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HomeMy WebLinkAbout07-15-17 Minutes of the Town Council Work Session held at 5:00 p.m. Tuesday, August 15, 2017 in the Council Chambers of the Town Municipal Building at 42 First Street, N.W. In attendance were: Mayor: Robert N. Glenn, presiding Councilmen Present: David L. Clark; Gregory C. East Joseph K. Goodman; H.M. Kidd; Lane R. Penn; James A. Radcliffe Staff: Shawn M. Utt, Town Manager Nichole L. Hair, Deputy Town Manager Spencer A. Rygas, Town Attorney Press: Brooke J. Wood, Southwest Times Staff Dave Hart, Director Parks & Facilities Robbie Kiser, Chief P.F.D. Bill Pedigo, Town Engineer David Quesenberry, Clerk of Council Rebecca Reece, Finance Director Gary Roche, Chief P.P.D. Others Present: Jim Cowan Lance Gardner Robert Graham Mark Green Joe Guthrie Michael Hutchinson John McElroy Tom Pugh Clarke Wallcraft Jeff Worrell Mayor Glenn called the meeting to order at 5:00 p.m. Following the call to order he asked for a moment of silence for the victims of the Charlottesville incident. After roll call, Mayor Glen asked if there were any modifications to the agenda. Mr. East moved that two items be added to the Closed Session (Item 15) under Va. Code 2.2-3711 (a) 1 involving a Worker's Compensation issue and another item be added under Va. Code 2.2- 3711 (a) 7 involving the New River Trail Extension. Mr. Kidd seconded the motion which was approved on the following roll call vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Next item was approval of the Consent Agenda (Item 5a) for the minutes of July 18, 2017. On a call for a motion from Mayor Glenn, Mr. Kidd moved to adopt the minutes of July 18th (2017) as written. The motion was seconded by Mr. Penn and approved by unanimous voice vote. Page 1 of 11/August 15, 2017 DS400169.WMA There being no public hearings, Council moved next to "Presentations" (Item 7a) to consider a request from James Hardie Building Products. Four representatives from James Hardie then addressed the Council. First to speak was Jim Cowan, legal counsel for James Hardie, who told Council that James Hardie was requesting the Town approach Pepper's Ferry on conducting a field study to measure the impact of increasing the allocation of sulfate emissions. The goal of the study was to show that the increase in the sulfate emission limit would not have any adverse effects on the Pepper's Ferry system. The next speaker was Tom Pugh, Environmental Compliance Manager, who reviewed the history of James Hardie and the reason for the request. Mr. Pugh reviewed the start of the Pulaski operation in 2006 and early discussions with the Authority and other industrial uses about proposed sulfate limits. Initially, Mr. Pugh said, Hardie felt Pepper's Ferry's plant could handle more (sulfate) and found it could not, which resulted in an agreement on a sulfate allocation limit in 2008. A change is being requested now due to company growth and building additional capacity in other areas of the plant. The goal he said, was for the plant to remain cost competitive to get consideration for future growth and more production at their facility. The biggest opportunity for cost reduction were water treatment and discharge costs, which other locations do not have. Hardie was asking for a study to see if there is any additional room to save money and become more cost competitive to maintain growth and jobs. Mr. Cowan said that one result of the costs was that Hardie was pretreating some of its discharge. The Clean Water Act nor a regulated material was at issue, he explained, but the issue was how sulfates were treated in a wastewater treatment plant that could create a corrosive gas. What the study would focus on was how much of the sulfate would create the corrosive gas and adversely affect the system. Despite increases in production, he said, Hardie remained under the limit and had looked at ways to address it. Unfortunately, the pretreatment process captures some of the sulfate which, at the current production level, cost approximately $175,000 per month to dispose of. The study he continued would incrementally, over a short period of time, increase the sulfate emissions into Pepper's Ferry, to see if the system could safely handle the excess or if there could be changes to the system that would be more cost effective than $2,000,000 pretreatment costs. Mr. Cowan noted that business appeared to be growing as builders moved away from vinyl siding to fiber-cement products. This growth had led to added production in other places. The opportunity for growth here, he added, was directly related to the increase in pretreatment cost. The pretreatment issue and sulfate limit does, he concluded affected the competitiveness of this plant because other plants do not have these restrictions. Mark Green reviewed the background of the science and explained why a field study would be a responsible approach to looking at their system. Mark Green, chemical engineer, told Council that Hardie had commissioned a study on how others deal with sulfates and H2S (hydrogen sulfide) in their systems. A field test was the Page 2 of 11/August 15, 2017 DS400169.WMA most appropriate way to understand the capacity of the system, and that it involved not only the chemistry of converting sulfate to H2S (hydrogen sulfide) but the physics also. Many different components are needed for the chemistry to happen but physics can contribute also, depending how the water is conveyed through the collection system. For example, he said, if the rate of flow through the system did not create a biofilm growth inside the pipes, then the formation of corrosives does not happen. Mr. Green said, their research indicated a connection between what was in the water and what gets to the gas phase. The best way to deal with that was to measure it in system. The study would take many samples at different points in the system and at the wastewater treatment plant to understand the concentration of sulfates in the water and the concentration of H2S in the vapor. What was proposed was to change the input by changing the level of pretreatment (increasing sulfate emission) and monitor all the checkpoints and keep track of the hydrogen sulfide (H2S) that might be generated at the checkpoints. The Town's main problem with hydrogen sulfide, he said, was odors. The remedy was probably dosing more chemicals at the spots than is done presently, but maybe not, even with higher emissions of sulfates. Mr. Green said the project team would meet weekly to review the data results and determine to either continue testing or change their method. The testing would assess how much hydrogen sulfide gas would be generated. He did not expect to see corrosion during the test, since corrosion results usually from long term exposure to hydrogen sulfide. Overall, the goal was how best to tackle the problem of hydrogen sulfide. Mr. Cowan then asked Mr. Green how the sulfate emission limits of other areas compared with the local plant. Mr. Green responded that other plants based their limits on the effluent side of the plant. If the product goes into a drinking water supply, the standard is 250mg/I, as compared to 135mg/I at the facility in Pulaski. Mr. Cowan asked if the limit would be bumped up to 250mg/I and higher. Mr. Green responded that one of the reasons to do that was that sulfates going through the treatment plant do not change. It can change in the digesters and can generate H2S which can be managed by "scrubbing" the biogas generated. Mr. Cowan asked why an off-line study could not be done. Mr. Green responded that the dynamics of a sewer system could not be duplicated in a lab. To Mr. Cowan's question on how other localities handle the problem, Mr. Green said that other localities tracked down the corrosion to where it was coming from. For communities that adopted sulfate limits, there were no limits found that were less than 250mg/I determined by readings from the "backside" of the plant. If there were concerns over high levels of sulfate, those levels approached 1000mg/I. Mr. Cowan then asked Mr. Green to describe the study that was requested to be presented by the Town to Pepper's Ferry. Page 3 of 11/August 15, 2017 DS400169.WMA Mr. Green said the study would track the sulfate through the system from James Hardie to Pepper's Ferry. Sampling locations would include the effluent plant, Critzer pump station, pump station 4A, pump station 4B, the Pulaski-Dublin interceptor junction, New River pump station and then at the treatment facility itself. Samples would be taken on 15 different days of the water and vapor along with the flow rates at each point. In response to a question from Mr. Cowan on past studies, Mr. Green responded that the last study was done in 2006. The research, Mr. Green continued, indicated that the physics/dynamics of the system played a big role in the chemical reaction converting sulfates to sulfides. Mr. Cowan told Council that their request was that Pepper's Ferry temporarily modify their allocation program and set an alternate limitation (for sulfates) as allowed under their regulations. He asked that the Council authorize Mr. Utt to move forward with the request in the appropriate format. Mr. Penn asked how long would the study take. Mr. Green said there would be five weeks of sampling five times a week to get the fifteen data points for the study, followed by a pause and resumption of sampling for another five weeks for a total of 20 weeks. Mr. Penn said his experience suggested that damage from corrosion occurred over two or three years and asked if they foresaw damage over the twenty weeks of testing. Mr. Green said they were not trying to force damage to happen but were measuring the level of hydrogen sulfide to keep it manageable and see if the system can accommodate it. Mr. Cowan added that they were seeing if they could make these changes for higher sulfate emission while not increasing the gas and corrosive damage. Mr. Green said if the levels went too high they would make changes. Mr. Goodman stated that there was a potential for damage and asked was there a plan to take out a bond to remedy any damages. Mr. Green said no, that the plan was to monitor and change conditions. Mr. Goodman also inquired if there would be additional testing for a high flow rain day or would it be set on specific days. Mr. Green replied sampling five days a week had been discussed to measure organics, with sampling done Wednesday through Sunday to determine if there were differences between weekdays and the weekend. He thought that the time of the study was long enough to include rain events. Mr. Goodman said he understood that Hardie desired to move away from pretreatment using chemical additives. He asked if using increasing amounts of chemicals presently used or other chemicals had been discussed with Pepper's Ferry. Mr. Green replied that they had not talked with the Authority. Mr. Cowan added that they had asked for a meeting with the Authority concerning the study to address concerns they may have. Mr. Utt felt the first step for a meeting would be to go through Town Council to the Authority. Mr. Goodman stated that he understood that the sulfides would be increased and then chemical treatment used which would drastically or by a percentage decrease the cost. Mr. Page 4 of 11/August 15, 2017 DS400169.WMA Pugh said they did not know what level of cost reductions they could achieve to protect the system and give relief to Hardie. This was what the study was to find out. Mr. Goodman asked what limits were found at other plants given that 250mg/I was the lowest. Mr. Greene said there were others that were higher, some 500 mg/I, others 9,000 lb. per day. Most communities he said did not regulate sulfates, finding that sulfur in the water was a management issue. Referring to a handout, Mr. Green said the majority of plants in Virginia had no limit on sulfates. Mr. Goodman asked if there were something that could be done with the gas (H2S) produced at a certain point, perhaps burning it off. Mr. Greene said there were things that could be done such as coating surfaces, noting that a lot of gas is usually seen at lift stations or pump stations. Mr. Clark asked where there were not limits, was there a correlation based on population and flow or is it more random. Mr. Cowan said the length of the pipe to the treatment plant was a factor, while Mr. Green added that temperature and length of time in the sewer were other factors. Mr. Kidd asked Mr. Pedigo what his thoughts were. Mr. Pedigo said he had seen a lot of corrosion in the system and there had been a lot of industry that put sulfates in the system. He felt that a study, with certain controls, could be done and that he agreed with the presenters that trying to model the system would be hard to do. In addition he said that the Town's resources had to be protected. If the gas was monitored and did not go to high levels, then that was an assurance that it could be controlled. Mr. Clark said that right now the group was using a study from 2006, which was the year Hardie went on-line and there were other industries which no longer exist, that were contributors at that time. He understood the need for a new study and felt the data could prove valuable not just for the Town, but for Hardie and the Authority. Mr. Radcliffe remarked that this problem been talked about for years and asked should a settlement pond be considered and would it help or hurt. Mr. Pugh said the greatest help for future capacity growth would be avoiding pump station 4A and go directly to 4B. He mentioned that Mr. Pedigo was already working with Hurt & Proffitt whose work could benefit from the study to design a system for 4B. Mr. Pugh said that ponds would work better in a dry, arid area. A reasonable time for future expansion would require looking at the issue six months to a year in advance. Mr. East commented that the study seemed needed and asked what work had been done on direct injection to 4B. Mr. Pedigo said that the Town was trying to get a PER funded that would have some design follow up. He described the route of flow from the Hardie plant to Pepper's Ferry noting the flow doubled back past Hardie to 4B. A proposed solution, he continued would be to get flow into the force main directly to 4B cutting out two pump stations. A problem with this solution Mr. Pedigo explained was that there was no storage at 4B to hold the flow in case 4B did not run for a while. Ponds or tanks could be used with a tank providing Page 5 of 11/August 15, 2017 DS400169.WMA a way for more pretreatment. He noted that the PER for the project is very near getting approved to which Mr. Utt added that the PER was about 95% complete with the environmental processes done. Mr. Utt said the project was going through a Federal funding source which required several more steps to complete. Cost estimates ran between $2 million to $2.5 million for a tank and pump station to get the effluent into the force main. Mayor Glenn asked Mr. Pugh if the goal was to get away from pretreatment at the plant and just do chemical injection. Mr. Pugh said there would still be some level of pretreatment required, but that other things could be used such as barium chloride to combat issues created by sulfates. Mayor Glenn then asked if there was an estimate of savings that might be realized. Lance Gardner the plant controller, said that increased limits might give a 50% reduction or 75% reduction, but that would depend on the study. Right now the savings were unknown, but the goal was trying to put the plant into a better cost position by getting relief without harming anything and getting the plant in line with other industries. Mayor Glenn asked Mr. Green if testing would be done inside the Pepper's Ferry plant. Mr. Green said yes probably at the inlet after primary treatment and after secondary treatment and at the solids. In reference to Mr. Penn's comment on long term exposure, Mayor Glenn asked after the 20 weeks of testing were complete was there a plan for testing to make sure no long term problems crop up. Mr. Green said recommendations would be prepared based on test results, but they did not have a plan at this time. Mr. Cowan added that at the end of the study, a number on sulfate emissions could be recommended for adoption by the Authority. Part of that proposal would require some ongoing monitoring so the higher levels would not result in damage. Mr. East asked if there was a time frame for the PER for direct injection. Mr. Utt said the PER was with the state engineer for final review and he could not give a definite timeline. Mayor Glenn asked Mr. Utt if the direct injection to 4B would help the system. Mr. Utt said it would help the Town system immensely; the question was what would be the effect further down the line regarding odor. He estimated that it would be 11/2 to 2 years before direct injection would be operational, so another study might be necessary. Data had been provided to the engineering firm who felt there would not be a problem. Mr. Utt felt that it would help the Town with maintenance for the two pump stations. With comments concluded, Mr. East moved that Town staff be authorized to formally forward James Hardie Building Products request, to study the effects of increased sulfate discharge concentration to the Pepper' Ferry Wastewater Treatment Plant, to the Pepper's Ferry Wastewater Treatment Authority for their consideration and approval pursuant to Note 5, Appendix A. The motion was seconded by Mr. Kidd and carried on the following roll call vote: Page 6 of 11/August 15, 2017 DS400169.WMA Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Next item of business (Item 8a.) was a request by the Ratcliffe Museum concerning the viewing platform. Mr. Utt said the Ratcliffe Museum board had asked that the current viewing platform be declared surplus for donation to the Draper Community Center for use as a handicapped accessible ramp. New viewing platforms had been installed in the museum and more room was needed for another train display. Mr. Utt felt that the platform was of such unique character to the museum that the matter should be decided by Council. Mr. Goodman asked about the policies for surplus property and was surplus property to be sold. Mr. Utt responded that the policy allows for transfer to another non-profit or governmental agency without being sold. Mr. Goodman then moved that the Town surplus the existing platform at the Ratcliffe Museum and donate it to the Draper Community Center. The motion was seconded by Mr. Penn and carried on the following voice vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Council then moved to discussion of the Peak Creek walls (Item 8b). Following Council's directive at the last meeting to have a plan of action concerning the rock walls in the Downtown, Mr. Utt reported that the Friends of Peak Creek have reached out and offered to draft a "white paper" concerning options for repairs and funding. They have also connected with the New River Conservancy who have contacts with the Army Corps of Engineers, Dept. of Environmental Quality and others. A possibility exists, he continued that a member of the Army Corps of Engineers may be present at the September work session to discuss options concerning structural concerns with the rock walls. The Town had reached out to DEQ and the regulatory agency of the Corps of Engineers. Both declined an invitation to come because they wanted a permit application in place and a PER analysis of what needed to be done before they responded. The Corps member that may come in September was from the Charleston office which dealt more with problems than regulations. Mr. East asked regarding the regulatory part of the work, were grants available that could assist. Mr. Utt responded that he hoped the Corps could help and had also asked Mrs. Van Hoy who was checking on other opportunities. He added that he expected there might be something with the Corps and maybe something with DEQ for streambank restoration, though grant funds from that agency were limited to $100,000. Page 7 of 11/August 15, 2017 DS400169.WMA Mr. Goodman thanked Mr. Utt for his efforts and said that he supported moving forward with both groups and taking advantage of the resources offered. 11 Mayor Glenn asked Council for an alternate date for a meeting at Gatewood. Following discussion Council decided to meet at the Municipal Building at 4:00 p.m. on September 5th and proceed from there to Gatewood and return to the Municipal Building for the 7:00 p.m. Council Meeting. Next item on the agenda was revolving loan fund applications (Item 9a). Mr. Utt informed Council that while working on documents for the three loans approved by Council in July, both he and Mr. Rygas realized that the motion to approve did not state the term or the interest rate. He recommended that the 10 year term at 3.5% APR for the three loans be added to the resolution. Mr. Goodman moved to modify the resolution of the July 5th Town Council meeting to add that each loan would be for a term of 10 years at an interest rate of 3.5% APR conditioned on being fully collateralized and conditioned upon payments being made directly to the respective contractor. The motion was seconded by Mr. East and approved on the following roll call vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Council then considered Item 10a, Resolution 2017-19: Required Covenants for USDA Rural Development, Pre-Development Planning Grant. Mr. Utt said, one of the requirements for the James Hardie PER was a resolution that reflects back to the approved agreements from 2015. Documentation was supplied, but staff did not realize a formal resolution was required. The resolution in the packet was a verbatim resolution from USDA formally approving the agreements that Council approved in December 2015. Mr. Goodman moved to approve Resolution 2017-19. The motion was seconded by Mr. Clark and approved on the roll call vote as follows: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Council then moved on to Resolution 2017-20:Appointments to the Pulaski County Regional Communications Board(Item 10b). Mr. Utt said that last year both the Mayor Glenn and Mr. Penn had been reappointed to the Regional Emergency Communications Board with Mr. Penn as the voting member and Mayor Glenn as the alternate. However there was a problem in that the Town Manager, Police Page 8 of 11/August 15, 2017 DS400169.WMA Chief, Fire Chief (alternate to the Manager), and the Police Captain (alternate to the Chief) also needed to be reappointed. The board did not see that as an issue, but Mr. Utt felt that formal appointments were necessary. The bylaws required five standing board members consisting of the Town Manager, the County Administrator, the Police Chief, the Sheriff and the Emergency Management Director. The resolution, he said, was to add two members and two alternates to insure adequate representation by the Town. Mr. Kidd moved to adopt Resolution 2017-20 as written. His motion was seconded by Mr. Clark and approved on the following roll call vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Next on the agenda was Round Table Discussions (Item 14). Mr. Radcliffe complemented the employees for the success of the cookout and suggested catering the event so employees could enjoy themselves. He then asked for an update on the Post Office. Mr. Utt said he had heard nothing but had contacted Sen. Warner's office and had sent a signed release to the Senator's Office in hopes of an update in a week or two. He expressed concern over reports concerning financial problems of the Postal Service and the lack of activity at the Post Office itself. He hoped that information would soon be coming from Sen. Warner's Office and that Sen. Kaine's office was going through the same process. Also contact had been made with Rep. Griffiths. Mayor Glenn said he had talked with Sen. Warner's Chief of Staff who was receptive to the concerns expressed. Mr. East asked about the holiday lighting for Jackson Park. Mr. Utt replied that the conduit installation was scheduled to begin the Monday after Pulaskifest and would take about a week to a week and a half to complete. Regarding the lighting plan, Mr. Utt reported that the new trees, the poles, and the track side trees and trees on the street were included. Mr. East then asked about the RFP for the Town's website. Mr. Utt reported that four proposals had been received and were ranked. A problem with the ranking process may require consultations with Mr. Rygas, re-advertisement, or review as a closed session item. This would result in an additional delay for the project. Mr. East asked if the problem could be resolved quickly to which Mr. Utt said it could be and needed to be. Mr. East felt the Town was missing an opportunity to have all non-profits linked up and get "one stop shopping" for all items. Mr. Clark had no comment. Page 9 of 11/August 15, 2017 DS400169.WMA Mr. Goodman urged caution concerning the website as a "one stop shopping" in that the Town could set itself up for failure by regulating content that wasn't theirs. Mr. East clarified that he was referring to a template for non-profits but not providing content linking to the Town's site. Mr. Goodman cautioned that the Town needed to be careful to maintain the site's content and providing changes to it. Mr. Utt said that part of the RFP was to provide for regular updates which would be better. Mr. Goodman felt having someone on staff updating the site was needed because changes could be made immediately if something happens. On another issue, Mr. Goodman said many citizens in town were complaining that they had not seen a police presence on the trail. Mr. Utt responded that most of P.D.'s officers were in plainclothes. Mr. Goodman said he had also received complaints of homeless persons on the trail panhandling or acting and looking aggressive towards people. He ventured that it might be time for a policy stance concerning the properties where these persons collect. A brief discussion ensued concerning encampments that were on property with the owner's permission and how those could be dealt with. Mr. Kidd said he had received thanks from citizens for the paving on Pepper's Ferry Road. He also asked about the status of the Rent-All property. Mayor Glenn suggested the matter be referred to the Code Enforcement Officer. Mr. Penn had no comment. Mayor Glenn said he was pleased by all the new interest in the Town from investors. He mentioned recent purchases of buildings, a Planning Commission case for a virtual reality venue to open in December and a new café to open before Mardi Gras. In addition, Ms. Hair had been authorized by the Commission to prepare a basic ordinance on urban chickens. Mayor Glenn felt things were progressing and that he commended the management team and staff for their efforts. Mayor Glenn then called for a motion to go into Closed Session. Mr. Goodman moved that Council go into Closed Session for three items: (1) under personnel pursuant to Va. Code 2.2-3711 A 1 discussion, consideration, for employment; assignment, appointment, promotion, performance, demotion, salaries, disciplining, or resignation of specific public officers, appointees, or employees regarding a Worker's Compensation claim; (2) two items under property disposition or acquisition pursuant to Va. Code Section 2.2-3711 A 3 discussion for consideration of disposition or acquisition of publicly held property regarding the Ridge Avenue Tower site and a proposed New River Trail Extension. The motion was seconded by Mr. Clark and Mr. East and approved on the following roll call vote: 11 Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Page 10 of 11/August 15, 2017 DS400169.WMA Council entered the Closed Session at 6:25 p.m. Council returned from Closed Session at 7:16 p.m. Mayor Glenn called for a certification motion for the Closed Session. Mr. Radcliffe moved that Council discussed only those matters mentioned in the motion for the Closed Session. Mr. Penn seconded the motion which was approved by the following roll call vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye Mr. Goodman then moved to authorize the Town Manager to execute the agreement for purchase of (an) easement between SBA Towers 10, L.L.C. and the Town of Pulaski for the Ridge Avenue tower site, to be governed under the terms set forth in the agreement subject to Town Attorney review and correction as necessary. Mr. East seconded the motion which was approved on the following roll call vote: Mr. Radcliffe -Aye Mr. Goodman -Aye Mr. East -Aye Mr. Kidd -Aye Mr. Clark -Aye Mr. Penn -Aye There being no further business Mr. Goodman moved for adjournment. The motion was seconded by Mr. East and approved by unanimous voice vote at 7:20 p.m. Approved: Robe N. Glenn, Ma e r ATTEST: David N. Quesenberry, Clerk of Council Page 11 of 11/August 15, 2017 DS400169.WMA