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7.1. SR 01-17-2012~/ Elk REQUEST FOR ACTION .~ River TO ITEM NUMBER Ma or & Ci Council 7.1 AGENDA SECTION MEETING DATE PREPARED BY Public Hearings January 17, 2012 Rebecca Haug, Environmental Administrator ITEM DESCRIPTION REVIEWED By Request by Great River Energy (GRE) for Conditional Use Cal Portner, Ci Administrator Permit & License for Energy Recovery Project, Case No. CU REVIEWED BY 11-20 Peter Beck, Ci Attorne ACTION REQUESTED Staff and the Planning Commission support a recommendation to approve a new Solid Waste Facility License for GRE. Staff and the Planning Commission support a recommendation to approve a new Conditional Use Permit for GRE. BACKGROUND/DISCUSSION The applicant is requesting to combine the existing Conditional Use Permits (CUP) and Licenses for the RDF Plant located at 10700 165`" Ave NW and the GRE Power Plant located at 17845 Highway 10 into a single CUP and a single license for an Energy Recovery Project to consist of a Resource Processing Plant (formerly referred to as the RDF Plant), an Energy Recovery Station (the GRE Power Plant), and the movement of vehicles between these facilities. In the late 1980's when these facilities were first permitted, the facility at 10700 165` Ave NW was owned and operated by a different company than GRE. GRE finalized the purchase of this facility on Apri129, 2010, and the facility reopened under GRE ownership on May 3, 2010. GRE is now requesting that the CUPs and licenses for its facilities be combined. Staff has prepared a new CUP and a new License for the combined project.. The new CUP and License are substantially amended from the prior CUPS and Licenses in order to reflect the current operations at these facilities and to be consistent with state law and more recent CUPs and Licenses for other solid waste facilities in the city. In previous CUPs and licenses, both expired every two years. The new CUP will only need to be amended if GRE proposes significant changes to the facility and requests an amendment. The License will continue to be renewed on a three-year cycle. Some of the notable changes to the license and CUP axe as follows: License• Throughout the license, the names of the facilities are changed and nonessential background information is deleted. rerESFe ~r N:\Public Bodies\City Council\Coundl RCA\Agenda Packet\01-17-2012\GRE CUP.docx ~~~~~~ 2. (11) Acceptable and Prohibitive Waste. The license breaks these into two parts and also breaks them apart for each facility as each facility has different requirements. Conditional Use Permit 1. Throughout the CUP, the names of the facilities are changed and nonessential background information is deleted. 2. (9) (02) An operating fee has been added. This fee, which GRE has agreed to, is similar to the "expansion fee" agreed to by the Landfill, and replaces annual payments made previously by the owners of the RDF plant pursuant to a 1990 Agreement that will be terminated by the CUP. The operating fee is $0.75 per ton of mixed solid waste (MSW) received at the Resource Processing Plant. The fee goes into effect on January 1, 2012, and will be paid to the city based on 2011 actuals and then annually by the end of January each year. 3. (13) City License Renewals. In recognition of GRE's willingness to pay an operating fee, the CUP includes language from the 1990 Agreement protecting GRE from the city imposing significant changes to the license. 4. The facility is permitted to burn a maximum of one thousand fifty (1,050) tons per day of refuse derived fuel (RDF), using a 12-month rolling average, and may burn a set amount of Tire Derived Fuel (I'DF). Currently, the facility is only burning about half of its permitted amount. GRE is working on securing additional RDF. The CUP will be permanent, as provided by state law, but can be amended upon application by the Permittee. PLANNING COMMISSION COMMENTS During the Planning Commission meeting, Commissioner Anderson had questions regarding what would happen if GRE were to sell the Resource Processing Plant (RPP). Staff informed him that the CUP goes with the property. He also had a question regarding the landscaping around the RPP since it is adjacent to the 171St Area and had questions relating to traffic flow and if processed material would be charged the operating fee. Staff was able to explain to him that the landscaping was reviewed by staff. Tim Steinbeck, Manager of the Elk River Resource Recovery Project, explained that occasional RDF is brought to the Elk River facility from Newport and occasionally RDF from the Elk River site is brought to the Newport location and this material would not be charged the operating fee as that fee relates tons of MSW received. ATTACHMENTS Planning Commission Staff Report Action Motion by Second by Vote Follow Up N:\Public Bodies\City Council\Council RCA\Agenda Packet\O1-17-2012\GRE CUP.docx REQUEST FOR ACTION TO ITEM NUMBER Plannin Commission 5.1 AGENDA SECTION MEETING DATE PREPARED BY Planning Items January 10, 2012 Rebecca Haug, Environmental Administrator ITEM DESCRIPTION REVIEWED By Request by Great River Energy (GRE) for CUP & License for Cal Portner, Ci Administrator Energy Recovery Project, Public Hearing -Case No. CU 11- REVIEWED BY 20 Peter Beck, City Attorney ACTION REQUESTED Staff supports a recommendation to approve a new Solid Waste Facility License for GRE. Staff supports a recommendation to approve a new Conditional Use Permit for GRE. BACKGROUND/DISCUSSION The applicant is requesting to combine the existing Conditional Use Permits (CUP) and Licenses for the RDF Plant located at 10700 165' Ave NW and the GRE Power Plant located at 17845 I-iighway 10 into a single CUP and a single license for an EnergyRecoveryProject to consist of a Resource Processing Plant (the RDF Plant), an Energy Recovery Station (the GRE Power Plant) and the movement of vehicles between these facilities. In the late 1980's when these facilities were first permitted, the facility at 10700 165`'' Ave NW was owned and operated bya different companythan GRE. GRE finalized the purchase of this facility on April 29, 2010, and the facility reopened under GRE ownership on May 3, 2010. GRE is now requesting that the CUPs and licenses for its facilities be combined. Staff has prepared a new CUP and a new License for the combined project. The new CUP and License are substantially amended from the prior CUPs and Licenses in order to reflect the current operations at these facilities and to be consistent with state law and more recent CUPs and Licenses for other solid waste facilities in the City. In previous CUPS and licenses, both expired everytwo years. The new CUP will only need to be amended if GRE proposes significant changes to the facility and requests an amendment. The License will continue to be renewed on a three year cycle, Some of the notable changes to the license and CUP are as follows: License: 1. Throughout the license, the names of the facilities are changed and nonessential background information is deleted. r rEn[o ~r N:\Departmenu\ComnumityDevelopmern\Planning\Case Files\CUP\CU 11-20 GRE 17845 Hwy10\CCT 11-2021_PCf' d ~~~~~ 2. 11. Acceptable and Prohibitive Waste. The license breaks these into two parts and also breaks them apart for each facility as each facility has different requirements. Conditional Use Permit 1. Throughout the CUP the names of the facilities are changed and nonessential background information is deleted. 2. 9.) (OZ) An C-perating Fee has been added. This fee, which GRE has agreed to, is similar to the "expansion fee" agreed to bythe Landfill, and replaces annual payments made previouslybythe owners of the RDF plant pursuant to a 1990 Agreement that will be terminated by the CUP. The C-perating Fee is $0.75 per ton of MSW received at the Resource Processing Plant. The fee goes into effect on January 1, 2012, and will be paid to the citybased on 2011 actuals and then annuallybythe end of January each year. 3. 13.) City License Renewals. In recognition of GRE's willingness to pay an C-perating Fee, the CUP includes language from the 1990 Agreement protecting GRE from the City imposing significant changes to the license. 4. The facility is permitted to burn a maximum of one thousand fifty (1,050) tons per day of refuse derived fuel (RDF), using a 12-month rolling average, and mayburn a set amount of Tire Derived Fuel (TDF). Currently, the facilityis onlyburning about half of its permitted amount. GRE is working on securing additional RDF. 5. The CUP will be permanent, as provided by state law, but can be amended upon application by the Permittee. ATTACHMENTS • Location Maps • Applicant's Submittal Letter and Narrative • Site Plan (Exhibit A) • Draft Revised CUP • Draft Revised License Action Motion by Second by Vote Follow Up N:\Departments\CommunityDevelopment\Planning\Case Files\CUP\CU 11-20 GRE 17845 Hwy10\C[.T 11-2021_PCfinaLdoc WV 0£:Sb~6 TTOZ/ZZ/Tl '6mp'deW uoile~oJ\OT~MH SbBLi 3119 OZ-Tl f1J\dfU\sa~y aseJ\6wuueld\auawdo~anap ,(7iunwwoJ\s~uawLedad\~N WV 8T~LO;Ii TTOZ/ZZ/Tl '6Mp~deyy uoge~o~\anV 4159T OOLOT 389 TZ-TT N\dfU\sa~y ase~\6wuue~d\luawdo~anap pwnwwo~\sluawvedao\~N rr~ ' I x ~~ ~ I I '~ ~ ~ ~ Q _ ~# AI~ lv V U ~ _ _ ~~ o t 10 _ J o h ~ (l x ~., .i i\ ~ l •, a. ~,. Q ~" wQZ, ~ ,~ RD .~WP w .. '^ ~ - `z,w GP U + o ~ W ~ L N 06 .. ~ ¢ ~ ~,. _. ~ z ~ .~ n us H GH~~ U ~ ~...~ Q k ,,& ~.. ; CT Q r ~ r ~.... __ ~ . ~ .~~ . ~, pL 0 ~ r` ,.., _,. ~-• 1S 1d -~ ~ W 'a ~~...~ W Great River Energy Elk River Campus Site ~51 5 5. ~; a'.,. °. "', ,. ~m_, S:\Legal\Environmental\ERS\City of Elk River\Templates\Site Layout.doc 12300 Elm Creek Boulevard Maple Grove, Minnesota 5 5 3 69-471 8 • 763-445-5000 Fax 763-445-5050 www.GreatRiverEnergy.com October 31, 2011 HAND DELIVERED Ms. Rebecca Haug Environmental Administrator City of Elk River 13065 Orono Parkway, PO Box 490 Elk River, MN 55330 Re: Conditional Use Permit Review and Solid Waste License Renewal Application Elk River- Energy Recovery Project Dear Ms. Haug: Enclosed please find the application for renewal of the Solid Waste License and Conditional Use Permit review for the Elk River Energy Resource Recovery Plant (ERRRP). Also enclosed is an application for amendment to the Solid Waste License and Conditional Use Permit review for the Elk River Energy Recovery Station (ERERS) to synchronize the due dates of the these documents for the two facilities. This letter and the following attachments comprise GRE's application for renewal of the License and CUP review for ERRPP and application for amendment of the License and CUP review for ERERS, each application contains: • 2011 Land Use Application Form. • A check (No.468986 in the amount of $6,500) to cover the application fees. • Conditional Use Permit Application Form. • Site Plan • Legal Description Mailing labels for property owners located within 350 feet of the facilities will be provided to the city separately. If the City has concerns with the facility's operations or designs, we request a meeting to discuss those concerns as soon as possible. Per our phone conversation of 10/28/2011, since this action is essentially a CUP and License renewal for ERRPP and a minor amendment to the due dates for ERERS, GRE did not supply copies of plans specified in the CUP Application Form. If you need any additional specific plan or information to process the CUP and License or have any questions about the information supplied, please contact me. Sincerely, G AT RIVER ENE GY ~j~~Tf/ Debra Nelson Environmental Administrator Encl: c: Tim Steinbeck, GRE S:\Legal\Environmental\ERS\City of E.lk River\City of ER - Cond.UsePermit\2011Amendment\cl_CUP License App.doCX A Touchstone Energy Cooperative ~~ ~`~ Contains 100% post consumer waste ~- Conditional Use Permit and Solid Waste Facility Narrative 1. Application Requirements Not Affected by Requested Renewal Great River Energy (GRE) is requesting the renewal of the Solid Waste License and a review of the Conditional Use permit for the Elk River Resource Recovery Plant and the amendment of the Elk River Energy Recovery Station Solid Waste License and Conditional Use Permit. Deb Nelson communicated with Rebecca Haug, Elk River Environmental Administrator, who agreed that many of the aspects of the application were not necessary. We have determined that the following aspects will not change from the current conditions and therefore have not included discussions of them in this application: • Landscape Plan • Utility Plan • Tree Preservation Plan • Grading/Drainage Plan • Drainage Calculations • Building Elevations • Floor Plans • Wall and Freestanding Sign Plans • List of items/equipment/materials associated with Outdoor Storage • Wetland Delineation • Wetland Mitigation Plan • EAW/EIS Requirements If the City has any questions or concerns about the above aspects, please contact us immediately and we will address them. 2. Description of Operations Resource Processing Plant The Elk River Resource Processing (RPP) facility is located at 10700 165th Ave NW. The site consists of the main processing building, a truck scale and guard house, administrative offices, a storage shed and fire pump building. RPP is the processing facility for the Energy Recovery Station which converts Municipal Solid Waste into Refuse Derived Fuel. RPP receives waste from local waste haulers. The waste is processed through shredders, grinders, metals recovery equipment and eddy current sorting equipment to provide the Energy Recovery Station with a well mixed, product free from materials which may be harmful to the conveying and combustion equipment. A byproduct of the process is recyclable aluminum, copper and steel which are sent offsite for processing. The plant employs 35 and operates about 16 hours per day during the week. S:\Legal\Environmental\ERS\City of Elk River\Templates\EROUP Renewal Narrative.docx Page 1 of 3 Conditional Use Permit and Solid Waste Facility Narrative Energy Recovery Station The Elk River Energy Recovery Station is located in the northwest corner of the intersection of US Highways 169 and 10. The complete campus consists of office buildings, warehouses, transmission substations, the Elk River Energy Recovery Station (ERS) a waste to energy plant, and the Elk River Peaking Station. Under State law, the peaking station is exempt from local conditional use permits and so it is not covered by the existing conditional use permit. Elk River Energy Recovery Station is an electric power generating station burning RDF as a primary fuel, TDF or tire derived fuel, and wood or wood waste as secondary or alternate fuels. A single alternate fuel may be co-fired with the RDF or a combination of the alternate fuels may be co-fired with the RDF. None of the alternate fuels are fired without concurrently firing RDF. The RDF burned at this facility is currently produced from the Resource Processing Plant. All fuel arrives at ERS in semi trailers and is unloaded in the enclosed RDF receiving building to the east of the plant. The facility produces approximately 40 megawatts of electricity and operates 24 hours per day. The facility is maintained and operated by 41 full-time employees. The Combustors: Energy is produced through combustion of the fuel in three spreader stoker-fired excess air combustion units (combustors or boilers). The boilers are identified as emission Units 1, 2, and 3. Unit 3 is approximately twice the size of units 1 and 2. The units are 128, 128, and 268 mmBtu/hr, respectively, which equates to approximately 11.7, 11.7 and 24.4 tons of RDF per hour (a smaller feed rate-ton/hr is required when TDF is used to supplement the fuel mix). The combustors can also burn natural gas and fuel oil. Natural gas is used at start-up and as necessary to maintain proper combustion conditions; distillate fuel oil is used as a backup fuel to the natural gas. The combustion units were converted from burning coal to RDF in 1988.. Air Emissions Control eauipment: The processing plant has one baghouse to collect any particulate matter created from the two processing lines in the plant. All three of the combustion units (boilers) are connected to common emissions control equipment, which are a dry scrubber for the control of acid gasses and a baghouse for the control of Particulate Matter (PM). The dry scrubber uses lime as a reagent in the chemical removal of the acid gasses. The lime is unloaded pneumatically to the lime storage silo, which is protected by a fabric filter baghouse from emitting PM during the unloading process." Exhaust gasses are continuously monitored for Carbon Monoxide (CO), Sulfur Dioxide (SO2), Nitrogen Oxides (NOX), opacity, and oxygen (02). A number of operating parameters, including scrubber exit (baghouse inlet) temperature, and boiler feedwater flow rate, are also monitored continuously. Air emissions are governed in the state of Minnesota by the Minnesota Pollution Control Agency (MPCA) under the Title V permitting program. ERS's air permit number is 14100003. Other air emission sources on site: Hot water for internal use when boilers 1, 2, and 3 are shut down is occasionally provided by a rented fuel-oil-fired boiler. A natural gas-fired generator currently provides emergency electrical power, for use to recharge an existing battery bank. The System S:\Legal\Environmental\ERS\City of Elk River\Templates\EROUP Renewal Narrative.docx Page 2 of 3 Conditional Use Permit and Solid Waste Facility Narrative Operations Control Emergency Generator is included in ERS Title V air permit but is maintained and operated by system operations. The Elk River Peaking Station is also included in the MPCA issued Title V air permit #14100003 as an emission source on this site. Water usage and discharge: System cooling is provided by once-through appropriations from the Mississippi River. Discharge and monitoring to the Mississippi is governed by the,Minnesota Pollution Control Agency under the National Pollution Discharge Elimination System (NPDES) permitting program. Additional groundwater appropriations are used for scrubber operation and internal wastewater streams. Treatment is provided by a wastewater clarifier which discharges internally to the once-through cooling water discharge. Combustor waste (ash): Fly ash produced in the course of waste combustion is stored in an enclosed area at the facility. A fabric filter baghouse controls PM emissions during the conveyance of the fly ash. The ash is shipped from the site using covered trucks to a permitted ash-only cell in Becker, MN. Large on-site tanks: The ERS facility has three bulk fuel oil tanks. Until recently, these tanks were empty .and unused since 1981. As part of the construction of the peaking station, two of the tanks were refurbished; one is used for fuel oil storage and the other is used for demineralized water storage. The third tank remains sealed off and unused. The refurbished fuel oil tank supplies backup fuel to ERS and the peaking station. The demineralized water is used to control NOx emissions when the peaking station combustion turbine is firing fuel oil. S:\Legal\Environmental\ERS\City of Elk River\Templates\ER CUP Renewal Narrative.docx Page 3 of 3 U F F ~ C ~ N Z N m ~ O = ? W 2 K 2 U Q F i3 9 z m~< ~ ~ ~ i z Wza a ~ ~ '~' 8 = N N p a w °viS < ~ W W avf= Q ~ U ~ ~ ~ I ~1 ~ o 1 N ~ W WW N Q J m r x ~ ~ ~ ~ ~ ~ ~ ~ ~ a I ~ Nv Y ~ W -x[~-x xI 7U' 2 ~ ~/ ~~ awl I~ ~~~~~ o ~ d / o F Q I ~ I MSYI M~IV ~' ~ w~ N I --- S a - I A l a \ Z ~ `-~~ .> I ~° - - I ~m ~ ` ~ ~ \ II I N ¢ w - ,, ~ W ~ _ I I ~ J x W m -iJ7 C'-, ~. c - I _~ N n I IN ~ a ~ x ,~ ~ °w I ~- a s~ a c~ v ~. 1c~~, ~ .-. ~ - ~ ,~ ~~ a xam oN I W ~ VI \/ ~, _ I K~Iiv V ~ i~~~ W~p,~ m-~ Q ~_ ~~ 'i - Q J Obi a~ Z Oai J F y x \ I i _-',9I m a0 m U I^ a v ~ N~ / J ~3I '` Y- ,,, ~ ~ °~ a "11 ~~ ~ ~1',,t, ~ b ~.N4' W L " I I o ~ a _ ~ I ~ ~ ~' ~ 2 Q ,i~i~ A '. ~ a o ,, - ~ i I I J N V ~_ C I I W 1 - i. F ~ r / Y W U ~i o Z U ~ J Z x Q ~_~ ; j= r' W I Z LLr 1 L L Z_W ~ ~ _ _ x ~' \ I`~~~{` . _ ~ ~ a- V ~ iD U I _`" / N J :~ ~~ ~(.• Q kl ~ . _ N II W- 3 0 I awe Z I x ~ O N p ~ I I ~ o ~ °,~ M°. I " ~m ~ ~~ N -*- -x- -x- ~ bus ~ i -- __ __ __ _I ~~ j ~~ ~~ Wtl 0£~TS~OT OTOZ/61/Ol "bMP"8-Z sa~nby\d2R13\s'JJdS\32i9\~io~d\~d Conditional Use Permit No. 131-20 CITY OF ELK RIVER AGREEMENT FOR ISSUANCE OF CONDITIONAL USE PERMIT FOR RESOURCE RECOVERY ~"~~- '~rPROJECT THIS AGREEMENT, approved on and effective as of the 17th day of January, 2012, by and between the CITY OF ELK RIVER, a Minnesota municipal corporation, (the "City"), and GREAT RIVER ENERGY, a Minnesota cooperative corporation (the "Permittee"), provides as follows: RECITALS WHEREAS, Permittee owns the real property parcels legally described on Exhibits A-1 and A-2 attached hereto; and WHEREAS, Permittee currently operates a facility for receiving municipal solid waste and processing it into refuse derived fuel (the "Resource Processing Eae-ia+~}~Plant") on the parcel described on Exhibit A-1 (the "RPIiP Site"), pursuant to Amended Conditional Use Permit No. 86- O1,originally approved by the City Council of the City of Elk River on December 1, 1986, and subsequently amended; and WHEREAS, Permittee currently operates a facility for the incineration of refuse derived fuel (the "Energy Recovery ~ Station") on the parcel described on Exhibit A-2 (the "I-R~ ERS Site"), pursuant to Amended Conditional Use Permit No. 87-10, originally approved by the City Council of the City of Elk River on February 9, 1987. and subsequently amended; and WHEREAS, Permittee has applied for a Econditional muse gpermit (the "Permit") for a Resource n.-„°°°°~~~ of°.,t °.,a ~.,°....., D°,.,,.,°..., c°,.:~:+., e.°+;,,.. Recovery Project (the "yProjecf') to consist of: a) The Resource Processing ~ae+4ifyPlant; b) The Energy Recovery Eae+l-i~E~Station; and c) The movement of vehicles transporting municipal solid waste ("MSW"), refuse derived fuel ("RDF"), recyclable material, rejected municipal solid waste ("Rejects") and incinerated RDF ash; and WHEREAS, the City of Elk River Planning Commission and City Council have held hearings on the application for thhe-a conditional use Izpermit, at which hearings all citizens of the City of Elk River and other interested parties have been properly notified and have had the opportunity to be heard. NOW, THEREFORE, BE [T RESOLVED by the City Council of the City of Elk River, that Permittee is hereby granted a conditional use permit (the "Permit") for the Eae-i+it~yProiect, subject to the terms, conditions and qualitications hereinafter stated, to wit: AGREEMENT 1.) Incorporation by Reference. (Ol) Recitals. The above Recitals are incorporated by reference. (02) Application Materials. All documents, factual information and material statements of fact made by Permittee and/or prior operators of the F~i~i~yProject in connection with the Application for the Permit, for Amended Conditional Use Permit No. 86-01 and for Amended Conditional Use Permit No. 87-10, are incorporated by reference in this Permit, and operation of the Eae-ilit-yProiect in violation of such documents, information and/or statements shall be considered a violation of the terms and conditions of this Permit. (03) MPCA Permits. The terms and conditions of Combined Air and Solid Waste Permit No. 14100003-005 for an Air Emission Facility, Air Pollution Control Equipment and Solid Waste Processing System, and Permit for the Construction and Operation of a Waste Processing Facility, No. SW-305 (collectively referred to as the "MPCA Permit°'), and all MPCA Regulations applicable to the Easi~i~yProject, are specifically incorporated into this Permit and Permittee shall comply with all such terms and conditions including, without limitation, the "Special Conditions," Special Conditions Relating to RDF and Solid Waste," and "General Conditions" of the MPCA Permit. Any violation of the MPCA Permit or any MPCA Regulation will constitute a violation of the terms and conditions of this Permit. (04) Solid Waste Facilities Ordinance. The ~~Proiect and Permittee must at all times fully comply with the City License and requirements of Chapter 58, Article III of the city Code, including specifically Sections 58-193, 58-194, 58-213 and 58-214. Any Ya};e 2 violation of the City Code will constitute a violation of the terms and conditions of this Permit. (OS) Cit Z~on!n~ Ordinance. The ~e-tlt~yProject and Permittee must at all times comply with the terms and conditions of the City's Land Development Regulations Ordinance, including the performance standards set forth in Division 5, Subdivision V thereof. Any violation of the Zoning Ordinance will constitute a violation of the terms and conditions of this Permit. ~ non n s;reement. Tl.o ro .+.7 ...7;r: .,C rL,~r ,. o,rta... ..~~,..^'-rrc~~v agr Comment [A1]: Modify per Dec. 16'x' meeting 2.) Amended Conditional Use Permits No. 86-O1 and 87-10. This Permit shall supercede Amended Conditional Use Permits No. 86-O1 and 87-10, which shall be terminated and superceded by this Permit as of the effective date of this Permit. 3.) Applicability of Conditional Use Permit. Except as specifically provided otherwise in this Permit, this Permit shall apply to the properties described on Exhibit A-1 and A-2 attached hereto. This Permit shall run with the real property and apply to Permittee and its successors and assigns. 4.) Permit Period. This Permit shall take effect on January 17, 2012, and be in force and effect for so long as the conditions set forth herein are complied with, unless and until suspended, revoked or terminated as provided herein. 5.) Scope and Conduct of Operations. Operation of the Easi-li~yProject shall be conducted in conformance with existing statutory and regulatory authority and requirements of the City, Sherburne County (the "County") and the Minnesota Pollution Control Agency (the "MPCA"), and in accordance with the authorizations, conditions and limitations contained in this Permit and in: (Ol) the current City of Elk River Solid Waste Facility License for the yProject issued to Permittee, as approved on January 17, 2012, and as subsequently amended or modified (the "City License"); and (02) the MPCA Permits for the ~yProject, as amended. 6.) Volumes. Permittee is authorized by this Permit to process no more MSW at the Resource Processing Eaei-~i~tyPlant, and to burn no more RDF or other materials at the Energy Recovery ~yStation, than the volumes allowed in the City License for the ~i~Project. 7.) Conditions Agreed To. This Permit is issued subject to the requirements and conditions set forth below, which are imposed for the purposes of: Formatted: Indent: First line: 0.5" Formatted: Indent: First line: 0.5" Ya~c 3 i. Satisfying the standards set forth in the Elk River City Code of Ordinances, including Chapter 58, Article III and chapter 30 thereof; ii. Promoting compatibility with and minimizing any potential adverse effects upon properties and neighborhoods adjacent to the Project Iiae+Ii-ty-facilities or within the City; iii. Protecting the public health, safety, and general welfare; iv. Avoiding traffic congestion or hazard; and v. Preventing land, water, or air pollution. By accepting and executing this Permit, Permittee agrees that the conditions imposed herein are necessary to fully mitigate the adverse impacts of the tae-ili-t}~Project, and agrees to comply with each of the conditions set forth herein. 8.) Violation of Conditions. (O1) If Permittee or its successors or assigns violates any term or condition imposed by this Permit, by the City License, by the MPCA Permit, ~"'''° ' °O~ ^ ^~°°~~°~ ; or by any other license or permit issued for operation of the c~°;ii>yProject, this Permit may be suspended, revoked and/or terminated. Without limiting-the foregoing, the violation of any statute, regulation, ordinance, permit or license condition imposed by lawful governmental authority and governing operation of the ~yProject is grounds for suspension, revocation or termination of this Permit. The change, alteration, or amendment of any such statute, regulation, ordinance, permit or license condition by any governmental authority other than the City shall not excuse the Permittee from compliance with statutes, regulations, ordinances, permit or license conditions in effect on the date of the original issuance of this Permit, unless compliance is waived or excused by the City Council. The City shall not unreasonably refuse to waive or excuse compliance with existing permit or license conditions. (02) Violation of the terms of this Permit shall entitle the City to any and all remedies available at law or in equity. If the City determines that such violation results in a clear and imminent danger to the health and safety of the city's residents, the City's remedies shall include immediate cessation of operation, without the necessity of a judicial order in advance of the same. In all other instances, the immediate cessation remedy shall be preceded by a judicial order. A revocation or suspension of this Permit shall be only as to the violating component of the }Project, not as to the components not in violation. 9.) Charges and Fees. - Formatted: Indent: First line: 0.5" Comment [A2]: Modify per discussion Dec. Is~h. (Ol) Reimbursement of City Costs. Permittee agrees to pay to the City the City's reasonable costs incurred in the future for administering, enforcing, modifying and amending this Permit, as follows: vi. Permittee shall pay one hundred percent (100%) of the City's costs for processing amendments or proposed amendments to this Permit; Formatted: Indent: First line: 0.5" Formatted: Indent: First line: 0.5" Page 4 vii. Permittee shall pay one hundred percent (100%) of the City's costs for administering and enforcing the terms of this Permit, including costs for reviewing Permittee's compliance with the terms and conditions of this Permit, costs f'or bringing Permittee into compliance with the terms and conditions of this Permit (including legal costs), and City costs incurred for review of Permittee initiated requests; and viii. Permittee shall reimburse the City for any and all expenses associated with ~I-it3~Project-related improvements to any city streets used by vehicles transporting RDF or Ash which serve as primary access to the Project facilitiesEae+li~y. The Permittee shall also reimburse the City for all patching and repair expenses in excess of the City's normal street maintenance program f'or such streets. (02) Operating Fee. Formatted: Indent: First line: 0.5" Formatted: Superscript Formatted: Highlight defined in the 1990 Agreement on .lanuarv 1, 2012.: Effective as of the date of this Permit, Permittee agrees to pay to the Citv an annual operating fee ("Operating Fee"). The Operating Fee shall be calculated as A~-e# $0.75 per ton of MSW received by the Resource Processin Pg lant during the previous calendaryear. n °* °"°" "°''••° °°°" ~ ~ {^~'"°'°~° ~ '°'''"° ^ o..~ °'°y~ For example the 2012 Operating Fee shall be based on the tons of MSW received by the Resource Processing Plant from .lanuarv 1, 2011 through December 31, 2011. The Permittee agrees to make payment of the Oeperating Ffee to the City by January 31 of the applicable each year. For example the 2012 Operatinz? Fee will be due to the City prior to January 31 2012 Permittee agrees to include with the payment reasonable documentation of the quantity of MS W received by the Resource Processin,; Plant during the previous year. (03) Failure to Pay Fee. Failure to pay any Fee due and payable at the times and in the ~ Formatted: Indent: First line: O. S' amounts required by this Permit, for any reason whatsoever, shall be considered a violation of the terms and conditions of this Permit and shall be cause for the City to commence suspension, revocation or termination of this Permit. 0.) Operational Requirements. Operation of the ~I-i~Proiect shall be governed by the City License. The requirements of the City License (including any amendment or modifications thereto) are hereby incorporated into this Permit as necessary conditions and failure to comply with the conditions and requirements of the City License shall be cause for revocation of this Permit. 11.) On-Site Inspection. The City shall have the right of access for inspection purposes to all components of the yProject, as provided in the City License. 12.) Insurance and Bonding. Permittee shall provide such insurance, including workers compensation insurance, and bonding as required in the City License. Page 5 13.) City License Renewals. The City License will be considered for renewal as required by the Formatted: underline Elk River Code of Ordinances. Revisions to the terms and conditions of the City License will be subject to the following limitations. (Ol) The terms and conditions of the City License for the Project shall remain ~ Formatted: Indent: First line: 0.5" substantially in the form of the City License issued on January 17-, 2012, subject to reasonable amendments addressed to issues concerning the public health, safetygeneral welfare, with due regard for and consideration of the financial impacts of anv amendments on the Project. (02) The terms and conditions of the City License issued on January 17-, 2012, shall not be amended for so long as this Permit is in effect and all fees required under Section 9 are current to require andadditional reimbursements to the City for indirect costs related to the Project. (03) The City will not impose anv additional requirements in the City License regarding the ultimate disposal of process rejects non-processible waste or ash. Nothing in this paragraph shall be interpreted as preventing the Citv from imposing reasonable conditions regarding the hours routes and trucks used for transporting these materials within the City. (???~ 14.) Ris;ht to Require Performance. The failure of the City, at any time, to require performance by Permittee of any provisions hereof shall in no way affect the right of the City thereafter to enforce the same. Nor shall waiver by the City of any breach of any of the provisions hereof be taken or held to be a waiver of any succeeding breach of such provision or as a waiver of any provision itself. 153.) Indemnification of City. The Permittee shall defend and hold the City, its officers, and employees harmless from all claims made by third parties for damages sustained or costs incurred resulting from EaEi-li~}~Proiect approval, construction, and operation. The Permittee shall indemnify the City, its officers, and employees for all costs, damages, or expenses which the City may pay or incur in consequence of such claims, including attorneys' fees. The aforesaid defense, indemnity, and hold harmless provisions shall not be in effect from and after the date that the occurrence giving rise to the claim in questions is determined by a court with jurisdiction over the matter to have been caused solely by the willful conduct or negligence of the City, its officers or employees. Until the date of such judicial determination, the defense hold harmless and indemnification provisions shall be in full force and effect and in the event of such judicial determination, the City shall reimburse the Permittee all of its costs and expenses incurred on behalf of the City in connection with the foregoing. Nothing herein shall be construed to prohibit the City from selecting its own counsel to act as co-counsel in the defense of such matters. The Permittee agrees to indemnify, defend, and hold harmless the City of Elk River, its Council members, officers, and employees from any claims or damages arising out of any acts or omissions on the part of the Permittee and any of the participating counties or their commissioners, agents, or employees in the performance of the counties' contractual obligations under the agreements with the Permittee, from any strict liability imposed upon the City pursuant to Minn. Stat. 115B.01, et sec .. for the release of hazardous waste at the liac-i-lity-Project facilities and from any remedial actions, clean-ups, removal, closure, post-closure activities, or monitoring requirements or costs associated therewith. This indemnity, hold harmless, and defense obligation on the part of the ~~~,~~ c, Permittee shall include. but not be limited to, any and all actions, claims, requirements, or claims for damages arising out of the granting of this Permit for the P-asi-lit-yProiect facilities or any variance associated with the height of the ~epese~processing ~a~-4iFy-facili and the inability of the City to properly respond to tire calls at the °~°^°°°~~~- ~'°^~'~*~~ facility due to the limitations of its equipment or personnel, but shall not include willful and unjustitied failure to respond to fire calls at the °«^^°°°~^^ °°^~'~'•~facility. The indemnities provided in this paragraph are subject to the limits of liability set forth in Minnesota Statutes Section 466.06, as amended from time to time, if effective as to the particular indemnified action or claim. Nothing in this Permit is intended to waive the immunities to which the City is entitled by law. The Permittee waives and releases the City from all claims, direct or indirect, arising or claimed to have arisen out of all actions or inactions relating to the City's consideration or issuance of the Permit. ,~ ..... .».. ,..... .,. »... ~. .~, .».~..... ., ._7».._r___~_.__»_.__ err: 165.) Severability. if any provision of this Permit shall be declared void or unenforceable, the other provisions shall not be affected, but shall remain in full force and effect. 1756.) Amendment. This Permit shall not be considered moditied, altered, changed, or amended in any respect unless approved by the City Council as required by City Ordinance. 18617.) Conflicts. In any cases in which Permittee believes there is an irreconcilable conflict between the requirements of this Permit and laws, rules, regulations, or order of any other governmental authority, Permittee shall promptly notify the City of such irreconcilable conflict and request an amendment of this Permit. Until such time as the City acts upon a request for an amendment to this Permit, which it may grant or deny in its sole discretion, the terms of this Permit shall govern all operations at the liae-i4i~yProject and shall prevail over the provisions of any document submitted by the Permittee any requirements of state for federal law. The City shall not unreasonably refuse to amend this Permit or waive compliance with this Permit in order to prevent violation of the law. 199-)-8.) Modification, Suspension, or Revocation of Permit. This Permit is subject to suspension and/or revocation pursuant to the procedures and standards set forth in Chapter 58, Article [11, of the City Code. The violation of any of the terms of this Permit is ground for suspension or revocation hereof. Furthermore, the City specitically reserves the right, and Permittee agrees, that this Permit may be amended, suspended, or revoked by the City as reasonably required to protect the public health, safety, welfare, and the environment. Specifically, but without limiting the foregoing, the City may amend, suspend, or revoke this Permit, whenever any reliable information is secured from a recognized source which demonstrates that the continued operation of the ~asifi~}~Project places the public health, safety, welfare, or the environment in jeopardy. Such information includes, but is not limited to a determination that emissions generated by the Facility threaten the public health, safety, or general welfare. i~at;~ ~ Without limiting the forgoing, the City reserves the right to amend this Permit to impose upon Permittee the obligation to comply with any state or federal law or regulation relating to the operation of the ~asi~ityProject, whether or not said laws or regulations apply by their terms to a preexisting facility. Suspension, revocation or amendment of this Permit may be ordered only after a public hearing on such suspension, revocation or amendment, preceded by thirty (30) days' written notice to Permittee. Notice of hearing shall include a statement of the proposed action by the City and the reasons therefore. 20-1~9.) Notices. Required notice to the Permittee shall be in writing, and shall be either hand delivered to the Permittee, its employee or agents, or mailed to the Permittee by certified or registered mail at the following addresses: Great River Energy Attn: Manager, Elk River Resource Recovery Project 17845 U.S. Highway 10 Elk River, MN 55330-0800 Great River Energy Attn: Manager, Environmental Services 12300 Elk Creek Boulevard Maple Grove, MN 55369-4718 Notice to the City shall be in writing, and shall be either hand delivered to the Environmental Administrator, or mailed to the City by certified or registered mail in care of the Environmental Administrator at the following address: City of Elk River 13065 Orono Parkway NW Elk River, MN 55330 Attn: Environmental Administrator The undersigned, on behalf of Permittee represents and binds Permittee to the terms of this Permit. having fully examined this Permit and all materials referred to herein and agrees to all the conditions set forth. Each person signing below on behalf of Permittee does so upon the authority of Permittee. Page H THE CITY OF ELK RIVER: By: ATTEST: By: John r4.1. Dietz Tina Allard Its: Mayor Its: City Clerk GREAT RIVER ENERGY By: Its: Pagc ') STATE OF MINNESOTA ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by John ~4J. Dietz, the Mayor of the City of Elk River, on behalf of the City of Elk River. Notary Public STATE OF MINNESOTA ) )ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by Tina Allard, the City Clerk of the City of Elk River, on behalf of the City of Elk River. Notary Public STATE OF MINNESOTA ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by ,the Great River Energy, a Minnesota , on behalf of the Notary Public THIS INSTRUMENT WAS DRAFTED BY: Gray, Plant, Mooty, Mooty & Bennett 500 IDS Center 80 South 8th Street Minneapolis, Minnesota 55402 Page 10 EXHIBIT A-1 Pagc i l Parcel I D : 75-011-4300 Address: 10700 165th Ave NW, Elk River MN 55330 Elk River Resource Recovery Facility: A certain tract of land described in a Warranty Deed dated December 31, 1985, by Frenchy's Enterprises, Inc., as grantor, to United Power Association and Northern States Power Company, as grantees, and recorded in the Office of the Sherburne County Recorder as Document No. 193893 (as to an undivided 15% interest) and described in a Limited Warranty Deed dated April 28, 2010, by Resource Recovery Technologies, LLC, a Delaware limited liability company, as grantor, to Great River Energy, a Minnesota cooperative corporation, as grantee, and recorded in the Office of the Sherburne County Recorder on April 29, 2010 as Document No. 711972 (as to the remaining 85% interest). Great River Energy owns 100% of the fee title to the land described below. Legal Description: The Southwest Quarter of the Southeast Quarter of Section 11, Township 32, Range 26, except the South 468 feet of the West 495 feet thereof, according to the United States Government Survey thereof, Sherburne County, Minnesota. (Sherburne Co Property ID Number: 75-011-4300) EXHIBIT A-2 GP~30771 G5 v5 Pa};c 12 Parcel Nos. and Legal Descriptions The steam plant sits on county parcel # 75-003-1200 (covers everything west of RR tracks) 1. Office Building, Generating Plant and Substations: A certain tract of land described in Certificate of Title #2232, dated January 22, 1973, by The Rural Cooperative Power Association, a corporation, as grantor, to United Power Association, as grantee, and recorded in the Office of the Registrar of Titles, in Volume 8, on Page 179. Legal Description: That part of Government Lots 3 and 4 of Section 3, Township 32, Range 26 West, lying southwesterly of the Great Northern Railway Company's right of way; which lies northeasterly of a line run parallel with and distant 300 feet northeasterly of the first following described line; southeasterly of the second following described line and northwesterly of the third following described line: (1). Beginning at a point on the North line of said Section 3, distant 2309.5 feet West of the Northeast corner thereof; thence running southeasterly at an angle of 81 degrees 00 minutes with said North section line for a distance of 1327.6 feet; thence deflect to the left on a 3 degree 00 minute curve, delta angle 39 degrees 04 minutes, for a distance of 1100 feet and there terminating; (2). From a point on the North line of said Section 3, distant 2057 feet West of the Northeast corner thereof, run southeasterly at an angle of 55 degrees 18 minutes with the said North section line for a distance of 190.74 feet; thence deflect to the right at an angle of 90 degrees and run southwesterly to the northeasterly right of way line of U.S. Highway 10 as now established, which is the point of beginning of the line to be described; thence back northeasterly along line just described to a point of intersection with the southwesterly right of way line of the Great Northern Railway Company, the same being now located and established, and then terminating; (3). From a point on the North line of said Section 3, distant 2057 feet West of the Northeast corner thereof, run southeasterly at an angle of 55 degrees 18 minutes with said North section line for a distance of 2025.7 feet; thence deflect to the left at an angle of 76 degrees 15 minutes and run northeasterly to the southwesterly right of way line of the Great Northern Railway Company, as same is now located and established over and across said tract to the point of beginning of line to be described; thence run southwesterly on the last above described course for a distance of 750 feet and there terminating; excepting there from the following tract: From a point on the North line of said Section 3, distant 2057 feet West of the Northeast corner thereof, run southeasterly at an-angle of 55 degrees 18 minutes with said North section line for a distance of 2025.7 feet; thence deflect to the right at an included angle of 76 degrees 15 minutes with the line just described to the northeasterly right of way line of U.S. Highway 10 as now located, and which point is the point of beginning of the line of the land to be described; thence back northeasterly 200 feet along the line just described; thence left 90 degrees northwesterly 200 feet, thence Ieft.90 degrees southwesterly to intersection with northeasterly right of way line of U.S. Highway 10 as now located; thence southeasterly along said highway right of way line to the point of beginning. The said tract containing 15.5 acres, more or less, and subject to restrictions of access along the entire southwesterly boundary of the above tract except between points distant 1056 feet and 1171 feet, respectively, and southeasterly along the southwesterly boundary of the above tract measured from the intersection of said southwesterly boundary and the northwesterly boundary; and also except between points 250 feet and 330 feet, respectively, along the same boundary and measured from the same point as in the exception from the restriction of access set out immediately above; Boundaries are judicially determined and adjudged to be as referred to in the description above and as set forth in the Survey, attached to Inst. No. 1380, filed in file No. 947, Office of the Registrar of Titles, Sherburne County, Minnesota. Page 1 of 2 Parcel Nos. and Legal Descriptions PID: 75-003-1100 (covers everything east of RR tracks) including peaker 2. Elk River Headquarters, Generating Plant and Substations: A certain tract of land described in Quit Claim Deed #90158, dated June 17, 1959, by the State of Minnesota, as grantor, to The Rural Cooperative Power Association, as grantee, and recorded in the Office of the Register of Deeds as Instrument #90158. Legal Description: All that part of the following described tract: That part of Government Lots 3 and 4 of Section 3, Township 32 North, Range 26 West; lying northeasterly of the railway; which lies westerly of a line run parallel with and distant 200 feet westerly of the following described line; From a point on the North line of said Section 3, distant 403 feet West of the Northeast corner thereof run northwesterly at an angle of 72 degrees 19 minutes with said North section line for 600 feet to the point of beginning of lirie to be described; thence run southeasterly along the last above described course for 696.48 feet; thence deflect to the right on a ten chord spiral curve of decreasing radius (spiral angle 06 degrees 00 minutes) for 400 feet; thence deflect to the right on a 03 degrees 00 minutes circular curve (delta angle 23 degrees 06 minutes) for 770 feet; thence deflect to the right on a ten chord spiral curve of increasing radius (spiral angle 06 degrees 00 minutes) for 400 feet; thence on tangent to said curve for 400 feet and there terminating; excepting there from the following described tract: Beginning at a point on the North line of said Section 3, distant 1195.97 feet West of the Northeast corner of said Section 3; thence at right angles South 0 degrees 07 minutes 30 seconds East 240 feet; thence South 77 degrees 35 minutes West 409.47 feet; thence North 34 degrees 52 minutes West 398.2 feet, more or less, to its intersection with the North line of said Section 3; thence North 89 degrees 52 minutes 30 seconds East along the North line of said Section 3 a distance of 627 feet to the point of beginning, and excepting the following described tract: Government Lot 3 of Section 3, Township 32 North, Range 26 West, lying northeasterly of the Railway; which lies easterly of aline run parallel with and distant 200 feet easterly of the following described line: From a point on the North line of said Section 3, distant 2309.5 feet West of the Northeast corner thereof, run southeasterly at an angle of 81 degrees 00 minutes with said North section line for a distance of 2005.2 feet; thence deflect to the left at an angle of 39 degrees 04 minutes for a distance of 1588.3 feet; thence deflect to the left at an angle of 90 degrees 00 minutes for a distance of 50 feet; thence deflect to the left at an angle of 24 degrees 36 minutes for a distance of 624.7 feet to the point of beginning of line to be described; thence continue northeasterly on the above described course for a distance of 872.3 feet; thence deflect to the left on a 2 degrees 00 minutes curve, delta angle 15 degrees 45 minutes for a distance of 400 feet and there terminating; containing 31.90 acres, more or less. Subject to the following restriction: No access shall be permitted to Trunk Highway No. 187 from the above described real estate and reserving the right of the State of Minnesota to remove earth materials which may be required for the construction and maintenance of trunk highways in the vicinity of said real estate. Page 2 of 2 CITY OF ELK RIVER LICENSE AGREEMENT FOR RESOURCE RECOVERY 1~bITYPROJECT THIS LICENSE, approved on and effective as of the ~k-17~day of January, 2012, by and between the CITY OF ELK RIVER, a Minnesota municipal corporation, (the "City"), and GREAT RIVER ENERGY, a Minnesota Cooperative Corporation ~ the "Licensee"), provides as follows: RECITALS WHEREAS, Licensee owns the real property parcels legally described on Exhibits A-1 and A-2 attached hereto; and WHEREAS, Licensee currently operates a facility for receiving municipal solid waste and processing it into refuse derived fuel (the "Resource Processing Plant") on the parcel described on Exhibit A-1 (the "1~RPP Site"), pursuant to Amended Conditional Use Permit No. 86-01, originally approved by the City Council of the City of Elk River on December 1, 1986, and subsequently amended, and a Solid Waste Facility License issued by the City; and WHEREAS, Licensee currently operates a facility for the incineration of refuse derived fuel (the "Energy Recovery F~Station") on the parcel described on Exhibit A-2 (the "~- ERS bite"), pursuant to Amended Conditional Use Permit No. 87-10, originally approved by the City Council of the City of Elk River on February 9, 1987, and subsequently amended, and a Solid Waste Facility License issued by the City; and __ - Formatted: Superscript WHEREAS, Licensee has applied for a Econditional ~3use Rpermit (the "Permit") and a solid Wwaste Ffacility I/license (the "License") for a Resource n..°°°^°;~° ni^~t ^~a ~~°~^•• n°°°-.°^• ~°°:',~. c*^*:°~Recovery Proiect (the "FyProiect") to consist of: a) The Resource Processing ~yPlant~; b) The Energy Recovery lac-ili~yStation FE~S~; and c) The movement of vehicles transporting municipal solid waste ("MSW"), refuse derived fuel ("RDF"), recyclable materials, rejected municipal solid waste ("Rejects") and incinerated RDF ash; and WHEREAS, the City of Elk River Planning Commission and City Council have held hearings on the applications for a conditional use permit and a solid waste facility license-fi~e- u°...,:,:. °~a *w;° r ;°°~°°, at which hearings all citizens of the City of Elk River and other interested parties have had the opportunity to be heard; and WHEREAS, on January 17, 2012, the City of Elk River City Council approved a Conditional Use Permit (the "Permit") for the Rae-ftityProject. NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Elk River, that Licensee is hereby granted a Solid Waste Facilities License (the "License") for the ~Proiect, subject to the terms, conditions and qualifications hereinafter stated, to wit: AGREEMENT 1.) Incorporation by Reference. (O1) Recitals. The above Recitals are incorporated by reference. (02) Application Materials. All documents, factual information and material statements of fact made by Licensee and/or prior operators of the RaeilityProiect in connection with the Application for a conditional use permit for the Baeil-i~yProject, for Amended Conditional Use Permit No. 86- 01, for Amended Conditional Use Permit No. 87-10 and for this License, are incorporated by reference in this License, and operation of the 1t31Project in violation of such documents, information and/or statements shall be considered a violation of the terms and conditions of this License. (03) MPCA Permits. MPCA Permit and Regulations. The terms and conditions of Combined Air and Solid Waste Permit No. 14100003-005 for an Air Emission Facility, Air Pollution Control Equipment and Solid Waste Processing system, and Permit for the Construction and Operation of a Waste Processing Facility, No. SW-305 (collectively referred to as the "MPCA Permit"), and all MPCA Regulations applicable to the liac~li~yProj_ect, are specifically incorporated into this License and Licensee shall comply with all such terms and conditions including, without limitation, the "Special Conditions," Special Conditions Relating to RDF and Solid Waste," and "General Conditions" of the MPCA Permit. Any violation of the MPCA Permit or any MPCA Regulation will constitute a violation of the Page 2 terms and conditions of this License. Licensee shall notify the City immediately of any violation of the terms, conditions, or requirements of the MPCA Permit or MPCA Regulations, and shall advise the City as to what steps will betaken to correct said violations. ii. Amendments to MPCA Permits or Regulations. No amendment or change to any term, condition, or requirement of the MPCA Permits or Regulations shall be incorporated into this License or become effective with respect to this License until the City has received notice of the proposed amendment wand has specifically consented thereto by amending this License to incorporate the MPCA Permit Amendment, except those amendments which impose stricter performance, performance standards, testing or reporting requirements on the liae~yProject. iii. Reporting Requirements. Copies of all plans, studies, reports, and other materials required to be submitted to the MPCA by Licensee shall be filed with the City, unless the City Environmental Administrator or his/her designated representative specifically notifies Licensee in writing that copies of specific documents will not be necessary. Materials which must be provided unless declined include, without limitation, all plans and specifications, Operations Reports; residue management plans; annual residue reports; contingency disposal plans; waste composition studies; performance testing and monitoring results; testing and monitoring plans; the ash management program, including the ash disposal plan and ash evaluation reports; and all emission inventory reports. (04) Solid Waste Facilities Ordinance. The ~yProLct and Licensee must at all times fully comply with the requirements of chapter 58, Article III of the city Code, including specifically Sections 58-193, 58-194, 58-213 and 58-214. Any violation of the City Code will constitute a violation of the terms and conditions of this License. Licensee shall notify the City immediately of any such violation and shall advise the City as to what steps will be taken to correct said violations. (OS) City Zoning Ordinance and Conditional Permit. The EaEil~t~+Pro~ect and Licensee must at all times comply with the terms and conditions of the Permit issued for the ~i~Proiect and with the City's Land Development Regulations Ordinance, including the performance standards set forth in Division 5, Subdivision V thereof. Any violation of the Permit or the Zoning Ordinance will constitute a violation of the terms and conditions of this License. Licensee shall notify the City immediately of any such violation and shall advise the City as to what steps will be taken to correct said violations. ~~.^z~roem2nt. 'ri.o ~o..,,,~ „~a'~H~-9~h`it cep ~ o„~ r<<~ nnn n,~..oo.,.o.,r~ a • ~r,o ~ ~~w a.,~ f n~e~;,r~,~,c~on r~~~xd l~t~l=ee~r.~,o r:+~ .,a ~i,,.h~t-pie; Rewe~ ,i r r„ o,a n;, o n; +: _~, ~~aa <tcl~~~,i ~., o~ .,.,, fi,,,~;; ..a „ „i...:;... ,.~-..~., «o-~-r3-~r tix~~4it+.~#-~~°0~~~~reerrler~t ~~..,n i.o ,. r:aa.-oa ~ ~,-i~~{atietr ',r'~^~+~~.,.° °^~ -<~i~litiutr~,~#~~+rl'eri~~iF _ -~{Comment[Al]: ~t<,~hi~ i,~cDec tit ,. - _- (discua,~~~n. Page 3 2.) Existing Licenses. The existing city licenses for the °^~^•--^° D_^^°^^~-"' ~'"^"'`"RPP and the ~'^°~•^• v°^^••°^• ~'°^~'~*••ERS are superceded by this License and shall be terminated as of the effective date of this License. 3.) License Binding. This License and its conditions shall be binding upon Licensee and its successors and assigns. The assignment by Licensee of its interest in the IyProiect shall not relieve it of responsibility and liability under this License without the written consent of the City, which consent shall not be unreasonably withheld. 4.) Term of License. This License will take effect when Licensee through its duly authorized representative has executed this License indicating Licensee's consent to all of the terms and conditions of the License, the Permit for the tae-ili~yPro~ect, and Chapter 58, Article III of the City Code. This License shall expire on December 31, X32014, as provided by Chapter 58, Article III of the City Code. Renewal of this License shall be governed by the procedures and requirements of Sections 58-128, 58-129 and 58-130 of the City Code. 5.) Scope and Conduct of Operations. Operation of the 1~Proiect shall be conducted in conformance with existing statutory and regulatory authority and requirements of the City, Sherburne County (the "County") and the Minnesota Pollution Control Agency (the "MPCA"), and in accordance with the authorizations, conditions and limitations contained in this License and in: (O1) the Conditional Use Permit for the Project issued to Licensee, as approved on = Januarv 17„ 2012, and as subsequently amended or modified (the "Permit"); and (02) the current MPCA Permit for the Project facilities~asilit~y. 6.) Volumes ERS Site: Consistent with the MPCA Permit this License authorizes the establishment and operation of an n °~°••~°° n,.^^°^°~~^ ^~a Energy Recovery 1}~Station which will burn a maximum of one thousand fifty (1,050) tons per day of refuse derived fuel (RDF), using a 12- month rolling average, and X11-burn Tire Derived Fuel (TDF) (as defined by the MPCA), at a rate not to exceed 200 tons per day in any 24-hour period and 100 tons per day on a 30-day rolling average, and other materials approved in the Industrial Colid Waste Mana_eement Plan for the I~facili ~,,.. °a ^.,a n ^a . ._ .i„a;..n ~..,,., ~„a . ^a .;n die--t~s~.~~clii'~..,.,.,,.. „i ; m..,, ~tc~~f„ ,., ti„ ~ ~ ,., .,,.~~ ~„n„+;,,., r-'~zral Ag2,_,,,~ rnRnnn ; u,,,,,,;.,n ^r.,.,;~~„~~~~~~1 ~stll nai, i,,, .,n,.n,°a, .,i„^^ .,.,~} ~.:~n „ r.;i e „a c ,..., ~i,,, rRV~n „.,,~ i ~.. 4r;ii. ~i^+~,~1 a ,°~. +,,,,+;,,m ° . ~w^ RPP Site: Consistent with the MPCA permit this License authorizes the establishment and operation of a Mixed Municipal Solid Waste Processing Plant which will process a maximum of approximately 547 000 tons per year of Mixed Municipal Solid waste into refuse derived fuel RDF. -- Comment[A2]:ltm r ~,~inl I ,t i~~ „~.~i.,n Page 4 7.) Conditions Agxeed To. This License is issued subject to the requirements and conditions set forth below, which are imposed for the purposes of: i. Satisfying the standards set forth in the Elk River City Code of Ordinances, including Chapter 58, Article III and Chapter 30 thereof; ii. Promoting compatibility with and minimizing any potential adverse effects upon properties and neighborhoods adjacent to the F-a~il_it~Project facilities or within the City; iii. Protecting the public health, safety, and general welfare; iv. Avoiding traffic congestion or hazard; and v. Preventing land, water, or air pollution. By accepting and executing this License, Licensee agrees that the conditions imposed herein are necessary to fully mitigate the adverse impacts of the ~yProject, and agrees to comply with each of the conditions set forth herein. 8.) Violation of Conditions. If Licensee or its successors or assigns violates any term or condition imposed by this Permit, by the City License, by the MPCA Permit, or by any other license or permit issued for operation of the EasilityProiect, this Permit may be revoked and/or terminated. Without limiting the foregoing, the violation of any statute, regulation, ordinance, permit or license condition imposed by lawful governmental authority and governing operation of the liaEilityProject is grounds for suspension, revocation or termination of this Permit. The change, Licensee alteration, or amendment of any such statute, regulation, ordinance, permit or license condition by any governmental authority other than the City shall not excuse the Licensee from compliance with statutes, regulations, ordinances, permit or license conditions in effect on the date of the original issuance of this License, unless compliance is waived or excused by the City Council. The City shall not unreasonably refuse to waive or excuse compliance with existing permit or license conditions. 9.) Charges and Fees (O1) Promnt Payment. Licensee shall promptly pay to City all Charges and Fees as provided by the Permit for the Pae~lityProiect. Failure to make prompt payment of all Charges and Fees, including the annual License Fee provided for below, shall be a violation of the terms and conditions of this License and the Permit, and shall be cause for the City to commence suspension, revocation or termination of this License. (02) Annual License Fee. In addition to the Charges and Fees provided for in the Permit, Licensee shall pay an annual License Fee, as required by Chapter 58, Article III of the City Code. 10.) Performance Testing. ERS Site: In addition to all testing and monitoring required by the MPCA Permit, Licensee shall test the emission levels from the ~}~facili of Polychlorinated Dibenzo-p-Dioxins (PCDD) and Polychlorinated Dibenzofurans (PCDF) (Dioxins and Furans) and the following heavy metals every twelve (12) months: arsenic, beryllium, cadmium, chromium, lead, mercury, nickel, and selenium. Page 5 ~11.)~ Acceptable and Prohibited Waste. (O1) Acceptable Waste i. Acceptable Waste ERS Site: ERS Site: ERS may combust natural gas, fuel oil, refuse derived fuel, tired derived fuel yard waste generated onsite and other non hazardous wastes approved through the Industrial Solid Waste Management Plan. ii. Acceptable Waste RPP Site: RPP Site: RPP mayprocess Mixed Municipal Solid waste and other materials approved through the Industrial Solid Waste Management Plan. (021 Prohibited Waste ~ - -- Formatted: Indent: Left: 0" i. ERS Site Prohibited Waste: This license does not authorize the Licensee to combust an wastes determined to be hazardous in accordance with United States Environmental Protection Agency (USEPA) Hazardous Waste Regulations and MPCA Hazardous Waste Rules. In the event any hazardous waste is inadvertently received at ERS, the Licensee shall handle the waste in accordance with USEPA Hazardous Waste Regulations and MPCA Hazardous Waste Rules 1. Burning wood and wood waste, excluding treated or painted wood, will be allowed if---- -Formatted: Indent: Left: os^ approval is granted from the Minnesota Pollution Control Agency (MPCA). Burning of painted wood will not be allowed unless and until approval is received from the MPCA and Licensee has successfully completed such testing as the Citv shall require. ii. RPP Site Prohibited Waste: This license does not authorize the Licensee to process any - -- Formatted: Indent: Left: 0.25", Hanging: wastes determined to be hazardous in accordance with United States Environmental o.zs" Protection Agency (USEPA) Hazardous Waste Regulations and MPCA Hazardous Waste Rules. In the event any hazardous waste is inadvertently received at the RPP the Licensee shall handle the waste in accordance with USEPA Hazardous Waste Regulations and MPCA Hazardous Waste Rules. 1. Unacceptable Waste shall include waste which would likely pose a threat to health or safety or which may cause damage to or materially adversely affect the operation of the Project, including but not limited to: 2. explosives; 3. hospital, pathological and biological waste; 4. commercial, industrial, and community Hazardous Waste, as regulated by federal, state and local law; 5. chemicals and radioactive materials; 6. oil sludges; 7. asbestos in identifiable quantities; 8. cesspool, domestic sewage or other sewa eg sludge; 9. human or animal remains; 10. street sweepings; ash; 11. mining waste; Formatted: Font: Times New Roman Formatted: Normal, No bullets or numbering Formatted: Font: Times New Roman Formatted: Indent: Left: 0", First line: 0" Page 6 12. sludges; 13. non-combustible demolition and construction debris, including loads that are predominantly (i.e., over 50 percent) sheet rock, metal studs/framing, 14. metal siding, garage doors, lights, bricks, block, or concrete; 15. waste in liquid state; 16. hazardous refuse of anv kind, such as cleaning fluids, used crank case oils, 17. cutting oils, paints, acids, caustics, poisons, and drugs; 18. loads of predominantly windshields, mirrors or other autobody glass; 19. loads of predominantly asphalt shingles; 20. Other substances deemed unacceptable by the MPCA or the Citv. RPP ma~pt "Acceptable Household Quantities" of unacceptable waste. "Acceptable ------ Formatted: Indent: Left: os^ Household Quantities" is defined as "waste which is otherwise Unacceptable Waste, but which is contained in garbage refuse and municipal solid waste generated from normal household activities provided however that no amount of Hazardous Waste or anv other waste that is regulated or restricted bylaw shall be accepted. RPP may accent "Acceptable Non-Household Waste". "Acceptable Non-Householder-- - Formatted: Indent: Left: 0.5" Waste" is defined as "waste which is otherwise Unacceptable Waste, but which is contained in garbage refuse and municipal solid waste generated from commercial, industrial or community activities, where the quantity of such Unacceptable Waste contained in anv load delivered to the Project constitutes an insigxlificant portion of such load provided however that no amount of Hazardous Waste or any other waste that is regulated or restricted by law shall be "Acceptable Non-Household Quantities". (03) RPP Waste Inspection Requirements i Licensee shall develop a plan for identif~g Prohibited wastes at the Resource Processing Plant and the generators of such waste. This plan shall include, at a minimum, the following elements: ii Licensee shall thoroughly insect a minimum of twenty (201 MSW loads per month ~averagel selected on a random basis. This inspection shall include a visual inspection of the content of each load. iii. Licensee shall submit to the City a quarterly report containing, at the minimum, the following information of each load inspected: 1. The hauler and truck number of the load; 2. Anv Prohibited waste found in the load. 3 Licensee's efforts to identif5± the generator of any Prohibited waste found in the load. 4 The identity if known by Licensee of the generator of anv Prohibited waste found in the load; 5 The actions which Licensee is taking against the generator and hauler of an Prohibited waste found in the load; 6. Licensee's record of disposal of anv Prohibited waste found in the load. Page 7 iv Licensee shall advise the Citv Environmental Administrator, if requested, when these loads are being inspected and the City shall have the right to have its personnel on-site to observe the inspection process. v City shall have the right to thoroughly inspect the Resource Processing Plant at any time for cleanliness and compliance with the other terms of this License.' vi To further ensure compliance with restrictions in this License, and in Chapter 58, Article III of the City Code of Ordinances, on the handling and Rrocessing of hazardous and dangerous wastes and to protect the public health safety and general welfare of the citizens of Elk River the Citv shall have the right, upon thirty (301 davs notice to Licensee, to have an inspector at the Resource Processing Plant twenty-four (24) hours a dav. These inspectors shall have the right of access to all areas of the Resource Processin P~ lant, twenty-four (24) hours a dav for the purposes of inspection to ensure compliance with all of the terms and conditions of this License, the Permit for the facilityand Chapter 58, Article III of the Citv Code. The on-site Citv inspector shall have the right at anv time to take one or more of the following actions: vii. Order a load of MSW inspected, pursuant to the procedures set forth above; viii. Order the Resource Processing Plant shut down if necessary to bring it into compliance with anv other term or condition of this License, the Permit for the Project, or Chapter 58, Article III of the Ci Code. Comment (A3]: R'ha i , i ° of notifications i, the City really lool:in ; SaYr We could he E calling daily to n. ~~ i iA prni that we have a lim l,~r;~, Aud loot ~airp -= dxs the cleanline-< iny~ction ,ors, ~I'1 ~,~ ~.ln has already state-I LImL LheV Cau ::mnr t+nd in-~~°M nL any time, and with notice.,~~.,nu ~ai~in~~datean ~ inspection during xu ou i ~ .. I Lrli~~~e #his languageboberepetitn~~on,3~~n~~,_.r~,=an Page 8 «,,. l.r :tnl ntL. rlr rl «.] 1.;..1., rl nt° rl. °.~.:rnln n«.] ..n.7;..n rt;..° ...nt°.«nln. r;l n1.,.7..°n. ~LrJIAQp.GS lnnl.°nt..n ;.1 r«t; F. nt.l° r «t; t: vn• 1... n 1 ,. nt«°°t r nl.. GT[R'II'I~1Y_S~7ISSS1"1.5Z[G2QTV-QCTSCIGJi~~O'Ij~I.[j• «Q ~~Q.~j~• 1 .1 F r,l r.«;«n«tl., ...:«,1rL.; rl,lr rtL.°« n.,t,.l~,.,l.. .'lnnn. l..n.ln rF«,-°,1 r,« «n«tl n l.nlt nl.:«..1°n.. _ _ __ _ ~ _ _...-- Comment [d4]: '1 F i= -~ i am ~~ , ~ 3dod i n - ~9c7~ic~ ifn~ nsil ilc of i~yi~r,~f i~~n~:.i[ If]"I'. SLirh of thi, I:wgnsgcru~illzod i¢our wastr ~. h:niL~r rniii nirta fnr allo~.e~l and prOhihii;-~{ Page 9 'Ar «t~i.l° Tl„ IIr °h.,1.7 Z~L,or° ~s. nhl° N., C7.. nl.;a 1 RTn-t° -f ,h ,.1. ..cla 7 I I 1 ~x 7" 1. 1 1, ..+n °a t.n .,.~, _° n«a », nl . „}i~ItNCl~etecl F 1 z 1 1 .t- ~. .t:r. r • t, n .r, r.t . ,. ,.~ «...e...., ism r,rcxx~ t,.~,t~ ,.e ,.,,.>, i....e....,.ex c- ~ r .+ r • a n .:c, a,o r;r., „~ ..n ~lo~~ir ti~~te--tr~a}er r~ai~:T-a;nb oi~-iti~°~°'~. ~~, n. ,. c,.,.;a;+.,ot.,.,« ~;,~..1,.,it >,.,. ~~he ri~~~tt--Ea--t~~+~r«35. .. _ ~ . --- -_ -- ~ Comment [AS]: What ~ .~ ~ .,i non ~~ ~iu~~< r ~L~ ~.'.i~ ~ n,;illc L,d:m~ fn r" 1~~,~ rou Id h~~ r.:Jline ~{Wile w n~ailc ~.~+u Ih;il r.:r leiv~~ :~ lin~- d~~~xn. :lnd ~~:liol pu r~~~_r ,lies the on)nu~s- iii=~n~t.~~~n <,;n,~ 1'h~~ t'ttc hias aLn•,~~1~ -lnicJ that lh~~.a r±n r;uno anJ wym~4 oL ^nc Liwr. and a iili n„i i~.~~ ~, ~~ ~..~n urc~nn nr.,J ai ~~ au urpr~~9 ism ~iannu. ~.n ,~~u to ~,c. L,rr~r,.. Ilii~ l ,m uua,~ iii Ix, n~~~~~i ii r.~ and unn,-n >-an Page 10 . - -, , 12.) RDF and Reject Disposal. All wastes received shall be disposed of in strict compliance with the requirements of Chapter 58, Article III of the City Code and Chapter 7035 of Minnesota Rules. 13.) RDF Truck Haul Routes. To minimize the impact of the F~Project on other land uses and activities in the area, incoming and outgoing traffic from the Iiae~li~y-Project facilities shall be controlled by the Licensee in such a manner as to provide orderly and safe ingress and egress and - so as not to impede or interfere with general traffic. 14.) Processing and Storage Areas to be Fully Enclosed. (O1) P~7~RPP Site. All MSW and RDF receiving, processing, and storage areas at the ~- RPP Site shall be fully enclosed except that bulky rejects (e.g., tanks, white goods, tires etc) may be stored outside the building in covered shelters and hot loads maybe temporarily stored in the hot load area. Adequate facilities shall be provided to insure that under no circumstances will there be any exterior storage of MSW or RDF, except in enclosed trailers or trucks. Licensee shall create a 20-foot open space (fire break) between the conveyor on the tipping floor of the Resource Processing Easili~Plant to the garbage on the tipping floor. All RDF haul trucks leaving the Resource Processing Ft3~Plant shall be securely covered so that no RDF or other matter may escape. (02) €4~ERS Site. All RDF receiving, handling, and storage areas at the HERS Site, shall be fully enclosed and sprinkled as needed to minimize dust and/or odor, including the pit in the receiving building, the hood over the conveyor in the receiving building, and the entire RDF conveyor from the receiving building to the burners. Adequate ash storage facilities shall be provided to insure that under no circumstances will ash be stored in anything but fully enclosed structures. Ventilation and filters shall be provided for this building sufficient so that ash particles are not being exhausted outside the building. All ash and other haul trucks leaving the Energy Recovery Station shall be securely covered so that no ash, residue, or other particulate matter may escape. 15.) Hours. The Project, including the transport of RDF, may operate twenty-four (24) hours a day. The City reserves the right to restrict the hours of operation of the tae-ik~}~Resource Processin Pg lant to normal Business hours if noise emanating from the lit facility to surrounding residential properties is unacceptable or if necessary to protect the public health, safety or general welfare. riurrc-rcaccovsaxTcv7nviceE~-txxe~ccvxx6 13ea1t13, sa€et~e~~er~eral wel aye. 16.) Drop Off Area. RPP Site: Licensee shall provide an area at the Resource Processing Plant for disposal of solid waste by individual citizens. Licensee shall also advertise on at Page 11 least a ""biannual basis the availability of this public drop off facility and the fee charged for it, and shall cooperate with the City in recycling efforts. 17.) Wash Water and Storm Water Run Off. All truck and facility wash water at the Resource Processing Emil-it~Plant shall be diverted and captured in a retention tank so it does not enter the groundwater system. Captured wash down water shall be disposed of as required by the MPCA, ',and shall not be disposed of in the City's Waste Water Treatruent Plant unless approved b City. Testing of storm water run-off captured in the on-site retention detention pond shall be conducted in accordance with State requirements. Licensee shall provide City evidence of storm water NPDES permit coverage for industrial activities and a copy of the Licensee's Storm Water Pollution Prevention Plan. 18.) Ash Disposal. ERS Site: All ash shall be permanently transported out of the City. Ash disposal shall strictly comply with the requirements of Chapter 58, Article III of the City Code and the requirements of Chapter 7035 of Minnesota Rules. Ash deposited in the State of Minnesota shall only be permanently deposited in solid waste management facilities which have been specifically designed for ash disposal; which have been approved by the Minnesota Pollution Control Agency for ash disposal; and which are equipped with a line and leachate collection system adequate to collect all leachate which may be generated at the Site. _. _-- Comment [A61:. This could ire removed. If deemed necessary to retain in this docurneni we could r~ .~ ~,ri i'r. ~1 disposal with the r'ih -onlyi~hro~i_l~ a~,i~r~;~~r~ateapprovals. 19.) Security and Litter Control. RPP Site: The Resource Processing l~-Plant shall be enclosed by a minimum six foot and no more that eight foot high chain link fence. Licensee shall engage in a regular and routine litter maintenance and removal program as requiredby the ~C~• _-- 20.) Si~na~e. Licensee shall erect and maintain at each entrance to each component of the laeili~yProject a permanent sign stating the name of the Project fEacility, the MPCA Permit number and stating the hours and days the tae-iliafacility is open for public use. 21.) On-Site Inspection. (O1) Resource Dr°° ~'- ~'^°~'~~•~D°°°-~°-^~ Processing P~eiee~lant. The City shall have the right of access to all areas of the Resource Processing Plant ^~a '''° nun e:,° for the purpose of inspection to ensure compliance with all of the terms and conditions of this License, the Permit for the I~Project, and Chapter 58, Article III of the City Code. The City need not give prior notice to the Licensee for personnel to access the Resource Processing L~}~Plant ^. &~during waste receiving hours, Monday through Saturday, or if an explosion or other emergency occurs. At any other time, at least twelve (12) hours prior notice to the Licensee is required. Such access shall be in accordance with reasonable safety standards and reasonable proprietary information requirements. Inspectors shall have the right, at any time, to take one or more of the following actions: i. Order a load of MSW inspected, pursuant to the procedures set forth in this License; ii. Order the Resource Processing ~}~Plant shut down if necessary to bring it into compliance with any other term or condition of this License, the Permit for the Project, or Chapter 58, Article III of the City Code. Comment[A7]:1 ilv~n~~hi theset«esof ua-rns ~crrr, not s~~in<_~ m n=ide in the CUY ;inkwore'. Page 12 (02) Ener~v Recovery wit-vStation. The City shall have the right of access to the Energy Recovery ~}~Station and the €~ERS Site. The City need not give prior notice to the Licensee for designated personnel to access the Energy Recovery Eby-Station or €I~ERS Site during the hours of 6:00 a.m. to 6:00 p.m., Monday through Saturday, or if any emergency occurs. At any other time, at least twelve (12) hours prior notice to the Licensee is required. Access shall be administered in accordance with Licensee's safety standards, National Homeland Security rules and regulations and proprietary information requirements, and shall not interfere with the Licensee's ability to perform its contractual obligations. 22.) Insurance and Bonding. Licensee shall at all times comply with the insurance and bonding requirements set forth in Section 58-127 of the City Code. 23.) Indemnification of Citv. The Licensee shall defend and hold the City, its officers, and employees harmless from all claims made by third parties for damages sustained or costs incurred resulting from lyProject approval, construction, and operation. The Licensee shall indemnify the City, its officers, and employees for all costs, damages, or expenses which the City may pay or incur in consequence of such claims, including attorneys' fees. The aforesaid defense, indemnity, and hold harmless provisions shall not be in effect from and after the date that the occurrence giving rise to the claim in questions is determined by a court with jurisdiction over the matter to have been caused solely by the willful conduct or negligence of the City, its officers or employees. Until the date of such judicial determination, the defense hold harmless and indemnification provisions shall be in full force and effect and in the event of such judicial determination, the City shall reimburse the Licensee all of its costs and expenses incurred on behalf of the City in connection with the foregoing. Nothing herein shall be construed to prohibit the City from selecting its own counsel to act as co-counsel in the defense of such matters. The Licensee agrees to indemnify, defend, and hold harmless the City of Ells River, its Council members, officers, and employees from any claims or damages arising out of any acts or omissions on the part of the Licensee and any of the participating counties or their commissioners, agents, or employees in the performance of the counties' contractual obligations under the agreements with the Licensee, from any strict liability imposed upon the City pursuant to Minn. Stat. 115B.01, et sea• for the release of hazardous waste at the Project facilities and from any remedial actions, clean-ups, removal, closure, post-closure activities, or monitoring requirements or costs associated therewith. This indemnity, hold harmless, and defense obligation on the part of the Licensee shall include, but not be limited to, any and all actions, claims, requirements, or claims for damages arising out of the granting of this Permit for the liasi~it3~Proiect or any variance associated with the height of the ^°°a ~~°^°°°~~~- r•^^~'~*~~ facili and the inability of the City to properly respond to fire calls at the D~^^°°°~~rt ~'°^~'~'~~ facili due to the limitations of its equipment or personnel, but shall not include willful and unjustified failure to respond to fire calls at the D~°^°°^~~'- ~'°^~'~'~~facili .The indemnities provided in this paragraph are subject to the limits of liability set forth in Minnesota Statutes Section 466.06, as amended from time to time, if effective as to the particular indemnified action or claim. Nothing in this Permit is intended to waive the immunities to which the City is entitled by law. Page 13 24.) Waiver and Claims. The Licensee waives and releases the City from all claims, direct or indirect, arising or claimed to have arisen out of all actions or inactions relating to the City's consideration or issuance of the License. 25.) Right to Require Performance. The failure of the City, at any time, to require performance by Licensee of any provisions hereof, or to promptly take legal action to enforce this License, shall in no way be a waiver or release or affect the right of the City thereafter to enforce the same. Nor shall waiver by the City of any breach of any of the provisions hereof be taken or held to be a waiver of any succeeding breach of such provision or as a waiver of any provision itself. 26.) Severability. If any portion, section, subsection, sentence, clause, paragraph, or phrase of this License, the Permit, the MPCA Permit or the Solid Waste Facilities Ordinance is for any reason held invalid, such decision shall not affect the validity of the remaining portions of this License, the Permit, the MPCA Permit or the Solid Waste Facilities Ordinance. 27.) Amendments or Waivers in Writing. To be binding, amendments or waivers to any term of this License shall be in writing, signed by the Licensee, and approved by written resolution of the City Council. 28.) Conflicts. In any cases in which Licensee believes there is an irreconcilable conflict between the requirements of this License and laws, rules, regulations, or order of any other governmental authority, Licensee shall promptly notify the City of such irreconcilable conflict and request an amendment of this License. Until such time as the City acts upon a request for an amendment to this License, which it may grant or deny in its sole discretion, the terms of this License shall govern all operations at the liaeili~}~Project facilities and shall prevail over the provisions of any document submitted by the Licensee any requirements of state for federal law. The City shall not unreasonably refuse to amend this License or waive compliance with this License in order to prevent violation of the law. 29.) Modification, Suspension, or Revocation of License. This License is subject to suspension and/or revocation pursuant to the procedures and standards set forth in Chapter 58, Article III of the City Code. The violation of any of the terms of this License is ground for suspension or revocation hereof. Furthermore, the City specifically reserves the right, and Licensee agrees, that this License may be amended, suspended, or revoked by the City as reasonably required to protect the public health, safety, welfare, and the environment. Specifically, but without limiting the foregoing, the City may amend, suspend, or revoke this License, whenever any reliable information is secured from a recognized source which demonstrates that the continued operation of the 11asi~i~yProiect places the public health, safety, welfare, or the environment in jeopardy. Such information includes, but is not limited to a determination that emissions generated by the ~yProject threaten the public health, safety, or general welfare (other than as indicated in the License application). Without limiting the forgoing, the City reserves the right to amend this License to impose upon Licensee the obligation to comply with any state or federal law or regulation relating to the operation of the ~aeilityProject, whether or not said laws or regulations apply by their terms to preexisting facility. Suspension, revocation or amendment of this License may be ordered only Page 14 after a public hearing on such suspension, revocation or amendment, preceded by thirty (30) days' written notice to Licensee. Notice of hearing shall include a statement of the proposed action by the City and the reasons therefore. Any violation of terms and conditions of this License shall also be considered a violation of Chapter 58, Article III of the City Code and, in addition to suspension or revocation of this License as provided in Section 58-130 of the City Code, the City may proceed to seek enforcement of this License and the Solid Waste Facilities Ordinance under Section 58-103 thereof. 30.) Notices. Required notices to the Licensee shall be in writing, and shall be either hand delivered to the Licensee, its employees or agents, or mailed to the Licensee by certified or registered mail at the following addresses: Great River Energy ATTN: Manager, Elk River Resource Recovery Project 17845 US Hwy 10 Elk River MN 55330-0800 Great River Energy ATTN: Manager, Environmental Services 12300 Elm Creek Boulevard Maple Grove, MN 55369-4718 Notice to the City shall be in writing, and shall be either hand delivered to the Environmental Administrator, or mailed to the City by certified or registered mail in care of the Environmental Administrator at the following address: City of Elk River 13065 Orono Parkway Elk River, MN 55330 Attention: Environmental Administrator Page 15 By: John AJ. Dietz Its: Mayor GREAT RIVER ENERGY By: THE CITY OF ELK RIVER: ATTEST: By: Tina Allard Its: City Clerk Its: Page 16 STATE OF MINNESOTA ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by John AJ. Dietz, the Mayor of the City of Elk River, on behalf of the City of Elk River. Notary Public STATE OF MINNESOTA ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by Tina Allard, the City Clerk of the City of Elk River, on behalf of the City of Elk River. Notary Public STATE OF MINNESOTA ) ss. COUNTY OF SHERBURNE ) The foregoing instrument was acknowledged before me this day of 2012, by ,the Great River Energy, a Minnesota corporation, on behalf of the corporation. of Notary Public THIS INSTRUMENT WAS DRAFTED BY: Gray, Plant, Mooty, Mooty & Bennett 500 IDS Center 80 South 8~' Street Minneapolis, Minnesota 55402 Page 17 EXHIBIT A-1 Page 18 EXHIBIT A-2 GP:3078858 v4 Page 19