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HomeMy WebLinkAbout05/11/1993 TENTATIVE AGENDA SHAKOPEE, MINNESOTA COMMITTEE OF THE WHOLE MAY 11, 1993 Mayor Gary Laurent presiding 1] Roll Call at 5: 30 P.M. 2] Approval of Minutes of April 27 , 1993 3] Rahr Malting Sewer System/Forcemain 43 Other business 5] Adjourn Dennis R. Kraft City Administrator OFFICIAL PROCEEDINGS OF THE CITY COUNCIL COMMITTEE OF THE WHOLE SHAKOPEE, MINNESOTA APRIL 27, 1993 Mayor Gary Laurent called the meeting to order at 6 : 06 p.m. with Councilmembers Beard, Lynch, and Sweeney present . Councilwoman Vierling was absent . Also present : Dennis R. Kraft, City Administrator; Karen Marty, City Attorney; Dave Hutton, Public Works Director/City Engineer; Judith S. Cox, City Clerk; Lindberg Ekola, City Planner; Lou Van Hout, SPUC Manager; and Shakopee Public Utility Commissioners : Jim Cook, Chai�� Terry O'Toole, and Barry Kirchmeier. x� Shakopee Public Utilities Commission also called their meeting to order. Sweeney/Lynch moved to approve the minutes of March 23 , 1993 . Motion carried with Councilor Beard abstaining. Mr. Kraft asked that the following be added to the agenda: 2e) Issuance of Bonds by SPUC; 3a) Parking for Dance Contest May 1st; and 3b) Setting Committee of the Whole Meeting for May 11th at 5 :30 p.m. to Meet With Representatives From Rahr Malting. Mr. O'Toole asked that SPUC Reports (2f) be added to the agenda: 1) Upcoming Rate Topics, 2) Service Territory Acquisition, 3) Power Rate Contract, and 4) Miscellaneous Items . Mayor Laurent advised SPUC that the Council ordered the downtown alley and undergrounding overhead electric project at their April 20th meeting. Mr. Hutton explained that he and Mr. Van Hout will need to coordinate the design work for this project . Mr. Van Hout will be needed to do the electric design and Mr. Hutton will do the alley design. He also suggested that a Memorandum of Understanding be considered to address who pays for what parts of this project . Cncl . Sweeney stated that there will be a need to condemn properties for the transformers . He explained that he thought that Mr. Van Hout was suggesting that the City handle the acquisition process and the costs involved. Mr. O'Toole stated that SPUC has budgeted $100, 000 for undergrounding the overhead electric and that any overages would be of some concern. Mr. Van Hout concurred with Cncl . Sweeney, that the City absorb the acquisition costs and also decide where to locate the transformers based on possible sites identified by SPUC. He said that the City may already own some of the sites . He stated that he agrees with Mr. Hutton' s concept of a Memorandum of Understanding. He stated that he hoped it would be in the form of concepts of what each body thinks they should pay for because specific items can not be identified that closely. April 27, 1993 r Official Proceedings of the Aprage -2- Shakopee Committee of the Whole Mr. Van Hout stated that their engineer suggested that someone mandate that the downtown property owners who have 3-Phase 240 volt power change to 208V. He explained that if thereare twomeaorsa three people who wish to continue with the old system, that system in that block. Mr. Van Hout said that the engineer rss our ut of town, but that he is looking for some sugg estioflexibility from the engineer on this . Sweeney/Lynch moved to direct staff to prepare a memorandum of understanding for consideration at a City Council meeting on cost sharing for the undergrounding of the downtown overhead electric . Motion carried unanimously. Mr. Hutton reported on a recent meeting involving Ms . Marty, Mr. Van Hout and himself regarding the condemnation process fors r the sub-station on Marschall Road. After discussion, thereopposition among City Council and SPUC that Mr. Hutton be the lead staff person on the condemnation process . City Council wanted to be involved only where legal actions are required. Mr. Van Hout will be involved where there are specific electric questions dealing with the project . Mr. O'Toole stated that there is no problem with reimbursing the City for the condemnation costs based on the City Attorney' s memo (to be discussed later on during the meeting) . He also explained that there is a desire to start officially mapping sites for future sub-stations and water tanks, but that it is a slow process . Mr. O'Toole stated that SPUC is comfortable with Ms . Marty' s recommendation for reimbursement for providing legal services to Shakopee Public Utilities Commission. Sweeney/Lynch moved to direct staff to prepare an item for the next City Council agenda that incorporates the City Attorney' s recommendation to not charge SPUC for use of the City Attorney for routine matters, but do charge for larger projects (those which take more than two hours) and to continue to contract out specialized projects . Motion carried unanimously. Discussion followed on Sec. 3 .10, Subd. 8 of the City Code which requires any property abutting a public street or alley in which any sanitary sewer main or City water lines have been constructed to connect said when mains a private system water line within three (3) becomes defective years or immediately whichever occurs first . Sweeney/Beard moved to direct staff to prepare an amendment to insert the word "residential" into Sec. 3 . 10, Subd. 8 of the City Code. Motion carried unanimously. Official Proceedings of the April 27, 1993 Shakopee Committee of the Whole Page -3- City staff will continue to enforce Sec. 3 .10, Subd. 8 of the City Code as problems occur. Ms . Marty stated that she had been contacted by Mr. Tom Hay (the City' s bond counsel) who stated that he was not sure that SPUC could sell revenue bonds . He was having difficulty finding authority within the statutes for SPDC to issue bonds . He suggested that the City could adopt a resolution to issue the bonds and SPUC could adopt a resolution to be bound by the service debt of the bonds . Discussion followed. Cncl . Sweeney suggested waiting until SPUC receives an opinion in writing from Mr. Tom Hay. If it is determined that the City needs to sell the bonds, SPUC could then request the City to sell the bonds . Mr. O'Toole stated that the water rates were recently increased by 4% and that there was a modest increase last year. He said that it is necessary to look at increases in rates to build capital for operating expenses . He pointed out that these funds are used to improve defective water connections when the City puts in new watermains and that these costs are not assessed. Mr. O'Toole stated that SPUC will be looking at an increase in electric rates in the near future; there has been no increase since 1982 . Mr. O'Toole stated that the recent service acquisition was lengthy. He reminded City Council of SPUC' s annual 23 . 77% contribution to the City and that City Council agreed that it would not include the area affected by the acquisition until July, 1994 . Mr. O'Toole advised City Council that SPUC hired a new person this past year, Mr. Joe Adams; that they passed a recent water supply test for copper lead; and that they have received a certificate of compliance on comparable worth. Mr. Hutton stated that he would like to pave the parking lot around the public works building and the SPUC building and would like to put together cost estimates . He said that it should be done within the next year or two. Roughly the cost will be $150, 000 and would be 50% City/50% SPUC. Mr. O'Toole acknowledged that the City Council would like to receive funds from SPUC on a more regular basis . He said that the City would be hearing more on that . Cook/Kirchmeier moved to adjourn the Shakopee Public Utilities Commission at 7 : 25 P.M. Motion carried unanimously. Discussion ensued on a dance contest taking place at the Senior High on May 1st and 2nd and the current parking limits on the streets in the adjacent neighborhood. Official Proceedings of the April 27, 1993 Shakopee Committee of the Whole Page -4- Sweeney/Lynch directed staff to make adjustments to parking signs as appropriate for May 1st . Motion carried unanimously. Mr. Kraft asked the City Council if they could be available for a Committee of the Whole meeting on May 11th at 5 :30 P.M. to meet with representatives from Rahr Malting. Mr. Hutton explained that City Council agreed previously to pay for the forcemain and that Rahr would install and maintain the lift station on their property. He said that they wished to discuss other alternatives . Mr. Kraft asked if City Council would be available to meet on June 9th at 5 :00 P.M. to award tax increment refunding bonds . Cncl . Lynch, Sweeney, and Beard said that they could be available. Mayor Laurent said that he could not be available. Mayor Laurent adjourned the meeting at 7 :45 P.M. 11, tx4ac\). 0/?(..-/ kith S. Cox y Clerk Recording Secretary MEMO TO: Honorable Mayor and Council FROM: Dennis R. Kraft, City Administrator RE: Rahr Malting Sewer System/Forcemain DATE : May 7, 1993 For the past year the City and Rahr Malting have been investigating ways of providing for the handling of the sewage affluent to be discharged under the Shakopee sewer system from Malt House #5, which is currently under construction. The major problem is that the river trunk sewer, which handles the sewage outflow from Malt Houses #1-4, is at or near capacity during part of the year and therefore cannot handle the additional effluent generated by Malt House #5 . The City has been working with both Rahr Malting and the consulting firm of Short, Elliott, Hendrickson, Inc. (SEH) in an attempt to formulate a solution to this problem. As presented to the City Council several months ago the solution arrived at was to install a lift station and construct a forcemain which would pump the effluent from Malt House #5 up the hill to the South of Rahr past the Minnesota Correctional Facility for Women and Sweeney School to the VIP Sewer. The VIP Sewer has the capacity to handle Malt House #5 . The City then agreed to construct the forcemain at a cost of plus or minus $300, 000 . 00 and Rahr was expected to construct and operate the lift station on their property for a cost of $150, 000 . 00 to $200, 000 . 00 . The later mentioned amount was just for the cost of constructing the facility and Rahr would subsequently experience a continuing cost for both energy and personnel needed to actually operate the lift station. As was explained to the City Council previously, the malting business is very competitive. Rahr operates at a financially competitive disadvantage because of being located in the State of Minnesota. The taxing and regulatory structures imposed by both State and Metropolitan agencies have resulted in costs which are higher than in other parts of the country. A couple of years ago Rahr spent a considerable amount of time and money in an attempt to provide for the construction and operation of their own sewage treatment plant . This plant would treat the effluent generated by Rahr and then discharge it directly into the Minnesota River, therefore bypassing the City system and the MWCC system and treatment plant at Blue Lake. This effort was thwarted by the Minnesota Pollution Control Agency and other agencies. Rahr' s long term goal is still to construct and operate its own sewage treatment plant because they believe that by doing so they will exert a greater amount of control over their financial destiny and their position in the market place. Rahr has also continued to diligently pursue other means of lowering or containing their operating costs in order to continue to be a viable player in the malting industry. Rahr has recently retained the services of SEH to do additional analysis regarding methods of screening and discharging their process water (sewage effluent) . The conclusions drawn by Dan Boxrud of SEH (See Attachment #1) include : 1 . Effluent discharge volumes into the river trunk sewer would be 1 . 38 million gallons per day (MGD) under a scenario described in the above mentioned attachment . The pipe capacity available to Rahr is 1 . 583 MGD therefore, according to this scenario, there is sufficient capacity for Malt Houses #1-4 in the river trunk sewer. 2 . This scenario also envisions that Malt House #5 would discharge into a forcemain flowing South to the VIP sewer. The difference between what was discussed earlier and the present scenario is that Malt House #5 would be drained by means of a inverted syphon. This process is physically possible because of the head on Malt House #5 . The major advantages to Rahr with this inverted syphon would be that they would have to neither construct nor operate a sewage lift station. There appears to be no disadvantage to the City with this method, therefore this would be a win-win situation. Rahr is requesting the City extend the forcemain across their property to an area adjacent to Malt House #5 . The cost for this extension will be available by the Tuesday Committee of the Whole meeting and will be presented at that time . Attachment #2 provides for financial information on sewer revenues paid to the City by Rahr for the time period 1982-1990 along with the annual billing by the MWCC to the City of Shakopee, Rahr' s percentage of Shakopee' s total sewage flow, and the amount contribution paid to the City by Rahr which exceeds the amount paid by the City to the MWCC for sewage treatment . This attachment illustrates that Rahr' s contribution over this 9 year period was slightly more than $900, 000 . 00 above the amount paid by the City to the MWCC for treatment of Rahr' s sewage . As mentioned to the Council earlier, the City does experience additional costs for sewer system operation and maintenance above the amount paid to the MWCC. Representatives from Rahr will be at the Committee of the Whole meeting to discuss this issue in greater detail . RECOMMENDATION: It is recommended that the Committee of the Whole discuss this matter and, if conclusions are reached, provide direction by motion to the City Council at their next meeting. DRK/tiv MAY-06-1993 16:28 FROM SEH-hPLS TO 4967055 P.02 A rf"A c �lH E. Al T ( -► 5909 BAKER ROAD.SUITE 590,MINNETONKA.MN 55345 612 931.9501 FAX 612 93 1-1 188 ARCHITECTURE • ENGINEERING • ENVIRONMENTAL • TRANSPORTATION May 6, 1993 RE: Rahr Malting Company Process Water Screening SEH File No.: 93210.01 Paul Kramer Rahr Malting Company 800 West First Avenue Shakopee MN 55379 Dear Paul: Per our discussions on May 5, 1993,we have investigated an additional means of screening and discharging your process water. You are able to operate your various malt houses using different amounts of steep water depending upon production needs. The production scenario you asked that we investigate included the following: 1. When production requirements so dictate, Malt House 5 would be operated at the steep rate of 48 gallons per bushel instead of 22 gallons per bushel originally anticipated. 2. Process water from Malt House 5 will be screened up in the malt house. 3. After screening, process water from Malt House 5 will drain by inverted syphon to the south to a 12"gravity sewer in Adams Street. 4. Process water discharged from Malt House 4 would continue to the north in the existing system. 5. Malt House 2 will be operated at the lower steep water rate of 22 gallons per bushel. 6. Process water from Malt Houses 1, 2, and 3 would be screened at the existing screenhouse through new rotary screens. 7. Process water flows from Malt Houses 1, 2, and 3 would be attenuated in the existing 350,000-gallon holding tank prior to discharge to the north. Under this scenario, we modeled the ability of the 350,000-gallon tank to adequately attenuate the flows from Malt Houses 1, 2, and 3.The attached computer spreadsheet labeled RahrMX2.WK1 documents that the total flow rate to the screens is below 2000 gallons per minute and that the tank height never exceeds 11'. Like our previous work, this considers the following conditions: 1. Pipe capacity of 21" RCP is 2.713 mgd = 1885 gpm 2. Reserve for high river level infiltration of 0.045 mgd = 31 gpm SHORT ELLIOTT HENORICKSON INC. ST.PAUL,MIJ ST.CLOUD,MN CHIPPEWA FALLS.WI MADISON.WI MAY-06-1993 16:29 FROM SEH-MPLS TO 4967055 P.03 Rahr Malting Company May 6, 1993 Page 2 3. Net available capacity is 2.668 mgd = 1853 gpm 4. Ultimate average daily flow is 1.085 mgd in the remainder of the River District • 5. Pipe capacity available to Rahr is 1.583 mgd 6. Timing of discharges from Malt Houses 2 and 3 adjusted to minimize flow rate through screens 7. "Total Allowable Discharge"based on Appendix F in"Process Water Screening Report"dated April 5, 1993 8. Flows are attenuated at the discharge from the holding tank so as to match "Total Allowable Discharge" to the River District Trunk. This scenario which you suggested appears to be the best scenario for both you and the city. Discharge volumes to the River District Trunk will total 1.38 mgd. Your discharge to the south from Malt House 5 can be accomplished through an inverted syphon instead of a lift station. No other on-site piping is necessary to route the flows to the screens or to a lift station. You have the ability to further attenuate the flows if the flow characteristics in the River District Trunk should change and approach a 2.45 peak factor instead of the 1.6 peak factor measured. This is demonstrated on the second spreadsheet labeled RahrMX3.WK1. We would recommend that you pursue this option with the city. We would also recommend that the means of screening the process water up in Malt House 5 be fully determined prior to beginning implementation. Sincerely, Short Elliott Hendrickson Inc. 0444;19 ce ecriCti Daniel R. Boxrud, P.E. ymb c: Dave Hutton Attachment Cr, _... a, LA) CO r-- TI�AC�li� 5-APT 2 0 1I Lr) ---. C71 (S> CV LO C C o) r- I-1 11 F H CO CO Lo m c71 C• r-- CO C >--• 11 W W La m c0 - .r, -o. V> m CL] G--• 11 V> V> V> .--. r-. CA- C71 1-. CO ►--1 II V> V> V> V) V> CC - c. II c--. 11 U O II O ) E 11 C) SJC II }. " CO II C/7 F DO II H q[] C> II CSC C) - G� 11 ,=.... . II .0 o CO = 11 Od E Q V II I 6q . - II II m CO C- CLD CO CO •-I c"-.) ... = C CO N CO -.Cr CO t''7 •-• CS, 11 . CC CO II 0 0 m m m m 0) m m •--7 II V> V> V> CO- V> V> V> V> V> ..:C C-.., O 11 F Z E1I d H11 a 0.7 II a E 11 ►--1 d 11 CC cC II ii CJ'] CO11 Cr] - II cC= CII > x C_) 11 d I--. 3e I1 • = _ II 7 II d II CT v--.I .--I as-I .-. 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O1 cr. 01 C71 C71 ON 01 1171 1 OC] I I y II MAY-11-1953 11 15 FROM TO O-4456713 P.02 t'VY-11--1993 07:20 F 1 .3E-i-1,-Pts TO 4%'265 P.02 1 5 el 5779 SAKER ROAD.SJIrE 397 MINNETONKA.M6.53'$ 612 93:.95x1 FAX 61293.'-1788 A N1T5c JRE • F'V,i.YcERIN3 • b'JVpoNME7YTAL • FRA.N.SPQRTATrON May 10, 1993 RE: Rahr Malting Company Process Water Screening SEH File No.: 93210.01 PauI Kramer Rahr Malting Company 800 West First Avenue Shakopee MN 55379 Dear Paul: Per your request of May 7, 1993,we have further explored the feasibility of using an inverted syphon for Malt House S as a discharge to the south. Per our discussion and other information available,-we have made the following assumptions: 1. Process water from Malt House 5 will be routed easterly to a location near the existing screenhousc. This will allow a pressure filter to remove solids at the same location solids are being removed from process water being discharged from Malt Houses 1, 2, and 3. 2. After filtering, process water will continue to flow under pressure to near the south cnd of the 350,000-gallon hoiding tank. 3. A 12"pressure pipe would be extended from near the south end of the holding tank to your south property line at Third Avenue. This line would Connect to the main proposed to be constructed by the City. The first segment of pipe immediately southwest of the tank will be above grade due to conflicts with a tunnel. The remainder of the pipe will be below grade,requiring railroad track erossi,v, rock excavation, and restoration. 4. Valves and fittings would be necessary to allow for periodic cleaning of the sag point of the inverted syphon. There is approximately 750' of 12"pressure pipe which would need to be installed from near the south end of the 350,000-gallon holding tank to the south property line. Based on this length and the site conditions, we conservatively estimate that the total project cost of this improvement would be $77,500. This includes a 10% contingency factor and 25% for administrative cost`. l believe this provides you with all the information you had requested in order to continue your discussions with the City of Shakopee. If you or the City of Shakopee require any further information, please feel free to call. Sincerely, tc2acetA;) Daniel R Boxrud, .E. Attachment c: Dave Hutton, City of Shakopee • s+ ret.uc7r hr7VerGKSQN 1K7. ST,PAUL MN 5?CLO'10.MN c,174-AEviA FALLS,fir, M47tSON.W1 TO 9-4456718 P.03 MAY-11-1993 11:17 FROM TO 496'705 P'� I '1 W-11-1993 07:20 FROM S=--i PLS Cost Estimate - Inverted Sy pbon Unit Est. Est. Eta WO Qnti gorti $25 750 $18,750 ;;�" DIP, CL 52 24" Steel casing pipe LF. 100 $0 $,000 Insulation S.Y. 25 8 200 ., _ 2 1300 2600 I4rittiR$S 12" Butterfly valve &box Each 1200 3 3,600 Railroad crossing- remove Each 2500 2 5,000 � replace rails Rock excavation (open cut) C.Y. 25 500 12,500 Granular pipe subgrade bacic511 C.Y. 5 1$0 900 Steel walkways/stairways Each 1500 2 3,000 Restoration &erosion control LS. 1850 1 L850 Total $56,400 + 10% Contingency aSal Construction Cost $62,000 +25% Administrative TOTAL S'77,S00 TOW(. P.03 1 I . I tel Y Z ll 0 1- i i u 1- >-,z, t I z c,o G W K O J O.J.. % J.' � d K -iI j - 1S 3J213ld '1S 3JN31d : A M / i 9 /is I \ m IF-7. i . ..,i io 1 , ., s, . , s, ..., ir / 1,=�• ,, /00 is . • II • .,, ,, 131 s z .0. : „,...i ! z I I pe w ; ' --- hl a i o I a ®.a= Ir r ... I II 1 I~ cit- 'c 41 i t # i Q I . , .,„ , , ,,,.; ej, L ig _ II Ls; y , , g, I . • 2 .. ... c „...1R II 1 Y - 1 L ! LY! 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