By Lucky Kidd
LYONS, Kan. — Following lengthy discussion before, during, and after a public hearing, the Lyons City Council at a special meeting Monday approved submission of an application for a $6.5 million State Revolving Fund loan for improvements to the Lyons Wastewater Treatment Plant.
The plant has experienced a number of operational issues over the past several years, culminating with the aerator ditch at the plant going septic in November 2022. Since then, the city has entered into a consent agreement with the Kansas Department of Health and Environment regarding the plant, which also sustained damage to major components in 2021.
Thaniel Monaco from BG Consultants provided the council with a report on his recommendation to remedy issues, and on that there are two options, one of which involves replacement of the existing oxidation ditch., which would in turn require a new lift station and replacement of screening and grit removal systems.
Monaco pointed out the other components of the plant are working properly. A second option would be to fix the existing ditch, to which air is being pumped into to provide the necessary oxygen for proper operation. This would also involve replacing screening and grit removal systems and would be a lower cost solution.
Another issue was whether to go with a 20 or 30-year loan. Members of the public and the Council were in agreement the 20-year option should be pursued, on the basis of a lower overall interest rate and the expected life expectancy of the plant.
The discussion also centered on how the loan would be paid back. Under the 20-year option, the city would have an annual loan payment, including interest, of $414,978.38 if the entire $6.5 million were to be spent, and it’s quite possible it might not have to be. At the full rate, it was projected this would require a $22.14 increase in monthly sewer bills, which would be in line with what other cities that have undertaken projects have seen.
That increase also may not be as high as projected. The city currently has a utility upgrade fee of $10 included in the $29.50 per month base rate, and there was a lot of discussion about whether part of that could be utilized for loan payback. Also discussed was the potential of a tiered rate system for residential, small commercial and industrial customers.
Among other questions posed and discussed during the public hearing were how long the project would take to construct, impact it would have on staffing, and if the plant would have the capability to handle any future growth of the community Mayor Dustin Schultz said the issues at the plant have been developing for years, as a result of inadequate maintenance and funding in the past. As he put it the city is, “trying to address things that should have been dealt with decades ago.”
Monaco in his presentation added the rest of the plant is operating properly. He also discussed future requirements the city may have to address when a new permit is issued for the plant at the end of 2027. There likely would be a requirement to monitor for phosphorus, which would involve additional expense though remedying it is not complicated, and nitrogen which Monaco said the city, unlike many others, may not have as much as a problem with.
After approving the loan application, the Council also approved a number of documents that will be part of that application, which will be submitted to KDHE Tuesday.
