9.k) Staff Report-Landscaping LOC Reduction for Tii Gavo �.� �
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SCANDIA.
Staff Report
Date of Meeting: May 21, 2013
To: City Council
From: Kristina Handt, City Administrator
Re: Landscaping LOC Reduction for Tii Gavo
Agenda Item#: 9.k)
Background:
The City currently requires two Letters of Credit related to the Tii Gavo Development. One for
landscaping ($120,787) and one for construction($65,000). There are still some items covered
by the construction LOC that need to be addressed but the developer is requesting a reduction in
the landscaping LOC for trees that were planted in 2010 and have met the two year monitoring
requirements.
Issue:
Should the Council approve a reduction in the landscaping letter of credit for Tii Gavo?
Proposal Details:
Included in your packet is a letter from Ken Arndt requesting a reduction in the letter of credit
for Tii Gavo related to landscaping requirements.
This week City Planner Buss reviewed the plantings to date at Tii Gavo on May 15, 2013,
including the trees planted in 2010. This inspection verified that the trees planted in 2010 have
survived for 2 years, meeting the requirements of their Landscape Plan Amendment, approved in
2008. The trees included 15 white pines, 6 river birch and 4 red maples.
The current letter of credit does not include a surety for the maintenance of the prairie plantings
to be completed in 2013. Based on the City's recent actions for other projects and the need for
the City to have resources to complete the maintenance in the prairie areas if the developer fails
to do so, staff recommends that the City include the costs of maintenance in the letter of credit.
That would change Ken's calculations (copy of spreadsheet included in your packet) as follows:
Amount for remaining tree planting, plus 25%contingency: $ 8, 125.00
Amount for prairie installation, plus 25% contingency: $ 62,625.00
Amount for prairie maintenance for 3 years ($16,000) plus
25% contingency $ 20,000.00
Remaining amount letter of credit $ 90,750.00
Options:
1) Approve a reduction in the Tii Gavo Landscaping Letter of Credit to $90,750.00
2) Approve a reduction in the Tii Gavo Landscaping Letter of Credit to $70,750.00
Recommendation:
Option l.
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Crit►'cat Connections Ecological Services, Inc.
21150 Ozark Trail North, PO Box 184, Scandia, Minnesota 55073
Natural
Resource
Consulting
May 13, 2013
Landscape
Ecology
Botanical Kristina Handt
Inventories City Administrator
City of Scandia
Threatened & 14727 209 St. N.
Endangered Scandia, MN 55073
Species Surveys
Greenway &
Open Space Subject: Request for Reducing the Tii Gavo Landscaping Letter of Credit and
Planning Remaining Landscaping Update
Natural Ms. Handt,
Community
Restoration The following is a request for a reduction in the letter of credit for landscaping along
Wetland with an update on remaining landscape trees to be planted at the Tii Gavo development
Delineation & in Scandia, MN. Landscape material was installed over the past several years at Tii Gavo
Permitting starting in 2006 and continuing into 2007, 2008, and lastly in 2010. All trees that were
planted from 2006-2008 have been final inspected and their landscaping value (with the
Wetland exception of the additional 25% of their value) has been reduced from the letter of
Banking & credit for landscaping. The trees that were planted in September and October of 2010
Monitoring are now past the required two-year guarantee and qualify for reducing the letter of
Minnesota credit being held by the City of Scandia for landscape material.
land Cover gased on City code, once plant material has been in place for two full growing seasons a
Classification reduction in the landscaping letter of credit should be released by the City of Scandia to
Geographic the developer. If plant material dies or is not in good health, additional monitoring will
Information take place or a replacement tree will be required to be replanted if the tree dies.
Systems Previous requests for reducing the letter of credit were submitted and accepted by the
City of Scandia and include letters from Critical Connections Ecological Services (CCES)
Global on behalf of Superior Land Development dated November 10th, 2008, September 19tn,
Positioning 2009, and August 27th, 2010.
Systems
The trees planted during 2010 were final inspected on May 10th, 2013 by Ken Arndt,
Database Forest Ecologist with CCES. From the landscaping inspection, it was determined that all
Management& of the trees planted in 2010 are in good health and are close to and/or starting to leaf
Development out for the season.
Environmental
Edutation
Phone: 651.433.4410 Ema1l:info@ccesinc.com Web:www.ccesinc.com
w
Tii Gavo Conservation Development Page 2 of 4
Reduction of Letter of Credit for Landscaping
Critical Connections Ecological Services,Inc.
May 13,2013
Inspections of each landscape tree involved observation of each tree to determine its current
health. This included looking for any signs of damage along the main trunk or crown and
visually inspecting the vegetative buds throughout each tree. All of the trees that were
inspected appear to be in good condition and have no obvious structural problems, except for a
single white pine tree. This tree was damaged and has part of its top missing, although the
remaining two-thirds of this tree is fine structurally.
Trees Planted in Fall of 2010
As part of the Landscape Plan and tree replacement required for the Tii Gavo development,
CCES installed (25) overstory trees in 2010 on two separate dates. On September 9th, 2010
CCES assisted a local tree moving contractor in the planting of (15) large white pine trees (12-
20' tall) which were planted between the community septic building and the adjacent lot to the
south. Of these (15) white pine trees, (5) were planted as replacement for (5) trees that were
previously planted and died within the development, while the remaining (10) white pine trees
were planted as required on the landscape plan for Tii Gavo. On October 8th, 2010 CCES
installed (10) 2.5" B&B overstory shade trees by the beach area within the development. Six of
these trees (River Birch, multi-stemmed clumps) were planted along the sidewalk to the
bathhouse and four (Red Maple, single stemmed) were planted by the volley ball court area. All
trees planted in 2010 were watered in 2010 following installation and then in 2011 as was
needed.
Trees planted in the fall of 2010
15-White Pine (range in size from 12-20' in height and 4-7" in diameter)
6-River Birch (range in size from 10-14' in height and 1-2.5" in diameter for each stem)
4-Red Maple (minimum of 2.5" in diameter)
Total = 25
Reduction in the Landscaping Letter of Credit
Values to determine credit are found in the Final Landscape Plan submitted by Critical
Connections Ecological Services, Inc. dated 12-14-07. These values were used to calculate the
letter of credit and are as follows: for deciduous overstory trees the value is $500.00 per tree,
for coniferous overstory trees the value is $400.00 per tree, and for deciduous
understory/ornamental trees the value is $200.00 per tree.
Tii Gavo Conservation Development Page 3 of 4
Reduction of Letter of Credit for Landscaping
Critical Connections Ecological Services,Inc.
May 13,2013
Trees Planted in 2010 that Qualify for a Reduction in the Letter of Credit for Landscaping
uantit Tree Tvpe Value Total Reduction
15 White Pine $400.00/tree $ 6,000.00
6 River Birch $500.00/tree $ 3,000.00
4 Red Maple $500.00/tree $ 2,000.00
2013 Landscaping Reduction Request =$ 11,000.00
0.25%of$9.000= $ 2,750.00
2013 Landscaping Reduction Request =$13,750.00
Additional Reduction in the Landscaping Letter of Credit
The value of the Tii Gavo development letter of credit for landscaping was determined by
Project Attorneys and approved by the City of Scandia Engineer. Based on the determination,
the value of the landscaping was set at $143,200 plus an additional 0.25% for a total of
$179,000. Although three (3) separate requests for a reduction in the landscaping letter of
credit were submitted in 2008 ($35,900), 2009 ($21,000), and 2010 ($18,700), each request was
for the value of the landscape material only and did not include the additional 0.25%. Since a
total of $75,600 has already been reduced from the letter of credit a request for the 0.25% of
each reduction drawn is requested in this letter and detailed below.
Additional 0.25%Value to be reduced from the Tii Gavo Letter of Credit for Landscaping
Date of Request Amount Reduced Additional 0.25% Requested in 2013
11-10-08 $35,900.00 $ 8,975.00
9-17-09 $21,000.00 $ 5,250.00
8-27-10 $18,700.00 4 675.00
Reduction Request 0.25%of$75,600.00= $18,900.00
2013 Total Request for Reduction in the Landscaping Letter of Credit
Value of Trees Planted in 2010 ($11,000.00+ $2,750.00 (0.25% of$11,000.00) _ $13,750.00
Additional 0.25% of first three requests 0.25%x $75,600.00 = $18,900.00
Total Amount of Reduction Requested in 2013 = $32,650.00
Tii Gavo Conservation Development Page 4 of 4
Reduction of Letter of Credit for Landscaping
Critical Connections Ecological Services,Inc.
May 13,2013
landscaping to be planted for Site Completion
In order to complete all landscaping elements for the Tii Gavo development additional
overstory and ornamental trees will need to be installed as well as the installation of the 20
acre native prairie. To fulfill the tree planting requirement of the landscape plan, (7) deciduous
overstory trees and (15) ornamental trees still need to be planted. Once these trees have been
planted then all of the required trees depicted on the final landscape plan will be installed
within Tii Gavo. Most these trees are proposed to be planted (3 deciduous overstory and 15
ornamental trees) in areas within the Phase II part of the development. These trees will be
planted when construction and final grading of Phase II is completed. The remaining required
trees (4 deciduous overstory trees) to be planted will be installed within the current developed
areas of Tii Gavo.
If additional landscape trees are planted in 2013, they will need to be monitored for two years
following their installation. Trees that were planted in the fall of 2010 will no longer be
monitored now that two years has passed since they were installed and all are in very good
health. If you have any questions regarding the information provided in this letter, feel free to
contact me at any time.
Ken Arndt
ritical Connections Ecological Services, Inc.
Forest Ecologist/Certified Arborist MN-4033A
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Minnesota
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NQt��� Restoralion guidelines prepared by:Josh Hanson
�'��� �a�d$��p�S Using»ative planf communities to enhance your environnzent. ...
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To: Ken Arndt
Bid Date: May 15, 2013
Quote for native seeding maintenance work at
Tii Gavo
Scandia, MN
Item Units Qty Unit Price Total Price
*Year 1 —2013 Year 1 $4,000.00 $4,000.00
*Year 2—2014 Year 1 $6,000.00 $6,000.00
*Year 3—2015 Year 1 $6,000.00 $6,000.00
Total Amount: $16,000.00
*Includes all necessary monitoring, spot herbicide treatment and mowing required to promote the establishment of a
native plant community.
Notes:
1. This quote does not include the placement or grading of any topsoil and assumes acceptable growing soils will be provided.
2. MNI.,does not warranry against acts of vandalism,severe drought,flooding or damages caused by wildlife.
3. This quote is good for a period of 30 days.All work will be billed following completion,with payment being due within 30 days
of receipt of invoice.
Submitted By: Quote Acceptance:
Date: May 15,2013
Josh Hanson Sign Date
Thank you for considering MNL
Print
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