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HomeMy WebLinkAboutFull Bio Solids1 Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Debbie Arkell, Director of Public Services Tom Adams, Water Reclamation Facility Superintendent SUBJECT: Revised Interlocal Agreement for Biosolids and Green Waste Disposal and Management for Beneficial Reuse with Gallatin Solid Waste Management District Board and Gallatin County Commission MEETING DATE: September 12, 2011 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize City Manager to Sign Revised Interlocal Agreement for Biosolids and Green Waste Disposal and Management for Beneficial Reuse with Gallatin Solid Waste Management District Board and Gallatin County Commission for a five year period BACKGROUND: On August 8, 2011, the Commission authorized the City Manager to sign an interlocal agreement for the disposal of biosolids that will soon be generated by the new Water Reclamation Facility. See attached memo from the August 8, 2011 meeting. The disposal charge of 25 percent of the municipal solid waste fee in effect at the time of disposal was established in the Agreement per a motion by the Gallatin Solid Waste District Management Board (hereafter referred to as “District Board”) at their July 27, 2011 meeting. After the City Manager signed the Agreement but before the Agreement was signed by the District Board Chairman, the District Staff discovered that their billing software system will only allow charges in whole dollar amounts. Basing the disposal fee on 25 percent of the current fee would have resulted in a $6.75 per ton fee. At their August 24, 2011 meeting, the District Board voted to change the tipping fee to “25 percent of the regular municipal solid waste fee in effect at the time of disposal, rounded to the nearest whole dollar”. As the City’s representative member, I abstained from this vote. At the current $27/ton tipping fee, our tipping fee per ton of dewatered cake will be $7.00. A second change to the previously approved Agreement is to add the Gallatin County Commission as a party to the Agreement, per a request from the County Attorney’s Office. 2 UNRESOLVED ISSUES: None identified ALTERNATIVES: As suggested by the Commission FISCAL EFFECTS: Water Reclamation Facility Superintendent Tom Adams has estimated 2,920 tons of dewatered cake will be disposed of annually, but until operations are underway sometime this fall, this is only an estimate. The total estimated annual cost of this option including labor, fuel, depreciation and repairs is $106/dry ton plus the Logan Landfill tipping fee. If none of the dewatered cake was disposed of in the composting area, the current disposal fee would be $27/ton for the 2,920 ton, or $78,840 per year. If all of the dewatered cake is disposed of in the composting area, the previously approved $6.75/ton fee would have resulted in a disposal fee of $19,710. At the new charge of $7.00/ton, the composting disposal fee would be $20,440, or $730 more than the $6.75 amount. The Facility’s FY12 pending budget includes adequate funds for this method of dewatered cake disposal. The cost of the equipment to make and haul dewatered sludge is already included in the cost of the Water Reclamation Facility construction budget. Attachments: Interlocal Agreement August 8, 2011 Commission Memorandum Report compiled on: August 31, 2011 Biosolids Interlocal Agreement Page 1 INTERLOCAL AGREEMENT FOR BIOSOLIDS AND GREEN WASTE DISPOSAL AND MANAGEMENT FOR BENEFICIAL REUSE BETWEEN THE GALLATIN SOLID WASTE MANAGEMENT DISTRICT BOARD, GALLATIN COUNTY COMMISSION, AND THE CITY OF BOZEMAN This Interlocal Agreement for biosolids and green waste disposal and management for beneficial reuse takes effect on the ______ day of _______________________, 20____, by and between: GALLATIN SOLID WASTE MANAGEMENT DISTRICT (GSWMD) BOARD (Board), P.O. Box 461, Three Forks, MT 59752; GALLATIN COUNTY COMMISSION (County), 311 West Main Street, Bozeman, MT 59715; and THE CITY OF BOZEMAN (City), P. O. Box 1230, Bozeman, MT 59771-1230. CONTENTS 1. Purpose 2. Term of Agreement 3. Material Handling 4. Wood Waste 5. Cost of Disposal 6. Hours of Operation 7. Record Keeping and Payment of Tipping Fees 8. Regulatory Requirements and Permitting 9. Project Safety 10. Services, Materials and Equipment 11. Ownership of Materials 12. Entire Agreement 13. Amendments 14. Severability IT IS UNDERSTOOD AND AGREED as follows: 1. PURPOSE: The City desires to dispose of dewatered biosolids generated at their Water Reclamation Facility at the Logan Landfill. The Board desires to beneficially reuse the dewatered biosolids as a component in creating compost. The purpose of this Interlocal Agreement (Agreement) is to provide disposal services for the dewatered biosolids at the Logan Landfill from the City of Bozeman, and the beneficial reuse of those dewatered biosolids by the Board. Biosolids Interlocal Agreement Page 2 2. TERM OF AGREEMENT: The initial term of this Agreement will begin in the summer of 2011 and will terminate June 30, 2014, at which time the Agreement will be automatically renewed for successive five (5) year terms. However, this Agreement may be terminated sooner by either party by delivery of written notice to the other party with such notice required a minimum of one (1) year prior to the expiration of the current agreement. Such Notice of Termination shall be made either by personal service or by certified mail, return-receipt requested, on the other party at the address listed at the beginning of this Agreement. 3. MATERIAL HANDLING: A. The Board shall be responsible for providing a suitable and legally-established Materials Management Site for the beneficial reuse of the dewatered biosolids. B. City shall be responsible for transporting the dewatered biosolids to the Logan Landfill. When wood waste is available, each load will consist of a mix of wood waste and dewatered biosolids. The dewatered biosolids will be placed on top of the wood waste. These loads will be deposited into an area designated by the Board and will be used in compost production. C. The disposal of dewatered biosolids not mixed with wood waste into the beneficial reuse area will be at the discretion of the Logan Landfill manager. If not disposed of the beneficial reuse area, the material will be deposited into the lined cell of the Logan Landfill. 4. WOOD WASTE IN CONNECTION WITH BIOSOLIDS DISPOSAL: A. The wood waste and/or other green waste disposed of at the GSWMD Bozeman Convenience Site on Story Mill Road will be shredded/chipped by the Board. The entirety of this waste will be left on-site and made available to the City at no cost to use in material handling. City will be responsible for hauling the shredded/chipped wood waste from the Bozeman Convenience Site to the Water Reclamation Facility. This waste will be used as described in Section 3.B of this Agreement. B. Wood waste and/or other green waste collected by the City during their course of duties will be deposited at the Water Reclamation Facility once construction activities at the Facility allow for safe access to the site. City will be responsible for the shredding/chipping of this waste. This waste will be used as described in Section 3.B of this Agreement. Biosolids Interlocal Agreement Page 3 5. COST OF DISPOSAL: A. When the dewatered biosolids are mixed with wood waste, as described in Section 3.B of this Agreement, the tipping fee at the Logan Landfill will be assessed on a per ton basis of the dewatered biosolids only (no fee will be assessed for the wood waste). The tipping fee will be charged at twenty-five percent (25%) of the “regular municipal solid waste fee” in effect at the time of disposal, rounded to the nearest whole dollar. B. If wood waste is not available to mix with the dewatered biosolids, and the dewatered biosolids must be disposed of in the lined cell rather than the beneficial reuse area, the tipping fee at the Logan Landfill will be assessed on a per ton basis and will be charged at the “regular municipal solid waste fee” in effect at the time of disposal. C. If the dewatered biosolids are not mixed with wood waste and the product is disposed of in the beneficial re-use area as described in Section 3.C of this Agreement, the tipping fee at the Logan Landfill will be assessed on a per ton basis and will be charged at twenty-five percent (25%) of the “regular municipal solid waste fee” in effect at the time of disposal, rounded to the nearest whole dollar. 6. HOURS OF OPERATION: The City and/or its contracted transfer hauler(s) will have access to the Logan Landfill during the regular hours operation. 7. RECORD KEEPING AND PAYMENT OF TIPPING FEES: The Board will establish a separate charge account for the tipping fees for dewatered biosolids not mixed with wood waste. The Board will keep a record of the date, time and weight of each such load. The Board will bill the City monthly for the amount of refuse received. The City will pay the Board within forty-five (45) days of receipt of the bill. 8. REGULARTORY REQUIREMENTS AND PERMITTING: The Board shall be responsible for compliance with applicable laws and regulations regarding beneficial reuse of dewatered biosolids including 40 CFR Part §503. The Board shall also be responsible for all necessary licensing and permitting under applicable state or federal statutes or rules, including but not limited to Administrative Rules of Montana 17.50.412. 9. PROJECT SAFETY: The Board is responsible for all items related to job safety at the Logan Landfill. City assumes no role or responsibility for advising or assisting GSWMD and Board with project safety. Biosolids Interlocal Agreement Page 4 10. SERVICES, MATERIALS AND EQUIPMENT: The Board shall provide and assume responsibility for all services, licensing, materials, equipment, labor, machinery, tools, facilities and all other incidentals necessary for the performance, testing, start-up and completion of all work associated with the beneficial reuse of the dewatered biosolids. The City shall provide and assume responsibility for all services, licensing, materials, equipment, labor, machinery, tools, facilities and all other incidentals necessary for the production of dewatered biosolids and for the delivery of dewatered biosolids to the Logan Landfill. 11. OWNERSHIP OF MATERIALS: The Board will become owner of all dewatered biosolids and/or mixed dewatered biosolids upon delivery of those materials to the Logan Landfill, as well as any product produced through the beneficial reuse process. 12. ENTIRE AGREEMENT. This Agreement constitutes the entire agreement between the parties. No alterations, modifications, or additions to this Agreement shall be binding unless reduced to writing and signed by the parties to be charged herewith. No covenant, term or addition to this Agreement shall be deemed waived by either party unless such waiver shall be reduced to writing and signed by the parties. 13. AMENDMENTS: The terms and conditions of this Agreement may not be modified or amended except by an instrument in writing executed by each of the parties hereto. No oral modification shall be enforceable. 14. SEVERABILITY: The provisions of this Agreement shall be deemed independent and severable, and the invalidity, partial invalidity, or unenforceability of any one provision or portion thereof shall not affect the validity or enforceability of any other provision herein. GALLATIN SOLID WASTE DISTRICT BOARD __________________________________ Dave Hanson, Chair Biosolids Interlocal Agreement Page 5 GALLATIN COUNTY COMMISSION ___________________________________ William A. Murdock, Chairman Attest: __________________________________ Charlotte Mills, County Clerk & Recorder CITY OF BOZEMAN ____________________________________ Chris A. Kukulski, City Manager Attest: __________________________________ Stacy Ulmen City Clerk Commission Memorandum REPORT TO: Honorable Mayor and City Commission FROM: Debbie Arkell, Director of Public Services Tom Adams, Water Reclamation Facility Superintendent SUBJECT: Interlocal Agreement for Biosolids and Green Waste Disposal and Management for Beneficial Reuse with Gallatin Solid Waste Management District Board MEETING DATE: August 8, 2011 AGENDA ITEM TYPE: Consent RECOMMENDATION: Authorize City Manager to Sign Interlocal Agreement for Biosolids and Green Waste Disposal and Management for Beneficial Reuse with Gallatin Solid Waste Management District Board for a five year period BACKGROUND: The current Water Reclamation Facility produces a liquid effluent that is currently land applied on farm fields. The new Facility will produce a dewatered sludge cake which is more labor intensive and expensive to land apply. However, the cake is an ideal component for making compost. Water Reclamation Facility Superintendent Tom Adams explored five options for the disposal of the effluent produced from the plant: 1. Status Quo. Stay in the liquid effluent mode ($395/dry ton) 2. Make dewatered cake and apply to agriculture land in the summer; and remain in the liquid effluent mode during the winter and apply the liquid sludge to farm fields in the summer ($284/dry ton, plus tipping fee) 3. Make and apply dewatered cake to agriculture land in the summer and fall, and haul the cake to the Logan landfill in the winter and spring ($135/dry ton plus tipping fee) 4. Make dewatered cake and haul to Logan landfill year round ($106/dry ton plus tipping fee) 5. Make dewatered cake and contract for composting services ($178/dry ton plus tipping fee) Mr. Adams worked with Martin Bey, Manager of the Gallatin Solid Waste District, to investigate the feasibility of the District starting an on-site composting program. The District will need approximately 15,000 cubic yards of top soil to complete the topsoil requirement for the final closure of the Logan Landfill’s cell #2, which will take place over the next two years. Creating this topsoil through an on-site composting program will save the District a considerable amount of money and it will allow the dewatered cake to be used in an environmentally sound way. In February 2011, the Gallatin Solid Waste District Board voted to accept the dewatered cake from the plant. Mr. Bey has since attended compost production training and received the necessary permit from the Montana Department of Environmental Quality to do on-site composting at the Logan Landfill. Mr. Bey calculated it will cost the District approximately $6.70 per ton to operate the composting facility. At their July 27, 2011 meeting, the Board voted to enter into the subject Interlocal Agreement. As the City’s representative member, I abstained from this vote. Wood chips and other green waste that are currently disposed of at the Bozeman Convenience Site, as well as that produced by the City’s Forestry Division, will be mixed in with the dewatered cake prior to delivery to the Logan Landfill whenever possible. The cost to the City to dispose of this mixed product will be 25% of the municipal solid waste fee in effect at the time of disposal. Currently, the fee will be $6.75 per ton of dewatered cake. The weight of the wood chips will be deducted from the load weight. This product will then be deposited into the compost area at the Logan Landfill. If wood chips or other green waste is not available to be mixed in with the dewatered cake, and there is no similar product available at the Logan Landfill, the dewatered cake will be deposited in the lined cell, and we will be charge the municipal solid waste fee in effect at the time of disposal. Currently, that fee is $27.00 per ton. Staff will continue to work closely with the Gallatin Solid Waste District to ensure the program operates as smoothly as possible. UNRESOLVED ISSUES: None identified ALTERNATIVES: As suggested by the Commission FISCAL EFFECTS: Mr. Adams has estimated 2,920 tons of dewatered cake will be disposed of annually, but until operations are underway, this is only an estimate. The total estimated annual cost of this option including labor, fuel, depreciation and repairs is $106/dry ton plus the Logan Landfill tipping fee. At $27/ton for the 2,920 ton, this would add $78,840. At $6.75/ton, this would add $19,710. The Facility’s FY12 pending budget includes funds for dewatered cake disposal. The cost of the equipment to make and haul dewatered sludge is already included in the cost of the Water Reclamation Facility construction budget. Attachments: Interlocal Agreement Report compiled on: July 28, 2011