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IEDC Agenda 06-02-2015
AGENDA INDUSTRIAL&ECONOMICDEVELOPMENTCOMMITTEE(IEDC) Tuesday,June2nd,2015-7a.m. BoomIslandRoom,MonticelloCommunityCenter ________________________________________________________________________________ Members:PatThompson,JoniPawelk,WayneElam,LukeDahlheimer,BillTapper,DickVan Allen,ZonaGutzwiller,JimJohnson,DonRoberts,MaryBarger,TaraThurber,Tim O’Connor,SteveJohnson,TimLaitinen Liaisons:JeffO’Neill,AngelaSchumann,MayorBrianStumpf,LloydHilgart,MarcyAnderson 1.CalltoOrder. 2.ApproveMinutes: a.May5th,2015 3.Considerationofaddingitemstotheagenda. 4.Reports: a.EconomicDevelopmentReport b.CityCouncil c.ChamberofCommerceandIndustry d.TAC 5.ConsiderationtoappointanIEDCmemberasaliaisontoChamberdiscussionsfor temporarysignordinance. 6.JuneTableTopic-XcelEnergyPowerlineUpgradesandSubstation 7.Adjournment(8:00am) IEDC–May5,2015Page 1 of 2 MINUTES INDUSTRIAL&ECONOMICDEVELOPMENTCOMMITTEE(IEDC) RegularMeeting,Tuesday,May5,2015–7:00a.m. BoomIslandRoom,MonticelloCommunityCenter MembersPresent:PatThompson,JoniPawelk,LukeDahlheimer,BillTapper,DickVan Allen,MaryBarger,TaraThurber,TimO’Connor,SteveJohnson,Tim Laitinen MembersAbsent:WayneElam,ZonaGutzwiller,JimJohnson,DonRoberts OtherAttendees:JeffO’Neill,AngelaSchumann,BrianStumpf,MarcyAnderson 1.CalltoOrder. Themeetingwascalledtoorderat7:00a.m. 2.ApproveMinutes: a.April7,2015 TARATHURBERMOVEDTOAPPROVETHEMINUTESOFTHEREGULAR IEDCMEETINGONAPRIL7,2015.MOTIONSECONDEDBYBILLTAPPER. MOTIONCARRIEDUNANIMOUSLY,10-0. 3.Considerationofaddingitemstotheagenda. BCOLUpdate(Schumann) 4.Reports: a.EconomicDevelopmentReport:TheEconomicDevelopmentReportwasincludedinthe agendapacketforreviewbytheIEDC.Topicscoveredinthereportincluded: 1)SolarEnergyUpdate 2)XcelEnergySubstation 3)EDAWorkPlan 4)PlanningCommission 5)MarketMatching 6)TableTopicScheduling 7)TACUpdate JeffO’NeillprovidedanoverviewofXcelEnergy’sstatementtoPUCalongwiththepetition filedbysolarproviders. TimO’Connernotedthattheutilityscalesolarimpactsthegridsystem.Solarcompanies indicatethatistheutility’scost,whichisthenpassedontocustomersforupgrade.Thetrue IEDC–May5,2015Page 2 of 2 costsarenotyetunderstoodbasedupontheimpactofregulationvs.deregulation.Theyare lookingat80-100megawattswiththefirstroundofthecommunitysolargarden. b.CityCouncil:StaffandCouncilrepresentativesprovidedprojectandissueupdatesand respondedtoquestions. c.ChamberofCommerce&Industry:MarcyAndersonprovidedabriefChamberupdate notingthattheAnnualChamberGolfTournamentwouldbeheldonThursday. d.TAC:Staffprovidedastatusupdateaboutongoingandupcomingtransportationissuesand projects. 5.Adjournment Meetingadjournedat9:15a.m. Recorder:BethGreen AdministrativeAssistant Approved: Attest: JeffO’Neill,CityAdministrator IEDCAgenda:06/02/15 1 4.EconomicDevelopmentReport (JO/AS) EconomicDevelopmentAuthorityUpdate WorkPlan TheEDA’sAnnualWorkPlanwasapprovedbytheEDAonMay13 th andbytheCity CouncilonMay26th,2015.ThefinalworkplanisattachedfortheIEDC’sreference.Many ofthesegoalsareon-goinganditisrecognizedthatthesethenmaycarry-overfromyearto year.Inaddition,thesegoalsmayhavespecificobjectivestohelpaidintheEDAand Councilbudgetingprocessinfutureyears. EconomicDevelopmentPosition AsnotedintheEDA’sworkplan,oneofthegoalsfortheyearistoresearchanddevelopa recommendationrelatedtoaneconomicdevelopmentstaffperson.TheEDAappointed CommissionersJimDavidsonandLloydHilgarttoworkondevelopinganoutlineofjob responsibilitiesandorganizationalfunction.Thisinformationwillbeforwardedtothefull EDAwiththegoalofpreparingaformalrecommendationtotheCityCouncilforaction. Thepotentialforthere-establishmentofadedicatedeconomicdevelopmentstaffpersonalso impactstheCity’scontractforMarketMatchingserviceswithWSB&Associates.OnMay 4th,theCityAdministratorandCommunityDevelopmentDirectormetwithMarketMatching representativeJohnUphofftoprovidenoticethatfurtherdiscussionswouldneedtooccur withtheEDAandCityrelatedtoa2015-2016contract.Itwasnotedthatifaneconomic developmentpositionwerecreated,thecontractwouldlikelybemodifiedaccordingly. EDA/HRALevy OnMay26th,theEDAandCouncilheldaworksessiontoreviewinformationonEDAand HRAlevies.Atthistime,theactionoftheEDAandCouncilispreliminaryandrelatedto researchinganEDAorHRAlevyasatooltofundeconomicdevelopmentactivities.More discussionandanalysiswillneedtooccurpriortoconsiderationforadoptionofeitherlevy. BackgroundontheEDA/HRAlevydiscussioncanbefoundinthe EDAandCouncilagenda item. Block34Update AtitsMay13th,2015meeting,theEDAwasinformedthatpotentialpetroleum-related contaminationissueswerediscoveredwiththedemolitionprocessfor100EastBroadway. Assuch,theEDAwasaskedtofundadditionalenvironmentalstudyrequiredbyboththe MPCAandMnDOT.MPCArequiresthetestingduetomandatoryrequirementsassociated withpetroleumleaks,whileMnDOTisrequiringtheenvironmentalstudypriortoaccepting thelandconveyancefortheturnlanegiveninformationinthePhaseIESA. Moreinformationonthisitemcanalsobefoundinthe EDAagendaitem. IEDCAgenda:06/02/15 2 SolarEnergyUpdate 1.CityOrdinance AmendmentstotheMonticelloZoningOrdinanceweretabledtotheJunemeetingofthe PlanningCommissionduetothediscussionsoccurringatthelegislativelevelregardingsolar energysystemregulation.Atthistime,staffisnotawarethatanylegislationpassed impactingtheCity’ssolarordinancework(relatedtosizeoffacilitiesandcorrespondinglocal review,forexample).Assuch,thePlanningCommissionwillbeaskedtoaddresspreviously presentedordinanceamendmentsinJuneandprovideadditionaldirectionregardingany principalusesolarenergy.Informationontheproposedamendmentscanbefoundwiththe JunePlanningCommissionagenda. 2.CountyOrdinance WrightCountyPlanningCommissionhastabledactionontheproposedsolaramendmentsto theirJunemeeting.TheCountycontinuestoconsiderandstudytheissuesassociatedwith theseregulations. 3.CityComment-XcelEnergyCommentandPUCPetitionforRelief AstheIEDCwasmadeawareinMay,XcelEnergyhasformallycommentedtothePUCon processingofapplicationsforsolargardenproposalsexceeding1megawattunderitsSolar Rewardsprogram.Inresponse,anadhoccommunityofsolarbusinessesfiledapetitionfor expeditedrelieftothePublicUtilitiesCommission.AhearinghasbeenscheduledforJune 25th onthisissue. TheCityCouncilwasaskedonMay26th,2015toconsiderapprovingaletterofcommenton theissue.AcopyofthedraftletterisattachedforIEDCreference. TACUpdate 1.FallonAvenue OnMay26th,2015,theCityCouncilvoted3-2toapprovealignmentOption3AforFallon Avenue.Acopyofthestaffreportcanbeaccessonthe CityCouncilagendapage. 2.SchoolBoulevardWestExtension AlsoonMy26th,theCityCouncilvoted4-1toremoveawestextensionconceptualalignment forSchoolBoulevardthroughBertramChainofLakesRegionalPark.Thisdecisionis consistentwithpastdecisionsrelatedtotheparkandprovidesclarityforfuturegrant applicationsandwestinterchangeplanning. Moreinformationonthisitemcanalsobefoundonthe CityCouncilagendapage. IEDCAgenda:06/02/15 3 JunePlanningCommissionAgenda June’sPlanningCommissionagendaisattachedfortheIEDC’sreference.Staffreportsfor itemsarepostedtothe PlanningCommission’s2015Agenda page. 1 EDAANNUALWORKPLAN EDAPurpose: TheEDAischargedwithcoordinatingandadministeringtheCityofMonticello’seconomic developmentandredevelopmentplansandprograms.TheEDAisalsoresponsibleforhousing andhousingredevelopment. EDAWorkPlanMissionStatement: TheEDA’s2015workplanisadoptedinsupportofachievingthegoalsoftheMonticello ComprehensivePlan.TheEDAwillbeproactivebydevelopingandundertakingactionsfor achievementoftheComprehensivePlan’sEconomicDevelopmentgoalsandwillbereactivein respondingtoeconomicdevelopmentopportunitiesastheyariseinthemosttimelyandeffective mannerpossible.TheEDAshallutilizetheeconomicdevelopmentstrategiesofthe ComprehensivePlanasaguideforaction. ComprehensivePlanGoals: Attracting&RetainingJobs ExpandingTaxBase EnhancingDowntown FacilitatingRedevelopment HousingChoiceforLife-Cycle 2015ActionStatements: 1.Researchforimplementationtheadoptionofa2016EDA(and/orHRA)levy. 2.ResearchforimplementationtheuseoftaxabatementbytheCityofMonticello, includingspecificusecriteria. 3.Clearlyunderstandallowableusesofavailablepooledhousingincrementasafinancial resource. 4.Continuetosupportredevelopmenteffortsforpublicly-ownedpropertiesonBlock34. 5.Engageasapartnerinotherredevelopmentopportunitiesastheyarise,actively encouragingredevelopmentwithintheTH25/CSAH75area. 2 6.MarketindustrialdevelopmentattheMonticelloBusinessCenter(OtterCreekBusiness Park),targetingbusinesseswhichwillbeasupplier,customerorcollaborativepartnerto existingbusinesseswithinthecommunity. 7.Encouragemoreproactiveleaddevelopmentandresponseinallmarketsegmentsto supportadiversifiedtaxbase. 8.Developandre-establishadedicatedeconomicdevelopmentstaffpositiontofacilitate andsupporttheaccomplishmentofComprehensivePlangoals. 9.MarketEDAincentiveprogramsinamoreproactivemanner,bothwithinthecommunity andbeyond,beginningwiththeeducationontheseresourcesattheEDAlevel. 10.ActivelymarketforsalefordevelopmenttheEDA-ownedpropertiesatCedarStreet,349 WestBroadwayand413W.4th Street. 11.Examinehousingstockforagingorblightedpropertiesandresearchdevelopmentof programsforredevelopmentand/orrevitalization. 12.SupportthedevelopmentoftheDestinationforInnovationbrandandimplementin economicdevelopmentactivities. Appendix:MonticelloComprehensivePlan,Chapter5-EconomicDevelopment 1 MayXX,2015 Mr.DanielP.Wolf ExecutiveSecretary PublicUtilitiesCommission 1217th PlaceEast,Suite350 St.Paul,MN55101 RE:SolarGardenProposal,Monticello,MN DearMr.Wolf, TheCityofMonticello,Minnesota,submitsthefollowingcommentsinregardtocommunitysolargarden programs,specificallytheSolar*RewardsCommunityprogram,andtheissuesraisedbythemanner applicantsunderthisprogramareseekingpermitstoconstructfacilities. TheCityofMonticellopresentsthefollowinganalysisandcommentasaresponsetotheproposed developmentofalarge-scalesolargardenwithintheCityofMonticello’sOrderlyAnnexationAreaby SunriseEnergyVentures. Thegoalofthefollowinganalysisandcommentistodetailhowsuchadevelopmentwouldsignificantly impacttheCityofMonticello’scarefullydevelopedshortandlong-termlanduseplanningefforts. PlanningandLandUsePolicy TheCityofMonticelloisacommunityofnearly14,000residentsinWrightCounty,northwestofthe TwinCities.Thecommunityhasgrownrapidlyoverthelast20years,andhasdevelopedasanimportant residential,commercialandindustrialcenterintheInterstate94corridorbetweentheTwinCitiesandSt. Cloud.ThepopulationoftheMonticellomarketareaisestimatedat90,000. ThecommunityishometooneofXcelEnergy’snuclearpowergenerationfacilities,andlargecorridors withintheareaarecoveredwithelectricaltransmissionlinecorridors.Sincetheearly1970s,whenthe XcelEnergyNuclearGeneratingPlantwasfirstconstructed,theCityhasworkedcloselywiththe surroundingMonticelloTownshipboardtoplanthearea’sgrowthanddevelopment.In2004,theCity andTownshipenteredintothecurrentMonticelloOrderlyAnnexationArea(MOAA)agreement, identifyingtheboundariesofmunicipalgrowthandtheprocessforannexationofterritorieswithinthe boundaryforurbandevelopment. TheMOAAagreementspecifiesthattheCitywillplanforurbanizationofthegrowtharea,andprovides thattheTownship,inconcertwiththeCity,willdiscourageannexationandurbangrowthuntilitmeetsa seriesofspecificcriteria.Theintentionisthatdevelopmentwilloccurwithinthemunicipalboundaries, andthatnewdevelopmentintheannexationareawillnotoccurinsuchawayastointerferewithrational, efficientgrowthwhichexpandsthoseboundaries. Thisplanningagreementhasprovidedboththecommunityandarealandownersagreatdealof predictabilityastothelong-termlandusepatternsfortheregion.Likewise,ithasallowedtheCityto carefullyplanthegrowthofitsinfrastructuretoensurethatitsinvestmentsinstreets,utilities,andrelated 2 publicservicescanbeexpandedasefficientlyaspossible.Thecomponentsofthisplanningrelateto quantity,location,andtimingofthatgrowth. However,withtherecentproposedexpansionofsolarenergyproduction,theCityfindsthatitsdecades- longworkatplanningitsgrowthareaisatrisk.SunriseEnergyVentures’proposedproject,understood tohavebeensubmittedundertheSolar*RewardsCommunityprogram,consistsof400-600acresofsolar panelarraysontheCity’simmediatewesternboundary,locatedfullywithintheterritorydesignatedfor futureurbangrowthintheMOAA,andwithintheheartof“NorthwestMonticello”,anareathatwas evaluateddistinctlywithintheCity’sComprehensivePlanasprimefocusareaforfutureurbangrowth. AsitfurtherrelatestotheNorthwestMonticelloarea,theComprehensivePlannotedthat“Future developmentwillbeinfluencedbythecapacityofthestreetsystem,includingplansfortheconstruction ofahighwayinterchange.”Additionally,“ThePlanseekstopreventdevelopmentfromlimitingthe locationoftheinterchange(orblockit)andtopreservetheareaaroundtheinterchangeforfuture commercial,industrialandresidentialdevelopment.” CommunityGrowth MuchofMonticello’scommercialandindustrialgrowthhasoccurredoveratenyearperiod,between 1996and2006,beforeitcametoasuddenclosewiththe“GreatRecession”.Ifthepaceofdevelopment duringthat10yearperiodisregained,overthenext30years,theCitycouldneedupwardsof1,000acres toservethatC/Igrowth.TheCitycurrentlyhaslessthan100acresofavailablelandguidedforindustrial uses.TheNorthwestArea,particularlywhenaccessiblethroughtheplannedinterchange,willprovide neededlandareaforindustrialgrowthandisidentifiedassuchintheComprehensivePlan. Additionally,basedontheCity’sanalysisofavailableresidentiallotinventoryandtheexpectedaverage numberofpermitsperyear,theCityestimatesavailablesinglefamilyland/lotinventoryoflessthan5 years.Again,theCity’slong-rangelanduseplanguidesresidentialusestotheNorthwestArea, specificallyduetothehighnaturalamenitiesandproximitytotheBertramChainofLakesRegionalPark. RelatedtotheCity’sgrowthplanningisnotmerelytherawquantityofgrowth,butalsothepace. Infrastructureplanningdoesnotproceedonalot-by-lotbasis.Rather,itexpandsingreatmassatatime. Liftstationsandtrunklinesareinstalledtoservehundredsofacres,wellsandwatertowersare constructedtoservethousandsofusers,andofcourse,majorroadsandinterchangesgoinallatonce.It isnecessarytoopenlargeswathsoflandareatoprovideaccesstotheseimprovements,andtojustifythe assessmentsandotherfinancingvehiclesthatsupportthem.TheCityhastoplanforlargeareasof growth,ratherthanalongseriesofconsistent,smalldevelopments. Further,theCitybelievesthatthemajorityofgrowth–bothC/Iandresidential,needstobefocusedinthe NorthwestAreatoaccomplishtwoimportantandrelatedobjectives:(1)Avoidoverwhelmingthe Highway25/I-94interchange,and(2)Createa“criticalmass”ofdevelopmenttosupportfeasible infrastructuredevelopmentinthatarea. Finally,thesebaseeconomicsofgrowtharenottheonlyfactorinacity’sgrowthplanning.Thereisalso a“multipliereffect”presentintheurbangrowth.Localbusinessesrelyongrowthinthecommunity’s populationtojustifynewretailandrestaurantoptions,andforasourceoflaborsupply.Withouta growingpopulation,newbusinesseswillseekotherlocationsoutsideofthearea,andexistingbusinesses mayseetheirbusinessactivitystall. 3 PropertyTaxImpact AnotherimportantfactorinevaluatingtheSunriseEnergyVenturesproposalisthecomparisonof propertytaxrevenues. Asolararraypaysacomparativelyinsignificantamountofpropertyandenergyproductiontaxes.Inan analysisoftheproperty and solarenergy productiontaxesidentifiedbySunriseincorrespondencewith theCity,itwasdeterminedthatrevenuegenerationfromasolararraypaysonlyabout5to12percentof thepropertytaxespaidannuallybyurbandevelopment. Landuse DevelopmentExample Used: TaxesPaidperacre SolarEnergyArray Sunrise(estimated)$240 Townhouses TimberRidge $2,475 Single Family Residential CarlisleVillage $2,000 Retail Walmart $4,300 Warehousing Dahlheimer $3,500 Manufacturing UMC $3,150 Usingtheaboveexamples,itisestimatedthatoverthecomparableamountofacreageasproposedforthe Sunriseprojectarea,theCitywouldexpecttocollectanywherefrom$700,000to$1.6millioninproperty taxesannually.Usingthesameexamplesfromthetaxgenerationtableabove,thefollowingtableshows howa400acresolararraycomparestootherurbanlandusesinotherimportanteconomiccategories: LandUse Example Dwelling units(du) Jobs/acre Housingor Jobsover400 acres SolarEnergy SunriseEnergy 0 0 0/0 Townhouses TimberRidge 5.9du/ac.-2,360du SingleFamilyRes.CarlisleVillage 2.4du/ac.-960du Retail Walmart -15 6,000jobs Warehousing Dahlheimer -10 4,000jobs Manufacturing UMC -12 4,800jobs InfrastructureandDevelopmentImpact&Policy TrunkUtilityExtension Asnoted,theareainwhichtheSunriseprojectisproposedtobelocatedisakeyareafortheCity’s continuedgrowthandfinancialstability.IncludedwithintheCity’splanningforurbangrowthisthe efficientextensionofmunicipalutilitiesandtransportationinfrastructure. Aspartofplanningforthelogicalextensionofmunicipalutilities,theCityofMonticellohasadopteda trunkutilityprogram.Thisprogramdevelopsalong-termplanfortheextensionofmunicipalutilitiesand services,includingthedevelopmentoffundstopayfortheconstructionoftheutilitylines,corridors,and supportinginfrastructure.Portionsoftheutilityimprovementsneedtobelargeenoughtoserveextensive areasoutsideoftheimmediatedevelopment.Theseutilitiesarecalledtrunkimprovementsandarepaid forthrough“trunkareafees”.Trunkimprovementsbenefittheentiresystem.Trunkutilityexpenditures 4 includewatertowers,wastewatertreatmentimprovements,liftstations,wells,andoversizingofservice lines. TheCity’sconsultingengineer,WSB&Associates,haspreparedasupplementarymemodetailingthe plannedextensionoftransportationandutilitycorridorsintheNorthwestMonticelloarea,includingtrunk transportationcorridorsandutilityimprovements.ThememofurtherexplainshowtheSunriseEnergy Venturesproposalwouldimpacttheorderlyexpansionofthoseservices. Moreover,someofthosecostshavealreadybeenincurred,includingsanitarysewerinfrastructurethatis poisedtoservedevelopmentinthenorthwestportionoftheMOAA.Withouttheabilitytocontinuethe City’splanningforanorthwestinterchange,pastinvestmentswillbewasted,andexistingtransportation issueswillcontinuetoincreaseinseverity. Finally,becausetheSunriseproposallieswithintheheartoftheNorthwestgrowtharea,theCitydoesnot havetheoptionto“justgoaroundit”.TheMOAAboundaryliesjustwestoftheSunriseproperty,and theCitydoesnothaveunilateralauthoritytoextendthatboundarytorecoupthelandlosttotheSunrise solarproject. EveniftheCitywereabletodoso,extendingadequatestreetsandutilitiespastunproductivelandto reachmoreremotedevelopmentisprohibitivelyexpensive.Thesprawlinducedbythishasrealcoststhat needtobespreadtootherdevelopment.Therealityisthatthosecostsmakedevelopmentunsustainable. InterchangePlanning SupportingthedesignationofNorthwestMonticelloasanareaforfutureurbandevelopment,theCityhas alsoidentifiedtheareawithinitsNorthwestInterchangeStudyArea.Theidentificationofthisareaasa locationforafutureinterchangeisintendedtoaddresstwointerconnectedissues. First,large-scaledevelopmentinotherportionsoftheCityisimpractical.TheCity’sclosestinterchange withI-94,atTrunkHighway25,issignificantlyoverwhelmedwithtraffic.Thisisdueinlargeparttothe factthatTH25istheonlyMississippiRivercrossingbetweenHighway101atElkRiverandTrunk Highway24atClearwater–adistancealongI-94of30miles. AsMonticellogrows,addingtraffictotheTH25interchangewillonlyexacerbatetheexistingproblem. Toaddressthisissue,theCityhasbeenplanningforanotherinterchangeinthenorthwestportionofthe Monticelloarea.ThisinterchangewoulddrawexistingandnewtrafficawayfromtheHighway25 location,facilitatingMnDOT’sinterestinitstrunkhighwayoperations. Thenorthwestinterchangeisdependentuponaconcentrationofgrowth.Tomakethenewinterchangea reality,theCityneedstobeabletoaddressthecostsofinterchangeplanningandconstruction.This raisesthesecondissue.Theonlywaytoreasonablypayforsuchaprojectistoensurethatitservesan extensiveareaofdevelopment,withapatternofdevelopmentdensitythatprovidesrevenueadequateto supporttheinfrastructureplanning.Alargesolararray,suchasthatproposedbySunrise,directly impactstheCity’sabilitytoaccommodateadequatelevelsofdevelopmentinitsMOAA.Thatplanning areaconsistsofapproximately1,000acres.Sunrise’sproposalpotentiallyconsumesmorethan40%of thatarea. Thedevelopmentofasolararrayconsumingthatamountofdevelopableacreagecouldthereforebea majorfinancialbarriertotheproposedinterchange,withdevastatingimpactsontheCity’slanduse patternsandfinancialstability. 5 DiscussionswithSunriseEnergyVentures SinceJanuaryof2015,theCityhasbeenincommunicationswithSunriseEnergyVenturesregarding theirproposal.CityrepresentativeshavemetwithSunriseEnergyVenturesrepresentativesinaneffortto conveytheseimpactsanddevelopsolutionsformitigation.Whilethediscussionshavebeencooperative innature,SunriseEnergyVentureshasnotcommittedtoaprogramwhichadequatelyaddressesthe mitigationofimpacts.ThroughtheeffortsofCitystaff,consultantsandelectedleaders,theCityof Monticellomadeastrongefforttoworkwiththedeveloperinfullyunderstandingandaddressingthe issuescreatedbytheprospectofahugesolarfarminthelongplannedgrowthcorridor.Todate,in additiontostafftime,over$25,000hasbeeninvestedinthiseffortinunderstandingthethreatand potentialbenefittothecommunityissueaswellasdeviseoptionsforthesolardevelopertoconsider. Summary&StatementofPosition Itisimportantthattheresponsiblestateagenciesreviewthecommunitysolarenergyproposalswithina planningandlanduseframework.Givenitsnotedimpacts,theCityofMonticellohastakentheposition thatutility-scalesolarenergysystemssuchasthatproposedbySunriseEnergyVenturesberequiredto meetthestandardsrequiredforanyotherproject.Inordertoproperlyspreadthecostofroadsand utilitiestothemembersoftheentireurbancommunity,asolarfacilitybuiltwithinarecognizedgrowth corridorshould,asapriceofthislocation,provideitspro-ratashareofdevelopmentexpenses. Unfortunately,afterconsiderablediscussion,thedeveloperdidconcurwiththeconceptofbeingtreated likeanyotherdevelopmentessentiallysayinglargesolarfacilitiesshouldbeallowedtodevelopwhere theywantwithoutregardtomunicipalplanningandassociatedroadandutilitiesextensionandfinancing. Solarenergyfacilitiesatlargerscales,suchasthatproposedwiththeSunriseEnergyVentures communitysolargarden,maybeabletofitwithinanurbanpattern,butgiventheimpactsnoted,only whenthelocalgovernmenthastheabilitytobeanactiveparticipantinsiteselectionandintegratesuch facilitiesintourbanservicesplanning. Thestate’sestablishmentoflocallanduseplanningauthoritystatesclearlythatthisauthorityisnecessary toensureresponsibleandfiscallysoundpublicinvestments.MinnesotaStatutes462.351reads: Thelegislaturefindsthatmunicipalitiesarefacedwithmountingproblemsinproviding meansofguidingfuturedevelopmentoflandsoastoinsureasafer,morepleasantand moreeconomicalenvironmentforresidential,commercial,industrialandpublic activities,topreserveagriculturalandotheropenlands,andtopromotethepublic health,safety,andgeneralwelfare.Municipalitiescanprepareforanticipatedchanges andbysuchpreparationsbringaboutsignificantsavingsinbothprivateandpublic expenditures.Municipalplanning,byprovidingpublicguidestofuturemunicipal action,enablesotherpublicandprivateagenciestoplantheiractivitiesinharmony withthemunicipality'splans.Municipalplanningwillassistindevelopinglandsmore wiselytoservecitizensmoreeffectively,willmaketheprovisionofpublicservicesless costly,andwillachieveamoresecuretaxbase. InadditiontothepotentialconflictwiththeCityofMonticello’scurrentlanduseplanning,largesolar arraysinurbanareashavethepotentialtocreatesprawlthataddstothecostsbornebyothertaxpayers. Roadways,travelandfuelcosts,andrelatedmunicipalservicecostsallrisewhensprawlingdevelopment spreadsoutbeyonditsmorecompactpattern.Industrialsolarpower,atascaleenvisionedbySunriseand manyofthecompaniesseekingdevelopmentinandaroundMonticello,isauseappropriateforruralareas 6 andappropriateforurbanlocationsonlywhenthechosenlocationadequatelyaddressesurbangrowth needsthroughbothlandsupplyandreliablerevenuesources. WhiletheCityofMonticellounderstandstheimpetusfortheestablishmentofrenewableenergy resources,itiscriticaltounderstandtheresultingimpactofsuchdevelopmentonthesustainabilityofan individualcommunity’slanduseplanning. ThankyoufortheopportunitytoprovidecommentrelatedtotheproposedSunriseEnergyVentures Monticellocommunitysolargardenproject. Sincerely, MayorBrianStumpf onbehalfoftheCityofMonticello PlanningCommissionAgenda:06/02/15 1 5.ConsiderationtoappointanIEDCmemberasaliaisontoChamber/staffdiscussions fortemporarysignordinance.(AS) A.REFERENCE&BACKGROUND: StaffwillbeworkingwithChamberrepresentativesoverthenextmonth(s)tohelp- developfeedbackandinformationrelatedtotemporarysignordinances.TheIEDCis askedtoappointaliaisontothesediscussionsforpurposesofprovidingaconduit betweenthetwogroupsandtothePlanningCommission. Staff’sintentionistorequestthattheChamberassistindevelopingasmallroundtableof businessesandpropertyownerstoprovidefeedbackfortemporarysignordinance development.TheIEDCliaisonwouldbeapartytothatroundtablediscussion.The informationgatheredwouldsupportamendmentspresentedtotheCityforconsideration. B.ALTERNATIVEACTIONS: 1.MotiontoappointIEDCCommissioner__________asaliaisonto Chamber/staffdiscussionsforthetemporarysignordinance. 2.Motionofother. C.STAFFRECOMMENDATION: StaffdeferstotheIEDConappointments. D.SUPPORTINGDATA: None.