06-06-96 WSCITY OF OTSEGO
WRIGHT COUNTY, MINNESOTA
CITY COUNCIL WORKSHOP
6:30 PM
OTSEGO CITY HALL
JUNE 6, 1996
1 Larry Fournier. Vice Mayor will call the meeting to order in Mayor Freske's absence.
Larry Fournier, Vice Mayor, called the Workshop Meeting to order at 6:37 PM.
Rol all: Councilmembers: Vern Heidner, Ron Black, Larry Fournier, Suzanne
Ackerman
Absent: Mayor Norman F. Freske,
Staff. Bob Kirmis, Assistant City Planner; Larry Koshak, City Engineer; Andrew
MacArthur, City Attorney; Elaine Beatty, City Clerk/Zoning Administrator; Judy Hudson,
Deputy Clerk.
2. Presentation by John Domke/Rick O'Gara, SKB.
(Since Mr. O'Gara and John Domke arrived late, this Item was taken after Item 3.)
Rick O'Gara, President of SKB. Mr. O'Gara gave a brief presentation on the type of
landfill they run and maintain, a demolition landfill. They currently own and operate one
in Inver Grove Heights. They are very interested in locating one in Otsego.
Mr. O'Gara went over the benefits to the City i.e. financial gains host fees, residents
receiving inexpensive or free disposal of wastes. In 1995, Inver Grove Heights Landfill
took in over 750,000 cubic yards of waste. SKB is looking at around 300,000 cubic yards
of waste disposal for Otsego in the first year. They would like to have a landfill in Otsego
in an isolated corner of the City and said it will not hurt the environment.
VM Fournier asked what dollar amount could the City expect to gain and how they will
monitor what goes into a landfill.
Mr. O'Gara said there are many ways to set up a host fee - guaranteed fixed amount plus
so much per yard or just per yard. He thought the minimum would be $300,000.00 the
first year. Every person working is a certified landfiller trained by the MPGA. All loads
go through a checker, several people are checking it all along the different steps. The
biggest safeguard is the liner that is put in. The lechee meets drinking water standards, it
is just brown and dirty, it has iron but will not pollute.
CM Ackerman asked how big of an area they are looking at.
Mr. O'Gara said approximately 100 to 200 acres.
Mr. Domke said they go beyond for berming and covering material. What is above the
ground they try to blend in with the terrain. Trees aren't allowed on top of it but can put
plants with shorter root systems. They pointed out there are many end uses for this i.e.
parks, golf courses.
Elaine Beatty inquired about the hill, asking if when one part is used is it covered up. Mr.
O'Gara replied yes and the one in Inver Grove Heights has four phrases to it. He pointed
out the negative sign to the landfill is that there is blowing paper but they have people
picking up each day until it is done.
City Council Workshop of June 6, 1996, cont'd. Page 2.
CM Heidner asked how far below the grade do they dig down.
Mr. O'Gara said it depends on the water table and grade. They have talked to a few
residents and it sounds like their water tables are 70 to 80 feet down. They can go down
to 5 feet above the water table. They thought maybe they would go down 50 feet and 30
feet up.
CM Heidner asked about the rate of compaction and how many years of operation. Mr.
O'Gara said it is compressed about one-half and they are looking at between 3 and 6
million yards. The Inver Grove Heights is for 6 million cubic yards, opened in Oct. 1989
and they are two-thirds full now.
CM Black asked about what sort of dust and noise is associated and where is Otsego are
they looking.
Mr. O'Gara said by law they have to maintain dust, they put in all-weather roads, have a
water truck, a lot of blacktop and use crushed asphalt instead of gravel for out in the site.
Regarding the noise, there is on site equipment, and trucks going in and out. They rarely
operate beyond 4:30 PM. They are looking in the Southwest area of the City.
Larry Koshak talked about enforcement and asked if the City would be involved in this.
Mr. O'Gara said enforcement is usually done by the County than the MCPA.
Elaine asked how many employees. Mr. O'Gara replied four are on site at all times.
John Domke said they want to be good neighbors and they get along well with Inver
Grove Heights. This City has a Clean Up Day and SKB takes in their junk. They have
also started scholarship funds, etc.
VM Fournier asked what assurances would Otsego have that SKB completes the project
to the finish.
Mr. O'Gara was not positive if Wright County has the ability to acquire the financial
issues. If they don't, the City could and he further discussed this.
CM Black asked how the landfill is classified under a tax structure.
Mr. O'Gara replied - heavy industrial.
Mr. O'Gara and Mr. Domke offered tours for anyone.
There was more discussion on the end use. SKB said houses can't be built on it but
mentioned the golf course and park. There isn't much settlement of soils with this type of
land fill as with sanitary landfills. It could also be used for agricultural.
Mr. Koshak noted SKB did a good job on the Bodendrier land.
Mr. O'Gara and Mr. Domke said they are looking at sites in Hennepin and Sherburne
Counties but they like the Otsego area with the 94 access. They would like some type of
commitment from the City.
CM Black said he personally wouldn't like to take this on now because of all the other
issues the City is dealing with at this point.
VM Fournier said he is not prepared to indicate anything as this point but asked for 45
days to think over. The Council asked the City Clerk to put this on the June 17, 1996 City
Council Agenda.
City Council Workshop of June 6, 1996, cont'd. Page 3.
4. Review the Otsego Creek Project.
Larry Koshak, City Engineer, went over the total estimated project cost of the Otsego
Creek Project for $69,562.50. He also went through the ten and five year levy amounts.
Mr. Koshak presented the possible options for the levy as directed by the City Council.
1. Not levy Engineering Cost associated wit the Otsego Creek Authority;
$14,442.00; reducing the project by 17%.
2. Not levy for 1 and remove the $6,000 for obstruction removal; reducing
project cost by 24.3%.
3. City could finance the replacement of 83rd Street Culvert pipe under
Public Work Budget. Reasoning for this replacement is that this culvert is
under a City street and is part of the City Street System. Otsego Creek
Authority bylaws state that all road culverts are individual City
responsibility. It is difficult to rationalize this option when the culvert size
and location do also serve the watershed. Included in this option is not to
levy items 1 and 2 above; reducing project cost by 54%.
4. Abandon the proposed levy and institute a utility fee for the district
landowners to pay for the repairs. Replacement of the culverts would be
an improvement project and would not be Operating and Maintenance
funding which is the primary use for utility fees.
Mr. Koshak said if the City is interested in reducing the cost of the levy, he would
recommend Option 2. If the Council decision is no levy, then the culverts should be
placed in the 5 Year Capital Improvement Budget.
VM Fournier asked the City Engineer when he says no levy would then this be paid out of
the General Fund. Mr. Koshak said he is basically saying to abandon the project. The
culverts would have to be placed in the budget for the future. Mr. Koshak stated all costs
put in the project are legitimate costs.
A Resident questioned if there was a problem with the culvert as it appears to be working.
Mr. Koshak pointed out that this year, there is no problem, but with spring flows like last
year, then it is being undermined around the perimeter of the culvert and the road starts to
sink. The culvert will need to be sized to take care of the flow in the Spring and try to
eliminate the future damage.
Floyd Goenner questioned if the DNR would allow the bigger culvert. Mr. Koshak
replied the DNR approved the plans and they approved the flow capacity.
Mr. Alvin Beaudry said if the culvert wasn't place right, the City should be responsible.
Mark Berning said the engineer working with that placement should be responsible.
Mr. Koshak said the Township did it with no involvement of an Engineer.
City Council Workshop of June 6, 1996, cont'd. Page 4.
Stormwater Drainage Utility Fees.
Mr. Koshak reviewed that he and the Finance Director, Phyllis Cokley, met some time ago
to formulate rationales for a proposed fee and recommend a fee amount.
Phyllis Cokley, Business/Finance Director went over different billing procedures. She
pointed out this not unusual kind of service and that many communities do this.
Mr. Koshak pointed out the fee amount could be different between rural and urban areas
Storm Sewer Districts.
CM Black asked if this was done by district, would that be accountable for each districts.
Ms. Cokley replied yes there would be a fund for each district.
Mr. MacArthur said the districts were formed for differentiating the projects.
There was Council discussion on using separate funds for separate districts. Some feeling
that some districts require higher maintenance and they should have to pay. Mr.
MacArthur said they are trying to get away from the assessments and maintenance should
be City wide in his opinion since it is a overall benefit to the City. Because it is based on
impervious surface area and this applies city wide. District are more for projects or for
trunk fees that go into developers agreements.
A Andy MacArthur - Discussion of Impact Fees
Mr. MacArthur's understanding was that the Resolution he drafted, be changed to reflect
that there would be no deferment and this is what the minutes stated.
CM Black said on the developments just approved he doesn't have a problem deferring but
anything in the future - no deferment.
CM Heidner and VM Fournier agreed.
6_ Adjourn_
CM Black motioned to adjourn. CM Ackerman seconded. All in favor. Motion carried.
Wor p a t� l at 8:57 PM.
lWre *a• 'I.A.
Mayor Norman F. Freske
Atte t: Elaine Beatty, City Clerk/Zoni� g Adm.
Recorded by: Judy Hudson, Deputy Clerk
City Seal