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HomeMy WebLinkAboutItem 01 Goshen Industrial Area UpdateAGENDA ITEM SUMMARY Meeting Date: 5/8/2023 Meeting Type: Work Session Staff Contact/Dept.: Matt Stouder Staff Phone No: (541) 736-1006 Estimated Time: 30 Minutes SPRINGFIELD Council Goals: Encourage Economic CITY COUNCIL Development and Revitalization through Community Partnerships ITEM TITLE: GOSHEN INDUSTRIAL AREA UPDATE ACTION No formal action is requested. This topic is informational, and staff welcomes REQUESTED: Council feedback and direction. ISSUE Lane County has been working to advance economic development in the Goshen STATEMENT: unincorporated area for over a decade through land -use actions and wastewater feasibility studies. At the May 8, 2023 Council meeting, Lane County staff will provide an update on the Goshen Wastewater Project and discuss next steps involving the Eugene -Springfield Metropolitan Area General Plan (Metro Plan). ATTACHMENTS: 1. Council Briefing Memorandum 2. PowerPoint Presentation DISCUSSION/ The Goshen unincorporated area is located just south of the Eugene/Springfield metro FINANCIAL area and encompasses more than 300 acres of industrially zoned land. The State of IMPACT: Oregon designated Goshen as a Regionally Significant Industrial Area, but a lack of wastewater infrastructure has presented a significant barrier to development. Lane County has been working since 2014 to assess the feasibility of providing wastewater services to the Goshen area. After a series of consultant -led studies, the County has determined that the most cost-effective method for providing wastewater services would be to connect to the regional wastewater system owned and operated by the Metropolitan Wastewater Management Commission (MWMC). At this time, connection to the MWMC system is not allowed for two reasons: 1) because the Goshen area is outside the MWMC's defined service area boundary, and 2) due to specific policies in the Eugene -Springfield Metropolitan Area General Plan that prohibit extending wastewater service outside of the Urban Growth Boundaries of Eugene and Springfield. Further information on the project background and regarding the barriers to wastewater system connection are contained in Attachment 1. At the May 8, 2023 Council meeting, Lane County staff will provide a project update, discuss pertinent next steps involving amending the Metro Plan and the MWMC's IGA, and incorporate Council feedback as the project moves forward. MEMORANDUM City of Springfield Date: 5/8/2023 To: Nancy Newton COUNCIL From: Matt Stouder, Environmental Services Director BRIEFING Dan Hurley, Lane County Public Works Director Subject: Goshen Industrial Area Update MEMORANDUM ISSUE: Lane County has been working to advance economic development in the Goshen unincorporated area for over a decade through land -use actions and wastewater feasibility studies. At the May 8, 2023 Council meeting, Lane County staff will provide an update on the Goshen Wastewater Project and discuss next steps involving the Eugene -Springfield Metropolitan Area General Plan (Metro Plan). COUNCIL GOALS/ MANDATE: Encourage Economic Development and Revitalization through Community Partnerships BACKGROUND: The Goshen unincorporated area is located just south of the Eugene/Springfield metro area and encompasses more than 300 acres of industrially zoned land. The area has unique attributes including easy access to major transportation facilities (rail/highway/interstate) and close proximity to labor markets, making it an ideal area for industrial development rarely found in Oregon. Recognizing these attributes, the State of Oregon has designated Goshen as a Regionally Significant Industrial Area (RSIA); however, a lack of infrastructure, particularly wastewater, presents a significant barrier to development and investment. The history of the Goshen wastewater project extends to 2011, when Lane County sought to facilitate regional economic development in the area. At that time, the Board of County Commissioners (BCC) identified development in Goshen as a strategic goal and estimated that 2000-3000 industrial manufacturing jobs could be created on the existing industrial lands. To realize this goal, Lane County developed the Goshen Region Employment and Transition (G.R.E.A.T.) Plan that included an amendment to the Lane County Rural Comprehensive Plan which required obtaining a land use exception to Oregon Statewide Land Use Planning Goal 14 (Urbanization) and a zoning change to allow urban levels of industrial development. Lane County has been working with consultants since 2014 to assess the feasibility of providing wastewater services to Goshen. Through a series of studies, the County has determined that the most cost-effective method for providing wastewater services would be to connect to the Metropolitan Wastewater Management Commission (MWMC) regional wastewater system. At this time, MWMC policy does not allow for connections to Goshen because the area is outside the currently defined service boundary. In 2015, the County prepared a Wastewater Feasibility Study to demonstrate the feasibility of providing wastewater service to the Goshen area. The 2015 study recommended connection to the Metropolitan Wastewater Management Commission (MWMC) regional system as it had the lowest cost of all alternatives considered for wastewater treatment. In 2017, the County completed a Financial and System Administration Study that estimated connection charges for the MWMC connection. The 2017 study also identified system administrative functions that would be required for the operation of the Goshen wastewater system. Attachment 1 Page 1 of 3 MEMORANDUM 5/1/2023 Page 2 The 2017 study reviewed several alternatives for system governance, ultimately recommending the proposed Goshen facilities be incorporated into the MWMC regional system, integrating operations and maintenance (O&M) and administrative functions in partnership with the City of Eugene and City of Springfield. In August 2018, the BCC directed Lane County staff to pursue the next phase of work on a wastewater feasibility study. This phase, called the Project Definition phase, included updating construction cost estimates, development of a permitting plan and project schedule, and recommendations for proposed pipelines and pump stations. During this planning phase an extension to Lane County's Short Mountain Landfill was added that would convey landfill wastewater (leachate) that is currently being delivered to the MWMC system daily by tanker trucks (at the Glenwood Transfer Station). In September 2019, the BCC directed Lane County staff to continue with the necessary work to bring the project to a readiness state such that it can compete for future state and federal funding opportunities. In February 2022, Lane County finalized a Project Definition Report (PDR), that refines the conceptual planning and financial estimates from the 2015 and 2017 studies. The PDR includes route evaluations for gravity sewers and pressure force mains as well as capital cost estimates, connection charge estimates, and a Permitting Plan with anticipated timelines. In November 2019 and again in December 2022, Lane County provided project updates to the MWMC, noting that amendments would be needed to the Eugene -Springfield Metropolitan Area General Plan (Metro Plan) and the MWMC Intergovernmental Agreement (IGA) to allow a wastewater connection beyond an urban growth boundary (UBG). 113 kfalln. l Men Specific exemptions in OAR 660-011-0060 allow sewer services to be extended beyond the Urban Growth Boundary for the Goshen project. However, the Eugene -Springfield Metropolitan Area General Plan (Metro Plan), dating to 1980, contains specific policies prohibiting extension of wastewater service outside of a UGB. The Metro Plan serves as the long-range comprehensive plan for metropolitan Lane County and the cities of Eugene and Springfield. Policies in the Metro Plan that would need to be amended are listed below: Metro Plan Chapter II -C (Growth Management) Policy #21: Cities shall not extend water or wastewater service outside city limits to serve a residence or business without first obtaining a valid annexation petition, a consent to annex agreement, or when a health hazard annexation is required. Metro Plan Chapter III G (Public Facilities and Services Element) Policy #26: Wastewater and water service shall not be provided outside the UGB except to the following areas, and the cities may require consent to annex agreements as a prerequisite to providing these services in any instance: a. The area of the Eugene Airport designated Government and Education on the Metro Plan Diagram, the Seasonal Industrial Waste Facility, the Regional Wastewater Biosolids Management Facility, and agricultural sites used for land application of biosolids and cannery byproducts. These sites serve the entire metropolitan area. b. An existing development outside the UGB when it has been determined that it poses an immediate threat of public health or safety to the citizens within the Eugene - Springfield UGB that can only be remedied by extension of the service. In addition to the Metro Plan, the MWMC Intergovernmental Agreement (IGA) would also require amendments to allow for wastewater service extension outside of the UGB. Language Attachment 1 Page 2 of 3 MEMORANDUM 5/1/2023 Page 3 requiring amendment is listed below: MWMC IGA Appendix "A" — Eu.eg ne-Springfield Regional Sewerage Facilities Definition: Service shall be provided only within the Urban Growth Boundary. Facilities shall be designed and constructed to that end, but may be constructed either inside or outside the Urban Growth Boundary. Amendment of the Metro Plan policies requires a formal land use adoption process with all three jurisdictions adopting the amendments (Springfield Council, Eugene Council and the Board of County Commissioners). At this time, the process of amending the Metro Plan has been initiated. The Planning Commissions of Springfield, Eugene and Lane County held a joint public hearing on April 4, 2023 but three Planning Commissions have yet to deliberate or vote on a recommendation. The process with the Joint Elected Officials, including a public hearing is tentatively proposed for Fall 2023. Necessary updates to the MWMC IGA to allow the project to occur would be handled through a separate process from the amendment of the Metro Plan, and also require approval from all three jurisdictions. RECOMMENDED ACTION: No formal action is requested. This topic is informational, and staff welcomes Council feedback and discussion. Attachment 1 Page 3 of 3 Goshen tt Short Mountain Landfill Wastewater Project Attachment 2, Page 1 of 17 Goshen - Regional Context Legend _ un,xml. r oxgx eae.e�n:o-n �a xV - 3aC-urN.l- C i Vicinity Map on Springfield LCC, e - awned 3 F EPA sunstatmn GOSHEN Attachment 2, Page 2 of 17 Lane COmmunily r ,: =` II ,: - . College Oak HII I } P�.�T•r, Legend _ un,xml. r oxgx eae.e�n:o-n �a xV - 3aC-urN.l- C i Vicinity Map on Springfield LCC, e - awned 3 F EPA sunstatmn GOSHEN Attachment 2, Page 2 of 17 Attachment 2, Page 3 of 17 Goshen Economic Potential ► Land - More than 300 acres of largely contiguous industrial land ► Interstate Highway - Easy access to Interstate 5, Highway 99, Highway 58. Rail - Central Oregon Et Pacific Railroad running north and south through the community. Power - A main Bonneville Power Administration substation is less than a half mile away at the northern edge of the community. Water - It has a healthy water supply and established water district. Communications - Access to fiber optics infrastructure. Labor - A good proximity to labor markets, Eugene -Springfield metropolitan area and is also near Creswell and several other unincorporated rural communities. Barriers Regulatory barriers Inadequate sewer infrastructure Attachment 2, Page 4 of 17 Background Lane County's 2011 Strategic Plan Goal "By 2017, Lane County will transform the existing industrial land in Goshen to support increased levels of development resulting in jobs that pay no less than 150 percent of the median wage." Projected 2000-3000 industrial manufacturing jobs could be created on the existing industrial lands. Attachment 2, Page 5 of 17 RSIA: Designation as Regionally Significant Industrial Area (2012) Provides additional state support for industrial job creation within the designated area Provides zoning protection from conflicting development Infrastructure and/or transportation funding may be given priority Expedited local land use permit review for industrial development The Business Oregon RSIA program has been discontinued; however, an alternate designation, Regionally Significant Industrial Site (RSIS), may be attainable for Goshen. Attachment 2, Page 6 of 17 Goshen Region Employment and Transition (GREAT) Plan (2013) Addressing Barriers: II Lane County obtained a Statewide Planning Goal 14 exception (urbanization) from the Division of Land Conservation and Development (DLCD) to "up -zone" rural industrial land to allow for urban levels of industrial development. Lane Use Board of Appeals (LUBA) Remand: Required addressing the feasibility of providing sewer to the industrial lands Attachment 2, Page 7 of 17 Timeline Goshen GREAT Wastewater R$IA Plan Feasibility Study 2012 2013 2015 Wastewater Wastewater Financial/ System Project Definition Administration Study Report 2017 2022 Attachment 2, Page 8 of 17 Goshen Wastewater Feasibility Study Community of ` Goshen Collection System Infrastructure Plan • Force main along Hwy 99 • 4 pump stations • 177000 LF of sanitary sewers • Connection to existing 18 -inch sewer on Franklin Blvd Service Area - 444 acres Flow - 560, 000 G P D Attachment 2, Page 9 of 17 at full buildout Short Mountain Landfill Extension 76,000 GPD (currently trucked) Total distance: 6.25 mil Attachment 2, Page 10 of 17 Leachate Hauling Began in 1998 (24 years) Totals to date: Over 520 million gallons Over 1 million miles Annual emissions: 616 MT CO2e Attachment 2, Page 11 of 17 :tjmaterl Costs (2022 Project Definition Report) Total Construction Costs Total Project Costs $14 AM $25AM Attachment 2, Page 12 of 17 Policy Issue ► METRO Plan Would require a "Type III" Metro Plan amendment: Policy #26: Wastewater and water service shall not be provided outside the UGB except to the following areas, and the cities may require consent to annex agreements as a prerequisite to providing these services in any instance: a. The area of the Eugene Airport designated Government and Educa the Metro Plan Diagram, the Seasonal Industrial Waste Facility, the Regi Wastewater Biosolids Management Facility, and agricultural sites used fc application of biosolids and cannery byproducts. These sites serve the e, metropolitan area. b. An existing development outside the UGB when it has been detern that it poses an immediate threat of public health or safety to the citiz( within the Eugene -Springfield UGB that can only be remedied by extensi, the service. Attachment 2, Page 13 of 17 Policy Issue MWMC Service Boundary Would require amending the Metropolitan Wastewater Management Commission (MWMC) Intergovernmental Agreement (IGA) in conformity with the METRO plan Amendments will require approval by each of the jurisdictions (Eugene, Springfield, and Lane County) Attachment 2, Page 14 of 17 Key Points Project would increase economic vitality for the region Efficiency & environmental benefits Landfill leachate already comes to the MWMC Regional Wastewater Treatment System Flows from Goshen development would be added over a very long period of time. Development would pay its way. Intent would be no increased cost to existing ratepayers. Would not open the door to additional service areas without further joint action. Attachment 2, Page 15 of 17 Next Stior Spring �f Eugene City Council Work session: March 15 d Joint Planning Commission Public Hearing: April 4 qf Springfield City Council Work Session: May 8 Summer Planning Commission Deliberations: Tentatively June -August Lane County Springfield Eugene Fall Joint Elected Public Hearing: TBD. In the fall, after summer recess. Elected Official Deliberations and Action: In the fall, after summer recess. Attachment 2, Page 16 of 17 Question: Attachment 2, Page 17 of 17