Floodgates open at the Lake of the Ozarks

It has been just over two years since lake area residents and visitors have seen the flood gates of the Bagnell Dam opened, and on August 7, 2013 the waiting had ended.

After  17 inches of rain the last 7 days Ameren plant engineers decided to open 11 out of 12 floodgates and release tens of thousands gallons of water. The sudden rush of inflow was expected to raise the river a further four feet causing places like Camp Bagnell and Riverview RV Park to be evacuated.

The evacuation took place with its own set of issues from displacement of campers to emergency vehicles warning residents and fighting fires possibly caused by lightning strikes being mired in the hazards of the flash flooding that occurred during the night’s storm.

The dam was built between 1929 and 1931 by Union Electric and at the time the largest man-made lake in the United States. The brainchild of Ralph Street in 1912 the dam’s original plan called for a smaller sixty foot hydroelectric dam that would have resulted in a lake only forty miles long instead of the current 2,453 foot dam and 180 mile long lake (the actual coast line of the lake is 1,100 miles; longer than coast of California!).

SSE founder Stan Schultz commented “When the dam was built it was an engineering

SSE's Bob Arnold, R.L.S., Ken Farris, and
Tony cobb take in the view of the Dam

marvel well ahead of its time. It is rare when a structure is stronger than when it was first built, but back in the 80’s adding tension rods to the bedrock below made the dam even stronger. Even if the northern Truman Dam were to somehow fail Bagnell Dam would remain. The civil engineers who designed the dam didn’t only bring environmentally friendly hydroelectric power to thousands but created an entire destination spot for the whole country. That is what civil engineering is about; making lives better for people.”


To see all the pictures from the open floodgates click HERE!

Ken Farris is SSE's June Employee of the Month

Ken Farris, June 2013 Employee of the Month

 

LAKE OZARK, MO- Schultz Surveying and Engineering is pleased to announce that Ken Farris will be recognized as the June Employee of the Month. Ken was selected for his work with the drafting department at the Lake Ozark office.  Owner Stan Schultz said, “Ken is a fantastic SSE employee to be chosen for this award. Ken works hard and is always willing to jump in and help where and when needed. He puts SSE’s customers first. I always enjoy watching our employees learn and grow in their roles and Ken is a great example of an employee who has taken that initiative. ”

June Employee of the Month Ken Farris has been with SSE for 3 1/2 years.  In addition to helping with the engineering drafting, Ken also helps with the surveying drafting duties at the Lake office.  When asked what he likes about working at SSE, Ken added "I am so happy to work with the people at SSE and our customers. I like seeing a project idea come to life. Being chosen as Employee of the Month is not something I expected but I really appreciate the compliment."

In honor of Ken being awarded June’s Employee of the Month, SSE will donate $100 on his behalf to the St. Martin School Church Fund of Jefferson City. St. Martin School is where Ken’s young daughter Casey and son Caleb attend classes, and St. Martin is the church Ken and his wife Kelley of 11 years attend services.

“Ken has an excellent work ethic and I can always depend on him to do whatever I ask.  He is always ready to jump in and help anyone get a job out the door.  It does not matter what the task is, he is willing to do it if that is what it takes to get the job done,” concluded operations manager Mike DeLong.

Stan Schultz Awarded Outstanding Environmental Advocate

Stan Schultz with LOWA Executive Director, Donna Swall

Lake Ozark, MO – Recently, Schultz Surveying and Engineering  owner Stan Schultz was awarded the "Outstanding Environmental Advocate" award from the Lake of the Ozarks Watershed Alliance, commonly referred to as LOWA.  This award from LOWA recognizes the outstanding environmental advocate who has made significant contributions toward preserving and protecting the lake and watershed.  This is the first year the award has been given, and LOWA Executive Director Donna Swall had this to say, "It was a unanimous decision to select Stan to be the initial recipient of  this award. Stan is a visionary who  can see the value in what we do as an organization. He  has worked with our group since  our formation nearly eight years ago."

LOWA began when 18 local, state, and federal agencies joined together to hold several public meetings around the lake. These agencies have agreed to continue as technical advisors, but clearly want the citizens to lead. The intent was to see if there was any interest in starting a citizen led watershed group for the Lake of the Ozarks. Many of these groups are forming nationally to protect and preserve our waterways and lakes.

"I am very humbled to receive this award”, said Stan. " I feel blessed to be a part of this community and to have the opportunity to help improve the water quality of the lake.  I  am proud to have helped LOWA in accomplishing their mission and I look forward to continuing this partnership." Donna concluded by saying, "Stan has kept us going, and without his help in the early days, we would have failed. Stan's level of commitment to protecting the environment and to the lake’s economic success is why we chose him for this award. . Eight years ago he promised me he would do all he could to assist LOWA, and he has proven his word is as good as gold.The lake area needs more people like Stan."

SSE Picked by Eldon

City of Eldon Chooses SSE for Their

Engineering Needs

Eldon's 8th Street Repair Location

Eldon, MO- The City of Eldon, Missouri has announced that Schultz Surveying and Engineering has been chosen as the engineer for a $200,000 Pavement Resurfacing project on 8th Street from Business Hwy. 54 to Industrial Drive. Mayor Ron Bly said, “What SSE can bring to the table was unquestionable. Their dedication to the communities they serve was evident in their proposal and presentation. I look forward to working with Mike and the rest of the SSE team.”

The project is in part funded by the Missouri Department of Transportation (MoDOT) LPA, or Local Public Agency program and includes surveying, design, testing, and construction observation services.

Cracking in the pavement of Eldon's 8th Street

Project Engineer Mike DeLong of SSE said, “The pavement has suffered major cracking damage most likely due to the heavy traffic loads in and out of the industrial park. SSE prides itself in understanding the challenges faced by rural municipalities and communities.

We will work hard to ensure the City of Eldon’s streets are repaired and up to grade quickly and efficiently, while minimizing the costs. SSE can provide unique solutions in cases like those facing Eldon and we are excited to get started on the work.”

SSE Engineer: Sunrise Beach project 'moving extremely fast'

SUNRISE BEACH, Mo. – Phase 1 of the Sunrise Beach Sewer Project should be going out to bid within two months, according to Village Sewer Engineer Jarrod Wheaton, with Schultz Surveying and Engineering (SSE). The planned infrastructure will provide sewer service to approximately 39 residential connections and 37 commercial businesses.

Wheaton told the Sunrise Beach Board of Trustees at its Monday, Jan. 14 meeting:

• Sixty percent of the easements for the sewer project were secured and he anticipated obtaining the rest by the end of January.
• The village should receive a letter from the Department of Natural Resources (DNR) in the next few weeks, officially approving the village sewage facility project specifications.  
• Once plans are approved, SSE will apply for a construction permit which should, according to Wheaton, take 45 days.

The project will include two parts: the collection, and the treatment infrastructure consisting of small grinder pump stations serving either one or two homes or businesses. The grinder stations will pump wastewater through sewer force mains to the village’s wastewater treatment site. Phase 1 consists of approximately 15,500 feet of force main, 35 grinder stations, and one or two lift stations as a part of the collection infrastructure.

Treatment will be provided by an extended aeration wastewater treatment plant to be constructed on a tract of land that the village is in the process of procuring.

Phase 1 of the sewer project has a $2.2 million price tag. The Village has reserved $6 million in DNR State Revolving Fund program low interest loans, with a 20 year term. The additional $4 million could be used to fund a possible Phase 2 Sewer Project.

Wheaton concluded, “The project is going well and moving extremely fast.”

The original story can be read HERE

SSE Owner Stan Schultz Interview with LOWA

Recently, SSE Owner Stan Schultz sat down with Donna Swall, Executive Director of Lake of the Ozarks Watershed Alliance.  Here is the full interview:

CLICK HERE FOR THE FULL INTERVIEW

For more information about LOWA click here

Click here to visit the official SSE Website

Gravois Phase 3 Sewer Nears Completion, More Subdivisions Could Be Added

The Gravois Arm Sewer District (GASD) Phase 3 sewer project is in the home stretch. “All three contracts of Phase 3 are substantially complete,” said District Board Chairman Dave Taylor. But Taylor said there is still work to do: “With a project this big, there are bound to be issues that need to be addressed.”

And issues aplenty there were at Monday, Nov. 5, at the GASD board of trustees meeting.

Phase 3 customer Ron Hodges asked when the clean-up in front of his property on Lake Road 5-18 would be accomplished. “They skipped my property,” Hodges said. Customers Earl Cable and Jim Marks had the same issue. The board assured the men that crews will finish the clean-up and that district personnel will inspect properties to be sure all properties are returned to their original state.

The board approved a request by Judy Kratthi to pay $683 for damages caused to a home on Hazel Road in the Captain’s Fancy Subdivision due to a bad pump that caused a sewer back up. District employees will also assess the situation for a solution to the sewer problem.

Taylor encouraged customers to contact GASD with issues that need to be addressed. He said problem areas will be assessed, and the appropriate action taken. “We appreciate the courtesy that customers have shown to the construction crews. The crews have all expressed their thanks for the cookies and baked goods,” Taylor said. While a small number of problems cannot be solved to the satisfaction of all customers, GASD will continue to serve those people in the sewer district. Taylor also encouraged customers to attend GASD board meetings, held the first Monday of every month at the sewer plant.

Engineer Stan Schultz with Schultz Surveying and Engineering reported to the board that the United States Department of Agriculture Rural Development has accepted the environmental report and plan specifications for additional work with funds left over from the Phase 3 sewer project. The proposed new projects have been determined to be in the stimulus target study area. Schultz said that according to USDA, there is an excess of $300,000 of available funding to connect customers in the Gladstone Cove area first. “As soon as we get the final approval we will start on the first eight houses,” said Schultz. The district expects to pick up an additional 20 customers. If there is money left over the district might be able to pick up additional subdivisions as well. “We want the customers, and we want to keep adding the infrastructure. We will keep going until we run out of money,” Taylor said.

District Accountant Steve Thornton reported the district has been in the black for three consecutive months. They now have 807 customers. “Phase Three has made a remarkable addition to our finances,” Thornton said. The district saw a profit of $16,403 in October.

Board approvals:  

The board approved closing Contract Two with Schultz’s verification that the construction company will complete the punch list. District Inspector Kerri Metscher and a board member will also give a second opinion on the project’s completion.

The board approved a resolution amending and restating the sewer charge ordinance. “There are no changes in the rates. We just corrected misspelled words, cleaned it up, and brought it up to date,” said Sewer District Attorney Bill McCaffree.

The board approved sending a bill in the amount of $827.34 to Woods Construction for the repair of a force main on Graceland Road damaged by the construction company.

Taylor announced that he and Board Member Dennis Havel will attend a final loan closing Tuesday, Nov. 27 with USDA Rural Development. The district will also receive $5,009,000 in sewerage system revenue bonds.  

Board Member Steve Phelan has resigned as he has taken a job with Cabela’s in Kansas City. The board is seeking a replacement, and has advertised in three publications. Taylor requested that board members submit names for a replacement. Qualified candidates should be available for monthly meetings. Interested parties can contact Taylor at 573-286-2066.

The board went into executive session to discuss legal and personnel issues.

After going into open session, the board approved hiring Trinity Kincaid as a part-time contract laborer. Kincaid has a Class D sewer plant operator’s license. He will complete an internship with the sewer district in order to receive his class C license.

The next meeting of the GASD board of directors is scheduled 6 p.m., Monday, Dec. 3 at the district office in Gravois Mills.

Sunrise Beach seeks citizen input on sewer; refinancing bonds for Hwy 5 widening

The Sunrise Beach Board of Trustees wants to hear from its constituents about their sewage.

The board has scheduled three public hearings to give the citizens of Sunrise Beach an opportunity to voice their opinion and ask questions regarding a pending Sunrise Beach Phase 1 Sewer Project. The three consecutive hearings are scheduled for 6 p.m., 6:45 p.m., and 7:30 p.m. on Monday, Nov. 19 at the Sunrise Beach Fire Protection District No. 1 Administration Building. They will cover the following three topics:

• The establishment of a user-charge wastewater system in the village.
• The establishment of an ordinance regulating the use of public and private sewers and drains and providing penalties for violations thereof.
• The environmental impact of and the need for a sewer system in the village. Schultz Surveying & Engineering will present an environmental impact report on the Phase 1 Sewer Project.

The Phase 1 Sewer Project will consist of an extended air sewer treatment facility, with a forced main that will run along Highway 5 from the Hurricane Deck Bridge north to Lake Road 5-39. The estimated cost of the Phase 1 sewer project is $2.2 million.

Engineers report

At the board’s Oct. 11 meeting, Jim Fisher, Lake Manager for Schultz Surveying & Engineering and Village Phase 1 Sewer Project Engineer, reported his firm is working hard to get the sewer project rolling. Fisher said he will have the specifications and tentative plans for the Phase 1 treatment plant by the November board meeting. He also announced Kerry Metscher as the head right-of-way manager. Metscher will work to get the necessary easements for the Phase 1 sewer project. Fisher and Trustee Charlie Bott are collaborating on two sewer ordinances to be presented at the public hearing.

Bond refinancing
In other business, Charlie Zitnik with D.A. Davidson & Co. attended the Thursday meeting to discuss bond refinancing. The board cleared Zitnik to draw up the necessary paperwork for the refinancing of the 2003 Certificate of Participation (COPS), along with paperwork for the financing of the Phase 2 Highway 5 widening project. The Phase 2 widening project will turn a section of Highway 5 into three lanes, from Lake Road 5-36 north to Lake Road 5-32, at a cost of approximately $600,000. The project is slated by the Missouri Department of Transportation to begin in 2013.

Zitnik reported the city is currently paying 5.34 percent interest on $50,000 payments annually. With the refinancing, Zitnik projects the interest could be lowered to 3.8 percent, over a twenty year period. “The savings are astronomical,” Zitnik said.

Board approvals
The board approved an intergovernmental agreement with the Sunrise Beach Fire Protection District. The city will forgive 10,000 gallons of water usage each month for training purposes. The district will pay the regular business water user rate for anything over 10,000 gallons.

The board also approved the low bid of $1,045 from Bartley Pump to seal and plug the village well.

The village issued a merchant license to the Pexco Company, LLC, and Impressions. The board also issued a liquor license to the Woods Super Market.

A media event is scheduled for 1 p.m. Tuesday, Oct. 16, during which the United States Department of Agriculture will present loan funds in the amount of $104,000 to the village for the purchase of City Hall. The village is purchasing the building and less than an acre of land immediately surrounding the building from Village Attorney Greg Williams.

The board changed the November meeting date to 6 p.m. Tuesday, Nov. 13 as the regular meeting fall on a holiday.

Original story: http://m.lakeexpo.com/mobile/news/lake_news/article_395c2e4a-170b-11e2-ac8f-001a4bcf887a.html

Sunrise Beach On Deck For $6.1M Sewer Loan

SUNRISE BEACH, MO. -- The Clean Water Commission has placed the Sunrise Beach Phase 1 sewer project on the fundable list for $6.12 million in state revolving funds from the Environmental Protection Agency and Department of Natural Resources.

The village has been allotted two years to use the funding. Sunrise Beach City Planner, Roger Corbin, and Schultz and Summers Engineering’s Jarrod Wheaton heard the funding announcement at a Clean Water Commission meeting Wednesday, Sept. 5, at the Truman Building in Jefferson City. Wheaton is the village sewer project manager.

“This money has been made available for municipalities to put in sewers with very low interest rate loans,” Corbin said, noting the funds would have to be repaid. The village board has not yet approved application for a loan. “The unique thing about this funding is the Clean Water Commission approved $18.5 million to be transferred from the drinking water SRF fund to the clean water SRF fund,” Corbin said. Clean water funds are used for sewer and wastewater projects. “With the drought there was some question about the availability of funds,” said Schultz and Summers Lake Manager Jim Fisher. “We are excited and thankful that DNR has agreed to fund this project.”

In its August meeting, the village board of trustees approved Schultz and Summers Engineering to handle construction of Phase 1. The project will extend along the Highway 5 corridor from Lake Road 5-39 to the Hurricane Deck Bridge. “We would like to fast-track this project because Woods Supermarket is working overtime to get their development opened by Memorial Day 2013,” Corbin said. Woods Supermarket will contribute $240,000 to the project in the form of an impact fee.

Eighty-five percent of the project will connect to businesses along the Highway 5 corridor. High-end business users impacted will include: the new Wood’s Supermarket, Cannon Smoked Saloon, Captain Ron’s Bar and Grill, Deepwater Inn, Sunrise RV Park, Tortilla Flats and The Branding Iron. The Highway 5 business corridor was chosen for the first phase because it will be the spine of the system; future sections will be added and connected in subsequent phases.

The total cost of the Phase 1 sewer system is projected to be $2.4 million, and according to Corbin, there are no grants currently available for the project. The village can not exceed the bonding authority of $8 million approved by voters, and it has already spent $2.5 million on the water project. The cost of the water and Phase 1 sewer projects combined is nearly $5 million, leaving the village just over $3 million in bonding authority.

A portion of the remaining approved loans could be used for a Phase 2 sewer project, if deemed economically feasible. Phase 2 plans have not been approved, but the board of trustees has discussed various options, such as constructing another small plant or hooking into an existing system.

The project has been rife with challenges, from delays in transferring money to sewer fund shortages and lengthy deliberations by village trustees. Now those involved in the construction will be forced to work on a relatively short time line. “We have been waiting for this for a long time. It has been a one-year process just to get to this point, and it is a really big deal,” Corbin said, adding, “It will be an even bigger deal to get this thing in the ground.”

“This is a great day for Sunrise Beach and the water quality of the Lake of the Ozarks. It will be an even greater day when we can get the residents hooked up too,” said Lake of the Ozarks Watershed Alliance Executive Director Donna Swall. She continued, “We have several businesses that are struggling to manage their wastewater. LOWA is all about the economic, social and environmental health of the Lake area. If the economy goes, so goes the rest and that puts a bad light on the Lake and that is not good for tourism. From a health standpoint, Sunrise Beach was founded in the early 1950’s and there are very old septics in the village. Anytime we can get those old septics offline it will improve water quality, plus we need the infrastructure to grow our economy. LOWA will continue to work in other counties to eventually form a four-county alliance for managing wastewater.”

FULL STORY HERE

SSE at work again to help with the Gravois Arm Sewer District:

For more information, full story here: http://lakeexpo.com/news/lake_news/article_74456a76-b914-11e1-b3fb-001a4bcf887a.html

Gravois Trustees and sewer board meet face-to-face to discuss grievances

By Janet Dabbs

GRAVOIS MILLS, Mo. – Tension and legal maneuvering finally brought the Gravois Mills Board of Trustees and Gravois Arm Sewer District to the same room last week.

After the Board of Trustees discussed drafting an ordinance to mandate metered sewer in the village, members of the GASD attended the Trustees’ June 12 public meeting to discuss the issue.

Expert sewer rate analyst Carl Brown summarized the discussion saying, “Growth will cure the ills of the Gravois Sewer District.”

Sewer rates too high

Gravois Board Chairman Brad Vold informed the attendees that the sewer rates in the village were not affordable for the economically oppressed residents and businesses in the village of Gravois Mills. Vold added that many have moved out of the village because of the strain caused by their sewer bill.

He also said people will not relocate their residence or business into the village proper, due to the excessive rates and liens that GASD has placed on properties with unpaid sewer bills.

The sewer rate for residents is $56 a month. Businesses pay $61 a month, plus an additional surcharge depending on the type business and usage. There are approximately 100 residents in the village at this time.

The rate was raised 1.8 percent in 2011. According to the United States Department of Agriculture Rural Development, the rates could have been raised equivalent to the 2011 standard cost of living increase which was 3.6 percent.

Misinformation clarified

As a public comment, Amanda Laporte a resident of Gravois Mills and former Gravois Mills Realtor®, asked if it was the board position that the only economical issue that was causing people to leave Gravois Mills was a $56 a month sewer bill?

“No, the sewer is part of the reason. This is what people have told me,” said Vold.

“The people of the village could afford the $26 rate that was advertised when the sewer was being voted on.”

McCaffrey reported that the amount that was announced from the start was $47.

“This fact can be verified through meeting minutes, engineering reports and published newspaper articles,” said McCaffree.

Rates based on median household income

Aldermen Bob Swengrosh said he believed the problem was the district used the 2000 census median household income of Morgan County, which was $30,659 annually, when setting the rates according to the two percent of the median household income as set by USDA, rather than the median household income of Gravois Mills.

“If you would have based your rates on the Gravois Mills $14,000 annual median income the district would never have been built,” said Swengrosh.

(Swengrosh was mistaken since the village’s median income in 2000 was $24,167.)

The Gravois Mills current median household income, according to the 2010 census is $20,000 and Morgan counties median income is $35,354. One of the reasons the Morgan County median household income was used is because the district originally planned to serve customers in Morgan County that are beyond the village of Gravois Mills.

Metering vs. flat rates

SSE Engineer Jim Fisher reported that he had completed quite a bit of research regarding sewer metering.

“The problem is there is no good way to do that for individual sewers. You would ideally want a meter for each home,” said Fisher.

City Meters, Co., has a patent on individual sewer meters, but Fisher has been unable to reach them. He reported that since the system is already built, it would be difficult, if not impossible, to implement the meters on the existing system due to the size of the meter.

“The meters are 4-foot long and 15 inches tall. They require 15 inches of additional vertical drop in the current service line, which is likely not available,” said Fisher.

There would also be an additional cost for installation, maintenance and to have employees read the meters each month. Fisher added that metering sewer would have a negative impact on full-time customers, causing them to pay the brunt of the costs, because they would pay by usage. Those that are part-time customers would pay according to their seasonal usage.

“If we meter rates in the village we may possibly be obligated to meter throughout entire system,” said GASD Attorney Bill McCaffrey.

Show me the money

The district has been operating in the red. In June they were $14,000 in the red. The district’s debt service costs, that which is obligated to loans, is $47 per customer, per month. This amount does not include operation and maintenance costs.

“The district has only one revenue stream and that is from users paying for sewer service,” said Taylor.

The district is close to bringing an additional 500 customers online.

“The additions will bring the district into the black and help keep rates from rising, but we will not earn enough revenue from the additional customers to lower the current rates,” said Taylor.

“I have been to your meetings and seen your finances. The problem is the project is too big for so few who are in this low income bracket,” said Gravois Board Trustee John Brooks.

“Is there a way to reduce the debt or extending the debt so payments are less and rates can be reduced to an affordable level?”

Legal battle vs. working together to find a solution

“The point is you are free to litigate this if you want to, but you will force us to litigate as well and we would prefer to find a solution,” said McCaffrey.

“We are available for you to come and speak with our financial people and poke holes in it to find a solution to this. This board is anxious to do the right thing. We could go to the Supreme Court if you want to but there are too many lawsuits with people who are mad at each other and no one benefits, but the attorneys.”

McCaffrey assured the Gravois trustees that they would make a sincere effort to come up with a scenario to collect from all customers on a fair and equitable basis.

“Whether that is metered or flat remains to be seen. The best way would be to set the rates based on averages, whether the customer is a resident, or a business and the type of business and usage. As more customers are added, the cost will be shared and this needs to happen as quickly as possible,” said McCaffrey.

The two boards agreed to set a meeting to discuss options. The village board was asked to provide information on the number of residents living in the village along with any information on certain areas where they felt there were unfair charges.

Estimated cost for a water meter:

• Cost to install water meter: $500 to install
• Cost to purchase flow meters: $1,500 - $2,000
• 0 to 1,000 gallons: a decrease of $15 a month
• 2,000 gallons: a decrease of $3.50 a month
• 3,000 gallons: an increase of $8.25 a month. 
• 4,000 gallons: an increase of $20 a month

Officials said the estimated amounts do not reflect debt service or maintenance and will have to be included.

Cost per customer for a sewer meter:

• 1,000 gallons: a reduction of $7.50 a month
• Over 1,000 gallons: an increase
• The average flow is 4,000 gallons a month
• The national average is 5,000 gallons a month
• 4,000 gallons a month: an increase of up to $21 to $25.59 per month

  Trustees discuss sewer issues

The Gravois Board of Trustees discuss sewer issues with the Gravois Arm Sewer District at their board of trustees meeting Tuesday, June 12 in Gravois Mills. Pictured are,from left, Village Attorney Greg Williams, Trustee Bob Swengrosh, Trustee Jack Feller, Chairman Brad Vold and Board Treasurer/Secretary John Brooks.

Sewer resolution needed in Sunrise Beach

By Amy Wilson

lakenewsonline.com

Posted Sep 15, 2011 @ 05:10 AM

 

Sunrise Beach, Mo. — Businesses in the Village of Sunrise Beach are desperate for a sewer solution.
A group of business owners attended the Monday, Sept. 12 trustees meeting to find out more about the status of getting a municipal wastewater treatment system in the ground and just what area that system will cover. The message was clear - move
forward.

The Issues
Time and money are the obstacles hindering progress on the town's wastewater woes.

1. Businesses can't keep waiting.
"With DNR (Missouri Department of Natural Resources) on the hunt right now, the longer we wait, the options get less, not more," said Sunrise Beach businessman Matt Sutcliffe. "There are businesses that are not going to survive waiting this out ... You're going to see businesses close up and not make it."

The municipality's budget is based almost entirely on sales tax revenues - there are some minor police-related revenues. The village does not collect any property tax.

Ron Duggan said he needs help "desperately" right now due to the legal action his business, Captain Ron's Bar & Grill, is facing from the Missouri Attorney General's Office for its wastewater treatment system. Duggan said they have to expand the wastewater treatment facility for the restaurant and bar.

Hired by Duggan, Schultz & Summers Engineering (SSE) have come up with an individual solution for Captain Ron's —  at a price tag of $50,000-$55,000. But even that solution is only temporary, expanding enough to buy more time, but it would still have to be pumped out on busy weekends.

However combined with the loss of Cannon Smoked Saloon to fire (since relocated to Laurie), Duggan indicated that it could be a struggle to fund even the temporary solution, and was looking for any help the village could give.

Home to the Lake of the Ozarks Shootout, the restaurant and bar is one of the biggest sales tax contributors to the small town.

But Captain Ron's was not the only one in trouble.

The campground owned by Dave Buehler, in attendance at the meeting, was shut down for part of the summer due to sewer issues, a direct loss of sales tax for Sunrise Beach. Rick Escobedo of Tortilla Flats Restaurant & Lounge said their situation is not desperate yet, but that it is becoming a concern.

Sutcliffe, owner of Bear Bottom Resort which is another big sales tax contributor, urged the board to move forward. His business is not facing action from the state, but he wants to expand and can't without a larger wastewater treatment system.

West Shore Landing developers, Ron Cragun and Bruce and Jan Adams, are also pushing for sewer to benefit their commercial project at Lake Road 5-41.

U.S. Department of Agriculture Rural Development (RD) provided the bulk of funding for the city's drinking water system. The second phase is currently under
construction.

RD has stated in a letter to Sunrise Beach that it will not commit to funding sewer with low interest loans and grants until the water system is complete and has been in
operation for one year.

That pushes the timeline for any municipal wastewater system funded through RD to early 2013.

2. Residential user fees must be reasonable.
To get government agency financing, it is required that the village's residential user fee be a minimum of 2 percent of the median household income (MHI). With an MHI of approximately $27,679, the monthly sewer bill would be about $46 per month.
About $38-41 was the amount originally promised to voters when revenue bonds were passed in 2006.

The unobligated portion of the city's capital improvement sales tax revenue could, however, be used to lower the residential sewer bill.

Sutcliffe also reported that the committee, through water attorney Bill McCaffree, had found that the idea for businesses to pay a higher rate to help offset residential user costs was acceptable to RD.

This could have an exponential effect for the town. A central sewer system helps create a more attractive environment for businesses. If there are more businesses, it means not only more sales tax revenue but also more sewer customers paying that higher rate.

The Status
Sutcliffe was on the committee that recommended the board make the "Mid Town" area phase one.

The committee's recommendation was based on a preliminary engineering report (PER) from Midwest Engineering. Two months ago, the board hired Olsson Engineering at a cost of approximately $18,000 to do a new PER of the north area of town, termed City Hall Ridge.

A second study, looking at the south end, by Olsson was considered Sept. 12. It was the topic for a closed session portion of the meeting, but was ultimately tabled.

Board members have said they are simply looking for the best plan. Without the entire scope of funding available for any plan, chair Curt Mooney said they are taking the time to search for the best numbers to make it affordable for residences.

After the July meeting in which Olsson was hired, another engineering firm came into the picture for the village, the previously mentioned SSE. With the board's stated intention of looking for better numbers, they offered to review Midwest's existing PER.

SSE has now entered into an agreement with Midwest to work on the Sunrise Beach municipal project. The joint venture will include SSE designing the wastewater treatment facility and coordinating with the appropriate government agencies to get funding.
Getting government funding in place is SSE's specialty. Since 1998, it has obtained almost $93 million in grants and loans through USDA Rural Development, Missouri Department of Natural Resources and Community Development Block Grants (CDBG).
SSE founding partner Stan Schultz shared the results of their review at the Monday night meeting.

The findings were positive, in that Midwest had followed the funding agency outline, the proper documents had been filed with the agencies, detailed layout maps had been completed and a realistic cash flow had been forecasted. The unit prices for the construction work were also conservative in SSE's opinion.

What's Next
SSE advised the board that DNR money may be a better option for funding. Through Midwest, the village has applied to DNR for funding a system for the entire Highway 5 corridor, just as it has with RD.

According to Schultz, the application for the overall system scored in the top 7 percent of proposals made to DNR for that cycle. The entire system was too expensive - more than $7 million - to be funded to the extent needed to make it feasible for the village.
The overall system can, however, be built in stages, Schultz said.

He recommended the board identify its scope for phase one by developing a target area of 100-120 residences (considered the "magic" minimum number to receive the best grant funding from funding agencies) and identifying what commercial customers wanted sewer out of the largest 25 potential commercial customers.

The committee that has studied the issue believes that target area is Mid Town, not City Hall Ridge.

Mid Town and City Hall Ridge are different proposed first phases to get the overall system started.

According to the committee's findings based on Midwest's PER, City Hall Ridge would cost an estimated $1,888,171 to construct, but Mid Town hits that 100 potential residential user mark that makes it eligible for much more in low interest loans and grants. City Hall Ridge has 68 potential residential users.

In addition to the 100 residential users, Mid Town also has more potential commercial users, 64 compared to City Hall Ridge's 39. Mid Town's overall construction cost is an estimated $3,559,000.

Sutcliffe and other business owners have indicated they would like to see the board start pushing to get Mid Town funded, instead of paying more money out of the capital improvement sales tax revenues for other engineering firms to do more studies.
Existing businesses have indicated their willingness to pay a higher user rate to help offset residential costs - for now.

If the village cannot move forward with sewer, many businesses will either close or be forced to go out on their own for individual solutions, Sutcliffe said. And if businesses resolve their wastewater issues on their own, they have no incentive to then support a municipal system, especially one in which they subsidize lower residential ­­rates.


Conflict of interest
Discussion turned ugly at the Sept. 12 meeting when concerns were raised that the city attorney had a conflict of interest in the matter of advising the board on the proposed phasing of the sewer system.

West Shore Landing developers Ron Cragun and Bruce and Jan Adams expressed their concern about the board meeting in closed session at the July meeting with their longtime attorney Greg Williams. In that closed session, they hired Olsson Engineering to study City Hall Ridge.

The developers/realtors said Williams owns property within the City Hall Ridge area that is being marketed for commercial development. The City Hall Ridge area would include Williams' property but exclude the West Shore Landing property. The larger proposed Mid Town area would include both.

Bruce Adams said it was a concern to them that a "competitor" was advising the board in closed session. Even if Williams were strictly sticking to his role as city attorney when in closed session, there is still an appearance of conflict of interest, he said.

Adams formally objected to closed door sessions about sewer with Williams "under the guise" of personnel issues and asked that his objection be included in the minutes.
Cragun added that it appeared there was "politicking" going on behind closed doors.
Williams said that there was no one on the board who was unaware that he was a landowner in the village.

"It is not a conflict," he said, adding that the trustees had been "fully disclosed" and were "fully aware" of his situation.

"I was tasked with developing alternatives," said Williams about the board's search for a feasible plan to sewer the city. As a result, he has had discussions not just with Olsson but also with SSE and village business owners.

Hiring Olsson to study City Hall Ridge is merely part of the search for the best course of action, according to the board.

"He (Williams) is not running the project," trustee Debby Stoller said.
According to chair Curt Mooney, the board had two previous interviews with Olsson; it was not something that just happened.

Bruce Adams also objected to the decision to spend $18,000 to hire Olsson being made in closed session. Any talk about sewer, with or without Williams, should have been made in open session, he said.

Jan Adams added, "We were under the impression ... that the whole sewer issue had been tabled."

Cragun said that the $18,000 should have been used for the actual sewer system instead of funding another preliminary engineering report.

The open session discussion centered around how to phase a sewer system for the Highway 5 corridor. It was tabled to get more information on whether higher commercial rates could be used to make residential rates lower to make the recommended Mid Town area acceptable.

The board then went into closed session and decided to hire Olsson to look at City Hall Ridge. The City Hall Ridge area was a potential first phase that was developed by the committee, but was not recommended due to its low potential for grants and low interest loans.

Trustee Ray Kline said the open session discussion and the closed session decision were two separate items. Just because they are having City Hall Ridge studied does not mean that Mid Town is out.

It is unclear how the board arrived at the decision about which phase to study further as none of the trustees verbally indicated a preference for any of the proposed phases in its lengthy discussion in open session. The committee provided the information from their study for the first time publicly at that July meeting.

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