i]iE~~5'~~ ~, 0 Cll:O::: :J ~ "C UJ ,!!!'Cijic8';;;u(')"'E ~ C\l.cU n:J ~~ Q) en ~ ~~1l~~&~'8~8iii ~ ~ U~ 0 0.. > ~ ~ ~Ul",Ul",-Eoo ,- "'- Q)LU V'l L- o"O..c.....J l!) 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Todd Haas, Assistant City Engineer Lee Brezinka, Assistant City Finance Director $ SUBJECT: Park Dedication Study Update DATE: June 28, 2005 INTRODUCTION The Council had asked for staff to review the rate for park dedication and compliance with the previous study. Attached is an update to the study that was conducted in November, 2002. The nwnbers that have been used in the study reflect the end of year nwnbers from 2004. ~J DISCUSSION This update reflects the current status of improvements that have been made to the park system since 2002 and also accounts for increases in land and/or lot values. The study was also adjusted to include the proper wording related to the adopted "Rural Reserve Area". The original report had included figures related to the options that were being considered (i.e. two rural reserve areas). As a result of the updated information in this study, you will see that the park dedication fee is projected to increase to cover the anticipated improvements. If the rate does not change the only other option to consider is to change the anticipated improvements that will be completed or rely on tax levy. ACTION REOUESTED Staff will briefly present the updated study and ask for Council direction on whether to begin the process of implementing rate changes an updated study will reflect. The docwnent is a work in process and if Council would like to continue the discussion to another workshop before making a decision that is understandable. Rate changes of this type are usually done at the first of the year when other fees change, a review/update of the Park Study would need to be completed this fall to be reflected in the 2006 Fee Ordinance. . ') Attachment \.~I Updated Park Dedication Study :,j "DRAFT" MEMORANDUM TO: City Council CC: Jim Dickinson, City Administrator FROM: Will Neumeister, Community Development Director tUi-- Todd Haas, Assistant City Engineer Lee Brezinka, Assistant Finance Director L~ DATE: June 28, 2005 RE: Update to the Andover Park Dedication Study (NAC Performed in November, 2002) INTRODUCTION The, purpose of this memorandum IS to provide updated numbers and recommendations to the Council concerning park dedication standards and the ordinance amendments suggested to implement the Park Plan Chapter of the Comprehensive Plan. A large amount of the original report remains unchanged from --' " the original study done in 2003, ,--.J The City's existing park system has been developed based upon the current Comprehensive Plan (which describes land use, transportation, parks and community goals and objectives as well as demographic projections to the year 2020). Including the Rural Reserve Area which adds additional land to the City's urban service area, This update to the park dedication study addresses future park needs and dedication standards for the Rural Reserve Area. ISSUES I ANALYSIS Andover has been successful in acquiring land during the subdivision process to provide neighborhood and mini parks throughout the community. Athletic fields and other recreation improvements have been provided based upon a combination of City, School District and regional park facilities. The City is in a good position with respect to its park and recreation system in that the variety, location, number and facilities provided by the system exceed national guidelines, The existing Parks and Open Space Chapter of the Comprehensive Plan utilized both Metropolitan Council and National Recreation and Parks Association 1 Guidelines to develop the park system standards 1 National Recreation and Parks Association (NRPA) guidelines were utilized to analyze the park system by park type and the number of acres of parkland per 1,000 population because these guidelines were 0 utilized in the Park Chapter of the Comprehensive Plan. The NRPA is a professional association that provides accreditation programs for universities and advises national lawmakers on policy matters, programs and legislation related to public parks and recreation. "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 1 of 21 \ identified in the Comprehensive Plan. The current City park system exceeds the \"j national standards (based upon the number of acres of park land provided per 1 ,000 population), identified by the existing Comprehensive Plan, The City has provided parks throughout the community which allow residents good access to the system and there are a variety of recreational facilities to choose from including natural areas, linear parks, playgrounds and athletic facilities. Andover has also done an excellent job of mapping and maintaining an inventory of its park facilities and providing clear guidance through the Capital Improvement Project (CIP) process for implementation of future facilities, The purpose of this update to the park dedication study is to identify the cost or value of the Andover ultimate park system and distribute the costs of developing this system equitably to the existing and future households and land uses that benefit from the City's park system. The following points summarize the key issues that will affect the City's park system: 1. Andover is considering three future growth options, The 2020 MUSA will have a build out population of 39,000 people and 14,516 households. The City Council adopted a Rural Reserve Area, which is 1,020 acres in gross land area, However the net buildable area is estimated at 759 acres. This is as a result of all the low lyinQ area and the larQe amount of land area that will be needed for soils correctionllakeslstorm ponds. that is located between / \ Round Lake Boulevard. This yields results in a forecasted build out "J population that may reach 45.148 people and 16,793 households. 2. The community has done a good job of acquiring land for park and recreation purposes and providing equipmenUfacilities to serve the recreation needs of the City. The location and type of parks within the existing system exceed national standards (suggested by the National Recreation and Park Association), based upon the current population of 26,588 residents (2000 U,S, Census), 3, Based upon a staff review of the existing land areas which have been acquired or dedicated to the City over time, staff believes that about 65 acres of the 526 acres or about 12% of the total parkland will never be developed due to topography constraints such as steep slopes, wetlands and lakes. 4. The existing park system is predominantly comprised of smaller Mini and Neighborhood Parks which are located throughout the community, City staff have indicated that the number and proximity of smaller parks are expensive to maintain and as such, the City may choose to limit further acquisition of small park sites within the community in favor of larger Neighborhood Parks, 5. The 2000 U.S. Census data indicated that over 67% of the City's population is comprised of young residents between the ages of 5 to 44 years of age. Almost ~J 20% of the population is comprised of children under 10 years old, The Census figures indicate that the community has a large population of young active "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 2 of 21 , residents who typically generate park and recreation demands on the community. , ) ~- Considering the large number of children, teens and young adults, it is anticipated that park and recreation use will be strong for the foreseeable future. 6. As the community develops and lands within the Metropolitan Urban Service Area (MUSA) decline, future growth will occur in the rural service area and the density of development will ultimately decline. While the need for parks will continue to be strong, the financial resources that will be dedicated to the park system are expected to decline. The anticipated decreased density of development in the rural areas will result in a decline in the amount of park dedication fees that will be collected over the long-term. The land supply within the MUSA is limited and the cost of land for park acquisition is high. 7. The current City park system contains about 526 acres of parkland, which is divided into 62 separate park facilities, (including the 15 acre site located south of WDE Landfill). The total value of the park system based upon full build out (including existing and future planned facilities, land costs and ' 30% design/administration costs) approximates $35,890,796 dollars. The existing park system is valued at $25,320,735 dollars with approximately $10,570,061 dollars of future improvements to be constructed to complete the 2020 Comprehensive Plan park system. This does not include the rural reserve area. , " ) 8, The planned park system (based upon the 2020 Comprehensive Plan), is about 70.5% developed at this time and has been paid for by existing development (through taxes, Community Development Block Grants, other grants and park dedication fees, donations etc) , As the City is currently about 66% developed, (9,592 households based upon the June 1, 2005 estimate, out of the potential 14,516 projected 2020 build out households), existing development has already paid for over 70.5% of the total planned system, Future development should be responsible to pay for the remaining 29,5% ($10,570,000 dollars) plus a percentage of the existing system (including some facility upgrades and replacement), in order to provide for their proportionate share of the total system costs, This does not include the rural reserve area. STATUTE I CASE LAW The City authorized a park dedication study to be conducted by NAC in 2002 to review city regulations and dedication requirements to determine if current practices are adequately providing for existing and future anticipated park demands, This update to the original report will summarize the objectives of the current Park Plan chapter of the Comprehensive Plan and provide updated inventory information to establish a base line for future dedication needs, Factors including property valuation, service area needs, facility cost analysis, future development and implementation strategies will be reviewed, Recommendations will be set forth establishing mechanisms for the City to \ provide park facilities in a manner that meets Comprehensive Plan goals, establishes a '--) relationship between park need and development impact and that will build out the "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 3 of 21 " j system in an equitable manner, consistent with Minnesota Statutes and recent case law, It should be noted that this study excludes analysis of the community trail system. Minnesota Statutes - Park Dedication Minnesota Statutes 462.358 Subd. 2b, provides the enabling legislation that allows municipalities to extract parkland or cash dedications for park acquisition and development. The statute specifically provides: "that a reasonable portion of any proposed subdivision be dedicated to the public or preserved for conservation purposes or for public use as parks. recreational facilities. plaVQrounds. trails. wetlands. or open space," The statute further provides that the municipality may: a. choose to accept an equivalent amount in cash from the applicant for part or all of the portion required to be dedicated to such public uses or purposes based on the fair market value of the land no later than at the time of final approval, b, any cash pavments received shall be placed in a special fund by the municipality used onlv for the purposes for which the money was obtained, c. in establishing the reasonable portion to be dedicated, the regulations may consider the open space, park, recreational, or common areas and facilities which the applicant proposes to reserve for the subdivision, and , '. d. the municipality reasonably determines that it will need to acquire that portion of ) land for the purposes stated in Subd. 2b. as a result of approval of the subdivision, Collis v, Citv of BloominQton (1976) The statute described above was further interpreted by the case of Collis vs, City of Bloomington, In this case, the Minnesota Supreme Court upheld the constitutionality of Bloomington's Ordinance, which set forth a ten (10) percent park dedication requirement "as a general rule." The Court found for this particular case and developerlproject, that "as a general rule, it was reasonable for the City to require dedication of ten percent of land or payment of ten percent of the value of undeveloped land for park dedication." The Court noted that the ten percent requirement miQht be arbitrary as a matter of law because it does not consider the relationship between the particular subdivision and recreational need in the community. The Court was not, however, prepared to say that the ten percent requirement was unreasonable or arbitrary, (Letter from William G, Hawkins and Associates to Mr, Todd Haas, dated March 3, 1999). Dolan vs, TiQard (1994) The enabling legislation of Minnesota Statutes 462,358 Subd. 2b cited earlier in this report has been further influenced by case law. The U,S. Supreme Count (Dolan vs, Tigard) found that land use extractions must be reflective of a development impact on \ the infrastructure svstem, In this respect, park dedication extracted from a land use '--) must reflect the demand they generate for park and recreational facilities. This case "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 4 of 21 established that a rational nexus or relationship must exist between the fees charQed for . . parks and the related impacts that are qenerated bv the use. Kottschade vs, City of Rochester (1995) In this case, the Minnesota Court of Appeals noted that in the case of a dedication, the City is requiring a property owner to give up a constitutional right - the right to receive just compensation when private property is taken for a public purpose. In order to uphold a dedication requirement the City has the burden of provinQ the required relationship between the property development and the City's need for land dedication, To meet that burden. the City must prove that an "essential nexus" exists between the need for the land and the dedication requirement. If the nexus can be demonstrated. the City must also demonstrate a "rouqh proportionality" between the development and the City's dedication requirement. (Letter from William G, Hawkins and Associates to Mr. Todd Haas, dated March 3, 1999). In other words, the City must be able to prove that the proposed project will create a need for additional park facilities and that the amount of dedication required is roughly proportionate to the need that will be generated from the development. A precise mathematical calculation is not required, however, the City must demonstrate that an individualized determination has been made to support the land/cash dedication requirement. , City Attornev Comments - (Exhibit E, Letter from William G, Hawkins and Associates to , ~ . Mr. Todd Haas, dated March 3, 1999). "In a park dedication situation, the City must be able to prove two things, First, that the proposed development will create a need for additional park facilities, Second, the City must be able to prove that the amount of the dedication is roughly proportionate to the impact from the development. A precise mathematical calculation is not required; what is required is some sort of individualized determination, It should not be difficult for the City to meet the first or nexus part of the standard, Le., that the proposed subdivision will create the need for additional park facilities. However, it is my opinion that a unit charge for park dedication fees does not pass the second part of the test. A flat fee charge that is not based upon a community park plan and facilities analysis, does not provide an individualized determination that the amount of the charge is roughly proportionate to the need created by the development. The statute makes clear that a dedication must be reasonable and must be based on the fair market value of the land," PARK COMPREHENSIVE PLAN The City of Andover Comprehensive Plan including the Parks and Open Space Chapter, sets forth goals and objectives for the park system. The objectives of the plan are to: 1. Provide areas that meet present park needs and plan for future needs of the City. , , , . . "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 5 of 21 '~J 2, Maintain, upgrade and expand community recreational facilities and trail systems to serve all residents of the City. 3, Promote, protect, preserve and enhance the City's rural and open space and amenities, The City of Andover contains 62 parks (including the 15 acre site located south of the WDE Landfill), ranging in size from under 1 acre to over 130 acres. Anoka County operates two Regional Parks, Bunker Hills Regional Park and Rum River Central Regional Park that abut the City. Exhibit A, Park Service Area Map indicates the location of all of the existing parks and developable planned future parks within the City, The park system contains land areas that are designed to meet varying recreational needs of residents, The parks are classified according to factors including size, use, service area, location and site improvements, The Comprehensive Plan identifies the following parkland classifications: Mini Park, This type of park is intended to provide specialized facilities that serve a concentrated or limited population or specific group such as tots or senior citizens. Mini parks are typically located within neighborhoods and serve people living within less than X mile of the Mini Park and have an area of 2 acres or less, The Comprehensive Plan contemplates development of 20 Mini Parks (30 acres) throughout the City. ~J Neiqhborhood Park, This type of facility is intended to provide areas for intense recreational activities such as field games, courts, apparatus areas, skating, etc, The majority of the City parks fall into this classification, The service areas range from X to 1h mile and this type of facility is generally intended to serve a population of 4,000 to 5,000 people. Park sizes for existing Neighborhood Parks within the City range from 2.17 acres (Northwoods East Park) to almost 20 acres (Prairie Knoll Park), The Comprehensive Plan contemplates development of 33 Neighborhood Parks (approximately 254 acres) throughout the City, Linear Park. This type of facility is typically developed for one or more varying modes of recreational travel such as hiking, biking, skiing, canoeing etc, There is currently only one Linear Park within the City (Coon Creek Park). The park contains bituminous trails that follow Coon Creek between Hanson Blvd, NW and the Burlington Northern Railroad, Non-motorized uses including biking, hiking, roller blading and cross-country skiing are permitted in the park. Coon Creek Park contains 38 acres of land, Special Use Park. Special Use Parks are generally areas established to provide specialized or single purpose recreational activities such as golf course, nature center, marina, zoo, display gardens etc. The Round Lake and Crooked Lake Boat Landings are designated as Special Use Parks, Crooked Lake has a picnic shelter and play equipment; Round Lake contains no recreational equipment. 0 "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 6 of 21 ~J Undeveloped Parks. The City has a number of Undeveloped Parks where land has been dedicated or acquired but facilities have not yet been installed, The Undeveloped Park areas range from less than 1 acre to over 10 acres in size, Many of the areas contain wetlands and are unsuitable for active plan and/or recreational equipment. Larger areas may be suitable for future trail development. A total of 112 acres of land are owned by the City but are currently undeveloped. Of these acres, approximately 65 acres will likely not be developed due to topographic conditions and wetlands which leave approximately 47 acres of parkland to be developed in the future. Community Parks, The Comprehensive Plan includes both parks and playfields within this park classification. Community Parks are generally intended to provide areas of natural or ornamental quality for outdoor recreation activities including walking, picnicking, fields and court athletic activities, Three parks are designed for community use. These parks serve the City as a whole and typically include between 25 to 50 acres of land, Kelsey Round Lake Park and Coon Creek Park are both designated as a Community Parks. Sunshine and City Hall parks are designated as Community Playfields, Both are active use parks with recreational facilities designed for league play in baseball, softball, soccer and tennis. Kelsey Round Lake Park is a passive use park containing bituminous, gravel and wood chip nature trails, The City has about 218 acres of land currently developed for Community Park purposes, Reqional Parks, Two Regional Parks, (Bunker Hills Regional Park and Rum River , '\ Central Regional Park) are located adjacent to the City, Bunker Hills Regional Park is 'J located in the southwest corner of the City and extends into the adjacent cities of Blaine, Coon Rapids and Ham Lake, The park includes numerous recreation facilities such as picnic areas, playgrounds, camping, swimming, bituminous and hiking trails, Rum River Central Regional Park is located adjacent to the northwest corner of the City on the west bank of the Rum River in the City of Ramsey, Construction has begun on developing recreational activities and trails. Trails, The City is currently in the process of developing a comprehensive trail system for the community, As this planning is currently underway, the City requested that this park dedication analysis not include trails as part of the study. The study does however contain trail access for the individual parks, which is needed to comply with the ADA, Americans with Disabilities Act requirements. Open Space. The Comprehensive Plan identifies open space as a part of the overall park system. Open space is defined as areas set aside for the preservation of natural open spaces to counteract the effects of urban congestion and monotony, "Man~ new citizens cite Andover's natural amenities as a reason for moving into the City."2 As such, an objective of the Comprehensive Plan is to protect, preserve and enhance the open space character of the City, "- I 'J 2 City of Andover Comprehensive Plan - Chapter 8, "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 7 of 21 \ Unbuildable Parks, Within the existing park system, there are nine parks totaling 65 " / acres, currently shown on Exhibit C, Andover Park Facilities Chart and illustrated on Exhibit B, Andover Park Map that will not likely be developed due to the fact that the land dedication consists primarily of wetlands, lakes, or steep slopes and there is insufficient upland area to develop an active park, This unbuildable park land generally fills the classification of Mini and Neighborhood Parks. The specific parks and acreage are identified in Table 1. TABLE 1 UNBUILDABLE PARKS PARK NAME PARKS MAP PARK EXISTING NUMBER (1.0,) CLASSIFICATION ACRES Mini Parks Tulip Park 13 UM 1.85 Meadow Wood South 29 UM 0.45 Hartfields 32 UM 1.47 Subtotal Mini Parks Acreaqe 3,77 Neighborhood Parks Birch Ridqe 1 UN 13,99 Grow Oak View 8 UN 12.77 White Oaks 9 UN 9,30 Valley View 11 UN 8,74 \ ,) Redwood Park 45 UN 5,59 Shadowbrook West 47 UN 11,39 Subtotal Neighborhood Park Acreaae 61,23 Total Unbuildable Park Acreage 65.00 In addition to the stated park system objectives, the Comprehensive Plan also provides recommendations for park system acreage to accommodate community growth through 2020, Table 2 compares the Comprehensive Plan acreage recommended with the existing park system to illustrate where the City stands in relationship to its build out park system. TABLE 2 PARK TYPE COMP PLAN EXISTING PARK EXISTING SURPLUS! ACREAGE ACREAGE PARK DEFICIT** RECOMMENDATION GROSS ACRES ACREAGE NET BUILDABLE* Mini 30 30 26 - 3,77 Neighborhood 165 254 193 + 27.77 Common Park 358 174 174 - 184,00 Community 124 44 44 - 80,00 Playfields \ TOTAL 677 502 437 - 175,00 , '--' "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 8 of 21 ~/ '\ * These figures represent adjusted acres subtracting out unbuildable park acreages from Table 1. ,~) ** Surplus/Deficit represents Comprehensive Plan acreage recommendations minus existing park acreage net buildable. City staff indicated that although the existing parkland consists of a multitude of smaller Mini and Neighborhood Parks, the City may not continue acquisition of similar land in the future due to the high cost of maintenance associated with the dispersed locations of these parks within the community. The system is adequate to provide for lands within the projected MUSA boundary. The bulk of the lands outside of the ultimate MUSA are planned to develop with 2.5 acre residential lots. The acreage lots provide land area for private recreation purposes that is larger than that typically dedicated for mini parks (2 acres or less). As such, the City may choose to add additional property to some of the mini park areas or look to acquire neighborhood parks in the future. Table 2 and Exhibit A, Park Service Area Map, illustrates that as the City grows within the 2020 MUSA, the current Neighborhood Parks provide sufficient acreage and distribution to accomplish the Comprehensive Plan recommendations. Additional community parks and community playfields must yet be acquired and developed. ANDOVER PARK ACREAGE COMPARISON WITH NATIONAL STANDARDS The existing park system was further analyzed in terms of the service area per 1,000 / '\ population guidelines established by the National Recreation and Park Association. 0 The U.S. Census (2000) population figure of 26,588 was used to evaluate the park system acreage. The following table indicates that the City currently exceeds the park acres per 1,000 population guidelines in all park categories with the exception of Community Parks where the current system is about 2 acres short. It should be noted that the park acreages listed in the "Existing Park Acres" column in Table 3 represent the amount of acres of park owned by the City and net buildable park acres. However, even when the existing unbuildable acres are deleted, the existing park system still has more park acres than suggested by the National Recreation and Park Association Guidelines. TABLE 3 PARK TYPE SERVICE NRPA EXISTING PARK NRPA AREA1 STANDARD2 ACRES SUGGESTED GROSS BUILDABLE ACRES3 Mini Park y.. Mile .38 acl1000 30 26 10 Neighborhood Park y..-Y2 3 acl1000 254 193 81 Mile Community Park 2 Mile 6.5 acl1000 174 174 176 Community Plavfield 2 Mile 2.25 acl1000 44 44 61 Total Acres 502 437 328 Metropolitan Council Guideline (Park Facility Service Area) 2 National Recreation and Park Association Guidelines (Acres of Park per 1,000 Population) \ 3 National Recreation and Park Association Guidelines (Based upon 2000 Census Population of 26,588) ,-) "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 9 of 21 '. \ 'oJ COMMUNITY GROWTH The City's existing and future population and household growth will be compared to City park system value estimates to provide a proportionate park dedication fee. The Andover 2020 Comprehensive Plan forecasts a 2020 population of approximately 39,000 people in 14,516 households. This anticipated future development is in both the 2020 MUSA and the City's Rural Reserve Area. Andover's 2000 household count of 8,205 represent approximately 56% of the City's 2020 household forecast. The estimated June 1, 2005 household count of 9,592 represents approximately 66% of the City's 2020 household forecast. As a requirement of Metropolitan Council approval of Andover's 2020 Comprehensive Plan, the City is undertook a Rural Reserve Area Study that identified a Rural Reserve Area for potential future urban growth beyond the current 2020 MUSA. The Rural Reserve Area which was approved as a future growth area is indicated on Exhibit A, Park Service Area Map (as 1,020 gross acres). However the net buildable area is estimated at 759 acres. This is as a result of all the low Iyin~ area and the lar~e amount of land area that will be needed for soils correction/lakes/storm ponds. that is located between Round Lake Boulevard. This results in a forecasted build out population that may reach 45,148 people and 16.793 households. Table 4 illustrates the population and household estimates of the City \ based upon 2000 U.S. Census data, 2020 population and household projections cited in 'J the Transportation Chapter of the Comprehensive Plan, and projections for the Rural Reserve Area to determine total community build out population. TABLE 4 ANDOVER POPULATION AND HOUSEHOLD ESTIMATES POPULATION HOUSEHOLDS 2000 Census 26,588 8,205 June 1, 2005 31,461 9,592 2010 Estimate 33,007 12,091 2020 Estimate 39,000 14,516 Rural Reserve Area (6,148) 45,148 (2,277) 16,793 This update to the park dedication study will rely on the following demographic statistics. The City will have a 2020 population of 39,000 people and a 2020 household count of 14,516 according to the City's Comprehensive Plan. The addition of the Rural Reserve Area yields the following forecasts to population and households: The Rural Reserve Area has approximately 1,020 gross acres of land, assuming a density of 3.0 units per acre. This will generate 2,277 households. At an average of 2.7 '- ) people per household, this will result in a build out population of 6,148 people. The rural reserve area demographic forecasts in addition to the 2020 forecasts will provide "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 10 of 21 , Andover with a City-wide build out population of 45,148 people and a household count , . ~ of 16,793. The June 1, 2005 estimate of population and households indicates that we are at 80% of this build out population and 66% of the build out households. This does not include the Rural Reserve Area in the calculation. RURAL RESERVE AREA PARK NEEDS Tables 5 and 6 illustrate the park needs for the Rural Reserve Area. Table 5 illustrates the NRPA guidelines for park land acres per 1,000 population and acreage by park type. \ ,_J "' \ ,----j "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 11 of 21 / TABLE 5 , \. J RURAL RESERVE AREA PARK LAND NEEDS PARK ACRES PER 1,000 POPULATION PARK TYPE NRPA' AREA 1 RURAL RESERVE STANDARD BUILD OUT AREA PARK POPULATION ACREAGE (1,000s) NEEDED Mini .38/1,000 9.6 4 acres Neiqhborhood 3/1,000 9.6 29 acres Community 6.5/1,000 9.6 63 acres Community 2.25/1,000 9.6 22 acres Plavfield TOTAL 118 acres NRPA National Recreation and Park Association (Standards #Iacre per 1,000 population). Based on national standards and the City's forecasted population, the City has sufficient acreage of Mini and Neighborhood Parks to meet future demand. However, the location of existing Mini and Neighborhood Parks do not provide service area coverage for either of the rural reserve study area. The addition of Neighborhood Parks will be required to meet the location and park service area needs of the Rural Reserve Area for future urban growth. / \ There will also be a need to provide additional Community Park and Community '- .I Playfield facilities to the system to accommodate the future growth from the Rural Reserve Area. When development occurs in the Rural Reserve Area, the City will need to add 63 acres of Community Park and 22 acres of Community Playfields. Based upon the Comprehensive Plan Soil and Slope Map, there are substantial areas within the Rural Reserve Area that contain restricted soil types and therefore the potential locations for additional playfields are limited. The information in Table 6 illustrates the number of parks anticipated to be needed to provide park and recreation service to the Rural Reserve Area, (utilizing National Recreation and Park Association Guidelines). TABLE 6 NUMBER AND TYPE OF PARKS NEEDED FOR POTENTIAL RURAL RESERVE AREAS Park Type Park Size' Rural Reserve Area # Parks Needed Mini Park 2 acres 2 Neiqhborhood Park 18 acres 2 Community Park 40 acres 2 Community Playfield 40 acres .5 National Recreation and Park Association Guideline (Average Park Size per Park Type) . \ , "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 12 of 21 r , PARK DEDICATION ANALYSIS - RAW LAND VALUE VS. VALUE AT FINAL PLAT Pursuant to State Statute, the City can collect park dedication based upon the value of land at the time of final plat. The value should include raw land value plus the value from lots created by final plat approval. The land value at final plat should comprise the retail value of the lot less improvement costs. Residential developers were contacted to identify typical lot improvement costs (assuming an 80 foot wide lot), associated with single-family subdivisions. Typical improvement costs for single-family developments consist of utilities, roads, grading, engineering, area connection charges and fees, which approximate 48% of the total vacant lot sales price. The developers that were contacted also indicated that a development must yield a minimum 20% retail value added per lot to be a viable project. For illustration purposes, the following table provides an example breakdown of land values as they relate to the collection of park dedication based upon raw land value versus the value of land at the time of final plat. TABLE 7 PARK DEDICATION / RAW LAND VS VALUE AT FINAL PLAT LAND RAW LAND VALUE VALUE AT FINAL PLAT , Typical vacant lot sales price $100,000 $80,000 placre \ , - Typical development costs for utilities etc. (48% lot sales price) - 48.000 Or Lot cost + 20% Retail Value $ 52,000 $40.000 pIlot * X 10% Park Dedication Fee X 10% X 10% Park Ded. Park dedication collected at the time of final plat $ 5,200 $4,000 per unit * Based upon 2 units per acre The application of park dedication at the time of final plat, based upon the retail value of the lots, results in an equitable dedication policy in that the same value will be applied regardless of whether cash or land is required from a development project. RESIDENTIAL PARK DEDICATION ANALYSIS Exhibit C, Andover - Park Facilities Chart identifies the park sites pursuant to the City Parks Map. The name and address of each park including existing and future acres, facilities and values are also identified. City Staff provided the list of facilities and corresponding cost estimates. The park system analysis included a land use review to determine the service areas for the existing parks and to identify the proportion of existing and future development that will impact the system. As stated earlier, the current park areas are spread throughout the community and are relatively evenly distributed. Many of the existing parks are located in areas of the community where future development will occur and as such, a proportion of the park infrastructure should be paid for by new development. In fully developed areas in the southern part of the City, improvements to existing parks should be and have been paid for by current / " development within the service area of the specific park facility. "-_/ "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 13 of 21 ~J City Staff provided a list of existing and future planned park facilities, which was used to establish the value of the existing park system and to identify costs reasonably expected to complete the future park system based upon full build out contemplated by the 2020 Comprehensive Plan. It should be noted that the information contained herein is the best estimate of future facilities that can be made at this time and that the specific facilities and dollar figures may be subject to change/revision as time goes by and market conditions fluctuate. See Exhibit D, City of Andover 2004 Existing and Future Park Facilities Chart for reference. Based on the estimated value of the complete 2020 park system, Table 8 illustrates that the park system is 70.5% developed and has been paid for by existing development through taxes, park dedication donations, grants etc. Future development will benefit from the infrastructure that is currently in place and as such, should be responsible to pay a proportionate share for replacement of the existing system. A major component of the park system is land and to determine present land values for Andover, recent sales indicated that the average value for land within the MUSA approximates $57,500 per acre and average land value in the rural service area approximates $37,950 per acre. The Anoka County Assessor's database was utilized to establish the land value for park areas that contain a large percentage of wetland or lakes (generally the 65 acres of parkland that staff believes will not be developed due to topographic constraints). (J The Andover Comprehensive Park Plan recommends 358 acres of Community Park and 184 acres of Community Playfield by 2020 as illustrated in Table 2. The City will need to add 18 acres of Community Park and 80 acres of Community Playfield to fulfill the Comprehensive Plan recommendations. The inclusion of the Rural Reserve Area will also generate demand for 63 acres of additional Community Park and 22 acres of additional Community Playfields. The Rural Reserve Area is not adequately served by Neighborhood and Mini Parks. The recommendation of this report is for the City to plan a 22 acre Community Playfields and two additional Neighborhood Parks to accommodate the additional population that will be added from the Rural Reserve Area. Table 8 illustrates the values of the planned park system based upon the current Comprehensive Plan and the future development of the Rural Reserve Area along with the recommendation to add one additional Community Playfield (similar to the Sunshine Park complex) and two Neighborhood Parks to the system. To calculate the values of the existing and future system, staff utilized the City of Andover Directory of Parks, City Capital Improvements Plan, and research of facility vendors as well as comparable improvements within the City. A list of the future facility acquisitions and values is attached as Exhibit D, City of Andover 2004 Existing and Future Park Facilities Chart. ~ "DRAFT" - June 28, 2005 City of Andoyer Park Dedication Report 14 of 21 ~) TABLE 8 PARK SYSTEM ESTIMATED VALUE BASED ON COMPREHENSIVE PLAN & RURAL RESERVE Total Park System Estimated Value of %of Estimated Value of Future % of Value Existing Park Facilities Total Park Facilities Total $35,890,796 $25,320,735 70.5% $10,570,061 29.5% $40,074,394 '.L.O $25,320,735 63% $14,753,659'.2.3 37% , Rural Reserve Area - Two additional Neighborhood Parks needed at a total cost of $1,247,598 2 One Additional Community Playfield (similar to the City Hall complex) at a total cost of $2,936,000 3 Includes costs of improvements City wide of $1 0,570,061 Park dedication is collected as conditions of subdivision approval. In this respect, the park land dedication fee is estimated on the basis of new housing units or households. Currently, the City has completed approximately 70.5% of its 2020 park system based estimated value and future improvements. As described in pages 10 and 11 of this report, shows the actual household count, compared to the amount of parks that have been built already. This indicates that the current park system is over built for its current population and has capacity to accommodate future growth. Future household growth should pay an equitable share in providing the City's ultimate park system. To determine the equitable distribution of future park system value to residential units, the ultimate system value is divided by projected household counts.. Table 9 provides park dedication fees per unit based on different park improvement assumptions and the , '\ additional land area in the Rural Reserve Area. '.J TABLE 9 PARK VALUE AND DEDICATION FEE W/1 ADDITIONAL COMMUNITY BALLFIELD COMPLEX Total Estimated # Housing Units Park Dedication Fee System Value Per Unit 2020 $35,890,796 14,516 - $2,473 Rural $40,074,394' 2 16,793 = $2,386 . Reserve Area *Rural Reserve Area - households added to 2010 Census Data , Rural Reserve Area - Two additional Neighborhood Parks needed at a total cost of $1 ,247,598 2 One Additional Community Playfield (similar to City Hall Complex) at a total cost of $2,936,000 Table 9 assumptions illustrate the inclusion of one Community Playfield. Exhibit F provides a comparison of park land fees from other metropolitan communities. The suggested fees in Table 9 are high when compared with neighboring communities of Blaine, Anoka, and Coon Rapids. However, the fees are in line with some of the larger, fast-growing communities such as Brooklyn Park, Eden Prairie, and Plymouth. The City Council will need to select both the park system development option and . '\ growth options that best suits the City of Andover to determine the park dedication fee. ,J "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 150f21 ~) Table 9 represents the preferred park dedication option. The per unit charge outlined in Table 9 above, assumes that all of the land area needed for the park system will be in place by the year 2006 with the exception of one additional Community Playfield (similar to the City Hall Complex) and two Neighborhood Parks (planned for the Rural Reserve Area growth). The current system and future planned improvements are consistent with the 2020 Comprehensive Plan Land Use Plan. It is fair to assume that the park system will likely continue to be upgraded in the future to maintain the user capacity of the system. The $2,473 dollar per unit charge should reasonably cover the costs for complete development of the system and carrying costs through system build out. With the incorporation of the Rural Reserve Area, the residential park dedication charge could be reduced to $2,386 dollars per unit. The charge of $2,473 dollars per residential unit is the level of funding that will need to be generated to provide for the planned park system for Andover, based upon implementation of the plan with the lands and facilities described in Exhibit D, City of Andover 2002 Existing and Future Park Facilities Chart, which are based upon the Comprehensive Park Plan. The $2,473 dollar figure takes into account the park service areas (% of park need associated with new vs. existing development), existing and projected costs for the park system, desig n/adm i nistrative costs and future population/household projections and is therefore our best estimate of park need per unit. It is important to note that the City should re-evaluate the system value; current land values and system needs on a periodic basis and adjust the park dedication > '", accordingly. City Staff suggests that park facilities costs be reviewed and updated \.,J annually based upon the Engineering News Record Cost Index. The City may desire to adjust the park dedication per residential unit based upon formal adoption of the rural reserve area pursuant to the rate of $2,386 per unit. Park maintenance and future improvements above and beyond those identified in Exhibit D should not be financed using park dedication funds. The operational and future improvement costs must be budgeted within the City's general funds with costs shared by all community residents. COMMERCIAUINDUSTRIAL PARK DEDICATION ANALYSIS Minnesota Statutes and recent case law have identified that Cities must now be able to articulate and justify dedication requirements on a project-by-project basis. Cities have the burden of determining that the park dedication requirement is related to the park benefit that will be derived due to the development. Individualized determinations must be made for each project and the City has the responsibility to demonstrate that there is a reasonable relationship between the dedication requirement and the park needs generated by the development. As illustrated in Exhibit F, many metropolitan communities have a commercial! industrial park land dedication. The general issue in establishing a commercial! industrial park ~~ land fee is establishing a nexus between commercial and industrial use and the benefit they receive through the City's park system. In the case of Andover, City staff has "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 16 of 21 \ indicated that the City has no commercial or industrial league programs, with the \. --) exception of a couple of local bar/restaurant sponsored tournaments. In this respect, there is no empirical data that currently illustrates a direct park benefit to the commercial and industrial properties exists or does not exist. There are discussions that suggest that there is intrinsic benefit to all land uses from a quality park system related to quality of life within a community. The issue at hand is to determine the proportionate need that commercial/industrial developments generate for the community park system. The current City park dedication requirement for commercial/industrial projects is 10% which is the same as the requirement for residential projects containing up to 3 units per acre. For example, the current dedication requirement equates the park impact of 10 acres of commercial/industrial land to 51.6 residential units or (139 people). The following formula illustrates the relationship of the current commercial/industrial park dedication requirement to residential development: $120,000 per acre (C/lland value) x 10% (park dedication requirement) = $12,000 i '\ $12,000 dollars x 10 acres = $120,000 + $2,325 (current park dedication ,,-~ feelresidential dedication equivalent) = 71 residential units 51.6 units x 2.7 persons per household = 139 people As the City Staff have indicated that there is some tournament play use of athletic fields it is reasonable to state that commercial/industrial developments have some benefit from the City park system. It is likely that employees of local businesses use parks for lunch breaks, walking and/or recreating. The question is, does the commercial development generate the same need on the park system as an equivalent residential development? The proportionate benefit is unknown for the City of Andover, due to the lack of information about the degree to which the commerciallindustrial developments use the system. If the City desires to continue collection of commerciallindustrial park dedication fees it is suggested that the City consider establishing a fee structure that approximates charges of other similarly situated communities and/or modify the percentage of dedication associated with commerciallindustrial projects. Table 12 illustrates commercial park dedication fees which are currently charged by other developing communities. If the City implements a commercial/industrial park dedication, the residential unit fee may be reduced. , \ , '-J "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 17 of 21 \ '__ J J COMMUNITY Blaine Brookl n Park Cham lin Chaska Coon Ra ids Eden Prairie Ma Ie Grove Shako ee SUMMARY . Case law and Minnesota Statutes provide that dedication requirements can only be applied to facilities that will be impacted by the specific project. Future park dedication fees cannot be utilized to improve 'or maintain existing park and trail systems in fully developed neighborhoods unless a correlation can be made between the new development and park use. However, park dedication fees can be used to replace or upgrade equipment within City parks. . The current park system has more land and facilities than is needed to serve the ,-j current population based on national park per capita standards. The existing system provides for more land acreage per 1000 population than is required (based upon National Recreation and Park Association guidelines). . The City of Andover is planning for future growth in the Rural Reserve Area. If the City holds to its 2020 MUSA, the projected population is 39,000 with a household count of 14,516. The 2000 population and household represents 68% of 2020 population on 56% of the 2020 household count. With the inclusion of the rural reserve areas in the future MUSA, the build out population may reach 45,148 and the household count may reach 16,793. . In the event that the City extends the MUSA pursuant to the Rural Reserve Area on Exhibit A, Park Service Area Map, additional facilities and land will be needed to accommodate the projected future population. . A minimum of one additional Community Playfield (comparable to the current City Hall complex) is recommended if the MUSA is expanded. When the Rural Reserve Area is developed, two additional Neighborhood Parks will be needed and a total projected system value of $40,074,394 is anticipated. A park dedication fee of $2,386 per residential unit would be needed to provide for all of the facilities (including 2 additional Neighborhood Parks and 1 additional Community Playfield, / '\ comparable to the City Hall complex). 0 "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 18 of 21 r The amount of cashlland dedication required from new development must be , . , '- . proportional to the need that the project will generate on the park and trail system. Minnesota Statutes also provide that park dedication may be based upon the value of land at the time of final plat. As Table 7 indicates, the value of land at the time of final plat is generally higher than raw land value. . It is recommended that the City consider amending its Subdivision Ordinance to change Section 9.07.1 to delete reference to "equivalent amount in cash based upon the undeveloped land value of that portion of said land that would have otherwise been required to be dedicated" and to add "Park cash contributions are to be calculated and established based on land value at time of final plat." . The total planned park system is estimated to cost $35,890,796 dollars, based upon the 2020 Comprehensive Plan, land values, current and projected facility costs. . Using the current (June 1, 2005) estimated household count represents 66% of its 2020 build out, the City has about 70.5% of the 2020 park system in place. The park system is in place and has been paid for by existing development through taxes, park dedication, donations, grants, etc. . As illustrated in Tables 9, the City's residential park dedication fees will depend on " the City Council's decision on future park improvements and community growth .... ...--') options. Table 9 represents the recommended residential park dedication fee. . With the exception of additional land that may be needed to accommodate potential expansion of the MUSA, (Rural Reserve Area illustrated on Exhibit A, Park Service Area Map, the land acquisition for the park system is reasonably expected to be completed by the end of 2006. Provided the planned improvements are installed by that time, the system is reasonably expected to provide for community needs through the year 2020. . The current policy of the City to charge commercial and industrial developments the same proportion of park dedication as is charged to residential projects containing up to 3 units per acre, should be further reviewed by the City Council. If the City desires to charge park dedication fees for commercial and industrial development, it is suggested that the fee amount should approximate that charged by other similarly situated communities and/or that the percentage should be reduced to less than 10%. If the City implements a commercial industrial park dedication fee, then the residential fee should be reduced to reflect a proportional distribution of costs. RECOMMENDATIONS 1. In 2003, the City updated its Subdivision Ordinance to incorporate the Minnesota Statute language specifying that land value (for the purpose of calculating park , " dedication) will be determined based upon the value of the land at the time of final I plat. ,----/ "DRAFT" - June 28, 2005 City of Andoyer Park Dedication Report 19 of 21 2. The current park system and plan is consistent with the Comprehensive Plan Land Use Plan and as such, the park dedication fee structure for new residential developments should be based upon the analysis provided for in Table 9. Based upon this analysis, a park dedication fee of approximately $2,473 dollars per residential unit should be instituted to cover build out cost of the City's planned park system and to develop one additional community playfield. A periodic review of land values and facility costs should be done to ensure that the park dedication fee remains current based upon market conditions. Staff recommends that the Engineering News Record Cost Index (ENR Cost Index) be utilized as the source to annually update facility values to account for inflationary factors. 3. The Subdivision Ordinance should be amended to provide an alternative to the developer to conduct an individualized study for the subdivision to determine park needs, should there be a question as to the applicability of the residential unit fee. The following language is suggested: If the applicant or developer does not believe that the estimates contained in the City fee schedule (pursuant to this park dedication analysis) fairly and accurately represent the effect of the subdivision on the park or trail system of the City, the applicant or developer may request that the City prepare an in-depth study of the effect of the subdivision on the park and trail system and an estimate of that effect in money and/or land. All costs of said study shall be borne by the developer or . I applicant. If the developer or applicant requests the preparation of such a study, no application for development submitted shall be deemed complete until the study has been completed and a determination is made as to the appropriate amount of land or money necessary to offset the effects of the subdivision. Based upon past experience, no developer has requested a special study to determine individual subdivision impacts to a municipal park system to date. In the event that a developer requests a special study, all costs of the study would be paid for by the developer. The study would consist of an analysis of the park system to define the improvements needed to complete the affected facilities. The analysis would include a review of the specific impacts the development project would have on the planned park facilities, current land value, current facility costs and other pertinent information. The resulting costs of the land and facilities needed to provide for the development project would be estimated and assigned accordingly to the development project. The recommended park dedication fees are based on the costs identified in Exhibit D. 4. The City should consider incorporating park redevelopment infrastructure planning as part of the 5-year Capital Improvements Plan. Minnesota Statutes specify that park dedication fees may not be used for maintenance purposes and therefore it is important for the City to continue to provide a separate budget fund for maintenance. " In conferring with the City Attorney, it is possible to use park dedication fees for new ; or replacement of facilities. However, any park improvements above those identified "DRAFT" - June 28, 2005 City of Andoyer Park Dedication Report 20 of 21 " \ in Exhibit D will need to be financed outside of the park dedication funds. As the 'J park system ages, there will be an increased need to retrofit existing facilities, as they will have aged beyond their useful life in the older parks. Park dedication fees can be used to replace some facilities and infrastructure however, the City may need to establish other sources to pay for replacement of the park system facilities in full developed neighborhoods or park service areas. 5. The City has accepted a number of Mini and Neighborhood Park areas (65 acres or 12% of the total parkland), in the past which are not developable due to topographic and natural features constraints. To avoid this situation in the future, the City should consider amending its Subdivision Ordinance to identify the type of land that will be acceptable for parkland dedication, should the community decide to acquire additional land. The following language is suggested: To be eligible for park dedication credit, land dedicated is to be located outside of drainage ways, or pond areas. Grades exceeding twelve (12) percent or areas unsuitable for park development shall not be considered for dedication as defined by the City Engineer. Parkland to be dedicated shall be above the ordinary high water level as approved by the City Engineer. 7. The City should further evaluate its commercial/industrial park dedication standards to determine the proportional need that said uses place on Andover's park system. \ In the event that the City chooses to continue the commercial/industrial park J dedication, the residential dedication fee should be reduced accordingly. 8. In the event that the City is contemplating park improvement upgrades, facility or equipment replacement in the future that have not been identified in Exhibit D, the City should include these improvements in the Capital Improvement Plan and budget for these improvements in the City's general funds. These improvements should not be funded out of the park dedication fees. Attachments: Exhibit A: Park Service Area Map <not included at this time) Exhibit B: Andover Parks Map <not included at this time) Exhibit C: Andover - Park Facilities Chart <not included at this time) Exhibit D: City of Andover 2004 Existing and Future Park Facilities Chart Exhibit E: Letter from William G. Hawkins and Associates to Mr. Todd Haas, dated March 3, 1999 <not included at this time) Exhibit F: Survey of Park Dedication Fees <not included at this time) ,J "DRAFT" - June 28, 2005 City of Andover Park Dedication Report 21 of 21 @ :J 1685 CROSSTOWN BOULEVARD N.W. . ANDOVER, MINNESOTA 55304. (763) 755-5100 FAX (763) 755-8923 . WWW.CI.ANDOVER.MN.US , TO: Mayor and Councilmembers FROM: Jim Dickinson, City Administrator SUBJECT: Community Center Update DATE: June 28, 2005 A verbal presentation relative to the Community Center will accompany the following topics: 1. Project Completion Schedule: The most recent schedule is attached (Exhibit 1) for the Council's reference. " -...J 2. Hanson Boulevard Access Update: Staff met with the Anoka County Highway Department (ACHD) and the School District on June 8th to discuss the 154th Avenue & Hanson Boulevard traffic signal project, the % intersection at Bluebird and Hanson and the turn lane for the Community Center. ACHD will take the lead on designing the improvements. All three projects will be designed, bid and built as one large project. If the % intersection at Bluebird does not move forward, the ACHD will be prepared to construct a permanent median at Bluebird as part of this project. On Monday, June 13th ACHD installed barrelslbarricades at Bluebird to prevent left turn movements. These will stay in place until the final improvements are complete. The construction of the project is expected to begin in early September. Hanson will be opened to traffic during construction so that access to the Community Center, Oak View Middle School, local businesses and other surrounding areas will remain. 3. Landscaping and Irrigation The City of Andover Parks Department will be completing the landscaping and irrigation project for the Community Center. You may recall when the project was originally bid the Council rejected the bids (budget was $95K, lowest bid was $130K) and directed staffto review other options. With the City taking control of this portion \ ofthe project, costs can be contained and the Parks Department has the opportunity to ,J showcase their talents. I have attached (Exhibit 2) the budget currently being used, please note that the budget amount was reduced from the $95K to $85K. "' 4. North End of City Hall: ',,) As part of the Community Center project, the Parks Department and Facility Management will be performing some landscaping and cosmetic improvements to improve the look of the north end of City Hall. Thanks to our resident landscape architect, Will Neumeister, for leading the landscape design for this project. This will be an opportunity for the City to utilize some residual materials from other City projects and funding is available in the Facility Management budget to complete the improvements. 5. Community Center Project Budget: Handouts will be provided at the meeting to provide the Council a budget progress report, an update on the project contingency and an update on project funding. 6. YMCA Sublease Agreement Update: Administration is currently working on the "Confirmation of Turnover and Punch List" format as described in the sublease. This item is a key document that will need to be worked out with the YMCA to trigger the rent commencement date. \ Administration is currently working on preparing a detailed statement indicating the .I monthly and annual estimates of the YMCA's proportionate share of common area costs. This statement, pursuant to the sublease, is due on or before September 1, 2005. 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BClI> ....c:c:~.-Ill ILU ctu) U)<.J,~ rom ffi lll~ ~ .-0.... l1l(llo.....:eo u. uc: c o:{-"CIIl._:: '-~ E c: '- -_.=:Ul~X._1Il1tI G.l .- we: t;......... f: ~~ ~ ~~~~~~~~'~~iig L5~; L3~ :~-g ~:~~~ ~~ 's ~ i ~ cn B .~ ~ ~ ~I g ; ~ 5 i ~ ~ .~ :~ ~ 'f ~ ~ ~ !2 .~ i ~ ~ ~I ~ ~ ~ ~ .~I g ~ ~ ~ ~ lU 1S .~ m ~ ~ f '~ 'is 'E 'Ei ~ $ g .E .2 ~ ~ ~ 1 ~ ~ 'E ~ ~ 0 ~ : ~ ~ .... .~ (ij ~ 'g ~ ~ t= 8 1ii1 '; :e :s ~ "U U -5 ,g 8 g ~ : := il '0 2 '"... g ~ " _... g 3: 8 .... :Sl ~ _ ~.f! 0 "0 .2 ~ 11l 5 ~ ,g ~ ~ Q _ 11. ..J ~I i: !!l i3 u ~ ..Q 0 'E I;: I;: ~ In ~ - .:;: In ~.~ ..J 2 ffi ~.~ ...J ~ I;: E -I g ~ C ~ .2 5: .... .~ Q) i3 u C - .;:: :J .~ , ~ ~~~~~~~gi.!Q)Q)1ii~"5t5c~ ~~~c~ ~~Q)~~c~ z.g;~~~~~~~~~c~ )' 0 "'tE~S;:~olll_=~~_.-o :::::ElUC: "'_octlc I-pEE=ctlc Ocuo>2cuES;:~==::::ctlc '. ./ ~ ~ til ~ :g ~ :g .g ~ ~ ~ B B .f; ~ ~ ~ ~ ~ ~I B ~ ,f; .g ~ E ~ 5 rl 8 .g ~ E b3:E ~ "* ~ E 8 ~ :g ~ ~ ~ ~ t (:) Cl lL" ~ ' ~ ' "(/) , , 1 '" >- ID > o u c <( EXh~b .t ~ 6/24/2005 \ Community Center Irrigation & Landscape Budget Irrigation lines and controls $30,000.00 Rentals $3,000.00 Plantings $15,000.00 Flag poles $5,000.00 Furnishingslbenches/etc. $9,000.00 Sod/seed $18,000.00 Electrical $2,500.00 Site signage - County Highway $2,500.00 $85,000.00 - , , , i Page 1 ~&..& Andover I YMCA Community Center ~ 6/28/2005 Sources and Uses & -,;J 'if-O~ Sources: ~J Bond Proceeds $ 19,580,000.00 Less: Discount $ 478,329.25 Debt Service Reserve 722,570.00 Issuance Fees 71,709.24 Recording Fees 1,394.65 (1,274,003.14) Net Bond Proceeds 18,305,996.86 Interest Income (to date) May 04 2,415.83 Jan 05 154,450.91 Apr 05 264.71 Projected Add'l 44,000.00 201,131.45 Bonded Proceeds 18,507,128.31 Other Projected Sources High School Team Room Lease 189,000.00 CDBG Grant 157,038.55 Total Other Projected Sourc.es 346,038.55 Total Sources Available 18,853,166.86 Uses: " " Community Center Budget 18,450,000.00 \.....) High School Team Rooms 189,000.00 Total Construction Budget 18,639,000.00 Balance $ 214,166.86 Budget ActuallProiected Diff Outside ofproject budget - PennitlSACfW AC * $ 65,000.00 $ 100,501.98 $ (35,501.98) Architectural Fees - Printing & Reimbursables ** 10,352.00 II 0,000.00 (99,648.00) Testing & inspections overage 35,000.00 45,000.00 (10,000.00) Owner furniture & fixtures 37,700.00 49,868.30 (12,168.30) Cost issues being priced (estimated) *** - 35,000.00 (35,000.00) Miscellaneous - 10,000.00 (10,000.00) Total (202,318.28) 0 Net Available 11,848.58 * Original Met Council estimate ** Plan printing was do to the number of bidders and rebidding. *** Includes: Trash enclosure, rooftop unit painting, concrete spillways, data cabling. . (U,~ h;)f-OS' ~J N Q; R "(, H Wi E; S: t A S; Sf Q; C; ~~, t ~ Q; C;Qi~,S;U; t.lA N,,('S~, I,~, C;., _ __N_.__' - --- 5775 Wayzata Boulevard, Suite 555, St. Louis Park, MN 55416 Telephone: 952.595.9636 Facsimile: 952.595.9837 planners@nacplanning.com MEMORANDUM TO: Todd Haas FROM: Alan Brixius / Deb Garross DATE: November 7,2002 RE: Andover - Park Dedication Study FILE NO: 111.06 INTRODUCTION The purpose of this memorandum is to provide recommendations to the City of Andover concerning park dedication standards and the ordinance amendments suggested to ~) implement the Park Plan Chapter of the Comprehensive Plan. The City's existing park system has been developed based upon the current Comprehensive Plan (which describes land use, transportation, parks and community goals and objectives as well as demographic projections to the year 2020). The City is currently conducting.a Rural Reserve Study which may result in a future Comprehensive Plan amendment adding additional land to the City's urban service area. The park dedication study also addresses future park needs and dedication standards for the two potential rural reserve areas. ISSUES I ANALYSIS Andover has been successful in acquiring land during the subdivision process to provide neighborhood and mini parks throughout the community. Athletic fields and other recreation improvements have been provided based upon a combination of City, School District and regional park facilities. The City is in a good position with respect to its park and recreation system in that the variety, location, number and facilities provided by the system exceed national guidelines. The existing Parks and Open Space Chapter of the Comprehensive Plan utilized both Metropolitan Council and National Recreation and Parks Association 1 Guidelines to develop the park system standards identified in the Comprehensive Plan. The current City park system exceeds the 1 National Recreation and Parks Association (NRPA) guidelines were utilized to analyze the park system by park type and the number of acres of parkland per 1,000 population because these guidelines were ~) utilized in the 1999 Park Chapter of the Comprehensiye Plan. The NRPA is a professional association that provides accreditation programs for universities and advises national lawmakers on policy matters, programs and legislation related to public parks and recreation. City of Andover Park Dedication Report 1 of 22 . national standards (based upon the number of acres of park land provided per 1,000 . , population), identified by the existing Comprehensive Plan. The City has provided parks throughout the community which allow residents good access to the system and there are a variety of recreational facilities to choose from including natural areas, linear parks, playgrounds and athletic facilities. Andover has also done an excellent job of mapping and maintaining an inventory of its park facilities and providing clear guidance through the Capital Improvement Project (CIP) process for implementation of future facilities. The purpose of this study is to identify the cost or value of the Andover ultimate park system and distribute the costs of developing this system equitably to the existing and future households and land uses that benefit from the City's park system. The following points summarize the key issues that will affect the City's park system: 1. Andover is considering three future growth options. The 2020 MUSA will have a build out population of 39,000 people and 14,516 households. As part of the Rural Reserve Study, two additional growth areas are being considered in addition to the 2020 MUSA. If Rural Reserve Area 1 (1,020 acres) is selected, the forecasted build out population may reach 48,639 people and 18,086 households. If Rural Reserve Area 2 (1,293 acres) is selected, the forecasted build out population may reach 51,220 people and 19,042 households. 2. The community has done a good job of acquiring land for park and recreation . , purposes and providing equipment/facilities to serve the recreation needs of the City. The location and type of parks within the existing system exceed national standards (suggested by the National Recreation and Park Association), based upon the current population of 26,588 residents (2000 U.S. Census). 3. Based upon a staff review of the existing land areas which have been acquired or dedicated to the City over time, staff believes that about 65 acres of the 545 acres or about 12% of the total parkland will never be developed due to topography constraints such as steep slopes, wetlands and lakes. 4. The existing park system is predominantly comprised of smaller Mini and Neighborhood Parks which are located throughout the community. City staff has indicated that the number and proximity of smaller parks are expensive to maintain and as such, the City may choose to limit further acquisition of small park sites within the community in favor of larger Neighborhood Parks. 5. The 2000 U.S. Census data indicates that over 67% of the City's population is comprised of young residents between the ages of 5 to 44 years of age. Almost 20% of the population is comprised of children under 10 years old. The Census figures indicate that the community has a large population of young active residents who typically generate park and recreation demands on the community. Considering the large number of children, teens and young adults, it is " anticipated that park and recreation use will be strong for the foreseeable future. City of Andover Park Dedication Report 2 of 22 ,~ ) 6. As the community develops and lands within the Metropolitan Urban Service Area (MUSA) decline, future growth will occur in the rural service area and the density of development will ultimately decline. While the need for parks will continue to be strong, the financial resources that will be dedicated to the park system are expected to decline. The anticipated decreased density of development in the rural areas will result in a decline in the amount of park dedication fees that will be collected over the long-term. The land supply within the MUSA is limited and the cost of land for park acquisition is high. 7. The current City park system contains about 545 acres of parkland, which is divided into 59 separate park facilities, (including the 15 acre site located south of WDE Landfill). The total value of the park system based upon full build out (including existing and future planned facilities, land costs and 30% design/administration costs) approximates $35,178,322 dollars. The existing park system is valued at $22,168,389 dollars with approximately $13,009,933 dollars of future improvements to be constructed to complete the 2020 Comprehensive Plan park system. 8. The planned park system (based upon the 2020 Comprehensive Plan), is about 63% developed at this time and has been paid for by existing development \ (through taxes, Community Development Block Grants, other grants and park , dedication fees, donations etc). As the City is currently only about 56% "/ developed, (8,200 households based upon the 2000 Census out of the potential 14,516 projected 2020 build out households), existing development has already paid for over 63% of the total planned system. Future development should be responsible to pay for the remaining 37% ($13,009,933 dollars) plus a percentage of the existing system (including some facility upgrades and replacement), in order to provide for their proportionate share of the total system costs. STATUTE I CASE LAW The City authorized this study to be conducted by NAC to review current regulations and dedication requirements to determine if current practices are adequately providing for existing and future anticipated park demands. This Report will summarize the objectives of the current Park Plan chapter of the Comprehensive Plan and provide updated inventory information to establish a base line for future dedication needs. Factors including property valuation, service area needs, facility cost analysis, future development and implementation strategies will be reviewed. Recommendations will be set forth establishing mechanisms for the City to provide park facilities in a manner that meets Comprehensive Plan goals, establishes a relationship between park need and development impact and that will build out the system in an equitable manner, consistent with Minnesota Statutes and recent case law. It should be noted that the City U requested that this study exclude analysis of the community trail system therefore this aspect of the community park and recreation system will not be analyzed. City of Andover Park Dedication Report 3 of 22 Minnesota Statutes - Park Dedication . Minnesota Statutes 462.358 Subd. 2b. provides the enabling legislation that allows municipalities to extract parkland or cash. dedications for park acquisition and development. The statute specifically provides: "that a reasonable portion of any proposed subdivision be dedicated to the public or preserved for conservation purposes or for public use as parks. recreational facilities. plaYQrounds. trails. wetlands. or open space." The statute further provides that the municipality may: a. choose to accept an equivalent amount in cash from the applicant for part or all of the portion required to be dedicated to such public uses or purposes based on the fair market value of the land no later than at the time of final approval, b. any cash payments received shall be placed in a special fund by the municipality used only for the purposes for which the money was obtained, c. in establishing the reasonable portion to be dedicated, the regulations may consider the open space, park, recreational, or common areas and facilities which the applicant proposes to reserve for the subdivision, and d. the municipality reasonably determines that it will need to acquire that portion of land for the purposes stated in Subd. 2b. as a result of approval of the subdivision. . Collis v. City of BloominQton (1976) The statute described above was further interpreted by the case of Collis vs. City of Bloomington. In this case, the Minnesota Supreme Court upheld the constitutionality of Bloomington's Ordinance, which set forth a ten (10) percent park dedication requirement "as a general rule." The Court found for this particular case and developer/project, that "as a general rule, it was reasonable for the City to require dedication of ten percent of land or payment of ten percent of the value of undeveloped land for park dedication." The Court noted that the ten percent reauirement miQht be arbitrary as a matter of law because it does not consider the relationship between the particular subdivision and recreational need in the community. The Court was not, however, prepared to say that the ten percent requirement was unreasonable or arbitrary. (Letter from William G. Hawkins and Associates to Mr. Todd Haas, dated March 3, 1999). Dolan vs. Tiaard (1994) The enabling legislation of Minnesota Statutes 462.358 Subd. 2b cited earlier in this report has been further influenced by case law. The U.S. Supreme Count (Dolan vs. Tigard) found that land use extractions must be reflective of a development impact on the infrastructure system. In this respect, park dedication extracted from a land use must reflect the demand they generate for park and recreational facilities. This case established that a rational nexus or relationship must exist between the fees charQed for parks and the related impacts that are Qenerated by the use. " City of Andover Park Dedication Report 4 of 22 : ) Kottschade vs. City of Rochester (1995) In this case, the Minnesota Court of Appeals noted that in the case of a dedication, the City is requiring a property owner to give up a constitutional right - the right to receive just compensation when private property is taken for a public purpose. In order to uphold a dedication requirement the City has the burden of provinq the required relationship between the property development and the City's need for land dedication. To meet that burden. the City must prove that an "essential nexus" exists between the need for the land and the dedication requirement. If the nexus can be demonstrated, the City must also demonstrate a "rouqh proportionality" between the development and the City's dedication requirement. (Letter from William G. Hawkins and Associates to Mr. Todd Haas, dated March 3, 1999). In other words, the City must be able to prove that the proposed project will create a need for additional park facilities and that the amount of dedication required is roughly proportionate to the need that will be generated from the development. A precise mathematical calculation is not required, however, the City must demonstrate that an individualized determination has been made to support the landlcash dedication requirement. City Attornev Comments - (Exhibit E, Letter from William G. Hawkins and Associates to Mr. Todd Haas, dated March 3, 1999). "In a park dedication situation, the City must be :) able to prove two things. First, that the proposed development will create a need for additional park facilities. Second, the City must be able to prove that the amount of the dedication is roughly proportionate to the impact from the development. A precise mathematical calculation is not required; what is required is some sort of individualized determination. It should not be difficult for the City to meet the first or nexus part of the standard, Le., that the proposed subdivision will create the need for additional park facilities. However, it is my opinion that a unit charge for park dedication fees does not pass the second part of the test. A flat fee charge that is not based upon a community park plan and facilities analysis, does not provide an individualized determination that the amount of the charge is roughly proportionate to the need created by the development. The statute makes clear that a dedication must be reasonable and must be based on the fair market value of the land." 1999 PARK COMPREHENSIVE PLAN The City of Andover Comprehensive Plan including the Parks and Open Space Chapter, sets forth goals and objectives for the park system. The objectives of the plan are to: 1. Provide areas that meet present park needs and plan for future needs of the City. 2. Maintain, upgrade and expand community recreational facilities and trail systems to serve all residents of the City. ~J City of Andover Park Dedication Report 5 of 22 3. Promote, protect, preserve and enhance the City's rural and open space and amenities. The City of Andover contains 59 parks (including the 15 acre site located south of the WDE Landfill), ranging in size from under 1 acre to over 130 acres. Anoka County operates two Regional Parks, Bunker Hills Regional Park and Rum River Central Regional Park that abut the City. Exhibit A, Park Service Area Map indicates the location of all of the existing parks and developable planned future parks within the City. The park system contains land areas that are designed to meet varying recreational needs of residents. The parks are classified according to factors including size, use, service area, location and site improvements. The Comprehensive Plan identifies the following parkland classifications: Mini Park. This type of park is intended to provide specialized facilities that serve a concentrated or limited population or specific group such as tots or senior citizens. Mini parks are typically located within neighborhoods and serve people living within less than ~ mile of the Mini Park and have an area of 2 acres or less. The Comprehensive Plan contemplates development of 20 Mini Parks (30 acres) throughout the City. Neiahborhood Park. This type of facility is intended to provide areas. for intense recreational activities such as field games, courts, apparatus areas, skating, etc. The . majority of the City parks fall into this classification. The service areas range from ~ to % mile and this type of facility is generally intended to serve a population of 4,000 to 5,000 people. Park sizes for existing Neighborhood Parks within the City range from 2.17 acres (Northwoods East Park) to almost 20 acres (Prairie Knoll Park). The Comprehensive Plan contemplates development of 33 Neighborhood Parks (approximately 254 acres) throughout the City. Linear Park. This type of facility is typically developed for one or more varying modes of recreational travel such as hiking, biking, skiing, canoeing etc. There is currently only one Linear Park within the City (Coon Creek Park). The park contains bituminous trails that follow Coon Creek between Hanson Blvd. NW and the Burlington Northern Railroad. Non-motorized uses including biking, hiking, roller blading and cross-country skiing are permitted in the park. Coon Creek Park contains 38 acres of land. Special Use Park. Special Use Parks are generally areas established to provide specialized or single purpose recreational activities such as golf course, nature center, marina, zoo, display gardens etc. The. Round Lake and Crooked Lake Boat Landings are designated as Special Use Parks. Crooked Lake has a picnic shelter and play equipment; Round Lake contains no recreational equipment. Undeveloped Parks. The City has a number of Undeveloped Parks where land has been dedicated or acquired but facilities have not yet been installed. The Undeveloped Park areas range from less than 1 acre to over 10 acres in size. Many of the areas ., contain wetlands and are unsuitable for active plan and/or recreational equipment. City of Andover Park Dedication Report 6 of 22 \ Larger areas may be suitable for future trail development. A total of 98 acres of land are '. j owned by the City but are currently undeveloped. Of these acres, approximately 65 acres will likely not be developed due to topographic conditions and wetlands which leave approximately 33 acres of parkland to be developed in the future. Community Parks. The Comprehensive Plan includes both parks and playfields within this park classification. Community Parks are generally intended to provide areas of natural or ornamental quality for outdoor recreation activities including walking, picnicking, fields and court athletic activities. Three parks are designed for community use. These parks serve the City as a whole and typically include between 25 to 50 acres of land. Kelsey Round Lake Park and Coon Creek Park are both designated as a Community Parks. Sunshine and City Hall parks are designated as Community Playfields. Both are active use parks with recreational facilities designed for league play in baseball, softball, soccer and tennis. Kelsey Round Lake Park is a passive use park containing bituminous, gravel and wood chip nature trails. The City has about 245 acres of land currently developed for Community Park purposes. Reaional Parks. Two Regional Parks, (Bunker Hills Regional Park and Rum River Central Regional Park) are located adjacent to the City. Bunker Hills Regional Park is located in the southwest corner of the City and extends into the adjacent cities of Blaine, Coon Rapids and Ham Lake. The park includes numerous recreation facilities such as / \ picnic areas, playgrounds, camping, swimming, bituminous and hiking trails. Rum River '- ) Central Regional Park is located adjacent to the northwest corner of the City on the west bank of the Rum River in the City of Ramsey. Construction has begun on developing recreational activities and trails. Trails. The City is currently in the process of developing a comprehensive trail system for the community. As this planning is currently underway, the City requested that this park dedication analysis not include trails as part of the study. The study does however contain trail access for the individual parks, which is needed to comply with the ADA, Americans with Disabilities Act requirements. Open Space. The Comprehensive Plan identifies open space as a part of the overall park system. Open space is defined as areas set aside for the preservation of natural open spaces to counteract the effects qf urban congestion and monotony. "Many new citizens cite Andover's natural amenities as a reason for moving into the City."2 As such, an objective of the Comprehensive Plan is to protect, preserve and enhance the open space character of the City. Unbuildable Parks. Within the existing park system, there are nine parks totaling 65 acres, currently shown on Exhibit C, Andover Park Facilities Chart and illustrated on Exhibit B, Andover Park Map that will not likely be developed due to the fact that the land dedication consists primarily of wetlands, lakes, or steep slopes and there is . '\ insufficient upland area to develop an active park. This unbuildable park land generally . J '----/ 2 City of Andover Comprehensive Plan - Chapter 8, pg. 4 of 9, Draft Copy - December 1999. City of Andover Park Dedication Report 7 of 22 fills the classification of Mini and Neighborhood Parks. The specific parks and acreage . are identified in Table 1. TABLE 1 UNBUILDABLE PARKS PARK NAME PARKS MAP PARK EXISTING NUMBER (I.D.) CLASSIFICATION ACRES Mini Parks Tulip Park 13 UM 1.85 Meadow Wood South 29 UM 0.45 Hartfields 32 UM 1.47 Subtotal Mini Parks Acreaqe 3.77 Neighborhood Parks Birch Ridqe 1 UN 13.99 Grow Oak View 8 UN 12.77 White Oaks , 9 UN 9.30 Valley View 11 UN 8.74 Redwood Park 45 UN 5.59 Shadowbrook West 47 UN 11.39 Subtotal Neiqhborhood Park Acreaoe 61.23 Total Unbuildable Park Acreaae 65.00 " In addition to the stated park system objectives, the 1999 Comprehensive Plan also provides recommendations for park system acreage to accommodate community growth through 2020. Table 2 compares the Comprehensive Plan acreage recommended with the existing park system to illustrate where the City stands in relationship to its build out park system. TABLE 2 PARK TYPE 1999 COMP PLAN EXISTING PARK EXISTING SURPLUSI ACREAGE ACREAGE PARK DEFICIT** RECOMMENDATION GROSS ACRES ACREAGE NET BUILDABLE* Mini 30 30 26 - 3.77 Neiqhborhood 165 254 193 + 27.77 Common Park 358 174 174 - 184.00 Community 124 72 72 - 52.00 Plavfields TOTAL 677 530 465 - 212.00 * These figures represent adjusted acres subtracting out un buildable park acreages from Table 1. ** SurpluslDeficit represents 1999 Comprehensive Plan acreage recommendations minus existing park acreage net buildable. ", City of Andover Park Dedication Report 8 of 22 , "' '--~ City staff indicated that although the existing parkland consists of a multitude of smaller Mini and Neighborhood Parks, the City may not continue acquisition of similar land in the future due to the high cost of maintenance associated with the dispersed locations of these parks within the community. The system is adequate to provide for lands within the projected MUSA boundary. The bulk of the lands outside of the ultimate MUSA are planned to develop with 2.5 acre residential lots. The acreage lots provide land area for private recreation purposes that is larger than that typically dedicated for mini parks (2 acres or less). As such, the City may choose to add additional property to some of the mini park areas or look to acquire neighborhood parks in the future. Table 2 and Exhibit A, Park Service Area Map, illustrates that as the City grows within the 2020 MUSA, the current Neighborhood Parks provide sufficient acreage and distribution to accomplish the Comprehensive Plan recommendations. Additional community parks and community playfields must yet be acquired and developed. ANDOVER PARK ACREAGE COMPARISON WITH NATIONAL STANDARDS The existing park system was further analyzed in terms of the service area per 1,000 population guidelines established by the National Recreation and Park Association. The U.S. Census (2000) population figure of 26,588 was used to evaluate the park system acreage. The following table indicates that the City currently exceeds the park acres per 1,000 population guidelines in all park categories with the exception of , ) Community Parks where the current system is about 2 acres short. It should be noted that the park acreages listed in the "Existing Park Acres" column in Table 3 represent the amount of acres of park owned by the City and net buildable park acres. However, even when the existing unbuildable acres are deleted, the existing park system still has more park acres than suggested by the National Recreation and Park Association Guidelines. TABLE 3 PARK TYPE SERVICE NRPA EXISTING PARK NRPA AREA' ST ANDARD2 ACRES SUGGESTED GROSS BUILDABLE ACRES3 Mini Park X Mile .38 acl1000 30 26 10 Neighborhood Park X-Y2 3 acl1000 254 193 81 Mile Community Park 2 Mile 6.5 acl1000 174 174 176 Community Playfield 2 Mile 2.25 acl1000 72 72 61 Total Acres 530 465 328 , Metropolitan Council Guideline (Park Facility Service Area) 2 National Recreation and Park Association Guidelines (Acres of Park per 1,000 Population) 3 National Recreation and Park Association Guidelines (Based upon 2000 Census Population of 26,588) . '\ 0 City of Andover Park Dedication Report 9 of 22 COMMUNITY GROWTH , The City's existing and future population and household growth will be compared to City park system value estimates to provide a proportionate park dedication fee. The Andover 2020 Comprehensive Plan forecasts a 2020 population of approximately 39,000 people in 14,516 households. This anticipated future development is in both the 2020 MUSA and the City's rural service areas. Andover's 2000 household count of 8,205 represent approximately 56% of the City's 2020 population forecast. As a requirement of Metropolitan Council approval of Andover's 2020 Comprehensive Plan, the City is undertaking a Rural Reserve Area Study that identifies two options for potential future urban growth beyond the 2020 MUSA. The two additional rural reserve areas under consideration are indicated on Exhibit A, Park Service Area Map as Area 1 (1,020 gross acres) and Area 2 (1,293 gross acres). Table 4 illustrates the population and household estimates of the City based upon 2000 U.S. Census data, 2020 population and household projections cited In the Transportation Chapter of the Comprehensive Plan, and projections for either of the two potential MUSA expansion areas to determine total community build out population. TABLE 4 ANDOVER POPULATION AND HOUSEHOLD ESTIMATES POPULATION HOUSEHOLDS ~ , 2000 Census 26,588 8,205 2010 Estimate 33,007 12,091 2020 Estimate 39,000 14,516 Rural Reserve Area #1 (9,639) 48,639 (3,570) 18,086 Rural Reserve Area #2 (12,220) 51,220 (4,526) 19,042 This park land dedication study will rely on the following demographic statistics. The City will have a 2020 population of 39,000 people and a 2020 household count of 14,516 according to the City's Comprehensive Plan. If the City selects either of the rural reserve areas for future MUSA expansion, the following forecasts will be applied. Area 1 has approximately 1,020 gross acres of land, assuming a density of 3.5 units per acre. This will generate 3,570 households. At an average of 2.7 people per household, this will result in a build out population of 9,639 people. The rural reserve area demographic forecasts in addition to the 2020 forecasts will provide Andover with a City-side build out population of 48,639 people and a household count of 18,086. The 2000 demographic estimates represent 54% of this build out population and 45% of the build out households. Area 2 has approximately 1,293 gross acres of land, assuming a density of 3.5 units per acre. This will generate 4,526 households. At an average of 2.7 people per household, '" this will result in a build out population of 12,220 people. Rural Reserve Area 2 City of Andover Park Dedication Report 10 of 22 , " \ forecasts, in addition to the 2020 demographic forecasts, will provide Andover with a '__J City-wide build out population of 51,220 people and a household count of 19,042. The 2000 demographic estimates represents 52% of this build out population and 48% of the build out households. RURAL RESERVE AREA PARK NEEDS Tables 5 and 6 illustrate the park needs for both of the rural reserve areas. Table 5 illustrates the NRPA guidelines for park land acres per 1,000 population and acreage by park type. TABLE 5 RURAL RESERVE AREA PARK LAND NEEDS PARK ACRES PER 1,000 POPULATION PARK TYPE NRPA' AREA 1 AREA 1 AREA 2 AREA 2 STANDARD BUILD OUT PARK BUILD OUT PARK POPULATION ACREAGE POPULATION ACREAGE (1,OOOs) NEEDED (1,000s) NEEDED Mini .38/1,000 9.6 4 acres 12.2 5 acres Neiahborhood 3/1,000 9.6 29 acres 12.2 37 acres Community 65/1,000 9.6 63 acres 12.2 80 acres Community 2.25/1,000 9.6 22 acres 12.2 28 acres ~J Plavfield TOTAL 118 acres 150 acres 1 NRPA National Recreation and Park Association (Standards #Iacre per 1,000 population. Based on national standards and the City's forecasted population, the City has sufficient acreage of Mini and Neighborhood Parks to meet future demand. However, the location of existing Mini and Neighborhood Parks do not provide service area coverage for either of the two rural reserve study areas. The addition of Neighborhood Parks will be required to meet the location and park service area needs of the rural reserve area selected by the City for future urban growth. There will also be a need to provide additional Community Park and Community Playfield facilities to the system to accommodate the future growth from either rural reserve selected for future MUSA. Depending which rural reserve area is selected, the City will need to add either 63 or 80 acres of Community Park and either 22 or 28 acres of Community Playfields. Based upon the Comprehensive Plan Soil and Slope Map, there are substantial areas within both Rural Reserve Area 1 and 2 that contain restricted soil types and therefore the potential locations for additional playfields are limited. The information in Table 6 illustrates the number of parks anticipated to be needed to \J provide park and recreation service to the two rural reserve areas, (utilizing National Recreation and Park Association Guidelines). City of Andover Park Dedication Report 11 of 22 . TABLE 6 NUMBER AND TYPE OF PARKS NEEDED FOR POTENTIAL RURAL RESERVE AREAS 1 AND 2 Park Type Park Size' Area 1 Area 2 # Parks Needed # Parks Needed Mini Park 2 acres 2 3 Neiqhborhood Park 18 acres 2 2 Community Park 40 acres 2 2 Community Plavfield 40 acres .5 .5 National Recreation and Park Association Guideline (Average Park Size per Park Type) PARK DEDICATION ANALYSIS - RAW LAND VALUE VS. VALUE AT FINAL PLAT Pursuant to State Statute, the City can collect park dedication based upon the value of land at the time of final plat. It is NAC's opinion that value should include raw land value plus the value from lots created by final plat approval. The land value at final plat should comprise the retail value of the lot less improvement costs. Residential developers were contacted to identify typical lot improvement costs (assuming an 80 foot wide lot), associated with single-family subdivisions. Typical improvement costs for single-family developments consist of utilities, roads, grading, engineering, area connection charges and fees, which approximate 48% of the total vacant lot sales price. The developers that were contacted also indicated that a development must yield a . , minimum 20% retail value added per lot to be a viable project. For illustration purposes, the following table provides an example breakdown of land values as they relate to the collection of park dedication based upon raw land value versus the value of land at the time of final plat. TABLE 7 PARK DEDICATION I RAW LAND VS VALUE AT FINAL PLAT LAND RAW LAND VALUE VALUE AT FINAL PLAT Typical vacant lot sales price $42,995 $ 28,000 placre - Typical development costs for utilities etc. (48% lot sales price) - 20.637 Or Lot cost + 20% Retail Value $22,358 $14.000 pilot * X 10% Park Dedication Fee X 10% X 10% Park Ded. Park dedication collected at the time of final plat $ 2,235 $1,400 Der unit * Based upon 2 units per acre The application of park dedication at the time of final plat, based upon the retail value of the lots, results in an equitable dedication policy in that the same value will be applied regardless of whether cash or land is required from a development project. " City of Andover Park Dedication Report 12 of 22 . "' " ) RESIDENTIAL PARK DEDICATION ANALYSIS Exhibit C, Andover - Park Facilities Chart identifies the park sites pursuant to the City Parks Map. The name and address of each park including existing and future acres, facilities and values are also identified. City Staff provided the list of facilities and corresponding cost estimates. The park system analysis included a land use review to determine the service areas for the existing parks and to identify the proportion of existing and future development that will impact the system. As stated earlier, the current park areas are spread throughout the community and are relatively evenly distributed. Many of the existing parks are located in areas of the community where future development will occur and as such, a proportion of the park infrastructure should be paid for by new development. In fully developed areas in the southern part of the City, improvements to existing parks should be and have been paid for by current development within the service area of the specific park facility. City Staff provided a list of existing and future planned park facilities, which was used to establish the value of the existing park system and to identify costs reasonably expected to complete the future park system based upon full build out contemplated by the 2020 Comprehensive Plan. It should be noted that the information contained herein is the best estimate of future facilities that can be made at this time and that the specific facilities and dollar figures may be subject to changelrevision as time goes by and \ market conditions fluctuate. See Exhibit D, City of Andover 2002 Existing and Future , , ) Park Facilities Chart for reference. Based on the estimated value of the complete 2020 park system, Table 8 illustrates that the park system is 63% developed and has been paid for by existing development through taxes, park dedication donations, grants etc. Future development will benefit from the infrastructure that is currently in place and as such, should be responsible to pay a proportionate share for replacement of the existing system. A major component of the park system is land and to determine present land values for Andover, recent sales indicated that the average value for land within the MUSA approximates $50,000 per acre and average land value in the rural service area approximates $33,000 per acre. The Anoka County Assessor's database was utilized to establish the land value for park areas that contain a large percentage of wetland or lakes (generally the 65 acres of parkland that staff believes will not be developed due to topographic constraints). The 1999 Andover Comprehensive Park Plan recommends 358 acres of Community Park and 124 acres of Community Playfield by 2020 is illustrated in Table 2. The City will need to add 194 acres of Community Park and 52 acres of Community Playfield to fulfill the Comprehensive Plan recommendations. The inclusion of one of the rural reserve areas as future MUSA will also generate demand for between 63 to 80 acres of additional Community Park and between 22 to 28 acres of additional Community Playfields. . "\ 'J City of Andover Park Dedication Report 13 of 22 The Rural Reserve Areas are not however, adequately served by Neighborhood and . Mini Parks. The recommendation of this report is for the City to plan for 1 or 2 additional Community Playfields and five additional Neighborhood Parks to accommodate the additional population that will be added from the selected rural reserve areas. Table 8 illustrates the values of the planned park system based upon the current Comprehensive Plan and two rural reserve area options along with the recommendation to add one additional Community Playfield (similar to the City Hall complex) and five Neighborhood Parks to the system. To calculate the values of the existing and future . system, staff utilized the City of Andover Directory of Parks, City Capital Improvements Plan, and research of facility vendors as 'well as comparable improvements within the City. A list of the future facility acquisitions and values is attached as Exhibit 0, City of Andover 2002 Existing and Future Park Facilities Chart. TABLE 8 PARK SYSTEM ESTIMATED VALUE BASED ON COMPREHENSIVE PLAN & POTENTIAL RURAL RESERVE Total Park System Estimated Value of %of Estimated Value of Future % of Value Existinq Park Facilities Total Park Facilities Total $35,178,322 $22,168,389 63% $13,009,933 37% $38,981,593 l.~ $22,168,389 57% $16,813,204'.3 43% $39,548,683 ~.~ $22,168,389 56% $17,380,294 2~ 44% . , 1 Rural Reserve Area 1 - Two additional Neighborhood Parks needed at a total cost of $1,134,180 2 Rural Reserve Area 2 - Three additional Neighborhood Parks needed at a total cost of $1,701,270 3 One Additional Community Playfield (similar to the City Hall complex) at a total cost of $2,669,091 Park dedication is collected as conditions of subdivision approval. In this respect, the park land dedication fee is estimated on the basis of new housing units or households. Currently, the City has completed approximately 63% of its 2020 park system based estimated value and future improvements. As described in pages 10 and 11 of this report, the household count compared to the City's build out option range from 56% within the 2020 MUSA to a low of 43% of Reserve Area 2 build out. This indicates that the current park system is over built for its current population and has capacity to accommodate future growth. Future household growth should pay an equitable share in providing the City's ultimate park system. To determine the equitable distribution of future park system value to residential units, the ultimate system value is divided by projected household counts. Tables 9, 10, and 11 provide alternative park dedication fees per unit based on different park improvement assumptions and three different growth options. "- City of Andoyer Park Dedication Report 14 of 22 1 \ '- ) TABLE 9 ESTIMATED PARK VALUE AND DEDICATION FEE WI NO ADDITIONAL COMMUNITY BALLFIELD COMPLEXES Total Estimated # Housing Units Park Dedication Fee S stem Value Per Unit $35,178.322 = $2,423 = 1 Rural Reserve Area 1 - Two additional Neighborhood Parks needed at total cost of $1,134,180 2 Rural Reserve Area 2 - Three additional Neighborhood Parks needed at total cost of $1,701.270 TABLE 10 PARK VALUE AND DEDICATION FEE W/1 ADDITIONAL COMMUNITY BALLFIELD COMPLEX 3 Total Estimated # Housing Units Park Dedication Fee S stem Value Per Unit $37,847,413 $2,607 $38,981.593 Area 2 $39,548,683 19,042 - $2,077 \ , ) *Rural Reserve Area 1 and 2 - households per Area added to 2010 Census Data 1 Rural Reserve Area 1 - Two additional Neighborhood Parks needed at a total cost of $1,134,180 2 Rural Reserve Area 2 - Three additional Neighborhood Parks needed at a total cost of $1.701,270 3 One Additional Community Playfield (similar to City Hall Complex) at a total cost of $2,669,091 TABLE 11 PARK VALUE AND DEDICATION FEE W/2 ADDITIONAL COMMUNITY BALLFIELD COMPLEXES 3 Total Estimated # Housing Units S stem Value $40,516,504 = $41,650,684 Area 2 $42.217,774 19,042 = $2,217 "Area 1 and 2 - households per Area added to 2010 Census Data , Rural Reserve Area 1 - Two additional Neighborhood Parks needed at a total cost of $1,134,180 2 Rural Reserve Area 2 - Three additional Neighborhood Parks needed at a total cost of $1,701,270 3 Two Additional Community Playfields ( similar to City Hall Complex) at a total cost of $5,338.182 Table 9 represents park dedication fees based on the build out of the 2020 Andover park system and neighborhood parks for either of the rural reserve study areas. Tables \ 10 and 11 expand on Table 9 assumptions illustrating the inclusion of one or two \.~ Community Playfields. City of Andover Park Dedication Report 15 of 22 Exhibit F provides a comparison of park land fees from other metropolitan communities. The suggested fees in Tables 9, 10 and 11 are high when compared with neighboring communities of Blaine, Anoka, and Coon Rapids. However, the fees are in line with some of the larger, fast-growing communities such as Brooklyn Park, Eden Prairie, and Plymouth. The City Council will need to select both the park system development option and growth options that best suits the City of Andover to determine the park dedication fee. In discussion with staff, it appears Table 10 represents the preferred park dedication option. The per unit charge outlined in Table 10 above, assumes that all of the land area needed for the park system will be in place by the year 2006 with the exception of one additional Community Playfield (similar to the City Hall Complex) and two Neighborhood Parks (under potential Rural Reserve Area 1 expansion) or three Neighborhood Parks (under Rural Reserve Area 2 expansion). The current system and future planned improvements are consistent with the 2020 Comprehensive Plan Land Use Plan. It is fair to assume that the park system will likely continue to be upgraded in the future to maintain the user capacity of the system. The $2,607 dollar per unit charge should reasonably cover the costs for complete development of the system and carrying costs through system build out. In the event that the MUSA is expanded to incorporate Area 1, the residential park dedication charge could be reduced to $2,489 dollars per unit. In the event that the MUSA is expanded to incorporate Area 2, the residential park dedication charge could be reduced to $2,380 dollars per unit. The charge of $2,607 dollars per residential unit is the level of funding that will need to be generated to provide for the planned park system for Andover, based upon implementation of the plan with the lands and facilities described in Exhibit D, City of Andover 2002 Existing and Future Park Facilities Chart, which are based upon the Comprehensive Park Plan. The $2,607 dollar figure takes into account the park service areas (% of park need associated with new vs. existing development), existing and projected costs for the park system, design/adm i n istrative costs and future population/household projections and is therefore our best estimate of park need per unit. It is important to note that the City should re-evaluate the system value; current land values and system needs on a periodic basis and adjust the park dedication accordingly. City Staff suggests that park facilities costs be reviewed and updated annually based upon the Engineers News Record Cost Index. The City may desire to adjust the park dedication per residential unit based upon formal adoption of the potential rural reserve area(s) pursuant to the rate of $2,489 per unit under Area 1 or $2,380 per unit under Area 2. Park maintenance and future improvements above and beyond those identified in Exhibit D should not be financed using park dedication funds. The operational and future improvement costs must be budgeted within the City's general funds with costs shared by all community residents. . , City of Andover Park Dedication Report 16 of 22 , , \ , ) COMMERCIAUINDUSTRIAL PARK DEDICATION ANALYSIS Minnesota Statutes and recent case law have identified that Cities must now be able to articulate and justify dedication requirements on a project-by-project basis. Cities have the burden of determining that the park dedication requirement is related to the park benefit that will be derived due to the development. Individualized determinations must be made for each project and the City has the responsibility to demonstrate that there is a reasonable relationship between the dedication requirement and the park needs generated by the development. As illustrated in Exhibit F, many metropolitan communities have a commercial! industrial park land dedication. The general issue in establishing a commerciall industrial park land fee is establishing a nexus between commercial and industrial use and the benefit they receive through the City's park system. In the case of Andover, City staff has indicated that the City has no commercial or industrial league programs, with the exception of a couple of local bar/restaurant sponsored tournaments. In this respect, there is no empirical data that currently illustrates a direct park benefit to the commercial and industrial properties exists or does not exist. There are discussions that suggest that there is intrinsic benefit to all land uses from a quality park system related to quality of life within a community. The issue at hand is to determine the proportionate need that commerciallindustrial developments generate for the community park system. The current City park dedication requirement for , commerciallindustrial projects is 10% which is the same as the requirement for '- ;J residential projects containing up to 3 units per acre. For example, the current dedication requirement equates the park impact of 10 acres of commerciallindustrial land to 71 residential units or (192 people). The following formula illustrates the relationship of the current commercial/industrial park dedication requirement to residential development: $120,000 per acre (C/lland value) x 10% (park dedication requirement) = $12,000 $12,000 dollars x 10 acres = $120,000 + $1,700 (current park dedication fee/residential dedication equivalent) = 71 residential units 71 units x 2.7 persons per household = 192 people As the City Staff has indicated that there is some tournament play use of athletic fields it is reasonable to state that commerciallindustrial developments have some benefit from the City park system. It is likely that employees of local businesses use parks for lunch breaks, walking and/or recreating. The question is, does the commercial development generate the same need on the park system as an equivalent residential development? The proportionate benefit is unknown for the City of Andover, due to the lack of information about the degree to which the commercial/industrial developments use the system. If the City desires to continue collection of commercial/industrial park \ dedication fees it is suggested that the City consider establishing a fee structure that '----" ) approximates charges of other similarly situated communities and/or modify the City of Andover Park Dedication Report 170f22 . percentage of dedication associated with commerciallindustrial projects. Table 12 illustrates commercial park dedication fees which are currently charged by other developing communities. If the City implements a commerciallind ustria I park dedication, the residential unit fee may be reduced. COMMUNITY Blaine Brookl n Park Cham lin Chaska Coon Ra ids Eden Prairie Ma Ie Grove Shako ee SUMMARY . Case law and Minnesota Statutes provide that dedication requirements can only be applied to facilities that will be impacted by the specific project. Future park dedication fees cannot be utilized to improve or maintain existing park and trail systems in fully developed neighborhoods unless a correlation can be made . between the new development and park use. However, park dedication fees can be used to replace or upgrade equipment within City parks. . The current park system has more land and facilities than is needed to serve the current population based on national park per capita standards. The existing system provides for more land acreage per 1000 population than is required (based upon National Recreation and Park Association guidelines). . The City of Andover is currently considering three future growth options. If the City holds to its 2020 MUSA, the project population is 39,000 with a household count of 14,516. The 2000 population and household represents 68% of 2020 population on 56% of the 2020 household count. . With the inclusion of one of the rural reserve areas in the future MUSA, the build out population may range from 48,639 to 51,220, and the household count would range from 18,086 to 19,042. Andover's 2000 population and household counts represent 54% of the build out population and 45% of the household count for Rural Reserve Area 1 and 52% of the build out population and 43% of the household count for Rural Reserve Area 2. . In the event that the City extends the MUSA pursuant to Areas 1 and 2 on Exhibit A, Park Service Area Map, additional facilities and land will be needed to accommodate . , the projected future population. City of Andover Park Dedication Report 18 of 22 . . ,- ", , j . A minimum of one additional Community Playfield (comparable to the current City Hall complex) is recommended if the MUSA is expanded. Should Rural Reserve Area 1 be pursued, two additional Neighborhood Parks will be needed and a total projected system value of $38,981,593 is anticipated. A park dedication fee of $2,489 per residential unit would be needed to provide for all of the facilities (including 2 additional Neighborhood Parks and 1 additional Community Playfield, comparable to the City Hall complex). . Should Rural Reserve Area 2 be pursued, three additional Neighborhood Parks will be needed and a total projected system value of $39,548,683 is anticipated. A park dedication fee of $2,380 per residential unit would be needed to provide for all of the facilities (including two additional Neighborhood Parks and one additional Community Playfield, comparable to the City Hall complex). . The amount of cashlland dedication required from new development must be proportional to the need that the project will generate on the park and trail system. Minnesota Statutes also provide that park dedication may be based upon the value of land at the time of final plat. As Table 7 indicates, the value of land at the time of final plat is generally higher than raw land value. , . It is recommended that the City consider amending its Subdivision Ordinance to , / change Section 9.07.1 to delete reference to "equivalent amount in cash based upon the undeveloped land value of that portion of said land that would have otherwise been required to be dedicated'" and to add "Park cash contributions are to be calculated and established based on land value at time of final plat." . The total planned park system is estimated to cost $35,178,322 dollars, based upon the 2020 Comprehensive Plan, land values, current and projected facility costs. . While the 2000 Census household count represents 56% of its 2020 build out, the City has about 63% of its 2020 park system in place. The park system is in place and has been paid for by existing development through taxes, park dedication, donations, grants, etc. . As illustrated in Tables 9, 10, and 11, the City's residential park dedication fees will depend on the City Council decision on future park improvements and community growth options.. Table 10 represents the recommended residential park dedication fee. . With the exception of additional land that may be needed to accommodate potential expansion of the MUSA, (Rural Reserve Areas 1 and 2 illustrated on Exhibit A, Park Service Area Map, the land acquisition for the park system is reasonably expected to \ be completed by the end of 2006. Provided the planned improvements ($13,009,933 ,_/ ) City of Andover Park Dedication Report 19 of 22 . dollars of infrastructure and equipment) are installed by that time, the system is reasonably expected to provide for community needs through the year 2020. . The current policy of the City to charge commercial and industrial developments the same proportion of park dedication as is charged to residential projects containing up to 3 units per acre, should be further reviewed by the City Council. If the City desires to charge park dedication fees for commercial and industrial development, it is suggested that the fee amount should approximate that charged by other similarly situated communities and/or that the percentage should be reduced to less than 10%. If the City implements a commercial industrial park dedication fee, then the residential fee should be reduced to reflect a proportional distribution of costs. RECOMMENDATIONS 1. To maximize the value of cash dedications it is recommended that the City update its Subdivision Ordinance to incorporate the Minnesota Statute language specifying that land value (for the purpose of calculating park dedication) will be determined based upon the value of the land at the time of final plat The following language is suggested: Park cash contributions are to be calculated and established at the time of final plat approval. The City Council may require the payment at the time of final plat approval or at a later time under terms agreed upon in the development agreement. Delayed payment may include interest at a rate set by the City. 2. The current park system and plan is consistent with the Comprehensive Plan Land Use Plan and as such, the park dedication fee structure for new residential developments should be based upon the analysis provided for in Table 10. Based upon this analysis, a park dedication fee of approximately $2,607 dollars per residential unit should be instituted to cover build out cost of the City's planned park system and to develop one additional community playfield. Depending on the selected growth option, the City should amend its Subdivision Ordinance and fee schedule to incorporate the residential unit charge from Table 10 and discontinue the practice of utilizing raw land value to determine park dedication. A periodic review of land values and facility costs should be done to ensure that the park dedication fee remains current based upon market conditions. Staff recommends that the Engineering News Record Cost Index (ENR Cost Index) be utilized as the source to annually update facility values to account for inflationary factors. 3. In the event that the City Council chooses to add 2 additional Community Playfields to the overall system, a residential park dedication fee from Table 11 should be instituted. 4. The Subdivision Ordinance should be amended to provide an alternative to the developer to conduct an individualized study for the subdivision to determine park needs, should there be a question as to the applicability of the residential unit fee. " The following language is suggested: City of Andover Park Dedication Report 20 of 22 . . /~ "' , .J If the applicant or developer does not believe that the estimates contained in the City fee schedule (pursuant to this park dedication analysis) fairly and accurately represent the effect of the subdivision on the park or trail system of the City, the applicant or developer may request that the City prepare an in-depth study of the effect of the subdivision on the park and trail system and an estimate of that effect in money and/or land. All costs of said study shall be borne by the developer or applicant. If the developer or applicant requests the preparation of such a study, no application for development submitted shall be deemed complete until the study has been completed and a detennination is made as to the appropriate amount of land or money necessary to offset the effects of the subdivision. Based upon the experience of NAC Inc., no developer has requested a special study to determine individual subdivision impacts to a municipal park system to date. In the event that a developer requests a special study, all costs of the study would be paid for by the developer. The study would consist of an analysis of the park system to define the improvements needed to complete the affected facilities. The analysis would include a review of the specific impacts the development project would have on the planned park facilities, current land value, current facility costs and other pertinent information. The resulting costs of the land and facilities needed to provide for the development project would be estimated and assigned accordingly to the , development project. The recommended park dedication fees are based on the I costs identified in Exhibit D. '- ' 5. The City should consider incorporating park redevelopment infrastructure planning as part of the 5-year Capital Improvements Plan. Minnesota Statutes specify that park dedication fees may not be used for maintenance purposes and therefore it is important for the City to continue to provide a separate budget fund for maintenance. In conferring with the City Attorney, it is possible to use park dedication fees for new or replacement of facilities. However, any park improvements above those identified in Exhibit D will need to be financed outside of the park dedication funds. As the park system ages, there will be an increased need to retrofit existing facilities, as they will have aged beyond their useful life in the older parks. Park dedication fees can be used to replace some facilities and infrastructure however, the City may need to establish other sources to pay for replacement of the park system facilities in full developed neighborhoods or park service areas. 6. The City has accepted a number of Mini and Neighborhood Park areas (65 acres or 12% of the total parkland), in the past which are not developable due to topographic and natural features constraints. To avoid this situation in the future, the City should consider amending its Subdivision Ordinance to identify the type of land that will be acceptable for parkland dedication, should the community decide to acquire additional land. The following language is suggested: \ To be eligible for park dedication credit, land dedicated is to be located outside of '- / } drainage ways, or pond areas. Grades exceeding twelve (12) percent or areas City of Andover Park Dedication Report 21 of 22 , . unsuitable for park development shall not be considered for dedication as defined by . the City Engineer. Parkland to be dedicated shall be above the ordinary high water level as approved by the City Engineer. 7. The City should further evaluate its commercial/industrial park dedication standards to determine the proportional need that said uses place on Andover's park system. In the event that the City chooses to continue the commercial/industrial park dedication, the residential dedication fee should be reduced accordingly. 8. In the event that the City is contemplating park improvement upgrades, facility or equipment replacement in the future that have not been identified in Exhibit D, the City should include these improvements in the Capital Improvement Plan and budget for these improvements in the City's general funds. These improvements should not be funded out of the park dedication fees. Attachments: Exhibit A: Park Service Area Map Exhibit B: Andover Parks Map Exhibit C: Andover - Park Facilities Chart Exhibit D: City of Andover 2002 Existing and Future Park Facilities Chart Exhibit E: Letter from William G. Hawkins and Associates to Mr. Todd Haas, dated . March 3, 1999 Exhibit F: Survey of Park Dedication Fees " City of Andover Park Dedication Report 22 of 22 I ~~~VO~NOO~O~~~~M~~~-~ OO~~M~O~VOO~~ ; ~O~VV ~~~_~~~~MM~M~~~~_~~ONOV~~OvM ~U ~N~ ~ON~N~ ~VOO~~NOO~V~VVOV~~MM~-~OOV~ , ~E ~~~_OM~~~N~O~~~~~NO~NM~M~O~~N~M~~~~ ""~~ ~_~O~M~N_OO~M N~~vvOOVO~~M~OON ~N ~-~ _ _NM~""" V MNO-N ~OO~~vN-NM M- N ;9. _~ ~ v) M"""" o ~ E-8 ~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~ o 0000 0 0 0 00000000 0 0000 00 000 2 .~ I ~ ~ ~ ~ I ~ I I ~ I ~ I ~ ~ g ~ ~ g ~ ~ I gig ~ S; ~ I g ~ t ~ S; g ~~ ~~~M M ~ N MN~~M~~~ ~ ~M~M ~M MON ~.~ ~~~ ~ N ~ ~~~~=M~~ N ~~oo~ ~~ ~=- ;;..... 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