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HomeMy WebLinkAboutCC Minutes 2009-02-02SRCC Minutes (Regular) 02/02/2009 Page 1 IN THE COUNCIL CHAMBER OF THE CITY OF SAN RAFAEL, MONDAY, FEBRUARY 2, 2009 AT 8:00 P.M. Regular Meeting: San Rafael City Council Also Present: Ken Nordhoff, City Manager Robert F. Epstein, City Attorney Esther C. Beirne, City Clerk OPEN SESSION — COUNCIL CHAMBER — 7:00 PM None. CLOSED SESSION — CONFERENCE ROOM 201 — 7:00 PM None. REPORT ON CLOSED SESSION HELD ON JANUARY 27,2009: Present: Albert J. Boro, Mayor Barbara Heller, Vice -Mayor Greg Brockbank, Councilmember Damon Connolly, Councilmember Cyr N. Miller, Councilmember Absent: None City Attorney Robert Epstein announced that no reportable action was taken. ORAL COMMUNICATIONS OF AN URGENCY NATURE: 8:05 PM Construction in Glenwood, San Rafael: - File 9-1 Sandra Sellinger reported that the recent Marin Municipal Water District's construction work in the Glenwood neighborhood was extremely noisy, and as a lot of elderly and babies resided in the area, she requested that in future, the City ensure that contractors do not commence their work in neighborhoods as early as 7:00 a.m. City Manager Ken Nordhoff confirmed that the current Noise Ordinance allows for construction work throughout the City to commence at 7:00 a.m., even though in this instance, it was not a City contract or City work. CONSENT CALENDAR: Councilmember Miller moved and Councilmember Brockbank seconded, to approve the Consent Calendar as follows. ITEM Approval of Minutes of Regular City Council Meetings of December 15, 2008, and January 5, 2009 (CC) Second Readina and Final Adootion of Ordinance No. 1873 "AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL, CALIFORNIA, AMENDING CHAPTER 3.34 OF THE SAN RAFAEL MUNICIPAL CODE ESTABLISHING A FEE AND SERVICE CHARGE REVENUE/COST COMPARISON SYSTEM, BY REVISING SECTION 3.34.040" (Fin) — File 9-10-2 x 9-3-85 Resolution Recognizing the Carnegie Library Centennial (Lib) — File 102 x 9-3-61 RECOMMENDED ACTION Minutes approved as submitted. Approved final adoption of Ordinance No. 1873. RESOLUTION NO. 12648 RESOLUTION RECOGNIZING THE CARNEGIE LIBRARY CENTENNIAL SRCC Minutes (Regular) 02/02/2009 Page 1 4. Resolution Approving the Subdivision Agreement for Subdivision Entitled "Map of 33 San Pablo Avenue Condominiums" (PW) — File 5-1-364 Resolution Authorizing the Interim Public Works Director to Approve a Funding Agreement Between the Transportation Authority of Marin (TAM) and the City of San Rafael to Exchange $415,620 in Federal Surface Transportation Program (STP) Funds for the Same Amount of Local Measure A Funds (PW) — File 170 x 9-3-40 Resolution Approving Summary Vacation of a Sliver of the Existing Right -of -Way on the West Side of Lindaro Street in Connection with the Relocation of such Street, as Shown on the Map Entitled "Final Map — Being a Subdivision of the Lands of San Rafael Corporate Center, LLC', and Approving the Execution and Recordation of Quitclaim Deeds in Connection With Such Vacated Right -of -Way (PW) — File 2-12 x 5-1-344 SRCC Minutes (Regular) 02/02/2009 Page 2 RESOLUTION NO. 12649 RESOLUTION APPROVING SUBDIVISION AGREEMENT FOR SUBDIVISION ENTITLED "MAP OF 33 SAN PABLO AVENUE CONDOMINIUMS" RESOLUTION NO. 12650 RESOLUTION AUTHORIZING THE INTERIM PUBLIC WORKS DIRECTOR TO APPROVE A FUNDING AGREEMENT BETWEEN THE TRANSPORTATION AUTHORITY OF MARIN (TAM) AND THE CITY OF SAN RAFAEL TO EXCHANGE $415,620 IN FEDERAL SURFACE TRANSPORTATION PROGRAM (STP) FUNDS FOR THE SAME AMOUNT OF LOCAL MEASURE A FUNDS RESOLUTION NO. 12651 RESOLUTION APPROVING SUMMARY VACATION OF A SLIVER OF THE EXISTING RIGHT-OF-WAY ON THE WEST SIDE OF LINDARO STREET IN CONNECTION WITH THE RELOCATION OF SUCH STREET, AS SHOWN ON THE MAP ENTITLED "FINAL MAP — BEING A SUBDIVISION OF THE LANDS OF SAN RAFAEL CORPORATE CENTER, LLC", AND APPROVING THE EXECUTION AND RECORDATION OF QUITCLAIM DEEDS IN CONNECTION WITH SUCH VACATED RIGHT-OF-WAY AYES: COUNCILMEMBERS: Brockbank, Connolly, Heller, Miller & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None ABSTAINING: COUNCILMEMBERS: Brockbank, from minutes of 1/5/09 only, due to absence from meeting. ABSTAINING: COUNCILMEMBERS: Mayor Boro, from item #2 only, due to absence from Public Hearing of 1/20/09. SPECIAL PRESENTATION: PRESENTATION OF RESOLUTION RECOGNIZING THE CARNEGIE LIBRARY CENTENNIAL (LIB) — FILE 102 x 9-3-61 Mayor Boro invited Sean Prendiville, Board of Library Trustees, to join the City Council and Library Director, David Dodd, at the podium. Mayor Boro reported that on Sunday, January 25, 2009 there was a recreation of the original dedication for the Carnegie Library to celebrate the 100th Anniversary of the San Rafael Public Library, which was attended by approximately 1,300 people. Indicating that Resolutions were received from the Marin County Board of Supervisors, Senator Leno and Congresswoman Woolsey, Mayor Boro stated Mr. Dodd was being presented with a City of San Rafael Resolution this evening to hang alongside the others. Mayor Boro noted the Resolution addressed the wonderful public service the Library provides and the fact that in 1909 it was built with a $25,000 grant from Mr. Andrew Carnegie, who built a number of libraries around the SRCC Minutes (Regular) 02/02/2009 Page 2 SRCC Minutes (Regular) 02/02/2009 Page 3 country. Commenting that Judge Morro was a personal friend of Andrew Carnegie, Mayor Boro stated that according to folklore Mr. Carnegie intended to grant the City of San Rafael $12,500; however, when he found out that Judge Morro was involved he stated: "I better give your City $25,000 if they have to put up with you." Mayor Boro reported that the City of San Rafael library was built 100 years ago at a time when the population was approximately 5,000. A lot of work had been done in the interim; however, there was a need in the long term to increase capacity. Mayor Boro stated the resolution was from the Mayor and City Council of the City of San Rafael together with the entire community. He thanked the library staff for the great work they did that day and in putting the event together, and he looked forward to another one hundred years of use of the library and strong support from the community of San Rafael. David Dodd stated the resolution was better looking that anything received from others. Mr. Dodd recalled that it was the Women's Christian Temperance Union that started the library in 1887 to afford people an alternative to the saloons on Fourth Street. They started a coffee house and reading room and the President of The Friends of the Library, Karen Nielsen, dressed up on Sunday as a WCTU lady and lit the symbolic fire. Sean Prendiville recognized Kay Noguchi, Library, for all the work she did on putting this event together. OTHER AGENDA ITEMS: 8. PRESENTATION OF METHANE CAPTURE FEASIBILITY STUDY FUNDED BY A GRANT FROM PG&E FOR AREAS WITHIN THE CITY OF SAN RAFAEL AND AREAS SERVED BY THE CENTRAL MARIN SANITATION AGENCY (RA) — FILE 4-3-492 x 4-3-32 x 4-12-7 City Manager Ken Nordhoff stated that this evening the City Council and members of the community would have an opportunity to hear about a very exciting project that holds a host of possibilities. It was interesting that this item was on the back end of an earlier study session regarding the Climate Change Action Plan ideas, which contained a number of energy related and waste reduction related ideas which were bubbling up from the community. Tonight the City Council would hear a little more detail about how one of those was possible and what it might look like moving into the future. By way of summarizing the staff report, Mr. Nordhoff reported that the City took a PG&E grant approximately a year ago and partnered with the Central Marin Sanitation Agency (CMSA). A Request for Qualifications process was conducted. Several consultants were interviewed and the Kennedy/Jenks firm was hired, who had put the study together, along with City staff, particularly Stephanie Lovette, as well as CMSA representatives in attendance this evening. Joel Faller, Kennedy/Jenks stated they were pleased to be attendance to provide an overview of the Food Waste Methane Capture Feasibility Study that Kennedy/Jenks conducted over the last several months. He recognized Bob Ryder, Kennedy/Jenks, Chief Process Engineer and major contributor to the study, who was in attendance and could answer questions. Mr. Faller explained that the essence of sustainability was turning a former waste into something useful. The focus of their Feasibility Study was looking at the food waste collected within the Marin Sanitary Service service area — the Central Marin area of San Rafael and parts north in the Marinwood area. They looked at taking that food waste, screening it, grinding it up and processing it to produce Methane Biogas, and utilizing the facilities at the CMSA, where there was excess capacity, to process the food waste through an anaerobic digestion process to capture the methane. Focusing on many of the benefits the City, CMSA and Marin County would gain from this project, Mr. Faller stated it was found that the project was cost-effective with a reasonable payback, that the facilities being proposed at the Transfer Station and at Central Marin were reasonable and with a fairly short payback. The project was tailor-made for the stimulus package and also was available for other energy incentive funding programs. He indicated it would provide a local renewable energy source for the County, it would reduce big truck traffic on the roads, it would divert up to 15 tons per day of commercial food waste from the landfill, it SRCC Minutes (Regular) 02/02/2009 Page 3 SRCC Minutes (Regular) 02/02/2009 Page 4 maximizes the use of the capacity of the CMSA treatment plant and it would reduce overall greenhouse gas emissions and the carbon footprint. Providing an overview of the food waste program, Mr. Faller stated that it would take solid food waste initially from restaurants and food stores. It would be collected in separate bins, transported to the food waste receiving and separation facility, currently Marin Sanitary Service, where it would be separated, ground up and transported to Central Marin where it would go through an anaerobic digestion process. This captures the methane and is recovered through an existing engine generator at CMSA to produce electricity. The residual solids could also be used as a soil amendment. Of the facilities in the schematic, Mr. Faller stated that the Food Waste Receiving and Separation was new (circled on a slide) — the remaining part of the infrastructure was in place and had excess capacity. Identifying the facilities proposed at the Waste Transfer Station, shown in a schematic, Mr. Faller explained that the food waste would be received in bins, collected and run through a sort line. In the sort line, utensils and plastics would be removed, it would be ground up, put in a truck and hauled to Central Marin. He added that it would be ground up to about'/4-inch size, sufficient that it could be mixed in at the Central Marin Plant. He reported that at the CMSA facilities the truck would arrive with the ground up food waste. It would be dumped into a slurry tank, which would be mixed with recycled water and further ground for processing in CMSA's digesters. Mr. Faller reported that the new facilities necessary for the program consist of approximately $1 million in capital improvements at the Transfer Station for the sort line, grinding and conveying of the waste. There would be an annual net savings of approximately $185,000, which was a result of savings and tipping fees at the landfill, as well as transport costs of the trucks running up the freeway, and it took into account the added cost of operating the facility — labor, energy and maintenance on the equipment. Taking this into account there still was $185,000 per year in net savings that would result in roughly a little over a 5 -year payback for the Transfer Station. He indicated that at CMSA the collection, slurrying, grinding and processing facilities was approximately $2.7 million. CMSA would have enough biogas generated to run their engine generator essentially 24 -hours a day. Currently, they only had sufficient biogas to run their engine 12 -hours daily, and the other twelve hours are supplemented with natural gas. This would offset the cost incurred by CMSA in natural gas of over $400,000 annually. Taking into account their annual operating energy and labor costs, the net savings would be a little over $300,000 annually, resulting in an 8 -year payback. Mr. Faller stated that the project was tailor-made for the stimulus package and other energy incentives. It maintains and creates green jobs, is infrastructure -focused and has near and long-term benefits. The main infrastructure is in place at the CMSA treatment plant and the Transfer Station is just up the road. It also reduces the carbon footprint significantly. Indicating that it provides a local renewable energy source that produces 230 KWs of power, which was equivalent to approximately 5,500 KW hours per day of energy, Mr. Faller noted this was from 15 tons per day of food waste. This was sufficient electricity to run the CMSA treatment plant for approximately twelve hours per day — this would be the initial program. It would be using the anaerobic digestion, the existing engine generator and powering power to the plant. Mr. Faller stated that truck traffic on the roads would be significantly reduced. The haul from Marin Sanitary Service up to Redwood Landfill was an approximate 30 -mile roundtrip, whereas going to CMSA was just about a mile round trip. This reduced a significant amount of trucks on the road, emissions from those vehicles, fuel and the wear and tear on the equipment. Noting it diverts a significant amount from the landfill, Mr. Faller explained that of the residual amount of solids from Marin Sanitary Service after recyclables are removed, approximately 50% of that disposed at the landfill represented food waste. The initial project would divert up to 15 tons per day of commercial food waste from restaurants and food stores, and also would include Marin General Hospital and San Quentin. He noted that it could take up to 40 — 50 tons per day if expanded to include other food sources, including residential. Indicating that it would maximize the unused capacity at CMSA, Mr. Faller identified on a slide the existing digesters at CMSA that had added capacity and with already scheduled improvements for some upgrade on maxing and covers, there would be an additional 50% available capacity for processing and digesting the SRCC Minutes (Regular) 02/02/2009 Page 4 SRCC Minutes (Regular) 02/02/2009 Page 5 food waste. He noted that the input of food waste creates more biogas, which provides more fuel for the engine generator to offset the natural gas cost at CMSA. Reporting that the project would reduce Carbon Footprint, Mr. Feller explained there would be less CO2 emissions than landfill or composting, less CO2 having to do with shorter truck hauls and transporting the food waste to Redwood Landfill, and it would provide a renewable energy that replaces energy from fossil fuels. He noted that the bar graph demonstrated a relative comparison of the greenhouse gas carbon dioxide equivalent. This represented that through anaerobic digestion with a cogen engine, there would be eight times less emissions than composting, and twelve times less emissions than landfill with methane capture, which is currently being practiced at Redwood Landfill and flaring. Therefore, there would be a considerable amount of reduction in greenhouse gas emissions with anaerobic digestion and with the current cogen engine. In the future fuel cells would produce less emissions. Mr. Faller reported that food waste could be composted; however, this did not capture the full value of this energy source. He displayed a slide of a simple schematic of food waste being collected in bins, going through a windrow composting arrangement and producing a soil amendment. This was similar to NorCal's facility in Vacaville at the Jepson Prairie facility, where there is large composting, and the windrow requires equipment to aerate it, etc. Therefore, quite a bit of energy is associated with that equipment in use and fuel to have windrow composting. Noting the other method of composting was In Vessel, Mr. Faller reported that Marin Sanitary Service was currently pilot testing this. He indicated that In Vessel also requires energy for blowers to provide air for aerating and mixing the composting and grinding. By digesting the food waste and taking advantage of the facilities at CMSA the value was maximized in what was extracted from the waste. Through the anaerobic digestion process the methane is removed to run the engine generator to produce electricity; however, the solids could be used as a soil nutrient. Mr. Faller reported that the food waste energy utilizes proven technology in a new application. He explained that East Bay Mud's facility had been operating since 2003 (photograph displayed). It was not a complicated process; however, it required robust equipment proven in the waste water industry. He identified slurry tanks, hoses, pumps and grinders, etc. He reiterated it required robust equipment that had been used in the waste water industry. He reported that a facility in Milwaukee had been operating since 2005. EPA had conducted a study where waste water capacity in California had been looked at, together with opportunities where other food waste sources could be combined with waste water capacity to generate renewable energy. He indicated there were also ongoing investigations in California and throughout the country, and quite extensive experience in food waste processing in Europe. Mr. Faller stated that East Bay Mud's facility was the prototype that had been recognized by the California Association of Sanitation Agencies (CASA), and by EPA as part of their study and evaluation. He commented that they had a very successful program. With regard to the benefits of the project, Mr. Faller stated that this program and project would provide a sustainable solution of taking food waste and providing a renewable source of energy. Based on the analysis and in the feasibility study, they believed it was cost-effective with reasonable payback, was a good project for available funding, would provide a local energy source, reduce truck traffic, would divert from the landfill, maximize the use of existing infrastructure and would reduce the carbon footprint in the County. Believing this to be a very intriguing idea, Councilmember Connolly stated that as noted by the City Manager it would go towards a lot of the City's goals in terms of Climate Change Plans, etc. He inquired whether there had been any analysis of the amount of energy it would take to produce a certain level of energy through this process, i.e., any type of comparison of the net in terms of energy value. Mr. Faller reported that the cost of energy related to what facilities were needed at the Transfer Station for screening and grinding, as well as CMSA, i.e., how much equipment and horse power was needed and the energy required to operate for a limited time, and this represented approximately 10% - 15% of the energy produced. Of what was produced, 85% was new and available; 10% - 15% would go towards producing the energy. He referred back to a slide which demonstrated 55 KW hours per day; therefore, 10% - 15% would be in the range of 550 KW hours per day, up to approximately 800 KW hours per day that would be required to operate the facility. He indicated there would be a significant gain in the amount of energy produced. With regard to the East Bay Mud program, Councilmember Connolly stated it appeared as though it had been SRCC Minutes (Regular) 02/02/2009 Page 5 SRCC Minutes (Regular) 02/02/2009 Page 6 in operation for several years and he invited Mr. Feller to comment on how the actual results compared to initial benchmarks in terms of the amount of energy produced, whether there had been a significant hit on rates for consumers, etc. Mr. Feller reported that the facilities were originally built for $3 million. In the first year of operation some bugs, etc., had to be worked out; however, currently the process was running very well and they receive a tremendous amount of not only food waste, but also liquid waste, from within the northern part of California. Robert Ryder reported that the facility at East Bay Mud was a 200 -ton per day capacity facility. Currently, they take approximately 40 tons daily. Providing background, Mr. Ryder explained that food waste from San Francisco goes up to Jepson Prairie where they have a composting operation. They were running out of capacity and having difficulty in terms of carbon dioxide in the Central Valley. Jefferson Prairie needed an alternative to handle the food waste. Mr. Ryder noted that East Bay Mud was in a unique position because when they built their main waste treatment plant there was a lot of food processing in the East Bay. Much of those food processors had now moved out of the urban area and relocated to the Central Valley; therefore, they had excess capacity and were exploring the possibilities of high strength waste water and also food waste. Noting the program had been approximately five years in operation, and a really stable and robust operation for two years, Mr. Ryder stated that the EPA got quite interested in Northern California. A survey was conducted in terms of municipal waste water treatment plants that indicated that in California, perhaps 75% had excess capacity in anaerobic digestion and producing methane. He reported that the processes of screening and grinding were basically similar to household kitchen disposals. Councilmember Connolly stated he was interested in how reality had compared to some initial benchmarks or goals that existed for that plan and whether there had been any appreciable effect on rates at East Bay Mud. Recognizing there were probably some unique features involved, he indicated he was attempting to get a sense of whether this great idea had played out effectively. Noting that this was just an engineering feasibility study to conduct reference searches, develop costs locally and the operating costs, Mr. Ryder stated that to go forward there would need to be much more intensive environmental assessments that would address some of the points being raised. Councilmember Heller noted from the report that at the end of the process sludge is returned to the landfill for compost and she inquired whether this was something that could be sold to different companies rather than taking it to the landfill. Mr. Faller explained that the residual solids from the food waste were highly volatile in that they produced gas and helped the overall digestion process; therefore, the anticipation was that the residual solids would not be a lot. It could be digested and used as a soil amendment, i.e., land applied, mixed in some type of compost form, etc., and he was aware that currently, CMSA hauls. The solids are dewatered and during the summer, starting in April, they haul up to Sonoma, where it is land applied. During the winter it is blended and used for mixed cover. Mr. Ryder stated that fifteen tons goes into the CMSA and two and a half tons is hauled out. The remainder goes into methane gas and energy. Councilmember Brockbank stated he was concerned about whether there were risks or costs which he did not understand from the study. Noting Mr. Faller mentioned a lot of job creation and that this was tailor-made for the stimulus program, about which he had misgivings, he inquired as to how many jobs and how this would be offset against potential job loss. Mr. Faller believed the impact on Marin Sanitary Service would be minimal. While the number of trips to the landfill would be cut, a process would be added to their facility that they had to operate and maintain in collecting the food waste. He indicated that collections would be made in separate bins, brought to the Transfer Station where there would be a sort line, separator and grinder being operated on daily basis that would require additional labor. This would be similar to CMSA operating the facilities several hours daily and maintaining the equipment. SRCC Minutes (Regular) 02/02/2009 Page 6 SRCC Minutes (Regular) 02/02/2009 Page 7 Assuming there would be a net gain, Councilmember Brockbank inquired as to the extent, and in losing literally half of the trucks that go the landfill, he inquired whether the suggestion was that many of those formerly driving trucks to the landfill would be retrained to work at the Transfer Station. Mr. Faller stated that that discussion had not taken place. Noting Mr. Faller indicated that food waste would be collected from restaurants, as well as institutions such as San Quentin, and believing restaurants would provide a lot more food waste than the average single- family home, albeit institutions such as San Quentin would provide many times the food waste of even the largest restaurant, Councilmember Brockbank inquired as to why only San Quentin. Mr. Faller stated this was part of an initial study undertaken by Marin Sanitary Service as to how much was available in commercial food waste, classified as restaurants and stores, and looking at institutions, while looking at residential separately. Indicating that this study was not conducted, Mr. Faller stated they evaluated how much food waste could be collected within the County, commercial initially, because a pilot program was already in place providing separate bins in restaurants, etc. Noting this was the limit of the study, Councilmember Brockbank stated this was not to state that the program could not ultimately be expanded to include other institutions, or even private residences, as is done in San Francisco. Concurring, Mr. Faller stated this was the benefit of the program. It was initially taking what was readily available, and could be expanded into taking other waste. With regard to flaring, Councilmember Brockbank inquired whether there was some excess bi-product which was burned off rendering inert the remaining methane gas. Reporting that this was not at the treatment plant, Mr. Faller stated he was referring to the landfill, where methane was captured which did flare. Councilmember Brockbank confirmed that Mr. Faller's reference to flaring was the excess gas at the landfill. Mr. Faller stated that at CMSA, all of the gas goes to their engine generator and they can run their generator twelve hours a day on biogas currently. With regard to the $3.7 million in initial capital costs and the payback period based on that savings, Councilmember Brockbank inquired as to who would pay that and whether there was some risk that all of these issues would not pan out. Mr. Faller reported that part of the evaluation found that it was in the best interest of having the separation facilities at the Transfer Station and processing at CMSA. Initially, the payback would be based on the tipping fees to Redwood Landfill, where there was a significant charge for tipping per ton - $56 per ton, with $10 per ton of transportation costs. Further clarifying for Councilmember Brockbank, Mr. Nordhoff explained there were two ratepayer pools in the analysis. In the franchise service area of the processing agent, whether Marin Sanitary Service or something broader, the cost of up front operations and savings would accrue to the ratepayers. This would fall on the garbage payers within those franchised agencies. This work had not yet been conducted and it would have to be determined what those rates would look like and to whom they would be applied, etc. Mr. Nordhoff stated the other half would be the cost considered by the CMSA. They had several member districts, and to the extent those ratepayers were paying sanitation rates, these rates would have to be worked into their long-term rate structure. The two rate pools ultimately boiled down to businesses, residents and consumers in those geographic areas. Councilmember Brockbank confirmed that the initial costs would be paid for by the partners of the CMSA -- San Rafael Sanitary District, Ross Valley Sanitary District, Corte Madera and Larkspur. Mr. Nordhoff clarified that this was not the purpose of this evening's report, which was just to accept the report. If decisions such as these were to be made, they would be made by the appropriate bodies. SRCC Minutes (Regular) 02/02/2009 Page 7 SRCC Minutes (Regular) 02/02/2009 Page 8 Councilmember Brockbank inquired whether in a year or two there could be proposals superior to this, whether all possible alternatives for the foreseeable future were being investigated and San Rafael's next steps in the coming months in terms of the approval process, as well as that of the other partners in CMSA. Mr. Nordhoff explained that in this study all possibilities had not been studied, noting he was unsure what all possibilities would include because the scope of this work was limited. He reported that the City's involvement in this was fairly de minimis beyond the acceptance of this report. Should the CMSA Board choose to move forward, expand the facilities that were in place and prepare them for the receiving of this commercial food waste, that was a decision their Board would need to make. There likely would be some permitting work to be done with other agencies and the City would become involved, if there were some improvements to the digesters, etc., i.e., something that would require an environmental design permit. Such application would go through CMSA, through San Rafael's Community Development Department and be processed accordingly. With regard to the second part of the process, Mr. Nordhoff stated that as mentioned, to the extent there were capital costs, operating costs or savings achieved through the processing of this commercial food waste, that presentation would have to be put together by the waste hauler who would have to approach San Rafael as well as its other franchised agencies to discuss those impacts and how this would affect rates. Outside of this, Mr. Nordhoff stated that one of the beauties of this study was that, other than accepting the report, the City did not have a lot of significant investment to make or work to do should the other parties come together and want to do something "in our own backyard" which was fairly unique and probably the reason for not seeing a lot of these. He stated there literally was the capacity on one side of the street to put the anaerobic digesters and an operation across the street to collect the food. It was very convenient and somewhat unique that this partnership could be struck. Councilmember Brockbank stated he had assumed this would be coming back to the City Council for approval; however, it was just informational and purely a project of CMSA. Other than the City's approval of the Transfer Station facility and whatever other equipment at Marin Sanitary and CMSA, San Rafael was just being informed of what CMSA was planning. Mr. Nordhoff stated this was why the City Council was just accepting the report and there was no series of actions. Mayor Boro stated he believed that when this project was returned to the CMSA one of the questions to be raised would be that, should capacity be increased to include household and all commercial waste, whether there would be a huge impact on the payback. With regard to stimulus money being available, Mayor Boro stated this was discussed at a conference he attended recently. He noted this was all about reducing greenhouse gas and its impact on the City and not sending compost up to the Redwood Landfill. He assumed that long-term, should the collection of food waste be doubled, based on residential and other commercial, it could expand beyond Marin Sanitary Service to other agencies, this power could be sold back into the grid. Indicating this was a possibility, Mr. Faller stated it would have to be worked out with PG&E. Mr. Nordhoff stated he believed the study was intended to focus on the commercial food waste. The idea was to evaluate getting a program up and running in a fairly short period of time and have a reasonable payback period. He noted that often when these types of possibilities are studied on energy savings or other greenhouse gas reducing ideas, fifteen or twenty and beyond paybacks arise. While not closing the door on any of these potentials downstream, Mr. Nordhoff stated the focus was to try to get a commercial food waste program established. That was not to indicate a residential program could not happen in the future; however, a lot of behavior changes would be involved. Mayor Boro noted that everything the City Council had heard earlier this evening at the Study Session would involve a huge shift in how people lived their lives going forward to achieve goals. Mr. Ryder stated that the study which identified the total food waste was approximately 49 tons per day, of SRCC Minutes (Regular) 02/02/2009 Page 8 SRCC Minutes (Regular) 02/02/2009 Page 9 which 15 was commercial. The equipment in terms of capital cost could handle 50 tons per day as well as the 15 tons; therefore, the payback would be a lot less if the 49 tons were going to be used. Getting 49 tons would provide sufficient energy to run Marin Municipal Water District's Desalination plant. Bruce Baum, Green Coalition for Responsible Waste and Resource Management, stated he was also on the Strategic Team for the Citizens Advisory of Zero Waste. He studied East Bay Mud for the past three years and this proposal was not the highest and best use of the resource. Food waste should be composted and converted into energy and returned to the land and he noted two Marin proposals currently on the table using the private sector's money for food waste composting and energy. Indicating that this study was deficient in many ways, Mr. Baum stated it was written by consultants to achieve the client's desired results, e.g., the study compares using the last century's Windrow composting techniques, not state-of-the-art composting. Should San Rafael and CMSA wish to utilize the current CMSA bio digesters, he suggested pursuing the low -hanging fruit, fog, fats, oils and grease -- take San Quentin and a few commercial sites with no large capital investment of public moneys. In fact, Kennedy/Jenks did a fog study for the City of Millbrae. Mr. Baum commented that East Bay Mud was still experimental; it was a pilot and the only operational food waste bio -digester to energy site at a waste water treatment plant, and he suggested waiting until there were four or five operational before deciding on the feasibility. Noting this project was not shovel ready, Mr. Baum stated that no one today was aware of what the true costs would be for a large-scale plant since East Bay Mud was still in the pilot stage. Having spoken with East Bay Mud last week, Mr. Baum stated that after four years, they were now doing three loads a week. They plan to go to a large scale pilot project of fifteen loads a week in the spring. He noted that this report calls for 15 tons daily as phase I, which would cost $3.7 million of ratepayers' money. The report stated that with fog and food waste capacity an additional bio digester and generators would be needed for volume and backup. Mr. Baum noted that Kennedy/Jenks estimated the CMSA pay back at eight years; however, his calculations to recover the first $3.7 million @ $35 per ton would require 82 tons daily, five days a week, not fifteen tons a day. Additionally, was the cost for the other twenty tons per day identified or was it legally permissible to use bond money for the wet weather improvement project for food waste processing. He reported that the study mistakenly states that California Degraded Waste Management Board approval is needed for separation and grinding. Noting the local enforcement agency in Marin approves the permit and there was no need for a solid waste facilities permit, Mr. Baum suggested putting separation equipment, which East Bay Mud would supply, at San Quentin, the largest food waste generator in the County, and deliver food waste to East Bay Mud at $32.50 per ton. He commented that it was probably unlawful to use public moneys of $1 million for a private vendor and he questioned whether CMSA would fund other private vendors —Mill Valley Refuse or North Bay, should they wish to build separation facilities and bring their food waste to CMSA. He believed the study did not address the cost in greenhouse gas generated to dispose of the additional residuals and questioned whether it offset the benefits. While the presentation alluded to it, the study did not address the other 40 tons generated with Marin Sanitary Service's food waste — was this going to be land filled. Mr. Baum stated that since San Rafael was the substantial generator of food waste he inquired whether ratepayer costs would be higher than the Ross Valley Sanitary District or Corte Madera, and what funding CMSA had locked down for the first $3.7 million. East Bay Mud's funding was $200,000 and a grant from the EPA, with the remainder self-funded. This project was capital intensive with no grant money available currently. Should San Rafael want energy to meet its AB 32 reduction requirements he reiterated pursuing the low hanging fruit — fog — food waste was too valuable a resource and it should go back into the soil. Responding to Councilmember's Heller question, Mr. Baum stated that bio -solids going into compost at the Redwood Landfill could not be sold commercially, rather it would be used for bank erosion. Mayor Boro stated that the recommendation before the City Council this evening was to accept the report and the questions raised by Mr. Baum and others would be appropriately discussed at CMSA when they decided whether or not to pursue this project. Councilmember Miller moved and Councilmember Connolly seconded, to accept the report. SRCC Minutes (Regular) 02/02/2009 Page 9 SRCC Minutes (Regular) 02/02/2009 Page 10 AYES: COUNCILMEMBERS: Brockbank, Connolly, Heller, Miller & Mayor Boro NOES: COUNCILMEMBERS: None ABSENT: COUNCILMEMBERS: None CITY MANAGER'S REPORT: 9. None. COUNCILMEMBER REPORTS: (Including AB 1234 Reports on Meetings and Conferences Attended at City Expense) 10. U.S. Conference of Mavors: - File 9-1 Mayor Boro reported that the U.S. Conference of Mayors Winter Meeting is held in January each year in Washington, DC., and this year there was great support and attendance from the new Administration. The first day Rahm Emanuel, President Elect Obama's Chief of Staff, was in attendance, whose message was that it was important for cities to understand that President Elect Obama and his primary staff had worked in the City of Chicago. They were very aware of what happens in cities and understood the need to get dollars back to cities. His quote basically was: "the cities are the ones that can get it done, we are committed to getting money to cities." Mayor Boro indicated that this was reiterated by others from the President Elect's staff, including Valerie Jarrett, Senior Advisor to the president for Inter -Governmental Affairs and Cecilia Munoz, in -coming Director of Inter -Governmental Affairs for the White House, specifically to deal with cities. Reporting on a breakout session with Joe Goffman, staff to Senator Boxer and her committee of Environment and Public Works, Mayor Boro stated that capping greenhouse gasses was obviously their number one priority. Along with achieving energy efficiency, Senator Boxer hoped to partner with Congressman Waxman, Chair of the House Energy and Commerce Committee, so they together could present some joint legislation to both Houses of Congress. The issue of Community Block Grants for energy efficiencies was also discussed. Mayor Boro reiterated how impressed he was with the level of representation from the Administration who attended the Conference and who were very understanding of the needs of cities. Mayor Boro reported that the Mayor of Phoenix led a discussion concerning immigration reform. The substance of the discussion was that a policy was necessary on border access for workers, e.g., a guest worker program. Also, labor laws needed to be followed by employers in order not to retain people in the country illegally, and also to find a way to deal with those already in the country, so that in the long-term they could achieve citizenship. This issue will be brought back to the Mayors at their meeting in June, and Mayor Boro believed there would be a resolution going forward to rekindle the original legislation in Congress, which failed to pass last year. Noting it would take bi-partisan support, Mayor Boro stated the issue of immigration would not go away and needed to be dealt with. Reporting that Bill Clinton was in attendance, Mayor Boro stated he was very entertaining and an excellent speaker. He discussed his Foundation dealing with Global Warming, which was something the City needed to know more about, the website being the first source for information. Indicating that Jim Oberstar, Chair, House Transportation and Infrastructure Committee, was also in attendance, Mayor Boro stated he was a strong supporter of the Non -Motorized Transportation Pilot Project for which a $25 million grant was given to Marin County. Noting T. Boone Pickens was also in attendance, Mayor Boro stated he also had ideas with respect to energy, windmills and alternative fuels for cars. He also had a website worth looking at. There being no further business, Mayor Boro adjourned the City Council meeting at 9:12 p.m ESTHER C. BEIRNE, City Clerk APPROVED THIS DAY OF 12009 MAYOR OF THE CITY OF SAN RAFAEL SRCC Minutes (Regular) 02/02/2009 Page 10