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HomeMy WebLinkAbout4.p. Koch Refining Spent Bauxite Interim Use PermitCITY OF ROSEMOUNT EXECUTIVESUMMARY FOR ACTION CITY COUNCIL MEETING DATE: OCTOBER 1, 1990 AGENDA ITEM: SET PUBLIC HEARING--KOCH REFINING AGENDA SECTION: SPENT BAUXITE FACILITY INTERIM USE PERMIT(IUP) CONSENT PREPARED BY AGENDA NCITERE d `�(� LISA J. FREESE, DIRECTOR OF PLANNING IP ATTACHMENTS: HEARING NOTICE; MAILING LIST; APPROVED BY: DRAFT INTERIM USE PERMIT �9L Koch Refinery proposes to construct a Spent Bauxite Disposal Facility at the -Sulfuric Acid Unit located at 13155 Courthouse Boulevard. This new facility Iis to replace an existing facility on site that is presently near or over capacity. The City Council approved a text amendment to the Zoning Ordinance on September 17 that permits spent bauxite disposal facilities as accessory uses via an interim use permit in the GI General Industrial zoning district. City staff and our consultants have developed a draft interim use permit agreement which is included in your packet. The Planning Commission began their initial review of the IUP at the September 24 Regular meeting and will be making a recommendation regarding the agreement at the October 7 Regular meeting. Planning Staff recommends that the City Council set a public hearing to consider the IUP. The Public hearing will be scheduled for the October 15, 1991 Council meeting. RECOMMENDED ACTION: Set Public Hearing for the Koch Refining Spent Bauxite Disposal Facility Interim Use Permit for October 15, 1991 at 8:00 p.m. COUNCIL ACTION: (Pity of (O?osemouni PHONE (612) 423-4411 2875 - 145th Street West, Rosemount, Minnesota MAYOR FAX (612) 423-5203 Mailing Address: Vernon Napper P. O. Box 510, Rosemount, Minnesota 55068-0510 COUNCILMEMBERS Sheila Klassen Public Notice John Oxborough Harry Willcox Koch Refining Company Spent Bauxite Disposal Facility Dennis wippermann ADMINISTRATOR INTERIM USE PERMIT APPLICATION Stephan Jilk 13155 Courthouse Boulevard TO WHOM IT MAY CONCERN: NOTICE IS HEREBY GIVEN, the City Council of the City of Rosemount will hold a public hearing to consider the item listed below on Tuesday, October 15, 1991 in the Council Chambers of the City Hall, 2875 145th Street West, beginning at 8:00 p.m. or as soon thereafter as possible. The public hearing pertains to the following described property: Part of the East Half (Eh) of Section 19, Township 115, Range 18 and part of the Southeast Quarter (SEY,) of Section 18, Township 115, Range 18, commencing at the northwest corner of the Northeast Quarter (NEY,) east on northerly line 318.23 feet to beginning, north 26 degrees, 22 minutes 32 seconds east 239.77 feet to centerline of State Trunk Highway No. 55; southeast on centerline 989 feet to the east line of the Northwest Quarter of the Northeast Quarter (NW% of NEY,) of Section 19, south 1,085 feet to the southeast corner of the Northwest Quarter of the Northeast Quarter (NW% of NE,/,), west 1,320 feet to the southwest comer of the Northwest Quarter of Northeast Quarter (NWv, of NE%), then north 430 feet; north 26 degrees, 22 minutes, 32 seconds, east 476.29 feet, north 63 degrees, 37 minutes, 28 seconds, west 113.17 feet, north 26 degrees, 22 minutes, 32 seconds east 467,31 feet to beginning. The property in question is owned by Koch Refining Company and is located at 13155 Courthouse Boulevard on the south side of State Trunk Highway 55, east of U.S. Highway 52 and is referred to as the Koch Sulfuric Acid Unit. The purpose of this hearing is to consider an Interim Use Permit Application from Koch Refining Company to allow construction of a new spent bauxite disposal facility to replace an existing disposal facility. The proposed expansion is directly east of the present facility on approximately a 10 -acre site. Persons wishing to speak on this issue are invited to attend this meeting on Tuesday, October 15, 1991 at 8:00 p.m. Dated this 2nd day of October, 1991. Susan M. Johnson, City Clerk City of Rosemount Dakota County, Minnesota 6veriylkings (Poming (Ujb gosemouniI1 1.j 1009L aPe' KOCH REFINING COMPANY SPENT BAUXITE INTERIM USE PERMIT - MAILING LIST 1. Wisconsin Town Lot Co. 34-01800-012-53 165 Canal Street North 34-01800-017-88 Chicago, IL 60606-1512 2. Koch Refining Company 3401800-010-81 P.O. Box 2256 34-01800-010-83 Wichita, KS 67201-2256 34-01800-010-85 3. State of MN - F TAX 1560 Highway 55 Hastings, MN 55033 4. Neal F. Page 4504 64th Street West Minneapolis, MN 554241844 5. Walbon Partnership 4230 Pine Bend Trail Rosemount, MN 55068-2562 6. Pine Bend Development Company % Melvin G. Astleford 1200 Highway 13 West Burnsville, MN 55337 7. DHB Corporation Start Route 2 - Box 207 Hibbing, MN 55746-9218 8. Paul J. Neiland 13250 Clayton Avenue East Rosemount, MN 55068-2719 1 3401900-010-02 3401900-010-04 34-01900-011-10 3401800-010-87 34-01800-020-87 3401800-015-88 34-01900-010-07 3401900-011-12 3401900-010-36 DRAFT INTERIM USE AGREEMENT ' KOCH REFINING COMPANY SPENT BAUXITE DISPOSAL FACILITY THIS AGREEMENT. dated , 1991, is made by and between Koch Refining Company, a subsidiary of Koch Industries, Inc., a Delaware Corporation (hereinafter "Koch") and the City of Rosemount, a Minnesota municipal corporation (hereinafter the "City"). The parties hereto agree as follows: 1. Interim Use Permit. Koch has requested an Interim Use Permit (IUP) from the City for the construction and maintenance of a Spent Bauxite Disposal Facility (SBDF). The execution of this Agreement by the parties, shall constitute the approval and issuance of an IUP by the City; subject to compliance with this Agreement and Minnesota Pollution Control Agency Permit No. , dated , incorporated herein by reference. 2. Term The term of the IUP shall be for five (5) years from the date of this Agreement. Koch may request an extension of the IUP provided the City receives written notification of a request for an extension at least 180 days prior to expiration of the IUP. The extension of the IUP may, at the option of the City, be approved without modification to this Agreement, or the City may require Koch to modify this Agreement, or enter into a new agreement. 3. SBDF Description. The SBDF is located on property legally described on the attached Exhibit A. The facility is generally located along Trunk Highway 55, in Section 19, Township 115, Range 18, and is considered an accessory use to the Koch Sulfuric Acid Unit (KSAU). The location of the SBDF is illustrated on the attached Plan A and Plan B. The purpose of the facility is dispose and maintain non -hazardous industrial waste. Spent bauxite residuals consist primarily of aluminum oxide, aluminum silicate and sand -like silica material. For the purpose of defining the extent of authorization granted in the issuance of the IUP, the SBDF is described as follows: A. An existing basin for the disposal of spent bauxite residuals. The basin is 200 feet wide by 600 feet long excavated to a depth of eight feet and surrounded by an eight -foot high berm. The available capacity of the existing basin, 72,000 cubic yards, is exhausted. Temporary storage of up to 5,000 cubic yards additional material has been authorized pending completion of the expansion basin. Stored material will be removed and placed in the expansion basin upon its completion. Closure of the existing basin is part of this permit. B. An expansion basin, located adjacent to the southeast side of the existing basin, for the disposal of spent bauxite residuals. The new expansion basin authorized by this permit will be a lined basin 275 feet wide by 600 feet long. The liner will consist of 2 feet of low permeability clay overlaid by a 60 -mil HDPE synthetic liner. Leachate will be collected in the leachate collection system and will be recycled back to the sulfuric acid plant. The capacity of 2 the expansion basin is 89,300 cubic yards of spent bauxite residuals and final cover material. The deposition of any other wastes at the site is prohibited. The expected service life of the expansion basin is 10 to 15 years. 4. Design Plans and Specifications. Koch shall construct the SBDF in accordance with plans and specifications approved by the Minnesota Pollution Control Agency (MPGA) and in accordance the procedures required by the MPCA. 5. Quality Control/Quality Assurance. Koch shall construct the SBDF in accordance with the quality control/quality assurance plan approved by the MPCA or shall notify the City prior to modification to the engineering plans or quality control/quality assurance plan approved by the MPCA. 6. Construction Permits. Koch shall obtain all necessary permits for construction of the SBDF from the City, in accordance with the adopted standards, procedures and requirements of the City. 7. Construction Inspection. Koch shall contact the City at least two (2) working days in advance of specified routine inspections required by the City. Koch shall contact the City at least five (5) working days in advance of specified special inspections identified and required by the City. Koch grants the City and its agents access to the SBDF at all times for the purpose of inspections and enforcement of this Agreement. 3 8. Construction Certification. Koch shall furnish the City with construction certifications of work performed by it in accordance with the requirements of the MPGA. Timely completion of the certifications by Koch will assist in ensuring adherence to construction and inspection schedules. In no case, shall Koch fail to submit construction certifications within thirty (30) days of construction completion. 9. Liner Protection. Upon completion of construction, inspection, testing and acceptance of the synthetic liner, a minimum of three (3) feet of fill and/or spent bauxite shall be placed over the liner for frost protection. Unless a written authorization for an extension of time is issued by the MPCA and City, the liner protection shall be completed by December 1, 1991. 10. Operations and Maintenance. SBDF operating and maintenance procedures shall conform with the "Operations and Maintenance Manual' (Exhibit B, SBDF Expansion Permit Application, May 1990) and applicable Minnesota Rules and any other applicable federal, state or local ordinances, statutes or regulations. Any modifications to the "Operations and Maintenance Manual' must be submitted to the City for approval. 11. Personnel Training. All Koch personnel involved in the operations and maintenance shall meet the training requirements identified in the "Operations and Maintenance Manual" and applicable Minnesota Rules. 4 12. Emergency Reporting. Any emergency, as defined in the "Operations and Maintenance Manual", shall require immediate notification of the City. The "Operations and Maintenance Manual' shall be modified to identify this requirement. Koch shall furnish the City with written reports, as specified in the manual. 13. General Inspections, Records, Reporting_. Koch shall furnish the City records of inspections upon request. Koch shall furnish the City with a copy of the "annual report", according to the timetable and requirements of the MPCA, as identified in the "Operations and Maintenance Manual'. 14. Contingency Actions. Koch shall notify the City of any event which triggers contingency and/or corrective actions. Remediation of contingency actions shall be completed according to the requirements set forth in MPCA Permit No. A copy of the written action summary shall be furnished the City upon completion. Should any amendments to the contingency action plan be necessary due to changes in operation or past corrective actions which would alter the plan, Koch shall provide a copy of the revised contingency action plan including the required amendments. 15. Monitoring/Reporting. Monitoring/ Reporting: Koch shall submit to the City a Copy of each annual report for the SBDF no later than February 1 of each year as required by the MPCA. The annual report shall include the information listed under Section III.F.3, MPCA Permit No. , along with the initial water quality assessment report. In the event intervention limits are exceeded during groundwater sampling of the compliance boundary and the retest confirms the results (MPCA Permit 5 No. , Section III.C.2), Koch shall notify the City and take the appropriate steps to correct the problem. Any further reporting of this issue shall be documented with the City including any remedial measures which may be required in order to bring the facility back into compliance with the MPCA permit requirements. 16. Closure. (Existing and Expansion): Koch shall close the existing and proposed expansion SBDF in accordance with the site's closure plan approved by the MPCA. The City shall be notified at least 90 days prior to the date final closure activities are scheduled to begin. Upon completion of closure construction, the City shall be notified in the event a final inspection is deemed necessary. A copy of the closure certification document shall be provided to the City upon submittal to the MPCA. Within 90 days after closure completion, Koch shall provide record documents (survey plat and waste disposal records) as identified in the MPCA approved Closure Plan for the SBDF. Koch shall notify the City in the event the approved Closure Plan is amended. 17. Post Closure. Koch shall provide post closure care for the SBDF in accordance to the Section 5.0, Post Closure Care Procedures documented in the closure plan approved by the MPCA. The City shall be notified in the event amendments to the post closure plan are required due to changes in facility design and operation. 18. Financial Assurances. Koch shall develop a trust fund as defined under current MPCA Solid Waste Management Rules to provide the necessary funds for closure, post closure care and corrective action at the SBDF. Koch shall make deposit into the trust fund at the end of every year. The initial amount to be placed in the fund 9 shall be $42,000 in accordance to the current financial assurance estimates on file at the MPCA. Subsequent amounts placed in the trust fund account will be determined based on revised estimates provided in the annual report to the MPCA. 19. Recycling Feasibillily. Within three (3) years of the date of this Agreement, Koch and the City shall mutually agree upon the scope, timetable, and cost of an independent feasibility study to determine the reuse, recyclability and marketability of spent bauxite residuals. If no agreement is reached within the time specified, the City shall initiate the feasibility study. Koch will be responsible for the costs of the study and any other out of pocket expenses the City may incur in connection with the study. 20. Responsibility for Costs. Koch hereby agrees to reimburse the City for out of pocket expenses incurred by the City in the review and issuance of the IUP, the inspections and monitoring of SBDF and the enforcement of this Agreement, including but not limited to administrative, planning, engineering and legal fees. 21. Annual IUP Fees. Koch shall pay an annual IUP fee to the City at the rate of $4.50 per cubic yard of spent bauxite deposited in SBDF. The spent bauxite generation rate shall be based on a projected generation rate of 0.46 cubic yards of spent bauxite deposited in the SBDF per ton of raw bauxite consumed on a specific gravity of 2.44 at KSAU. The fee shall be calculated on an annual basis and remitted to the City by February 1 of each year. Koch shall provide to the City documentation of the raw bauxite consumed at KSAU with each remittance. 7 22. indemnification. Koch shall defend, indemnify and save the City harmless against any and all claims, suites, demands, actions, fines, damages and liabilities, and all costs and expenses related thereto (including without limitation reasonable attorneys' fees) arising out of or in any way related to the SBDF. 23. Other Laws and Regulations. Compliance with this Agreement does not release Koch from compliance with other laws and regulations, including but not limited to City codes, City zoning and subdivision ordinances, state building codes, state and federal statutes and any other applicable laws. When any laws or regulations conflict, the stricter law or regulation shall apply. 24. Severability. If any provision of this Agreement is found to be invalid, such finding shall have no affect on the validity of the remainder of this Agreement. 25 Revocation. Failure to comply with the provisions of this Agreement shall constitute failure to comply with the interim use permit, and shall be grounds for revocation of the interim use permit. 26. Amendments. Any changes in the provisions of this Agreement, requested by Koch, require the express written consent of the City. The City may at its option impose additional requirements for the IUP, when changes in waste management rules, laws or technology are in the best interest of public health, safety and welfare. 27. interpretation. In any challenge of the provisions of this Agreement, the interpretation of the provisions shall be liberally construed to protect the public health, safety and welfare. 28. Assignment. The IUP is not assignable or transferable without the express written consent of the City. In the event an assignment of the IUP is proposed, the City may at its option impose additional requirements to this Agreement or may require a new agreement. 29. Notice. Notices given pursuant to this Agreement shall be personally delivered or sent by certified mail to the City of Rosemount, P. O. Box 510, Rosemount, Minnesota 55068 and to Koch Refining Company, P. O. Box 64596, St. Paul, Minnesota 55164. All notices shall be effective upon receipt. 30. Recording. This Agreement shall run with the subject land and may be recorded in the Dakota County Recorder's Office. K IN WITNESS WHEREOF, the parties hereto have executed this Agreement as of the date first written above. KOCH REFINING COMPANY A Subsidiary of Koch Industries, Inc. A Delaware Corporation By: CITY OF ROSEMOUNT By: Vernon J. Napper, Mayor By: Stephan Jilk, City Administrator 10 STATE OF MINNESOTA ) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of 1991, by , its and , its on behalf of Koch Refining Company, a Subsidiary of Koch Industries, Inc., a Delaware Corporation. Notary Public STATE OF MINNESOTA ) )ss. COUNTY OF DAKOTA ) The foregoing instrument was acknowledged before me this day of , 1991, by Vernon J. Napper, Mayor and Stephan Jilk, City Administrator, on behalf of the City of Rosemount, a Minnesota municipal corporation. Notary Public THIS INSTRUMENT WAS DRAFTED BY: