PLANNING REPORT TO: Phil Kern FROM: Alan Brixius DATE: July 3, 2013 RE: Delano – Northwest Business Park FILE NO: 432.08 – 13.03 BACKGROUND The City of Delano has been pursuing the development of a new industrial park northwest of the City over the last decade. The City, in conjunction with Delano Industrial Partners I LLC, Westedge Properties LLC, and the Murphy family, is now in the position to file application for preliminary and final plats for the Northwest Business Park. The subdivision application is also accompanied by a zoning map amendment that will establish the zoning for the new business park. Attached for reference: Exhibit A: Exhibit B: Exhibit C: Exhibit D: Exhibit E: Exhibit F: Exhibit G: Exhibit H: Comprehensive Land Use Plan Preliminary Plat Overall Grading Plan Utility Location Map Utility Plan Business Park U.S. Highway 12 Intersection Design McKinley Parkway Improvements Street Sections ISSUES AND ANALYSIS Comprehensive Plan Delano’s 2030 Comprehensive Plan guides the subject site for industrial development. The plat design is consistent with the concept plan of the Comprehensive Plan that establishes a highway intersection at Eaken Avenue. McKinley Parkway will be a north- south major collector street extending from County Road 30 to U.S. Highway 12. This collector road will provide access to the Northwest Business Park lots. Delano’s 2030 Comprehensive Plan establishes the creation of the Northwest Business Park as a community priority needed to promote economic development, local job creation, and to expand the City’s local tax base. Annexation The City of Delano has received and approved a petition for annexation of a portion of the Murphy farm. The area of annexation includes the McKinley Parkway street right-ofway; Lots 2, 3, and 4, Block 1; and Outlot D, as illustrated on the preliminary plat. The State has approved the City’s annexation ordinance and will certify the annexation prior to recording the final plat. The annexation impacts the plat and rezoning in the following ways: 1. The final plat will be prepared to exclude those portions of the Murphy farm that will not be part of the Phase 1 development (Lot 1, Block 1 and Outlots E and F). 2. All City plat and rezoning approvals shall become effective with the final State certification of the annexation ordinance. Rezoning The site is guided for industrial land use. Staff is proposing the application of I-1, Limited Industrial District for that portion of the business park illustrated on the preliminary plat as Outlot A and B. The outlots are located along U.S. Highway 12 at the entrance of McKinley Parkway. The I-1 District is proposed to limit the intensity of the industrial land uses in this area of the business park and impose higher standards for architecture. This limited industrial zoning is reflective of Delano’s 2030 Comprehensive Plan goal of creating a western gateway for the community that portrays a positive image of the community through attractive architecture, landscape buffers, and site design that screens outdoor uses within the industrial park. Past discussion of the business park raised the possibility of commercial land uses at the entrance of the park and along U.S. Highway 12. With the appropriate commercial land use and site design, this remains an option. However, until a development proposal of this nature surfaces, staff is recommending the I-1 District to guide land use and establish business park design standards. The Northwest Business Park is also intended to accommodate a broad range of industries. The park will be designed with the capacity for heavy industries. The southern portion of the plat is intended to accommodate heavy industrial uses. This area offers a degree of isolation and is not readily visible from U.S. Highway 12. Staff is recommending that portion of the preliminary plat, described as Lots 2, 3, and 4, Block 1 2 and Outlots C and D, to be rezoned to I-2, General Industrial District. This zoning will allow for a wide range of industrial uses and establish performance standards for the southern portion of the industrial park. Lot 1, Block 1 and Outlots E and F are not being annexed with Phase 1 and are not included in the zoning map amendment. Preliminary Plat Phase 1 of the industrial park encompasses approximately 175 total acres. The plat includes three lots, four outlots, and the dedication of street right-of-way for McKinley Parkway. Outlots A, B and D will be replatted as development interests present themselves. As outlots, the City and Delano Industrial Partners I can identify locations and create lots in the size and configuration that suites the perspective industry. The outlots must be replatted in the future to qualify for building permits. Outlot C contains a large wetland complex. The size and configuration of Outlot C is intended to protect the natural wetlands, provide the required 25 foot wetland buffer, and will contain upland areas that may be used for stormwater ponding, stormwater treatment, and/or wetland mitigation for further wetland filling in subsequent phases of business park development. The establishment of the wetland buffer within the outlot owned by the City prevents disruption of the wetland buffer strip. Lots. Lots 2, 3, and 4 Block 1 of the preliminary plat are proposed to be rezoned I-2, General Industrial District. The I-2 District minimum lot size is 40,000 square feet and lot width is 100 feet. The proposed lots each exceed these district requirements as shown below: Lot 2 Lot 3 Lot 4 Lot Area Lot Width 4.9 acres 3.8 acres 9.8 acres 535 feet 526 feet 677 feet Wetlands/Grading/Drainage. Exhibit C (Site Plan) shows the wetland locations within both Phase 1 and Phase 2 areas of the Northwest Business Park. The proposed grading plan illustrates the proposed site grading for the entire business park with the intent of creating a comprehensive stormwater management system that addresses the needs of the entire park to economize on the buildable land area of each lot. The grading plan anticipates some wetland filling for future streets and the creation of buildable parcels. The City Engineer is working with Wright County Soil and Water Conservation District in the development of a wetland mitigation plan in conjunction with the final park grading plan that satisfies both County and State regulations for wetland replacement. In review of the grading plan with the City Engineer, the following 3 conditions are required with regard to site grading and stormwater management for Northwest Business Park approval: 1. Development of a wetland mitigation plan for each phase of park development. 2. Demonstration that stormwater retention and management within the business park will match pre-settlement conditions, subject to Wright County review. 3. Payment of $20,000 to Wright County for downstream improvements to the County ditch. 4. Internal stormwater improvements to route stormwater from Outlot B through Outlot C then under McKinley Parkway into the County ditch system. 5. Revise the grading plan to relocate the stormwater retention pond in Outlot A to the eastern edge of Outlots B and C. This plan change is intended to create a more usable lot arrangement in Outlot A. Utilities. The utility plan will bring utilities into the Northwest Business Park from the south, near 72nd Street SE. The plat illustrates drainage and utility easements extending through the cemetery and the Murphy farm up to the McKinley Parkway in Phase 1. The establishment of the easements will allow the City to extend both sewer and water through the Township to the business park. These utilities will be extended along McKinley Parkway through the U.S. Highway 12 intersection. The size, depth, and location of utilities have been planned to address the need of the business park and subsequent phases. This project also includes a south water main loop connection that will complete a looped system between the Highway Ridge residential subdivision and the water main at 72nd Street SE. This completed loop is necessary to provide water pressure for fire suppression with the business park. Streets. The street improvements for the Northwest Business Park begin with improvements of U.S. Highway 12 at the U.S. Highway 12/McKinley/Eaken intersection. The City has received State grant funds for the U.S. Highway 12 improvements. Exhibit F illustrates the U.S. Highway 12 intersection design which includes unencumbered travel lanes, center left turn lanes from U.S. Highway 12 onto both McKinley Parkway and Eaken Avenue, and right turn lanes. These plans have been submitted to the State for design and construction approvals. The U.S. Highway 12/McKinley intersection will not be signalized at this time. McKinley Parkway will provide access to the Northwest Business Park. This street was designated a major collector street for western Delano in the City’s 2030 Comprehensive Plan. Within the first phase of the business park, this street will not be constructed as a through street. The street right-of-way ends at the south lot line of proposed Lot 2, Block 1 of the preliminary plat. The McKinley right-of-way is 120 feet 4 wide at the intersection with U.S. Highway 12. At the park entrance, the street will be designed with a southbound entrance, a northbound left turn lane, and a northbound right turn lane. The street narrows to a standard collector street right-of-way through the majority of the business park. In this area, the street will offer 12 foot drive lanes and 10 foot street shoulders for an overall street width of 44 feet. The street right-of-way dedication narrows to 40 feet in front of Lots 2, 3, and 4, Block 1, however the City will have easements over Outlots E and F to allow for the construction of the street to the south end of the plat. Ten foot sidewalks are proposed along both sides of McKinley Parkway consistent with the City’s Parks and Trails Plan. In review of the street design, the City’s Subdivision Ordinance requires the provision of a temporary cul-de-sac where future street connections are anticipated. The plat and street construction plans must include a temporary cul-de-sac with a 45 foot street radius at the south end of McKinley Parkway. Landscaping. The Comprehensive Plan recognizes that the Northwest Business Park will be the City’s western gateway. In this respect, the building appearance, building orientation, and screening of outdoor industrial activities is important in establishing an attractive community image. In this regard, a future landscaped buffer yard will be required in conjunction with site development for Outlots A and B. The Planning Commission and City Council will have review of the element with future replatting of these outlots and site and building plan approvals. Development Contract. The Northwest Business Park is a joint public/private sector endeavor. With approval of the preliminary and final plat, the City will require a development agreement with Delano Industrial Partners I LLC and Westedge Properties LLC that outlines responsibilities, timing, and securities for the subdivision improvements. The agreement will be required prior to recording of the final plat. CONCLUSION AND RECOMMENDATION The creation of a new Delano industrial park was identified in the City’s 2002 Comprehensive Plan. This plan identified the area northwest of Delano as the most appropriate location due to its degree of isolation from residential neighborhoods, proximity to both U.S. Highway 12 and the railroad, and the land area available for industrial expansion. This land use recommendation was reiterated in the City’s current 2030 Comprehensive Plan Through the years, the City has steadily worked to implement this community goal. The City is now in the position to consider the creation of the Delano Northwest Business Park. Based on our review of the submitted application and plans, we recommend the following approvals: 5 Rezoning 1. We recommend that Outlots A and B, as illustrated on the preliminary plat, be rezoned to I-1, Limited Industrial District. 2. We recommend that Lots 2, 3, and 4, Block 1 and Outlot C, as illustrated on the preliminary plat, be rezoned to I-2, General Industrial District. 3. Lot 1, Block 1 and Outlots E and F, as illustrated on the preliminary plat, shall not be rezoned. 4. The change of zoning on the Delano Zoning Map shall take place with recording of the final plat. Subdivision In review of the subdivision and construction drawings, we recommend approval of both the preliminary and final plat subject to the following conditions: 1. Annexation is certified by the State prior to recording the final plat. 2. The preliminary and final plat is revised to exclude land currently showing as Lot 1, Block 1 and Outlots E and F on the preliminary plat. The newly created lots shall be renumbered. 3. The grading/drainage and wetland mitigation plan be revised to include the following: a. Development of a wetland mitigation plan for each phase of park development. b. Demonstration that stormwater retention and management within the businesses will match pre-settlement conditions, subject to Wright County review. c. Payment of $20,000 to Wright County for downstream improvements to the County ditch. d. Internal stormwater improvements to route stormwater from Outlot B through Outlot C than under McKinley Parkway into the County ditch system. e. Revise the grading plan to relocate the stormwater retention pond in Outlot A to the eastern edge of Outlots B and C. This plan change is intended to create a more usable lot arrangement in Outlot A. 6 4. Street plans include: a. State approval of the highway intersection design and construction drawings. b. The City provide a temporary cul-de-sac at the south end of McKinley Parkway. The cul-de-sac shall have a minimum radius of 45 feet. 5. The City enter into a development agreement with Delano Industrial Partners I LLC and Westedge Properties LLC to establish responsibilities, timing and securities for business park land acquisition and public improvements. c: Marlene Kittock Paula Bauman Mark Johnson Vince VanderTop 7