5a. Amendment to Chapter 18, Section 18-79 City Code Parkland Dedication Requirements 11
CITYOF
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CHANHASSEN
' 690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
(612) 937 -1900 • FAX (612) 937 -5739
Hcaon by City Adngnbl�Dr
1 —
MEMORANDUM
1 TO: Don Ashworth, City Manager
° 1g
kb %Witted Id odttitrilam
FROM: Todd Hoffman, Park and Recreation Director
We Submitted to cotM
DATE: February 18, 1993
1 SUBJ: Amendment to Chapter 18, Section 18 -79 of the City Code Concerning Parkland
Dedication Requirements
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In addition to establishing 1993 park and trail dedication fee rates, the aforementioned section
1 of the City Code is in need of updating. As such, I have elected to wait and address these issues
simultaneously. These amendments are important in that the development of Chanhassen is
progressing. Vacant lands are disappearing and land costs are rising. It is the intent of this
section of City Code to provide a means by which the planned acquisition of parkland (open
space) can occur. Portions of the city's current ordinance and the current park and trail fee rates
are lagging behind what is necessary to get the job done. The city is coming up short. Residents
1 and the community as a whole would eventually suffer if corrective actions are not taken.
Parkland dedication, the granting of trail easements, and park and trail fees are a one time
1 commitment of the affected parties. The acquisition of a parkland, the creation of trailways, or
the preservation of open space or natural lands, on the other hand, is an eternal action. We must
remind ourselves that vacant land is the first and irreplaceable essential for parks.
I have attached correspondence to and from City Attorney Knutson in this regard. This
correspondence addresses Subparagraphs A, J, and L of Section 18 -79 of the City Code, and as
1 an addition to this section, Item T. The following explanations are given for these proposed
amendments:
Subparagraph A: Simply a clarification adding "trail fund" to the description.
Subparagraph J: The existing subparagraph fails to address those situations when land
in lieu of dedication fees, or a combination thereof, is desired as a part of a
commercial/industrial development. The standards of 10% of market value or 10% of
gross land is consistent with current practices.
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I Mr. Don Ashworth
February 18, 1993
1 Page 2
Subparagraph L: This amendment is necessary to eliminate the designation of a dollar
1 amount for the trail fee as part of the ordinance. Retaining this designation requires that
an amendment to the ordinance be passed each time a change in the fee is desired. The
new subparagraph allows the trail fee, in addition to park fees, to instead be established
1 by annual resolution.
Addition of Subparagraph T: The desire to see a functional trail system in Chanhassen
I is high. Subparagraph T puts into action the city's Comprehensive Trail Plan by seeing
to it that the trails represented under this plan become reality. The time honored
I argument that trail "x" does not need to be constructed because, at present, it does not go
anywhere no longer holds water. This short sighted (looking just 2, 3 or 4 years down
the line) thinking wields great harm upon the future of the city's non - motorized
I transportation system. Incremental improvements in and of themselves do not amount to
anything, but combine these increments over a ten year period of time, and the city will
really have something. Good analogies of this concept are numerous. Saving a little
I every day and watching that savings grow is a good example. But if you wait for that
one day to make "the big investment," that day never comes.
I Recommendation
Approval of the first reading of the subject ordinance amendment is recommended.
I Attachments
I 1. Letter to Roger Knutson dated February 2, 1993.
2. Letter from Roger Knutson dated February 3, 1993, and proposed amendments.
3. Existing Section 18 -79 of the City Code, Parkland Dedication Requirements
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CITYOF
CHANHASSEN I
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690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
(612) 937 -1900 • FAX (612) 937 -5739
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MEMORANDUM
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TO: Roger Knutson, City Attorney
FROM: Todd Hoffman, Park and Recreation Coordinator I
DATE: February 2, 1993
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SUBJ: Parkland Dedication Requirements '
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First Question: Do we amend the ordinance or simply pass a resolution?
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Amendment of the Ordinance: Subsection (1) references $138.00 as the city's trail fee. This fee
has been increased by resolution on occasion since this writing. If this is cause for concern and
you recommend adoption of a new ordinance, I offer the following proposed changes. The
changes are in bold print.
Section 18 -79. Parkland Dedication Requirements. 1
(a) As a prerequisite to subdivision approval, subdividers shall dedicate land for I
parks, playgrounds, public open spaces and trails and /or shall make a cash
contribution to the city's park fund and trail fund as provided by this section.
(j) In plats other than residential plats, either a cash donation equal to ten (10)
percent of the fair market value of the undeveloped property or ten (10) percent
of the gross area of land being platted or a combination thereof, shall be paid
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conveyed to the city.
(1) In lieu of a trail donation, trail construction or trail easement dedication, the
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city may require a cash donations for the multipurpose pedestrian
trail system. The cash dedication requirement shall be established annually
by the City Council. 1
For each lot or dwelling unit $138.00
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Mr. Roger Knutson
February 2, 1993
1 Page 2
In addition, it would prove to be of great value to add a subsection which reads:
I Subdividers of land abutting streets that have been designated in the city's
Comprehensive Trail Plan for the installation of a trail shall be required to construct the
1 trail. An appropriate trail fee credit shall be granted in consideration of this construction.
Or Pass a Resolution: If we decide to let the current ordinance stand, fees will be raised by
I resolution.
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CAMPBELL, KNUTSON, SCOTT & FUCHS, PA. 1
At tome\ • .0 1_.1«
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February 3, 1993
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Mr. Todd Hoffman
Chanhassen City Hall
690 Coulter Drive, Box 147
Chanhassen, Minnesota 55317
RE: Subdivision Ordinance Amendment
Concerning Trail and Land Dedication
Dear Todd:
Enclosed please find the subdivision ordinance amendment you
requested concerning trail and land dedication requirements.
Please call if you have questions or comments.
Very truly yours,
( CAMPBELL, TSON, SCOTT
& FUCHS, P. .
BY:
Roger N. Knutson
RNK:srn
Enclosure
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RECEIVED 1
t 0 4 1993
01- OF CHANHASSEN 1
• " l t l ,`ri ( i'.ir 1' i,'. • I _
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CITY OF CHANHASSEN
CARVER AND HENNEPIN COUNTIES, MINNESOTA
' ORDINANCE NO.
AN ORDINANCE AMENDING CHAPTER 18 OF THE
CHANHASSEN CITY CODE CONCERNING SUBDIVISIONS
' THE CITY COUNCIL OF THE CITY OF CHANHASSEN ORDAINS:
' Section 1. Subparagraphs (a), (j), and (1) of Section 18 -79
of the Chanhassen City Code are amended to read:
1 (a) As a prerequisite to subdivision approval, subdividers
shall dedicate land for parks, playgrounds, public open
spaces and trails, and /or shall make a cash contribution
' to the City's park fund and trail fund as provided in
this section.
(j) In plats other than residential plats, either a cash
' donation equal to ten percent (10 %) of the fair market
value of the undeveloped property or ten percent (10 %) of
the gross area of land being platted or a combination
' thereof, shall be conveyed to the City.
(1) In lieu of a trail donation, trail construction, or trail
1 easement dedication, the City may require a cash donation
for the trail system. The cash dedication requirement
shall be established annually by the City Council.
' Section 2. Section 18 -79 of the Chanhassen City Code is
amended by adding subparagraph (t) to read:
(t) Subdividers of land abutting streets that have been
designated in the City's Comprehensive Trail Plan for the
installation of a trail shall be required to dedicate the
land for the trail to the City and construct the trail.
1 An appropriate trail fee credit shall be granted.
Section 3. This ordinance shall be effective immediately upon
its passage and publication.
PASSED AND ADOPTED this day of , 1993, by
the City Council of the City of Chanhassen.
ATTEST:
1
Don Ashworth, Clerk /Manager Donald J. Chmiel, Mayor
1 (Published in the Chanhassen Villager on , 1993).
3013 02/03/93
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§ 18.78 CHANHASSEN CITY CODE
(
areas, facilities for sewage disposal, which meet applicable city ordinance require- ,
ments for individual sewage disposal systems must be provided.
(9) A system that will adequately accommodate the surface water runoff within the
subdivision, as required by this chapter, shall be provided.
(10) Street signs of standard design approved by the city shall be installed at each street
intersection. Regulatory signs shall be installed as required. '
(11) Where any proposed plat adjoins a natural lake, pond, river or stream, including
streams which flow only intermittently, the city may require that a strip of land
running along all sides thereof which are contiguous to such lake, pond or stream, be
dedicated to the city for public use, or subject to a perpetual easement in favor of the
city for the purpose of protecting its hydraulic efficiency and natural character and
beauty. There shall also then be granted to the city the right of ingress to and egress
from the dedicated land.
(12) All utility lines for telephone and electrical service shall be placed underground or
where this is not feasible shall be placed in rear lot line easements when carried on
overhead poles.
(c) Prior to the city signing the final plat and prior to the construction of any improve-
ments, the developer shall provide the city with a letter of credit or cash escrow to insure that
all improvements required by this chapter will be installed and paid for at no city expense.
For improvements to be installed by the developer, the developer is obligated to install and
complete all such improvements at his own expense and under the supervision and inspection
of the city For improvements which the city agrees to install, the developer shall pay the cost
of such improvements through payment of special assessments. As security to the city for
installation of the improvements or the payment of the special assessments, the developer
shall be required to file a cash escrow or letter of credit in an amount and form acceptable to
the city to cover the cost of all public improvements and special assessments.
(Ord No. 33 - D, § 9, 2- 25 -85; Ord. No 33 -E, § 1, 12- 15 -86)
Sec. 18-79. Park land dedication requirements.
(a) As a prerequisite to subdivision approval, subdividers shall dedicate land for parks,
playgrounds, public open spaces and trails and/or shall make a cash contribution to the city's
park fund as provided by this section.
(b) Land to be dedicated shall be reasonably suitable for its intended use and shall be at a
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location convenient to the people to be served. Factors used in evaluating the adequacy of
proposed park and recreation areas shall include size, shape, topography, geology, hydrology,
tree cover, access and location.
(c) The park and recreation committee shall recommend to the city council the land
dedication and cash contribution requirements for proposed subdivisions. 1
(d) Changes in density of plats shall be reviewed by the park and recreation committee
for reconsideration of park dedication and cash contribution requirements.
Supp. No. 1
1012
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SUBDIVISIONS § 18 -79
(e) When a proposed park, playground, recreational area, school site or other public
ground has been indicated in the city's official map or comprehensive plan and is located in
' whole or in part within a proposed plat, it shall be designated as such on the plat and shall be
dedicated to the appropriate governmental unit. If the subdivider elects not to dedicate an
area in excess of the land required hereunder for such proposed public site, the city may
consider acquiring the site through purchase or condemnation.
(f) Land area conveyed or dedicated to the city shall not be used in calculating density
requirements of the city zoning ordinance and shall be in addition to and not in lieu of open
space requirements for planned unit developments.
(g) Where private open space for park and recreation purposes is provided in a proposed
1 subdivision, such areas may be used for credit, at the discretion of the city council, against the
requirement of dedication for park and recreation purposes, provided the city council finds it
is in the public interest to do so.
(h) The city, upon consideration of the particular type of development, may require larger
or lesser parcels of land to be dedicated if the city determines that present or future residents
would require greater or lesser land for park and playground purposes.
1 (i) In residential plats one (1) acre of land shall be conveyed to the city as an outlet by
warranty deed for every seventy -five (75) people the platted land could house based upon the
' following population calculations:
Single - family detached dwelling lots 3 0 persons
Two - family dwelling lots 6 0 persons
' Apartment, townhouses, condominiums and other dwelling units, per bedroom 1.0 person
(j) In plats other than residential plats, a cash donation equal to ten (10) percent of the
fair market value of the undeveloped property shall be paid.
(k) In lieu of a park land donation, the city may require an equivalent cash donation
based upon average undeveloped land value in the city. The cash dedication requirement shall
' be established annually by the city council.
(1) In lieu of a trail land donation, the city may require the following cash donations for
1 the multipurpose pedestrian trail system:
For each lot or dwelling unit $
(m) The city may elect to receive a combination of cash, land, and development of the
land for park use. The fair market value of the land the city wants and the value of the
development of the land shall be calculated. That amount shall be subtracted from the cash
contribution required by subsection (k) above. The remainder shall be the cash contribution
requirement.
(n) "Fair market value" shall be determined as of the time of filing the final plat in
accordance with the following:
(1) The city and the developer may agree as to the fair market value, or
1 Supp. No. 1
1013
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§ 18 -79 CHANHASSEN CITY CODE
(2) The fair market value may be based upon a current appraisal submitted to the city by
the subdivider at the subdivider's expense.
(3) If the city disputes such appraisal the city may, at the subdivider's expense, obtain
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an appraisal of the property by a qualified real estate appraiser, which appraisal
shall be conclusive evidence of the fair market value of the land. I
(o) Planned developments with mixed land uses shall make cash and/or land contribu-
tions in accordance with this section based upon the percentage of land devoted to the various
uses.
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(p) Park and trail cash contributions are to be calculated at the time building permits are
issued and shall be paid when the permit is issued by the person requesting the permit. I
(q) The cash contributions for parks and trails shall be deposited in either the city's park
and recreation development fund or multipurpose pedestrian trail fund and shall be used only
for park acquisition or development and trail acquisition or development.
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(r) If a subdivider is unwilling or unable to make a commitment to the city as to the type
of building that will be constructed on lots in the proposed plat, then the land and cash
I contribution requirement will be a reasonable amount as determined by the city council.
(s) Wetlands, ponding areas and drainage ways accepted by the city shall not be consid-
ered in the park land and/or cash contribution to the city. (II
(Ord. No. 85, § 2, 3- 14 -88)
Editor's note — Section 2 of Ord. No. 85, adopted Mar. 14, 1988, amended the Code by
adding a new § 18-78 thereto. Inasmuch as there already existed a § 18 -78, the editor has
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designated the new provisions as § 18 -79.
Cross references —Parks and recreation, Ch. 14; neighborhood park acquisition and
improvement, § 14 -31 et seq.; official maps, § 15 -20 et seq.
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Supp. No. 1 [The next page is 1063]
1014
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C ITYOF
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CHANHASSEN
690 COULTER DRIVE • P.O. BOX 147 • CHANHASSEN, MINNESOTA 55317
(612) 937 -1900 • FAX (612) 937 -5739
MEMORANDUM
' TO: Don Ashworth, City Manager
FROM: Todd Hoffman, Park and Recreation Coordinator / V
DATE: February 18, 1993
SUBJ: Approve Resolution Establishing 1993 Park and Trail Fees
As previously explained, this issue is married to the proposed ordinance amendment in the same
regard, and thus is not being addressed until now. The amended ordinance specifies that park
and trail fees shall be established annually by City Council by resolution. For reasons expressed
in my remarks concerning the ordinance amendment, the city's park and trail fees are in need
of revision. The attached park dedication survey (courtesy of the City of Maple Grove) was
completed in December 1992. Eight of the nine city's surveyed have fees higher than
Chanhassen's. It is clear that all these cities are larger than Chanhassen, however, population
does not enter into the calculation of these fees. Land values are the driving force. The rate of
growth and value of land is very similar among all cities being compared.
Park and trail fees are based upon the premise that the development which is creating the need
for parks, open space, and trail systems should be responsible for satisfying those needs. The
city's standard for this need is one acre of active parkland for every 75 persons, thus a 100 -acre
residential development creates on average 75 acres for home sites at 2.5 homes per acre, with
an average of 3 persons residing in each home. This development brings with it 563 new
residents and they expect to have 7.5 acres of park to recreate in. Using a standard land cost of
$20,000 per acre, the development of this land has to produce $150,000 in park fee revenues.
Thus, each home needs to be assessed $800 in park fees. Trail fees are assessed at one -third the
park rate, or in this example, $267 (the current trail fee is $167).
This is one case study of the premise on which the city's park and trail dedication fees are
founded. Obviously, there are many more examples of this same principle which using a myriad
of different costs and numbers can be quantified. However, the results are similar and they point
to the fact that the city's current fees are not producing the revenues needed to get the job done.
Fees for multi- family units are established following the same criteria. Fees for
commercial /industrial property are based on 10% of the land costs, which in recent times has
to, PRINTED ON RECYCLED PAPER
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Mr. Don Ashworth
February 18, 1993
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departed the $25,000 per acre figure and has topped $30,000 per acre. In addition to these
1 increasing costs, the necessity for the city to pay sales tax on purchases has resulted in lost
purchasing power exceeding $10,000 annually in the area of park development.
1 Recommendation
1 It is recommended that the City Council establish the 1993 park and trail dedication fees as
follows:
Residential Single Family/Duplex Units $600.00/ unit
Multi - Family /Apartment Units $525.00 /unit
Commercial/Industrial Property $3,000 /acre
1 Trail Dedication Fees One -third of the cost of park
dedication fees
These fees are conservative in nature compared to the case study example, and are in the median
range of the nine cities reporting on the survey.
The current fees are:
Residential Single Family/Duplex Units $500.00 /unit
Multi- Family /Apartment Units $440.00 /unit
Commercial/Industrial Property $2,500 /acre
Trail Dedication Fees One -third of the cost of park
dedication fees
and have not been raised since December 1991.
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City of 1
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9401 Fernbrook Lane, Maple Grove, Minnemga 55369 G12 420.40( )(
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AN EQUAL OPPORTUNITY EMPLOYER