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Home My WebLink About2024-01-22 PACKET 06.1 (HOLCIM MINING PERMIT)STAFF REPORT CASE: MP2024-002 ITEM: 6.2 PUBLIC MEETING DATE: 1/22/24 TENTATIVE COUNCIL REVIEW DATE: 2/7/24 APPLICATION APPLICANT: Holcim — MWR, Inc. REQUEST: 2024 Mining Permit to continue their mining operations on Lower Grey Cloud Island (Nelson Mine). SITE DATA LOCATION: 11250 Grey Cloud Trail South ZONING: 1-3, Commercial Excavation District GUIDED LAND USE: Transition Planning Area LAND USE OF ADJACENT PROPERTIES: CURRENT GUIDED NORTH: Mooers Lake Mooers Lake EAST: Rural Residential Rural Residential SOUTH: Mississippi River Mississippi River WEST: Mississippi River Mississippi River SIZE: Stripping and Mining Area = approximately 5 acres DENSITY: N/A RECOMMENDATION Approval, subject to the conditions stipulated in this staff report. 10Cottage COTTAGE GROVE PLANNING DIVISION `�?�'�` j Grove kh�+e Price .n,P,p5perity Meet Planning Staff Contact: Mike Mrosla, Senior Planner; 651-458-2825; mmrosla(o-)_cottagegrovemn.gov Application Accepted: 12/15/2023 60-Day Review Deadline: 2/13/2024 City of Cottage Grove Planning Division a 12800 Ravine Parkway South a Cottage Grove, MN 55016 Planning Staff Report Holcom MWR, Inc. — Annual Mining Permit Planning Case No. MP2023-001 January 22, 2024 Proposal Holcim MWR, Inc. (Applicant), formerly Aggregate Industries, has submitted their annual mining permit application to continue mining and processing aggregate materials in the Nelson Sand and Gravel Facility located at 11250 Grey Cloud Trail. The aggregate materials will be incorpo- rated into various products in the Twin Cities metropolitan area and are used for ready mix con- crete and/or asphalt in the construction of highways and buildings, etc. A copy of Nelson Sand & Gravel Plant 2024 Mining Plan is attached. The 2024 Mining Operations Plan proposes the following: • Mining and processing approximately 700,000 to 750,000 tons of aggregate materials. • Processing, washing, screening, and loading aggregate materials onto barges and trucks. • Operating 24 hours per day seven days a week (Resolution 95-28). Locanon iviaP Planning Staff Report — Planning Case No. MP2024-002 Holcim MWR, Inc. — Annual Mining Permit January 22, 2024 Page 2 of 6 Review Process Application Received: December 15, 2023 Acceptance of Completed Application: December 15, 2023 Tentative City Council Date: February 7, 2024 60-Day Review Deadline: February 13, 2024 Ordinance Requirements City Code Title 3-9 requires that an annual mining permit must be reviewed by the Planning Com- mission within 60 days after the completed application has been accepted by the City. The Plan- ning Commission's recommendation is forwarded to the City Council for final action. The purpose of the annual mining permit is to: • Ensure the restoration of the mined area is consistent with existing and planned land use pat- terns and to promote appropriate reuse of the mined areas. • Ensure conformity of mining operations with the City's Critical Area and Comprehensive Plans. Control the effects of noise, dust, erosion, traffic, drainage, ground water pollution, and other factors related to mining in general. Background Mining at the existing Nelson Sand and Gravel Mine Facility has occurred since the early 1950s when the J.L. Shiely Company (now known as Holcim Industries) entered a lease agreement with the private landowner. A form of this lease agreement remains in place between the private landowner and Aggregate Industries today. On October 12, 1982, the Lower Grey Cloud Island Reclamation Concept Plan was approved by a City of Cottage Grove Reclamation Committee. A mining plan prepared by B.B. Chapman in 1982 is part of that document. A copy of this plan is shown below. With some exceptions, the proposed 2023 Operations Plan generally replicates landforms and topography as approved in 1982. 1982 Reclamation Plan Planning Staff Report — Planning Case No. MP2024-002 Holcim MWR, Inc. — Annual Mining Permit January 22, 2024 Page 3 of 6 Mining Operations Mining Operations consist of dredging to excavate raw aggregate materials. Dredging is used to reach sand reserves below the water surface. Its de -sanding capability and initial crusher that crushes rocks to smaller than six inches in size allows the operator to reclaim up to 400 tons of sand per hour without unnecessary re -handling. The dredge can mine 1,200 tons of aggregate material per hour at 60 feet below the water surface. After the material is excavated by the dredge, the mined aggregate is transported by a conveyor system that is about 2.2 miles long to the processing plant located at the northwest side of Lower Grey Cloud Island. The processing operations include crushing, washing, sorting, and stockpiling aggregate materials by size. These materials are then loaded onto barges or trucks. Most of the material is transported by barge up the Mississippi River to distribution yards in St. Paul. In August 2023 the Applicant added a fully electric floating suction dredge that was is used to move waste sand overburden from an area which was previously mined in the 1970s to 1980s. The suction dredge has the ability to reach depths of 60 feet below water and will work in con- junction with the existing dredge. While the existing dredge will continue to mine material for processing and sale, the new suction dredge was used to solely pump a slurry of overburden sand and water away from the active mining area. The overburden sand moved by the suction dredge will be placed in areas to support the final reclamation of the site. Annual Mining Report In 2023, approximately 675,000 tons of aggregate were transported up the river while approxi- mately 61,000 tons were transported by truck to local job sites. 2021 2022 2023 Estimated Tonnage Transported by Barge 721,500 607,000 675,000 Estimated Tonnage Truck Transportation 18,000 60,000 61,000 Planning Considerations Proposed Mining Operations The 2024 Operation Plan is shown below, and a copy is attached to this planning staff report. 2023-2024 Operations Plan Planning Staff Report — Planning Case No. MP2024-002 Holcim MWR, Inc. — Annual Mining Permit January 22, 2024 Page 4 of 6 ugewed •••••••' '-�I�iv�Mininp 'y tih�o-y bek Saver.na P: Me R®_. . +�, — iiBdelned � JMnY�rbad a�� Stle P:ap f Re�m'wlio7 Topemi StxkpW h 1 - Y .; Gn:-- r •�� Ya G`�.. _ _-.. ter__` -�3 Air F'h9tc i?ase. '431•?�2: Proposed 2024 Operations Plan As shown above, the proposed mining activity will be contained in the same area as the 2023 op- eration plan. The Applicant is proposing to export approximately 700,000 to 750,000 tons of mate- rial in 2024. Like previous operation plans, the applicant is required to take appropriate measures to ensure there is no erosion to stockpiles or earth -berms. At the base of each slope, a channel must be constructed to control runoff. The channeled water shall be diverted to a sedimentation basin before being allowed to enter any natural drainage system. Erosion control measures must be implemented within a reasonable amount of time for the stockpile and berm. Environmental Impact Statement Process The Applicant is in the process of working on an Environmental Impact Statement for proposed expansion of their mining operations in the Mississippi backwaters, located to the southeast of the existing facility. Reclamation Plan As of 2024, approximately 265 acres of the site have been reclaimed. The 2024 restoration plans include ongoing restoration efforts in creating a large lake and peninsula by providing shore stabili- zation/establishment and re -vegetation. Continued restoration in the areas of the oak grove/ savanna and prairie will continue to take place as depicted in the 2024 operations plan. The Appli- cant has partnered with the non-profit Great River Greening on their reclamation efforts. This spring the two parties will be developing a new work plan for the reclamation efforts. The Applicant also continued treatment of invasive Siberian Elm, Black Locust, and brush species. This treatment work took place in the previously reclaimed areas along the eastern perimeter of the site. Planning Staff Report — Planning Case No. MP2024-002 Holcim MWR, Inc. — Annual Mining Permit January 22, 2024 Page 5 of 6 Nuisance Noise Complaints The Public Safety Department reported that there were no noise complaints related to the 24-hour mining that occurred in 2023. Meeting Notices The meeting notice was mailed to 18 property owners who are within a half -mile of the mine on January 10, 2024. Staff have not received any comments at the time of writing this report. City Department Review Holcim's 2024 mining permit application was distributed to other City departments. No com- ments were received. Recommendation It is recommended that the 2024 Mining Permit for Holcim — MWR, Inc. — Nelson Sand and Gravel Facility located at 11250 Grey Cloud Trail be approved, subject to the following conditions: 1. The provisions as stipulated in Title 3, Chapter 9 of the City's Codes (Mining, Sand, and Gravel Operation) shall be complied with, except as modified below. 2. The applicant is responsible for removing any materials that their equipment and/or trucks may have spilled onto any public roadway. This material shall be cleaned up immediately. 3. The outer limits of their mining operations must be a minimum of 100 feet from abutting pub- lic right-of-way, private property, or any archeological sensitive area. 4. City approval of the 2024 Mining Permit does not approve their ability to mine within the re- quired 200-foot setback from the Mississippi River, within the Mississippi River itself, or in the vicinity of archeological sensitive areas. 5. Bituminous/asphalt, concrete, and street sweepings originating within the geographical boundaries of Cottage Grove may be temporarily stockpiled on the site for processing (e.g., crushing, screening, etc.) and/or reuse. Bituminous/asphalt materials are prohibited from being buried on the premises. 6. The applicant may operate the mining operation 24 hours a day, 7 days a week. Upon noti- fication by neighboring residents that the night-time operations (i.e., between the hours of 10:00 p.m. and 6:00 a.m.) are disturbing, the applicant agrees to voluntarily cease operation during night-time hours until such time the noise source is identified and appropriate correc- tions are made. 7. Holcim must install erosion control devices at the base of any slope where erosion is evi- dent. A drainage swale must be constructed at the base of any eroding slope to control run- off and divert it to a sedimentation basin before entering any natural drainage system. Erosion control measures must be implemented within a reasonable amount of time. 8. Archeological and landmark sites as identified in the burial mound group known as 21 WA9 and the recorded Grey Cloud Townsite 21 WA48 on Lower Grey Cloud Island Planning Staff Report — Planning Case No. MP2024-002 Holcim MWR, Inc. — Annual Mining Permit January 22, 2024 Page 6 of 6 must be protected and undisturbed and protected from being damaged or adversely im- pacted from vehicles or equipment traveling in the vicinity of these historic sites. 9. The applicant is responsible for obtaining all state and federal permits relating to their mining operations on Lower Grey Cloud Island. 10. The applicant's current reclamation plan is titled "Future Land Use Plan." The City has not provided any formal review or approval of the "Future Land Use Plan." This concept plan is only an illustration of a development concept that the applicant and landowner have considered. The City's approval of the 2024 Operations Plan does not guarantee approval or imply future approval of the Harbor Island Concept Plan or the Future Land Use Plan as dated July 18, 2017 and prepared by Westwood Professional Services. 11. The Oak Savanna Reclamation Plan, revised 9-3-2010, is still valid. All oak plantings that have not survived within the designated oak savanna groves must be replaced with new oak trees and watered during dry conditions to promote their survival. As the Oak Sa- vanna Reclamation Plan is implemented, the applicant must continue to update the City on the effectiveness of the reclamation and restoration activities, particularly how many acorns are planted and how many oak seedlings are growing. If the survival number of trees is low, then another tree planting alternative will need to be discussed. 12. Depositing fill materials within the floodway and floodway fringe (below the 700-foot mean sea level elevation) is prohibited. Prepared by: Mike Mrosla Senior Planner Attachments: A. 2024/25 Mining Plan y� HOLCIM December 15, 2023 Ms. Emily Schmitz Senior Planner City of Cottage Grove 12800 Ravine Parkway South Cottage Grove, MN 55016 RE: Holcim — MWR, Inc. — Nelson Sand & Gravel Facility 2024 Mining Permit Application Dear Emily: Enclosed please find Holcim — MWR, Inc.'s 2024 Mining Permit Application, narrative and associated documentation for our Nelson Sand & Gravel facility located on Lower Grey Cloud Island. This permit application has been approved by a representative of Holcim — MWR, Inc., as well as Terry Gilberstadt of PAS Associates, Ltd. It is our desire to have the Cottage Grove Planning Commission review this application at their meeting scheduled in January 2024, followed by the tentative City Council Meeting scheduled in February. Your confirmation of the dates of these meetings is appreciated. Should you have any questions or require anything further, please contact me at (612) 214-8577 or via email at patty.bestler@holcim.com. Sincerely, Patty Bestler Regional Manager, Environmental & Land Services Holcim — MWR, Inc. Enclosure(s) cc: Mike Murphy — Holcim — MWR, Inc. Joseph Neumann — Holcim — MWR, Inc. Riley Rooney — City of Cottage Grove j� HOLCIM Holcim — MWR, Inc. Nelson Sand & Gravel Cottage Grove, Minnesota 2024 Mining Plan December 15, 2023 Holcim - MWR, Inc. Nelson Sand & Gravel 11250 Grey Cloud Trail South Cottage Grove, Minnesota Property Legal Description The NE'/, SE 1/4, Section 31, Township 27, Range 21, South along Grey Cloud Trail; W %z, SE'/, Section 31, Township 27, Range 21; E V2, NE 1/, NW 1/, Section 31, Township 27, Range 21, South along Grey Cloud Trail;W1/2, NE1/4, NW 1/, Section 31, Township 27, Range 21, South along Grey Cloud Trail; NW %, NW 1/, Section 31, Township 27, Range 21; S %2, NW 1/, Section 31, Township 27, Range 21; E %2, SW 1/, Section 31, Township 27, Range 21; Lot 1, Section 31, Township 27, Range 21; N %2, NE 1/, Section 36, Township 27, Range 22; S %2, NE '/, Section 36, Township 27, Range 22; N %2, SE %, Section 36, Township 27, Range 22; Lot 2, Section 36, Township 27, Range 22; Lot 3, Section 36, Township 27, Range 22; SE 1/, SW 1/, Section 25, Township 27, Range 22; NE 1/, NW 1/, Section 36, Township 27, Range 22; S 1/2, NW 1/, Section 36, Township 27, Range 22; NW 1/, SW 1/, Section 36, Township 27, Range 22; N 1/2, SW 1/, SW 1/, Section 25, Township 27, Range 22; S 1/2, SW 1/, SW, 1/, Section 25, Township 27, Range 22; NW 1/, NW 1/, Section 36, Township 27, Range 22; NW 1/, SW 1/, Section 36, Township 27, Range 22; N 1/2, NE 1/, Section 35, Township 27, Range 22; S %2, NE 1/, Section 35, Township 27, Range 22; SE 1/, SE 1/, Section 26, Township 27, Range 22; Lot 5, Section 35, Township 27, Range 22; Lot 3, Section 6, Township 26, Range 21; Lot 2, Section 6, Township 26, Range 21; Lot 1, Section 6, Township 26, Range 21; N %, NW 1/, Section 5, Township 26, Range 21; Lot 4, Section 5, Township 26, Range 21; Lot 3, Section 5, Township 26, Range 21; N %2, NE 1/, Section 5, Township 26, Range 21; Lot 2, Section 5, Township 26, Range 21; Lot 1, Section 5, Township 26, Range 21; Lot 1, Section 4, Township 26, Range 21; NE 1/ SW 1/ Sections 36, Township 27, Range 22; Lot 5 Section 35, Township 27, Range 22 Landowner: PAS Associates, Ltd. ATTN: Terry Gilberstadt 2565 Walnut Street Roseville, MN 55113 Operator: Holcim - MWR, Inc. ATTN: Patty Bestler 2815 Dodd Road, Suite 101 Eagan, MN 55121 2 [-Adjacent Landowners PAS Associates Ltd. Partnership Terryl & Dave Gilberstadt Washington County North Central District Pentascostal Boggie, Jr., Richard Hale, Rod & Mary Washington County LaChapelle, Nanette Madsen, Fred & Karter, Katrina Maloney, Ryan & Kate Washington County Mining Operations 12075 Grey Cloud Trail South Cottage Grove 12085 Grey Cloud Trail South Cottage Grove 11395 Grey Cloud Trail South Cottage Grove 11975 Grey Cloud Trail South Cottage Grove 11971 Grey Cloud Trail South Cottage Grove 11701 Grey Cloud Trail South Cottage Grove 11523 Grey Cloud Trail South Cottage Grove 11973 Grey Cloud Trail South Cottage Grove 10971 Grey Cloud Trail South Cottage Grove 11881 Grey Cloud Trail South Cottage Grove 11500 Grey Cloud Trail South Cottage Grove Holcim — MWR, Inc.'s (formerly Aggregate Industries) Nelson Sand & Gravel Facility excavates and processes aggregate materials which are utilized for ready mix concrete and/or asphalt products for the construction of various infrastructure projects within the Twin Cities metropolitan area. The Company currently estimates that mining will continue for another three to five years. These estimate are based on current information and are subject to market trends, geologic variations and the expansion of reserves, as additional exploration occurs. At this time, the Company is in the process of working on an Environmental Impact Statement for their proposed mining in the Mississippi backwaters, located to the southeast of the existing facility. The dredge at this facility will continue to carry out the mining into the foreseeable future. On the dredge the material is initially crushed into smaller than 6 inches in size and the excess sand is then screened off and pumped to the south shoreline or into the deepest part of the excavation for reclamation. The coarse aggregate blend is then conveyed to the processing plant where it is crushed, washed, sorted by size and loaded onto barges. The Plant is expected to produce approximately 700,000 to 750,000 tons of aggregate material in 2024. A DRAGA 2030 fully electric floating suction dredge was put in place in August, 2023. This suction dredge will be utilized to move waste sand overburden from an area which was previously mined in the 1970's — 1980's. The suction dredge has the ability to reach depths of 60 feet below water and will work in conjunction with the existing clamshell dredge. While the existing clamshell dredge will continue to mine material for processing and sale, the new suction dredge will be used solely to pump a slurry of overburden sand and water away from the active mining area. The overburden sand moved by the suction dredge will be placed in areas to support the final reclamation of the site. The majority of the material from the Nelson Sand & Gravel facility is transported by barge up the Mississippi River to the Company's distribution yard in St. Paul. At the time of this application submittal, roughly 675,000 tons of aggregate were transported by barge. In addition, roughly 61,000 tons were transported by truck to local jobsites. The Company has mined around and past the area that was thought to have the greatest potential as the site of the historic town site Town Site 21 WA48. As mining progresses to the west, the area that is identified as the Burial Mound Group 21 WA 9 will be left undisturbed. Reclamation The 2024 Operations Plan shows the area where the former St Croix Crossing Casting Plant and yard was located as "Operational Area." That area will not be reclaimed for several years. It will be utilized for additional product storage and will be filled with 3 to 5 feet of waste sand or dredge sand before it is ultimately reclaimed. The 2024 Operations Plan depicts roughly 265 acres which have been reclaimed to date. The Landowner's current plans for reclamation of Lower Grey Cloud Island are depicted on the "Lower Grey Cloud Island Plan" prepared by Westwood Professional Services. This concept plan proposes a planned unit development of mixed residential, commercial and marina uses. The Company's reclamation efforts will follow this concept in general terms. Waste sand will continue to be placed in the area north of the conveyor for the next several years until that area can be contoured to blend with the high ground to the north and east. That area will be sloped gradually from northeast to southwest at an elevation substantially above the 100- year flood plain. Since 2010 the Company has been working towards the re-establishment of an Oak Savanna and a prairie area at the Nelson facility. The Company continues to work with Great River Greening with these reclamation efforts. Annual contributions have included and will continue to include: soil preparation, native grass seeding, oak plantings, herbicide treatment of non-native vegetation, brush and tree removal of non-native woody species and maintenance burns. In 2020, a new oak grove was established in the area located northeast of the waste sand area as depicted on the 2024 Operations Plan. Additional oak trees were planted in this area and maintenance work continues for these plantings. This oak grove replaced the former Interlachen Prairie area which was located within the waste sand area. Foliar treatment of invasive Siberian Elm, Black Locust and brush has also continued the last several years. This foliar treatment work took place in the previously reclaimed area along the eastern perimeter of the site. A work plan will be developed in the spring of 2024, based upon the recommendations from Great River Greening. Acknowledgement and Signature: Holcim — MWR, Inc., as the Mining Operator, hereby represents upon all of the penalties of the law, for the purpose of inducing the City of Cottage Grove to grant an Annual Mining Permit, that all the statements are true and that all work will be done in accordance with the ordinance of the City of Cottage Grove and the laws of the State of Minnesota. Holcim — MWR, Inc. By: Dated: Its: Reia'.'t M0410LOt-3, _ Acknowledgment and Signature: PAS Associates, LTD, as Landowner, hereby consents to the 2024 O- _erations Plan, as represented by Holcim — MWR, Inc. PAS Associates, LTD By: -Z&-r 2, Dated: Its: V a� o O LL "d N O O N O V J O x z z 0 a Z (.) o g o a � w N z z = Z w OLd g a � w O O � N Q O k � N O � U O U z a gii