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HomeMy WebLinkAboutConstituent Letter - Read Before Packet - 5/2/2023 - Letter From Fort Collins-Loveland Water District (Fclwd) Re: First Reading Of Ordinance No. 071, 2023, Amending The Land Use Code To Include Regulations For Areas And Activities Of State Interest -- A Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 1 of 6 May 2, 2023 Fort Collins City Council 300 LaPorte Ave Fort Collins, CO 80521 RE: First Reading of Ordinance No. 071, 2023, Amending the Land Use Code to Include Regulations for Areas and Activities of State Interest Madams Mayor, Mayor Pro Tem and Members of Council: Fort Collins-Loveland Water District (FCLWD) is appreciative of the additional time and opportunity to engage with City staff on the 1041 Regulations proposed to City Council. We have reviewed the agenda packet prepared for Council for first reading of 1041 regulations on May 2, 2023, and present the following summary of comments by Decision Point and in order of preference. Consider Intergovernmental Agreement (IGA) - Decision Point 4 A significant population of Fort Collins citizens are FCLWD water customers and vice versa, either directly or when visiting the FCLWD service area. The Intergovernmental Agreement (IGA) is a productive tool to hold agencies accountable for their obligations. It is FCLWD’s commitment to the City of Fort Collins to minimize impacts from projects while meeting our mission of providing safe reliable drinking water. An IGA would be an amicable and preferred avenue to demonstrate this commitment over 1041 regulations. Update Project-size Thresholds and Exclude ROW – Decision Point 1 FCLWD supports the staff recommendation to amend the code and update definitions removing the pipe size thresholds and excluding work within existing public right-of-way. The public right-of- way is the preferred corridor for FCLWD infrastructure. The mission of FCLWD is to provide high quality, secure, reliable, and affordable water. This mission hinges on predictable and open access to our water systems for maintenance and replacement and possibly expansion, especially as City of Fort Collins land use codes trend towards more dense housing. Decision Point #1 has the most impact on which FCLWD projects will go through 1041 permitting and which will not. Attachment 1 summarizes the FCLWD Capital Improvement Plan (CIP) within the Fort Collins GMA and indicates which projects would be subject to 1041 dependent on Decision Point #1. One project in particular, the Zone 5 Transmission project highlights the importance of careful language in the 1041 code. This project is a multi-phase project stretching approximately 8 miles across the City of Fort Collins. Existing FCLWD infrastructure is undersized for current and future flow needs, resulting in dependence on pump stations and alternative water delivery sources. The Zone 5 project will increase hydraulic capacity and improve overall system performance and May 2, 2023 TO: Mayor & City Council FROM: FCLWD RE: Agenda Item 11 (1041 Regulations) /sek Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 2 of 6 reliability. The completion of this project is critical to continue to deliver reliable and affordable water to our customers. A project of this size will be constructed over multiple years and phased to align with acceptable construction seasons. However, if the pipe size thresholds remain and there are no exclusions for water utility pipe in ROW, FCLWD would bring this project in one permitting effort to provide more predictability to the project. The Zone 5 example assumes that the project will be permitted as such. The original conceptual alignment follows existing pipe corridors and is shown in Figure 1 in orange. A project of this magnitude is heavily coordinated with multiple City of Fort Collins departments. As the project team coordinated with City Engineering and Street Maintenance over the past three years, the alignment was adjusted south to limit construction impacts in major arterials and to free up the ROW corridor for use by other utilities (Figure 1 in blue). This new alignment is larger than 12” diameter and longer than 1,452 LF and since some sections do not have existing pipe, it would now be considered an area of state interest per the definition of major new domestic water system. This is an unfortunate example where in the conceptual phase, the project is exempt but may not be in the City's best interest and the preferred (blue) alignment is subject to 1041 regulations. Figure 1. FCLWD “Zone 5” 24-inch diameter transmission water main shown as originally proposed (orange) and alternative alignment (blue) along with boundaries of Natural Habitat and Features. Ideally, the Zone 5 Transmission project would be exempt due to Decision Point #1 updated definitions. However, walking the project through the permit process raises questions and comments to consider. The first requirement of the pre-application is to define the nature of the proposed development. The pre-application review submittal package includes: •Boundaries of the proposed development plan. Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 3 of 6 •Ecological Characteriza�on Study within ½ mile radius of impact area. •Three si�ng and design alterna�ves (one at 30% design) and reasons why such alterna�ves are not feasible. •Cumula�ve Impacts Analysis on natural features within ½ mile radius •Conceptual mi�ga�on plans •Applica�on fee and agreement to pay the costs of third-party review. Figure 2 shows a ½ mile buffer surrounding the Zone 5 proposed alignment. This illustrates the area to study for the Ecological Characterization Study and written summary of the Cumulative Impacts on natural features. Prescriptive submittal documents must provide a level of detail to determine any potential for an adverse impact and the proposed mitigation. Several questions and comments arise: •This level of analysis is unconven�onal for water pipelines in established ROW, and it is hard to predict what the cost to the project would be. •The applicant must agree to pay the costs of third-party review for one or more of the following, (1) to make the FONAI designa�on, (2) perform completeness review, (3) or review full permit. It is unclear how the Director would determine what a full permit 3rd party review cost would be based on pre-applica�on materials. How will this amount be calculated and determined to be included in the agreement? Figure 2. A 1/2-mile buffer around proposed Zone 5 alignment. Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 4 of 6 Conceptual Designs at 30% - Decision Point 2 A 30% level design is unrealistic at this point in the project planning. Three alignments can be proposed but the question arises as to what the standard for selecting the preferred alignment be. FCLWD feels that the utility owner and its design team are the authority on alignment selection, especially in ROW where utility conflicts often drive the best alignment. Neighborhood Meeting Requirements – Decision Point 2 FCLWD supports adjusting the neighborhood meeting requirements based on the project at the discretion of the Director. FCLWD currently sends postcards and conducts outreach on capital projects through the life of the project on our website at https://fclwd.com/water/construction- projects/. To continue walking the full Zone 5 project alignment through the FONAI process, a neighborhood meeting would include more than 5,064 mailings based on a project 1,000 ft buffer and Larimer County parcel layer. For reference, it costs approximately $800 per 1,000 postcards, just for materials and postage. This neighborhood meeting would need to be held online, as an in- person venue would not be easy to plan for and attendance would be hard to predict. Neighborhood outreach for a ROW corridor pipe project is better held closer to construction so that questions around traffic and road closures can better be answered. As specified in 6.6.5, for the Director to determine that a proposed development plan will only result in negligible adverse impacts and to issue a FONAI, they must determine that the proposed project does not meet any of the criteria in 6.6.5(A) (1) through (8). Item 3 is the buffer zone of an existing natural habitat or feature (Land Use Code Section 3.4.1) and item 4 is the buffer of a high priority habitat as identified by Colorado Parks and Wildlife. The Zone 5 project would not qualify for a FONAI based on these two items. Additionally, the cost to identify the natural communities, habitats, and special features in this buffer zone (Figure 3) would be significant and hard to quantify. The regulation is unclear if this requirement applies to the whole alignment or only the sections that are within 500 ft buffer. Highlighted in cyan color are polygons of the Natural Habitats layer that are within 500 feet of the alignment. The potential Zone 5 project construction in these areas is contained within ROW and so the question arises on why a water or wastewater sewer project would be considered a state interest and subject to 1041 regulation whereas a stormwater, gas or telecommunications project would not. Certainly, road maintenance activities such as street overlay and winter de-icing activities pose a much greater impact. FCLWD believes that all utility infrastructure operations are vital to the health, welfare, and safety of people in Fort Collins. Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 5 of 6 Figure 3. 500 ft buffer of Zone 5 project, Natural Habitat and Features that intersect are highlighted in cyan. Limited scope resubmittal – Decision Point 2 If the Council denies a permit, there should be an opportunity for the applicant to address the Council’s concerns and return to a hearing (not start over). There should be standards to denial so that the 1041 permit is applied fairly and evenly. This would ensure predictability in the permitting process. Many water and wastewater projects are planned for many years ahead and longer than Council member terms. If the 1041 regulations were to change based on political objections vs. technical objections, it would make it very difficult to appropriate budgets and plan for project costs. The 1041 regulation permitting costs are estimated to be at minimum $40,000 for minor projects and in the hundreds of thousands if there are multiple review rounds with unclear approval requirements. This excludes the costs that schedule delays introduce. Based on recent inflation rates, project delays can compound costs 6-8% or more each year. Permit Administration / Financial Impacts – Decision Point 5 Council should support a supplemental appropriation for 1041 permit applications and not utilize a third-party contractor to support staff administration or review of permit applications. Asking a third-party to review and administer permitting opens the door for uncontrolled costs and potential bias in review. There is no motivation for the contractor to minimize costs or review time. Costs by third-party review have been proposed at $20,000 to $30,000 per application reviewed. If the applicant costs to prepare the submittal is assumed to cost equal or greater to third party review costs, the applicants cost of preparing the submittal and paying the pass-through costs at a minimum would be $40,000 to $60,000. More likely it would cost twice as much to prepare the package as it costs to review, and a good estimate would then be $60,000 to $90,000. During general permit review, the City should provide (and staff indicated that the City would) a very specific list of requirements for approval so that consultant effort does not become a never- ending cycle. The submittal requirement is noted in Section 6.6.6 however this has not been provided to stakeholders for review. Fort Collins-Loveland Water District 5150 Snead Drive Fort Collins, Colorado 80525 Phone: 970-226-3104 Fax: 970-226-0186 www.fclwd.com Page 6 of 6 Section 6.12.6 indicates an additional third-party cost for inspections that could be the responsibility of the permittee. The cost of inspections has not been disclosed during stakeholder engagement sessions. The core mission of FCLWD is to provide our customers with the highest-quality water as economically as possible. We are passionate about continuing that mission responsibly and equitably. For projects that fall into 1041 permitting, it is anticipated to add measurable cost and schedule delays. FCLWD has a long relationship with the City and has long-served residents with quality water. The City should exercise some deference when imposing laborious regulation specifically targeting water utilities. Therefore, we believe that the IGA approach is the best approach to continue to serve Fort Collins residents equitably. Sincerely, Chris Pletcher, P.E. General Manager Sandra Bratlie, P.E. District Engineer Encl: Attachment 1: FCLWD Capital Improvement Plan (CIP) within Fort Collins GMA CC: Kelly DiMartino Fort Collins-Loveland Water DistrictProject and PhaseAddress BlockLength (Miles)Pipe Diameter (Inches)DescriptionDecision Point #1 NotesS Overland Trail from Pleasant Valley Rd to W Prospect Rd0.4 36”W Prospect Rd from Overland Trail to S Taft Hill Rd1 36”S Taft Hill Rd from W Prospect to West Horsetooth2 36”Manhattan Avenue from W Horsetooth Rd to Starling St0.524”Starling & Tanager Streets0.25 24”W Troutman Parkway from Tanager Street to College0.25 24”W Horsetooth Rd from S Taft Hill Rd to Manhattan Ave1.7 24”Existing transmission, upsized in same ROW corridor1041 w/o ROW exemption (DP#1)E Troutman Parkway from College to Boardwalk Drive0.35 24”Boardwalk from E Troutman Parkway to S Lemay Ave1.4 24”Keenland Drive0.6 24”Power Trail / RR Crossing0.10 to 0.25 24”Trenchless RR Crossing ‐ length dependent on final alignment.  Some new easement required.1041 required regardless of DP#1. Willows Springs Way/Kechter Road to Ziegler Road1.524”Ziegler Road from Kechter Road to E Harmony Road1 24”S Lemay Ave from Boardwalk Drive to Seton Drive1 16”Foothills Tank StorageEnlargement of existing finished storage tank on FCLWD in Maxwell Natural Area. NANA FCLWD owns the parcel and has access easement through the Natural Area.1041 required regardless of DP#1. Without 1041, FCLWD will go through SPAR and coordinate heavily with Natural Areas to mitigate impacts.FCLWD Capital Improvement Plan (CIP) within Fort Collins Growth Management Area (GMA) subject to 1041 RegulationsNew alignment in a different ROW corridor to replace 14” line in Horsetooth & College Ave.1041 w/o ROW exemption & pipe‐size threshold (DP#1)New alignment to increase capacity and replace 14” line in College Ave and 10” line in Harmony.1041 w/o ROW exemption & pipe‐size threshold (DP#1)Currently an existing transmission is to be upsized in the same ROW corridor.  Further design and City traffic coordination may shift alignment to different ROW corridors to reduce traffic impacts. 1041 w/o ROW exemption, potentially on pipe‐size threshold (DP#1)Western Backbone Transmission ‐ Future PhasesS Taft Hill Rd from W Horsetooth Rd to Harmony0.536”1041 w/o ROW exemption (DP#1)Western Backbone Transmission ‐ Phase 1, Summer 2023Zone 5 Transmission Phase 1, Summer 2023Zone 5 Transmission Future Phases Conceptual AlignmentExisting transmission pipe upsized in same ROW corridor. Coordinated with City/County Taft Hill widening. ROW acquisition by CountyNew transmission line in same ROW corridor. 1041 w/o ROW exemption & pipe‐size threshold (DP#1) 5150 Snead DriveFort Collins, Colorado 80525Phone: 970-226-3104Fax: 970-226-0186www.fclwd.com Attachment 1 - Page 1 of 1