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HomeMy WebLinkAbout07.19.2004• • COUNCIL WORK SESSION July 19, 2004 4:00 p.m. Council Chambers Mayor Hurley called the meeting to order at 4:18 p.m. Members present: Kincaid, Cole, Greenwood, Clark, Schmitt, Gunderson, Welper. Moved by Welper, seconded by Kincaid that the Agenda, as proposed, be approved. Ayes: Seven. Motion carried. Tim Shea, Superintendent of Waste Management Services, updated the council on the renewal of the contact with Nutri-Ject Systems, Inc. for disposal of biosolids. The contract with Nutri-Ject is for five years and can be renewed for an additional five years if mutually agreed upon. Nutri- Ject has proposed reducing the lease of the biosolids storage building from $18,000.00 per month to $4,500.00 per month for July 1, 2004 through July 31, 2009, for a reduction of $13,500.00 per month. They have requested a 2.5 percent cost of living increase in wet ton transport rate which will amount to .39 cents per net ton increase or approximately $6,000.00 more per year at the current production. The new rate will increase from $15.49 per wet ton to $15.88 per wet ton effective July 1, 2004. Nutri-Ject will continue to provide the city with all required IDNR bi-monthly analysis and all biosolids related correspondence as well as the IDNR/EPA required annual reports. Nutri-Ject has been partnering with the city since 1989 and the partnership has been mutually beneficial to both parties. Nutri-Ject has a record of 40,000 dry tons of wastewater residuals applied annually by their firm in and around the Midwest. Nutri-Ject purchased property south of the city and constructed a building for storage of the biosolids, and they lease the building to the city. The cost to lease the building was $18,000.00 per month for five years. After five years, the payment is $4,500.00 per month. There is an option to purchase the building for $450,000.00, but the Superintendent of Waste Management Services recommends that we do not purchase the building as operating costs will increase. The Superintendent of Waste Management is recommending that the city continue with the contract with Nutri-Ject and will forward the renewal to the full council for approval. Scott Wienands, Vice President of Nutri-Ject Systems, Inc., reported that regulations ten years from now should allow the city to continue using the present system of disposal of biosolids. Waterloo has extremely low metal content. Biosolids cannot be spread on items such as carrots, beets or potatoes. The contract contains a clause which allows either party to give a 120 day notice to terminate the contract. With no further business before the council, it was moved by Clark, seconded by Welper that the meeting be adjourned at 4:35 p.m. Ayes: Three. Motion carried. Nancy Eckert City Clerk