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10.d2 SHA Planning and Engineering Fee Reduction Memo 14727 209 th St. N., Scandia, Minnesota 55073 Phone (651) 433 -2274 Fax (651) 433 -5112 https://www.cityofscandia.com August 18, 2026 Honorable Mayor and City Council City of Scandia 14727 209th Street N. Scandia, MN 55073-8503 RE: SHA Planning and Engineering Fee Reduction Dear Mayor and Council, This memo responds to the Scandia Heritage Alliance Group’s July request for a fee reduction related to sanitary sewer redesign work. It summarizes the relevant design timeline, prior review comments, and the basis for recommending that the requested fee reduction not be approved. Recommendation: The City and Bolton and Menk should not approve the requested fee reduction because the need for sanitary sewer design information was identified repeatedly beginning in 2021 and again throughout the 2025 and 2026 review process. The redesign costs resulted from the timing of SHA’s sewer design submittal, not due to a shift in position from the City or Bolton and Menk. 2021 Initial Review Process: In February 2021, the City first asked Bolton and Menk (BMI) to review for a potential Scandia Heritage Alliance (SHA) connection to the Uptown sewer system. At this time, it was relayed that we would need the SHA’s group plan for proposed flows to accurately estimate if a connection could be made. In July 2021, the SHA group sent the City and BMI a proposition detailing the uses of this site post construction, which was far more intensive than information relayed previously. That exchange resulted in a Washington County permit review and Uptown System capacity review. Upon review, it was first relayed to the Scandia Heritage Alliance group on July 14th, 2021, via email that the City is not favorable to allow additional connections to the Uptown system. A more in-depth plan review email was sent to the SHA group on October 13th, 2021, which stated that to this point still no sanitary sewer infrastructure was shown on the plans to review. The SHA group replied stating that they “understood and expected this to be worked out with the City by the time permit drawings are issued”. 14727 209 th St. N., Scandia, Minnesota 55073 Phone (651) 433 -2274 Fax (651) 433 -5112 https://www.cityofscandia.com A few months later, in 2022, the monthly engineering reports stated that the Uptown Sewer System had capacity for the SHA project based on ballpark numbers for flow from the site , however, no official design had been submitted/approved. Additionally, the 2022 engineering reports were based on older site designs which have changed many times over the last 5 years, and permit information from Washington County at the time, which we now know was inaccurate. Discrepancies found within Washington County permitting would have been determined much earlier on if the SHA group had provided a sanitary sewer design when originally requested (rather than in 2026), and prior to finalizing other design aspects of their plan. 2025 Review Process: No further discussion on the wastewater needs of this project was conducted until a preliminary plan review meeting was held on June 4th, 2025, where initial comments were provided during an in-person meeting. These comments were summarized via email and included in the first full plan review comments as well. The first plan submission as part of this grading permit was dated June 10th and submitted to BMI for review on June 23rd. A full review and comment letter was provided to the applicant on June 27th which included both the comments from the in-person plan walkthrough, and the revised submission. Both of these comments included the following comment in bold. “4. Sanitary Sewer design and calculations should be submitted as soon as possible for review. Have any calculations been completed yet for this to ensure that the existing system has capacity for the site?” A second plan was submitted for review which was dated July 2nd and submitted to BMI for review on July 16th. BMI’s review was completed and distributed on July 21st, 2025, and included the same bold comment regarding sanitary sewer design needs. A third plan was submitted for review, which was dated August 1st and was submitted to BMI for review on August 1st. BMI’s review was completed and distributed on August 4th, 2025, and included the same bold comment regarding sanitary sewer design needs. After the August review was completed, a few months passed with no contact regarding this project until we reached out to the SHA group in early 2026 to get an update on where they were at in their planning. In April of 2026 we received an additional plan set addressing some previous Landscaping concerns, but no revised stormwater management plan was submit ted, or a revised full civil plan set. This review included the same bold comment regarding sanitary sewer design needs. After the April 2026 review was the first time that progress was made regarding the sanitary sewer design for this site, and Washington County was now involved as a permit had been submitted to review their design and get the SHA group connected to the Uptown System. This application is what spurred a review of the connection and the outdated permitted flow numbers from 2020 on the Uptown System which had been carried forth for 5 years. Multiple meetings were held with Washington County and City Staff members where this connection was discussed, before concluding that a connection would not be allowable based on the existing connections, proposed flow, and permitting requirements. A final decision was provided to the SHA group that a connection would not be allowed within a month of receiving the sanitary sewer design which was part of the Washington County permit application (this decision saved the SHA group a $10,000 connection fee, and ongoing user fees as well). The review from May 2026 removed the bold sanitary sewer design comment, and instead stated the following: “Sewer will be an on-site tank design, with drainfield septic as a backup option. No connection to City sewer will take place.” 14727 209 th St. N., Scandia, Minnesota 55073 Phone (651) 433 -2274 Fax (651) 433 -5112 https://www.cityofscandia.com Conclusion Based on the information provided above, it is BMI’s position that the fee reduction request from SHA to the City and BMI not be granted. If the SHA had submitted its sewer design when originally requested in 2021, the ensuing review and discussions with the County would have come to the same conclusion then as it did in 2026: that an additional hook-up to the Uptown System is not permitted. Please call me at (651) 308-1491 if there are any questions or concerns regarding this memo. Sincerely, Isiah C. Bubany, P.E. Project Engineer Enclosures: None.