agenda regular board meeting march 27, 2017 5:00 p.m. - … · 2019-06-03 · 1. approval of...

1. Agenda Review

2. Old Business

3. Approval of Consent Agenda Items a. Regular Board minutes dated February 27, 2017 b. Board Member vouchers for the month of February c. Payment Vouchers dated February 22, 2017 to March 21, 2017 d. Grant and Contract Expenditures with the Carlton County Extension Service for the

Period of January 1, 2017 to December 31, 2017 e. Permit Renewal Application by Northern Lights Medical Transport, Inc. f. Property and General Liability Insurance

4. New Business Items for Discussion and Approval

Personnel a. Resolution 17-03; Establishing Executive Director’s Salary (materials to be

distributed at the meeting) Finance

b. Resolution 17-04; PFA Loan Application Rice Lake Interceptor Improvements c. Resolution 17-05; PFA Loan Application Woodland Interceptor Improvements d. Resolution 17-06; PFA Loan Application Miscellaneous Interceptor Improvements

Operations e. Approval of Lakeside Interceptor Rehabilitation – US Army Corp of Engineers

Project, Lakeside Interceptor – Construction Services

5. Committee Reports a. Committee of the Whole b. Finance c. Operations d. Personnel e. Legislative f. Planning/Solid Waste g. Board Governance h. Board Member Comments

6. Executive Director Reporting

a. Communications b. Monthly Financials c. NPDES

7. Legal Counsel

8. Executive Session (staff excused)

AGENDA REGULAR BOARD MEETING March 27, 2017 5:00 p.m.

Board Members Present: Dave Manderfeld, Bruce Ahlgren, Paul Thomsen, Ruth Janke, Marcia Podratz, Julene Boe, Archie Chelseth and Yvonne Solon via teleconference Legal Present: Carrie Clement, Karen Anderson, Jack Ezell, Al Parrella, Cathy Remington, Marianne Bohren, Joe Mayasich, Melissa Dallum, Brandon Stall and Amanda MacDonald Legal Present: David Oberstar – Fryberger, Buchanan, Smith & Frederick Chair Janke called the meeting to order at 5:00 p.m.

1. Approval of Consent Agenda Items a. Regular Board minutes dated January 30, 2017 b. Board Member vouchers for the month of January c. Payment vouchers dated January 25, 2017 to February 21, 2017 d. Maintenance Planner/Scheduler Job Description Recommendation e. 2017 Merit Adjustment Recommendation for Supervisory and Confidential

Employees f. 2017 Worker’s Compensation Insurance Renewal

MOTION: Member Aird to approve the Consent Agenda Items SECOND: Member Boe DISCUSSION: None RESULT: The motion passed unanimously

2. New Business Items for Discussion and Approval a. Approval of 2017 Legislative Priorities

Karen Anderson reviewed the Legislative Priorities for 2017. These priorities include the categories of wastewater and solid waste. The Legislative Committee recommends that the WLSSD Board approve the 2017 Legislative Priorities.

MOTION: Member Chelseth to approve the 2017 Legislative Priorities SECOND: Member Ahlgren

MINUTES REGULAR BOARD MEETING February 27, 2017 5:00 p.m.

DISCUSSION: None RESULT: The motion passed with 9 ayes

b. Resolution 17-02; Approval of Membership in the Minnesota Environmental Science and Economic Review Board Marianne Bohren discussed Resolution 17-02. The Minnesota Environmental Science and Economic Review Board is a joint powers organization that is made up of cities, public utilities, and sanitary districts that are committed to using established principles of science, lay and engineering to advocate for sound and cost-effective environmental regulations. The MESERB is dedicated to using these principles for the research, study and analysis of environmental issues impacting the provision of wastewater treatment services in the State of Minnesota. Staff recommends that the WLSSD Board approve Resolution 17-02; Approval of Membership in the Minnesota Environmental Science and Economic Review Board.

MOTION: Member Podratz to approve Resolution 17-02; Approval of Membership in the

Minnesota Environmental Science and Economic Review Board SECOND: Member Aird DISCUSSION: None RESULT: The resolution passed 9 ayes

c. Approval of 2017 Interceptor Rehabilitation Project – Professional Services Recommendation Carrie Clement presented the recommendation. WLSSD’s interceptor asset management program identified several condition issues with a number of pipe segments within the Cloquet, Rice Lake, West and Woodland interceptors. The defects found include holes, visible aggregate and reinforcement cracks, deposits, roots and infiltration. Rehabilitation of the pipe will likely include grouting, CIPP lining, point repairs and replacement. The project also includes full rehabilitation of the entire Rice Lake Interceptor. The preliminary design work is being done by WLSSD staff and CDM Smith. CDM has familiarity with the asset management program and WLSSD specifications allow for a coordinated effort in order to provide plans to the MPCA by the end of March. Planning and design will proceed immediately upon Board approval and award of a contract. The project is planned to be ready to submit to the MPCA by March 31, 2017; and the project completion schedule will be determined once more

information is known about funding sources. A proposal for completion of the final bid documents will be requested and brought the Board at a later date. The Operations Committee recommends that the WLSSD Board authorize entering into a contract with CDM Smith for design engineering services associated with the 2017 Interceptor Rehabilitation Project.

MOTION: Member Thomsen to authorize entering into a contract with CDM Smith for

design engineering services associated with the 2017 Interceptor Rehabilitation Project

SECOND: Member Manderfeld DISCUSSION: None RESULT: The motion passed 9 ayes

d. Approval of Sodium Hypochlorite Bid #1355 Al Parrella reviewed bid 1355. Sodium hypochlorite (bleach) is used for effluent disinfection from April through October each year. The chemical is purchased in bulk 4,500 gallon tank truck loads; and is delivered to the four 15,000 gallon storage tanks in Building 23, the disinfection building. Bids were received from DPC Industries and Hawkins Water Treatment and both were favorable; over the past few years DPC and Hawkins have gone back and forth as WLSSD’s suppliers of sodium hypochlorite. DPC Industries had the lowest bid for the 2012 - 2014 disinfection seasons. The District had projected a 2.5% increase in cost for sodium hypochlorite based on industry projections; DPC’s low bid represents a 3% increase from the 2016 contract price.

The Finance Committee recommends that the WLSSD Board award the 2017 Sodium Hypochlorite Bid #1355 to DPC Industries Inc. for supplying sodium hypochlorite during the 2017 disinfection season.

MOTION: Member Boe to award the 2017 Sodium Hypochlorite Bid #1355 to DPC

Industries Inc. for supplying sodium hypochlorite during the 2017 disinfection season

SECOND: Member Podratz DISCUSSION: None RESULT: The motion passed 9 ayes

3. Committee Reports a. Committee of the Whole – the minutes from the January meeting were reviewed;

there is no meeting scheduled in March

b. Finance – the minutes from the February meeting were reviewed; the next meeting is scheduled for Wednesday, March 22nd at 3:30 p.m.

c. Operations – the minutes from the February meeting were reviewed; the next meeting is scheduled for Tuesday, March 21st at 11:30 a.m.

d. Personnel – the minutes from the February meeting were reviewed; the next meeting is scheduled for Wednesday, March 22nd at 4:00 p.m.

MOTION: Member Thomsen to approve closing the Personnel Committee meeting

scheduled for March 22nd at 4:00 p.m. SECOND: Member Ahlgren DISCUSSION: None RESULT: The motion passed 9 ayes

4. Executive Director Reporting a. Communications

Marianne Bohren reviewed the communications for the month of February.

Article from virginiamn.com (electronic version of the Mesabi Daily News” entitled: “Taking Back Mining’s Land”

Article from the Duluth News Tribune entitled: “Battle brewing over bags

Article from resource-recycling.com entitled: “Statehouses hit by bevy of bag bills”

b. Monthly Financials

Cathy Remington reviewed the financials for the month of January. Revenues

Total Wastewater Operating Revenues thru January were $27,243 over budget or 101%; Industrial Revenues thru January were $24,114 over budget or 102%; Operating Investment Earnings were $3,124 over budget or 289%; Hauled Waste was $5,121 under budget or 13%; Biosolids was $3,476 over budget or 285%; Capacity Availability Fee was $1,624 over budget or 224%; Other Miscellaneous revenues were $26 over budget. Wastewater Loadings

BOD is at 94,079 lbs/day which is 8,553 lbs/day over budget and TSS is at 37,552 lbs/day which is 4,414 lbs/day under budget thru January. Expenses

Total Wastewater O&M Expenses thru January were $42,242 under budget or 97%.

Direct Department

Direct Department Expenses thru January were $31,118 under budget or 96%. Key area to highlight: Natural Gas - $8,848 under budget or 72%; Electricity – $13,845 under budget or 93%; Diesel - $3,791 over budget or 150%; Repairs/Cleaning Interceptors - $25,017 over budget or 542%; Contract Services – $15,176 under budget or 8%; Supplies - $11,141 under budget or 45%; Chemicals - $16,330 over budget or 128%; Sodium Hypochlorite/Bisulfite – Not in use ; Polymers - $19,025 over (148%); Ferric - $1,516 over (119%); Defoamant - $3,005 over (223%); Liquid Oxygen - $3,575 under; Other Chemicals - $3,631 under (23%). Allocated Department Expenses Total Allocated Department Expenses thru January were $11,124 under budget or 98%.

Capital Investment Earnings

The Capital Investment Earnings are $3,468 over budget or 298%.

Capital Fund

The Capital Fund Transfer is 100% year to date. Debt Service

Debt Service Investment Earnings are $4,305 over budget or 241% thru January. Debt Service Transfer

Debt service transfer is $100% year to date.

Operations Revenue, Expense, and Surplus Summary

The Wastewater Operations Revenue are $27,243 over budget thru January. Expenses are $42,242 under budget; Capital/Debt Service Earnings are $7,773 over budget; Capital/Debt Service Transfers are at budget. The actual wastewater deficit thru January is $222,244.

Operations Fund Balance The Wastewater Operations Fund Balance was at $10,722,761 or 2 ¾ times the minimum targeted goal as of January 31, 2017. (Goal 25% or better of 2017 budgeted O&M expenses - $3,955,187)

Capital Fund Reserve Balance

The Wastewater Capital Fund Reserve was $5,459,720 or $3.1 million in excess of the minimum targeted goal as of January 31, 2017. (Goal $1,000,000 or better plus highest annual WIF set aside of $1,367,847) Debt Service Adjusted Fund Balance

The Wastewater Debt Service Adjusted Fund Balance (including Georgia Pacific prepaid 2017-2028) was at 197% as of January 31, 2017. (Goal 120% or better) Solid Waste Revenues

Total Solid Waste Operating Revenues thru January were $44,989 over budget or 107%. Transfer Station - $31,621 over budget or 110%; Hauler Collected Fees (SWMF) - $10,605 over budget or 106%; Material Recovery Center - $1,844 over budget or 110%; Yard Waste/Organics - $7 over budget; Household Hazardous Waste - $335 over budget or 119%; Operating Investment Earnings - $593 over budget or 337%; Miscellaneous - $16 under budget. Expenses

Total Solid Waste O&M Expenses thru January were $31,359 under budget or 95%. Direct Department

Direct Department Expenses thru January were $10,608 under budget or 98%. Key areas to highlight: Payroll - $14,817 under budget or 90%; Solid Waste Disposal - $23,354 over budget or 108%; Contract Services- $9,762 under budget or 65%; Supplies - $3,704 under budget or 17%; Program Development - $2,072 under budget. Allocated Department

Allocated Department Expenses were $20,751 under budget or 88% thru January. Capital Fund

Capital Investment earnings - $317 over budget or 250%; Capital Transfers – YTD 96%.

Operations Fund Balance

The Solid Waste Operations Fund Balance was at $2,137,472 or 1 ¾ times the minimum targeted goal as of January 31, 2017 (Goal 25% or better of 2017 budgeted non-Transfer Station O&M expenses - $1,134,256)

Capital Fund Reserve Balance

The Solid Waste Capital Fund Reserve was at $710,004 or 1 ¼ times the minimum targeted goal as of January 31, 2017. (Goal $550,000 or better)

Solid Waste Debt Service Fund

There is no Solid Waste Debt and thus there are no Solid Waste Debt Service Funds.

Transfer Station Fund Balance

The Transfer Station Reserve Fund balance was at $275,701 or 1 ¾ times the minimum targeted goal as of January 31, 2017. (Goal $150,000 or better) Solid Waste Summary Total Solid Waste Operating Revenues are $44,989 over budget thru January. Total Solid Waste Expenses are $31,359 under budget. Capital transfers are $762 under budget and Capital earnings $317 over budget. The actual solid waste deficit thru January is $8,494.

c. NPDES

Joe Mayasich reviewed the NPDES report for the month of January. Both the BOD and TSS limits were met for the month of January. Both mercury monthly permit limits were met. The monthly average concentration and pending monthly average mass limits for phosphorus were both met in January. There were two sewage releases in January; one on the Thomson force main and the other on the Wrenshall force main; neither were wet-weather related.

5. Legal Counsel – no report

6. Executive Session – none

The meeting adjourned at 5:34 p.m. Recording Secretary Board Chair Board Secretary

February 2017

WLSSD VOUCHERBOARD MEMBER'S PER DIEM & EXPENSE CLAIM

TO: WLSSD BOARD

Approval for the following claims is hereby requested for per diem compensationand expenses as follows:(Authority: Minnesota 1971 Laws, Chapter 478, Section 3, Sub 9):

Bruce Ahlgren

2/7/17 Legislative Committee Meeting $50.002/15/17 Personnel Committee Meeting $50.002/16/17 Planning/Solid Waste and Operations Committee Meeting $50.002/22/17 Finance Committee Meeting $50.002/27/17 Regular Board Meeting $50.00

Mileage: 5 @ 40 miles = 200 miles @ 0.535 /mile $107.00

TOTAL CLAIM $357.00Jim Aird

2/7/17 Legislative Committee Meeting $50.002/16/17 Planning/Solid Waste and Operations Committee Meeting $50.002/27/17 Regular Board Meeting $50.00

Mileage: 3 @ 18 miles = miles @ 0.535 /mile $28.89

TOTAL CLAIM $178.89Julene Boe

2/16/17 Planning/Solid Waste and Operations Committee Meeting $50.002/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $107.49

Archie Chelseth

2/7/17 Legislative Committee Meeting $50.002/15/17 Personnel Committee Meeting $50.002/22/17 Finance Committee Meeting $50.002/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $281.32Ruth Janke

February Board Chair's Additional Compensation $100.002/7/17 Legislative Committee Meeting $50.002/15/17 Personnel Committee Meeting $50.002/16/17 Planning/Solid Waste and Operations Committee Meeting $50.002/22/17 Finance Committee Meeting $50.002/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $419.55

February 2017

Dave Manderfeld

2/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $71.40Marcia Podratz

2/22/17 Finance Committee Meeting $50.002/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $103.21Yvonne Solon

2/7/17 Legislative Committee Meeting via teleconference $50.002/27/17 Regular Board Meeting via teleconference $50.00


TOTAL CLAIM $100.00Paul Thomsen

2/22/17 Finance Committee Meeting $50.002/27/17 Regular Board Meeting $50.00


TOTAL CLAIM $113.91

WESTERN LAKE SUPERIOR SANITARY DISTRICT 2626 Courtland Street

Duluth, Minnesota 55806-1894

Phone: (218) 722-3336

FAX: (218) 727-7471

http://www.wlssd.duluth.mn.us

MEMORANDUM

To: WLSSD Board

From: Operations Committee

Date: March 23, 2017

Subject: Grant and Contract Services Expenditures with the Carlton County Extension Service for the period January 1, 2017 to December 31, 2017

WLSSD has worked successfully with the University of Minnesota Extension Service By-Products Program in Carlton County (Extension Service) to help fulfill the needs of the biosolids land application program since 1994. The Extension Service has a close connection to the local agricultural community that is of great value to WLSSD’s biosolids program. The Extension Service helps to educate customers, elected officials, and the general public about biosolids and how they can be utilized, provides agricultural expertise and technical assistance to biosolids customers and the WLSSD land application program, and conducts agricultural research. The District provides financial support through a grant to ensure funding for their continued involvement in these types of activities. Examples of work include a long-term study to determine the best use of biosolids on alfalfa, working with customers one-on-one to develop effective plans for using biosolids and agricultural nutrient management, and providing a trusted source of information on biosolids use and benefits. The Extension also provides advice to WLSSD about how to use biosolids sustainably and writes articles for the Biosolids Digest and other publications. To support this work, WLSSD has for several years awarded an annual grant to Extension Service in the amount of $16,500. The Operations Committee recommends WLSSD Board approval of a grant for the period of January 2017 to December 2017 in the amount of $16,500 ($8,250 paid semiannually) to support the Extension Service’s work that is complementary to WLSSD’s programs. Funding for this expenditure is budgeted in the Environmental Programs Wastewater -Grants to Governmental Units (4700-8600) cost account.



Phone: (218) 722-3336

FAX: (218) 727-7471

http://www.wlssd.duluth.mn.us

MEMORANDUM

To: WLSSD Board



Subject: Permit Renewal Application by Northern Lights Medical Transport , Inc (Medical Waste Transfer Facility)

Background Northern Lights Medical Transport, Inc. (NLMT) has submitted an application to renew is facility permit to the District for the operation of a Medical Waste Transfer Facility on property located at 5819 Highway 2, Hermantown, MN. The property is located .6 miles north of the intersection of Midway Road and Highway 2 in Hermantown city limits (See Google Map). On May 16th 2011 the City issued a zoning certificate to NLMT for the operation of a storage and transfer facility for medical waste with the following conditions:

1. Medical waste must be contained in sealed containers that meet all applicable rules and regulation for the storage and transport of medical waste.

2. Medical waste can be held or stored for no more than 12 days before being transported to a final disposal location.

NLMT and Stericycle, Inc picks up medical waste from Duluth and Superior Hospitals, and surrounding clinics within Northeastern Minnesota and Northwestern Wisconsin. NLMT and Stericycle accept all forms of medical waste from the generators except for radioactive waste. Stericycle, Inc. has a contract with NLMT to stage trailers on the property. Stericycle provides NLMT with clean containers and NLMT in turn delivers the clean containers to their clients. NLMT and Stericycle pick up medical waste on a weekly schedule, typically Monday thru Friday. When the trailers are full, the waste is transported to Stericycle’s St. Paul facility for destruction. The vehicles used for the transportation of the waste meet all current regulations including all signage and registration requirements. Up to 5 trailers can be parked at the property leaving room for employee’s personal vehicles. Each trailer can contain approximately 12,000 pounds. At this time 2 of the trailers contain medical waste, 2 trailers contain clean containers and 1 trailer is available for storage.

NLMT operates a 24-hour a day, 7 day a week, 365 days a year operation. The permitting process outlined in the District Ordinance requires that the applicant first receive local approval. The MPCA does not permit this type of facility. The applicant has satisfied these requirements. Recommendation The Operations Committee recommends that the WLSSD Board approve the application for consideration at its March 27th Board meeting.



Phone: (218) 722-3336

FAX: (218) 727-7471

http:\\www.wlssd.com

MEMORANDUM To: WLSSD Board

From: Finance Committee


Subject: Property & General Liability Insurance

WLSSD currently holds its property and general liability insurance policy through the League of Minnesota Cities with Otis Magie in Duluth acting as the agent of record. This policy was new to the District as of 2012 when RFP’s were solicited for an insurance provider. After three years with the League of Minnesota Cities insurance coverage, the policy was extended for another two years based on recommendation from our agent and subsequent Board approval. The policy through the League of Minnesota Cities was $60,000 less than the next proposal received in 2012 and the premium has remained stable since 2014. In 2015, WLSSD negotiated a change in the agent of record commission structure from a 12.5% variable commission to a $15,000 fixed commission. The fixed commission is approximately 10% of the premium. Our agent has proposed a three-year extension of the $15,000 fixed commission which would be good for 2017-2019. Previous contract premium costs: Year Premium 2009 $201,663 2010 $202,199 2011 $201,088 Historical premiums and dividends received since 2012 are: Year Premium Dividend Net Premium 2012 $141,938 $0 $141,938 2013 $154,751 $1,839 $152,912 2014 $166,574 $3,468 $163,106 2015 $162,059 $12,500 $149,559 2016 $161,764 $24,029 $137,735 The Finance Committee recommends awarding this contract to Otis Magie, representing The League of MN Cities for a minimum period of three years at a first year premium cost of $161,764, which is below the 2017 budget for property insurance and continues to be significantly below that paid prior to this contract.

SANITARY BOARD OF THE WESTERN LAKE SUPERIOR SANITARY DISTRICT

2626 Courtland Street

Duluth, Minnesota 55806

RESOLUTION NO. 2017-04

RESOLUTION OF APPLICATION AND INTENT TO REIMBURSE EXPENDITURES

BE IT RESOLVED by the Sanitary Board (the “Board”) of the Western Lake Superior Sanitary District (the “District”) as follows. Section 1. Recitals. A. Pursuant to the authority of Resolution 07-11 Establishing Procedures Relating to Compliance with Reimbursement Bond Regulations Under the Internal Revenue Code, the Executive Director executed a Declaration of Official Intent with respect to the Rice Lake Interceptor Improvements and related improvements to the Board’s wastewater treatment facilities (the “Project”), a copy of which is attached hereto as Exhibit A. B. The Board is applying to the Minnesota Public Facilities Authority (the “PFA”) for financial assistance to be used for the reimbursement and/or payment of the capital costs of the Project. C. Based on information provided by the Board’s staff, the Board estimates that it will require financial assistance from the PFA in the maximum principal amount of $1,148,000 in order to complete the Project. Section 2. Finding. It is found and determined that the Board has the legal authority to apply for such financial assistance, and the institutional, managerial and financial capacity to ensure proper construction, operation, maintenance and replacement of the Project for its design life and repayment of the financial assistance. Section 3. Evidence of Indebtedness. The financial assistance to be received from the PFA will be evidenced by one or more general obligation notes of the Board, the terms of which will be approved in a separate resolution of the Board. Section 4. Authorization; Ratification. A. The officers of the Board and its staff are authorized to take all actions and execute all documents and instruments necessary to apply to the PFA for financial assistance for the Project and such application and its submission to the PFA are approved. B. The actions of the Executive Director, the Director of Finance, the Manager of Planning and Technical Services and the staff of the Board taken with respect to the preparation of the aforementioned application to the PFA are approved and ratified.

Dated March 27, 2017. SANITARY BOARD OF THE WESTERN LAKE SUPERIOR SANITARY DISTRICT _______________________________________ Chair _______________________________________ Secretary






BE IT RESOLVED by the Sanitary Board (the “Board”) of the Western Lake Superior Sanitary District (the “District”) as follows. Section 1. Recitals. A. Pursuant to the authority of Resolution 07-11 Establishing Procedures Relating to Compliance with Reimbursement Bond Regulations Under the Internal Revenue Code, the Executive Director executed a Declaration of Official Intent with respect to the Woodland Interceptor Improvements and related improvements to the Board’s wastewater treatment facilities (the “Project”), a copy of which is attached hereto as Exhibit A. B. The Board is applying to the Minnesota Public Facilities Authority (the “PFA”) for financial assistance to be used for the reimbursement and/or payment of the capital costs of the Project. C. Based on information provided by the Board’s staff, the Board estimates that it will require financial assistance from the PFA in the maximum principal amount of $1,421,000 in order to complete the Project. Section 2. Finding. It is found and determined that the Board has the legal authority to apply for such financial assistance, and the institutional, managerial and financial capacity to ensure proper construction, operation, maintenance and replacement of the Project for its design life and repayment of the financial assistance. Section 3. Evidence of Indebtedness. The financial assistance to be received from the PFA will be evidenced by one or more general obligation notes of the Board, the terms of which will be approved in a separate resolution of the Board. Section 4. Authorization; Ratification. A. The officers of the Board and its staff are authorized to take all actions and execute all documents and instruments necessary to apply to the PFA for financial assistance for the Project and such application and its submission to the PFA are approved. B. The actions of the Executive Director, the Director of Finance, the Manager of Planning and Technical Services and the staff of the Board taken with respect to the preparation of the aforementioned application to the PFA are approved and ratified.






BE IT RESOLVED by the Sanitary Board (the “Board”) of the Western Lake Superior Sanitary District (the “District”) as follows. Section 1. Recitals. A. Pursuant to the authority of Resolution 07-11 Establishing Procedures Relating to Compliance with Reimbursement Bond Regulations Under the Internal Revenue Code, the Executive Director executed a Declaration of Official Intent with respect to the Miscellaneous Interceptor Improvements and related improvements to the Board’s wastewater treatment facilities (the “Project”), a copy of which is attached hereto as Exhibit A. B. The Board is applying to the Minnesota Public Facilities Authority (the “PFA”) for financial assistance to be used for the reimbursement and/or payment of the capital costs of the Project. C. Based on information provided by the Board’s staff, the Board estimates that it will require financial assistance from the PFA in the maximum principal amount of $1,311,000 in order to complete the Project. Section 2. Finding. It is found and determined that the Board has the legal authority to apply for such financial assistance, and the institutional, managerial and financial capacity to ensure proper construction, operation, maintenance and replacement of the Project for its design life and repayment of the financial assistance. Section 3. Evidence of Indebtedness. The financial assistance to be received from the PFA will be evidenced by one or more general obligation notes of the Board, the terms of which will be approved in a separate resolution of the Board. Section 4. Authorization; Ratification. A. The officers of the Board and its staff are authorized to take all actions and execute all documents and instruments necessary to apply to the PFA for financial assistance for the Project and such application and its submission to the PFA are approved. B. The actions of the Executive Director, the Director of Finance, the Manager of Planning and Technical Services and the staff of the Board taken with respect to the preparation of the aforementioned application to the PFA are approved and ratified.

of 2



Phone: (218) 722-3336

FAX: (218) 727-7471

http:\\www.wlssd.duluth.mn.us

MEMORANDUM

To: WLSSD Board



Subject: Interceptor Rehabilitation –U.S. Army Corp of Engineers Project - Lakeside, Interceptor – Construction Services

Project Background The United States Army Corp of Engineers (USACOE) offers grant funding under Section 569 of the Water Resources Development Act of 1999 to provide environmental assistance in Northeastern Minnesota. WLSSD has an eligible project which includes improvements to the existing wastewater interceptor system serving the Lakeside neighborhood of Duluth and north shore of Lake Superior to Knife River. The interceptor will be lined with Cured in Place Pipe (CIPP) to repair existing pipes that are cracked and leaking. The project is located between 18th Avenue East and 26th Avenue East in Duluth. In October, 2015, TKDA was hired to provide project design, bidding, construction administration and inspection to complete the USACOE project. The project design was completed and held until approval by the US Army Corp of Engineers in October, 2016. Scope of Work The Lakeside Interceptor Rehabilitation Project includes the following:

Install and maintain a temporary flow control system Rehabilitate 865 feet of 36” pipe with cured in place pipe (CIPP) lining Repair exteriors of 2 existing manholes (replace casting and extend rim elevation)

Bid Results The project was bid using Base Bid and six Bid Alternate items. The alternate bid items included additional CIPP rehabilitation of area pipes. Bids for the project were opened at 2:00 p.m. on February 28, 2017. Three bids were received. The following table summarizes the bid results and the Engineer’s Construction Cost Estimate for the project.

Lakeside Interceptor Rehabilitation Project Bid Summary (Bid No. 1342)

Bidder Insituform

Technologies USA, LLC

Lametti and Sons, Inc.

Michels Pipe

Services

Engineer’s Cost Estimate

Base Bid (LS035, LS034) $343,529.95 $458,250 $467,631 $218,583 Alternate 1 (LS036) $117,096.30 $101,000 $126,255 $100,244 Alternate 2 (LS037) $119,383.40 $83,000 $118,876 $101,063 Alternate 3 (LS038) $122,517.10 $73,000 $124,689 $102,281 Alternate 4 (LS039) $118,118.70 $51,000 $131,560 $69,783 Alternate 5 (LS040, LS040a) $95,150.00 $50,000 $78,183 $56,259 Alternate 6 (LS041 $68,892.70 $66,000 $102,718 $48,101 Total Base plus 6 alternates $984,688.15 $882,250 $1,149,912 $765,945

*includes 10% contingency WLSSD and TKDA recommend award to Insituform, Inc. for the Base Bid in the amount of $343,529.95. Schedule The anticipated schedule is below:

Project Schedule Date Activity February 28, 2017 Bid Opening March 28, 2017 Construction Award April 28, 2017 Notice to Proceed October 1, 2017 Substantial Completion November 1, 2017 Final Completion

Budget The project will be funded from the interceptor rehabilitation - Lakeside ACOE Project included in the capital budget, which totals $298,000. A Project Partnership Agreement signed with the USACOE includes $187,500 of funding from USACOE. WLSSD will be responsible for the remaining project amount of $221,107.

Project Budget Summary Project Phase Cost Design and Construction Phase Engineering $46,000 Tree Removal $1,900 Construction $343,529.95 Contingency – 5% $17,176.50 Total Project Cost $408,606.45 USACOE Reimbursement ($187,500) Total estimated

WLSSD costs $221,107

Recommendation The Operations Committee recommends that the WLSSD Board award Bid #1342 and authorize staff to enter into a contract with Insituform Technologies, LLC. for construction services associated with the Lakeside Interceptor System Rehabilitation Project in the amount of $343,529.95.

Board Members Present: Archie Chelseth, Jim Aird, Bruce Ahlgren, Ruth Janke, and Julene Boe Staff Present: Marianne Bohren, Karen Anderson, Jack Ezell, Sarah Lerohl, Susie Darley-Hill and Amanda MacDonald Guests Present: Dave Johnson and Tom Freeman – Faegre, Baker, Daniels Member Chelseth called the meeting to order at 11:30 a.m. 2017 Legislative Session Update Dave Johnson and Tom Freeman from Faegre, Baker, Daniels called into the meeting to give an update of the 2017 Legislative Session. There is a lot of activity happening in the next week with regards to committee meetings. Mr. Freeman discussed the target number for the general obligation bonding bill. The House has WLSSD’s updated rider language for WIF funding. The new rider language is as follows: Western Lake Superior Sanitation District’s project to design, construct, and equip a combined heat and power project for use in the district’s waste water treatment facility is deemed eligible for grant assistance under Minnesota Statutes, section 446A.072, subdivision 5(b). We are hopeful that this rider language will be included in the House bonding proposal. Mr. Johnson and the committee also discussed the other WLSSD legislative priorities. The committee was also informed that per previous discussions WLSSD has joined the MESERB organization and has been offered a seat on their Board of Directors. Marianne Bohren will serve on the Board representing the District. Duluth and St. Louis County at the Capitol Event Karen Anderson provided board members with an overview of the planned exhibit for the Grand Reception and also reviewed the Board Members’ lobbying folders containing handouts and literature for the event. WLSSD has made hotel arrangements for attendees of the event and the travel plan. Board Members who are on lobbying teams should plan to arrive at the capitol by 11:30 a.m. for lunch and orientation. Other Marianne Bohren gave and update of Clarifier #3 and the screw pump. Clarifier #3 has passed the leak test and should be operational in the coming week. The screw pump has been replaced and back in service. The meeting adjourned at 12:22 p.m.

MINUTES LEGISLATIVE COMMITTEE MEETING March 9, 2016 11:30 a.m.

80.081.082.083.084.085.086.087.088.089.090.091.092.093.094.095.096.097.098.099.0

100.0

Mar May Jul Sept Nov

Monthly BOD (permitted to85%)Monthly TSS (permitted to85%)Annual Avg. BOD Removalto dateAnnual Avg. TSS Removalto date

0123456789

10

Jan Mar May Jul Sept Nov

'17 Daily Max.

'17 Monthly Avg.

'16 Daily Max.

'16 Monthly Avg.

2017 Biochemical Oxygen Demand (BOD) & Total Suspended Solids (TSS) Removals- values are percentages-

Daily Maximum & Monthly Average Effluent Concentrations of Total Mercury (in ppt)

Good

Good

Bad

2017 Monthly Goal is ≤ 1.8 for Monthly Avg.

2017 Monthly Goal is ≤ 3.2 for Daily Max.

Bad

= Both Goals Made

Permit’s Monthly Avg. Limit

Permit’s Daily Max. Limit

10

100

1000

10000

100000

Jan Mar MAY JUL SEPT Nov

Monthly EC geo mean

Monthly FC geo mean

LIMIT = 200 FC geomeanLIMIT = 126 EC geomean

10

100

1000

10000

100000

1000000

Jan APR JUL OCT

'16 Hypochlorite'17 Hypochlorite'16 Bisulfite'17 Bisulfite

2017 Effluent Disinfection and Chemical UseE. coli (EC) and Fecal Coliform (FC) Levels at “end of pipe” (data are in counts per 100 mL and a log scale is used)

Chemical Use Comparison 2017 vs. 2016 (data are in total pounds and a log scale is used)

Disinfection required and Limits effective Apr. through Oct.

Limits Made

2017 Effluent Phosphorus

0

0.1

0.2

0.3

0.4

0.5

0.6

0.7

0.8

0.9

1

1.1

1.2

Aver

age

Efflu

ent P

Con

cent

ratio

n in

mg/

L

Month

Monthly Average ConcentrationLIMIT is 1.0

0

10

20

30

40

50

60

70

80

90

100

110

120

Aver

age

Efflu

ent P

Mas

s in

kg/

day

Month

Monthly Average MassPENDING LIMIT is 115

Month Release(s) Location(s) Volume (gals.)-if available-

January 2 Thomson force mainWrenshall force main

1200450

February 0 -- --

March

April

May

June

July

August

September

October

November

December

2017 Sewage Releases Reported to MPCA by WLSSD

agenda regular board meeting march 27, 2017 5:00 p.m. - … · 2019-06-03 · 1. approval of...

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