05-05-1997 WS - Laserfiche WebLink

Home Browse Search

Item No. Staff Report No. q`1-X075 f dS Meeting Date: May 5, 1997 • Type of Business: W.K. WK: Work Session;PH:Public Hearing; CA: Consent Agenda;CB:Council Business City of Mounds View Staff Report To: Honorable Mayor and City Council From: Michael Ulrich, Director of Public Works Item Title/Subject: Consideration to Purchase Waste Oil Tank Date of Report: May 1, 1997 In 1996 staff purchased and installed two waste oil heaters for the Public Works Facility. When the addition was constructed for the building a 500 gallon waste oil tank was buried outside the building for use by the general public and maintenance facility. Installed with the waste oil heaters, was an additional 660 gallon tank inside the building. The City's total storage capacity is 1,160 gallons. At the beginning of the 1966 winter season both of these tanks were full. Through approximately the first two months of the heating season, the sole heat source for the building, except the office area, was provided by the waste oil heaters. Utilizing our waste oil resource saved the City approximately $700 to $1,000 per month for that period. Unfortunately we depleted our supply of waste oil. Small amounts of oil were deposited throughout the winter and were utilized basc,d on the availability. The usage of the waste oil dump site is predominantly in the summer months. With the limited storage capacity currently in place, we cannot accumulate enough fuel to supply heat for the majority of the heating season. The current underground tank does not lend itself to efficient maintenance and is subject to increasingly more stringent regulations. Spill containment and over fill protection have been installed, which prevents the accumulation of sludge from being removed. Staff is recommending abandoning the 500 gallon underground tank and installing an aboveground 2,000 gallon tank. Staff has consulted with vendors to explain the City's application, regulatory considerations and expense estimates. It is estimated that$2,000.00 will be required to abandon the current underground tank. This expenditure is very likely to occur in the future due to stricter regulations. Installing a new 2,000 gallon aboveground tank will cost approximately $9,200.00. This additional capacity should provide a sufficient fuel supply for the majority of the heating season. The payback for the additional tank is estimated to be 2 to 3 years. Staff is requesting contingency funds from Water, Wastewater and General funds for this expenditures. Total amount of the project and requested funds would not exceed $11,200.00, and would be transferred into Account nos. 100-4460-703, Fleet Services - Building and Grounds, • 7.00-4123-703 Water Infrastructure and Equipment Maintenance, 730-4123-703 Wastewater Infrastructure and Equipment Maintenance. Should Council approve this project, staff requests proceeding as soon as possible, to avoid vendor pick up of oil beyond our storage capacity.