Category: Nutrient Trading

Is a Study Session on an Independent Inspector General for the Water Reclamation District on the Horizon?

7/12/2017

Metropolitan Water Reclamation District (MWRD) Board Meeting - July 6, 2017

Significant Decisions Made:

At the April 20, 2017 MWRD board meeting, President Spyropoulos asked for a memo from the Legal Department regarding her request for the creation of an Independent Inspector General for the MWRD, a new position for the MWRD. Commissioner Shore noted that the memo has now been received and the board should move forward – perhaps as early as the August Board meeting - to study the memo and the request.
The Board approved a resolution affirming the District’s support of the Paris Climate Agreement. In the resolution it noted that its goal is to achieve energy neutrality by 2023 and pledged to reduce greenhouse gasses by at least 28% below the District’s 2005 level in or before 2025.
An RFP advertisement was approved to conduct phosphorus removal feasibility studies for the Stickney, Calumet, and Terrence J. O-Brien Water Reclamation Plants, estimated cost $772,725.
An RFP advertisement was approved to hire a consultant to help the District recruit and implement a program to help small businesses become prime contractors.

Referred to Committee:

Continued deferral of the Buffalo Creek Reservoir Expansion to accommodate a request from Commissioner McGowan to hold a study session on the proposed agreement to enter into a new multi-project labor agreement which would affect the expansion as well as other projects. This observer asked Commission Shore to notify the League when the study session is to be held. President Spyropoulos is strongly in favor of the agreement. McGowan wants language change and to hear from contractors.

Observation:
The Secretary is now required to read into the record all resolutions coming before the Board at each meeting. When questioned on this apparent waste of time, it was noted by Executive Director St. Pierre that the Illinois Supreme Court now requires this step.

Observer: Diane Edmundson Meeting Length: 90 minutes

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Nutrient Trading Discussed at MWRD Study Session

3/7/2017

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Metropolitan Water Reclamation District Special Study Session – February 23, 2017

Three Items were on the Agenda for Discussion – Presentation by David St. Pierre, Executive Director

Background and rationale for purchase of farm land and Nutrient Trading.
Extension of Survivor Pension Benefits for MWRD retired employees that married after it became legal for LGBT community to marry.
Presentation on proposed investment vehicle to maximize income from leased MWRD properties.

Purchase of Farm Land/Nutrient Trading

By 2025 the national and Illinois EPA(s) require a 25% reduction in Phosphorus [fresh water] and a 15% reduction in Nitrogen [salt water] effluent in the waters leading to the Mississippi River and Gulf of Mexico.
Most of the phosphorus comes from point sources such as the MWRD [83%].
A huge reduction has already been achieved, but to get to the last percentage needed to reach the target goal of .1 discharge requires as much as $211 million additional expenditure per year by the MWRD without the guarantee that .1 can be reached.
Currently the discharge acceptable by the EPA is 1.0 with a targeted reduction to .072 by the end of 2018.
Since 17% of the runoff comes from agriculture which is not regulated, and MWRD's Ex.Dir, St. Pierre, does not expect it to be regulated in the foreseeable future, a pilot program is being undertaken to see if by purchasing agriculture land and eliminating the use of phosphorus on the land, enough reduction can occur to get to the required target.
Another discussed approach is called Nutrient Trading. If the regulations and parameters can be worked out, this could be the most affordable way of getting to the target. Farmers would be encouraged to use Best Practices to reduce runoff and could sell Nutrient Trades to utilities such as the MWRD. St. Pierre estimates the cost could be $20 million per year which is a 10 times reduction.
Mr. St. Pierre posits that this plan needs to be adopted state wide for it to be effective and several entities including the state's Pollution Control Board support nutrient trading including "downstream" trading.

Survivor Pension Benefits Extension

Several board members want the extension to happen yet this year.
St. Pierre would like the opportunity to research the number and ramifications involved, if any, and implement in 2018.
One problem is that the MWRD currently does not know how many retired employees entered into a marriage after 2011 when gay marriage became legal. Stay tuned as this likely will come up in future board meetings.

Proposed Investment Vehicle to maximize income from Leased MWRD Properties

Mr. St. Pierre said he was not prepared to make a presentation on this proposal for this study session. Further analysis is necessary by the legal teams to ensure that this type of investment is possible for a public body.

Post Meeting on-line Observation by Diane Edmundson

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Is a Study Session on an Independent Inspector General for the Water Reclamation District on the Horizon?

Nutrient Trading Discussed at MWRD Study Session

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