HomeMy WebLinkAbout1984-03-12 Board of Public Works MinutesBoard of Public Works Meetinq of March 12, 1984
A meeting of the Board of Public Works convened in Room 16,
Municipal Building at 7:40 P.M.
Present were Chairman Wood, Secretary Barker, Board Members
Polychrones, Griffin and Hampson and Superintendent Anthony V. Fletcher.
It was moved, seconded and voted 5:0 to accept the minutes of the
Board of Public Works Meeting of February 27, 1984 as amended.
It was moved, seconded and voted 5:0 to accept the minutes of the
Executive Session of February 27, 1984 as written and that they remain in
private privy.
The Board met with Audi Audio of NESWC at 7:45 P.M.
Mr. Audio introduced Kathy Caddigan of the Town of Westford.
Westford is one of the communities that has signed up with NESWC. Mr.
Audio presented the Board with a copy of a "Standard Agreement" and an
official statement of NESWC's financial situation.
The financing was completed last spring with a $200,000,000 bond
issue for building this project. The facility is being built by
Signal-Resco. The construction of the boilers will commence the first
week in April.
Mr. Audio stated the nature of the service agreement is basically
what we call a "revenue sharing" agreement. Basically, Signal-Resco will
build and operate on a guaranteed price and then revenues are deducted
from the construction cost and operating contract. He stated we have a 20
year contract with New England Power to purchase power. The communities
get 90% of the revenue, 10% goes to Signal-Resco. The purpose of the
revenue sharing contract is to try and take advantage of the increase in
energy costs, however, the increase in energy costs has had a bad effect
on our tipping fees. Each of the communities signs a service agreement
Board of Public Works Meeting of march 12, 1984 Page 2
with the vendor. There are 22 contracts signed. The communities are
joined together by an Advisory Board, one delegate from each community.
There is an Executive Committee that oversees the operations. He stated
Mrs. Caddigan of Westford is a member of the Executive Committee.
Jack Elbrich, Project Manager for NESWC, joined the meeting at
7;50 P.M. He has been with the project for 1S years. He stated we are
getting calls from private haulers who are finding it hard to dump in
landfills. They are getting tipping fees in the range of $30 - $35 for
disposing of wastes.
Mrs. Caddigan explained Westford was not in a crisis situation.
However, looking ahead, we formed a solid waste committee and looked at
all the options available to the Town. The decision in December of 1980
was to sign with NESWC. The proven technology, the revenue sharing and
communities banding together convinced us. We felt this was a safer way
to go. We are willing to share any information we have. In 1980, of
course, we were looking at much lower costs.
In our opinion, energy prices are going to escalate, so in the
long term we feel this is the best option for the Town of Westford.
Mr. Audio stated there is space available now in Peabody for
communities to use in the interim until NESWC is built. We have the use
of the Peabody landfill in case of a plant shutdown.
Mrs. Caddigan stated I feel very much this is a community
project. We would like to see additional communities sign up. Westford
would like to see the additional capacity filled up by community trash and
not private haulers.
Chairman Wood stated when we talked with NESWC before there was a
problem with a contract in which you had an initial percentage that went
to UQP for running the plant.
Board of Public Works Meeting of March 12, 1984 Page 3
Mr. Audio replied UOP would get 10% of the energy revenue. The
purpose of that is to motivate them to generate as much electricity as
possible.
Chairman Wood asked how are the operating costs determined?
Mr. Audio replied this is based on a straight C.P.I. (housing
purchases, food, clothing, etc.).
Mrs. Wood stated the tipping fees seemed to be open-ended when we
discussed this before.
Mr. Audio stated the tipping fees can go either up or down. There
are three areas of concern; financing costs, energy prices and tonnage.
He stated if we didn't put any more tonnage in there, it is
conceivable the tipping fee could be $40.00. Our projection is that it is
likely to be inthe mid - $20's.
Chairman Wood asked what are your tipping fees based on?
Mr. Audio replied:
Gross Cost
+ 0&M Costs
+ Pass-through Costs
- Revenues =
Tipping fees
He stated the energy cost escalation rate could be somewhat less than the
tipping costs.
Chairman Wood stated if you sell no energy is there a maximum
tipping fee?
Mr. Audio replied the New England Power Company signed a contract
to buy all the power that is generated. He stated if the energy market
drops out compi'etely, then you are talking about a tipping fee of $70 per
ton, however, this is pretty far fetched.
Board of Public. Works Meeting of March 12, 1984 Page 4
Chairman Wood thanked everyone for coming.
The Board met with Town Counsel, H. Theodore Cohen, at 9;20 P.M.
to discuss the Water Treatment plant.
Superintendent Fletcher stated I had a very satisfactory meeting
with Ted McIntire and Jim Liu of CDM, at which time I presented to Jim a
synopsis of minutes of meetings that I read regarding the plant. We
agreed jointly that things had not progressed the way they should have,
given the quality of the consultants and the contractors. The thrust of
the meeting was that I gave them a list of things I expected to be done no
later than March 30th.
Superintendent Fletcher stated we had several calls this morning
informing us of what was being done and what is going to be done. I would
on that basis, wait until March 30th. I have made some calls on my own as
to disposition of parts, etc. and feel comfortable that we will be in a
test mode by the end of March. Providing that we can operate the system
without any difficulties, I don't see any reason why we shouldn't be able
to sign off this project in mid-April. There are some minor things to be
done by R.H. White before that time.
Superintendent Fletcher stated I will be hearing this week about
some tests on the chlorine dioxide leaks. There is a great deal of value
inthis meeting in having the past minutes on record. I would like at this
time to see if we can't have this happen on March 30th and at that time if
it does not happen, I would suggest some stronger demands.
Attorney Cohen presented the Board with a copy of a letter from
Bob Koopman demanding payment and Mr. Cohens response to him.
Mr. Griffin stated we paid R.H. White consistently and were a
good customer up to the point when there were a series of
non-conformities, therefore, my judgement was that I could not clearly
i
Board of Public Works Meeting of March 12, 1984 Page 5
distinguish between R.H. White and CDM's responsibility for the lime
system.
Mr. Fletcher stated the design of the pumps is CDM's.
Mr. Cohen stated we have never as yet had a year of operation of
the lime system to see if it works.
Mr. Fletcher stated I am at this point perfectly willing to ask
for a reasonable warranty period from CDM. I will also sit down this week
with R.H. White and see if we can't hold off for a number of weeks
coincidental with the operation of the lime system.
Mr. Barker asked how much in the way of parts needs to be brought
into the plant? What are we lacking in the way of hardware?
Mr. Fletcher replied Venturi and pressure gauges which should be
in the next couple of days.
Mr. Barker asked are we developing a list of back-up spare parts.
Mr. Fletcher replied before Alan left, he completed a list of
parts and an update of the O&M Manual.
Mr. Polychrones asked are you happy with the ventilation system
in the chlorine room?
Mr. Fletcher replied we have no test data as yet on whether the
ventilation scheme will work. He stated that he could smell chlorine
dioxide. There is a problem with oxidation.
Mr. Barker stated as part of the clean up we should attend to the
hardware and fixtures in that room.
Mr. Fletcher stated almost all his time in the next few weeks
will be spent on the water treatment plant problems.
Mr. Fletcher informed the Board he met with the Board of Health
Director, M. Jane Gallahue, this morning. He decided to stop the
Board of Public Works Meeting of March 12, 1984 Page b
disbursement of the chemical "Rover" to the public, a sulfite mixture,
because of the health problems and liabilities associated with the
product.
Attorney Cohen stated the Department should stop the distribution
because of a liability suit. He stated you have no way of knowing if the
public will follow the directions on the bottle.
It was moved, seconded ..and voted 5:0 to direct the Department to
at once discontinue distribution of the Rover rust removal product.
Mr. Griffin asked what about the flushing of the water main
system? I feel the scheduling of the flushing should be posted.
Mr. Fletcher stated as of this evening we made up a scheduling
program. We are proposing that the flushing should be completed by April
30th. Between tonight and next Monday, we will be preparing a section
program.
Mr. Barker stated I am impressed with what you have said and
commend you for the work you have done.
The Board next reviewed the letter from Dave & Cindy Melanson of
28 Criterion Road regarding the acceptance of the street as a public way.
It was moved, seconded and voted 5:0 that the Department send a
letter to the Melansons regarding Criterion Road and informing them it is
the opinion of the Board to wait until the new subdivision is built, and
to also inform him that maintenance of private ways is the responsibility
of the owners.
The Superintendent next gave a report on the Drinkwater Proposal
on property located in North Reading. Mr. Fletcher stated I met with
Charlie Costello of the Conservation Commission on Friday regarding this
situation. Mr. Costello was to go on a walking tour of the property on
Board of Public Works Meeting of March 12, 1984 Page 7
Sunday. Some of the problems with the plans were; septic systems were not
shown. Title I requires design and calculations, minor calculation errors
in drainage, Drinkwater has taken little or no action on adjudicatory
hearing conditions of 1978, maintenance of site drain collectors is not
noted, no evidence that 1978 project ever received. Certificate of
compliance and the submission is incomplete and vague.
He stated Mr. Costello was very pleased that DELIE will join in
and Mr. Fletcher personally notified the I.R.W.A. of the development and
he feels that between the Corps of Engineers and MEPA there is going to be
a lot of attention focused on this.
Mr. Costello informed Mr. Fletcher that some communities have
filed suit and received settlements from the State in regard to wells.
Mr. Griffin suggested this literature be found and sent to DEDE
to remind them of a similar situation occuring in the Commonwealth of
Mass. This might work to our favor to do this.
Chairman Wood stated it is up to the Town of Reading to make sure
this is done. The Town of North Reading has very little money in their
budget to pursue that type of action.
The Board reviewed the letter from TASC and the report of Haley &
Aldrich Inc. re; "Site Assessment, Reading DPW Property".
It was moved, seconded and voted 5;0 that the Department send a
letter to TASC requesting a full report on this.
The Board signed the Payroll and the 8illrol.l for the period
ending March 9, 1984.
The meeting adjourned at 10;55 P.M.
Respectfully submitted,
Se retary