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HomeMy WebLinkAbout05(D) - Resolution Ordering the Preparation of an Alternative Urban Areawide Review Report ITEM: 5D CITY COUNCIL AGENDA REPORT MEETING DATE: November 12, 2025 PREPARED BY: Nick Monserud, Public Works Director/City Engineer PRESENTED BY: Nick Monserud AGENDA ITEM: Resolution Ordering the Preparation of an Alternative Urban Areawide Review for the Spring Lake Township Oderly Annextion Area and Adjacent Areas in Prior Lake RECOMMENDED ACTION: Adopt a resolution ordering the preparation of an Alternative Urban Areawide Review for the Spring Lake Township orderly annexation area and adjacent areas in Prior Lake. BACKGROUND: The City of Prior Lake entered into an Orderly Annexation Agreement with Spring Lake Township in September 2024. In March 2025, the city determined that a study of the development needs of the area would be practical to adequately prepare for development, and to help developers and property owners understand how their project fits into the overall public infrastructure plans prior to development. Minnesota Rule 4410 requires environmental review for certain types and sizes of projects, including those which could be proposed within the orderly annexation area of Spring Lake Township as well as adjacent undeveloped areas within the City of Prior Lake. As an alternative to required environmental review of individual developments, the Rule includes a substitute environmental review process, the Alternative Urban Areawide Review (AUAR), which allows for review of large geographic areas based on one or more land use development scenarios. An AUAR can be used to evaluate how much development can be accommodated in an area without significant impacts on the environment or public infrastructure. The AUAR can also establish mitigation measures which will need to be completed as development progresses to minimize the potential for significant impacts. Staff have determined that an AUAR is prudent for the study area and is an acceptable form of environmental review for future developments. The first step of the AUAR process is to order the preparation of the AUAR. The AUAR study area encompasses approximately 2,730 acres located in the southwest corner of Prior Lake, Scott County, Minnesota (Figure 1). The study area includes the orderly annexation area of Spring Lake Township as well as adjacent areas within the City of Prior Lake. Two development scenarios will be studied, as detailed in Table 1:  Scenario 1 is consistent with the land uses in the existing comprehensive plan  Scenario 2 involves a higher density of residential development as an anticipated requirement of the next round of comprehensive planning with the Met Council and a refined identification of where commercial and industrial development will occur. City of Prior Lake | 4646 Dakota Street SE | Prior Lake MN 55372 Item 5D Page | 2 Both scenarios also include varying amounts of retail, business park, and industrial development. Table 1: AUAR Development Scenarios Scenario 1 Scenario 2 Land Use* Comprehensive Plan (acres) (acres) Urban Low Density 1,780 1,485 Urban Medium Density 139 356 Urban High Density 0 42 Retail/General Business 180 143 Planned Industrial 413 334 Business Park 0 152 * Campbell Lake, existing rights of way, and the existing Spring Lake Ridge residential development total approximately 218 acres for both scenarios and do not contribute to the land use acres. Following the AUAR order, staff will prepare a draft AUAR which will be presented at a future meeting (prior to making it available to a required list of agencies and the public for review and comment). Per Minnesota Rule 4410.3610 Supbt 6, unless an objection is filed, the adoption of the final AUAR will occur at the first meeting held no more than 120 days from the date of the AUAR order for preparation. FINANCIAL IMPACT: On March 25, 2025, City Council approved a work order with WSB LLC in the amount of $162,997 for the preparation of the AUAR. This cost will be funded as follows: Scott County CDA $75,000 Prior Lake EDA $75,000 City of Prior Lake $12,997 Total $162,997 ALTERNATIVES: 1. Motion and second as part of the consent agenda to adopt a resolution ordering the preparation of an Alternative Urban Areawide Review for the Spring Lake Township orderly annexation area and adjacent areas in Prior Lake. 2. Motion and second to remove this item from the consent agenda for further discussion. ATTACHMENTS: 1. Resolution 2. Figures 1, 2 and 3 4646 Dakota Street SE Prior Lake, MN 55372 RESOLUTION 25- A RESOLUTION ORDERING THE PREPARATION OF AN ALTERNATIVE URBAN AREAWIDE REVIEW FOR THE SPRING LAKE TOWNSHIP ORDERLY ANNEXATION AREA AND ADJACENT AREAS IN PRIOR LAKE Motion By: Second By: WHEREAS, the city has entered into an Orderly Annexation Agreement with Spring Lake Township; and WHEREAS, the city has an adopted comprehensive plan that identifies future growth and development in the orderly annexation area and adjacent areas of Prior Lake; and WHEREAS, the city recognizes the need to begin planning for development of the land in the orderly annexation areas and adjacent areas in Prior Lake; and WHEREAS, the city determined that an environmental review is prudent to develop the orderly annexation area and adjacent areas in Prior Lake; and WHEREAS, Minnesota Rules Chapter 4410.3610 provides for a substitute form of environmental review known as an Alternative Urban Areawide Review (AUAR); and WHEREAS, an AUAR allows for environmental review of development and associated infrastructure in a particular geographic area within a jurisdiction if the local government unit has an adopted comprehensive plan; and WHEREAS, the city is the Responsible Government Unit (RGU) pursuant to Minnesota Rules Part 4410.3610 Subpart 1; and WHEREAS, the study area is approximately 2,730 acres in the southwest corner of the city; and WHEREAS, two proposed development scenarios have been identified to evaluate as part of the AUAR, each of which has varying amounts of residential, industrial, business park, and retail development; and WHEREAS, the City Council of Prior Lake deems an AUAR to be the most appropriate form of environmental review for the study area. NOW THEREFORE, BE IT HEREBY RESOLVED BY THE CITY COUNCIL OF PRIOR LAKE, MINNESOTA as follows: 1. The recitals set forth above are incorporated herein. 2. The City Council orders the preparation of an Alternative Urban Areawide Review (AUAR) for the Spring Lake Township orderly annexation area and adjacent areas in the City of Prior Lake. th Passed and adopted by the Prior Lake City Council this 12 day of November 2025. VOTE Briggs Braid Churchill Lake Hellier Aye ☐ ☐ ☐ ☐ ☐ Nay ☐ ☐ ☐ ☐ ☐ Abstain ☐ ☐ ☐ ☐ ☐ Absent ☐ ☐ ☐ ☐ ☐ _____________________________ Jason Wedel, City Manager C:\\Users\\hsimon\\AppData\\Local\\Temp\\Report Attachment - 20251112 Order AUAR for Annexation Area - RESO_675085\\Report Attachment - 20251112 Order AUAR for Annexation Area - RESO.docx 2 1 2 3