Hyperion releases some land options

Posted December 13, 2012 at 6:00 am

by Julie Ann Madden

On Dec. 4, Union County Register of Deeds received documentation releasing one of the land options Hyperion Resources Inc. had for its oil refinery.

According to Register of Deeds Jana Foltz, approximately 79 acres, owned by Mark Quam of Las Vegas, Nev., were released.

This was the first land option Hyperion officials have released through the Union County Register of Deeds Office after they failed to pay landowners’ the annual land option fee last August.

On Monday, Dec. 10, Hyperion officials released three more:

• Dakota Eastern LTD of rural Elk Point, 604.30 acres.

• LaVerne and Margaret Hanson, 198.22 acres in rural Elk Point;

• Susan Parker and Spencer Albin sold their part of their optioned property, about 161 acres at $5,512 for a total of $887,590 to Reid and Collette Bird of rural Elk Point. Their total options released were about 400 acres.

• Foltz said another one will be coming up for release soon as Clifford Jervik of rural Elk Point has sold his 107 acres with a closing date of Dec. 21.

To have each land option released, it costs $30 per document if the document has less than 50 pages, according to Foltz.

Quam’s land has already been sold to Reid and Marilyn Jensen of rural Elk Point, S.D., for $430,000 or about $5,443 per acre.

The land is still zoned Planned Development, which has specific permitted uses and structures for industrial uses.

If what the landowner wants to do with the property is not one of the permitted uses, then he or she will have to have the property rezoned.

For instance, if a landowner wants to build a new house on their property in this Planned Development area, they can “provided, however, that only the following persons and their families shall be permitted to reside in such residential housing: construction workers and contractors working on the (Energy Center) Project; and security, fire protection and supervisory personnel serving or related to the Project.”

If it’s not related to the Energy Center Project, then the property would have to be rezoned to agricultural to build a residence.

To rezone a property, there is a $500 rezoning application fee, according to Union County Planning Director Dennis Henze. The fee covers all of the work for posting and publishing notices of the rezoning request, the public hearing and Planning & Zoning and Commission meetings held to do this.

If Hyperion officials have all of its Planned Development rezoned back to agricultural at one time, it will just cost $500, said Henze. But if Hyperion doesn’t, then each individual landowner who wants their property rezoned will pay the $500 rezoning application fee.

In the Planned Development zoning, agricultural use is only permitted in the Industrial Transition Zone. However, it is limited in that sales and auction yard and Concentrated Animal Feeding Operations (CAFOs) are prohibited.

According to Henze, “The intention is farming would be allowed in the transitional zones once the ECPD was built. Nothing has been built so farming is still allowed.”

However, landowners in the Planned Development zoning cannot build structures on their properties, said Henze.

Energy Center Uses

Just what are the permitted uses in the Hyperion Energy Center Planned Development zoning?

Permitted Uses

Permitted uses include:

• Refineries, power plants and all related appurtenances and supporting infrastructure, including emergency flares, cooling towers, gas sequestration projects and facilities without on-site underground storage; and pipelines.

• Tanks, facilities, and areas for permanent and temporary storage of all liquids, gases, wastes and other matters used in or generated by permitted industrial operations; and all waste resulting from such activities.

• Manufacturing of any type.

• Any use necessary to support production or manufacture of ethanol and biofuels.

• Wind generation facilities.

• On-site aggregate mining.

• Transportation-related infrastructure and facilities of any type, including road and rail rights-of-way, bridges and structures; truck and rail loading and unloading; temporary and permanent parking; rail spurs; rail yards; rail car storage; truck and rail cleaning and washing facilities; garages; heliports/helipads; privately owned and operated airports, landing fields and landing strips licensed by the South Dakota Aeronautics Commission; maintenance and repair facilities; locomotive service areas; and intermodal transportation facilities.

• Residential housing, including modular housing units, residential accessory uses; and residential supporting infrastructure; provided however that only the following persons and their families shall be permitted to reside in such residential housing: construction workers and contractors working on the Project; and security, fire protection and supervisory personnel serving or related to the Project.

• Fire protection systems and equipment.

• Any principal or accessory use or structure permitted in the Light Industrial District as set forth in Sections 1002 and 1003 of the (Union County) Zoning Ordinance.

• Any principal or accessory use or structure permitted in the Industrial Transition Zone.

Industrial Transition Zone

Permitted Uses and Structures

It also includes these Industrial Transition Zone Permitted Uses and Structures:

• Agricultural uses, but excluding sales and auction yard and concentrated animal feeding operations as defined by the South Dakota Department of Environment & Natural Resources.

• Any appurtenance or supporting infrastructure to an industrial or transportation use: located within usable open space; or otherwise approved by the Planning Commission as part of the detailed plans submitted in accordance with Section 501 of this Ordinance and Subsection 1305 (1) of the Zoning Ordinance as not detrimentally impacting the use and enjoyment of or view-sheds from surrounding properties.

• Pipelines.

• Communication and utility uses, including, without limitation, electrical distribution systems and facilities, substations, utility lines, fiber optic cable, poles and towers.

• Water distribution, wastewater, storm water management and drainage, and sewer facilities and improvements of any type.

Accessory Uses & Structures

The Planned Development uses also include the following accessory uses and structures:

• Accessory uses and structures normally appurtenant to the permitted uses and structures when established within the bulk limited of the Energy Center Planned Development District including, without limitation, streets, sidewalks, plazas, fencing, gates, signs, landscaping, and all related appurtenances and supporting infrastructure.

• Retail, office and service uses and structures for the benefit of Project workers or otherwise accessory to permitted principal uses and structures when established within the bulk limits of the Energy Center Planned Development District.

• Temporary uses and structures related to Project construction, including trailers, indoor and outdoor storage and construction staging or laydown areas.

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