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Res 1996-29 00043 RESOLUTION NO. 29 - 1996 RESOLUTION ADOPTING FINDINGS OF FACT ESTABLISHING THAT A NEW ENVIRONMENTAL ASSESSMENT WORKSHEET IS NOT REQUIRED FOR LAKE POINTE OFFICE PARK, AND RELATED TRUNK HIGHWAY 65/WEST MOORE LAKE DRIVE/CENTRAL AVENUE INTERSECTION IMPROVEMENTS UNDER MINNESOTA ENVIRONMENTAL QUALITY BOARD ENVIRONMENTAL REVIEW PROGRAM RULES WHEREAS, in 1985, Woodbridge Properties, Inc. ("Woodbridge") proposed a phased development of 749,730 square feet of office and commercial uses to be known as Lake Pointe Corporate Center ("Lake Pointe") on about 42 acres of land in the northwest quadrant of the intersection of Trunk Highway 65 and Interstate 694 ("Site") in the City of Fridley, Minnesota ("City") ; and WHEREAS, Lake Pointe required preparation of a mandatory environmental assessment worksheet ("EAW") under Minnesota Environmental Quality Board ("EQB") Environmental Review Program rules because of its size, number of parking spaces, and sanitary sewage generation; and WHEREAS, the City was the responsible governmental unit for preparation of the Lake Pointe mandatory EAW under EQB rules; and WHEREAS, in February 1986, Woodbridge and the City prepared a mandatory EAW for Lake Pointe (the "1986 Lake Pointe EAW") ; and WHEREAS, the City published notice of the availability of the 1986 Lake Pointe EAW for public review and distributed the EAW for comment in accordance with EQB rules; and WHEREAS, the 30-day period for review and comment on the 1986 Lake Pointe EAW ended on March 12, 1986; and WHEREAS, the City reviewed written comments submitted to it during the 30-day review period and other information it assembled regarding Lake Pointe environmental impacts; and WHEREAS, the City considered the type, extent and reversibility of environmental effects of the 1986 Lake Pointe project, the cumulative potential effects of related or anticipated future projects, the extent to which the environmental effects of the 1986 Lake Pointe project were subject to mitigation by ongoing public regulatory authority, and the extent to which environmental effects of the 1986 Lake Pointe project could be anticipated and controlled as a result of environmental studies undertaken by public agencies or the project proposer; and WHEREAS, in March 1986, the City staff prepared proposed findings of fact and a record of decision as required by EQB rules; and WHEREAS, on March 17, 1986, the City Council adopted Resolution No. 19-1986, a negative declaration finding that an environmental impact statement was not required for the 1986 Lake Pointe project because the project did not have the potential for significant environmental effects under state law; and 00044 Page 2 -- Resolution No. 29 - 1996 WHEREAS, on July 14, 1986, the Minnesota Pollution Control Agency issued an indirect source permit to Woodbridge and the City for the 1986 Lake Pointe project; and WHEREAS, on August 12, 1986, the City rezoned the Site to S-2 Redevelopment District; and WHEREAS, in the late 1980s, some street, utility and drainage improvements and a perimeter berm and plantings were constructed to serve the 1986 Lake Pointe project; and WHEREAS, none of the proposed office and commercial buildings has been constructed on the Site; and WHEREAS, in December 1992, the Fridley Housing and Redevelopment Authority ("HRA") purchased the Site from the original developer and initiated a marketing campaign to attract - potential developers and users; and WHEREAS, in 1995, the HRA entered into a Contract for Exclusive Negotiations ("Contract") with MEPC American Properties,and c commercial to market the Site and attract high quality office development; and WHEREAS, the S-2 zoning district and the Contract require City and HRA approval of a master plan; and WHEREAS, MEPC has prepared and submitted to the City and the HRA a Lake Pointe Master Plan, dated March 29, 1996 (the "1996 Lake Pointe Master Plan") , for office and commercial development on the Site; and WHEREAS, the 1996 proposed Lake Pointe project is similar but not identical to the 1986 Lake Pointe project for which the 1986 Lake Pointe EAW was prepared; and WHEREAS, new governmental approvals are required for the 1996 proposed Lake Pointe project; and WHEREAS, the City as responsible governmental unit under current EQB rules must determine whether the 1996 proposed Lake Pointe project involves a substantial change in the development that may affect the potential for significant adverse environmental effects under state law and EQB rules; and WHEREAS, the City and its consultants compared the characteristics of the proposed 1996 Lake Pointe project to the characteristics of the previously proposed 1986 Lake Pointe project and evaluated changes in existing and planned surrounding land uses since the adoption of the Lake Pointe EAW negative declaration finding on March 17, 1986; and WHEREAS, the City and its consultants conducted new traffic, air quality, noise and wetland studies of the 1996 proposed Lake Pointe project and related roadway improvements and generally updated the environmental analysis contained in the 1986 Lake Pointe EAW and supporting documents; and OCVIS Page 3 -- Resolution No. 29 - 1996 WHEREAS, the City has determined, based on the following Findings of Fact and the Record of Decision attached hereto as Exhibit A, that the 1996 proposed Lake Pointe project is not a substantial change from the previously proposed 1986 Lake Pointe project under EQB rules: The 1996 Lake Pointe Site is the same as the 1986 Lake Pointe Site. Land uses in the vicinity of the Site have not changed dramatically since preparation of the 1986 Lake Pointe EAW. Some neighboring vacant properties have been developed since 1986, primarily for office, townhome and commercial uses. This development pattern was generally anticipated in the 1986 Lake Pointe EAW and conforms with the City Comprehensive Plan. No sensitive institutional land uses have been built since 1986 in the vicinity of the Site. The two single- family homes closest to the West Moore Lake Drive/Trunk Highway 65 intersection were purchased by the HRA in 1994 and 1995 . This is consistent with the 1986 Lake Pointe indirect source permit which required removal of the home at 5701 West Moore Lake Drive prior to construction of Phase II because of projected air quality impacts at the intersection. The types of land uses proposed for the 1996 Lake Pointe project are substantially similar to the types of land uses proposed for the 1986 Lake Pointe project. Each project involves a predominant office component with ancillary service commercial uses, such as hotel, restaurant and bank. The total amount of building square footage (672,313 square feet) shown on the 1996 Lake Pointe Master Plan is about 11% less than the total amount of building square footage (749,730 square feet) proposed for the 1986 Lake Pointe project. The 1996 project also requires construction of fewer parking spaces (2, 811) than the number of parking spaces (2, 925) required for the 1986 project. Both the 1996 and the 1986 Lake Pointe projects are or were phased developments. Environmental analyses for each project considered a Phase I development and full development of the overall project. The previously proposed project' s first phase (1988 completion) included 130,000 square feet of office and restaurant use; at full development (year 2000 completion) , the 1986 Lake Pointe project would have included 749,730 square feet, consisting of 646,230 square feet of office use, 90,000 square feet of hotel use, a 3,500 square foot convention area and a 10,000 square foot restaurant. The currently proposed 1996 Lake Pointe project' s first phase (1999 completion) assumes construction of up to 213,345 square feet of office and service commercial uses. At full development in 2008, the 1996 Lake Pointe Master Plan shows construction of a total of 582,000 square feet of office use and 90,313 square feet of service commercial uses. 00046 Page 4 -- Resolution No. 29 - 1996 The 1996 Lake Pointe project is less intense than the 1986 Lake Pointe project in terms of lot coverage (7% vs. 10%) and total number of buildings (seven vs. ten) . The range of building heights proposed for the 1996 Lake ame as the Pointe project (one to eight proposed for the 1986 slake Pointe range of building heights p P Both projects involved project (one to eight stories) a commercialfuses three-level parking al ramps area toe the office the north. and nd co Screening, berming and building setbacks s for the the north residential area, and perimeter plantings to proposed Lake Pointe project are substantially similar and those proposed for the 1986 project. landscaping described in the 1986 Lake Pointe EAW, which included a 40-foot planting area, the right-of-way for Bridgewater Drive, a 20-foot setback to parking ramps, a three to five foot high berm and perimeter conifer, deciduous and shrub plantings were installed during street and utility construction in the 1980s. The storm water management concept for the 1996 proposed Lake ter Pointe project is substantially similar to the storm water management concept for the 1986 Lake Pointe project. projects involved on-site ponds for rate anticipated a din ater quality treatment purposes. Five ponds 1986 Lake Pointe EAW were installed on ncludes construction late 1980$. The 1996 Lake Pointe project five additional on-site treatment ponds consistent with current regulatory criteria. The 1986 Lake Pointe EAW discussed the need for geometric improvements to the existing West Moore Lake Drive/Trunk Highway 65 intersection to accommodate full development of Lake Pointe and other planned development in the surrounding area. The 1986 Lake Pointe EAW included a co c peualtdesign for these intersection improvements.re 1996 Lake Pointe project analyses of the currently proposed identify the need for the same intersection improvement identified t West Moore Lake Drive and Trunk Highway other major d in the 1986 Lake Pointe EAW• improvements are required to serve the currently proposed project. WHEREAS, the City has determined, based on the following Findings of Fact and the Record of Decision attached hereto as Exhibit A, that the t 1996 proposed Lake Pointe project, as compared to the previously proposed 1986 Lake Pointe project considered in the 1986 Lake Pointe EAW, does not have the potential for significant adverse environmental effects under st ate law Traffic. The 1996 proposed Lake Pointe project pre-development roadway system is similar toe 1986 Lake Pointe project pre-development roadway system, several roadway improvements have occurred since preparation 00047 Page 5 -- Resolution No. 29 - 1996 of the 1986 Lake Pointe EAW, including construction of Lake Pointe Drive and Bridgewater Drive to serve the Site in 1986-1987 and construction ot aaaitionai lanes ot traffic in both directions on I-694 from the Mississippi River east past the Site in 1989 and 1990 . As documented in Exhibit A Record of Decision, the City' s consultant, Benshoof & Associates prepared an updated traffic analysis of the 1996 proposed Lake Pointe project ("1996 Lake Pointe Traffic Analysis") . To allow for possible intensification of the land uses shown on the 1996 Lake Pointe Master Plan, the 1996 Lake Pointe Traffic Analysis and related air quality and noise studies prepared by David Braslau Associates, Inc. , assumed a Phase I development (1999) of 213,345 square feet (133, 500 square feet office, 9, 845 square feet restaurant, 6,000 square feet bank, 4,500 square feet day-care, and a 130-room, 60, 000 square feet hotel) and a full development (year 2008) of 729,345 square feet (649,500 square feet office, 9, 845 square feet restaurant, 6, 000 square foot bank, 4,500 square foot day- care, and a 130-room, 60, 000 square foot hotel) . The 1996 Lake Pointe Traffic Analysis demonstrates that the 1996 project generates 20% less a.m. peak hour trips and 9% less p.m. peak hour trips than the 1986 Lake Pointe project, assuming application of current Institute of Transportation Engineers trip generation methodology to the 1996 project. The directional distribution of trips, traffic assignment and access for the 1996 proposed Lake Pointe project are substantially similar to the directional distribution of trips, traffic assignment and access for the previously proposed 1986 Lake Pointe project. Existing traffic conditions for the 1996 Lake Pointe Traffic Analysis were documented by traffic counts in December 1995 at the West Moore Lake Drive/Trunk Highway 65, Seventh Street/Lake Pointe Drive, and Seventh Street/57th Avenue North intersections, and in late spring or early summer 1995 at the Trunk Highway 47/57th Avenue intersection. Traffic generated by the recently approved Home Depot Store on Main Street was accounted for by adding Home Depot trip generation predicted by Home Depot's traffic consultant to 1995 traffic counts. These 1995 counts were factored up to 1999 base conditions in all cases. The 1996 Lake Pointe Traffic Analysis capacity study demonstrates that with one exception, all affected critical intersections will operate at an acceptable level of service (D or better) during the p.m. peak hour at full development of the currently proposed project. The 1996 Lake Pointe Traffic Analysis and the 1986 Lake Pointe EAW demonstrate that pre-development traffic operations at the West Moore Lake Drive/Trunk Highway 65 intersection are or were near capacity, given traffic volumes and geometrics existing in 1996 or 1986, respectively. The 1996 Lake Pointe Traffic Analysis and the 1986 Lake Pointe EAW demonstrate that full development project traffic plus future background traffic cannot be accommodated for either 00045 Page 6 -- Resolution No. 29 - 1996 development at an acceptable level of service without geometric improvements to the West Moore Lake Drive/Trunk Highway 65 intersection. The 1986 Lake Pointe EAW discussed a conceptual design for necessary intersection improvements; subject to design refinement, the same conceptual design is necessary to accommodate the currently proposed Lake Pointe project and traffic growth in the area consistent with the City Comprehensive Plan. The 1996 Lake Pointe Traffic Analysis identifies a potential need to accelerate the timetable for construction of the West Moore Lake Drive/Trunk Highway 65 intersection improvements to ensure acceptable traffic operations for maximum first phase development as shown on the 1996 Lake Pointe Master Plan. Traffic generated by the 1996 Lake Pointe project does not, however, require construction of roadway improvements that were not identified as potential mitigation measures in the 1986 Lake Pointe EAW. Air Ouality. At full development of either the 1996 proposed Lake Pointe project or the previously proposed 1986 Lake Pointe project, carbon monoxide levels are projected to comply with applicable air quality standards. This is true for the 1996 proposed project even in the absence of geometric roadway improvements to the West Moore Lake Drive/Trunk Highway 65 intersection identified in the 1996 Lake Pointe Traffic Analysis as necessary to accommodate full development of Lake Pointe, plus future background traffic volumes, at level of service D or better. Noise. 1996 Lake Pointe traffic noise effects are expected to be substantially similar to those of the previously proposed 1986 project: traffic generated by both projects results in some relatively small increases in background noise levels but neither project causes a perceptible (greater than 3 decibels) new violation of applicable state noise standards. Background (pre-development) noise conditions have deteriorated somewhat at some receptors since preparation of the 1986 Lake Pointe EAW, primarily because of increased traffic on surrounding roadways. However, the residential receptor closest to the West Moore Lake Drive/Trunk Highway 65 intersection has been acquired by the City since adoption of the negative declaration in March 1986. In addition, noise modeling for the 1996 Lake Pointe Master Plan performed by the City's noise consultant documents that construction of the currently proposed Lake Pointe buildings and parking ramps shields the residential area immediately north of the Site from roadway noise. At full development, traffic noise levels at ten homes that would exceed state noise standards without Lake Pointe would drop below state standards. Soils and Groundwater. Soil conditions on the Site are or were generally acceptable for the 1996 or 1986 Lake Pointe projects, respectively. In 1994 and 1995, the HRA's consultant, B.A. Liesch Associates, Inc. , conducted a Phase I environmental assessment of the Site. The Phase I assessment 000 41) Page 7 -- Resolution No. 29 - 1996 suggested that above or below ground storage tanks may have been located on the Site at a bus garage or a motel located in the area between 1949 and 1957. A Phase 11 environmental assessment of a potential petroleum tank release was conducted in 1995. Based on the low levels of contamination reported, the Minnesota Pollution Control Agency determined that it will not require an additional investigation or corrective action at this time for the minor levels of petroleum contamination identified in the Phase II environmental assessment. Wetlands. The 1986 Lake Pointe EAW was prepared prior to adoption of the Minnesota Wetland Conservation Act in 1991. It did not identify any wetlands regulated by the Minnesota Department of Natural Resources or the United States Army Corps of Engineers on the Site. Construction of geometric improvements at the West Moore Lake Drive/Trunk Highway 65 intersection identified in the 1986 Lake Pointe EAW as a traffic mitigation measure required minor encroachment in West Moore Lake, a state-protected wetland north of the Site. In 1987, the Minnesota Department of Natural Resources issued a protected waters permit to the City authorizing filling of about 0 .24 acre of West Moore Lake for the intersection improvements. The City' s wetland consultant, Peterson Environmental Consulting, Inc. , reviewed the Site in the field on October 3, 1995, to determine if it included any jurisdictional wetlands under current state and federal law. Five stormwater treatment ponds are currently located on the Site. No other wetlands or water bodies were observed. Four of the five stormwater ponds were constructed on uplands and are exempt from the Minnesota Wetland Conservation Act and typically are not regulated by the U.S. Army Corps of Engineers under Section 404 of the Clean Water Act. The fifth pond adjacent to West Moore Lake Drive appears to have been constructed in wetland. The pond can continue to be used for stormwater treatment without any additional wetland permits. Peterson Environmental Consulting also reviewed the conceptual design for the West Moore Lake Drive/Trunk Highway 65 improvements. PEC identified a maximum of 0.86 acre of fill within Moore Lake for the intersection improvements, depending on the maximum slopes from the edge of the proposed roadway shoulder. This wetland impact is currently regulated by the Minnesota Department of Natural Resources and the U.S. Army Corps of Engineers. Further analysis of the feasibility of avoiding or minimizing wetland impacts will be conducted as part of the intersection improvements design phase. Compensatory wetland mitigation will also be provided. Vegetation and Wildlife Impacts. Neither the 1996 proposed Lake Pointe project nor the previously proposed 1986 project affects state endangered, threatened or special concern animal or plant species. Significant grading for street and utility construction occurred on the Site in the late 1980s. The Site currently provides marginal wildlife habitat oo •o Page 8 -- Resolution No. 29 - 1996 typical of undeveloped urban areas. These undeveloped areas mainly provide habitat for small mammals and songbirds that are common to suburban areas. The individual blocks of habitat are too small to support larger mammals and receive too much human use to support easily disturbed species. Because of the small amount and marginal quality of wildlife habitat on the Site, the 1996 proposed Lake Pointe project is expected to have a negligible impact on wildlife habitat. Peterson Environmental Consulting preliminarily analyzed the vegetation and wildlife impacts of the wetland encroachment required for the related West Moore Lake Drive/Trunk Highway 65 intersection improvements. Three habitat types may be affected, including palustrine open water (0 .54 acre) , emergent fringe dominated by cattails (0.32 acre) and manicured turf with scattered trees and brush (0.07 acre) . Although the open water habitat is utilized by migrating waterfowl, wading birds, reptiles and some game fish, the small area of impact is not expected to significantly affect these species . Fringe areas are utilized by redwing blackbirds, common yellowthroats, yellow warblers, robins, muskrats, deer mice or meadow voles. Although these species will be directly impacted by loss of habitat, filling some of the open water areas may provide suitable substrate for the growth of emergent vegetation along the edge of the road and ultimately provide suitable habitat. Lawns and manicured turf provide robins and other species foraging substrate but provide little habitat for nesting and shelter. Impacts to regional wildlife populations are expected to be negligible because of the abundance of this type of habitat in the metropolitan area. Hydrology. Five stormwater ponds have been constructed on the Site consistent with the stormwater management conceptual plan described in the 1986 Lake Pointe EAW. The percentage of the Site proposed to be converted to impervious surface for the 1996 Lake Pointe project is substantially similar to the percentage of the Site proposed to be converted to impervious surface for the previously proposed 1986 project. Post-development runoff volumes from the 1996 proposed Lake Pointe project for the 10-year and 100-year storm events are projected to be comparable to post-development runoff volumes from the previously proposed 1986 project for the same events. Five additional stormwater ponds are proposed for the 1996 project to provide post-development peak runoff rates less than or equal to pre-development peak runoff rates. These ponds are also being designed to maximize water quality treatment and will be equipped with devices to trap floatable pollutants and debris. Water Ouality. 1996 Lake Pointe project water quality effects are expected to be substantially similar to those of the previously proposed 1986 Lake Pointe project. Stormwater runoff from either development would likely include greater concentrations of nutrients and other pollutants, such as sediment and floatable oil and debris, than stormwater 00051 Page 9 -- Resolution No. 29 - 1996 runoff from the Site in its undeveloped condition. This is an unavoidable impact of conversion of vacant property to urban land use consistent with regional and local land use plans and policies. In response to a comment on the 1986 Lake Pointe EAW, the original developer's consultant analyzed Lake Pointe's potential phosphorus loading impacts on West Moore Lake. This study documented no noticeable change in trophic levels in West Moore Lake related to the previously proposed 1986 Lake Pointe project. Water quality effects of the 1996 proposed Lake Pointe project will be mitigated by a permanent stormwater ponding system that will include five more ponds than the stormwater ponding system proposed in the 1986 Lake Pointe EAW. The newly proposed water quality treatment ponds and will pretreat the portion of project runoff that drains to West Moore Lake and will provide an enhanced level of water quality treatment as compared to the previously proposed stormwater ponds. These ponds will generally meet National Urban Runoff Program ("NURP") criteria. During construction, erosion control devices will be employed to minimize soil erosion and sedimentation. Disturbed areas will be revegetated consistent with City and watershed district criteria. Shoreland and Flood Plain. A portion of the northeast corner of the Site lies within the shoreland of West Moore Lake as defined by state law. The City has not yet adopted a state- approved shoreland zoning district. However, the DNR Area Hydrologist recently approved the City's conceptual request for flexibility from state-wide standards for lots outside of the first tier of lots directly adjacent to West Moore Lake and three other shoreland basins. The 1996 proposed Lake Pointe project is expected to conform to shoreland management criteria ultimately agreed to by the City and the Minnesota Department of Natural Resources. The Site is not located within a flood plain zoning district and is not within a designated 100-year floodplain as shown on the Federal Emergency Management Association Map dated March 2, 1981. However, geometric improvements to the West Moore Lake Drive/Trunk Highway 65 intersection recommended as mitigation measures for both the currently proposed 1996 Lake Pointe project and the previously proposed 1986 project will likely require a minor reduction in 100-year storage volume and 100- year high water elevation for West Moore Lake Drive. These minor impacts were conceptually approved by the Minnesota Department of Natural Resources and Rice Creek Watershed District in 1987 for the previously proposed project. Permit approvals will be updated as necessary, consistent with final design of the intersection improvements and current regulatory criteria. Sanitary Sewer and Water. Sanitary sewer and water were installed in 1986 and 1987 to serve the Site. The utilities are appropriately sized to accommodate the 1996 proposed Lake Pointe project. This utility construction eliminated the 00(7'2 Page 10 -- Resolution No. 29 - 1996 constraint in the trunk sewer line under 57th Place Northeast that was identified in the 1986 Lake Pointe EAW. Cultural and Historic Resources. In February 1986, the Minnesota Historical Society determined that the Lake Pointe project area does not include any known sites of historic, architectural, cultural, archeological, or engineering significance. There are no known sites in the project area which are on the National Register or eligible for inclusion on the National Register. Therefore, neither the 1996 proposed Lake Pointe project nor the previously proposed 1986 project affects significant cultural or historic resources. NOW, THEREFORE BE IT RESOLVED, that the City of Fridley as responsible governmental unit under the Minnesota Environmental Quality Board Environmental Review Program rules finds that a new environmental assessment worksheet is not required for Lake Pointe Office Park and related West Moore Lake Drive/Trunk Highway 65/Central Avenue intersection improvements. PASSED AND ADOPTED BY THE CITY COUNCIL OF THE CITY OF FRIDLEY THIS 8TH DAY OF APRIL, 1996. 14/. .. , 7 WILLIAM J. NEE - MAYOR ATTEST: 1, L4/14y. a. OL - WILLIAM A. CHAMPA IC TY CL ERK 000 S a Page 11 -- Resolution No. 29 - 1996 EXHIBIT A RECORD OF DECISION - LAKE POINTE OFYICE PARK SITE HISTORY On December 20, 1985, the Fridley HRA entered into a Contract for Private Redevelopment with Lake Pointe Investment Company. The Contract permitted the construction of a multi-phase campus development consisting of 9 buildings including six office buildings, three commercial buildings, and low profile parking ramps with a total development square footage of approximately 749, 730 square feet. In 1986, the City approved the requisite rezoning, plat and special use permit applications to permit the developer to begin construction. The property was officially rezoned to S-2, Redevelopment District on August 12, 1986. The City also approved construction of the street, installation of utilities, and installation of landscaping and irrigation. The property was also graded according to an approved storm water management plan and the building pads were prepared in accordance with the approved Master Plan for the site. An Environmental Assessment Worksheet was prepared by the developer and was approved by the City on March 17, 1986. An Indirect Source Permit was obtained from the Minnesota Pollution Control Agency (MPCA) on July 14, 1986 . Traffic, air and noise analyses were prepared for these documents and the required state, regional, and local agencies provided comments on these documents. The MPCA Indirect Source Permit expired because the development did not proceed. A new Indirect Source permit will be necessary because the site will contain 2, 811 parking spaces and is located at a high traffic volume interchanges. In conjunction with the planning for the redevelopment of the property, the City retained SEH, Short Elliot, Hendrickson, to prepare a schematic of the proposed improvements to the Highway 65/West Moore Lake Drive/Central Avenue intersection. The developer's traffic consultant had completed a traffic analysis which indicated the need to change the geometrics of the intersection in order to accommodate the traffic from the development and the increase in the traffic for the general area. When it became apparent that development would not occur on the property, authorization to proceed with the intersection improvements was delayed. Development on the property did not occur due to many factors. During the mid to late 1980 's, the Twin City metropolitan area experienced a significant amount of growth in all construction sectors. Class A office space boomed in Minneapolis and St. Paul as well as in some suburbs, particularly in the southwest part of the region. Further complicating development efforts were changes in federal tax laws and in financial institutions lending practices. Although presented with proposals to develop the site as a commercial power center or one story office warehouse complex, the City Council and HRA decided to retain the original vision of the property as a corporate ®OS4 Page 12 -- Resolution No. 29 - 1996 office campus. The HRA purchased the property from the developer in December 1992, and initiated a marketing campaign to attract potential developers and users. In 1995, the HRA entered into a Contract for Exclusive Negotiations with MEPC American Properties Inc. to market the site and to attract office and commercial development. The S-2 zoning district requirements and the recently executed Contract • with MEPC requires approval of a Master Plan by the City and the HRA. MEPC has prepared the plan and has submitted it for review. EXISTING CONDITIONS; WHAT HAS CHANGED SINCE 1986 REVIEW? Streets Lake Pointe Drive and Bridgewater Drive were constructed in 1986 - 1987 to serve the property. Although the right of ways have not been platted, a 60 foot right of way is proposed with 36 foot wide streets around the central part of the site. The street and right of way are larger at the intersection of Lake Pointe Drive with existing West Moore Lake Drive. The streets are lined with concrete curb and gutter. I-694 was improved in 1989 and 1990 to provide additional lanes of traffic in both directions from the Mississippi River east past the Lake Pointe site. No physical changes have occurred to the T.H. 65 intersection, however, increased traffic, especially at the Central Avenue leg of the intersection has warranted additional analysis. Utilities Sanitary sewer, water, and storm sewer facilities were installed in 1986 and 1987. The utilities are appropriately sized to serve the development. Storm ponds were created to provide adequate treatment of runoff from the development. There have been no significant changes to the utility system which may affect the site. Soils Significant grading occurred on the property during street and utility construction. Subterranean Engineering prepared soil reports documenting the soil conditions on the property. Building pad sites were prepared according to the Master Plan approved by the City. In 1994, the HRA commissioned Bruce A. Leisch and Associates to complete a Phase I Environmental Site Assessment (copy dated December 7, 1994 available from the Community Development Department) . It was determined that an area of the site now occupied by the ramps to the interstate was once the location for bus garage and motel. After a thorough review of historical aerials and files, there is no evidence of hazardous waste dumping, mining, or dumping. Page 13 -- Resolution No. 29 - 1996 The MPCA file search revealed identification of a leak site at the Uno Ven automotive station at 5695 Central Avenue, northwest of the property. Two soil borings were advanced in the Lake Pointe property; one boring was advanced in the area where it is thought the garage once existed. Low levels of impacted materials were found at the boring where the garage once existed, but because the amounts are very small, the MPCA will not require corrective action. It does not appear that the leak site at the Uno Ven property is affecting the Lake Pointe property. The MPCA issued a letter dated May 4, 1995 which stated that MPCA will not require any additional corrective action on the site. Buffer Strip and Landscaping Also installed during street and utility construction were boulevard trees around the perimeter of the site and plantings in the 40 foot buffer strip along the residential area to the north. Irrigation systems were also installed to maintain the vegetation. As part of the rezoning application, a 140 foot strip of land was left as R-1, One Family Dwelling to provide a buffer area between the single family homes to the north and the buildings on the property. A 40 foot planting area was reserved within the 140 foot strip along the neighborhood boundary. The 60 foot right of way for Bridgewater Drive is also within the 140 foot strip leaving a remaining 40 foot area on the office portion of the property. A special use permit was approved in 1986 to permit construction of the parking lots and decks to encroach about 20 feet within the 140 foot strip. The parking areas were 20 feet from the Bridgewater Drive right of way which is a typical setback for office parking lots. A combination of conifers, deciduous trees, and shrubs were planted in the 40 foot strip abutting the single-family homes. A berm was also provided in this area to provide additional height for the landscaping. The original plan anticipated construction of a three to a five foot berm with additional vegetation on it on the south side of the Bridgewater right of way to screen the activity of the parking areas. The MEPC proposal is similar. The parking decks appear to be 10 feet within the 140 foot strip but may be able to be shifted to the south to avoid the strip altogether. The preliminary grading and landscaping plan also proposes additional berming along the decks and additional conifers and shrubs are also proposed. There is no significant change or increase in intensity for this area. ADJACENT LAND USE AND ZONING North Single family residences are located north of the property. The zoning is R-1, One Family Dwelling. 000:506 Page 14 -- Resolution No. 29 - 1996 No significant changes in land use or zoning have occurred in this area since consideration or the original request. The two single family homes located nearest to the West Moore Lake Drive intersection were purchased by the HRA in 1994 and 1995. The homes were acquired for two reasons. First, the proposed realignment of Lake Pointe/West Moore Lake Drive would necessitate the removal of the most easterly home (5701 West Moore Lake Drive) and the second home (5707) would be very close to the realigned roadway. Second, the original Indirect Source Permit required the removal of 5701 West Moore Lake Drive prior to construction of Phase 2 of the original development because of air quality impacts at the intersection. South Located immediately to the south of the property is I-694 . To the south of the interstate and to the east of 7th Street are single family homes zoned R-1. Commercial uses are located in the immediate vicinity of the southwest corner of I-694 and Highway 65 . Target, United Stores, Embers and other retail uses are zoned C-3, General Shopping District. No changes in land use or zoning have occurred in this area. East Across Highway 65 to the east of the site is a mixture of residential and commercial uses and zoning. Immediately abutting the northeast corner of the Interstate is a gas station, apartment buildings, owner occupied townhomes, single family homes, and office uses. The area is zoned C-1, Local Business; R-3, General Multiple Family, CR-1, General Office; and R-1, One Family Dwelling. New development since original consideration of the site includes a three story, 30, 000 square foot office building and 38 townhome units. The R-1 area is separated from Highway 65 by the C-1 and R-3 zoning. West Two multiple family zoning districts are located immediately west of the property separated by the 7th Street right of way. Duplexes and small apartment buildings are located on the west side of 7th Street. R-3, General Multiple Family and R-2, Two Family Dwelling District zoning extends to the west to University Avenue south of 57th Avenue. Several commercial uses are located at the 57th Avenue and University Avenue intersection. Rapid Oil, Super America and Motor Valet are located on the east side of the intersection. Holiday Plus , Hardees, Burger King, Tires Inc, and non-conforming residential uses are located on the west side of the intersection. In 1995, a rezoning from M-2, Heavy Industrial and C-2, Commercial to C- 3, General Shopping Center District was approved for the construction of a 130,000 square foot commercial building to be occupied by Home Depot and PetSmart. Page 15 -- Resolution No. 29 - 1996 PROPOSED PROJECT; MEPC AMERICAN PROPERTIES Project Characteristics The proposed master plan prepared by MEPC dated March 29, 1996 maintains the City's vision for the property as a corporate office park with supporting commercial uses. As in the original proposal, multi level parking facilities are proposed between the neighborhood and office buildings. While the general land use pattern and vision of the property remains the same, there are differences between the original plan and MEPC's proposal. In general, the MEPC plan is less intensive. Density/Building Square Footage One of the differences between the MEPC proposal and the original proposal is size. The amount of total construction proposed by MEPC is 672,313 square feet as compared to the original 749,730 square feet; a difference of 77,317 square feet. Seven buildings are proposed as compared to the original 9. Four office buildings totaling 582, 000 square feet are proposed along Lake Pointe Drive. Two three level parking decks separate the buildings from the buffer strip and the neighborhood to the north. The commercial uses include three buildings totaling 90,313 square feet. A 9, 845 square foot restaurant, 130 room hotel, and a 20, 000 square foot bank/office building is proposed. Development Staging The property is proposed to be developed over an 8 to 12 year time frame. Phase one construction may include construction of the western most office building (124, 000 square feet) plus some or all of the commercial uses (90,313 square feet) . Construction is anticipated to begin in the fall of 1996 or Spring of 1997 . All of the phase 1 uses could be completed by 1999. Each office building will probably be constructed during an eighteen month time frame depending on market demand. It is anticipated that the development will be completed by 2007 or 2008 . Height and Lot Coverage The four office buildings vary in building height from five stories to eight stories. From west to east the buildings increase in height with two five story buildings, a six story building, and an eight story building. Unlike the original plan, the buildings are aligned in a north/south fashion as opposed to east/west. The proposed hotel is 4 stories tall, the restaurant will be one story, and the bank/office building will be two stories. These heights are the same as or smaller than the building heights ultimately approved for the original plan. Two eight story buildings were originally proposed in the center of the development flanked by one six story, one four story, and two three story buildings. The hotel was proposed at six stories. 000a1.;t3 Page 16 -- Resolution No. 29 - 1996 The floor area ratio for the MEPC proposal is also less intensive than the originally approved plan. The total "footpzint': of the seven buildings equals 132, 160 square feet as compared to the originally approved 155, 922 square feet. The total lot coverage is 7% as compared with 10% from the previous proposal. UPDATED TRAFFIC, AIR QUALITY, AND NOISE ANALYSIS Traffic In order to assess the impact of the MEPC proposal, the HRA hired Benshoof and Associates to update the original 1986 traffic study (copy dated April 3, 1996 available from Community Development Department) . As part of the update process, Benshoof was asked to incorporate recent information from current traffic studies on the Home Depot store to the west of the site, as well as conducting new turn movement traffic counts at the Highway 65 intersection and other affected intersections. Traffic projections were then developed using existing data plus a growth rate of 1% per year plus the proposed trip generation rates (as determined by the Institute of Transportation Engineers Trip Generation, 5th Edition) for the proposed development. In order to analyze a worst case scenario and to provide flexibility for possible additional development, a higher total development square footage beyond the MEPC total was used (729,345 square feet versus 672,313 proposed by MEPC) . The additional square footage was assumed to be office space. The 1986 traffic analysis identified three roadway improvement projects which were to occur by 1988 and which would improve traffic conditions in the area: 1) widening of I-694 to provide three lanes in each direction; 2) construction of the T.H. 610 bridge crossing over the Mississippi River; and 3) installation of the frontage road between 7th Street and 57th Avenue (past the Super America and Motor Valet sites) . All of these have been constructed. In 1986, 2, 925 parking spaces were proposed. The current plan proposes 2, 811 parking spaces. Because of the number of spaces and the site's location at a major interchange, the MPCA requires an Indirect Source Permit to evaluate the air quality from the traffic generated from the development. The traffic projections therefore have to be prepared prior to completing the air quality analysis (see section below) . The anticipated amount of P.M. peak hour trips at full development in 2008 is 1,207 trips. In the 1986 study, 1,329 trips were anticipated at the P.M. peak hour in the year 2000 with full development. Since 1986, the methods of calculating traffic impacts and computer modeling has changed to provide more accurate estimates. The trip generation rates are also continually updated by the Institute of Traffic Engineers. The trip distribution is similar to the originally analyzed plan. About 59% of the trips will enter/leave the site at the Highway 65 intersection. The remaining 41% will enter/leave the site from the west. 000!,9 Page 17 -- Resolution No. 29 - 1996 The updated traffic analysis makes similar findings for the necessity of improving Lhe intersection at Highway 65 as did the original analysis. The intersection currently operates at level of service D. If the improvements are not made, the intersection will operate at level of service F in 1999 (potential year of completion of phase 1) and in 2008 at full development. A preliminary concept plan of the improvements was developed in 1986 and was reviewed on a preliminary basis with appropriate agencies. The updated analysis has confirmed that the original concept plan for improvements should be used as the basis to improve the intersection. The traffic consultant also suggests working with MnDOT to modify the exit ramp from westbound I-694 to northbound T.H. 65 to provide traffic signal control at the intersection of the ramp and northbound T.H. 65. This modification is to safely accommodate motorists travelling from the east on I-694 to the west on West Moore Lake Drive. The City has made application for and received federal funding to offset the cost of the intersection improvement. City staff is currently developing a timetable for preparing the detailed plans and construction of the intersection for City Council and HRA approval in the near future. Once the improvements are made, the traffic analysis shows that the intersection will operate at level of service D at full development. Depending on when the improvements are made in the late 1990 's, traffic operations will improve prior to full development. The updated analysis also shows that other intersections serving the property will operate at acceptable levels of service. The 57th Avenue and University Avenue intersection will operate at level of service D in 2008 if appropriate signal modifications are made to provide east and west approach left turn arrows and a right turn arrow for the west approach. The 7th Street and Lake Pointe Drive intersection will operate at level of service A, except the northbound and westbound movements will operate at B and C respectively. The 57th Avenue and 7th Street intersections (just to the northwest of the site) will generally operate at level of service A, with some movements at B and C in the year 2008. Traffic will increase in this area as a result of the development, but both 7th Street and 57th Avenue are designed to handle volumes in excess of what is being projected. Air Quality Existing air quality tests for carbon monoxide (CO) levels was completed at the park site just south of the Fridley High School. The baseline data in the 1986 EAW was outdated and MPCA required new testing. Projections of carbon monoxide concentrations were then developed for 15 receptor sites around the development at phase 1 completion in 1999 and in 2008 with full development. Assumptions were made about the vehicle speed and wind direction/speed. Also incorporated into the analysis was the traffic projections and signal cycle timing assumptions at affected intersections. The consultant used a MPCA approved computer projection model. The analysis revealed that there were no violations of one hour MAW Page 18 -- Resolution No. 29 - 1996 or eight hour concentration thresholds in 1999 or 2008 at any of the receptor sites. It was also assumed that the intersection improvements would NOT be constructed; again, a worst case approach. The MPCA standard is 30 parts per million for a one hour concentration and 9 parts per million for an eight hour concentration. The one hour CO levels around the site ranged from 2 .1 ppm across 7th Street at a duplex to 7 .9 at the Super America at 57th Avenue and University Avenue. The eight hour levels around the site ranged from 1.2 ppm at homes on 57th Avenue to 5.5 at the same Super America. Comparing the current analysis with the 1986 analysis shows, in general, lower CO concentrations. Since 1986, significant changes have been made to the lead content of gasoline, and the State has initiated a vehicle emissions testing program. Further, the computer models for air quality testing have significantly improved. Noise Noise monitoring and projections were developed for the P.M. peak hour. A computer model approved by the MPCA was used to project noise levels at the L10 and L50 levels. The projected noise from the traffic of the proposed development is slight and will not cause perceptible effects (greater than 3 dBa of the applicable State requirements) . Both the 1986 and the current analysis shows that existing noise levels at various sites around the development experience a high level of noise from I-694 and Highway 65. In some instances, existing noise levels exceed State standards. The noise levels at the single-family homes to the north of the development along 57th Avenue will decrease due to the construction of the buildings and parking decks. This overall decrease will occur because the effect of the buildings and parking decks in blocking noise from I-694 will more than offset the limited noise increase caused by vehicles traveling to and from the new development. NATURAL RESOURCES ANALYSIS Wetlands Ron Peterson from Peterson Environmental Consulting Inc. toured the site on October 3, 1995 (copy available from the Community Development Department) , reviewed the U.S. Fish and Wildlife National Wetland Inventory map, and the SCS County Soil Survey for Anoka County. Four of the five existing wetlands were constructed on uplands and are not considered jurisdictional wetlands. A Wetland Conservation Act replacement plan or an Army Corps Section 404 permit is not required. The fifth pond adjacent to West Moore Lake Drive appears to have been constructed in a wetland which had existed on the site previously. The pond can continue to be used for stormwater treatment without any additional wetland permits. • ©oc w i, Page 19 -- Resolution No. 29 - 1996 Peterson Environmental Consulting Inc. also reviewed a schematic of the Highway 65 improvement plans (letter dated March 8, 1996 available in Community Development Department) . In order to accommodate a small expansion for an additional southbound right turn lane on Highway 65, about .86 acres of fill may be necessary within Moore Lake. In 1987, the City received a permit from DNR to complete this activity. According to the consultant's analysis, a permit from DNR will again be required as well as an Army Corps permit. Wetland mitigation at a one to one ratio may be required by these agencies. The City is currently researching eligible sites and will comply with the requirements of the state agencies. Although new permits may be required, the nature of the fill activity is the same activity originally contemplated in the originally plan. Storm Water Management During consideration of the original plan, it was determined that about 18 .7 acres of the site drains west into the Six Cities Watershed District (SCWD) and about 23 .8 acres drains east into the Rice Creek Watershed District (RCWD) . The original plan proposed construction of five ponds and associated storm sewer pipes to temporarily store water after rainfall events and also to improve water quality by providing sediment basins. Five additional ponds are proposed in the MEPC proposal. One of the new ponds located at West Moore Lake Drive will be designed to meet recently adopted water quality treatment standards. Two of the ponds will be additional detention facilities, and two ponds are proposed to provide water amenities in between two of the four office buildings. Appropriate permits from SCWD and RCWD must be obtained prior to plat approval. The legal boundary of the RCWD is located at West Moore Lake Drive, even though part of the site drains into the west basin of Moore Lake. In comparison to the original land use as a drive-in theater, the proposed development will increase the amount of impervious surface and increase the number of ponds for settlement of pollutants and sediments. In addition, the rate of runoff will be slower and will be controlled according to the standards by the watershed management organizations. Shoreland Regulations The City of Fridley has not adopted a state-approved shoreland ordinance, but is in the process of preparing one in accordance with the DNR model ordinance. A shoreland is defined by State Statute to be all land within 1,000 feet of the normal high water mark of a protected water body. Moore Lake is designated as a Recreational Development Lake by DNR. Because the City is almost fully developed, imposing the state shoreland rules on properties within 1, 000 feet would be onerous. The City is requesting the DNR to permit the City to adopt an ordinance which only pertains to the first tier of lots surrounding the affected water bodies. In this case, the Lake Pointe site would not be affected. 00002 Page 20 -- Resolution No. 29 - 1996 Despite the City's proposal, the site is to be served by sanitary sewer and the area immediately abutting Moore Lake will be preserved or enhanced with additional vegetation. The storm water management plan • will also provide adequate treatment of the runoff and at controlled rates. Flood Plain Regulations The site is not located within a 100 year flood plain as shown on the Federal Emergency Management Association map dated March 2, 1981. Utilities The site is served by an 8 inch sewer line which is located in Lake Pointe Drive about 640 feet south of West Moore Lake Drive and extends to another 8 inch line in 7th Street. The commercial lot at the West Moore Lake Drive and Highway 65 intersection is served by the 10 inch main in West Moore Lake Drive. Peak flow were calculated for full development during consideration of the original plan. Because the MEPC proposal is smaller, there will be no additional impacts the sanitary sewer system. The site is served by a looped system of 8 inch and 10 inch water mains. Hydrants have also been installed around Lake Pointe Drive and Bridgewater Drive. The size and nature of the water system was based on the original development proposal; there will be no additional impacts to the water system based on the MEPC proposal. Soils An extensive amount of earthwork was completed as part of the street, utility, and site grading project in 1986 and 1987. In general, peat and organic soils were removed and replaced with appropriate materials when necessary. There were 13 areas around the site where peat was removed. Building pads were prepared in accordance with the original plan. MEPC will be responsible for completing additional soil strength testing or adjustment if the building pads need to be changed to match the MEPC proposal. WILDLIFE HABITAT There will be no adverse affects to any endangered species as a result of the proposed development. The original EAW determined that a small amount of marginal wildlife habitat typical of a suburban setting existed on the site. Impacts to the wildlife would be negligible.