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5. Discussion on amendment to development code for community solarMemorandum To: Scandia Planning Commission Reference: Community solar ordinance — potential revisions for discussion Copies To: Neil Soltis, City Administrator Project No.: 17123.000 Brenda Ecklund, City Clerk Routing: From: Merritt Clapp -Smith, Planner Date: February 26, 2019 SUBJECT: Potential revisions to former ordinance regulating Solar Farms and Community Solar Gardens — Section 3.2 of Chapter 2 of the Development Code of the City of Scandia MEETING DATE: March 5, 2019 BACKGROUND The City of Scandia permitted, amended and repealed its community solar ordinance over the past few years. • June 2015 — City establishes ordinance allowing and regulating community solar • April 2016 — 3 month moratorium on new installations • June 2016 — City amends regulations for community solar • September 2017 — City repeals ordinance allowing community solar Scandia's experience with the community solar installations has been fraught with concerns from residents related to various aspects of how they look and their size. In Fall 2018, the city was encouraged to consider re -adopting its ordinance for community solar, with amendments to more strictly regulate the size and look of the installations. The table on the next page provides an overview of the past ordinances and revisions, and installations that have occurred in the city since 2015. 444 Cedar Street, Suite 1500 Saint Paul, MN 55101 651.292.4400 tkda.com Mi TKDA Memorandum To: Scandia Planning Commission Reference: Community solar ordinance — potential revisions for discussion Copies To: Neil Soltis, City Administrator Project No.: 17123.000 Brenda Ecklund, City Clerk Routing: From: Merritt Clapp -Smith, Planner Date: February 26, 2019 SUBJECT: Potential revisions to former ordinance regulating Solar Farms and Community Solar Gardens — Section 3.2 of Chapter 2 of the Development Code of the City of Scandia MEETING DATE: March 5, 2019 BACKGROUND The City of Scandia permitted, amended and repealed its community solar ordinance over the past few years. • June 2015 — City establishes ordinance allowing and regulating community solar • April 2016 — 3 month moratorium on new installations • June 2016 — City amends regulations for community solar • September 2017 — City repeals ordinance allowing community solar Scandia's experience with the community solar installations has been fraught with concerns from residents related to various aspects of how they look and their size. In Fall 2018, the city was encouraged to consider re -adopting its ordinance for community solar, with amendments to more strictly regulate the size and look of the installations. The table on the next page provides an overview of the past ordinances and revisions, and installations that have occurred in the city since 2015. Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 Ordinance number 162 170 174 187 193 Date 6/16/2015 !4/19/2016' 6/16/2016 !9/19/2017 1/16/22018 Established Amended j Passive solar as Purpose regulations for ! community solar community solar i i regulations i accessory use Performance Standards Minimum lot size 5 acres ! E none ! none Same as principal L Side setback 0 75minimum 20 structure 41 1 i i greater of 200' from L parallel to or behind Front setback centerline or 150' Y No Change from right-of-way r o v primary structure Height 15' maximum m a, 15' maximum up to 25' in s depth if CUP required or Screening from to the extent �, and up to 95/ of right of way possible view from adjacent j within 100' of right - of -way parcels within 2 ! =a L Underground from i U Power lines array to No change interconnection Fencing 0 E MNDNR wildlife need CUP if array Size 1 over 800 s.f. Timeline of solar projects approved under each ordinance 5mW-97/ 10/20/2015 2015 - 4 permits Manning 5 mW - south of 4/19/2016 2016 - 5 permits 97 3 mW - 95 5/17/2016 2017 - 6 permits 5 mW - Oldfield 8/16/2016 ! ! 2018 - 1 permit 40 kW Lofton 11/15/2016 1 mW - Manning 6/20/2017 On January 31, 2019, the Scandia City Council and Planning Commission hosted a public information and input session on community solar gardens. The input from community members at the meeting was shared with the Planning Commission at its February 5t" meeting and discussed. Based on that input and ongoing discussion in the community about solar, the Planning Commission directed staff to propose some changes to the last version of the city's community solar ordinance for consideration. The following pages provide an overview of potential changes. Page 2 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 KEY STANDARDS FOR SOLAR GARDENS AND POTENTIAL CHANGES* *The summary below highlights potential regulations and underlines those that are a changes from the city's last ordinance. Districts • Allow in Agriculture Core (AG C) and Agriculture Preserves (AP). Do not allow in General Rural( R). • Do not allow to be more than 3,000 feet from the power distribution line it connects to. Size • Limit to 1 megawatt in size or smaller Poles • Limit the installer to 1 interconnection pole per 1 MW system. (The City cannot regulate how many poles the utility chooses to put in the public right-of-way, but it shouldn't need to install more than 1 pole, to connect to the solar interconnection pole.) Distance from Adjacent Uses • Setback at least 75 feet from property lines Setback 350 from any existing residential structures on neighboring parcels Setback 500 feet from centerline of minor arterials or 200 feet from centerline of all other public road right-of-ways. Height • Fifteen (15) feet, when oriented at maximum tilt Vegetative Buffer • Up to fifteen (15) feet tall • Up to 25 feet deep • Screened up to 95% from adjacent residential parcels • Screened up to 75% from non-residential parcels and public ROWs • Required screening to be achieved within 4 growing seasons • At least 30% of vegetative buffers to be composed of evergreen plantings • Planting area under and around arrays to be deep rooted, native grass and pollinator mix suitable to soil type and moisture conditions • Secure an escrow, bond or letter of credit to ensure screening is installed and survives Fencing • Must be mounted on wood posts • Barbed and razor wire not allowed • Shall not exceed eight (8) feet in height from ground • Must have gap at the bottom for passage of birds and small animals Lighting • If used, must be shielded and downcast Page 3 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 POTENTIAL CHANGES TO PREVIOUS CITY ORDINANCE AN ORDINANCE THE SCANDIA DEVELOPMENT CODE, CHAPTER 2, SECTION , REGARDING SOLAR FARMS AND COMMUNITY SOLAR GARDENS The City Council of the City of Scandia, Washington County, Minnesota hereby ordains: Revisions to former Ordinance No. 122, the City of Scandia Development Code ("Development Code" or "Code"), Chapter Two, Section , Solar Farms and Community Solar Gardens, as follows: Solar Farms and Community Solar Gardens. Solar farms and community solar gardens shall comply with all of the following standards: (1) Districts and PefmitsSize Limits (A) Solar farms and community solar gardens are allowed within the Agriculture Core (AG C)and, Agriculture Preserves (AP), and Genera P,,,.,,' (GR) distriets and require a Conditional Use Permit. In the (B) The operational area for solar farms, includingfg and solar arra.y, shall only be located within 3,000 feet of the distribution power line that it is connected to. (C) Solar Farms and gar-densCommunity Solar Energy ystems are prohibited in the following areas: within the following dis4iets-. 1. Within areas designated as Shoreland Districts by the Department of Natural Resources and the City of Scandia Shoreland Ordinance, and within associated Shoreland setback areas as designated by the City of Scandia. 2. Within wetlands to the extent required by the Minnesota Wetlands Conservation Act. and within associated wetland setback areas as designated by the City of Scandia. 2-.3.Within the Floodplain District and associated setback areas as desi by the City of Scandia. Page 4 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 (D) Solar farms and community solar gardens shall not exceed One (1) Megawatt AC in size. (2)Accessory solar farm and community solar garden uses are exempt from the Residential and Agricultural Accessory Structure standards regarding the square footage and number of structures permitted on a parcel, but must conform to the setback and lot coverage standards in this Development Code. (3) Permit Application (A) Existing Site Plans Required. The applicant for a solar farm or community solar garden shall submit a detailed site plan of existing conditions, showing site boundaries; existing access roads, driveways, and easements; existing structures; setbacks; surface water drainage patterns, floodplains, Shoreland districts, delineated wetlands, toe and top of bluffs, ordinary high water mark and other protected natural resources; existing vegetation, soil types, topography (2 -foot contour intervals), and all other items required in Chapter 1, Section 5 of this Code for Conditional/Interim Use Permit applications or by the City. The Existing Site Plan shall include a graphic scale not less than 1:100 and a north arrow. (B) Proposed Site Plan Required. The applicant shall also submit a site plan of proposed conditions, including the proposed number, location and spacing of solar panels; proposed height of panels; location of access roads; planned location of underground or overhead electric lines connecting the solar farm to the building, substation or other electric load; new electrical equipment other than at the existing building or substation that is the connection point for the solar farm; proposed stormwater management facilities; proposed erosion and sediment control measures, and other information as required by the City. The Proposed Site Plan shall include a graphic scale not less than 1:100 and a north arrow. The application shall also include a vertical sketch elevation of the premises accurately drawn to a scale identified on the drawing, depicting the proposed solar energy conversion system and its relationship to the surrounding topography and public roadways. The sketch shall depict the proposed system's relationship to structures on adjacent lots within 150 feet of the parcel boundary (if any). The sketch elevation shall include a graphic scale not less than 1:50, or as needed to clearly show the vertical relationship between the proposed solar facilities and structures on adjacent lots. (C) Use of Public Roads. The applicant shall obtain all necessary approvals from the appropriate road authority for site access and driveways. (D) Interconnection Agreement. The applicant shall complete an interconnection agreement with a local utility and provide a copy of the agreement to the City before approval of electrical, building, or other required permits. The system Page 5 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 operator shall provide a visible external disconnect if required by the utility. Utility poles associated with each solar energy farm shall be limited to up to one pole for each permitted one (1) megawatt AC of electricity. Utility poles legally permitted in any road right-of-way or which currently exist are not included in this calculation. The proposed placement of all utility poles and any proposed aerially mounted equipment shall be shown in any proposed plans submitted. The Planning Commission shall specifically approve the placement of all utility poles outside of the road right-of-way. (E) Liability Insurance. The applicant shall maintain a current general liability policy covering bodily injury and property damage with limits of at least $1 million per occurrence and $1 million in the aggregate; and provide proof that it meets the insurance requirement to the city. (F) Decommissioning Plan. The applicant shall submit a decommissioning plan to ensure that facilities are properly removed after their useful life. If the solar energy system remains nonfunctional or inoperative for a continuous period of one year, the system shall be deemed to be abandoned and shall constitute a public nuisance. The plan shall include provisions for removal of all structures and foundations, restoration of soil and vegetation, and a plan ensuring financial resources will be available to fully decommission the site. The City may require the posting of a bond, letter of credit or the establishment of an escrow account to ensure decommissioning, based on an estimated cost for decommissioning provided by the applicant. (G)Payment In Lieu of Taxes. Notwithstanding that Minnesota Statutes Section 272.02, Subdivision 24 (or its successor) classifies real property upon which a solar energy generating system is located that is used primarily for solar energy production (subject to the production tax under Minnesota Statutes Section 272.0295) as class 3a, the City may require the applicant to enter into a Payment In Lieu of Taxes Agreement to compensate the City for any prospective tax revenue that may be lost due to such reclassification. (4) Performance Standards more shall rail under- the ; sdietio ,f the Minnesota Ruble r r444ies GemmissThe limitations on the number or cumulative generating capacity of community solar garden facilities is regulated by Minnesota Statutes 216B.164 and related regulations. (B) Solar farms and community solar gardens shall be in compliance with all applicable local, state and federal regulatory standards, including the State of Minnesota Uniform Building Code, as amended; the National Electric Code, Page 6 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 as amended; the State Plumbing Code, as amended; the Minnesota Energy Code, as amended. (C) If the proposed solar farm or community solar garden is adjacent to areas designed or formally protected from development by Federal, State, or County agencies as a wildlife management area, scenic byway, or National Wild and Scenic corridor, the applicant shall implement mitigation measures that would protect the resource values of the designated wildlife area or scenic corridor as a condition of approval. Such measures may include, but are not limited to, maintaining wildlife travel corridors, setting the development back from the right-of-way or stream corridor, using the natural topography to screen the project, and retaining or planting vegetation that would obsureobscure the view of the energy project within the scenic corridor. (D) All solar farms and community solar gardens shall be setback a minimum 75 feet! from all parcel boundaries and 350 feet from neighboring residential structures not on the same parcel of property existing at the time of the application for the permit. The City may require wider setbacks if it determines that the wider setbacks are warranted by the potential impacts to adjacent properties. (E) Solar farms and community solar gardens shall be setback a minimum of 500 200 feet from the centerline or- 150 feet fro the right of way of minor arterial roadways or 200 feet from the centerline of all other public road right-of- (F) i h (F) Ground -mounted solar energy systems shall not exceed fifteen feet (15') in height when oriented at maximum tilt. Building -integrated solar energy systems when at maximum tilt shall not exceed the maximum height permitted in the zoning district. LQISolar farms and community solar gardens shall be screened from view from the public right--of--way to the extent possible by setbacks, berming, existing vegetation, landscaping, or a combination thereof. The City may require that the solar arrays be screened from view from nearby or affected properties using the same screening elements, and may require a vegetative buffer up to 15 feet in height, 25 feet' in depth for up to ninety-five (95) percent of the view of the solar arrays from adjacent residential parcels and up to seventy-five (75) percent of the view of the solar arrays from non- residential parcels and public right-of-ways. The required screening shall be achieved within four L4-2) growing seasons from the date of project approval. At least thirty (30) percent of vegetative buffers shall be composed of evergreen plantings. The City may require the posting of a bond, letter of credit or the establishment of an escrow account to ensure vegetation is installed and establishes itself as identified in the approved permit, based on an estimated cost for plantings and labor provided b.. thepplicant. Page 7 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 (HISolar farms and community solar gardens are subject to stormwater management and erosion and sediment control best practices and NPDES permit requirements, and shall obtain required permits from the MPCA, local Watershed District, City and others. "t) All ground areas under solar array installs that are not occupied by equipment or essential access paths, shall be planted with a deep rooted, native grass and pollinator seed mix suitable to the soil and moisture conditions of the immediate area. Plant growth shall be stable and self- supporting within two (2) growing seasons from the date of project approval. (OaL_The manufacturer's engineer or another qualified engineer shall certify that the foundation and design of the solar panels is within accepted professional standards, given local soil and climate conditions. (J)LKI-Power and communication lines that are not defined in this ordinance as Essential Services and running between banks of solar panels and to electric substations or interconnections with buildings that are on adjacent parcels shall be buried underground. Exemptions may be granted by the City in instances where shallow bedrock, water courses or other elements of the natural landscape interfere with the ability to bury lines, or the distance to a substation or other point of interconnection reasonable precludes burial. (K)fL)-All solar farm and community solar garden facilities shall be designed and located in order to prevent reflective glare toward any inhabited buildings on adjacent properties, as well as adjacent street rights-of-way. Steps to control glare nuisance may include selective placement of the system, screening on the side of the solar array facing the reflectors, reducing use of the reflector system, or other remedies that limit glare. Solar farms utilizing a reflector system shall conduct a glare study to identify the impacts of the system on occupied buildings and transportation rights-of-way within a half mile of the project boundary. The glare study shall also address aviation impacts. (L)Q&The surface area of ground -mounted systems in combination with driveways, structures and other impervious surfaces on the parcel shall not exceed the maximum lot coverage standard of the applicable zoning district. (W NSA clearly -visible warning sign concerning voltage must be placed at the base of all pad -mounted transformers and substations. All mechanical equipment, including any structure for batteries or storage cells, shall be completely enclosed by a minimum eight (8) foot high fence with a self- locking gate, and provided with screening in accordance with the landscaping provisions of the Development Code. Page 8 of 9 Potential Ordinance revisions for discussion at Scandia Planning Commission 3/5/19 (0) Except as required by the electrical code, a -Any fences or barriers installed for the project shall be mounted on wood posts, shall not include any barbed or razor wire, shall not exceed eight feet in height from the ground, and shall incorporate wildlife -friendly design with a gap at the bottom for passage of birds and small animals. The City will utilize recommendations from the Minnesota DNR to determine if the fence design is wildlife -friendly. NTE) If lighting is provided at the project, lighting shall be shielded and downcast such that the light does not spill onto adjacent properties. "LQ) -If the solar energy system remains nonfunctional or inoperative for a continuous period of one year, the system shall be deemed to be abandoned and shall constitute a public nuisance. The owner shall remove the abandoned system at their expense after obtaining a demolition permit. Removal includes the entire structure including transmission equipment. Page 9 of 9