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IV.10. Approve Storm Water Management Credit Transfer – Oxford Village; Stanley (CR2017-034) February 21, 2017 Council Report 2017-034 APPROVE STORM WATER MANAGEMENT CREDIT TRANSFER OXFORD VILLAGE Proposed Action Staff recommends approval of the following motion: adopt Resolution 2017-016, Approving transfer of credit for storm water management from the Cottageville Park storm water management system. Overview The City of Hopkins worked with the Minnehaha Creek Watershed District (MCWD) to expand and revitalize Cottageville Park. As part of the effort, an underground storm water treatment system was constructed in the park to capture runoff that previously flowed to Minnehaha Creek untreated. As a result of the project storm water benefit credits for rate, volume, and phosphorus control were assigned to the City of Hopkins; these credits can be used to satisfy MCWD permitting requirements for future projects, both public and private. City staff has worked with MCWD to develop a system for banking and distributing the credits, the process is outlined in the attached overview document. It has been determined that the reconstruction of Blake Road and other local area streets will not trigger storm water management permitting rules, and it was brought to the City’s attention that the Oxford Village project was having problems meeting MCWD permitting requirements. At the request of the developer, the City agreed to transfer the credits needed to Oxford Village so the permitting requirements could be satisfied. City staff required compensation for the credits to recoup construction costs of the regional treatment system. Supporting Documents  Overview – Storm Water Credit Transfer Process  Resolution 2017-016 _______________________________________ Nate Stanley, P.E. City Engineer Financial Impact: Budgeted Y/N Source: Related Documents (CIP, ERP, etc.): Notes: __________________________________________________________________ City of Hopkins Overview – Storm Water Credit Transfer Process Cottageville Park Regional Storm Water Management System The City of Hopkins has collaboratively worked with the Minnehaha Creek Watershed District (MCWD) to expand and revitalize Cottageville Park over the last few years. As part of the effort, an underground storm water treatment system was constructed in the park to capture storm water that previously flowed to Minnehaha Creek untreated. As a result of the project, a storm water benefit credits for Rate, Volume, and Phosphorus control were assigned to the City of Hopkins. The benefit assigned to the City is explained in a Technical Memorandum prepared by Wenck Associates, dated July 7, 2016 which calculates the stormwater treatment credits that the City can use to meet permitting requirements on future improvements. Table 1 provides the Rate Control credit available from the system, Table 2 provides the Abstraction Volume credit available from the system, and Table 3 provides the Phosphorus Removal credit available from the system. The catchment areas within which development that can utilize the system’s treatment capacity are delineated in Figure 1 of the document. The document is attached to this memorandum and shall serve as a reference in regards to credit calculation. The City can either apply available credits to public improvement projects or transfer the credits to private parties to facilitate redevelopment. In either case the City and MCWD need to have a system in place to track credit usage to keep tabs on the total amount of credits available, knowing where and what credits have been applied to, and provide documentation of usage to meet MCWD permitting requirements. To officially transfer credits the City Council will need to approve by resolution. A copy of the resolution specifying the amount of credits and details of what they are being used for will be furnished to the MCWD to serve as an official record of the transfer. The City and MCWD will keep a file to track credit usage and any 1 remaining balance for a specific storm water benefit credit held by the City. The City will provide an annual accounting of treatment capacity utilized by projects or land-disturbing activities within the catchment area of the treatment system. Compensation for transfer of storm water treatment credits between the City and a private party will be negotiated between said parties. The underground storm water treatment system will be maintained by the City of Hopkins in accordance with the attached Operations, Maintenance, and Monitoring Recommendations included as part of the Cooperative Agreement for the Cottageville Park Stormwater Management and Park Improvement Project between the City and MCWD. As a part of this Agreement, the MCWD will provide the easement necessary for the City to perform this maintenance. 2 CITY OF HOPKINS HENNEPIN COUNTY, MINNESOTA RESOLUTION NO. 2017-016 RESOLUTION APPROVING TRANSFER OF CREDIT FOR STORM WATER MANAGEMENT FROM THE COTTAGEVILLE PARK STORM WATER MANAGEMENT SYSTEM WHEREAS the City of Hopkins (City) and Minnehaha Creek Watershed District , (District) partnered to construct an underground storm water treatment system in Cottageville Park, and WHEREAS construction of the system created a storm water abstraction benefit credit , for each party that can be used or transferred to other parties to satisfy District storm water permitting requirements, and WHEREAS a Technical Memorandum prepared by the District engineer, Wenck , Associates, Incorporated dated July 7, 2016 calculates the total storm water rate control, volume control, and phosphorus removal benefit for the City and the District, and WHEREAS the City has negotiated with Project For Pride in Living, LLC (PPL) to , transfer 2,679 cubic feet of storm water abstraction credits and 0.25, 0.27, and 0.26 CFS rate control credits for the 1-, 10-, and 100- Year storm events respectively for their use to satisfy District storm water permitting requirements for the Oxford Village project, and WHEREAS as compensation for the storm water management credits PPL will pay the , City $66,841.05, NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Hopkins, Minnesota: The Mayor and City Manager are hereby authorized to approve the transfer of storm water abstraction credits owned by the City to PPL. st Adopted by the City Council of the City of Hopkins, Minnesota, this 21 day of February, 2017. By_______________________________ Molly Cummings, Mayor ATTEST: _________________________________ Amy Domeier, City Clerk