EDA Minutes 04-13-2016 (Special Meeting)MINUTES
SPECIAL MEETING - ECONOMIC DEVELOPMENT AUTHORITY
Wednesday, April 13, 2016 at 5:00 PM, Academy Room, Monticello Community
Center
Present: Bill Demeules, Bill Tapper, Tracy Hinz, Jim Davidson, Steve Johnson, Tom
Perrault, Lloyd Hilgart
Absent: None
Others: Jeff O'Neill, Angela Schumann, Jim Gromberg, WSB & Associates, Ryan
Spencer, WSB & Associates
1. Call to Order
Bill Demeules called the meeting to order at 5:00 p.m.
2. Purpose
The purpose of the special meeting is a review the Environmental Study conducted at
Fred's Auto Building and the Phase I findings in Block 34 along with follow up actions
that may be prudent such as a possible Phase II. Ryan Spencer, WSB, presented the
Phase I findings which identified three "recognized environmental conditions" (RECs):
one at the Montgomery Farms site for an underground tank (a Phillips 66 gas station was
previously located there); a second one at the Zoo Bar site for possible coal gasification
activities when the site was formerly the City public works facility many years ago. A
third one is the adjacent service station (across the street), operated as Red's Auto Service
Station. This is a REC due to its proximity to the City controlled site of concern. Ryan
noted that there are currently not any known issues at the Red's Auto Service Station site.
There was also a historical REC identified related to TDS Telecom's property which is
now a closed out file per MPCA procedures for an underground tank release. Based on
the RECs, WSB recommends further Phase II evaluation of the Zoo Bar site in Block 34.
There may be unsealed wells at this site also.
The Montgomery Farms (100 East Broadway) site did have a leak that was identified in
the July 2015 Limited Site Investigation (LSI). That documentation process is now
complete with an MPCA file number known as 19182. Because of the TH #25 widening
and turn-lane improvement project utilizing land formerly on the site, MN -DOT
participated in the LSI. The LSI indicated relatively low gas odors in the nine boring sites
at shallow depths. Non - petroleum debris discovered in the soils is likely due to junky fill
soils; a common practice in the old days. The MPCA issued a site closure upon
finalizing of the report known as a RAP (Response Action Plan) documenting the
contamination and the cleanup steps. Key findings indicate that the upper 4 to 5 feet of
soils of the entire property footprint are impacted. Shallow groundwater was at 12 feet.
MN -DOT wants assurances from MPCA that they will not be liable for the
contamination. Ryan noted that development may still occur on problem soils that have
minor amounts of contamination by buffering the contaminated soils with clean material
over the top of it.
Special EDA Minutes: 04/13/16
A Limited Regulated Materials survey of the Fred's Auto building was also completed.
Findings were typical for a building of this vintage and construction. Asbestos is in the
bathroom flooring, the roof tar and the window putty. The paint contains low levels (less
than 1 percent) of lead. It is a possible hazard if sanded or aggressively brushed as it
could become airborne. Covering it with a new coat of paint is acceptable. Disclosure of
the contaminants is required to prospective buyers.
Ryan next explained the proposed Phase II Environmental Review steps for the Zoo Bar
(Block 34) due to concerns regarding former coal gasification activities. Borings are
proposed around the exterior of the building and thru the floor into the soil under it.
Typical Phase II borings go down 20 to 25 feet instead of the usual 4 feet in an LSI.
Discussion ensued on the pros and cons of completing the Phase Il and its possible
impacts to the redevelopment process and /or timeline for Block 34. Jim Gromberg,
WSB, noted that developers prefer to deal in knowns versus unknowns. They want to
know the costs of redevelopment and a Phase II would offer a way to calculate that if
mitigation activities are required.
EDA members noted that this site competes against locations in other area cities for
development too. Time spent doing further investigations by a developer may be non-
competitive. The City wells are located in Block 34, although they are over 250 feet
deep, and may be a low risk. The additional investigation may be justified since the coal
gasification contamination is a question mark as to how intensive and widespread it may
be. A consensus was noted that it may be helpful to know the answers in the Phase II
Environmental Assessment upfront for efficient marketing of the site.
3. Adi ournment
TAPPER MOVED TO ADJOURN THE SPECIAL MEETING AT 5:56 PM. HINZ
SECONDED THE MOTION. MOTION CARRIED 6 -0.
Recorder: Kerry Burri
Approved:
Attest:
Ji Thares, EDA Manager
2