Agenda - Council - 05/10/2005 - Laserfiche WebLink

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CONSIDER SUBMITTING LETTER TO GET ON PROJECT PRIORITY LIST FO R WATER TREATMENT AND SUPPLY IMPROVEMENTS By: Leonard Linton, Civil Engineer II B.',ckground: Staff recently presented information on the Drinking Water Revolving Fund at a council work session. The program is operated by the state and provides below market rate loans for improving public water systems. Discussion focused on how the program operates and how the city would get into the program. The city will need to consider construction of a water treatment plant in order to meet the demands as outlined in the Comprehensive Water Study. The Water Study and CIP both project availability of the plant in 2007. Construction of the plant is anticipated to take 15 - 18 months after all approvals have been obtained. Bolton & Menk, Inc. prepared the Comprehensive Water Study and has assisted staff in preparation of this case. The l~rst step is submitting a letter requesting the city's project be placed on the Project Priority List (PPL). The deadline for receipt of the PPL letter.is May 20, 2005. Requesting placement of the project on the PPL does not obligate the city to complete the project or participate in the program. The next step in the program is application to be placed on the Intended Use Plan. The deadline fi~r the 17UP application is June 3, 2005. The project must start construction in state fiscal year 2006 (July 1, 2005 - June 30, 2006) in order to be placed on the IUP. A draft letter requesting placement on the [UP is attached. The proposed schedule on the attached letter indicates design should be underway for the plant. This has not been authorized, however there is some flexibility in the schedule, Bolton & Menk feels it is possible to begin construction before June 30, 2006. The city is located near the edge of the Franconia, Ironton, Galesville aquifer, the source for the existing city wells. Two additional wells have been approved by the Department of Natural resources and Department of Health; however the city has been advised to consider alternate sources for future water supplies after the next two wells are constructed. The City is adjacent to the Mississippi River so a surface water source is feasible. Construction of a surface water treatment plant to supply the city water needs will reduce the regional demand on the aquifer and may free up capacity that can be used by cities without river access. Ramsey should receive favorable reviews and rank high on the list of projects to be funded since it is not drawing from the Franconia, Ironton, Galesville aquifer. Both letters must be signed by a municipal official. Staff has recently learned that the city may need to meet additional requirements in order to receive funding under this program. Staff recommends submitting the letters now meet the filing deadlines and continuing to work with the appropriate agencies to satisfy the outstanding requirements. -329-