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HomeMy WebLinkAboutItem 01 Overview of the Metropolitan Wastewater Management Commission (MWMC) AGENDA ITEM SUMMARY Meeting Date: 5/27/2014 Meeting Type: Work Session Staff Contact/Dept.: Matt Stouder/DPW Staff Phone No: (541) 736-1006 Estimated Time: 25 minutes S P R I N G F I E L D C I T Y C O U N C I L Council Goals: Strengthen Public Safety by Leveraging Partnerships and Resources ITEM TITLE: OVERVIEW OF THE METROPOLITAN WASTEWATER MANAGEMENT COMMISSION (MWMC) ACTION REQUESTED: No action requested - this item is informational and intended to provide an overview summary of the MWMC and factors influencing its programs and budget. ISSUE STATEMENT: The Council has expressed an interest in learning more about the MWMC, its operations and assets, and factors and regulations driving MWMC’s capital program and regional wastewater budget. ATTACHMENTS: None DISCUSSION/ FINANCIAL IMPACT: The MWMC was formed in 1977 by an Intergovernmental Agreement (IGA) between Eugene, Springfield and Lane County, to provide wastewater collection and treatment services for the Eugene-Springfield metropolitan area. The MWMC manages regional assets with a net worth of approximately $300 million, including the Water Pollution Control Facility (WPCF), the Biosolids Management Facility and Biocycle Farm, the Beneficial Reuse Site, and regional pump stations and pipelines. Under the terms of the IGA, Springfield provides for the construction of regional facilities, permit compliance and administration, financial planning and budgeting, facilities planning, property management, and other duties. The City of Eugene is responsible for operation and maintenance of all regional facilities, as well as managing MWMC’s laboratory and associated testing requirements. The MWMC holds a National Discharge Permit Elimination System (NPDES) permit, issued in 2002 by the Oregon Department of Environmental Quality (DEQ). This permit expired in 2006 and has been placed on administrative extension by DEQ, with a permit renewal likely in the next few years. Provisions contained within the NPDES permit are the primary drivers that affect the MWMC’s capital program, budget and rates. In 2004, the MWMC Facilities Plan (FP) was approved by MWMC and the governing bodies, and laid the framework for approximately $200 million to be invested in capital improvement projects to meet water quality requirements contained within the permit. Meeting the covenants associated with over $115 million in revenue bonds issued in 2006 and 2008 and Clean Water State Revolving Fund (SRF) loans to invest in projects within the 20-year FP is a key factor affecting the regional budget and rates, as is establishing revenue adequacy to fully fund reserves and adequately operate and maintain the regional facilities. MWMC is positioning itself for a future NPDES permit renewal and foresees a number of new and/or revised water quality regulatory issues on the horizon. These new issues, including requirements related to temperature, toxic pollutants and a host of other water quality parameters, will continue to require planning, capital investments, and an increased focus on source control through pretreatment programs and will drive future MWMC budget and rates.