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HomeMy WebLinkAbout10A - Five Hawks School Easement MEETING DATE: AGENDA #: PREPARED BY: AGENDA ITEM: DISCUSSION: Introduction The purpose of this agenda item is to get direction from the City Council regarding whether the City desires that a conservation easement and covenant in favor of the school district be placed over eight (8) acres of City-owned property. Historv Approximately 1995, a 12-acre subdivision known as Creekside Commons was proposed for development. Of the total 12 acres, four were used for the construction of three multifamily buildings. The remaining eight acres was gifted to the City by the developer. Since the eight acres lies adjacent to the Five Hawks Elementary School and the Westbury neighborhood park, the school district requested that the property be used as part of an outdoor learning center. Rather than convey title of the property to the school district, the City Council at that time directed that a letter be directed to the school district (attached) confirming that the property could be used as part of the outdoor learning center. But, the City Council wanted to retain title to the property recognizing that land values escalate, that the property may have some development or alternate recreational potential and that some day, as the City reaches maturity, Five Hawks School may be used for other purposes or sold by the district. Current Circumstances Late last year, Paul Oberg contacted me by phone and by letter proposing that the school district would prefer a formal conservation easement over these eight acres rather than the informal letter that now exists. Oberg's proposal also contemplates that a contract be executed between the city and school district to "contractually insure that the present use of the property would be perpetuated into the future notwithstanding the whim of future city administrations." (See January 22,2007, letter.) On behalf of Jeffers Foundation, Oberg proposed: 1. to pay all costs (surveying and related legal fees) associated with establishment of the conservation ea~ement and covenant regarding the school district's sole, exclusive and perpetual use of the property; and www.cityofpriorlake.com PHOff~g~.4~~8t')~ Dpifax 952.447.4245 2. to set aside $200,000 that could be added to the $500,000 already set aside for the construction of the Jeffers Pond Interpretive Center building. (Actually Oberg never delivered the cash as promised, but instead pledged $500,000 in stock to secure his promise with proceeds from interest that the stock, retained by the Foundation, generates.) Then, in a February 6,2007, letter (attached) Oberg indicated that the Board of Directors met to discuss the Jeffers Pond Park. He recited that in addition to the original $500,000 and the $200,000 offered in the January 22,2007, letter, that the Foundation would offer an additional $500,000 toward the interpretive center building if, "the city, school district, local businesses, the public and service organizations supporting the school and city activities subscribe a matching sum of $500,000... by March 1, 2008." The amount the Foundation is offering again does not appear to be a cash deposit with the City, because of the restriction on who receives the interest. This amount would be paid without interest over three years from the first draw of the funds. These additional funds were offered once it was learned that the interpretive center building and accessories thereto appear to amount to $1.5 million. (See attached cost estimates.) On February 12, 2007, the Mayor and I met with School Board Member Dick Booth, School Superintendent Tom Westerhaus, Jeffers Foundation Board Member Dar Fosse and Attorney for the Estate Paul Oberg. At that time, we agreed to place this matter before the Council for discussion. I anticipate that Tom Westerhaus will be present to speak to the proposal. Paul Oberg may be present as well. Dar Fosse, who has been the Chair of the Jeffers Pond Steering committee that prepared a report on the interpretive center and who is a member of the Jeffers Pond Board of Directors, is out of town and cannot be present. ISSUES: The combined proposal, if successful, would allow the City to garner a total of $1.2 million for the interpretive center building if a matching $500,000 can be raised before March 1, 2008. Such action would be consistent with the 2030 Vision and Strategic Plan by assuring that eight more acres will remain natural in perpetuity. It would also provide a significant new building available during the day to the school; and during evenings and weekends, the Center would be available for use by the general public and other organizations in the community. Before the Council acts upon the proposal, some additional information may be desirable: 1. How developable is the eight acres? The original Council which accepted the donation believed the land would be a good investment for the City although it is dominated by wetlands and trees. Determining the develop- ability of the property would help determine its investment value. 2. No appraisal of the eight acres near Five Hawks Elementary School has ever been done to my knowledge. The Jeffers Foundation has offered $200,000. Since the perpetual conservation easement renders the property valueless for any other City purpose, should an appraisal be done to determine whether $200,000 is commensurate? Although the City would continue to maintain title to the property in perpetuity, the ALTERNATIVES: RECOMMENDED MOTION: conservation easement essentially "disposes" of the land for any purpose other than use as an interpretative center by the school district while the City would continue to maintain it (diseased tree removal, trail maintenance) forever. 3. It is not clear whether the January 22,2007, offer of $200,000, and February 6,2007, offer are mutually exclusive. This should be determined. It should also be determined how the Jeffer's Foundation will provide the funds and if the interpretative center at Jeffers is not started before March 1,2008, what happens to the $200,000 pledge for the conservation easement? 4. Once the easement to the eight acres is granted, should the school district assume full responsibility for the maintenance and construction taking place on the property subject to City authorization? 5. There are no "idle" City funds to provide the $500,000 match. To what extent should the school district be responsible? We could take $250,000 of the $500,000 earmarked for the Pike Lake properties. But this would substantially reduce the likelihood of success in securing grants to pay for the Pike Lake property in terms of maintaining property in a natural state. It would be much more helpful if the Jeffers Foundation would match the City's $250,000 to assist in the Pike Lake property. 6. The proposal connects the interpretive center at Jeffers and the interpretative center at Five Hawks in regards to timing. At a minimum, the Council should discuss whether to request the Jeffers Foundation to extend the amount of time the initial $500,000 is available to the City as well as the matching funds. 7. An option that may merit evaluation is gifting both the Five Hawks land and Jeffers 1.4 acres to the school district together with the $500,000 originally allocated as part of the purchase agreement. The gift could be subject to a requirement that the properties remain natural in perpetuity. This option would require additional analysis as well so it would be beneficial to all parties. Conclusion There are a considerable number of issues to be addressed. School Superintendent Tom Westerhaus will be present. He may be able to address some of these questions. A graphic will be available to show the land area as well as a short DVD showing the beauty of the 24-acre Jeffers Pond parcel which is already protected by a conservation easement and not part of this discussion. 1. Identify for the staff the additional information the Council will need to make a decision and direct that the matter be returned to the Council when the staff has completed its research on these issues and when Mr. Fosse can be present. 2. Take no action. 3. Take action based upon the information presently available. Alternative #1. 2-3-98 Title: Project Manager: Five Hawks Outdoor Education! WiJdIife Habitat heservation Project Oar Fosse COOPERATOR NAME AND TIT'LE: , Frank Boyles - A ffillJ\tion: City Manager City of Prior Lake The Prior Lake City Council voted unanimously at its October 10, 1997 City Council meeting to: "Have the City staff work cooperatively with the School District on the Nature Center Project" it is theCi1y's intent to assist the School District with this project as time are available. For additional information feel free to call Prank~ at -"" ) 16200 ~R..D8CS.E., Prior Lake, Minnesota 55372-1714 / Ph. (612) 447-4230 / Fax (612) 447-4245 AN EQUAL OPPORlUNITY EMPLOYER ~ '/(e: Jeffers Foundation ~~ E C E! \/ E D f}jrecfof'!: Mike Fairbourne Dar Fosse James W. Krause Paul W. Oberg - CEO Fergus R. Woolley - Secretary JAN 2 9 2007 P.O. Box 408 . Wayzata, Minnesota 55391 . 952.475.9914 . 952.476.7439 (facsimile) www.jeffersfoundation.org . info@jeffersfoundation.org (e-mail) January 22, 2007 6;tpfor;'?J fuirizom Mayor Jack G. Haugen City of Prior Lake 16200 Eagle Creek Avenue Southeast Prior Lake, Minnesota 55372 Dear Jack: As you know, the efforts of Jeffers Foundation have been instrumental in the adoption by the Prior Lake - Savage Area School District of the strategic plan to promote environmental education in the district. Many of our efforts have focused upon things which the Foundation could do to facilitate this direction. One matter that we would like "to facilitate is the creation of a conservation easement and agreement between the city and the school district to give exclusive rights to use a portion of the land adjacent to Five Hawks Elementary School for environmental education purposes. The subject land is owned about 1/3rd by the school district and 2/3rds by the city. The use of the property for environmental education purposes by the school district is based upon a letter agreement for such purpose given to the school district by Frank Boyles which is dated about 1995. While the referenced letter agreement has been honored by the city these past years, I believe that the school district would prefer a formal conservation easement and contractual use agreement to insure that the informal understanding would be perpetuated into the future. While I do not presume to speak for the school district, I believe that the proposed conservation easement and contract between the school district and the city would contractually insure that the present use of the property would be perpetuated into the future notwithstanding the whim of future city administrations. It is in the spirit of dealing with what we consider to be somewhat unfinished business that I contacted Frank Boyles several months ago offering a set aside of $200,000 to be added to the $500,000 already being held for the construction of the interpretive environmental Mayor Jack G. Haugen January 22, 2007 Page Two center at Jeffers Pond if the city would agree to burden the Five Hawks property owned by it with a conservation easement and contract between the city and the school district allowing exclusive use of the portion of the property burdened with the proposed conservation easement adjacent to Five Hawks. I also mentioned to Frank that the costs of survey, title examination and the creation of the conservation easement with the Minnesota Land Trust (costing approximately $25,000) would also be borne by Jeffers. The title to the land would remain as at present with the school district and with the city. That is, there would be no transfer of title, only the creation of the conservation easement burden for the environmental education benefit of the school district. Frank told me that he would review the matter with you and the other city officials, and that he would give me a response to our offer. I have never received a reply from Frank, nor has he returned my call made to him over a week ago. I understand, of course, that the contribution of $200,000 would primarily benefit the school district, because everyone seems to agree that the use of the Jeffers Pond environmental interpretive center would be used in large part for environmental education by the school district. Your decision is not critical at this time, but I have the job of distributing the income earned by the Foundation. I must get this planning done for the calendar year 2007 at the present time; and, if the city finds the proposal unacceptable, I must make arrangements to find another beneficiary of the funds. I look forward to hearing from you. Best wishes for the new year! Yours~ truly, '\~ Paul W. Oberg cc/Dr. Thomas Westerhaus; Fergus R. Woolley; Darwin A. Fosse; Michael D. Fairbourne; James W. Krause ~ '/(e: f}jrecfof'!: Mike Fairbourne Dar Fosse James W. Krause Paul W. Oberg - CEO Fergus R. Woolley - Secretary ~ J[~:[~ FEB 0 S 2007 Jeffers Foundation P.O. Box 408 · Wayzata, Minnesota 55391 . 952.475.9914 . 952.476.7439 (facsimile) www.jeffersfoundation.org . info@jeffersfoundation.org (e-mail) February 6, 2007 expforin.!} horizons Mayor Jack G. Haugen City of Prior Lake 4646 Dakota Street Southeast Prior Lake, Minnesota 55372 Mr. Frank Boyles Prior Lake City Manager 4646 Dakota Street Southeast Prior Lake, Minnesota 55372 Dr. Thomas Westerhaus Superintendent -ISO 719 P. O. Box 539 Prior Lake, Minnesota 55372 Gentlemen: The Board of Directors of Jeffers Foundation met on Saturday, February 3, 2007. The Report of the Jeffers Pond Steering Committee relating to conclusions of the Committee relating to Phase I of the development of the Jeffers Pond Park was reviewed, and Oar Fosse was commended for his efforts on the project in behalf of the Committee and the Foundation. The result of the Board discussions was the question as to the next step of the Committee relating to Phase II of the project. To date, Jeffers Foundation has set aside $500,000 for the construction of the environmental learning center located in the park. In addition, Jeffers has proposed and offered to the City a set-aside of an additional sum of $200,000 for the construction of the proposed building. While no action has been taken by the City with respect to the second offer, it is our understanding that this offer will be considered by the Prior Lake City Council at its meeting on February 20, 2007. Hopefully, the City Council will act favorably on Jeffers' offer, leaving $700,000 (all provided by Jeffers) for the construction of the environmental learning center. ! We believe sincerely that $700,000 will not provide adequate funds to construct and furnish the building which we feel the area deserves. This leaves us with the question as to the source and availability of the funds necessary to make up the short-fall between the cost of designing and constructing a building worthy of the City, the school district and the park and the funds presently available for this purpose. We further understand that the city has other projects on its plate (such as Heritage Park), which are also worthy of consideration for use of city funds. Haugen/Boyles/Westerhaus February 6, 2007 Page Two Notwithstanding other worthwhile projects being considered by the city, we believe (and the Foundation stands for) educational opportunities for children focused upon an awareness and desire to conserve the ecology of the community. An example of the effort in this area is the requirement that developers and governmental subsidiaries preserve the cleanliness of our waters. We believe that the future of Prior Lake as a thriving community is, in large part, dependent upon the thinking and actions of our young people. For the foregoing reasons, the Jeffers Foundation Board of Directors has authorized me to propose and offer to supplement the funds presently set aside for the construction of the environmental learning center with an additional grant of $500,000 provided that the city, the school district, local businesses, the public and the service organizations supporting city and school activities subscribe a matching sum of $500,000 for such purpose not later than March 1, 2008. If such sum is not secured by March 1, 2008, the offer of $500,000 in additional funds will expire and end on March 1, 2008, with no further obligation on the part of Jeffers Foundation to provide the additional funds. In view of the fact that Jeffers wishes to preserve its capital intact of dissipation, the fact that it intends and plans to limit the amount of its annual charitable gifts to five percent of the corpus or principal of the Foundation (as dictated by the Internal Revenue Service) and the fact that prior commitments have been made for a substantial portion of its available funds, the proposal is conditioned upon the agreement that the $500,000 may be paid, without interest, over a period of three years from the first draw on such funds. We look forward to reviewing the contents of this letter with you on February 12, 2007, with a public announcement of our offer at the meeting of the Council on February 20, 2007. Hopefully, this proposal will secure an evaluation of the extent of the interest of the city and the school district to proceed positively with the environmental program which we have mutually achieved to date. Sinc~;~~ _ \ ~ w CJ{", Paul W. Oberg, CEO cc/Darwin A. Fosse; Michael D. Fairbourne; Fergus R. Woolley; James W. Krause \I F \1 0 I{ \ '\ () l' \1 lUQLD TO: Dar Fosse MINNESOTA ILLINoIS MICIDOAN COLORADO FROM: Scott McQueen DATE: February 12,2007 COMM. NO: 9999 MINNESOTA OFFICE 305 ST. PETER STREEf ST. PAUL, MINNESOTA 55102 651.227.7773 FAX 651.223.5646 WWW.WOLDAE.COM MAIL@WOLDAE.cOM SUBJECT: Jeffers Pond Environmental Learning Center The group discussed the types of spaces that it might be important to include as part of the Environmental Learning Center. The following spaces were discussed and prioritized. The group recognized that some spaces could be combined to fit function with budget. Priority 1 1 1 2 3 4 4 5 6 7 8 9 10 11 12 Space Community Room Table/Chair Storage Toilets "Wet" Classroom - 35 people (+/-) Storage "Dry" C1assroom- 35 people (+/-) Designated Entry Area CoatIBoot Area Indoor Observation Area Outdoor Deck/Observation Area Outdoor Storage Lobby/Overflow Space Interactive Display Area LibrarylResource Area Small Office Approx. Size 1,000 S.F. 100 S.F. 120 S.F. 1,000 S.F. 100 S.F. 1,000 S.F. 100 S.F. 150 S.F. 500 S.P. 500 S.F. 100 S.F. 500 S.F. 640 S.P. 200 S.F. 120 S.F. In review of the proposed site, the group made an estimate that, allowing for a two-story structure, the site could reasonably hold a 4,000-5,000 S.F. facility. From the list of prioritized spaces the group was able to draft a preliminary space program, which would yield a 5,000 S.F. facility. Draft Program: Community Room Table/Chair Storage Toilets "Wet" Classroom Storage "Dry" Classroom Entry Area 1,000 S.F. 100 S.F. 120 S.F. 1,000 S.F. 100 S.F. 1,000 S.F. 100 S.F. 3,420 net square feet x 1.5 5,130 gross square feet WOLD ARCHITECTS AND ENGINEERS lUULD MINNESOTA ILLINOIS MrCIDGAN COLORADO Memo to Dar Fosse Page Two How Much Would This Cost? Then the group was able to use the square footage estimate to establish a rough project cost estimate. 5,130 S.F. x $ 225 per S.F. $ 1,154,250 Total Construction Cost x 1.25 Project Factor $1,443,000 Total Project Cost which typically breaks down as follows: $ 1,154,250 Total Construction Cost $ 115,000 Fees, Testing, Dev. Costs $ 115,000 Furnishing, Fixtures and Equipment $ 58.750 Contingency $ 1,443,000 Total Project Cost )J 0 Pa~kl 10 J-- elj~~)vJCj) TB/9999/ISD_719/2007/feb07 WOLD ARCHITECTS AND ENGINEERS Proposed conditions to be protected by conservation easement: No draining or filling of wetlands; No disturbance of surface such as addition or removal of soil, or fill;" No dumping of trash (except for composting purposes); No removal of plant life; No planting of non-native species; No cutting of mature trees, except for removal of deadfall; No construction of buildings or other improvements, except as incidental to nature park or outdoor learning activities; No biking, rollerblading or skatboarding; No active recreational use (basketball, baseball, horseshoes, shuffleboard, etc.) No construction of roads or trails except for nature park or park maintenance purposes; No paved or asphalt roads or trails (except for wood chips, Class 5 aggregate or recycled base materials); No utility services or systems; No motorized vehicles (such as golf carts, motorcycles, automobiles or trucks), except for maintenance vehicles and wheelchairs for handicapped persons; No household pets; No signage, except small signs for informational or interpretive purposes. Wish List for Nature Center Teaching Lab Equipment List per Classroom: · Smart board · Multi-media system (LCD projector, computer, wireless microphone, mouse & keyboard, dvd/vcr) · Tables & chairs for center area · Deep sink and hand washing station · Tiled/concrete floors (with drain in one room) · Bulletin boards/cork board strips · White boards · Sound proof rooms · Set of 30 laptops with docking station · Coat racks/hooks along wall · Scope with permanent mount · "Touch and Feel" Cabinet · Lab tables with sinks around perimeter of at least one classroom Equipment List for Center: · Wireless network · Audio equipment for hearing birds/nature outdoors · Interactive computer displays in general area · Storage - shelves, tubs, etc. · Natural lighting with windows high above for ventilation · Shower in bathroom · Display cases · Walls of windows · Quality sound proofing to reduce echoing throughout · LOTS of storage · Energy efficiency - make the building itself an energy exhibit Ideas for Materials/Supplies (2 sets of 30): · Field Guides: trees, mammals, birds, mushrooms, insects, tracks · Binoculars · Insect Nets · Pond Nets · White collection trays · Clear collection jars · Skulls/pelts · Microscopes · Magnifying lenses · Tubs · Weather station equipment · Probes, forceps, dissecting equipment . /011- March 4, 2007 To: Prior Lake City Council Re: Jeffers Pond and Five Hawks ELC's I regret that I could not be at the March 5, 2007 City Council meeting to address the agenda item regarding the Environmental Learning Centers located at Jeffers Pond and Five Hawks Elementary School. As you read this letter you should have had the opportunity to view the two videos taken at Jeffers Pond and also the large aerial photo of the property located directly adjacent to Five Hawks Elementary School. As you saw in the video taken at Jeffers Pond, we truly have a beautiful area in that location that can be enjoyed by young and old for many years to come. The area at Five Hawks is also a unique and beautiful wooded area that has been enjoyed for the past seYeral years both as an Environmental Learning Center and as a peaceful retreat for members of our community. The main difference in the two areas is that Jeffers Pond is "protected" by a Conservation Easement while the area at Five Hawks has virtually no protection other than the DNR restrictions as they relate to the large portion that is classified as wetlands. I can speak to the area at Five Hawks with some degree of experience since I served as principal there for nine years and helped to create the ELC that exists today. The aerial view you saw of this property shows a heavily wooded area with three ponds and is owned by the city and school district with approximately 85-90% being owned by the city. In 1997 I received a letter from Frank Boyles, which I still have, authorizing Five Hawks to develop trails and construct some structures on the property to be used in conjunction with our Environmental Education Program. Several thousands of dollars were raised through donations from the community and through grants to accomplish this task. A close working relationship has existed with the city, namely Al Friedges, who has been extremely cooperative in providing material and equipment necessary to maintain the area. You have received a proposal from Jeffers Foundation requesting that you consider placing a Conservation Easement on the property at Five Hawks similar to the one at Jeffers Pond. As a member of the Board of Directors of Jeffers Foundation, but also as a 29 year citizen of this community, I strongly urge you to look favorably upon this proposal. What would this mean? It would mean that this area would also be "protected" forever to be used by children and adults in our community. It would also mean that there would be additional funds available to help build a quality Interpretive Center at Jeffers Pond. The city's mission statement states that the "preservation of our natural resources" is a major consideration for our community. Preserving the area at Five Hawks would help to fulfill that commitment and, in my estimation, should be done simply because it is the "right thing" to do. If any consideration is being given to the possibility of developing this property, I contend that it would be virtually impossible to construct any type of building on the site without destroying large numbers of mature trees. You would also have to be concerned with the steep embankment along the school district property, the DNR restrictions, and the designated wetlands. A Conservation Easement on this piece of property would demonstrate to our community that you are looking well beyond our 2030 vision in preserving and protecting some of the prime wooded areas in our community. If any of you have questions of me, I would truly appreciate a telephone call or E-mail. Respectfully, Dar Fosse Cell: 612-747-3245 E-mail: sdfosse@integraonline.com ....:..... 1i... ~_ . .iIWl~.-'~IIlli~_';l..i,;;; ,," ~_~~ _~_ _.iIiI. ..... .. j"r..."I.*h...._~ ......ia1-" ,,-"_~L; ':Mat. ., ;;..;a . ,Lti."-':':';~ .~iill~~M:b't:; IA . ~_ ~ .;jj