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<br /> <br /> REQUEST FOR COUNCIL ACTION <br /> <br />Date: March 28, 2016 <br /> Item No.: 6 <br />______________________________________________________________________________ <br />Department Approval: Administrator Approval: Agenda Section: <br />Name: Michael P. Gaffron JML Planning Dept. <br />Title: Senior Planner <br />_____________________________________________________________________________________ <br />Item Description: #15-3774, Michael Steadman o/b/o Irwin Jacobs, 1700 Shoreline Drive – <br />- Extension of Heritage Lane: Authorize City Purchase of Wetland Credits <br />______________________________________________________________________________ <br /> <br />List of Exhibits: <br /> A – Wetland Credits Purchase Agreement <br /> B – BWSR Transaction Form for Withdrawal of Credits from Minnesota Wetland Bank <br /> C – Joint Application Form <br />D – TEP Findings Report <br /> <br />Preliminary plat approval was granted for the 1700 Shoreline Drive subdivision project in <br />December. A portion of a small wetland will be filled in conjunction with the extension of <br />Heritage Lane within the City right-of-way. Developer Mike Steadman and Mark Gronberg <br />initially expected that because this fill would be less than 1,000 s.f. it would be eligible for a <br />deminimus exemption and would not have to be mitigated. They also believed, as did the City, <br />that if for some reason it was required to be mitigated, there was ample area on the Jacobs <br />property to accomplish that mitigation. <br />Pursuant to review of the wetland impacts, the MCWD convened a Technical Evaluation Panel <br />(TEP) in January. It has become apparent based on the TEP Findings Report that the work in the <br />existing right-of-way is being considered as a separate project from the subdivision. The result of <br />this determination is that because the portion of the wetland being filled exceeds 5 percent of the <br />City-owned portion of the wetland, the fill does not qualify for the deminimus exemption and <br />must be mitigated. And because the wetland area being filled extends almost to the boundaries of <br />the road right-of-way, there is no area available on the right-of-way to accomplish that <br />mitigation. While mitigation could physically be accomplished within the Jacobs property it is <br />not clear whether the MCWD would accept that mitigation. Therefore, the developer is pursuing <br />purchase of wetland credits for this impact. <br />Wetland Credits. The developer has located wetland credits within the state wetland bank <br />(administered by the Minnesota Board of Water and Soil Resources or “BWSR”) and has <br />provided the paperwork for City execution. The City is considered as the applicant since the <br />impacts are to a wetland on City property. There are three documents to be executed by the City: <br />1. Wetland Credits Purchase Agreement between ‘Seller’ Jeff Richards and the City of <br />Orono. This needs to be signed by an authorized representative of the City as ‘Buyer’. <br />Soren has concluded that this agreement must be considered as a contract and requires <br />Council authorization to proceed. Additionally, the City will be required to provide a <br />check for $500.00 as earnest money with the Purchase Agreement. (fully reimbursable <br /> <br />