HomeMy WebLinkAboutMinutes 10/12/1998 UTILITY ADVISORY COMMITTEE
Port Angeles, Washington
October 12, 1998
L Call to Order:
Vice Chairman Campbell called the meeting to order at 3:05 p.m.
II. Roll Call:
Members Present: Councilmen Campbell and Williams, and Joe Michalczik.
Members Absent: Councilman Doyle and Bill Myers.
Staff Present: Manager Ibarra, C. Knutson, B. Collins, K. Godbey, J. Pittis, C.
Hagar, B. Titus, R. Ellsworth, K. Ridout, and G. Kenworthy.
Others Present: Councilmember McKeown and P. Ripley.
IlL Approval of Minutes:
Councilman Williams moved to approve the minutes of the July 27, 1998, and September 21,
1998, special meetings. Joe Michalczik seconded the motion, which carried unanimously.
IV. Discussion Items:
A. Potential of Arranging a Regional Water Service Provider
Public Works Director Pittis described the intent of this discussion and the ongoing discussions
with the PUD regarding water issues in the Urban Growth Area. He stated that staff has been
meeting with the PUD on a monthly basis. Recently, discussions have centered around the
potential of a regional water service and who would be the provider. Director Pittis explained that
with the removal of the Elwha Dams, the City may have to change the way the water system
operates and how the City obtains water.
Director Pittis stated an ongoing study of the Ranney well was being performed to decide whether
additional treatment, at a cost of approximately $14 million, is required. Director Pittis went on
to describe the pipelines, who owns them, and treatment plants and reservoirs necessary in the
future for this area.
Councilman Campbell stated the Elwha River Dam removal funding is wrapped up in the 1999
budget appropriations process. Senator Gorton and the administration are still talking about this
issue. At some point in time, the Elwha Dam removal will become a reality, and the first thing
that will be done is the engineering around dam removal and protection and preservation of the
water supply. The City of Port Angeles has a great stake in what is done with respect to the
preservation of the water supply. Councilman Campbell explained the Elwha Act and what it
-1-
Utility Advisory Committee
October 12, 1998
addresses. These are all reasons for the City to be looking at the concept of a regional water
supply and not just fixing the area located within the city limits. He felt the City must get
involved in serious discussions about a regional water supply incorporating the City, PUD, Dry
Creek, and Black Diamond. A regional water supply carries more impact with the State and
Federal government as it relates to Endangered Species Act requirements and the Elwha River and
Morse Creek fish restoration. Councilman Campbell stated that it made sense to begin discussing
this issue now.
Director Pittis and Councilman Campbell responded to questions and provided additional
clarification. Manager Ibarra felt that prior to the City committing additional resources to this effort,
several other water projects need to be completed. Also, he felt further discussions should be held
with the PUD to discover if it is really serious about this project. Following lengthy discussion, it
was the general consensus of the Committee that staff continue dialogue with the PUD regarding
a joint approach to water supply and processing.
B. Discussion Regarding Garbage Hauler Contracts
Director Pittis explained that the commercial haulers' contracts will expire October 31, 1998.
Currently, commercial haulers are charged $63 per ton, while normal rates are $76.80 per ton.
One of the commercial haulers has requested a lower rate, and the City must respond to this
request. This hauler wants the City to drastically reduce its solid waste charges; however,
Director Pittis felt the current rate should be extended.
Director Pittis felt the commercial haulers did not understand why Jefferson County was given
such a low rate and they are not. Councilman Campbell felt if the commercial haulers are offered
a better rate elsewhere, they will go. Joe Michalczik asked what the impact would be if the
commercial haulers chose to long haul to a different facility. Director Pittis responded that
commercial haulers bring in approximately $1 million annually.
Manager Ibarra thought commercial haulers did not understand why Jefferson County received
such low rates in comparison. But, he felt it unfair to reduce rates for haulers and raise rates for
city residents, which is what would have to be done to keep the same revenue flow. Manager
Ibarra felt it would be prudent to discuss the future of the landfill beyond 2000, and whether it
was financially feasible for the City to remain in the landfill business. Discussion followed
regarding a transfer station and long hauling vs. landfill operations. Director Pittis and Manager
Ibarra responded to questions and provided further clarification on the issues.
No action was taken.
C. Bonneville Power Administration Subscription Process
Bob Titus, Deputy Director of Utility Services, reviewed the information contained in the packet,
including a draft letter to Bonneville listing comments on the subscription proposal. Discussion
-2-
Utility Advisory Committee
October 12, 1998
followed, and Mr. Titus responded to questions and provided additional clarification on the
subscription process and the comments contained in the draft letter.
Joe Michalczik asked if Bonneville's rates were currently competitive. Mr. Titus responded that
Bonneville is currently below market and will likely be at or below market until 2006. However,
it is likely that fish and wildlife costs will go up dramatically after 2006 and the hydro system will
be derated, leaving Bonneville with much less power to market; therefore, after 2006 the rates
may not be competitive.
Following further discussion regarding fish and wildlife costs, Joe Michalczik moved to
recommend Council approve submittal of the letter to Bonneville as written, unless Nick
Schaefer of Daishowa or others request changes to be made prior to submission to the
Council at its next regular meeting. Councilman Williams seconded the motion, which
carried unanimously.
D. Conservation Loan Program
Deputy Director Titus reviewed the information contained in the packet. Attorney Knutson is
doing research on the legality of enforcing the addendum to the conservation loans, which states
that if a loan is in default, the balance may be added to the borrower's utility bill, and the City
shall have the right to disconnect utility service for non-payment. Attorney Knutson will continue
researching this portion of the loan process.
Following discussion and clarification, Councilman Williams moved to recommend Council
approve of the Conservation Loan Program subject to possible amendment of the addendum
by the City Attorney. Joe Michalczik seconded the motion, which carried unanimously.
V. Information Only Items
Public Workshops on Coastal Processes
Planning Director Collins reminded the Committee of its prior discussion of the Marine Drive
bluff issues. This workshop is part of the County's ongoing process in dealing with the problems
of bluff properties. Director Collins felt it would be very informative for the UAC to attend one
of the workshops, as one is scheduled in Port Angeles on Tuesday, October 27, 1998. He stated
this is a free workshop, and the Planning Commission is also being invited to attend.
VI. Late Items
A. Contract with CH2MHill
Deputy Director Titus distributed a memo on the issue which Director Pittis reviewed. Hc
reminded the Committee that the City presently has a contract with CH2MHill for a number of
-3-
Utility Advisory Committee
October 12, 1998
other water related issues.
Director Pittis stated that one of the Mill Creek tasks was to look at the Supervisory Control and
Data Acquisition (SCADA) system. Staff felt it should see if the SCADA system the City is
looking at for Mill Creek has applicable usage for other elements of the water system and the
other utilities. Staff proceeded based upon the scope at Mill Creek and discovered that the scope
and cost would not take care of the original planning necessary to look at a broader vision of
SCADA for the other utility elements. An increase in the contract with CH2MHill, in an amount
not to exceed $17,305, would allow the necessary planning.
Director Pittis reminded the Committee that the City has a bilateral compliance agreement with
the Department of Health to cover the City's reservoirs. In that agreement, the City pledged to
cover the Jones Street Reservoir out of its own funds. The tasks necessary to comply with this
agreement are not covered in the current agreement with CH2MHill. A contract with CH2MHill,
in an amount not to exceed $35,404, would allow the completion of the necessary task for this
project. Staff is requesting that UAC concur with both projects and recommend Council approval
of a single contract with CH2MHill covering both of these projects.
Discussion followed, and Director Pittis and Deputy Director Titus responded to questions and
provided additional clarification. Joe Michalczik moved to recommend the City Council
authorize the Mayor to sign an agreement with CHzMHill for consulting services associated
with multi-utility SCADA and covering of the Jones Street reservoir. Councilman Williams
seconded the motion, which carried unanimously.
B. Solar Power Forum
Councilman Williams advised the UAC that next week he would be attending a Solar Power
Forum in Winthrop, Washington. He will report on this forum at a future meeting.
VI. Next Meeting:
The next meeting will be November 9, 1998, at 3:00 p.m.
VIII. Adjournment:
-4-