SOUTH COUNTY SEWER AND WATER AUTHORITY PRELIMINARY LAKE SEWER SYSTEM INFORMATIONAL MEETING
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1 SOUTH COUNTY SEWER AND WATER AUTHORITY PRELIMINARY LAKE SEWER SYSTEM INFORMATIONAL MEETING Presented by: Alan C. Smaka, P.E. Jeff S. Landers, P.E.
2 Introductions & Stakeholders Barton Lake Schoolcraft Township SCS&WA Village of Schoolcraft Village of Vicksburg Brady Township Pavilion Township WAI Others
3 History Pre-1990 Vicksburg develops sewer system currently receiving treatment from City of Kalamazoo. Pre-1990 Long Lake sewered receiving treatment from the City of Kalamazoo. Mid-1990s SCS&WA created to serve Indian and Pickerel Lake with sewers receiving treatment from the City of Kalamazoo. Mid-1990s to Present Various investigations made to serve individual South County service areas historical need for a public wastewater system for these areas has been widely known and discussed WAI engaged by SCS&WA for preparation of a region-wide feasibility study.
4 Past Obstacles to Expanding Service Service agreement constraints with City of Portage and City of Kalamazoo for conveyance and treatment of generated wastewater. Independent treatment alternative never strongly considered reduced bargaining strength of South County stakeholders. Review of proposed projects on an individual basis vs. bundling into a single package that reduces costs to all (strength in numbers). Did not leverage existing customer base of SCS&WA and Village of Vicksburg what happens if they collaborate for the good of South County? Information not presented to the public in a clear manner to demonstrate all applicable costs to the end users. Need for project not clearly defined and/or understood by stakeholders.
5 WAI Past Experience
6 Areas of Interest S. Long Lake Schoolcraft Commercial District Village of Schoolcraft Sugarloaf Lakes VW Ave District Sunset Lake Indian and Pickerel Lakes Village of Vicksburg US 131 N & S Howard Lake Barton Lake Fisher Lake Portage Lake
7 Combination Alternatives WAI has analyzed ten different alternatives of communities/service area combinations in the study. Alternatives were created to evaluate which combinations produced feasible project alternatives does not allow a single entity to hold the project hostage. Barton Lake appears in Alternatives III, VI, VII, VIII and IX. Final alternative to be recommended based on initial feedback and level of interest from services areas.
8 Need for Project Nutrient Pass-Through Minimal protection for ground and surface water 90% of Nitrates and 10-25% of Phosphorus pass through into ground and surface water
9 Need for Project Housing Density Septic systems best in low density areas with available land Increased density = decreased dilution High density/overlapping drain fields = increased water pollution Density is the primary reason the Village of Vicksburg and other Cities/Villages need sewer systems not related to a lake but to protect public health and safety
10 Need for Project Minimum Septic Setbacks -Current County Standards Lake/Stream 1 = 50 Well = 50 Footing Drain = 25 Property Line = 5 Not Under Paved Areas Equal Replacement Area Required Increased Property Values Often in excess of assessment
11 Need for Project Poor Soils Dense soils have low percolation rates causing surface ponding Coarse soils increase nutrient pass-through USDA Soil Maps rate many area soils as moderate to severe (or poor) for septic systems
12 Need for Project High Groundwater Table Distance from septic field to groundwater impacts dilution 48 vertical isolation distance required per current code High groundwater = decreased nutrient removal
13 Need for Project Increased Water Usage Increased use of common appliances Water softener backwash disrupts system biology Saturation causes ponding and system failure Once seasonal homes now year-round Greater flow = greater pass-through
14 Need for Project Proposed State-Wide Septic Code Michigan is one of two states without a Statewide Septic Code Governor Granholm task force developed a new Code not implemented due to budget constraints New Code would set uniform requirements Many septic systems will not meet new requirements Some type of code is reasonable to expect in near future, especially given the Governor s desire to consolidate services Could result in significant increases in pump and haul cases
15 Need for Project County Health Department Endorsement - County Health Departments are supporters of infrastructure conversion as the only sure means of protecting lake resources. - The lack of horizontal and vertical isolation distances lead to a very large amount of wastewater being discharged into the lakeshore environment without benefit of proper filtration.
16 New Sewer System Property Owner Costs Total system costs = $15M-$40M Rate structure includes: Monthly charge ($30-45/month) Benefit fee (+$8,500-10,500/REU) Parcel fee (+$1,000/parcel) Rate structure includes funding operation and maintenance costs, as well as replacement reserve budgets for future system repairs Calculations run assuming NO growth
17 Connection Costs Each Owner Pays to Connect to the System A 4- or 6-inch connection from building to property line ($8-$12/foot) Cost of abandoning the septic tank ($350-$550) Permit fee ($50-$100) A pump (if needed) with a 2-inch forcemain ($250-$1,000 each + $8-$10/foot)
18 Financing Options - Project Municipal Bonds USDA Rural Development Loan/Grant offer have had success on recent lake sewer projects in obtaining grants MDEQ State Revolving Fund Loan Grant Money (Not definite but will apply for grants anyway)
19 Financing Options Property Owners Cash Plan - Assessments paid up front Installment Plan - Pay over life of project bonds (20-40 years) up to 1% over bond rate Low-income assistance available through: - USDA Rural Development - State of Michigan - Eligibility and application information available - Assistance available to complete application
20 Connection Costs USDA Rural Development 100% Loan % Monthly Rate ($40.00/month) Parcel Fee ($1,000.00) Cash Plan or Installment Plan Construction Cost Paid Up Front Construction Cost Paid over 40 Years Capital Cost Annual Cost Capital Cost Annual Cost $ $ $1, $52.42 Benefit Fee ($ k) Connection to System (75 ) $8, $10, $1, $1, $ $ Total Up Front Cost Total Annual Cost $10, , $1, $ $ ,082.81
21 Connection Costs Effects of Grants Previous Project Ex. The USDA-RD program also contains a grant element for eligible projects. If, after submittal of a funding application, grants are received, the benefit fee costs on the previous slide can be expected to be lowered proportional to the level of grant received (i.e., 10, 20, 30%). 45% maximum grant amount from USDA-RD.
22 Comparative Septic System Costs Replacement system in virgin soils $3,000 to $4,500 Remove and replace system in same location - $7,500 to $13,500 Construct mound septic system $9,000 to $15,000
23 Who Must Pay? Only property owners served by gravity sewers (shown in yellow) Unserved properties cannot and will not be assessed Funding comes from assessments and fees within service area No township general fund monies can be used
24 Implementation Steps Meetings with potential stakeholders and services areas to disseminate preliminary study findings Lake association(s) inform Township they are interested in implementing the project (petition potential mechanism to gauge interest) based on preliminary study findings Meet with Township(s) to determine final service area for project, finalize study based on interested areas, and decide whether or not to proceed with project Prepare legal documents and agreements with stakeholders Request County assistance in financing project Select financing method Prepare necessary studies, rate assessments and apply for funding Design sewer system, permitting and easement acquisition Obtain construction bids Final assessment rolls and hearings Sell bonds Construct project
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