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HomeMy WebLinkAbout09.b. Execute One Specific Modification and an Extension to the Permit Contract with ACME Fill Corporation for Discharge of Treated Landfill LeachateCentral Contra Costa Sanitary District ' BOARD OF DIRECTORS POSITION PAPER Board Meeting Date: March 18, 2010 No.: 9.b. Engineering Type of Action: AUTHORIZE PERMIT CONTRACT Sudject: AUTHORIZE THE GENERAL MANAGER TO EXECUTE ONE SPECIFIC MODIFICATION AND AN EXTENSION TO THE PERMIT CONTRACT WITH ACME FILL CORPORATION FOR DISCHARGE OF TREATED LANDFILL LEACHATE sudmlrred By: Tim Potter, -nitlating Depr.~Dlv.: Engineering/ Environmental Compliance Superintendent Environmental Services REVIEWED AND RECOMMENDED FOR BOARD ACTION: T. Potter A. Farrell K. Alm James y General Manager ISSUE: Wastewater Discharge Permit Contracts for Class I Industrial Users must be approved by the Board of Directors. The current three year Permit Contract with Acme is to expire on April 1,.2010. Acme representatives have requested modifying the pretreatment processes and some of the monitoring required in the current Permit Contract in addition to reducing the amount of the certificate of deposit (CD) that the District holds. Staff is proposing allowing the reduction in the CD amount and processing a one year extension to the existing contract to allow evaluation of the other Acme proposals. RECOMMENDATION: Authorize the General Manager to execute an extension of up to one year and one specific modification to the current Permit Contract with Acme Fill Corporation regarding the acceptance of treated landfill leachate. FINANCIAL IMPACTS: No adverse financial impacts are anticipated from incorporating the specific modification or processing this extension. Source Control, laboratory, and legal costs are recovered by direct billing. Treatment plant and collection system costs are recovered through the Sewer Service Charge. ALTERNATIVES/CONSIDERATIONS: The alternative to the proposed modification and extension to the Permit Contract would be to process a new three year contract with no modifications. This alternative is not recommended since some alteration of the monitoring and pretreatment processes may be acceptable while still protecting District operations; therefore, staff feels it is reasonable to investigate Acme's requested modifications. BACKGROUND: Acme's pretreated landfill leachate has been accepted by the District under a pilot project since the early 1990's, and through permit contracts since 1994. A permit contract was used to protect the District and to preserve the right to modify the discharge conditions or stop receiving the treated leachate. The District chose to receive the leachate at the direction of the Regional Water Quality Control Board POSITION PAPER Board Meeting Date: March 18, 2010 subject. AUTHORIZE THE GENERAL MANAGER TO EXECUTE SPECIFIC MODIFICATIONS AND AN EXTENSION TO THE PERMIT CONTRACT WITH ACME FILL CORPORATION FOR DISCHARGE OF TREATED LANDFILL LEACHATE (RWOCB) because the District's sludge and ash had been disposed of at Acme Fill, and the District's franchised solid waste companies disposed garbage in the landfill. In addition, the RWQCB identified that there were no viable alternatives available for the disposal of the treated landfill leachate as the hazardous waste landfill operations entered into closure. During the last three years, Acme has operated the Leachate Treatment Plant (LTP) in compliance with the conditions of the Permit Contract which is set to expire on April 1, 2010. This compliance record was maintained for the prior six years except for one Notice of Violation issued in January 2005 when discrepancies between the reported volumes of influent and effluent were noted in the monthly compliance report. Acme corrected this condition'. During discussions about the Permit Contract renewal, Acme representatives proposed a potentially significant change to the required processes used to treat the landfill leachate: a reduction and potential elimination of adding Powered Activated Carbon (PAC). This proposal may have merit, in particular the reduction of PAC in the treatment process, but District staff believes that a formal evaluation process, including enhanced monitoring during the evaluation period, should be employed. The proposed Permit Contract extension maintains the protections in the previous Permit Contract during the evaluation period. One modification requested by Acme representatives is recommended as part of this Permit Contract extension. Currently the Permit requires a Certificate of Deposit in the amount of $150,000 to cover costs not recoverable under environmental liability insurance requirements. Acme has requested that this amount be reduced and staff has investigated our potential liabilities and recommends that a CD in the amount of $50,000 is adequate to protect the District's interests. Therefore, staff is recommending that this change be made as part of the one year Contract extension. Staff has concluded that approval of this contract extension is exempt from the California Environmental Quality Act (CEQA) under District CEQA Guidelines Section 15301 since it involves permitting of an existing operation with no expansion in use. Approval of this Permit Contract extension will establish the Board of Directors' independent finding that this action is exempt from CEQA. RECOMMENDED BOARD ACTION: Authorize the General Manager to execute one specific modification and an extension of up to one year for the current Permit Contract with Acme Fill Corporation regarding the acceptance of treated landfill leachate from the Acme Landfill located in Martinez, California. Item ~~'.a & ~(:.b Central Contra Costa Sanitary District Proposed Capacity Fees & Environmental and Development-Related Rates & Charges March 18, 2010 Schedule • Set Public Hearing Date ------ March 18, 2010 • "Outreach" --------- March 19 to April 15, 2010 • Conduct Public Hearing --------- April 15, 2010 • Fees & Charges effective----------July 1, 2010 1 Capacity Fees • This one-time "buy-in" fee is charged at time of connection and is used primarily for capital facility needs. • Capacity Fees are ~25-30% of long- term Sewer Construction Fund revenue. • Annual Capacity Fee revenue is somewhat unpredictable since it is dependent on rate of development. Capacity. Fee Approach • "Buy-in" calculation: Value of Assets ---------------------- =Capacity Fee Number of RUE This approach avoids having current customers subsidize new connectors. 2 Current Capacity Fees • Gravity Zone: • Pumped Zone: $5,298 /RUE $6,949 /RUE Proposed Capacity Fees • Gravity Zone: $5,451 /RUE (+2.9%) • Pumped Zone: $7,092 /RUE (+2.1%) 3 Environmental Services and Development-Related Rates & Charges • Recommended Rates and Charges reflect: - Revisions to address actual cost of services and benefits of process improvements. • If adopted, 49 fees would increase, 1 would decrease, and 24 would remain unchanged. Public Outreach • Letters (400) - Home Builders Association - Applicants, Developers, Engineers, Business Owners and Contractors • Meetings with Customers (tentative dates) - April 6, 2010 at 7 pm - April 7, 2010 at 10 am 4 Schedule • Set Public Hearing-Date ------ March 18, 2010 • "Outreach" --------- March 19 to April 15, 2010 •~ Conduct Public Hearing --------- April 15, 2010 • Fees & Charges effective----------July 1, 2010 Questions...? 5