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HomeMy WebLinkAbout2.a. Discussion of SKB MSW Recycling and Gasification EXECUTIVE SUMMARY City Council Work Session: May 9, 2016 AGENDA ITEM: Discussion of SKB MSW Recycling and Gasification AGENDA SECTION: Discussion PREPARED BY: Kim Lindquist, Community Development Director, Kyle Klatt, Senior Planner AGENDA NO. 2.a. ATTACHMENTS: Maps APPROVED BY: ddj RECOMMENDED ACTION: Information only. SUMMARY SKB Environmental has requested to make a presentation to the Council relating to their project proposal to recycle municipal solid waste (MSW) and create a biofuel, most likely ethanol, as a byproduct. SKB representatives indicated they will be bringing Enerkem with them. Enerkem is a company which currently operates a similar facility in Edmonton Canada. Staff has received a brief presentation from SKB so there are several questions or issues raised by the request. However, it would not be appropriate to discuss the planning and zoning issues associated with the request at this time. The project, should the owner decide to formally apply for approval, will require significant review, including an EAW, air quality permit, rezoning and reguiding of the property. Therefore staff does not feel it is appropriate to have deliberations on the topic prior to application and holding of the public hearing. Rather at this time, the meeting will allow the owner to provide information about their potential application. Staff does have numerous issues associated with the request. Again, because the formal planning and public comment process has not been initiated, staff does not want to debate the merits of the project at this time. However, we have identified issues that must be satisfactorily addressed prior to the City being able to approve the project. At this point, an introduction to the project, staff asks that the Council keeps these issues in mind. Potential Issues Comp Plan Guiding. The property anticipated for the MSW recycling use is designated for Business Park. Permitted and conditional Business Park uses would not allow a refinery activity such as the gasification plant. The location of the site is removed from other heavy industrial land in the City and would expand the heavy industrial uses into the community. Zoning. The property is zoned agricultural with the intention it will be rezoned to the corresponding land use. At present the land use would be business park or light industrial. The City recently approved a reguiding of land immediately west of the site to permit General Industrial use based upon the request by SKB. The zoning to permit the MSW recycling use would be Heavy Industrial, which is not supported by the 2030 land use plan. 2 From a land use perspective, the Planning Commission and City Council will need to determine the effect of the MSW recycling facility upon future development in the community, especially in the southeast section of the community, where residential development is anticipated. While the site does not currently have development in the area, the City must consider what development of the recycling use will do to the future development potential of the now undeveloped area. Economic Development. From an economic development standpoint, the City is working to attract high value industrial development with local jobs. Approval of a heavy industrial use, such as a gasification plant, will continue the image of the City as a place for heavy industrial uses such as Flint Hills Refinery, Spectro Alloys and Endres. Additionally, a refinery type use does not provide the same level of tax base as a building since much of the operation is considered equipment and not subject to property taxes. Environmental Permits. The project would need an EAW along with an air quality permit and it is staff’s understanding, additional approvals from the State and perhaps County. It is unclear what the outcomes of these approvals would be and whether they would affect operations or expansion of existing businesses in the area. MSW. It was indicated that the MSW (Municipal Solid Waste) recycling facility requires approximately 350,000 tons of MSW to be brought to the site. The current landfill does not allow MSW, only construction and demolition debris and industrial ash. Previous Councils have been consistent in not allowing any modifications to the landfill to allow MSW. Trucking MSW into the community is inconsistent with previous Council direction. Transportation & Trucking. Assuming 350,000 tons of MSW (garbage) is the amount necessary to allow an economically viable project, it is estimated the MSW from all of Dakota County and then again as much from another County would be necessary to meet the needed tonnage. The resulting truck traffic created by the operations would be approximately 8 additional trucks per hour or one truck every 7.5 minutes. Environmental Aesthetics. What are the impacts of odors, noise, project views and visible plumes associated with large MSW deposits and the creation of ethanol? At times the City receives complaints about odors associated with Flint Hills and questions about the plumes from Spectro Alloys. CONCLUSION At the Council work session the intention is to receive a presentation on the proposal which will be forthcoming from SKB and their partner. The project will require a variety of approvals at the local level. Since there has been no formal application, and more information is necessary for any review, this session is just a fact-finding exercise. No action by the City Council is needed at this time. 142ND ST E CO U R T H O U S E B L V D S ( S T H 5 5 ) COUR T H O U S E B L V D ( S T H 5 5 )FAHEY AVEDOY L E P A T H 145TH ST E (CSAH 42) 140TH ST E PINE B E N D T R L EHLERS P A T HCONLEY AVEFISCHER AVECOURTHOUSE BLVD S (STH 55)CLAYTON AVE (US 52)kj Path: T:\GIS\City\Maps\Departmental Maps\CommunityDevelopment\Kim\SKBLanduse.mxd 142ND ST E CO U R T H O U S E B L V D S ( S T H 5 5 ) COUR T H O U S E B L V D ( S T H 5 5 )FAHEY AVEDOY L E P A T H 145TH ST E (CSAH 42) 140TH ST E PINE B E N D T R L EHLERS P A T HCONLEY AVEFISCHER AVECOURTHOUSE BLVD S (STH 55)CLAYTON AVE (US 52)kj Path: T:\GIS\City\Maps\Departmental Maps\CommunityDevelopment\Kim\SKBAerial.mxd