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Wyoming City Council OK's resolution backing LS Power plan in Lent Township PDF Print
Tuesday, 03 November 2009
Alice Pickering
Wyoming Reporter


In a bold move, Wyoming City Council took a unified stand Monday night in support of the LS Power Sunrise River Energy Station, proposed for Lent Township in Chisago County.

The primary reason is jobs, the council said. The text of the resolution cites a Minnesota unemployment rate of 7.3 percent which in Chisago County it is 8.4 percent.

The Chisago County Board of Commissioners has been under fire from those who are opposed to the  proposal. Individually, commissioners have weathered some personal attacks. The big question is whether the need for jobs overrides the need to protect the water and environment in the county.

About 40 people attended the council meeting. Even before the item came up in the agenda, there were remarks from the audience about the energy station during the meeting’s open forum.

Robert Kasper, representing the regional labor federation based in St. Paul, spoke about the desperate need for jobs in the area.  “It’s patriotic to put some people to work,” he said. He said the developer is being careful not to ruin neighborhoods.

“It’s all about jobs; we need to put people to work,” Kasper said.

About 15 union workers attended the meeting.

Montzka speaks

Ben Montzka, Chisago County Commissioner, included comments on both sides of the controversy.  He believes the project will be a benefit to cities in the area and to the county. He is leaning toward it and told the audience that LS Power has proposed changes in the development agreement.

Montzka said that Sunrise River Energy Station has significantly improved the proposal. There are safeguards in the development agreement, he said. If built, the project would be one of the largest sites in the state. He emphasized that the county board has not yet received the final form of the development agreement from Lent Township.

It is believed that the volume of effluent from the Chisago Lakes Regional Sewage Treatment facility would be enough to cool the substations, rather than tapping water from the Mt. Simon-Hinckley aquifer, he said. It is estimated that about 2 million gallons could be enough. 

Others urging support of the project were Barb Gramms and Jean Will. Tom Vale thanked Montzka for keeping an open-mind about the project. He urged the council to consider the long term effect of the project. He believes the project will have a long-term positive impact on the county.

City action

Mayor Sheldon Anderson made the motion to accept the resolution and Council member Russ Goudge seconded it for purposes of discussion.

Anderson focused on the city of Wyoming and the need to step up and support the project. He intends to approach other city leaders to do the same.

Council member Linda Yeager recognized the many questions which had been fired at the LS Power representatives. She believes the details can be worked out for the “best deal possible” for the county and township.

She said she trusts the county board to do its homework and can see benefits for all. She concluded that there is no reason not to support the project. 

Other council members also were behind the resolutions. Council member Roger Elmore said he supported the language, saying the project can only be good for the county and make employment better.

Council member Joe Zerwas said he was in support of the energy station. He hopes for the support of other city councils and town boards for the project.

Anderson was charged with the duty of seeking that support from other councils and town boards in the county.

Goudge had been tentative about the proposal earlier because he believed language in the proposed development agreement leaned in favor of LS Power. He encouraged the commission to stay focused on facts.

Goudge said he has confidence in the systems in place. He believes together the township, county, DNR, and MPCA will be certain code and permit requirements are met and environmental concerns are addressed.  The project is a real jobs issue, he said.

More details

The resolution indicates that if built, the Sunrise River Energy Station would generate 780 MW of electricity.  Construction would create at least 500 construction related jobs with a payroll estimated at $25-$42 million, contributing $1.6-$2.6 million in income taxes during the two-year construction period, and $2.4-$4 million in unemployment insurance taxes to the state.

The local economy would benefit from the estimated $25 million payroll being spent producing seven times the original dollar spent, the resolution said.  When operational, the plant will employ a 20-25 person staff with a total payroll of $2.8-$3.2 million annually. This includes $136,000 in state income tax.

The energy station will require that “no water will be taken from the Mt. Simon-Hinckley aquifer for cooling purposes and there will be no wastewater discharge from the project to any rivers or streams,” the resolution states.  Effluent from the Chisago Lakes Joint Sewage Treatment Plant and possibly the North Branch Plant will be the sources of water. 

The zero discharge system actually removes phosphorus from the discharge into the Sunrise River, subsequently into the St. Croix River, and reduces the phosphorus loading into Lake Pepin.

By using the effluent from the treatment plants, the recycled water will reduce treatment costs (fees) to residents using the treatment facility.  Also no additional transmission lines will be constructed in the county.

From the summary of the development agreement being considered, in addition to the $600,000 payment-in-lieu-of-taxes to the township, county, and North Branch School District, an annual contribution of $100,000 to Chisago County for environmental improvements.

Concerns

Some concerns by opponents of the plant include aesthetics and the use of fuel oil.

A project information letter about the project indicates that natural gas will be the primary fuel, but recognizing the demand for home heating in winter, the back-up source is fuel oil. The commitment is to operate on back-up fuel no more than 500 hours a year.

The company will limit the height of exhaust stacks to 199 feet to eliminate FAA lighting.  

As to what comes next, once a development agreement is signed by Lent Township, Chisago County and Sunrise River Energy, the permit process begins. 

The Minnesota Public Utilities Commission requires a site permit, certificate of need, environmental review. The Minnesota Pollution Control Agency will check air quality. The Federal Energy Regulator Commission will review the wholesale generator status and approval of market-based rates.

Lent Township will issue all building permits.

The resolution in support of the Sunrise River Energy Plant was by a 5-0 roll call vote.



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