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HomeMy WebLinkAbout10.19.91 Special Council Minutes 187 MINUTES COUNCIL MEETING SPECIAL OCTOBER 19, 1991 1. Mayor Kuchera called the meeting to order at 8:00 A.M. at the Senior Center. Members Present: Kuchera, Mayer, Orr, Derington, Galler. Members Absent: None. Also Present: Administrator Thompson, Solid Waste Coordinator Williamson, Public Works Director Kaldunski. 2. The purpose of the meeting was to discuss the City's proposed Resource Recovery Facility and determine the direction of the City in this matter. Members of the Planning Commission, EDC, Siting Task Force and Citizen Review Panel were in attendance. 3. Mayor Kuchera read a letter from former Mayor Akin opposing the siting of the facility in the Industrial Park or at the County Highway Shop. 4. Citizen Review Panel Chair Blaha presented an overview of the Panel's report, noting that while the Task Force had originally indicated support of the project he was not certain what impact increased capital costs would have on the feasibility report. The following comments were made. Andy Simon: Adm. Thompson: Andy Simon: Francis Blaha: Bob Williamson: Andy Simon: Bob Williamson: will not be used. Francis Blaha: Bob Williamson: Cheryl Thelen: Bob Williamson: Francis Blaha: Henry Iwerks: Adm. Thompson: Henry Iwerks: Adm. Thompson: Henry Iwerks: Bob Williamson: Project costs continue to increase. How mush is the project cost and the grant? Approximately $2,000,000 project cost and $1,000,000 grant. What impact does sludge have on the compost2 It could be classified so it could not be used to grow food for direct human consumption. Most project increases came as a result of input from the Office of Waste Management. What is sludge is classified as hazardous? Sludge will only be used on an experimental basis, not as part of the regular process. If it is classified as hazardous, it What is the retention time? 72 days. Will it produce Class I or Class II compost? Class I is without sludge; Class II is with sludge. Compost will have to be tested with or without sludge. The per ton revenue for newspaper keeps changing. It is like the commodity market. It will continue to change as the newspaper market fluctuates. Trinity Lutheran Church only got $20.00 per ton. That was for unprocessed newspaper. The grant application stated $30.00 per ton. It was reviewed by OWM staff. They didn't have a problem with that figure. 188 Council Minutes - 10/19/91 - Page 2 Henry Iwerks: Bob Williamson: Andy Simon: Tom Kaldunski: Henry Iwerks: Adm. Thompson: Henry Iwerks: Jeff Thelen: Bob Williamson: Jeff Thelen: Bob Williamson: Jeff Thelen: Ken Hanson: If we state $30.00 per ton, the State will expect that we get at least that. Recently newspaper was going for $42.00 per ton. The price is going to fluctuate and the OWM recognizes that. Does the cost of the plant include additional storage for equipment? There is no additional storage space planned. Whatever is available on the tip floor will be used. The Citizen Panel Report stated $1.5 million in capital costs. The Grant application stated $2.0 million. What happened? The majority of the increase was due to ~~ staff's insistence that the size of the building be increased. That's a sore spot with me. The Citizen's Review Panel did its work and then the State tells us what to do. Is it 25 or 30 tons per day? That's just a range. If 30% of the garbage is coming from the townships, why aren't they sharing the risk? The townships will pay a higher tip fee than Farmington. But if it fails, we are on the hook for the bonds. I've reviewed the numbers and they continue to change. Adm. Thompson: Yes, and they will continue to change. This industry, and the City's Solid Waste service, are in a state of change and until they stabilize, it is hard to project. Henry Iwerks: What happened to the manpower savings from the automated system? Adm. Thompson: It is used for recycling. Jeff Thelen: What about higher contamination from township garbage? Bob Williamson: Staff has been looking at a divided can system which would create 2 waste streams with one pickup; green waste which is easily compostable and regular waste which would take additional time to compost. Ruth Simon: You are changing the system again? It is just a concept at this time. The original design has not changed. Ruth Simon: It sounds as if there are too many "what ifs". Adm. Thompson: Bob Williamson: The major factor in the system is the requirement of a successful recycling program and through the efforts of its citizens, Farmington has one of the most successful programs. Tom Ryan: Are any other cities in the area looking at building a composting plant? Bob Williamson: No. Tom Ryan: If we can't supply 25 to 30 tons per day, how do we expect surrounding communities to supply the difference? Council Minutes - 10/19/91 - Page 3 191 Bob Williamson: Tom Ryan: Bob Williamson: Adm. Thompson: Francis Blaha: no longer valid. Henry Iwerks: We would charge a lower tip fee than the landfills. How can we be more competitive with newspaper? We have a very "clean" product and we are close to markets. As I noted before, projecting supply and demand is going to to be a problem until markets stabilize. Everything in the original report pointed to the project being feasible, but with the increased costs I feel the report is Private business should do it. They can do it cheaper than government. Siting Task Force Chair Thelen gave an overview of the report. The following comments were received. Dale Empey: Jeff Thelen: Dale Empey: Cheryl Thelen: Jeff Thelen: Andy Simon: Adm. Thompson: Cm. Derington: Jeff Thelen: Cm. Orr: April Chell: Mayor Kuchera: April Chell: Adm. Thompson: Where is Essex and TH 50? By FEr. That is too close to Farmington (proper). How large a site is needed? 5 acres. Why not the U of M site? Council wanted it within the City limits. It is Farmington's project. We wanted it in the City so we could maintain control. The Committee felt it would be too difficult to locate in Farmington. It is our project and our problem. The project, if built, should be located in Farmington. There is no odor from the County yard waste site. I do not believe the plant would be unattractive. Commissioner Harris has indicated the County has not considered locating a composting facility by its facility. What fees would the City of Rosemount charge? It would be a fee for the privilege of processing waste. Andy Simon: I was promised there would be no odors from the Empire Waste Water Treatment plant, yet there were odors. You cannot guarantee there will be no smell. Henry Iwerks: because of smell. Chris Galler: I was told there was no odor at the Florida plant (distributed article from the Wall Street Journal). The plant was closed The plant served 250,000 people and was located across the street from a school. The owner failed to install an air scrubber. It may be a different plant, but the promise was the same. I feel this whole project has been staff directed. Adm. Thompson: I disagree. Staff has been following Council directive in this matter. In fact, I was criticized for not doing a good enough job promoting this project. Why don't you give specific examples or ask the Council? Henry Iwerks: 192 Council Minutes - 10/19/91 - Page 4 Cm. Orr: Cm. Mayer: Cm. Derington: Henry Iwerks: Cm. Derington: Cm. Orr: Henry Iwerks: Cm. Orr: Andy Simon: Council: Leo Ruberto: Cm. Derington: I'm not aware of staff taking any initiative not directed by Council. They go well out of their way to seek direction. This has been a Council directed project from the start. I'm new on the Council but staff is continually asking the Council as to what they should be working on. The Council was not consulted when staff distributed a flyer telling people how to vote on the public works garage referendum. That issue has been laid to rest. It was indicated that an error was made and the process was changed. Administrator Thompson is sensitive to the perception of staff directing Council and goes to great lengths to get Council direction. Who knew about composting before 1985? That's when Bob Williamson came. Who knew about incineration before 1985? Solid waste became an issue in the mid '80's. Has a site been chosen? No. Does the Council have a policy? Yes, within the City. Cm. Orr: If the City proceeds with the project. Again, I feel if the City is going to proceed with the project, it should be located in the City. However, I'm not certain an acceptable site can be found. The City should request the County to construct a compost facility at the incinerator site. Jeff Thelen: The facility should be located away from people. Ron Mickleson: I really don't care how the facility runs. My major concern is the bottom line. Will my garbage bill be lower? The reports should be in a more readable form. Cm. Galler: Ruth Simon: Mayor Kuchera: I stated I was Henry Iwerks: Mayor Kuchera: can afford all It is projected the garbage bill would be lower. The Council should first select a site. We have no business applying for a grant without a site. The Independent reported I was against composting which is not true. opposed to such a facility being located in the Industrial Park. What projects does the City have in the near future? Water towersJa Public Works building, Fire Department satellite station, zamboni machine, annexation costs. I'm not sure we this plus a resource recovery facility. Cm. Mayer: I've been on the Council since the inception of this project and have always been an advocate. In addition to the Mayor's comments, I would add the Southeast Area Storm Sewer project, other space needs, street replacement, Industrial Park, levy limits. I think the Council missed the window in 1989 and now the City has other pressing needs. Cm. Galler: I've been a supporter and will continue to be. I have not seen any staff figures refuted and every indication shows the City saving substantial money. I think composting is the way to go, but I don't think the community is willing to take the risk. I would like to thank staff for their efforts. Council Minutes - 10/19/91 - Page 5 193 Cm. Derington: Councilmember Galler expressed my sentiments. Adm. Thompson: I cannot guarantee quarterly rates will not increase with a resource recovery facility, but based on the information available a reasonable assumption can be made that they will stabilize. I can guarantee, however, that without the facility quarterly rates will increase. 5. MOTION by Kuchera, second by Orr that the City not apply for the OWM grant, that the City no longer look for a site, and that staff prepare a resolution uging ~1~u~~~~1s~ru~t I a ~o:tlst r:;,~ ~~:~Df~~\~~i~\~:e f;~;;r:t~n*~ 6. MOTION by Orr, second by Mayer to adjourn at 11:20 A.M.. APIF, MOTION CARRIED. ;;u;z:;::' Larry Thompson City Administrator --"" LT/mh Approved l1/-I/qJ /l1(6/q I 4