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OAH 60-0330-17138-BA |
STATE OF
OFFICE OF ADMINISTRATIVE HEARINGS
FOR THE MUNICIPAL BOUNDARY ADJUSTMENTS UNIT
|
In Re Petition for
Incorporation of the Town of |
FINDINGS OF FACT, CONCLUSIONS AND ORDER |
The above-entitled matter initially came
on for hearing before Christine M. Scotillo, Executive Director, Municipal
Boundary Adjustments, on February 14, 2006, in the
The hearing was reconvened before
Administrative Law Judge James E. LaFave on July 19, 2006, at the
New
David K. Hebert of the firm of Hebert and
Welch, P.A.,
Whether the Petition for Incorporation of
New Scandia Township (I-69) be granted or denied based upon the factors set out
in Minn. Stat. § 414.02.[1]
The Administrative Law Judge concludes
that the Petition for Incorporation of New Scandia Township (I-69) should be
granted.
Based on the evidence in the hearing
record, the Administrative Law Judge makes the following:
On
December 28, 2005, the Town of
1.
New
Its boundaries are legally described as:
Sections
1 through 36, Township 32 North, Range 20 West, Washington County, Minnesota,
except that part of Section 36 lying within the corporate boundary of the City
of Marine on St. Croix, Minnesota; and
All
of Sections 5, 6, 7, 17, 18, 19, 30, 31 and 32, Township 32 North, Range 19
West, lying within
2.
The Executive
Director of OAH-MBA set the Petition for Incorporation on for hearing on February
14, 2006, at 9:30 am. Notice of the
hearing was published in the Country
Messenger.
3.
On February 9,
2006, the Director referred the I-69 New Scandia Township Incorporation
Petition to the Administrative Law Division of OAH.
4.
The hearing was
convened by Christine M. Scotillo and continued to an indefinite date.
5.
Resident John
Lindell,
6.
By letter dated
June 8, 2006, directed to the Administrative Law Judge, John Lindell withdrew
his Motion and his request to be a party.
7.
By Resolution
dated June 8, 2006 and filed with OAH-MBA,
8.
The Notice of
Reconvened Hearing was published in the Country Messenger on June 28, 2006, and
July 5, 2006.
9.
The reconvened
hearing was held on July 19, 2006 and July 20, 2006.
Present population and number of households, past
population and projected population growth of the subject area and adjacent
units of local government.
10.
In 2004,
11.
The population
of the metropolitan area has grown by 656,000 persons between 1980 and
2000. In 2000 it had a population of
2,642,056 persons. In 2010 it is
expected to grow to 3,056,100 persons, and by 2020 to 3,430,100 persons.[10]
12.
13.
In 2000, New
Scandia was the 13th largest municipality in
14.
In 2000, the
City of Forest Lake, adjacent to the westerly boundary of New Scandia, had a
population of 14,440 and by the year 2010 is projected to have a population of
21,700.[14]
15.
In 2000,
16.
In the year
2000, the City of
17.
The City of
Quantity of land within the subject area; the natural
terrain including recognizable physical features, general topography, major
watersheds, soil conditions and such natural features as rivers, lakes and
major bluffs.
18.
New
19.
The landscape
within the Town varies from level fields and forests and rolling hills to the
bluffs of the
20.
The Town has a
number of natural communities including various types of marshes, deciduous and
coniferous forests, shrub wetlands, bedrock and beach plant communities and
aquatic plant communities.[24]
21.
There are three
watershed districts in
22.
Waters within
the
23.
Alluvial soils
are found along the
Present pattern of physical development, planning,
and intended land uses in the subject area including residential, industrial,
commercial, agricultural, and institutional land uses and the impact of the
proposed action on those uses.
24.
New Scandia has
a historic town center (
25.
The
26.
Oakhill
Cottages, a senior housing development of 40 units comprising one and two
bedroom rental units for people age 55 and up who are able to live
independently, is situated within the Village Center. It is at 100% occupancy with a waiting list.[33] It was established to allow seniors the
opportunity to live out their lives in the community.[34]
27.
28.
There are a
number of recreational facilities in the Village Center including a lighted
ball field, other softball fields, tennis courts, soccer fields and a
skating/skateboard facility.[37]
29.
In 1996,
agricultural, natural areas occupied 11,813 acres of the Town’s 25,078
acres. Agricultural activities included
dairy farms, small hobby farms, hay fields, orchards, nurseries, truck farming
and woodlands. It was estimated that
there were only between 12 and 15 commercial agricultural enterprises in which
the farming activity served as the primary occupation and source of income to
at least one member of the residing household.[38] Today, only three dairy farms still remain.[39] Soil
conditions and land values contribute to the inability to maintain farming
operations in
30.
Agricultural
lands are transitioning to residential uses.
In 1996, 6,208 acres or 24.76% of the Town was considered to be residential.[42] From 2001 to September 2005, 151 building
permits were issued for single-family residences within the Town.[43] A number of open space – cluster developments
were approved.[44]
31.
The lakeshores of
32.
The Township has four gravel mining operations within the Town. One mining operation produces bituminous
surfacing in addition to its gravel mining activities.[46]
33.
The Township has
a large number of private and public parks and recreational facilities.[47]
Included are: William O’Brien State
Park, consisting of 1620 acres located in the southeasterly corner of the Town
along the St. Croix River Valley; Falls Creek Scientific and Natural Area
consisting of 128 acres in the northeasterly portion of the Town; Big Marine
Regional Park, a Washington County Park, located around the southerly edge of
Big Marine Lake consisting of 1,920 acres, part of which is located in the
Town; Camp Lakamaga, a Girl Scout Camp located on the easterly side of Big
Marine Lake; Wind In The Pines Park, a 40 acre Town natural area located on the
easterly side of the Town; Eko Bakken Recreation Area, a snow tubing facility;
a golf driving range located on Highway 97, public lake and river access
landings, ball fields, skating park and other recreational facilities located
in and about the Village Center.[48]
34.
It is expected
that New Scandia will continue its present pattern of physical development with
or without incorporation.[49] As a Township, New Scandia is subject to the
Comprehensive Plan and Zoning Code of Washington County. As a metropolitan municipality,
The present transportation network and potential
transportation issues, including proposed highway development.
35.
There are
approximately 98 miles of roadway in the Town, of which 70 miles are Town
roads.[53] State Trunk Highway 95 runs along the
easterly edge of the Town. Proceeding
south it passes through Marine,
As the Town and County have grown,
traffic has increased thereby increasing the need for improvement and
maintenance of the roads.[55] The Town participated in a study with
36.
In 1989, New
Scandia embarked on a program to pave all of its roads with a project occurring
every two or three years. At present,
12.38 miles of roads remain to be paved and it is expected that the roads will
be paved in 2007 and 2009 at a cost of $2,112,500.00 and $1,920,000.00
respectively.[58]
37.
At the present
time, the east side of the I-35 Corridor is served by Hornsby Street which
connects at the north with TH 97 and serves as frontage road for the northern
part of the eastern portion of the corridor, south to 145th Avenue.[59]
38.
Incorporation
would cause the Town to lose county road aids of approximately $26,000.00 per
year.[60] That loss would be offset by the receipt of
local government aid from the State of
39.
If the Town becomes incorporated it will be
eligible for
Land use controls and planning presently being
utilized in the subject area, including comprehensive plans, policies of the
Metropolitan Council; and whether there are inconsistencies between proposed
development and existing land controls.
40.
New
41.
The
Comprehensive Plan of the Town designates it as a rural diversified community,
meaning that it has some rural elements that will take moderate growth with
some opportunity for economic commercial type development.[67]
42.
The Town’s
Comprehensive Plan sets forth a growth management strategy that will maintain a
pleasing and livable rural lifestyle environment while keeping the size and
cost of government at a lower manageable level.[68]
One of the primary goals of the Comprehensive Plan is to protect the natural resources,
the rivers, streams, lakes, and wetlands of the Town.[69] Other goals include strengthening the
43.
The Plan
provides for an orderly expansion of the
44.
The Comprehensive
Plan contemplates open space retention by maintaining the prescribed density,
but requiring subdivisions of tracts into a number of smaller lots and one or
more large lots and by permitting higher density developments in exchange for
the preservation of open space.[72]
45.
Additionally,
the Comprehensive Plan has transportation, sewer, water, parks, and housing
elements.[73]
46.
The
Comprehensive Plan has a water resource management section which addresses the
issue of surface water management and the protection of natural resources with
future development.[74]
47.
In its
implementation section, the Plan addresses the streamlining of development
reviews and recommends additional park and open space planning. A
48.
49.
The Town has a
Development Code consisting of three parts; Administration, Zoning Regulations,
and Subdivision Regulations.[78]
50.
The Town
administers its Development Code, conducts public hearings, issues Conditional
Use Permits and Variances and approves subdivisions.[79]
51.
52.
The Town is more
restrictive in the shoreland district by requiring 2-1/2 acre lots as opposed
to 1-1/2 acre lots allowed by the County.[81]
53.
The application
of the Town Development Code and the County Development Code results in a
duplicative review process. For a major
subdivision, reviews are conducted at both the Town and County levels at the
concept stage, the preliminary plat stage and the final plat stage. In between those reviews, there are a number
of committees, which conduct reviews at both the Town and County level.[82]
54.
Incorporation
would allow the Town to apply its own Comprehensive Plan and Development Code
without the involvement of
55.
The Town has the
ability to perform its own planning, subdivision and zoning functions.[84]
The Town has a history of employing necessary consultants, including TKDA as
its current planning consultant, Bonestroo Rosene Anderlik & Associates as
its engineering consultants, and Sanders, Wacker, Bergely as its adopted
Existing levels of governmental services being
provided to the subject area, including water and sewer service, fire rating
and protection, law enforcement, street improvements and maintenance,
administrative services, and recreational facilities and the impact of the
proposed action on the delivery of the services.
56.
The Town is an
urban township with powers granted to it by Minnesota Statutes § 368.[86] Those powers are substantially similar to
powers granted to a statutory city by Minnesota Statutes §§ 412, 465 and 429.[87]
Powers granted to urban townships which are similar to the powers of a
statutory city include: to construct or acquire structures for Town purposes,
open streets and sidewalks, provide hospitals, regulate animals, prevent or
abate nuisances, enact ordinances, finance equipment purchases, vacate streets
and acquire property by eminent domain.
57.
The Town is also
subject to the provisions of Minnesota Statutes § 365, which is the Town
General Law.[88] Chapter 365 grants to the electors (the
voters of the Town) the authority to expend funds for Town purposes.[89]
58.
The Town Staff
prepares a budget on an annual basis by reviewing income and expenses of the
prior year, consulting with department heads and meeting with the Town Board.[90]
59.
In 2006, the
Town had an expense budget covering such items as community center, roads,
police, fire, and debt service of $2,062,370.[91] At the end of the year 2005, the Town had
cash and investments totaling $2,644,000.[92]
60.
The Budget is
presented to the electors for approval at a re-convened annual meeting.[93] The budget is typically approved by 5 to 15
electors who attend the meeting.[94] The electors have the opportunity to modify
the budget of the Town at the meeting.[95]
61.
Sewer and water
service is generally furnished by on-site sewage treatment systems and private
wells.[96] The Town has three shared drain field sewage
systems. The Village system serves six
businesses that pay user fees. Two
community wastewater treatment systems
serve residences on
62.
The Town has a
newly constructed fire station, which opened in the fall of 2000. The fire department has two Class-A pumpers,
a 2200-gallon tanker, a 2000-gallon tanker, a medical rescue unit, a grass fire
fighting rig and a boat for dive team water rescue.[104] The fire department also has defibrillators
and vehicle extraction apparatus.[105] The fire department is serviced by a well
with a 500 gallon per minute capacity capable of filling a tanker within four
minutes.[106] The fire department also has the benefit of
two dry wells enabling it to draw water from two lakes at different points in
the Town.[107] The Insurance Service Organization (ISO) Fire
Rating in New Scandia is 7, which is the highest rating it may have without
being served by municipal fire hydrants.[108] The ISO Rating benefits Town residents by
reducing their insurance premiums.[109]
63.
The fire
department offers both fire fighting and prevention services and medical rescue
services. Medical rescue services
include: basic life support and administration of certain medications. The department responds to car accidents and
a variety of medical emergencies.[110] In the year 2005, the fire department
responded to 209 emergency calls, of which 135 were medical calls and 74 were
fire calls.[111]
64.
The fire
department is currently staffed by 27 volunteer members, including one chief,
two assistant chiefs, two fire training captains, a rescue captain and
twenty-one fire fighters. The members
are required to obtain extensive training.
Thirteen members are certified medical first responders and fourteen are
certified emergency medical technicians.[112]
65.
The fire
department belongs to a number of mutual aid associations, which gives it
access to thirty-two fire department resources.[113] In addition to
66.
The Washington
County Sheriff’s Office provides law enforcement services to New Scandia. The Sheriff’s Office has five divisions: administrative, investigative, special
services, jail and patrol.[115] The Sheriff’s Office acts as dispatcher for
all municipalities in the County, including the New Scandia Fire
Department. The County is divided into
four patrol areas. An officer is
available in each district 24 hours per day.[116] Additionally, the Town provides enhanced
police protection to its residents by contracting with the Sheriff’s Office for
an additional deputy 40 hours per week at a cost to the Town for 2006 of
$84,319.40.[117] The Sheriff’s Office contracts with a number
of other cities in Washington County for additional police service, including
Mahtomedi, Hugo, Dellwood, Willernie, Lake Elmo and the Lower St. Croix Valley
Area cities.[118] The Sheriff’s Office, basically, acts as the
police department for these municipalities.[119] The contract officer has normal patrol duties
and also works with ordinance violations, nuisance properties and other issues
on a community based police model.[120] With the exception of one city, the Sheriff’s
Office keeps police records for all of the municipal police departments in the
67.
New
68.
New
69.
The Town
operates a wide range of parks and recreational facilities.[129] New Scandia maintains a relationship with the
70.
New Scandia
adopted an updated
71.
The municipality
is governed by a Town Board consisting of five supervisors similar to a Plan A
City. In the 1980’s it was converted
from a three person Board by approval of the voters. The workload and the complexity of issues
mandated the change.[135] Upon incorporation the municipality would be
governed by a City Council consisting of four Councilpersons and a Mayor.[136] The major difference in the two governing
bodies is that the Mayor of the City is elected by the voters and the
Chairperson of the Town Board is elected by the Town Board Supervisors.[137]
72.
Trash removal is
performed by two regular haulers who perform pickup services on a weekly
basis. New
73.
Library services
are made available to the Town residents through the Washington County Library
System. Library facilities are available
in Marine On St. Croix, adjacent to the southeast corner of the Town and in
74.
The Town has an
architectural advisory committee to advise the Town Board on the architectural
character of buildings constructed in its industrial/business park.[142] The Town Board is considering extending the
jurisdiction of the architectural committee to all new commercial structures
within the Town.[143]
75.
Certain services
once offered by
76.
In 2004, the New
Scandia Town Board included the sum of $15,000.00 in its 2005 budget for a
study of incorporation and the sum of $65,000.00 in its 2006 budget to complete
the hearing process. A committee was
appointed and conducted a thorough study.[147] The budget for the study was approved by the electors
at the annual Town meetings. An analysis
of the statutory factors pertaining to municipal incorporation was prepared.[148] A fiscal analysis of incorporation was
prepared.[149] The Town Board filed its Petition for
Incorporation on December 30, 2005.
77.
New
78.
If New Scandia
is incorporated, it will be required to replace certain consulting services
furnished by
79.
New
Existing or potential environmental problems and
whether the proposed action is likely to improve or resolve these problems.
80.
New
81.
New Scandia has
made its Shoreland Management Ordinance more restrictive than the County
ordinance by requiring a minimum lot size of 2-1/2 acres on its recreational
development lakes, as opposed to the requirement of 1-1/2 acres by
82.
Individual
sewage treatment systems are inspected under the supervision of
83.
The Town has
installed a community waste water system to serve a portion of its
84.
The protection
of natural resources and preservation of open space is a primary goal of the
Town’s planning. Most recently
demonstrated is its adoption of the
Fiscal impact on the subject area and adjacent units
of local government, including present bonded indebtedness; local tax rates of
the county, school district, and other governmental units, including, where
applicable, the net tax capacity of platted and unplatted lands and the
division of homestead and nonhomestead property; and other tax and governmental
aid issues.
85.
Springsted, Inc.
performed a fiscal impact analysis on behalf of
86.
The analysis
observed that the 2006 adopted budget included building fee revenues of
$175,000.00 and a building official contract expense of $100,000.00, leaving
the Town with $75,000.00 to cover the cost of providing office space and
support services to the contractor.[171]
87.
With regard to
planning and zoning, the report assumed an additional expense to the Town of
$80,000.00 per year to replace certain planning and zoning services still offered
by
88.
In the
Administration Department, the report suggested the creation of a zoning
secretary/receptionist position at an approximate cost of $34,000.00 per year.[174]
89.
The cost of the
two positions totaled $109,000.00 or $9,000.00 more than the current building
official alone. The additional costs
were presumed to be phased in over a period of two years.[175] Applying the various items of income and
expense and using $30,500.00 of capital reserves, the report demonstrated a
revised 2006 expense budget of $2,066.870.00 or $4,500.00 more than the adopted
2006 budget.[176] The projected expense budget for 2007 was
reduced by $61,100.00 due to the elimination of the one time incorporation
expense resulting in a projected expense budget for 2007 of $2,005,770.00.[177]
90.
The taxable
market value of property in New Scandia has increased rapidly. In the tax year 2000, the market value was
$270,786,673.00, and by the year 2005 it had risen to $533,279,500.00.[178] Over the same period of time, the net tax
capacity value increased from $3,659,721.00 to $5,576,820.00.[179] The Town’s tax levy increased from
$860,387.00 in 2000 to $1,483,752.00 in 2005.[180] The tax capacity rate for taxes payable in
the year 2005 was 28.035%. The tax
capacity rate for taxes payable in the year 2006 was 26.541%. The projected tax capacity rate for 2007 is
25.195% and for 2008 is 24.733%.[181]
91.
Based on the
known tax rates for taxes payable in 2005 and 2006 and the projected tax rates
for the years 2007 and 2008, the report calculated the municipal share of real
estate taxes for properties valued at $353,000.00, $500,000.00 and
$750,000.00. The municipal share of real
estate taxes for a property valued at $353,000.00 was $935.00 for taxes payable
in the year 2005 and fell to $818.00 for taxes payable in the year 2008. For a property valued at $500,000.00, the
municipal share of real estate taxes for taxes payable in the year 2005 was
$1,402.00 and was projected to be $1,237.00 in the year 2008. Likewise, a property valued at $750,000.00
had taxes payable of $2,278.00 in 2005 and was projected to have taxes payable
of $2,010.00 in the year 2008.[182] The projections did not include property
value appreciation.[183]
92.
At the end of
the year 2005, the Township had six general obligation bonds or notes
outstanding with a combined principal balance of $2,567,000.00. The bonds were issued to finance improvements
and/or installation of streets, acquire property for the
93.
The Town has
maintained substantial fund balances over the years. The Minnesota State Auditor recommends fund
balances equal to forty to fifty percent of annual expenses. In 2000, New Scandia had a fund balance of
$963,462.00 compared to total budget for operations of $815,955.00, or a fund
balance of 118.9% of expenses. In 2001
the fund balance equaled 51.89% of expenses; in 2002 75.37% of expenses; in
2003, 75.64% of expenses; and in 2004, 62.38% of expenses.[187] At the end of the year 2005, the Town had operating
fund balances of $931,340.00.[188]
94.
Incorporation
would allow the municipality to utilize tax increment financing to encourage
economic development and redevelopment financed by the increased property taxes
which would be generated by the development.[189] Cities have broader authority than townships
to issue general obligation debt without a referendum. Cities can finance, through a housing and
redevelopment authority, the construction of senior housing facilities with
general obligation bonds.[190]
95.
Incorporation
would allow New Scandia to have an economic development authority under
Minnesota Statutes § 469.091 to § 469.108.[191] An economic development authority would give
New Scandia a tool with broad powers to lend funds, purchase and sell land, and
become limited partners in a private business venture. Tax increment financing would allow expanded
economic development with a corresponding creation of new jobs and housing.[192]
Relationship and effect of the proposed action on
affected and adjacent school districts and communities.
96.
New Scandia is
served by the
97.
The future
development in the
98.
The adjacent
cities/townships which could be impacted by incorporation are the cities of
Whether delivery of services to the subject area can
be adequately and economically delivered by township government or would be
best provided through incorporation, annexation or another type of boundary
adjustment.
99.
New
Analysis of whether
necessary governmental services can best be provided through the proposed
action or another type of boundary adjustment.
100.
New Scandia is a
community with the
Degree of contiguity
of the boundaries of the subject area and adjacent units of local government.
101. The subject area is the entire Township. If it is incorporated, there will be no
change in the contiguity of its boundaries and the boundaries of adjacent units
of local government.[198]
Applicability of the
102. New
103.
104. On June 13,
2006, the Washington County Board of Commissioners adopted a Resolution
supporting the incorporation of New Scandia Township as a City, finding inter
alia that the Town has prepared its own Comprehensive Plan and adopted its own
Zoning and Subdivision Regulations; has a long standing Village Center with an
industrial park, commercial businesses, professional services and governmental
buildings; has its own fully equipped and staffed fire department furnishing
fire fighting and rescue services to the Town and to part of an adjacent town;
provides police service; has a community center staffed with full and part time
personnel furnishing municipal administrative services to the Town; issues its
own building permits; maintains its own roads; provides park and recreation
services; has a Town Board with five members operating in the manner of a City
Council; has the ability, talent and resources to govern itself and to determine
its own destiny; and that it would be in the best interests of New Scandia
Township to be able to preserve its boundaries in order to efficiently plan and
provide for the best interests of the residents of the Town.[203]
Public Comment.
105. Approximately 50 residents attended the public
hearing session of which 11 residents offered public comment. A number of the speakers had served on the
incorporation committee. Most of the speakers
spoke in favor of incorporation of the Town citing a desire for self-governance,
annexation concerns, a desire to eliminate County oversight and the services
presently being provided by the Town.
Three people spoke in opposition to incorporation expressing concerns
over losing the rural character of the community and possible increased
costs. One person expressed a lack of
concern as to whether
Based on these Findings of Fact, the
Administrative Law Judge makes the following:
1.
The
Administrative Law Judge has jurisdiction in this matter through the Office of
Municipal Boundary Adjustments, pursuant to Minn. Stat. §§ 414.01, 414.02,
414.031 and 414.12 and the assignment by the Director of the Municipal Boundary
Adjustments Unit to the Office of Administrative Hearings.
2.
On December 28,
2005 New Scandia Township submitted its petition for incorporation as the City
of New Scandia pursuant to Minn. Stat. § 414.02. The Township later sought to amend the
proposed name of the city to
3.
Proper notice of
the hearing in this matter has been given.
4.
The
5.
Municipal
government is required to protect the public health, safety and welfare of New
Scandia.[206]
6.
Incorporation is
in the best interests of
7.
That the newly
incorporated city’s name shall be “City of
8.
No adjustment of
the New Scandia boundaries is necessary.[208]
9.
These
Conclusions are arrived at for the reasons set out in the following Memorandum,
which is incorporated into these Conclusions by reference.
Based upon these Findings of Fact and
Conclusions, and for the reasons set forth in the accompanying Memorandum, the
Administrative Law Judge makes the following:
IT IS HEREBY ORDERED THAT:
1.
The Petition for
Incorporation (I-69) of
2.
That the name of
the City shall be “
3.
The form of
government shall be “Optional Plan A.”
An election shall be held not less than 45 days nor more than 60 days of
the effective date of this Order to elect a mayor and four council
persons. Brenda Eklund shall be the
acting clerk for the election and she shall prepare the official ballot. Affidavits of candidacy shall be filed not
more than four weeks and not less than two weeks before the date of the
election. The polling place shall be the
4.
An election of a
mayor and four council members shall be held on December 12, 2006. The mayor and two city council members shall
be elected for a two-year term commencing January 1, 2007, and two city council
members shall be elected for a four-year term commencing January 1, 2007. The persons receiving the two highest number
of votes for councilperson will be elected to the terms ending January 1,
2011. The persons receiving the third
and fourth highest number of votes for council person will be elected to the
terms ending January 1, 2009. Thereafter
the city council members shall be elected for four year terms.
5.
In all other
respects, the elections shall be conducted in conformity with the provisions of
the Minnesota Statutes concerning the conduct of municipal elections insofar as
applicable.
6.
The ordinances
of
7.
Upon
incorporation, all money, claims, or properties including real estate owned,
held or possessed by the former New Scandia Township, and any proceeds or taxes
levied by New Scandia Township, collected and uncollected, shall become the
property of and inure to the benefit of the newly incorporated City with full
power and authority to use and dispose of the same for such public purposes as
the council deems best, subject to claims of the creditors. This will include cash reserves and fund
balances of the Township and all public property and equipment held by
8.
New
9.
The
incorporation shall be effective upon the election and qualification of new
municipal officers for the City of
10.
This Order is
effective October 16, 2006.
Dated: October 12, 2006
/s/
|
JAMES E. LAFAVE Administrative Law Judge |
Reported: Transcript Prepared
Shaddix & Associates
Logan & Styrbicki
This
Order is the final administrative order in this case under Minn. Stat.
§§ 414.02, 414.031, 414.07 and 414.09.
Any person aggrieved by this Order may appeal to Washington County
District Court by filing an Application for Review with the Court Administrator
within 30 days of the date of this Order.
An appeal does not stay the effect of this Order.
Any
party may submit a written request for an amendment of these Findings of Fact,
Conclusions, and Order within seven days from the date of the mailing of the
Order pursuant to Minn. R. 6000.3100.
However, no request for amendment shall extend the time of appeal from
these Findings of Fact, Conclusions and Order.
This proceeding was
commenced by
The Minnesota Legislature
found that “sound urban development and preservation of agricultural land and
open spaces through land use planning is essential to the continued economic
growth of this state”.[211]
The Legislature’s goals
for the extension of municipal government are to assure that urban services are
planned for developing areas and are designed to protect the stability of land
use. Although there is a presumption
that open space and rural residential uses can be protected by an
unincorporated township, the goals emphasize the integrity of land use planning
and efficient local government.[212]
In this case, although much of
Another goal expressed in
statute is to form a municipality when it has the necessary resources to
operate economically and efficiently.[213] New
New
New
New
Scandia is subject to the growth pressure placed on it by the growth of the
City of Forest Lake, the growth of
Consideration of the factors set forth in
Each of the factors is detailed in the findings of
fact and was fully considered in reaching the decision to incorporate the City
of
Present
population and number of households, past population and projected population
growth for the subject area.
The current population of New Scandia is
3,970 with a household total of 1,412.
In 1970, the population was 950 persons with households numbering
408. The populations of the neighboring
cities of Hugo and
Quantity of
land within the subject area; the natural terrain including recognizable
physical features, general topography, major watersheds, soil conditions and
such natural features as rivers, lakes and major bluffs.
New Scandia is almost 40 square miles
in size, being the largest municipality in
Present pattern
of physical development, planning, and intended land uses in the subject area
including residential, industrial, commercial, agricultural, and institutional
land uses and the impact of the proposed action on those uses.
The Metropolitan Council has designated New
Scandia as a diversified rural area. The
Town operates as a city and to the same or greater extent than other cities in
The Town has comprehensively planned for growth and
uses in the Town, as demonstrated by its Comprehensive Plan and its
Comprehensive Parks Plan. The Town has
had a Comprehensive Plan since 1980 and its most current version was adopted in
1998. It will update the plan as
required by the Metropolitan Council in 2008.
The Town has long had zoning and subdivision regulations applicable to
the entire Town. Its Comprehensive Plans
and Development Code require an orderly expansion of the
An overriding goal of the Town’s plan is to protect
its natural resources, including its rivers, streams, lakes and wetlands. The town is included within three major
watershed districts and a water management organization. The soils of the Town in large part support
onsite septic systems. The pattern of
physical development with its
When its population reaches 5000 persons, New
Scandia, as a city, will have available to it municipal state aid road funds to
aid in the construction and maintenance of its road system. As a city, it will have available to it
economic development tools including tax increment financing and the ability to
establish an economic development authority.
It will receive local government aid on an annual basis of $6.00 per
resident. It will have the authority to
issue general obligation debt without a referendum. It could issue general obligation bonds
through a housing and redevelopment authority to promote senior housing
projects.
The present
transportation system and potential transportation issues, including proposed
highway development.
The Town is subject to and has the
benefit of two state trunk highways connecting population centers in eastern
Land use
controls and planning presently being utilized in the subject area, including
comprehensive plans, policies of the Metropolitan Council; and whether there
are inconsistencies between proposed development and existing land use
controls.
The Metropolitan Council has
designated New Scandia as a diversified rural area, which recognizes a mix of
residential, agricultural and open space land uses. New
Existing levels
of governmental services being provided to the subject area, including water
and sewer service, fire rating and protection, law enforcement, street
improvements and maintenance, administrative services, and recreational
facilities and the impact of the proposed action on the delivery of the
services.
New
Existing or
potential environmental problems and whether the proposed action is likely to
improve or resolve these problems.
There
are no environmental problems that are likely to be affected, other than the
continuing need to plan for increased pressure on the natural resources in
Fiscal impact
on the subject area and adjacent units of local government, including present
bonded indebtedness; local tax rates of the county, school district, and other
governmental units, including, where applicable, the net tax capacity of
platted and unplatted lands and the division of homestead and nonhomestead
property; and other tax and governmental aid issues.
This factor is fully discussed in the Findings of
Fact. Incorporation will have a neutral
fiscal impact on New Scandia but will provide much needed stability.
New
This multimillion-dollar budget is approved by
electors at a re-convened annual meeting. The electors also have the ability to
modify the budget on the spot. Typically
only five to fifteen electors participate.
In any given year a real danger exists that a handful
of disgruntled electors, unaccountable to the public, could radically alter a
well-conceived budget with disastrous effects.
Incorporation would eliminate that threat.
Incorporation by itself will not adversely affect
Relationship
and effect of the proposed action on affected and adjacent school districts and
communities.
Incorporation is not likely to
significantly impact affected and adjacent school districts and
communities. Incorporation would aid
Whether
delivery of services to the subject area can be adequately and economically
delivered by the existing government.
New
Analysis of
whether necessary governmental services can best be provided through the
proposed action or another type of boundary adjustment.
Necessary government services can best
be provided by incorporation of the entire Town. Incorporation of a portion of the Town, only,
will leave the balance of the community without the financial resources to
supply the level of services currently provided. The Town has a long history of planning for
and providing services throughout its entire area.
Degree of
contiguity of the boundaries of the subject area and adjacent units of local
government.
Incorporation
of the entire town will maintain the degree of contiguity of its boundaries
with adjacent units of local government.
New
Public
Opposition:
There was no public referendum, so
there was no way to gauge the overall public support for the petition for
incorporation. And, while there was no
party of record opposing incorporation, at the public hearing and by written
submission, several citizens articulated reasonable and valid objections to the
petition. Their concerns were well
considered and merit discussion.
The concerns and objections can be
generally grouped under the following headings:
The
A serious concern was expressed that a
newly incorporated City would be unable to adequately regulate the four mining
operations in
The
There
is no evidence in the record to suggest the City of
What are the
tax implications? Or my taxes will go up.
Several citizens expressed concern
that they were not informed of the potential tax ramifications of incorporation
or that they opposed incorporation because they feared their tax burden would
increase.
The New Scandia Township Incorporation
Committee published “New Scandia Incorporation: Issues/Questions/Answers”[217]
in June 2005. That publication, predicted ”an increase of $9-$10 per year … for
the township (city) portion of the annual property tax bill for a home
with a taxable market value of $227, 500.”[218] (Emphasis in the original.)
The Board members
will personally profit or that Board members acted inappropriately.
There
is absolutely no evidence in the record to support such allegations or to
suggest that the Board members acted other than honorably and in the best
interest of the community.
By
incorporating,
Preserving New Scandia’s “rural
character” was important to nearly everyone who testified at the evidentiary
hearings, who spoke at the public hearing or who made written submissions. There was, however, a difference of opinion
on how that should be accomplished. Some felt that by incorporating
At first blush incorporating to “preserve rural character”
seems counterintuitive, but given the Minnesota Legislature’s stated findings
and goals the Township makes a persuasive argument. New
Conclusion
In conclusion,
J. E. L.
[1] Unless otherwise specified, references to Minnesota Statutes are to the 2004 edition.
[2] Ex.3.
[3]
See Ex. A to Petition of Town of New
[4] Ex. 4 at p.5.
[5] Ex. 4 at p. 5.
[6] Ex. 4 at p.5.
[7] Ex. 4 at p.8.
[8] Ex. 4 at p.8.
[9] Ex. 4 at p.5, 8.
[10] Ex. 8 at p.1.
[11] Ex. 8 at p.1.
[12] Ex. 8 at p.2.
[13] Ex. 8 at p.2.
[14] Ex. 8 at p.2.
[15] Ex. 8 at p.2.
[16] Ex. 8 at p.2.
[17] Ex. 8 at p.2.
[18] Ex. 4 at p.8.
[19] Testimony of Richard Thompson, Tr. V.1 at p. 46-47, Ex. 5.
[20] Ex. 4 at p.8.
[21] Ex. 16 at p. 5.2.
[22] Ex. 4 at p.9.; Ex. 22.
[23] Test. of R. Thompson, Tr. V.1 at p. 48-49.
[24] Ex. 22.
[25] Ex. 44.
[26] Testimony of Dennis D. Seefeldt, Tr. V. II at p. 147; Ex. 44.
[27] Test. D. Seefeldt, Tr. V. II at p. 147 – 148.
[28] Test. R. Thompson, Tr. V. I at p. 48-49; Ex. 4 at p. 9.
[29] Ex. 10 at p.16.
[30] Ex. 4 at p. 9.
[31] Test. D. Seefeldt, Tr. V. II at p. 118.
[32] Ex. 4 at p. 9; Test. D. Seefeldt, Tr. V. II at p. 118 – 119.
[33] Ex. 4 at p. 9.
[34] Test. D. Seefeldt, Tr. V. II at p. 125-126
[35] Test. D. Seefeldt, Tr. V. II at p. 122.
[36] Test. D. Seefeldt, Tr. V. II at p. 123.
[37] Ex. 4 at p. 9.
[38] Ex. 10, p. 16
[39] Test. D. Seefeldt, Tr. V II at p. 157.
[40] Test. R. Thompson Tr. V I at p. 54.
[41] Test. R. Thompson, Tr. V I at p. 54.
[42] Ex. 10 at p. 16 and page opposite
[43] Ex. 4 at p. 10
[44] Test. R. Thompson, Tr. V. I at p. 50, 68-69.
[45] Ex. 4 at p. 10; Test. R. Thompson, Tr. V. at p. 49.
[46] Test. D. Seefeldt, Tr. V. II at p. 153-155.
[47] Ex. 18.
[48] Ex. 18; Ex. 16, page opposite to page 3-2.
[49] Ex. 4 at p. 10.
[50] Ex. 4 at p. 12.
[51] Test. R. Thompson, Tr. V. I at p. 81.
[52] Ex. 4 at p. 12.
[53] Testimony of Thomas W. Peterson, Tr. V. II at p. 90.
[54] Test. R. Thompson, Tr. V. I at p. 56.
[55] Test. R. Thompson, TR V. I at p. 58.
[56] Ex. 4 at p. 10
[57] Ex. 4 at p. 11.
[58] Test T. Peterson, Tr. V. II at p. 90, 91; Ex. 36.
[59] Ex. 1 at 22, Fig. 7.
[60] Ex. 15 at p. 7.
[61] Ex. 15 at p. 13.
[62] Test. T. Peterson, Tr. V. II at p. 99-101;Ex. 15; Ex. 37.
[63] Test. R. Thompson, Tr. V. I at p. 59.
[64] Ex. 10.
[65] Test. R. Thompson, Tr. V. I at p. 60 – 61.
[66] Test. R. Thompson, Tr. V. I at p. 61.
[67] Ex. 10.
[68] Test. R. Thompson, Tr. V. I at p. 63.
[69] Test. R. Thompson, Tr. V. I at p. 63.
[70] Test. R. Thompson, Tr. V. I at p. 63.
[71] Test. R. Thompson, Tr. V. I at p. 66– 67.
[72] Test. R. Thompson, Tr. V. I at p. 67-69.
[73] Test. R. Thompson, Tr. V. I at p. 69-70
[74] Test. R. Thompson, Tr. V. I at p. 71.
[75] Test. R. Thompson, Tr. V. I at p. 71; Ex. 16.
[76] Test. R. Thompson, Tr. V. I at p. 74; Ex. 11.
[77] Test. R. Thompson, Tr. V. I at p. 74-75.
[78] Ex. 12.
[79] Test. R. Thompson, Tr. V. I at p. 76-79.
[80] Test. R. Thompson, Tr. V. I at p. 80,- 81; Ex. 13.
[81] Test. D. Seefeldt, Tr. V. II at p. 152.
[82] Test. R. Thompson, Tr. V. I at p. 72-73.
[83] Test. R. Thompson, Tr. V. I at p. 81.
[84] Test. R. Thompson, Tr. V. I at p. 82.
[85] Test. R. Thompson, Tr. V. I at p. 82- 83; Ex. 18.
[86] Ex. 40; Ex 41; Test. R. Thompson, Tr. V. I at p. 29-30.
[87] Ex. 41.
[88] Ex. 43.
[89] Test. D. Seefeldt, Tr. V. II at p. 105-107.
[90] Testimony of Colleen Firkus, Tr. V. II at p. 76.
[91] Test. C. Firkus, Tr. V. II at p. 77; Ex. 31.
[92] Test. C. Firkus, Tr. V. II at p. 85; Ex. 33.
[93] Test. C. Firkus, Tr. V. II at p. 78.
[94] Test. C. Firkus, Tr. V. II at p. 78; Test. D. Seefeldt, Tr. V. II at p. 107.
[95] Test. C. Firkus, Tr. V. II at p. 78,-79; Test. D. Seefeldt, Tr. V. II at p. 108-110.
[96] Ex. 4at p. 15; Test. R. Thompson, Tr. V. I at p. 85- 86.
[97] Ex. 4at p. 15; Test. R. Thompson, Tr. V. I at p. 86; Test. D. Seefeldt, Tr. V. II at p. 131-132.
[98] Test. R. Thompson, Tr. V. I at p. 87.
[99] Test. D. Seefeldt, Tr. V. II at p. 128-129.
[100] Test. D. Seefeldt, Tr. V. II at p. 129-130.
[101] Test. D. Seefeldt, Tr. V. II at p. 130.
[102] Test. D. Seefeldt, Tr. V. II at p. 130.
[103] Testimony of Dennis Hegberg, Tr. V. III at p. 21- 22.
[104] Testimony of Stephen Yehle, Tr. V. III at p. 31, 33-34; Ex. 49.
[105]
Test,
[106]
Test,
[107]
Test,
[108]Test,
[109]
Test,
[110]
Test,
[111]
Test,
[112]
Test,
[113]Test,
[114]
Test,
[115] Testimony of Stephen Pott, Tr. V. III at p. 6-8.
[116]
Test. of
[117] Ex. 46; Test. of S. Pott, Tr. V. III at p. 13.
[118]
Test. of
[119]
Test. of
[120]
Test. of
[121]
Test. of
[122] Test. of S. Pott, Tr. V. III at p. 15; Ex. 47.
[123]
Test. of
[124] Testimony of Michael J. Heinz, Tr. V. III at p. 59.
[125] Test. M. Heinz, Tr. V. III at p. 59.
[126] Test. M. Heinz, Tr. V. III at p. 58.
[127] Ex. 4 at p. 16.
[128] Test. D. Seefeldt, Tr. V. II at p. 116.
[129] Ex. 18; Ex. 16, page opposite to page 3.2.
[130] Test. D. Seefeldt., Tr. V. II at p. 123-124.
[131] Test. D. Seefeldt., Tr. V. II at p. 123-124.
[132] Ex. 16; Ex. 18.
[133] Ex. 19.
[134] Ex. 16 at p. 4-10; Ex. 20; Testimony of Vera Westrum Ostrom, V. II at p. 58-59.
[135] Test. D. Seefeldt., Tr. V. II at p. 113-114.
[136] Test. D. Seefeldt., Tr. V. II at p. 115.
[137] Test. D. Seefeldt., Tr. V. II at p. 115-116.
[138] Test. D. Seefeldt., Tr. V. II at p. 119-120.
[139] Test. D. Seefeldt., Tr. V. II at p. 120.
[140]Test. D. Seefeldt., Tr. V. II at p. 120-121.
[141] Test. D. Seefeldt, Tr. V. II at p. 121.
[142] Test. D. Seefeldt, Tr. V. II at p. 121-122.
[143] Test. D. Seefeldt, Tr. V. II at p. 122.
[144] Test. D. Seefeldt, Tr. V. II at p. 136-138; Test. D. Hegberg, Tr. V. III at p. 26.
[145] Test. D. Hegberg, Tr. V. III at p. 26- 27.
[146] Test. D. Hegberg, Tr. V. III at p. 27
[147] Testimony of Blair Joselyn, Tr. V. I. at p. 12-22.
[148] Ex. 4
[149] Ex. 15
[150] Test. R. Thompson, Tr. V. I at p. 29.
[151] Testimony of Jessie Hart, Tr. V. II at p. 16-18; Test. D. Seefeldt, Tr. V. II at p.135-136.
[152] Test. D. Seefeldt, Tr. V. II at p. 155.
[153] Test. D. Hegberg, Tr. V. III at p. 22-23.
[154] Ex. 4 at p. 16; Test. R. Thompson, Tr. V. I at p. 90.
[155]Test. R. Thompson, Tr. V. I at p. 89-90.
[156] Test. D. Seefeldt, Tr, V. II at p. 152-153.
[157] Test. D. Seefeldt, Tr. V. II at p. 151-152.
[158] Test. D. Seefeldt, Tr. V. II at p. 152.
[159] Test. R. Thompson, Tr. V. I at p. 86-87.
[160] Test. R. Thompson, Tr. V. I at p. 87.
[161] Test. R. Thompson, Tr. V. I at p. 86.
[162] Test. D. Seefeldt, Tr. V. II at p. 129-130.
[163] Test. D. Seefeldt, Tr. V. II at p. 128-129.
[164] Ex. 19.
[165] Ex. 15.
[166] Ex. 15, at p. 2; Test. J. Hart, Tr. V. II at p. 13.
[167] Ex. 15 at p. 3l Test. J. Hart, Tr. V. II at p. 20.
[168] Ex. 15 at p. 2; Test. J. Hart, Tr. V. II at p. 13, Test. T. Peterson, Tr. V. II at p. 99.
[169] Ex. 15 at p. 13; Test. J. Hart, Tr. V. II at p. 13, Test. T. Peterson, Tr. V. II at p. 99.
[170] Ex. 15 at p. 7-9; Test. J. Hart, Tr. V. II at, p. 10-11.
[171] Ex. 15 at p. 9; Test. J. Hart, Tr. V. II at p. 15-16.
[172] Ex. 15 at p. 9; Test. J. Hart, Tr. V. II at p. 17-18; Test. D. Seefeldt, Tr. V. II at p. 135-136.
[173] Ex. 15, p. 10; Test. J. Hart, Tr. V. II at p. 18.
[174] Ex. 15 at p. 11.
[175] Ex. 15 at p. 5.
[176] Ex. 15 at p. 19.
[177] Ex. 15 at p. 19.
[178] Ex. 15 at p. 13.
[179] Ex. 15 at p. 14.
[180] Ex. 15 at p. 17.
[181] Ex. 15 at p. 17; Test. J Hart, Tr. V. II at p. 23.
[182] Ex. 15 at p. 18; Test. J. Hart, Tr. V. II at p. 27- 28.
[183] Ex. 15 at p. 18
[184] Ex. 15 at p. 15.
[185] Ex. 15 at p. 16.
[186] Ex. 15 at p. 3.
[187] Ex. 15 at p. 17; Test. J. Hart, Tr. V. II at p. 36-37.
[188] Ex. 33.
[189] Ex. 15, p. 20; Test. J. Hart, Tr. V. II at p. 38.
[190] Ex. 15 at p. 15.
[191] Ex. 15, at p. 20; Test. J. Hart, Tr. V. II at p. 38-39.
[192] Ex. 15 at p. 4.
[193] Ex. 15 at p. 1-2.
[194] Ex. 15 at p. 2.
[195] Ex. 15 at p. 2.
[197] Ex. 4 at p. 17.
[198] See Petition for Incorporation.
[199] Ex. 45; Test. D. Seefeldt, Tr. V. II at p. 145
[200] Ex. 5; Ex. 8.
[201] Test. D. Hegberg, Tr. V. III at p. 21.
[202] Test. D. Hegberg, Tr. V. III at p. 26.
[203] Ex. 48.
[204] Tr. V. IV.
[205] Minn. Stat. § 414.02, subd. 3(b)(1).
[206] Minn. Stat. § 414.02, subd. 3(b)(2).
[207] Minn. Stat. § 414.02, subd. 3(b)(3)
[208] Minn. Stat. § 414.02, subd. 4(d).
[209] Minn. Stat. § 414.067, subd. 2.
[210]
[211] Minn. Stat. § 414.01, subd. 1(a)(1).
[212] Min. Stat. § 414.01, subd.1(b)(3).
[213] Minn. Stat. § 414.01, subd. 1(a)(3).
[214] Test. D. Seefeldt, Tr. V. II at p. 155.
[215] Test. D. Seefeldt, Tr. V. II at p. 155.
[216] Test. D. Seefeldt, Tr. V. II at p. 155.
[217] See Ex. 2.
[218] Ex. 2 at p.1.