HomeMy WebLinkAbout10E - SMSC Fee To Trust
16200 Eagle Creek Avenue S.E.
Prior Lake, MN 55372-1714
December 5,2005
Bureau of Indian Affairs
Midwest Regional Office
Attention: Fee to Trust
C/o Mr. Terrance Virden
Bishop Henry Whipple Federal Building
One Federal Drive, Room 550
Fort Snelling, Minnesota 55111
RE: Shakopee Mdewakanton Sioux Community (SMSC)
Trust Acquisition Environmental Assessment
Dear Mr. Virden:
The purpose of this letter is to particularly respond to specific information requested of the City
pursuant to the 151 process.
However, before providing the information the City would like to go on record as having always
supported the SMSC need to acquire more land for development and incrementally put that land
into trust. The City of Prior Lake supports the SMSC's application to put the 106 acres ofland
that is located in Prior Lake into trust. In fact the City supports the trust acquisition of the 80
acre Dolan property which is part of their 2002 trust acquisition request. Weare taking this
position in recognition that the SMSC is a sovereign nation, and its leaders have a responsibility
to meet land needs of a growing Indian nation. Prior Lake values its relationship with the SMSC
and hopes that there is continued good will between our communities.
To be responsive to your November 2, 2005, letter, the City of Prior Lake is providing specific
information related to proposed trust Parcels 3 and 4 you requested.
1) The annual amount of property taxes currently levied on the property.
City Property Taxes for 2005 are:
Parcel 3 = $1,393.89
Parcel 4 = $ 937.38
2) The impact on the State and political subdivisions resulting from the removal of the land
from tax rolls.
C:\Documents and Settings\cgreen\Local Settings\Tem~r1UtyatipfiQdakft}~ember 5th letter.doc
- 1 -
Phone 952.447.4230 / Fax 952.447.4245
The City has estimated the annual loss in development fees and City Property Taxes. The
City has assumed a developed condition for the purposes of these calculations. This is a
reasonable assumption as these parcels would be developed or would develop in the near
future if they were not being held by the SMSC for placement in trust.
The development fees are collected at the time of development to reimburse the City for
park, street, sanitary sewer, water and storm water infrastructure that has been installed
and benefits the parcels. The City has computed development charges based on the
undeveloped acreage within the City. Removal of these parcels will increase the costs to
City Tax payers for infrastructure improvements. The follOWing table shows the specific
fee amounts for Parcels 3 and 4.
Development Fee Parcel 3 Parcel 4
Park $405,000 $12,800
Street Oversize $354,000 $9,800
Trunk Sanitary Sewer $219,000 $6,000
Trunk Water $396,000 $11,000
Trunk Stormwater $201,000 $11,600
Total $1,575,000 $51,200
Another impact to the City of removing the properties from fee status is the potential
impacts to roadway projects. The CR 82 project which runs across the northern
boundary of Parcel 3 is scheduled for 2006. Placement of this parcel in trust could
inhibit construction as easements are needed for construction from this property.
The annual city property taxes lost was estimated under the developed condition. The
estimated City property taxes generated from Parcel 3 in a developed condition is
estimated to be $188,000 annually (utilizing 2006 tax rates). The estimated annual City
property taxfor Parcel 4 is estimated to be $7,000.
The total economic impact to the City is estimated to be $1,626,200 in development fees
and $195,000 in annual property taxes once the properties are developed.
3) Any special assessments, and amounts, thereof, currently assessed against the property.
There are currently no special assessments against either of these parcels.
4) Any governmental services currently provided to the property by your jurisdiction.
The parcels are currently undeveloped, however utilities have been or will be stubbed to
these parcels for future use.
5) If subject to zoning, how the property is zoned, and potential conflicts of land use, if any
which may arise. '
C:\Docurnents and Settings\cgreen\Local Settings\Ternporary Internet Files\OLKI62\Decernber 5th letter (2).doc
- 2-
..
.
Parcel 3 is currently zoned as Agricultural Shoreland District. The proposed zoning is
Low to Medium Density Residential and Neighborhood Commerce. Because the parcel
is in the shoreland district,t the riparian and non-riparian lots would need a minimum of
40,000 sf and 20,000 sf respectively. The proposed SMSC residential use for this
property and lot sizes are consistent with City ordinances.
Parcel 4 is currently zoned for commercial use in the Wilds Subdivision Planned Unit
Development. The Comprehensive plan guides this property as Hospitality/General
Business. The City does not anticipate any zoning conflicts with proposed SMSC uses.
The City considers the SMSC to be a valuable partner in our community and feels it is important
to work together to meet their long term land needs. Please contact me at 952-440-8200 if you
have questions or require additional information. We appreciate the opportunity to provide you
with this information.
Sincerely,
a or
CITY OF PRIOR LAKE
cc: City Council
Michael Sobota, Scott County
Mark McNeill, City of Shakopee
C:\Documents and Settings\cgreen\Local Settings\Temporary Internet Files\OLKI62\December 5th letter (2).doc
- 3 -