Public Hearing
For Dept of Employment and Economic Development

January 29, 2007

Mayor Matt David called the hearing to order at 7:00 pm. He stated that the purpose of the hearing was to fulfill requirements of an application for funding from the Dept of Employment and Economic Development (DEED). He also named the partners that are working with the City of Effie:

· USDA Rural Development – engineers, loan specialists, and financial support
· Midwest Assistance Program – technical and environmental support
· Rural Water Association – technical support, training, and consulting
· MN Public Facilities Authority – financial Support
· Kootasca Community Action – administrative support
· Liesch Associates – City’s engineer, environmental coordinator, project coordinator

A preliminary engineering report was completed, which looked into many system options. Some of these include:
· Stabilization ponds
· Constructed wetland treatment
· Regionalization with Bigfork
· Mechanical packaging plant

The council agreed with the engineers that the mechanical packaging plant would be the most feasible for the City of Effie. The final sewer designs are almost finished. The city is awaiting approval from the USDA RD and the MN Pollution Control Agency before the project is bid.

Glen Sanders from Liesch Associates described the design of the proposed sewer system. He said that the gravity flow & grinder pumps will go into a 20,000 gal treatment system, then on to a 4000 gal settling tank, then to an ultraviolet light system which will then run out to wetlands in the summer. The discharge will have to meet the MN Pollution Control standards.
Questions asked were:
· Has Glen ever designed any systems for small towns? Yes, he just finished one for Viking.
· Is Liesch in litigation over failing systems and what assurances do the citizens have? Yes, on a failing mound system. There are guarantees.
· How many of these systems has Glen designed? Glen has designed 3 and his company has done about 30. The life expectancy on this type of system is 20 years.
· Has this been tested? The manufacturing rep has had actual systems in place for 20 years.
· What kind of guarantees? A one year guarantee.
· Isn’t a year a really short time? It is a standard contract. Effie could specify for a longer guarantee, but that would cost. Glen could not foresee what would fail. It is a simple system, but it needs to be maintained.
· Are there a lot of pumps? There is one pump and 11 grinder pumps.
· Are they spendy? The pump runs about one to two thousand, and the grinder pumps run about $800. The contractor will supply 2 extra grinders.
· Is there a chance of freeze up? Pipes will be 6-8 feet deep and well below the freezing depth. The house to collection pipes could freeze, but that’s on an individual basis. If they’ll be buried less than 4 feet deep, then it is suggested that the pipes be insulated.
· Will there be any odor from discharge? There shouldn’t be any from the discharge, but there may be a slight odor in the summer at the treatment facility.
· Does clay affect anything? It affects the type of system that can be put in. Surface water discharge is the only type of system that will work for this area. The MPCA will make sure that the discharge water is clear.
· Is the MPCA ok with the design? The MPCA & Rural Development both have to approve the design.
· What if they change their standards? Most likely Effie would be grandfathered in. Right now, their requirements are pretty low.
· Where are the lines going? How much of the city limits will this system include? Corky Hastings & Corey Hoffman’s places will be excluded because it would cost an extra $100,000 total, but maybe some time in the future the city could expand to include these plus more.
· What about growth? The system will be easy to expand.
· The council would not let property owners detach from the city stating that everyone needed to hook up in order for the system to go through and fought these owners in court. No, the property owners fought the city in court. If some had detached then others would follow, and then there would be no system.

Gino Anselmo then asked, “Do we deny that there is a need for the sewer?” A resident said that they understand the need but want the line stopped before their house, that they do not want city sewer. They stated that they could put in a system for $5000. Another resident said that they would rather pay the $50 per month than have their dogs rolling around in sewage in the backyard and exclude some rather than hike up the price for all.

· Another citizen asked if they have an approved system, do they have to hook up? The answer was yes. It will be the law if the city adopts that ordinance.
· Who is going to finish paying for their mound system that is working and up to code? Not everyone will want it or need it, but the system benefits the majority of the citizens.
· Is the city paying for the individual hookups? No, it is the property owner’s responsibility.
· The maintenance warranty doesn’t go all the way to the house? No.
· Have you estimated the cost that each individual will have to pay to put their line in? Glen & Tranette said that it would be somewhere around $20 per foot. A pressure test will be done on the lines put in on a resident’s property to make sure that they are sealed.

Gino read a letter that the city received from the MN Department of Health, which stated the City of Effie was required to submit a preliminary engineering plan by October of 2004, because of the threat to public health. The city also received a letter from the county, which stated that the county was in support of the system and asked if there was anything they could do to help. Gino stated that the MPCA has ranked Effie 55th out of the entire state as far as imminent health priority. Matt has talked to legislators, congressmen, etc., who are in support of the project.

· Could the city get funds to pay for individuals mounds? No, there is not enough high ground in Effie and many lots are not big enough to meet the requirements to install an individual septic system.
· Where will the treatment facility be? It will be along the Boise logging road.
· What about the smell? It can only be an improvement compared to the current odor in the city in the summer.
· Does the city still need to buy that land? Yes, it is in the process.
· Couldn’t it be built at the old city dump? It would cost more to have it out there. $5000 to buy the Boise land or $70,000 to put in another lift station.

The council moved on to the operation & maintenance costs.
Income:
User Fees
59 Residential @ $49/month $34,692
6 Commercial @ $124/month $8,928

Connection Fees
prices up to City Council

Total Income $43,620

Expenses:
Operator Salary
Class C Operator 4 hrs/wk @ $22/hr – considering Chuck Almhjeld $4928
40 extra hrs/yr @ $22/hr $880
Daily Inspector 5 hrs/week @ $12/hr - possibly Tranette $3360
70 extra hrs/yr @ $12/hr $832
Sub Total $10,000

Operation & Maintenance:

Power/Electrical
Power Consumption $3000
Service Charges $2000
Sub Total $5000

Materials/Supplies
Propane, UV light, etc. $700
Sub Total $700

Sludge Handling
Pump & Haul 15,000 gal @ $0.10/gal $1500
Disposal & Testing $25/1000 gal + lab $800
Sub Total $2300

Lab & Sampling
BOD, Fecal Coliform, DO, PH, Phosphorus, TSS $2000
Sub Total $2000

Equipment Replacement/Repair
Pump, Blower, Generator, Etc $4000
Total of O&M costs $21,000
PLUS
Annual Loan Payment $15,756
Reserve $3000
______
TOTAL $39,756

One resident insisted that the council had said $20,000 for wages at a previous council meeting. Matt stated that it had been $20,000 for operation and maintenance costs, $10,000 of that being wages. Matt went on to say that if the city was to hire an outside contracting firm that it would cost between $12,000 & $15,000, just for a 4 hour a week operator.

· Will this total include the rental & cleaning tools? Yes, that is part of the $4000.
· Is there a fund set up for problems? Yes, that is part of the $4000, which will keep accumulating if it is not used.
· Who is responsible for up-keep on the line from a person’s house to property line? The property owner.

Tranette stated that the council is still looking for grants to help pay for hook-ups, but property owners could apply for a low interest loan from the county or have their bill assessed to their property taxes.

· What if you can’t afford the payment? One resident stated that it is normal for property owners to pay for the line on their property.

Matt said that he had just found out that Rural Development helps low income households and residents older than 65 pay for their hook-up.

· Do we have to remove our existing systems? The old septic tank needs to be cleaned, crushed, and filled with sand but does not need to be removed.
· Why can’t grant money go for individual hook-ups? We were told early on that grants would be available for hook-ups, but that is no longer the case. Residents can apply for assistance from Rural Development for putting in an individual mount, but the city would have to own that piece of property as well. The whole system will not fail in 20 years just parts of it will need to be replaced. It’s wiser to go with a full system for 20 years, rather than individual mounds for 10 years.
· Will contracts say that costs vary depending on fuel prices? No, the prices will be locked in.
· What if bids come in too high? The city can reject any and all bids.

One resident stated that they didn’t care if it cost them $500 or $1000, the system will benefit more people than not.

· What happens with the residents that are not included in the system and have failing septics? This falls into the county’s jurisdiction. It’s not up to the city. The county says that it needs to be done at the transfer of the title.

· Will a household of 1 be charged the same as a household of 6? Yes, the influent will not be metered as this would cost much more. The apartment building in town will count as 6 EDUs.

Matt stated that instead of a higher monthly fee, the city could assess part of it to the property taxes. If someone does not pay their bill, however, they will be assessed at the end of the year.

· What about cabins used for 2 weeks out of the year? They will pay the same amount. Some things won’t be fair, but the city is doing the best for the majority.
· Why didn’t the city look into hooking up with Bigfork? The council did a couple of times. Matt recently had a meeting with the mayor of Bigfork. Amy Tendrup said that they are not interested at this time, that their ponds could not handle adding the City of Effie. Effie’s grants would also be taken away.

A resident stated that the new system could attract new residents.

· How long do people have to hook-up? That will be up to the council to set the time limit.
· Has the city looked into a deal for contractors to dig for citizens? That will be done soon.

Corky Hastings said he would be interested in bidding on crushing the existing septics.
Everything will be built and ready to go before everyone has to hook up.

· What happens when the existing septic is in the right-of-way? The council will look into this. They may need to be hooked up immediately.
· Will someone tell owners how deep to dig? Contractors know to keep it at a certain depth. Glen stated that 1” of Styrofoam equals 1’ of dirt.
· What about empty lots? Will they all have Ts? That would be too costly. Any building will have a T.
· What is the time-frame? The permit has been applied for with the MPCA. The design is being reviewed by Rural Development. Hopefully, it will go out for bid by the first of March or April. Construction would then begin around July, and it is estimated that residents could hook up to the system around October 1st with construction possibly completed by November 30th.
· When will the council know about the DEED grant? The city will find out in the next 60 days.
· How much is the city paying for the Boise land? $5000 for 5 acres.
· How can we keep up with new information and changes? The clerk will post sewer committee meetings.
· How many bids will the city look at? The city will look at all bids that come in.
· Will there be a cut off price? The bids need to be under the sewer budget, but the council will look at each bid.

The public hearing was adjourned at 8:43 pm.