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HomeMy WebLinkAbout2000-12-18 Water & Sewer Distri NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 600 ASSEMBLY The District Board of Commissioners of the New Hanover County Water and Sewer District met in Regular Session on Monday, December 18, 2000, at 11:50 A.M. in the Assembly Room of the New Hanover County Courthouse, 24 North Third Street, Wilmington, North Carolina. Members present were: Chairman Robert G. Greer; Vice-Chairman Nancy H. Pritchett; District Commissioner Julia Boseman; District Commissioner William A. Caster; District Commissioner Ted Davis, Jr.; County Manager, Allen O’Neal; County Attorney, Wanda M. Copley; and Clerk to the Board, Lucie F. Harrell. NON-AGENDA ITEMS Chairman Greer announced that time had been reserved to allow the public to present an item that was not listed on the Regular Agenda. He requested all persons speaking to limit their remarks to three minutes. No items were presented. APPROVAL OF MINUTES Chairman Greer called for a motion to approve the minutes. Motion: Vice-Chairman Pritchett MOVED, SECONDED by District Commissioner Caster, to approve the minutes of the meeting held on December 4, 2000, as presented by the Clerk to the District Board. Upon vote, the MOTION CARRIED UNANIMOUSLY. APPROVAL OF REQUEST FROM CAPE FEAR COMMUNITY COLLEGE FOR EXEMPTION FROM WATER DEVELOPMENT AND WASTEWATER IMPACT FEES FOR CAPE FEAR COMMUNITY COLLEGE County Engineer, Wyatt Blanchard, reported that Cape Fear Community College was preparing to begin construction on the new campus located just north of NorthChase. Since the new campus will be located in the County, the College is required to pay water development and wastewater impact fees in accordance with the Water and Sewer Ordinance. In the past, all public school construction has been exempted by the District Board from development and impact fees. Staff recommends exempting the Community College from the fees. Chairman Greer advised that since Cape Fear Community College is a public institution that receives County funding, he would recommend waiving the fees. Motion: District Commissioner Caster MOVED, SECONDED by District Commissioner Boseman, to exempt Cape Fear Community College from the water development and wastewater impact fees. Upon vote, the MOTION CARRIED UNANIMOUSLY. REQUEST FOR COUNTY WATER SERVICE TO BROOKFIELD/BRIERWOOD NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 601 SUBDIVISION Chairman Greer reported that the District Board received a petition from residents of the Brookfield/Brierwood Subdivision requesting the District to install water lines when the sewer lines were being constructed in the subdivision. The estimated cost to add the water system would be $428,000. Staff has recommended assessing the residents a fee of $1,436 per household that can be paid upfront or paid in monthly payments over a period of 5 or 10 years. He requested the District Board to decide if the water system should be constructed. District Commissioner Caster referenced the Wilmington/Hanby Beach project where water and sewer lines were constructed at the same time and stated he felt that money was saved on the project. County Engineer Wyatt Blanchard advised that constructing both lines would save money for the District. He informed the District Board that some residents were present and would like to comment. Ms. Teresa James, a resident of 4405 Huckleberry Road, Brierwood Subdivision, spoke on the unacceptable condition of drinking water being provided by Coastal Plains Utilities. The water contains dirt and sediments which have to be treated with filters, salt systems, and chemicals at a cost of at least $850 per year. Since the District is in the process of providing sewer lines, it would be more economical to install the water lines at the same time. This would greatly increase the value of property in this area and allow for a better fire service. Many people in the community have not been able to sell their homes because of the poor drinking water, no water pressure, and frequent days without water. In closing, Ms. James informed the Board that Coastal Plains Utilities is currently appearing before the N. C. Utilities Commission for a rate increase. The residents have been told by Mr. Allie Moore, owner of the system, that no improvements will be made to the water quality or service. The water system does comply to minimum State standards, and it is felt that the rate increase will be granted to Coastal Plains Utilities. She urged the District Board to consider providing a water system to the Brookfield/Brierwood Subdivision so the residents can have decent drinking water on a 24- hour basis. Discussion followed on the upfront cost and assessment to be charged to households using the water system. Vice-Chairman Greer asked Ms. James if she would prefer to pay the assessment over a period of 5 or 10 years. Ms. James responded that the residents are aware of the assessment and are willing to pay over a period of 10 years. District Commissioner Davis requested County Engineer Blanchard to comment on the length of time involved with installing the water system. NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 602 County Engineer Blanchard advised that if the water system could be installed simultaneously with the sewer system it would be less expensive. It will take at least six months to design and permit the new system and the project should be completed in one year. He emphasized the importance of the residents understanding that county water is hard water because there is no treatment system at the current time. Once the system is completed, water will be provided on a 24-hour basis, but the water will not be soft. District Commissioner Davis requested Ms. James to comment on how the residents will cope with the existing water problems until the county system is completed in one year. Ms. James responded that unfortunately the residents will have to continue to use the water provided by Coastal Plains Utilities. If the N. C. Utilities Commission grants the rate increase with no improvements to the existing water system, they will file an appeal with the Utilities Commission which will cause a delay for Coastal Plains Utilities. By the time the appeal is resolved, the County water system should be in place. Engineer Blanchard stressed the importance of the District Board understanding that residents using Coastal Plains Utilities cannot be required to connect to the county water system. Each resident has the option of using one of the two systems. County Manager O’Neal reminded the Board that a Public Hearing would have to be held if the District decides to move forward with an assessment. Chairman Greer requested a motion from the District Board. Vice-Chairman Pritchett asked if the residents would be required to pay the assessment based on a 10-year period or would there be a choice of paying this cost upfront or over a period of 5 years. County Manager O’Neal responded that a resident would be allowed to pay the assessment at one time or in five years; however, the assessment would have to be paid within the 10-year period. He also expressed the importance of everyone understanding that two issues are involved with the proposed project: (1) the installation of the water system by the District to the street; and (2) the cost of running the line to the house, which has to be paid by the resident. Chairman Greer also emphasized the fact that numbers presented are estimates and will not be known until bids have been received. Motion: District Commissioner Caster MOVED, SECONDED by District Commissioner Boseman, to direct Staff to move forward with the project and assess the property owners that use the system over a 10-year period at an interest rate of 6%. Upon vote, the MOTION CARRIED UNANIMOUSLY. NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 603 BREAK Chairman Greer called a break from 11:50 A.M. until 12:00 Noon. UPDATE ON NORTHSIDE WASTEWATER TREATMENT PLANT County Engineer, Wyatt Blanchard, requested the District Board to endorse the resolution adopted by the City of Wilmington to jointly expand the Northside Wastewater Treatment Plant from 8 million gallons per day to 16 million gallons per day. The estimated cost of the expansion is $63,749,138 with 20% contingency including engineering. If discharge limits can be reduced, the cost will be reduced by several million dollars. There is also the possibility of not having to install a digester facility for the next ten years which will reduce the cost by approximately $5,000,000. County Engineer Blanchard said if the District Board endorses the resolution, the City will authorize the engineer to proceed with the final design. He advised that Mr. Alex Monroe, Project Manager of the expansion for McKim & Creed, was present and would like to present a brief overview of the expansion project. Chairman Greer referenced the proposed expansion at 16 million gallons per day and stated that citizens in the community, including Mr. Steve Vosnock, want to be assured that if Pender County is included in the project, the residents of New Hanover County will not be jeopardized with receiving sewer allocations. County Engineer Blanchard responded that the estimated cost was conservative and the figure should not increase. He also advised that based on the engineer’s projection for the next 20 years, New Hanover County will not need the entire 8 million gallons per day to accommodate its needs; however, there is no way to predict what will happen with growth during this period. The District Board should consider requiring Pender County to pay for 1 million gallons of the 8 million gallons to assist the District in paying for the expansion. Discussion followed on the amount of sewer capacity needed by Pender County. District Commissioner Davis referenced the resolution and requested an explanation of what the word, “allowance” means in the following statement: Should Pender County commit to purchase capacity in excess of the allowance, the expansion capacity can be adjusted accordingly. County Engineer Blanchard explained that initially Pender County requested 500,000 gallons per day and later requested 1,000,000 gallons per day. The capacity for Pender County can be adjusted for more or less capacity. The residents of New Hanover County will not be impacted by the adjustment. Mr. Alex Monroe advised that the engineers projected approximately 6.5 million gallons of residential, commercial, and retail growth within New Hanover County over the next 20 years. The NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 604 remaining 1.5 million gallons is the reserved capacity, which will be owned by both the City and County. This capacity is to be used for an emergency situation or some unforeseen event. In terms of industrial growth, 1.3 million gallons have been projected for the County based on the Land Use Plan. This growth should occur along the Highway 421 North industrial corridor, the river front above the Hilton, and around the Wilmington Port area. The capacity for commercial, retail and institutional use has been covered. The 1 million gallon allocation is available for Pender County within the 16 million gallons capacity. District Commissioner Davis again reiterated the importance of being sure that sufficient capacity is available for New Hanover County before allocating capacity to Pender County. Mr. Monroe presented a brief overview of the Northside Wastewater Treatment Plant expansion. He reported that over a year ago, McKim and Creed began preparing a combined Wastewater Management Plan for both the City and County. Since that time, the City and County have experienced a 30% growth in population. The anticipated growth over the next 20 years will require the City to expand and upgrade its two wastewater treatment plants. The Master Plan did not go beyond Snow’s Cut since Carolina Beach and Kure Beach have their own facilities. A chart was shown on the service areas of the Southside Wastewater Treatment Plant and Northside Wastewater Treatment Plant. The total capacity of the two plants is 20 million gallons per day. The Southside Treatment Plant is jointly owned by the City of Wilmington and New Hanover County but operated by the City. The estimated water flows for the year 2020 are projected at 28 million gallons per day. The 8 million gallons a day will be discharged at the Northside Wastewater Treatment Plant. Significant upgrades are required because of the increase in population and stringent permitting limits that will have to be met. Currently, only ammonia has to be removed, but if the permitting process requires removal of total nitrogen, this will require additional facilities at the plant. Since the Northside Wastewater Treatment Plant is located across from the Airport, odor control is important and modifications will have to be made to address this issue. Residual management (sludge) will have to be addressed. Currently, the residuals are land applied. There is a movement nationwide not to use land application because of the number of lawsuits. Land application is a Class B requirement. A pellet sludge product is a Class A requirement. Two facilities in South Carolina sell sludge pellets for use by golf courses throughout the south. These two facilities could not produce enough pellets to satisfy the demand. In New Hanover County, there should be no problem with selling the sludge pellets to surrounding golf courses. This system has been recommended for the plant expansion, and moving into a Class A category will allow postponing the purchase of a digester for at least 10 years, which will save a significant amount of money. The recommendation is to expand the plant from 8 million gallons per day to 16 million th gallons per day. To meet the needs of the County, the expanded plant needs to be on line by the 4 st quarter in 2003 or the 1 quarter 2004. The project is on schedule. NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 605 A lengthy discussion was held on the model used on the Cape Fear River and the restrictions imposed by accepting permits for 5/1 limits. The model used on the Cape Fear River indicated that the current impact of effluents into the Cape Fear River was minimal. The plan is to approach the permitting process with 15/4 limits, which is 15 milligrams per liter BOD and 4 milligrams per liter ammonia. If the County agrees to 5/1 limits, 4,200 pounds of BOD will be lost. The following charts were presented on the cost comparisons of the expansion project: Cost Impacts of Anticipated Improvements Cost Northside SouthsideTotal No additional Capacity &$10,000,000$20,100,000 $30,100,000 No Permit Changes Northside @ 16 mgd & 5/1 Limits$63,700,000$20,100,000 $83,800,000 Southside @ 12 mgd & 30/30 Limits Northside @ 16mgd & 5/1 Limits$63,700,000$35,400,000 $99,100,000 Southside @ 12 mgd & 5/1 Limits Northside Wastewater Treatment Plant Impact of Phasing Initial Project Cost at 5/1 Limits 12 MGD16 MGD $57,900,000 $63,700,000 Advantages: •Incremental cost is low. •Future expansion from 12 to 16 mgd is more costly. •12 mgd sufficient for only 5 to 10 years •Future waste load allocation more difficult to obtain. In concluding the report, Mr. Monroe recommended proceeding with expanding the Northside Wastewater Treatment Plant to a capacity of 16 million gallons per day with 15/4 limits. It is hoped that the 15/4 limits will be approved by permitting agencies. Once this information is available, both the City and County will be informed. NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 606 Mr. Steve M. Vosnock, a resident of 1109 Marathon Avenue, Castle Hayne, N. C., strongly objected to allowing more growth before the existing infrastructure needs are met in New Hanover County. He also objected to providing sewer to Pender County and stated this participation will only increase the money earned by the engineering and construction firms. After listening to the proposal to expand the plant from 8 million gallons per day to 16 million gallons per day, it is difficult to understand the increase unless additional capacity is needed for Pender County. It is absurd to think that Pender County will not need more than 1 million gallons per day. It is the responsibility of Pender County to control its growth instead of New Hanover County participating in this process by providing sewer capacity. Pender County is interested in promoting its industrial tax base. In closing, Mr. Vosnock reminded the District Board that many people in the unincorporated county will have to wait until the end of 2003 to receive sewer. It does not seem fair to these residents to allow Pender County to expand its industrial tax base by using the County’s sewer and treatment facilities and to allow new subdivisions to connect to the sewer while long time residents have to wait. Chairman Greer requested Mr. Vosnock to schedule a meeting with County Engineer Blanchard to better understand how the sewer capacity is allocated. Chairman Greer requested a motion to endorse the resolution adopted by the City. District Commissioner Boseman asked if the District Board could facilitate the merging of the City and County Water and Sewer services. Chairman Greer responded that efforts to have a joint water and sewer authority have been made in the past, and in his opinion, there should be one entity. However, expanding the Northside Wastewater Treatment Plant as soon as possible is the important decision at this point. Motion: District Commissioner Caster MOVED, SECONDED by Vice-Chairman Pritchett, to endorse the City’s resolution to proceed with plans to upgrade and expand the Northside Wastewater Treatment Plant in partnership with City of Wilmington to a capacity of 16 million gallons per day. Upon vote, the MOTION CARRIED UNANIMOUSLY. ADJOURNMENT Chairman Greer called for a motion to adjourn. NEW HANOVER COUNTY WATER AND SEWER DISTRICTBOOK 2 REGULAR MEETING, DECEMBER 18, 2000 PAGE 607 Motion: Vice-Chairman Pritchett MOVED, SECONDED by District Commissioner Caster, to adjourn. Upon vote, the MOTION CARRIED UNANIMOUSLY. Chairman Greer adjourned the meeting at 12:25 P.M. Respectfully submitted, Lucie F. Harrell Clerk to the District Board