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Home My WebLink About2. Discussion regarding Sewer Capacity-Met Council Representatives #2 CITY OF SHAKOPEE Memorandum CASE LOG NO.: NA TO: Honorable Mayor and City Council Mark McNeill, City Administrator FROM: R. Michael Leek, Community Development Director SUBJECT: Workshop on Sewer Issues MEETING DATE: August 16, 2005 INTRODUCTION: On Tuesday, representatives of the Metropolitan Council will be attending to discuss with the Council negotiations regarding sewer capacity in the Shakopee-Chaska Interceptor. Council is also asked to address the proposed change in the rules regarding the SAC credit system, as these potentially affect credits that the City expected to receive once Rahr Malting comes off the metropolitan sanitary sewer system, (See the attached August 5th memo). ACTION REQUESTED: Provide City staff with direction on how to proceed with 1) negotiations regarding sewer capacity in the Shakopee-Chaska Interceptor, and 2) testimony related to the proposed change in the SAC credit system R. Michael Leek Community Development Director h:\cc\2005\08-16\sewer workshop. doc H:\CC\2005\08-16\Sewer W orkshop.doc 1 ~ Metropolitan Council Building communities that work Environmental Services August 1, 2005 To: Finance Officials, Building Inspectors, SAC Reporters Note: Please forward/copy this letter to other interested city officials Re: Public Meeting on Proposed Rule Changes to the Service Availability Charge (SAC) Credit System You are invited to attend a public meeting on August 23, 2005 regarding three proposed rule changes to the Council's SAC program, and/or you can submit written comments (see published notice on other side of page). The meeting will begin at 3:00 at Mears Park Centre, Room lA, 230 East 5th Street. St. Paul. A short presentation will be made by MCES staff and public input is invited. General information about SAC is available at the following Web site: htt.p://www.metrocounci1.org/ environment/RatesBilling/RatesCharges.htm. Following are the three proposals, which would generally improve the equity of the SAC system and help restrain future SAC rate increases: Proposal A: To no longer allow grandparented "net" credits to accrue to local governments. When a property is rebuilt, redeveloped or has a change of use, grandparent credits will still be available for a one-time change of use on the site to the extent that SAC units are needed for the property's new use. However, additional credits beyond those needed for the new use on the site (that would be credited under the existing rules) will not be available to the city elsewhere or in the future. Note if SAC was actually paid for the sitel net credits based on the paid SAC will continue to be available citywide to the local government. Proposal B: To establish a 5-year limit between the time that potential grandparent SAC credits are determined (e.g., when a business closes) and the new use is established (i.e., grandparent credits will only be allowed if the new use occurs within five years of the demolition or vacancy). Proposal C: To eliminate the site-specific credit election and make all future net credits citywide. Local governments will be allowed to use or convert all existing site-specific credits during 2006 and 2007. Note, this does not impact a city's ability to credit or treat specific property owners in any manner allowed by their ordinances and state law. You can call me with any questions at 651-602-1196, or e-mail atjason.willett@metc.state.mn.us. Sincerely, ~V~ Jason Willett MCES Finance Director www,metrocouncil,org Metro Info Line 602-1888 230 East Fifth Street . St, Paul, Minnesota 55101-1626 . (651) 602-1005 . Fax 602-1138 · TIT 229-3760 An Equal Opportunity Employer PUBLIC INFORMATION MEETING Proposed Changes to the Service Availability Charge (SAC) Credit System TUESDAY, AUGUST 23,2005 3:00 p.m. Mears Park Centre, Room lA 230 East Fifth Street St. Paul, MN 55101 Metropolitan Council Environmental Services (MCES) will hold a public information meeting on proposed changes to SAC rules regarding how MCES grants credits to local governments for a permanent reduction in the wastewater capacity needs of individual properties within the local government. MCES staff will make a short presentation. Public input is invited. Three changes are proposed that will limit the use of SAC credits but will improve the equity of the SAC system and restrain future SAC rate increases. Comments received at the informational meeting will be summarized and considered prior to final action by the Metropolitan Council, anticipated by late September 2005. Comments or questions can be directed to Mr. Jason Willett, (651) 602-1196 or jason.willett@metc.state.mn.us. Written comments will be accepted through September 2, 2005. Send to Mr. Willett at: Metropolitan Council Environmental Services, 230 E. Fifth St., S1. Paul, MN 55101. . J- . ~ Metropolitan Council ~.II(" ~ Envlro......talSerukes ~ Growth and Related Issues -t~ Presented to City of Shakopee Bryce Pickart Assistant General Manager Metropolitan Council Environmental Services August 16, 2005 .......~............. '-'" Issues -t~ -t~ . Reconveyance . Rahr Malting . Growth . Blue Lake WWTP City of Shakopee: Growth and Related Issues -08-16-05 . , , Page 1 . . > - L.~ '101~._-.. .~ ....' ~ _.,-~----~..~ :f\f~-\\l-r~-"""'~\~ -~~~<"~''''<'~!'Nn- BI Lak ,-,~k\! 'I- ~\ .._. . ._"""". u..., ';,..;. \~..-J-r-t~-T~ --Ci-- ~ -,-,------'-' _""""~'",-~L",~~1ty I ~ I" ~ ! \~t'-,". > <;j. ~I<l-I't> -"=-=c-~~,~_, . + '. / 1. ILL~J.___'__7___' --C--__.'U3~ , IT . .....,j / '-..'- J,.., /', "--'_.'''''. I I ~~~ ',"1\ ~;~''''' ~ ( L_ ':::i~ ',1 \'lr~r+r--,..tl-!..+rh a1\6:1' e e! g r ~ ! ~ 'U\ I'+,,' \ ~ w----, I I J--j r--+- 1 _~~~ -... .....,")... '-. , UI ~ (~~t.;i 'OIJp.~i~~=~~-. -0~~ /i" f' I..! -==--=,--==~--! i"', + /- I J..--~ ''';V--,,[l io,j\:) \~LJ= d~~=--'=- 1,:/\ ",. ./\ ~~1'~( ( I ',,- /'-_~-i'--,---""'~ ~~'i~ I --\c'r-'./ '-1 'j ( 1 y..,......... ----~-1 ] ! i _J .. -- j -"".,,_" \ /}____<'5 ./(, t~r I ~ --~--_ V \/~- ._._r;-' '.... i ~~ "-" """~'--!=z-~r(\~ City of Shakopee: Growth and Related Issues -08-16-05, , , Page 1 . - Facilities to be Reconveyed to City -t"{ -t"~ . Lift Station · Marschall Road and First Ave. E. · Constructed in late 1990's . Forcemain · 8,500 LF of 16-inch pipe · Constructed in late 1990's . Gravity Sewer · 10,000 LF of 36 and 42-inch pipe · 2000 LF rehabilitated · Remainder being televised now Reconveyance Status -t"{ -t"~ . Interceptor declared to have local benefit to City of Shakopee . City has acknowledged local benefit . MCES is televising gravity sewer to determine condition . MCES will rehabilitate sewer as needed to achieve good operating conditions City of Shakopee: Growth and Related Issues -08-16-05, , , Page 1 . .- :r... ._ 0 ~ I :r... a.. , ,'-... ( ,.-l ~)r c: ot1> ........ r '1 " ...j , i -{ c :. l \ ~ \ . '" . . ;>.,. ..::, VI ....'~ . - ,,' ,r.".", t\ ",' ro fJJ\.. ,.,..","".) '-"'" \:~,~..., I _'... .... ;.~:,:. I , .. . '-'::..;. "\. : '~:~.... i~. . .. · "'\\., ~ Q. ~~' ~ :" -'\, "'/ n ;::. : '^"<-. .</ "f-" .... r-___-',./;>><~J l~-A' I -.".----- --,,-' I /'/\- "I ~.-- .// ...., ~::::.- - . I \ ~- , ,- , " - , - ~ - :l o ...J . ~ Rahr Malting -tf -t~ . 1995 Comp Plan Amendment authorized Rahr's withdrawal from Metropolitan Disposal System . Issue: 1,500 SAC credits available to city upon Rahr's withdrawal . 1998 Phase I of WWTP completed . 2005 MDS continues to handle part of Rahr's wastewater and all of its sludge through sewer Rahr Malting (cont.) -tf -t~ . Blue lake WWTP planning and design is based on Rahr's withdrawal. . MCES will be reissuing Rahr's industrial waste discharge permit with a deadline for withdrawal. . MCES is proposing policy change on grandfathered SAC credits. · Public meeting August 23rd · Written comments due September 2nd. City of Shakopee: Growth and Related Issues -08-16-05 , . , Page 1 . ~ r~ .- il ~ :t .- <<l ~ 0.. l -~ ,. - J ,-')-F \.. ~ \'- " , \ c \ . : 0 , . \. .. U) . '. ~ : ~ ::>_.. r: ^ U . c' r::-...,....-.~.. ~0: 1-'(0 .....~. "'..>:: \....~.. '~}~ '" .., ~ '\ "[', I . - ...~..... " . ~ ~ ~ ..", ....~, ,/ ? ~ ...... y " I- / \ ' , I // -, ,",t -,--- - I /' \ -""'",- = , ---= / '--.. =~ , U) = .- :J 0 ...I . ~~ Cost-sharing Agreement ~. ~~ . Interceptor is sized to provide local trunk sewer benefit . City contributed approximately $1.4 million . City can purchase an additional .97 mgd capacity 2002 Comprehensive Plan ~1 ~~ . Shows a long-term need for 4.8 mgd . Development in Jackson Township believed to be post 2020 . Plan approved based on existing cost-sharing agreement City of Shakopee: Growth and Related Issues -08-16-05, , , Page 1 - Growth: City of Shakopee -t~. ~ ~~ . Annexation Areas of Jackson Township . Revisions to Trunk Sewer Plan . Upcoming Comp Plan Amendment . Cost Sharing Agreement City of Shakopee: Growth and Related Issues -08-16-05, , , Page 1 . I l!~~'!!!! 35<D@@.g:::rM~ i(i;;' ~ o!< !;;" () ~ ~ g ~ ~ ~" 2.~@~a.~ !l!. @.~ o!<C:~~::05' ::J ~~ ~a (/)<-~ ;.i:! em (Dr. ~.[i. ::J-<"U U1~ ~~ ~ W ~ II ~ it- it <D " ~:;' :!: < (1) ! m . ~ :c ~~~'-~ ----^1-','" I" ,+",-L.'i ---~--'f--:-... .'r ,/ }0-_ !~., '+~ -'>-- . '.'-1 ! ..---\ (' i , "oj:' ; . . Regional Wastewater System p'atf -t~ . Long-term service to Highway 169 Corridor . Long-term service to Highway 212 Corridor . Future Carver County and Scott County WWTP's to supplement Blue Lake WWTP . Efficient and orderly staging (e.g. convey to Blue Lake WWTP as long as possible, then divert part of service area to new WWTP) Recommended Approach -t~ ~~ . Collaborate on Planning · Shakopee Relief Interceptor · Siting future WWTP · Concept plan for future annexation areas · 2008 Comp Plan Update · Scott County and Townships City of Shakopee: Growth and Related Issues -08.16.05 , , , Page 1 . ~ ~~ Blue Lake WWTP Improvements -t' --t~ . Objectives · Phosphorus removal · Disinfection with Liquid Chemicals · Rehabilitation · Expansion . Draft Facility Plan · Public hearing September 14 · Adopt October, 2005 . Construction · 2008-2012 I City of Shakopee: Growth and Related Issues -08-16-05, , , Page 1 AUG, 16, 2005 4:23PM KRAUS ANDERSON NO, 7890 Pa!P. 2)f 1 Jerry Sand 8 " ~, - - , ...... ... - To: mmcneill@cLshakopee,mn,us Subject; Metropolitan Council's Proposed Limitation of Shakopee to the Accessibility of the Chaska Sewer Interceptor Along Highway 169 Mr, McNeill, I am assisting my parents, Jerome and Bernice Sand, who own land along Zumbro Ave. Their property is located at 14025 Zumbro Ave. We wanted to let you know that we are very concerned and opposed to any plan by the Met Council, or any reduced plan which Shakopee would agree to, which would limit/restrict accessibility by Shakopee to this subject Interceptor. It would seem if the problem is being impacted by growth in Chaska, Waconia, etc, these municipalities should be looking at ways to create capacity vs the hope Shakopee will be limited/restricted. Not only would this restriction have a Significant impact on land values into the future, because as a result, timing for the development of property in close proximity to the Interceptor would be hindered; such a restriction, we fear will potentially also have a significant impact today on negotiations, debates occurring at the present time with Excel Energy. Property Owners, like my parents are trying to receive a fair value for the land that has been directly impacted by the recent Blue lake Natural Gas Pipeline installed along Zumbro Ave. We understand, that as a result of the final location of the pipeline, i.e, continuing directly North of Zumbro to Hwy 169, that this "opens the door" for an earlier timeframe to develop this area. This is a point we impressed upon Excel and felt they needed to understand, to insure fair compensation to the property owners they have impacted. Those property owners didn't have a choice to say "no" to Excel on the pipeline location. but still want and need to be treated fairly for its impact, Bottom line, we would ask that you seriously taKe our concerns under consideration and the significant impact to people like my parents, who have worked long and hard on the Family Farm for what they have. Limiting accessibility, as currently being discussed would have a significant negative financial impact. Thank You. Jerome A. Sand. Jr. 12820 Hideaway Trail Minnetonka MN 55305 8/16/2005