HomeMy WebLinkAboutCouncil Workshop Minutes 12.30.2008MINUTES
COUNCIL WORKSHOP
DECEMBER 30, 2008 6:30 P.M.
COUNCIL CHAMBERS
A Council Workshop was held in the Council Chambers and called to order by Mayor Ken Olson at
6:30 p.m on December 30, 2008.
COUNCIL MEMBERS PRESENT:
x Emelie Eaton
_x Kate Hart
_x Chuck Rodgers
x Alex Wilkins
Doug Poehls
_x Mark Mace
Chuck Dickerson
_x Norm Stamper
OTHERS PRESENT:
Sam Painter Chad Hanson, Great West Engineering
Kurt Markegard Carl Anderson, Morrison-Maierle
James Caniglia Chris Mehus, Beartooth RC&D
Rick Musson Carla Lawrence, Beartooth RC&D
Marvin Carter
Public Input (three-minute limit):
Citizens may address the Council regarding any item of City business not on the agenda. The duration for an individual
speaking under Public Input is limited to three minutes. While all comments are welcome, the Council will not take action
on any item not on the agenda.
There was no public input.
Beartooth RC&D: Presentation of Memorandum of Understanding
Mayor Olson introduced Marv Carter, the Vice-Chairman of the Board of Directors of the Beartooth
RC&D.
Marv introduced Carla Lawrence and Chris Mehus to talk about what Beartooth RC&D has done for
the City of Laurel and to present the Memorandum of Understanding and the 2009 invoice.
Carla Lawrence has served as the coordinator for the Beartooth RC&D for almost a year. The
Beartooth RC&D covers a five-county area, including Big Horn, Carbon, Stillwater, Sweet Grass, and
Yellowstone Counties. Chris distributed copies of the 2008 Annual Report and a project list for
Yellowstone County to the council. The Board is made up of members from the city councils, the
county commissioners, and conservation districts in the area. Marvin Carter represents the City of
Laurel and Gay Easton represented the Conservation District until he passed away.
Chris reviewed the projects in Laurel and Yellowstone County this year. Beartooth RC&D has
several existing loan clients in Laurel. Beartooth RC&D holds its first-time homebuyer classes in
Laurel, and those are very successful. They cooperate extensively with Big Sky EDA, which is the
economic development arm in Yellowstone County and the City of Billings. Beartooth RC&D helped
initiate the downtown revitalization project and the resource assessment in Laurel in the summer of
Council Workshop Minutes of December 30, 2008
2007. They continue to support the downtown association, the Chamber of Commerce, and local
businesses on that project. Chris thanked the council for the opportunity to serve the City of Laurel's
economic development needs.
Mayor Olson stated that the Beartooth RC&D has been instrumental in many projects throughout the
area. He stated appreciation for their hard work and interest in the community to make Laurel a better
place.
• Resolution authorizing the Mayor to execute the agreement
Mayor Olson stated that the resolution approving the Memorandum of Understanding with Beartooth
RC&D would be on the January Oh council agenda.
Public Works Department:
Kurt Markegard stated that the three resolutions are for the South Laurel storm water replacement
project. Kurt introduced Chad Hanson, Great West Engineering, to present an overview of the project
and explain the documents.
Chad stated that the three resolutions tie together. The South Laurel storm water and sanitary sewer
project is almost completed. Substantial completion was reached December 12th, and then the
weather turned nasty. Great West looked at awarding COP a suspend work order, which is unusual
after reaching that point in a project. They have two weeks left to return and clean things up.
Because of that, Kurt requested that the warranties start at final completion, instead of substantial
completion. COP agreed to that so Great West prepared a suspend work order and the warranties will
start next spring when the project is finished.
• Resolution - Amendment No. 2 to Task Order No. 3 from Great West Engineering for the
South Laurel Storm Water Improvements Project
The first resolution is the amendment to the task order to transfer some of the money from the
engineering to the construction part of the project budget to help with the overrun. Between the first
amendment, which was the reduction in scope and this amendment, Great West has been able to kick
$80,000 back into the construction side from the original engineering contract.
Resolution - Change Order No. 4 from COP Construction for the South Laurel Storm Water
Improvements Project
Change Order No. 4 includes three items. First, COP Construction has made a claim per the General
Conditions for additional asphalt removal quantities. The claim is based upon the presence of 18
inches of asphalt on South First Avenue versus the six to eight inches anticipated as part of the project
bidding. The additional costs total $20,947. Second, the actual installed quantity for pavement
restoration in the project was 57.7 percent more than the estimated quantity in the bidding documents
resulting in four additional calendar days being necessary to complete the work. Third, the contract is
paid based upon unit prices and needs to be adjusted to reflect actual quantities of material installed
versus the estimated bid quantities. This adjustment equals $86,412.33.
• Resolution - Approval of Suspend Work Order for COP Construction for the South Laurel
Storm Water Improvements Project
Chad explained this resolution earlier in his presentation. Next spring when COP requests to go back
to work, Great West will issue a Resume Work Order that the city has to approve. COP will probably
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Council Workshop Minutes of December 30, 2008
return when there is a two to three-week window of good weather so they can finish the sweeping, the
little bit of concrete work, the site cleanup, and several minor items.
Chief Administrative Officer:
• School District - Site Plan
Since the Chief Administrative Officer was not at this meeting, Mayor Olson stated that this item
would be on the January 13th council workshop agenda.
Executive review:
• Laurel Urban Renewal Agency
Mayor Olson stated that seven responses have been received for the five positions on the Laurel
Urban Renewal Agency. State statute requires the members to reside within the municipality in
which the TIF District was created. Since three of the applicants do not reside in the City of Laurel,
there are only four valid applications at this time. Ads will run in the newspaper for two additional
weeks. The Agency will be given the charge to investigate, determine, and prioritize the projects that
will come forward for the revenue generated from the TIF District. The TIF District includes the
downtown Main Street area, extends down South First Avenue and down Southeast Fourth Street.
Mayor Olson asked for suggestions of people to serve on the Agency.
• Council Issues:
o Riverside Park (Emelie Eaton)
¦ Yellowstone Historic Society sign
Kurt stated that Michelle Steffans is waiting for the posts to mount the sign. The Park Board will
decide where to place the sign, and a date and time will be determined for installation of the sign next
spring.
¦ Nez Perce kiosk
Mayor Olson stated that Bill Sheridan could provide more information regarding the kiosk.
¦ Chain link fencing around buildings
Mayor Olson stated that there is chain link fencing around the house that the maintenance person
stayed in.
¦ Update on land survey
James Caniglia received the paper plat of the survey yesterday and should receive the Mylars this
week. The survey is shaped differently than James expected and there are not as many acres. The
County website shows 36 acres, but it is actually 29 acres.
Mayor Olson stated that the survey information can be used to prepare a master plan.
o Update on comprehensive plan for Riverside Park
Mayor Olson stated that the land survey needed to be in place to provide a true picture of Riverside
Park and to go forward with a comprehensive plan.
• Wastewater project (Emelie Eaton)
o Update on financial changes
Emelie stated that her concern was whether or not there were any complications with regard to the
budget with the wastewater project coming forward.
Council Workshop Minutes of December 30, 2008
Mayor stated that the questions could be answered with the public works item on the council
workshop agenda. With the council's permission, Mayor Olson moved the last item to this point on
the agenda.
Public Works Department:
• Carl Anderson, Morrison-Maierle: Improvements to the Wastewater Treatment Plant
Carl Anderson presented information regarding the improvements to the Wastewater Treatment Plant
at the council workshops on November 250' and December 9th. After the December 9th presentation,
Carl sent a follow-up letter to Mayor Olson to provide a brief summary of Morrison-Maierle's
progress to date, cost and rate information on the proposed alternatives, and to request Council
direction on the alternatives. The letter included the following requested action items:
1. Endorse activated sludge as part of Phase II or continue with the RBC improvements. (MMI
strongly recommends implementation of the activated sludge option.) Formal action on the
final, revised Facility Plan will be required by MDEQ.
2. Addition of UV light disinfection to the Phase IT Project or pursue as a separate project after
2010. (MMI recommends postponing this improvement until after 2010 and implement it as a
separate project provided the City agrees that this project could be incorporated into a TSEP
grant application in May 2010.)
3. Incorporation of the originally envisioned lift station improvements (basically replace or
renovate to existing capacities) or incorporate expanded lift station alternatives to better serve
the area on the east side of town. (MMI recommends pursuit of additional funding for these
improvements and implementation at a later date).
There was a lengthy discussion regarding the issues, the discharge permit, and the possibility of rate
increases. A 19 percent sewer rate increase will go into effect on July 1, 2009, and this is the last
scheduled rate increase. The base sewer rate will increase from $21.57 to $25.57 per month. Carl
proposed that 6 percent sewer rate increases would be needed in 2010, 2011, and 2012 in order to
fund the original project with activated sludge.
Kate Hart stated that Morrison-Maierle's recommendations make the most sense to her.
Mayor Olson stated that the first and third recommendations include activated sludge and the
originally envisioned lift stations. A resolution reflecting those recommendations will be prepared for
the council's consideration at the January 6th council meeting.
Carl Anderson asked Mayor Olson if he could present information regarding a collapsed pipe under
the interstate. It may confuse the issue but it needs to be addressed and there is a possibility it could
be incorporated into this project. Carl explained that a collapsed pipe underneath the interstate could
allow sewage to be discharged to the groundwater. He estimates a cost of $1 million to fix the pipes
going under the interstate and additional rate increases would be necessary.
Carl stated that the issue was discovered during the trunk main project. This is an issue that the city
will have to deal with at some point as the city has the potential for an environmental issue with raw
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Council Workshop Minutes of December 30, 2008
sewage being discharged to the groundwater. There is no proof of that, but all the indications point
that direction.
Carl explained how the issue was found during the trunk main project. When the connection was
attempted on Lindy Lane, the contractor found an oblong clay tile pipe that should have been round.
The contractor connected to it as well as possible by pouring some concrete around it to make sure it
was as leak proof as possible and then buried it. Subsequent to that, the city hired Pace Construction
to go out and video the line under the interstate. The attempt to video the line was unsuccessful as the
camera fell off a two-foot ledge. That indicated that the pipe on the south side is in questionable
condition and on the north side it falls into a hole. Obviously, there is sewage leaking somewhere
because the pipe has been compromised on the north side of the interstate. In looking at the drawings
obtained from MDT, it appears that there is a 60-inch steel casing pipe underneath the interstate with
an 18-inch clay tile pipe for sanitary sewer and a storm drain pipe that goes through the larger pipe.
Two pipes go through a casing pipe underneath the interstate that was installed more than forty years
ago. Carl explained the risks involved if the line were to completely collapse.
This issue was addressed and solved in every alternative reviewed in the lift station study prepared by
Morrison-Maierle. If the council wants to incorporate a fix for this particular issue at this time, an
appropriate size pipe would be installed that would work with any of the alternatives proposed for the
future. The cost estimate for the project is about $1.1 million. This would require additional loan
money and would impact the sewer rates. Morrison-Maierle's recommendation was to go with the
activated sludge project and the original lift station options. In addition to the 19 percent sewer rate
increase on July 1, 2009, that would require a 6 percent rate increase in 2010, 2011, and 2012. The
additional $1.1 million would increase that from a 6 percent increase in 2010, 2011, and 2012 to a 10
percent rate increase in 2010, 2011, and 2012.
There was discussion regarding adding this issue to the project. Carl recommended that the council
move forward with the resolution on the first three items at the next council meeting and then take
additional time to review this issue.
Carl distributed rate impact summary information, and a copy is attached to these council workshop
minutes. The summary showed the rate impact with the original project and with the additions of
activated sludge, UV, and the crossing project.
Mayor Olson stated that a resolution reflecting the first and third action items would be prepared for
consideration on the January 6`h council agenda. Further information will be reviewed regarding the
crossing issue under the interstate.
Carl explained that their solution for this issue is to install two pipes, a storm drain pipe and a sewer
pipe. Since there is already a 60-inch hole going under the interstate, they recommend a 54-inch steel
casing be pushed through with some pre-drilled holes in it so they can grout the annular space
between the outside of the new pipe and the inside of the old pipe. Then there will be a 54-inch
casing that is concrete encased as the casing pipe for the new sewer line that would go under the
interstate. He stated that this would be the most cost-effective way to solve the problem and the two
crossings would cost $1.1 million.
Mark Mace stated his recommendation that the council consider doing something about this issue.
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Council Workshop Minutes of December 30, 2008
Mayor Olson stated that more information would be brought to the council as it is received.
Other items
Mayor Olson stated that the Arbor Day Proclamation will be on the January 6`h council agenda.
Kurt explained that the Tree Board met recently and decided to celebrate the life of Gay Easton and
memorialize his volunteerism in the community on Arbor Day. In the last few years, Gay was the
driving force behind the Arbor Day events and program. Since Gay was a Laurel fireman for thirty
years, the Tree Board decided to plant a tree and place a plaque in his honor in Fireman's Park. In
order to involve the fire department, the council, and the community, the Tree Board scheduled the
Arbor Day event on Wednesday, April 15`h, at 6:00 p.m. The actual Arbor Day is usually the last
Friday of April. The city applied for a $1,000 DNRC Grant with a 35 percent match for the Arbor
Day celebration. If the city spends $1,350 on the Arbor Day event, the city's portion could be in-kind
services.
Review of draft council agenda for January 6, 2009
Mayor Olson stated that the Ceremonial Calendar will include recognition of Jean Carroll Thompson
for her work on the Christmas to Remember Committee.
Attendance at the January-6,-2009 council meeting
All council members present will attend.
Announcements
Mark Mace stated that the Public Works Committee would start meeting again in January. The
meetings, which are held on the Monday between the first council meeting and the council workshop,
will start at 5:30 p.m. in the council chambers.
Mayor Olson stated that the City of Laurel will host the next city-county joint meeting on Thursday,
January 22nd. Further details will be available soon.
The council workshop adjourned at 7:48 p.m.
Respectfully submitted,
U
Cindy Allen
Council Secretary
NOTE: This meeting is open to the public. This meeting is for information and discussion of
the Council for the listed workshop agenda items.
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RESOURCE CONSERVATION AND OPMENT ; INC.
PO 8*X 180, 606 Wig Fg01 Sow; oNt, MT 59061 606.9673916 FAIT 4W962-YW
Beartooth RC&D Area, INC.
Summary of Projects with Yellowstone County
General Projects
Bridging Cultures Committee - Cooperative working partnership with
Billings/Crow Agency
Shepherd Community Center - grant writing assistance
General Projects Available to All Counties in the Area
Education for Existing Businesses - Cooperation with regional Small Business
Development Center (SBDC) and Big Sky EDA in Billings, Rebecca Helvik
-- Regional Mass Transit - initial scoping and planning with existing transporters
Business Retention and Expansion (BEAR) - incumbent workers training (IWT)
Certified Regional Development Cooperation (CRDC)
Local ED Coordination - monthly meetings (Stillwater, Big Horn, Big Sky EDA)
Legislative Forums - Information meetings to discuss 2010 funding
Business Technical Assistance/Consulting (We worked with these
businesses but no funding was provided through the Revolving Loan Fund)
Agri-Best Feeds (Billings)
-- Rocky Mountain Compost (Billings)
Eugene's Pizza (Billings)
Somewhere in Time (Billings)
Revolving Loan Fund Clients
Montana Territory Meats (Laurel)
Cattle Development Center (Custer)
Big Sky Woodcrafters (Laurel)
Caps Headwear (Billings)
Suazo Glass (Laurel)
Eminkay Trusses (Billings)
-- Link Communications (Billings)
Fireline (all counties in region)
Granite Health (Billings)
Awzwolt Inter.- MT Drum (Billings)
Grains of Montana (Billings)
Agriculture
Montana Hog Marketing Association - business technical assistance
-- Grains of Montana - business planning/technical assistance and grant writing
Billings Community Kitchen - Technical planning and assorted Network
assistance (BPIC)
-- Floating Islands International (Billings)
Agriculture Available All Counties in the Area
Community Food Campaign - Business planning and assistance and grant
writing
-- Rangeland Reserve -- Burnt Area Emergency Reduction (BAER) all counties
but pilot is in Sweet Grass County
-- MT Bio Fuels Industry COOP - Organizational planning and business technical
assistance
Risk Management Education (Washington State University grant) value-added
Ag and potential for forming producer marketing clubs
National Carbon off Set Coalition (NCOC) sponsoring county sign ups with CDs
Anaerobic Digester - Northern Rockies RC&D/Bitterroot RC&D
Local Wind Energy - (Sarah Hamlen)
Made in Montana Workshops - Outreach and education
Eureka Winning Ways - business growth outreach and education
MCC Biofuels Curriculums -- Education outreach through regional schools
Mobil Biofuel Processor - Education outreach through regional schools
Local Wind Energy - CREBS
Hazardous Fuels Reduction
County Projects - Assessment and funding
Housing
First Time Homebuyer Classes - assists approximately 220 families per year
Programs
Natural Resources Conservation Service (NRCS)
Revolving Loan Fund (RLF)
Small Business Development Center (SBDC)
Montana Cooperative Development Center (MCDC)
Economic Development District (EDD)
- Bio-Product Innovative Center (BPIC)
Certified Regional Development Corporation (CRDC)
National Carbon Offset Coalition (NCOC)
NeighborWorks® Montana (NWMT)
City of Laurel
Rate Impact Summary
12/30/08
2009 % Incr,
Current Approved 2010-
Project Cost Rate Rate 2012 2010 2011 2012
Resulting Rates, Even % Increase 2010 - 2012
Original
Project,
2010 $4,740,750 $21.57 $ 25.57 3% $ 26.34 $ 27.13 $27.94
Orig Project
+ AS $5,885,000 $21.57 $ 25.57 6% $ 27.10 $ 28.73 $30.45
Orig Project
+ AS + UV $6,665,000 $21.57 $ 25.57 7% $ 27.36 $ 29.28 $31.32
Orig Project
+AS+
Crossing $6,971,000 $21.57 $ 25.57 10% $ 28.13 $ 30.94 $34.03
Orig Project
+AS+UV+
Crossing $7,751,000 $21.57 $ 25.57 12% $ 28.64 $ 32.08 $35.92
Resulting Rates, Sin le Increase in 2010, no increase 2011, 2012
Original
Project,
2010 $4,740,750 $21.57 $ 25.57 5% $ 26.85 $ 26.85 $26.85
Orig Project
+ AS $5,885,000 $21.57 $ 25.57 11% $ 28.38 $ 28.38 $28.38
Orig Project
+ AS + UV $6,665,000 $21.57 $ 25.57 15% $ 29.41 $ 29.41 $29.41
Orig Project
+AS+
Crossing $6,971,000 $21.57 $ 25.57 21% $ 30.94 $ 30.94 $30.94
Orig Project
+AS+UV+
Crossing $7,751,000 $21.57 $ 25.57 25% $ 31.96 $ 31.96 $31.96