Loading...
HomeMy WebLinkAboutDept of Commerce (3)M NTANA Department of Commerce COMMUNITY DEVELOPMENT DIVISION P.O, Box 200523 * Helena, Montana 59620-0523 Phone: 4136-B41-2770 · Fax: 405~41-2771 December 22, 2006 Kenneth Olson, Mayor City of Laurel P.O. Box 10 Laurel, MT 59044 Dear Mayor OIson: Attached is the completed report describing how your application and project was scored by the Department of Commerce in the Treasure State Endowment Program (TSEP) grant competition. It is included in the report that the Department will be providing to the Legislature in January 2007. Also attached is the final technical review report completed by the engineers under contract with the Department. It provides greater detail concerning the scoring of Statutory Priorities #1 and #3. The complete report that will be submitted to the Legislature is still in the process of being printed, but one copy of it will be sent to the person you designated as your primary contact as soon as it is available. However, the full report can currently be viewed on the TSEP web site by going to: http://comdev.mt.gov/CDD_TSEP_Prj.asp. The Legislature's Joint Long-Range Planning Subcommittee, which initially hears House Bill 11 (the bill that appropriates funds for the TSEP projects), holds a public hearing on each project. The hearing is your primary opportunity to plead your case before the Legislature to fund your project. We strongly recommend that each of you have a representative present at the hearing, in order to testify on behalf of your project and answer any questions committee members may have about your project. Failure to be represented at the hearing was looked upon negatively by the committee during the last session. Attached is the schedule for the hearings, which have also been coordinated with the Department of Natural Resources and Conservation. If you also applied for a Renewable Resource Grant and Loan Program (RRGL) grant for your project, this will be a combined hearing. The hearings will begin on Thursday, January 11 , at 8:00 a.m., in Room 350 of the Capitol. Please note the date and the time of your project's hearing on the schedule. With the exception of the projects at the very beginning in the morning, you should plan to arrive a minimum of one-half hour before the scheduled time of the hearing, since the hearing for your project could be moved up if other projects do not take as long as planned. If you are unable to attend your hearing as scheduled, please let the TSEP staff know as soon as possible so we can advise the Subcommittee and not have them delaying the hearings unnecessarily. As with any legislative hearing, the schedule is subject to unpredictable change. If any major changes occur, we will attempt to contact you as soon as possible. On the first two days of hearings, only ten minutes has been allocated per hearing for projects that do not involve RRGL grants. Once we begin the joint TSEP/RRGL hearings at the end of the second day, fifteen minutes has been allocated for each project hearing. The allotted time allows for a very brief introduction by TSEP and RRGL staff, testimony from applicants, and questions from the Subcommittee. If you plan to have more than one or two people testifying, please keep in mind the amount of time allocated for each hearing, limit the amount of testimony from each person, and don't be repetitive. The Subcommittee will not make a decision until they take executive action, which will take place after all of the TSEP and RRGL project hearings have been completed. At this point, it is scheduled for January 25th. After the Subcommittee takes executive action on HB '11, the bill will go to the full House Appropriations Committee for a hearing. Testimony at that hearing is typically for the bill as a whole, rather than for individual projects. VVhile you are not prohibited from testifying at that hearing, we encourage you to limit your testimony to the individual project hearings. If you are interested in following HB 11, you can track the bill yourself on the Internet by going to: http://laws.leg.mt.gov/pls/laws07/law0203w$.startup. If you have any questions, please call me at 841-2785, or you can email me at jedgcomb@mt.gov. Sincerely, Jim Edgcomb, Manager Treasure State Endowment Program Attachments: Two Project Reports Hearings Schedule c: Scott Murphy, Morrison-Maeirle, Inc. This application received 3,480 points out of a possible 4,900 points and ranked 30th out of 57 applications in the recommendations to the 2007 Legislature. MDOC recommends the requested TSEP grant of $750,000. Funding Type of Amount Status of Funds Source Funds TSEP Grant $ 750,000 Awaiting decision of Legislature SRF Loan $3,882,500 83r" on the SRF priority list Project Total $4,632,500 Median Household Income: $32,879 Total Population: 6,255 Pement Non-TSEP Matching Funds: 84% Number of Households: 2,377 Monthly Percent of Monthly Percent of Rate Target Rate Rate Target Rate Existing Water Rate: $27.33 Target Rate: $57.62 Rate with Proposed Existing Wastewater Rate: $42.40 TSEP Assistance: $81.66 142% Rate without TSEP Existing Combined Rate: $69.73 121% Assistance: $83.64 145% Project Summary History - Laurel's wastewater facilities are comprised of a collection system, two lift stations, and treatment facility. The original plant was built in 1941, was upgraded in 1961 and was expandedwith secondary treatment in 1985. All portions of the plant are now in excess of 20 years old, with the exception of the plant drain pump, which was replaced in 2004. The collection system was originally constructed in 1910, and the majority of it is comprised of vitrified clay pipe and has been in service for 50 to 100 years. Both pump stations are over 20 years old. In 2004, a new major intemeptor was added to the collection system on the west side of town to alleviate an on-going overcepacity issue, and a portion of trunk sewer was replaced on Railroad Street to reduce infiltration induced by focal flood irrigation. The City is pursuing replacement of all major trunk mains into the treatment plant with a project in the fall of 2006. These lines currently collect an excess amount of infiltration due to flood irrigation in the fields adjacent to the trunk mains. Problem - The City's wastewater system has the following deficiencies: the Main/Elm Street lift station is about 40 years old and in need of some updating and repair, the Village Sub lift station is about 20 years old and in need of some updating and repair, the treatment plant grit removal and headworks are aging, have some safety issues, and better technology is currently available, [] primary clarifler piping is inadequate during hydraulic surges and causes some operational problems, [] plant water supply system is inadequate for plant use and building fire protection, [] the secondary rotating biological contactor treatment system does not have adequate redundancy to allow for year round maintenance and may not have adequate treatment capacity to meet future flows, and Q the disinfection system at the treatment plant is not adequate to meet anticipated future discharge permit requirements. Proposed Solution - The proposed project would: [3 replace the Main/Elm Street lift station, Governor's Budget Long-Range Planning Subcommittee Treasure State Endowment Program 172 [3 rehabilitate the Village Sub lift station, rehabilitate the grit removal and headworks facilities, [] improve the hydraulics of the primary clarifiers, improve the plant water systems to allow for process water and fire protection, and expand the existing rotating biological contactor system. Note: Improvements tothe disinfection system will be postponed to a later phase. TherefOre, those deficiencies were not taken into consideration in the scoring of statutory priority #1. Conclusion: The applicant sufficiently demonstrated that the public health and safety problems associated with the deficiencies in the wastewater system are likely to occur in the long-term if the deficiencies are not corrected. These serious problems have a high probability of occurrence after chronic exposure and some reasonable probability of occurrence in the near-term as a result of incidental, short-term or casual contact. Rationale: The MDOC technical review team noted that there are various deficiencies that could affect the public's health and safety in the long-term, including aging lift stations in need of repair, operational deficiencies with the headworks and clarifier piping, and lack of redundancy in the rotating biological contactors. Deficiencies at the existing lift stations, specifically equipment age and condition and the lack of a secondary power source, make failure of the sewage lift stations increasingly probably over time. Failure could cause sewage to back up into residences, resulting in serious consequences such as !llness and substantial property loss. Without improvements to correct hydraulic deficiencies and adding secondary treatment equipment redundancy at the treatment plant, eventual process failure will place downstream users at risk of exposure to partially treated or untreated wastewater, which is a clear health risk. The score for Statutory Priority #2 is based on a weighted analysis of two financial indicators with a total of 900 points possible. The scores for each of the two indicators are added together, with a total number of points possible for Statutory Priority #2 based on five levels. The fifth level is assigned to the group of applicants that reflect the greatest financial need. Indicator #1. Household Economic Condition analysis: The applicant placed in the 3r~ level and received 216 points. (This analysis accounts for 40% of the score for Statutory Priority #2. Each of the three sub-indicators are ranked and scored, with each accounting for 33% of the total score for Indicator #1. Being ranked the lowest indicates the most severe household economic conditions and is assigned the highest score. Being ranked 57th indicates that the applicant has the least severe household economic conditions and is assigned the lowest score. The scores for each sub-indicator are added together, with the total number of points possible for Indicator #1 based on five levels. The fifth highest level is assigned to the group of applicants with the most severe household economic conditions.) [3 The applicant's Median HouSehold Income (MHI) is the 38th lowest of the 57 applicants. D The percent of persons riving at or below the Low and Moderate-Income (LMI) level is 48.0%. The applicant's relative concentration of persons living at or below the LMI level is the 21st highest of the 57 applications. D The percent of persons living at or below the Poverty level is 10.8%. The a~plicant's relative concentration of persons living at or below the Poverty level is the 38"' highest of 57 applications. Governor's Budget Long-Range Planning Subcommittee Treasure State Endowment Program 173 Indicator #2. Target Rate Analysis: The applicant placed in the 3= level and received 324 points. (This analysis accounts for 60% of the score for Statutory Priodty #2. Each sub-indicator is ranked and scored. Scores are assigned based on how much difference there is between the applicant's user rate and the target rate. The number of points possible for Indicator #2 Js based on five levels. The fifth highest level is assigned to the group of applicants furthest over the target rates.) Conclusion: The applicant conclusively demonstrated that it has proposed an appropriate, cost- effective technicar design that wiJl provide a thorough, long-term solution for its public facility needs. The problems were well defined, the various alternatives were thoroughly discussed, and construction costs were well documented and justified. There were no issues of any significance that were not adequately addressed in the preliminary engineering report (PER). Rationale: The MDOC technical review team thought the PER was complete and thorough. The applicant adequately assessed the potential environmental impacts. Any environmental concerns that were identified by the applicant were adequately addressed and no long-term adverse effects were noted. Conclusion: The applicant conclusively demonstrated that it has made substantial past efforts to ensure sound, effective long-term planning and management of public facilities, and attempted to resolve its infrastructure problems with local resoumes. Rationale: The applicant stated that the City is budgeting monies specifically for the purpose of completing capital improvements plan (ClP) tasks, and has had to raise water and sewer rates to meet the demands of the plan. The operating and maintenance (O&M) budgets for the wastewater system have been adequate as evidenced by the needy $270,000 of reserve used to help fund replacement of sewer main and the treatment plant drain pump in 2004. A sewer rate increase was approved in 2004 to rebuild the reserves; the City has added more than $100,000 to the sewer replacement fund. The City has also raised the cost of impact fees for new hook-ups. The applicant stated that a new interceptor was added to the collection system on the west side of town in 2004 to alleviate an on-going ovemapacity issue, and a portion of trunk sewer was replaced on Railroad Street to reduce infiltration induced by local flood irrigation. The City is planning to award a bid in the fall of 2006 to replace all major trunk mains into the treatment plant, with funding already in place. The applicant stated that since 2003, the City has been planning for water system improvements by implementing yearly water rate increases. An emergency situation in 2003 at the intake precluded the possibility of waiting for grants and the City took out another loan of $2.54 million to add to existing loans already exceeding $6 million for its water system. All individual service connections are metered. The City has begun a preliminary engineering study on the water system. The applicant stated that since the end of 2000 the City has completed a needs assessment survey, a separate survey specific to recreation, a flood hazard mitigation plan, a comprehensive five-year CIP that was updated in 2003 (including a structural evaluation of city buildings, and a road inventory and evaluation, 2002), and drafts of a transportation plan and a growth policy. Due to length, the flood hazard mitigation plan was not included in the applicationi; however, the resolution to adopt the plan was included. The applicant stated that the City has addressed the highest priorities of the ClP: the intake and the affordable housing shortage. The lighting issue was dropped after the public hearing demonstrated lack of support. The second highest priority, a PER for the water system, is expected to be completed this summer along with several street repairs. The proposed project is consistent with the adopted CIP. The applicant stated that the problems to be resolved by the proposed project are not of recent origin and are not due to poor maintenance; but, rather due to aging of the system. The treatment plant has exceeded permit limits for a period of time, largely due to infiltration, capacity limitations, and increased Governor's Budget Long-Range Planning Subcommittee Treasure State Endowment Program permit limitations. The maior trunk lines currently collect an excess amount of infiltration due to flood irrigation in the fields adjacent to the trunk mains. The MDOC review team concluded that the City's O&M practices related to the wastewater system appear to be adequate. Conclusion: The applicant strongly demonstrated that the project would enable the local government to obtain funds from sources other than TSEP. The applicant demonstrated serious efforts to thoroughly seek out, analyze, and secure the firm commitment of alternative or additional funds from all appropriate soumes to assist in financing the proposed project. The funding package for the proposed project is reasonable and appears to be viable. There are no major obstacles known at this time that would hinder the applicant from obtaining the funds from the proposed funding sources. The MDOC review team did not score this priodty higher primarily because TSEP funding was not considered to be critical to the project, since the User rates without TSEP assistance would be less than 150% of the target rate. Rationale: The applicant is proposing a funding package consisting of a TSEP grant in combination rd with an SRF loan. The applicant ranked 83 on the SRF priodty list, and therefore, is eligible to apply for the SRF loan. The applicant discussed the CDBG program, but stated that it did not meet the LMI eligibility requirement of at least 51% benefited households. The applicant also discussed the RRGL program, but did not think the proposed project would be competitive in that program. The applicant stated that without the TSEP grant it would be very difficult to fund the project, since the City already carries a large amount of debt and the user rate Would increase to 142% of the target rate with the proposed project. Conclusion: The applicant sufficiently demonstrated that the proposed project represents a general infrastructure improvement that would indirectly increase business and job opportunities. The applicant did not reasonably demonstrate how any specific businesses were dependent upon the proposed improvements or how businesses would directly benefit by them. The applicant did not reasonably demonstrate that the proposed project would directly result in the creation or retention of any long-term, full-time jobs other than those related to the construction or operation of the wastewater system. The proposed improvements should maintain and possibly increase the taxable valuation of the project area. Rationale: The applicant stated that the proposed project would not directly result in the creation or retention of long-term, full-time jobs. However, the proposed project increases the capacity of the treatment plant for future growth. Conclusion: The applicant inadequately demonstrated that the proposed project is a high priority and has the support of the community. The applicant documented that it held a public hearing or meeting, but did not inform the community about the cost of the project and the impact on user rates. The MDOC review team did not score this priority higher primarily because there was a lack of documentation indicating the community has been adequately informed of the rate increase in a timely manner. Rationale: The applicant discussed several public hearings and meetings related to the proposed project. The wastewater facility plan was discussed at meetings in July, August and September of 2002. According to the minutes from a hearing in February 2003, a resolution to raise water rates was presented for public comment; seven attendees spoke in opposition and none in favor of the increase. Two additional public hearings were held regarding a CDBG grant application for wastewater Governor's Budget Long-Range Planning Subcommittee Treasure State Endowment Program 175 !_.ml~rove_m_~.n__t_s_ in Ap_r!!aqd May of 2003. Twenty-three people attended a hearing regarding the TSEP application held in March of 2004, to present the overall project and discuss the various funding sources. Copies of the minutes for each public hearing were included in the application, along with a notice for the hearing in 2004 that was advertised twice in the Laurel Outlook. In addition, the applicant included copies · of newspaper articlee and mailings that have been used to inform the public of the proposed project. The applicant stated that a more recent public hearing regarding the proposed project was held at 6:30 p.m. on May 1,2006 in the council chambers at City Hall. The notice of the hearing was advertised once in the Billings Gazette (a copy of which was included). The applicant stated that no comments were made in opposition to the project during the hearing; however, only three people were in attendance (two local officials and the consultant) according to a sign-in sheet. A handout of the presentation was available and included in the application, which noted that an increase of up to $11.75 per household may result from the proposed project. However, since only local officials and the consultant appeared to be at the meeting and no minutes were provided, it could not be determined if any residents were informed of the increase. The applicant stated that the application included letters of support for the project; however, none could be found in the application. Although the 2000 needs assessment results showed that some respondents to the survey believed that wastewater improvements were a high priority, it was not ranked as one of the top priorities of the City. However, the 2003 CIP identified that sewer replacement on 1" Avenue was the highest ranked wastewater improvement need. Govemor's Budget Long-Range Planning Subcommittee Treasure State Endowment Program 176 ENGINEERING REVIEW REPORT FORM APPLICANT NAME: City of Laurel TYPE OF PROJECT:Wastewater System Improvements COMMENTS PREPARED BY: Thomas, Dean & Hoskins Inc. (Wade DeBoo, P.E.) DATE: 9/2312006 TSEP Statutory Priority #1 - Projects that solve urgent and serious public health or safety problems, or that enable local governments to meet state or federal health or safety standards. CDBG Criterion #2 - Need for Project Applicant's t50 word statement: Serious public health and safety problems clearly attributable to Laurel'e wastewater facilities are likely to occur without completing the improvements proposed in the PER. Deficiencies at the existing lift stations, specifically equipment age and condition and the lack of a secondary power source, make failure of the sewage lift stations increasingly probably over time. Failure could cause sewage to back up into residences, resulting in serious consequences such as illness and substantial property loss. Without improvements to correct hydraulic deficiencies and add secondary treatment aquipment redundancy at the WWTP, process failure will place downstream users fat risk of exposure to partially treated or untreated wastewater - a clear health !risk. Since Laurel's WWTP serves all of the residents, the entire community equally shares in the risks associated with the deficiencies. The proposed projects are part of a prioritized long-range plan to eliminate all health and safety problems with the wastewater facilities. Does a serious deficiency exist in a basic or necessary community public facility or service, such as the provision of a safe domestic water supply or does the community lack the facility or service entirely, and will the deficiencies be corrected by the proposed project? (Describe all deficiencies that will be addressed by the proposed project and the sefiousness of those deficiencies. Briefiy note any deficiencies that will not be corrected by the project. Describe the seriousness of the deficiency. ) Comment: The following deficiencies are noted by the PER and amended PER. Collection: The collection system is in very poor condition. The poor condition has caused sewage backup into homes and allows large amounts of groundwater infiltration to enter the collection system, which in turn causes problems at the wastewater treatment plant. Two earlier phases have begun to address the infiltration problem by making repairs at some of the worst known areas. The PER also recommends an annual replacement of 4,000 feet per year of collection lines over the next 30 years, which when complete will encompass 78% of the total collection system. Costs for collection system repairs are not part of the work currently requesting grant funds. This seems to be a very sedous deficiency that not only utilizes collection system capacity and lift station capacity but also disrupts the treatment plant process and capability. The applicant responded that the recommended replacement of collection lines was not directly related to the infiltration conditions and even if collection lines were replaced it may not eliminate infiltretion because service line repair or replacement is uncommon. The reviewer does not disagree with the approach recommended for annual service line replacement. However, this is a serious deficiency that will not be corrected by this project and this review report notes that point. · Main/Elm Lift Station: The PER states that the Main/Elm Street lift station has exceeded its design life and does not have emergency power capabilities. The lift station is about 40 years old. A lift station failure could cause raw sewage to backup into basements in the area. A mechanical failure combined with a lack of response to the local alarm system could be very serious. The addition of an autodialer on the alarm system and replacement of the mechanical equipment would significantly reduce the chances of a lift station failure causing sewage to back up into residences. The PER recommends complete replacement of the existing lift station. · Villa,qe Sub Lift Station: The PER states that the Village Subdivision lift station is nearing its useful life. The station is about 20 years old and does not have emergency power capabilities. Lift station failure could cause raw sewage to backup into basements in the area. A mechanical failure combined with a lack of response to the local alarm system could be very sedous. The addition of an autodialer on the alarm system and replacement of the mechanical equipment would significantly reduce the chances of a lift station failure causing sewage to back up into residences. The PER recommends rehabilitation of the existing lift station. · Primary Clarifier Hydraulic Improvements: Piping between the primary clarifiers and the RBC units is reportedly undersized for peak design flows. On occasion the clarifler has overtopped spilling partially treated wastewater onto the ground. · Plant Water: The PER states that the plant water and potable water systems are both inoperable. The former leaves the plant operators without a reliable source of non-potable process water and the later leaves the plant without adequate fire protection. If a fire were to occur at the treatment plant, a lack of local fire protection would greatly increase the chance for significant damage to the facility. The odds of a significant fire occurring may be small but the result could be serious. · Grit Removal and Headworks: The existing mechanically cleaned bar screen is reported to be difficult to maintain. Inadequate safety equipment is installed or available. A new unit could result in better collection of solids and improvements in downstream solids handling processes. The PER states that maintenance of the existing equipment is increasingly difficult and unsafe due to confined space entry issues. As long as plant staff obtain needed safety equipment and follow safety rules, the seriousness of this problem seems fairly small. · RBC: The existing RBC process does not have enough redundancy to allow for equipment maintenance during all times of the year. The PER states that the existing equipment does not have the capacity of its original design nor the capacity to meet the projected flows of the year 2025. The plant has occasional discharge permit violations that are reported to be a result of the current RBC unit process. At least part of the problem appears to be the result of extreme amounts of infiltration in the influent that creates "weak" strength wastewater that is more difficult to treat to the required standards. The result of this deficiency could mean one or more discharge permit violations depending on specific circumstances. The applicant commented that the existing RBC unit has adequate capacity to meet current demands plus 10-15 percent additional flows / loads only if all units are in service. The applicant stated that the lack of redundancy was not consistent with general MDEQ2 design practice requirements, nor general good engineering practice. The applicant also commented that they must time summertime maintenance carefully to meet discharge permit limits and that this was a ~tdck" that was not in the spirit of the discharge permit. In the reviewers opinion each of the applicants comments is an issue that should be considered with regard to the level of severity of the deficiency. The reviewer is unsure which MDEQ2 design practice the applicant is referring to since the section was not referenced and good engineering practice is very subjective. All things considered, the reviewer judges the problem with the existing RBC units as moderately severe. It seems to be an important issue but it currently has capacity and can be operated in a manner that typically meets their legal obligations for treatment. Other: The PER also addresses anticipated disinfection facility upgrades and budgeting for routine maintenance, neither of which are currently requesting funds. The disinfection changes are based on anticipated discharge permit changes that are not yet finalized, so this item has appropriately been left to a later date. b. Have serious public health or safety problems that are clearly attributable to a deficiency occurred, or are they likely to occur, such as illness, disease outbreak, substantial property loss, environmental pollution, or safety problems or hazards? (Describe the public health or safety problems that can be attributable to any of the deficiencies that will be corrected. Describe whether the problems have already occurred, or if they haven't, describe the likelihood of their occurrence. For instance, is the public health or safety problem imminent, near-term, long-term, or may potentially occur at some point in the future? Aisc describe the degree of seriousness the public health or safety problems represent.) Comment: Following are comments for each portion of the proposed project. Collection: The poor condition of the collection lines has caused sewage to backup into homes, which is a sedous health and safety problem. Some repairs have already taken place but the PER predicts that the problem will continue to remain until old collection lines are repaired or replaced. The PER recommends replacing the bulk of the collection system at a steady pace over the next 30 years. The applicant commented that sewage backups are manageable and can be handled by cleaning sewer lines monthly and that they will be replaced when it becomes economically feasible and adequate capital is available. Lift stations: The lift station problems are both potential problems that may occur at some point in the future if proper maintenance does not occur. The PER documents sewage backup into residences but does not state whether the cause was from lift station failure or a result of the poor condition of the collection system. It is presumed that the cause of the sewage backups was not a result of lift station failure and thus is just a potential problem. Failure could cause sewage to back up into services, resulting in sedous consequences such as illness, disease, and/or substantial property loss. The proposed project includes complete replacement of one lift station and a full rehabilitation of the other. It appears that the public health components of the problems could be primarily solved with a lesser scope at each station. The most sedous portions of the problem are related to the need for mechanical equipment reliability (pump repair or replacement), emergency power provisions, and remote monitoring of alarm conditions. The applicant commented that complete replacement of the one lift station is recommended because rehabilitation is not a viable alternative (based on engineering judgment). Primary Clarifier Hydraulic Improvements: Primary cladfier overtopping has reportedly occurred. The frequency of occurrence is unknown. Plant Water: Fire protection is not likely to be needed but in the unlikely event that it does occur, it is a very important safety feature. Circular DEQ 2 does not appear to require a fire protection system at a treatment plant but other building codes may require it. The PER doesn't address the exact code or standard that may require fire protection. The applicant commented that common sense is the justification for the need for fire protection. The reviewer agrees that (as stated above) it is a very important safety feature. However, when considering the severity of the issue it should be noted that this is based on common sense instead of being a direct violation of some law, code, standard or rule. Grit Removal and Headworks: It is not apparent that the existing grit removal and bar screen causes any serious public health and safety Concern. Improper safety precautions in its use may cause harm to the plant operators. The proposed project does include installation of some additional safety equipment that would alleviate the safety concern for operators. RBC: Worst case, a process failure or bypass at the wastewater treatment plant could place downstream users at risk to exposure of untreated wastewater and expose the public to health and safety issues such as illness and disease outbreak. Failure or inadequate performance of the RBC process at the treatment plant could cause a discharge permit violation. Some permit violations have already occurred, but the cause of the violations seem to be as much a result of high infiltration rates as lack of performance o[ the RBC. Continued permit violations are likely to occur potentially on an increasing frequency as the population of the community expands. As repairs are made to the collection system the reduction in I&l could partly or entirely offset the impact of added population. The PER does not discuss this point but it seems likely to be the case. The PER states, "the plant has had a good track record of meeting its BOD and TSS concentrations, but often cannot meet percent removal requirements during summer months when infiltration increases the plant flow rate and dilutes the wastewater concentration" (page 6-25). Not meeting the percent removal requirements seems less serious to public health than not meeting concentration requirements. In fact DEQ lowered the percent removal requirements in the last permit cycle based on the I&l conditions that were occurring. A request could be made to reduce the percent removal requirements further. 4 The applicant commented that more violations woutd have already occurred if a 30- day rolling average concentration standard was imposed upon them. tt is the reviewers opinion that if the DEQ had felt it necessary to impose a rolling average limit, then they would have already done so. Typically DEQ sets very rigid standards in discharge perrnits. It seems unusua/ for an app/icant to self impose more stringent standards upon themselves. Though not addressed by the applicant, /t is possible that the rolling standard could be imposed during the next permit cycle, particularly if the DEQ permitting section reviews the PER which documents the lack of a re/ling standard as a problem. Is the problem existing, continual, and long-term, as opposed to occasional, sporadic, probable or potential? (Describe the nature and frequency of occurrence.) Comment: Each of the problems is addressed below. Collection: The I&l problem and poor condition of the collection system is continual and long term. As annual repairs are made the I&l problem should continue to decline. This reduction may also improve the treatment plants pefiormance. I&l occurs most dramatically every summer during irrigation season but appears to be an issue to a lesser degree in the winter as well. Lift Stations: The lift station problems are probable at some point if equipment is not maintained (repaired or replaced), a backup power source is not provided, and remote emergency alarm features aren't added. Based on the information provided, it is impossible to predict whether a problem is eminent or if it will not occur for many years. Some lift station components may have a design life exceeding 20 or 40 years. Mechanical equipment such as pumps will typically last between 10 and 30 years. The equipment design and quality and conditions of use will all factor heavily on the true life. Wet wells and dry wells can be designed to last 50 or more years. Not enough information was provided about the installations to make a judgment about the true life expectancy of the various components of each facility. The applicant questioned whether the above statement was setting a higher than normal standard of documentation. The applicant also stated that the proposed lift station improvements were based on several licensed engineer's judgment and discussions with City staff. The reviewer does not question the engineer's nor City's judgment with regard to the proposed improvements. The statement listed above is the reviewers best attempt to answer question 'c' based on the reviewer's knowledge of the topic and the information provided in the application. The PER provided few specifics about the lift stations other than the judgment that they exceeded design life and require replacement. These judgments may be 100% correct but the reviewer feels that additional documentation could have been provided that would have more clearly justified the proposed solution. Primary Clarifier Hydraulic Improvements: The hydraulic capacity problem between the primary clarifier and RBC unit will continue unless infiltration in the collection system is reduced enough to eliminate the conditions that cause the problem. Plant Water: With regard to fire protection, lack of adequate plant water is a continual and potential problem. Grit Removal and Headworks: As stated in the previous section the grit removal and headworks facility does not seem to be a health and safety issue except for the plant operators. Safety concerns for workers would be continual until that portion of the problem is addressed. RBC: The PER does not specifically state the frequency of occurrence of discharge permit violations Is the entire community, or a substantial percentage of the residents of the community, seriously affected by the deficiency, as opposed to a small percentage of the residents? (Describe the number of residents affected by the problem.) Comment: Each of the problems is addressed below. The applicant commented that issues at the treatment plant affect the entire community and that PER Figure 5-~ gives a general idea of the contributory areas for each lift station. · Collection: The collection system problems likely impact most of the community the same. The persons living in the immediate vicinity of the worst condition pipe are impacted more when it comes to potential for backup into residences. The impact that I&l has on treatment should be the same for the entire community. · Lift Stations:' The lift stations impact the users upstream of the lift stations. Inadequate information is provided to determine the percentage of the community that is served by each lift station. · Primary Clarifier Hydraulic Improvements: Lack of piping capacity has little direct impact on the community but whatever impact exists would be equal for the entire community. · Plant Water: Plant water has little direct impact on the community but whatever impact exists would be equal for the entire community. · Grit Removal and Headworks: Grit removal and headworks have litfie direct impact on the community but whatever impact exists would be equal for the entire community. · RBC: The RBC unit has little direct impact on the community but whatever impact exists would be equal for the entire community. Persons using the Yellowstone River in the vicinity of the discharge point would have more potential tobe directly impacted by discharge water quality. Is there clear documentation that the current condition of the public facility (or lack of a facility) violates a state or federal health or safety standard? (If yes, describe the standard being violated.) Comment: No, the PER does not specifically state or document which, if any, health and safety standards are being violated for any of the deficiencies discussed above. Section 5.3 and section 6.5 of the PER discuss in genera] terms the health and safety issues but does not specify which standards, if any are being violated. Occasional discharge permit violations are mentioned but evidence of permit violations wasn't provided in the documentation. The applicant stated, "We simply ask that the reviewers approach to health and safety standard documentation for conditions that are clearly 'unsafe' be uniformly applied to other documents. We are sure that the review committee will see to this end." The applicant went on to acknowledge that documentation of permit violations was inadvertently/eft out and argued that in past funding cycles this was an item that was acceptable to leave out. The reviewer agrees that the same standard should be applied to all applicants. It is the reviewers opinion that it should be the responsibility of the applicant to specifically state the health and safety standards which are being violated. It should not be the responsibility of a reviewer to research all health and safety standards and evaluate the application to determine which are met and which are not. In this particular application much of the proposed work may not be a violation of a specific health and safety standard. The original application addressed question 'e' in part as follows: The current condition of the wastewater facilities does not directly violate a state or federal health or safety standard. However, failure of a unit process violates MDEQ design standards and common sense practice. These standards are established to protect public health and safety... Does the standard that is being violated represent a significant threat to public health or safety? (For each standard being violated as listed in e., identify the public health or safety problems associated with it.) Comment: Discharge permits are set by the Department of Environmental Quality to protect surface water quality. Violation of the permit could negatively impact other usem of the surface water. Is the proposed TSEP project necessary to comply with a court order or a state or federal agency directive? (If yes, descdbe the directive.) Comment: No. Are there any reliable and long-term management practices that would reduce the public health or safety problems? (Describe any reliable and long-term management practices that would reduce the public health or safety problems.) Comment: The annual collection system replacement program that is recommended in the PER is a good long-term management strategy to help reduce the infiltration problem. The City could complete television inspections on the remaining 13/14tbs of the collection system and complete additional I&l studies to better evaluate the collection system problems. Pipe replacement could be targeted to the worst condition lines. They could evaluate service line infiltration and replace leaky service lines if needed. They could monitor effectiveness of the pipe replacement in reducing infiltration. Connection of additional users to the City system could be limited or prohibited if necessary. It may not be the preferred action, but it is an altemative in dealing with increasing flow rates and organic loading. Is there any other pertinent information that might influence the scoring of this statutory priority? Comment: The City has already completed one project and is scheduled to begin the second in an effort to reduce infiltration in the collection system. 7 SUMMARY - STATUTORY There are various deficiencies that could affect the public's health and safety, including aging lift stations in need of repair, operational deficiencies with the headworks and clarifier piping, and lack of redundancy in the RBC. Based on the scoring criteda for wastewater projects, these types of deficiencies are likely to result in serious problems that have a moderate level of probability of occurrence in the near-term as a result of incidental, short-term or casual contact. The health and safety problems are considered to likely occur in the long-term if the deficiencies are not corrected. The MDOC scoring team determined that a level 3 score is appropriate for these types of deficiencies and the potentially resulting health and safety 'problems. TSEP Statutory Priority #3 - Projects that incorporate appropriate, cost-effective technical design and that provide thorough, long-term solutions to community public facility needs. ICDBG Criterion #3 - Project Concept and Technical Design Does the PER provide ali of the information as required by the Uniform PER outline, and did the analysis address the entire system in order to identify all potential deficiencies? (Describe any information that is required to be in the Uniform PER outline that is missing. State whether the entire system was addressed, and describe any parts of the system not dealt with and the reason why if known.) Comment: The PER is well organized and follows a logical sequence of discussion but does not follow the standard outline format, which makes it more difficult for the reviewer to locate each bit of required information. The PER evaluated all of the components of the wastewater system. The PER plus amended PER amounted to 500 or more pages, which makes it time consuming to locate information. Some information required in the outline was not located in the document. Following is a list of the items that were missing. · A copy of the latest MPDES comprehensive performance evaluation (CPE) could not be located in the document. The applicant commented that latest CPE is over a dozen years old and its inclusion could have caused confusion. They stated that this should not be considered a deficiency. · Lift station inflow rate or pump run time records were not provided. The applicant stated that it was unclear how the reviewer would use this information and that this should not be considered a deficiency. The reviewer feels that this information could have provided additional information regarding the conditions at the existing stations. · A SewerCAD model was conducted to evaluate hydraulic capacity but a node map was not included, which makes the model output data provided of little use. The applicant questions how the reviewer may use this information and suggested that its exclusion was not a deficiency. /fit had been included the reviewer would have examined the information on a cursory basis to ensure that it was consistent with the discussion in the report. Water system usage was not compared with hydraulic loading to the plant as required. Discharge permit violation notices could not be found. No documentation or clear explanation of specific issues was provided to back up the claim that the lift stations and other plant equipment has a 20 year useful life. The app/icant stated that 20-year life expectancy is standard engineering practice and that this is shown by the fact that PERs consider 20- year planning periods and SRF loans are typically for 20-years. The reviewer does not agree that standard life expectancy for all engineering items evaluated in a PER is 20 years. In addition some funding agencies allow for loan terms of 30 or 40 years. It does not seem reasonable to blanket facility life expectancy to 20-years just because that is the term of a loan. Collection systems, wet wells and structures can often have life expectancies far exceeding 20-years. The applicant provided the fo#owing comment regarding the next three bullet items: A facility plan (PER) is intended to be a high /eve/ overview of engineering approaches. We streng/y be#eve that the type of analyses or alternative screening described in the (fo#owing three bullets) as being 'missing' for these elements are more aptly hand/ed at the pre-design stage, or simply through engineering judgment at a later time. A facility plan for e comp/ex mechanical WW-I'P simply cannot address ali the detailed design issues suggested. It is neither cost-effective, nor appropriate. The PER does present alternative analysis for unit processes that affect p/ant effluent performance, approach to effluent quality, etc. We ask that these three bullets be stricken from the write up. The reviewer agrees with much of the applicant's argument. However, the review committee as a whole should make the judgment on this issue. It seems reasonable to defer some of these items to a more detailed study. However, it may not be fair to other applicants to simply write off these issues. The cost of the items that were not evaluated in detail may be as much as the cost of entire projects in other applications. The PER outline does not state that certain types of issues have a waiver from the alternative screening process. · No alternative screening was provided for some of the proposed action items such as: grit removal and headworks facility improvements, primary clarifier hydraulic improvements, and plant water system improvements. · No alternatives were evaluated for some of the proposed action items such as: grit removal and headworks facility improvements, primary clarifier hydraulic improvements, and plant water system improvements · Not all reasonable alternatives were discussed as required in the alternative screening section; such as: discussion of alternative means of providing secondary power to the lift station, comparison of various lift station types, and inclusion of an alternative that would address just the most serious maintenance issues for the lift station problems. · A sound justification was not provided for eliminating "Natural" treatment alternatives. Although natural systems such as slow rate and rapid rate land application may not be suitable as a substitute for the current discharge permit they could have potential asa supplement to the existing mechanical process. No discussion of this potential was provided, even though the report noted that agricultural land is currently being irrigated in the vicinity of the treatment plant. The applicant provided a lengthy comment regarding this issue. If this comment had been included in the PER, it would have provided additional justification for not considering "Natural" treatment or disposal in more detail. The applicant commented that MDEQ does not recognize land application as treatment but could be a viable disposal means. Though land application is not treatment, it may require a lower level of pretreatment than discharge to surface water which may have a significant affect on process decisions at a mechanical treatment plant. It remains the reviewers opinion that additional discussion and / or analysis would have been appropriate for this item. · The impact that I&l reduction would have on the treatment plant was not fully discussed. The applicant stated that the reduction of I&l would help the WVVTP. It would have been helpful if the PER had provided more information about the reduction of I&l and what impact that would have on the treatment facility. How much I&l reduction is expected due to the projects already completed and how much reduction is anticipated with future collection pipe replacement projects? This may not have entirely achieved the goals of the project but some additional discussion could have provided a stronger argument for the project. · Detailed cost estimates were not provided for all of the alternatives, including the grit removal and headworks modifications, the primary clarifiers hydraulic improvements, and the plant water system improvements. The applicant suggests that these items are beyond the level of detail required in a PER. The reviewer disagrees. Even if detailed alternative comparison is not justified, it seems reasonable to expect that a detailed cost estimate or at least some discussion about the detailed scope such as pipe diameter, pipe length, type of grit removal system envisioned, type of headworks changes envisioned, etc. · O&M costs and present worth analyses were not provided for some of the alternatives including: grit removal and headworks facility improvements, primary clarifier hydraulic improvements, and plant water system improvements. A comparative analysis was not provided for the following action items: grit removal and headworks facility improvements, primary clarifie[ hydraulic improvements, and plant water system improvements. · Hydraulic calculations showing compliance with DEQ standards were not provided as is required. The applicant questioned whether calculations were required at the PER level The PER Outline section V.D. lists the requirement that sufficient information to determine compliance with DEQ design (hydraulic) requirements be provided. Calculations not provided include collection system capacity versus design standards, calculations showing the lift station flews versus capacity, calculations of hydraulic capacity of the various unit processes at the W-FP. · Meeting minutes from the 2006 public hearing were not provided. Does the proposed project completely resolve all of the deficiencies identified in the PER? If not, does the proposed project represent a complete component of a long-term master plan for the facility or system, l0 and what deficiencies will remain upon completion of the proposed project? (Describe any deficiencies that will not be resolved by the proposed project. Describe any plans for resolving those deficiencies in the future.) Comment: The PER included master planning information. The proposed project represents a logical phase of the recommended improvements. The major deficiency that remains is the continued groundwater infiltration. The PER proposes that it be addressed on a slow and steady basis over the next 30 years. Are the deficiencies to be addressed through the proposed project the deficiencies identified with the most serious public health or safety problems? If not, explain why the deficiencies to be addressed through the proposed project were selected over those identified with greater public health or safety problems. (Describe anypublic health or.safety problems that are not to be resolved by the project. Describe the why the applicant has decided not resolve those problems.) Comment: Yes. Were all reasonable alternatives thoroughly considered, and does the technical design proposed for the alternative chosen represent an efficient, appropriate, and cost-effective option for resolving the local public facility need, considering the size and resources of the community, the complexity of the problems addressed, and the cost of the project? (Describe the level of analysis performed to determine an appropriate solution. Describe in more detail any missing information that would have made the analysis better and why.) Comment: Table 8-1 lists the near-term treatment facility improvements that were recommended. None of these improvements included the required alternative screening or formal screening discussions, not even a no action discussion. There may be no reasonable altematives, but the report did not seem to address this point. Alternatives for some of these items must exist; such as, alternative style gdt and headworks equipment and arrangements, alternative methods of achieving the hydraulic upgrade for the clarifier, and altematives for the plant water system such as a new well or locating the restriction in the existing water supply line. As discussed above, more detail comparing natural systems such as slow rate and rapid rate land application seems to be justified. The applicant stated, "We do not believe that the level of analysis suggested is appropriate or necessary in a PER for the items noted. Detailed analysis was performed on all important issues that related to large project elements that affect effluent quality or cost. We really believe that the items being called out as insufficient are simply unfair for a report of this type looking at the complex treatment and effluent quality issues analyzed. The reviewer agrees with much of this point. However, one applicant's major issue is anotheFs minor issue. Since the PER outline does not discuss how these type of issues l! should be handled any different/y, the review report has made note of them. The cost of these items which the app/icent refers to as minor adds up to more than $500,000. Does the technical design proposed thoroughly address the deficiencies selected to be resolved and provide a reasonably complete, cost- effective and long-term solution? (If the proposed technical design proposed does not thoroughly address the identified deficiencies or provide a reasonably complete, cost-effective and long-term solution, describe why.) Comment: The PER included information on two different population scenarios, a lower bounds (LB) population and an upper bounds (UB) population. The City determined that the LB scenario was the desired scenario. However, the solution for the RBC facility is different for the LB scenario than for the UB scenario. The report discusses this fact and the issues associated with the difficulty of predicting population growth. A concern exists that the LB solution proposed may not be optimized with a longer term scenario or a h!gher population growth scenario. The applicant points out that any population and growth projections have associated uncertainty. They go on to say, "The comments in this paragraph would seem to 'mark down' the approach and proposed solution for honestly and accurately pointing out ~fsks to the community. These risks are inherent in any solution even when they may not be so honestly pointed out." The intent of the reviewer is to honestly point out this situation in response to question 'e'. The applicant apparently felt it a warranted to evaluate a LB and an UB population scenario. Since this type of analysis is not typically completed in a PER, it seems to indicate that the applicant has a higher than typical level of concern about the accuracy of growth projections. The selected RBC alternative includes the use of proprietary patented equipment made by Parkson Coroporation (data attached to Appendix P of the amended PER). The PER includes a copy of a pilot study that was conducted in New Jersey on this equipment in 2003. MDEQ is sometimes resistant to approve equipment that has not been extensively tested specifically in Montana. The reviewer presumes the proposed technology is quite new since it was not mentioned in the original PER but then becomes the recommended alternative in the amended PER. There is some concern that cost control could be maintained when specifying a proprietary equipment that will not have open competition during the bid process. The applicant clarifies that the cost estimates in the PER have considered the lack of competition for this equipment. The PER assumes a 50% reduction will be achieved through I&l reduction activities such as replacing the trunk mains. It is not clear from the PER what exact work this 50% reduction corresponds to. What are the consequences if the actual reduction is much larger or much smaller?. The report does not address this question. The PER explains the substantial I&l impact on the existing flows then goes on to estimate the current per capita flow of 146 gpcd. The PER also discusses the wintertime flow rate is 115 gpcd which likely includes sizable amount of I&l. When projecting t2 design flow rates for future populations it then utilizes these same per capita flow rates for additional users adding to the system. This approach doesn't seem appropriate. Additional users would more likely be contributing more traditional flows of 100 gpcd or less. As more people connect to the system they will likely connect by adding new service lines and new collection mains that are constructed to today's more stringent leakage standards than what is serving the existing population. Thus, it seems that the PER may have overestimated the future design flow rates somewhat. The impact on the overall conclusions of the report are not certain. The applicant responded to the preceding paragraph by stating, "... The (per capita flow) conclusion is based on engineering judgment that could be debated. Comparison of the approach that was taken in the PER and the approach suggested by the reviewer results in similar, although not identical, total flow numbers, depending on the assumptions made about the level of infiltration reduction. We would suggest that the numbers in the PER are acceptable and other reasonable approaches (as suggested by the reviewer) would not result in estimates that would materially affect the results or conclusions in the PER" /t remains the opinion of the reviewer that it is impossible to determine the impact that this issue would have on the recommended alternative without substantial additional effort. An overestimated per capita flow rate of 46 gpcd across the anticipated increased population of 1,651 yields an overestimated design flow of about 76,000 gpd. This amount off/ow does not seem insignificant but its impact on the recommended solution or its cost cannot easily be evaluated. Are all projected costs and the proposed implementation schedule reasonable and well supported? Are there any apparent technical problems that were not adequately addressed that could delay or prevent the proposed project from being carried out or which could add significantly to project costs? (Describe any costs not adequately discussed or any problems that were not discussed that could delay the project.) Comment: No. Detailed cost estimates were not provided for the gdt removal and headworks facility, the primary clarifiers hydraulic improvements, the plant water system improvements, or the RBC with Geo-Reactor units. A review of these cost estimates was not possible since the information was not included. The implementation schedule was adequate. The applicant states, 'We have endeavored to provide adequate contingency and cost escalation factors to ensure that the project is well funded." Have the potential environmental problems been adequately assessed? Are there any apparent environmental or technical problems that could delay or prevent the proposed project from being carried out or which could add significantly to project costs? (Does it appear that the Uniform Environmental Checklist was adequately completed? Were all of environmental concerns noted in the Uniform Environmental Checklist ]3 adequately addressed in the PER? Describe the impact this project would have on the environment.) Comment: Yes, environmental problems have been adequately addressed. No apparent environmental or technical problems were noted. For projects involving community drinking water system improvements, has the conversion to a water metering system for individual services been thoroughly analyzed and has the applicant decided to install meters? In those cases where individual service connection meters are not proposed, has the applicant's PER thoroughly analyzed the conversion to a water metering system and persuasively demonstrated that the use of meters is not feasible, appropriate, or cost effective? Comment: N/A. Is there any other pertinent information that might influence the scoring Of this statutory priority? (For example, were there any known previous studies completed to document the problem and if so, were the conclusions different from the PER)? Comment: SUMMARY - STATUTORY #3 The MDOC scoring team felt that the preliminary engineering report was complete, and that there were no issues of any significance that were not adequately addressed. The MDOC scoring team determined that a level 5 score is appropriate given the lack of questions and issues concerning the PER. 14