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10.2 SR 07-01-2013 City of Elk REQUEST FOR ACTION River TO ITEM NUMBER Mayor and City Council 10.2 AGENDA SECTION MEETING DATE PREPARED BY Work Session July 1, 2013 Rebecca Haug, Environmental Administrator ITEM DESCRIPTION REVIEWED By Request for Proposal for Municipal Separate Storm Sewer Suzanne Fischer,Director, COD Permit REVIEWED BY Cal Portner, City Administrator ACTION REQUESTED Authorize staff to proceed with a Request for Proposal to hire a consultant to complete the Municipal Separate Storm Sewer (MS4) permit application for the City of Elk River. BACKGROUND/DISCUSSION In November of 2011, the City entered into a contract with Stantec to prepare a Feasibility Study to analyze the current and future funding needs of the City's Stormwater Program. The City Council reviewed the Study on July 2, 2012. Since then,the Minnesota Pollution Control Agency (MPCA) reissued the National Pollutant Discharge Elimination System (NPDES) General Permit for discharges of stormwater associated with small Municipal Separate Storm Sewer Systems (MS4s) for the effective date of August 1, 2013. The City of Elk River is required to submit a permit application by December 1, 2013. The revised permit includes several new mandated requirements which staff will review with the Council in order for the city to effectively address them and meet permit requirements, a qualified consultant is needed to prepare a Stormwater Pollution Prevention Plan (SWPPP). The SWPPP will also identify the resources needed to implement and manage the city's Stormwater Program over a five-year period (2014 —2019). Once completed we will revisit the stormwater fee discussed last year and propose a plan for implementation. FINANCIAL IMPACT Funding will come from the Surface Water Management Fund.We anticipated this as a 2014 budget item, but due to the timing and importance of this plan, staff would like to complete it in 2013. Ongoing funding for the Surface Water Management Fund will be reviewed later this year. ATTACHMENTS ■ July 2, 2012 City Council Minutes P O W E R E D BY N:\Public Bodies\Agenda Packets\7-01-2013\Final\x10.3 sr Stormwater Program£docx aAURE City Council Minutes Tut - lr?j Page 3 • Councilrnember Gumphrex- asked if the neighboring residents had their questions ansv,-ered. '1r. Barnhart stated their questions had been alsxx-ered as they were mainly- concerned -x-ith what would be built on the vacant land portion of the propert, . MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER ZERWAS TO APPROVE REQUEST BY ROBERT STUTTGEN FOR A LOT SPLIT, CASE NO. LS 12 -03, WITH THE FOLLOWING CONDITION: 1. THE SUBDIVISION DRAWINGS SHALL BE SUBMITTED TO THE CITY IN AN ELECTRONIC FORMAT (.DWG FILE) AS REQUIRED BY CITY ORDINANCE AND LAND USE APPLICATION. MOTION CARRIED 4 -0. 8.1 Visioning Update �Ir. Barnhart presented the staff report. Councilmember Gumphrey asked if the visioning tasks are staring current and completed in a timely matter. Mr. Barnhart stated he felt the visioning is staying on task but explained some of the goals are ongoing, require a culture shift, or have a direct impact to the budget. • Councilmember Motin asked if perhaps some of the goals should be considered as subtasks to bigger goals. Mr. Barnhart agreed that at some point, the Council and staff could identify subtasks. Mr. Barnhart stated that the Council will discuss 2012/2014 goals and tasks at the August worksession. 8.2 Storm Water Utility Fee Mr. Femrite introduced Stan Hanson, P.E. a consultant from Stantec, who presented the feasibility report via a PowerPoint presentation to the Council. The study outlined the city's existing Storm Water Management program, and outlined the current and future funding of the city's storm water program. Mr. Hanson explained that storm water regulations have significantly increased in the past 10 years due to increased permitting regulations from the United States Environmental Protection Agency as well as the Minnesota Pollution Control Agency WC-,k). Mr. Hanson recommended to the city that in order to cover the increase in future storm water cleanup costs and upkeep, that it create a Storm Water Utility Fee. This fee would be charged to both residents and businesses. Mr. Hanson suggested charging this fee based upon the amount of runoff generated from a property, thus the area of impervious surface coincides to the volume of storm water generated from the property. The larger the property's buildings and parking lots, the greater the volume of storm water, resulting in increased cost to provide water quality treatment. By charging a monthly fee, there would be • dedicated fund to assist in maintenance of these ponds. He then showed figures of other Minnesota cities that charge a fee and what their fees were. City Council Minutes Page 4 luIV -) -)nl ----------------------------- Currently, the city funds the Storm Water L-tilin- with an annual S50,000 tax levv. However, if a fee is not approved by the Council, the estirmated tax levy contribution needed to fund the utility in 2012 ,�t-ill need to be increased to 5635,514 in order to create enough funds to continue a storm water system that complies with regulations. Councilmember Zer\vas was not in favor of charging a storm water utility- fee. He felt the 550,000 budgeted was sufficient for future pond maintenance. He noted his concerns about adding another fee to a commercial unit, sating it ,vasn't realistic to burden commercials businesses. He stated he Rill not support this fee. Mayor Dietz asked when the cities on the survev started charging fees. Mr. Hanson stated the bigger cities, like Minneapolis and St. Paul, had implemented a storm water utility- fee in the 1980's but other cities have charged a fee more recently with the last 5 -10 rears ago. Councilmember Motin stated he realized the need for obtaining additional funding due to increased permitting requirements, but questioned having to raise the budget so much in order to cover these improvements, and wondered if there were a different wav of computing the fee each property owner would be required to par. Councilmember Zerwas asked about inspection of the ponds and are there ponds that currently need to be dredged. Mr. Femrite said the inspections of the ponds were a visual inspection only; the contents of the ponds would have to be tested to determine the quality of the contents. He stated based on a visual inspection, approximately 20 -25% of the city's ponds need immediate action to correct erosion or excavate sediment. • Councilmember Zerwas felt uncomfortable with not knowing the condition of the ponds and guessing at a budget amount based on assumptions without first inspecting and testing a pond. Mayor Dietz asked who would be charged a fee. Mr. Femrite stated that based upon preliminary calculations, every property owner would be required to pay the monthly fee with the exception of those commercial properties with their own industrial storm water permit. Councilmember Zerwas asked what the fee amount would be for the school district. Mr. Femrite stated the school district's cost would be $30,000 a year Councihmember Gumphrey asked what the process would be to start improving the 20 - 25% of ponds needing immediate improvements. Mr. Femrite stated the city wouldn't be able to do any soil testing in -house and would have to hire a consultant. He stated the testing will show what the contaminants are in the soil. Mr. Femrite also commented on the fact that this preliminary report is before knowing if the permitting regulations are to be increased. He stated that even if the city doesn't receive further regulations, the surface water budget will be exhausted by 2014. He further stated • that our current expenditures are much higher than the amount being put into the fund. Citv Council Minutes Page 3 iul, 2 ''Ol n Mayor Dietz agreed with Council nember Zenvas' comments and felt that this should be something to be discussed during the upcoming budget talks. Councilmember Gumphrey asked how long after the mandates are in place that the ponds would need to be dredged. Mr. Femrite stated the permit says that once you've inspected a pond and find it needs improvements, you file a plan of action that would include a certain period of time to do the needed' mprovements. This plan would need to be reviewed and approved by the - \'IPCA before work would be completed. Councilmember Gumphrey stated he would be comfortable waiting until the '_\IPCA finalizes their permitting requirements and that consideration should also be taken during next year's budget discussions in order to determine -,x-hat the city should do. He felt the city should also look at different ways of charging businesses with their fee. MOVED BY COUNCILMEMBER GUMPHREY AND SECONDED BY COUNCILMEMBER MOTIN TO APPROVE THE FINDINGS OF THE STORM WATER FEASIBILITY STUDY AS OUTLINED IN THE STAFF REPORT. MOTION PASSED 3 -1. COUNCILMEMBER ZERWAS OPPOSED. Councilmember Motin asked what staff's next steps would require. Mr. Femrite stated if authorized by Council, staff would draft an ordinance and have it ready for Council to review. A public hearing would be scheduled before the ordinance would • then be adopted by the Council. Councilmember _Motin asked when the fees would begin to be charged. Mr. Hanson stated the start date of charging a fee could begin at any time. Mayor Dietz expressed concerns with starting the fee on January 1 of 2013. He felt if a fee was to be put in place, it should wait until after budget discussions took place. MOVED BY COUNCILMEMBER MOTIN AND SECONDED BY COUNCILMEMBER ZERWAS TO CONTINUE THE MATTER OF THE STORM WATER UTILITY FEE DISCUSSION FOR THREE MONTHS AND UNTIL AFTER REGULATIONS FROM THE MPCA BECOME FINAL. MOTION PASSED 4 -0. 8.3 Discuss Work Session Agendas Mr. Portner discussed the July and August work session items. The Utility Incentive Connection Plan discussion was moved to the August work session. Also added to August was a discussion of Council goals. Announcements There were no announcements. u W- J7 Elk River t � y City Of t r � ay �•n G v r Elk River _ .t ly 11 2013 Work Sessi -zar ne Fischer, Director, Community Operations & Development ebecca Haug, Environmental Administrator - r P U J IIU J1 ;i� f,. '•1 .:s:' �/ Y�JIr7 ...-,,,.,r.. � YY! i"I'J'iGi+`�.A. Ek Riven o Rain/melting snow flowing over impervious surfaces that do not absorb water: • i.e. building rooftops, driveways, streets, parking lots, construction & industrial sites Stormwater flows into : • water body (streams, wetlands, rivers or lakes) • treatment device (rain gardens, swales, bio-retention systems) • storm sewer system (inlets, drains) • r r P U J IIU J1 ;i� f,. '•1 .:s:' .J Stormwater Discharges .,. `�lr E ® _ Lk i to B�ird R ver Storm sewer systems are separate from sanitary sewer systems R"ic6n= , S p P rap+r Correct Connection The runoff does not flow to a treatment plant ell r �•1 �/ �..'"�w'Y�J�I/7�"'r...,ir �...-,,,,,r.. � YY,� i"I'J'iG�'R`�s11`.An Ek - River, Pet waste #1 Lawn pesticides Garbage Leaves & grass clippings , • Oil, grease & gasoline Bacteria } • Construction sediment & Nutrients P & N t urban runoff Other chemicals r � ay • Metal flakes from rusting Paints, cleaning products vehicles & brakes • Heavy metals from roof • Road salt shingles • Agricultural herbicides r r Irl J = lr Elk Riven _ ,E # 't 1' J J 11 I U J I Elk _ River, o 1972 — Federal Clean Water Acts 1987 - Clean Water Act was amended ( Phase 1 ) } 1990's - Clean Water Act amended a ain ( Phase II g ) t r � ay 2003 - Elk River was designated as MS4 & required to obtain an NPDES permit from MPCA ell • r ;i f,. '•1 .:s:' �/ �w'.'Ylr7 ,,..,,,.,r.. � YY! i"I'J'iGi+`�.A. lr ,Whatfs ahead OL Ek River May 2013 — MPCA Board a pp roved new permit � Aug. 1, 2013 — New permit goes into effect .. } Dec. 1, 2013 — City of Elk River permit due t — Stormwater Pollution Prevention Plan 'r I ay • Timelines established for six Minimum Control Measures — Public Education, Public Participation, Good Housekeeping, Illicit Discharge Detection and Elimination, Construction Site Runoff Controls, and Post Construction Runoff Controls • Enforcement procedures established • Maintenance for the City's stormwater system ell r r ;i� f,. '•1 .:s:' �/ �w'.'Y��lr7 �,,..,,,.,r.. � YY! i"I'J'iGi+�`��.A. Elk Riven _ s Municipal Annual Program Sq Miles Pop. Andover $ 360,000 34.83 30,811 Champlin $ 325,000 8.80 23,418 } Coon Rapids $ 11400,000 23.34 61,904 ,. t North Branch $ 270,000 36.00 10,131 ;r Plymouth $ 31000,000 35.30 71,561 _ Ramsey $ 620,000 29.70 23,835 . Rogers $ 448,000 5.00 81888 Average 1 $ 6,423,000 r r P� u u IIU 1 ;i /•. '•1 .:s:' �/ �:::Y�JIr7 ,,..,,,.,r.. � YY! i"I'J'iGi+`�.A. Efk River • Council approval for staff to proceed with an RFP to hire a consultant to prepare and submit the permit application f • Funding available from the surface water management fund Staff anticipated hiring a consultant for the SWPPP in 2014 but due to the new application date of December 2013, staff requests Council consideration to complete it this year • r P U J IIU J1 ;i� f,. '•1 .:s:' �/ �w'.'Y� lr7 ,,..,,,.,r.. � YY! i"I'J'iGi+`�.A. W- J7 Elk River t � y City Of t r � ay �•n G v r