9.d) Staff Report-Intergovernmental Water AgreementSCANDIA
Staff Report
Date of Meeting: March 18, 2014
To: City Council
From: Kristina Handt, City Administrator
Re: Intergovernmental Water Agreement
Background:
As City Engineer Goodman mentioned at last month's meeting, a number of groups have been meeting
surrounding groundwater issues. A group of Washington County Administrators began meeting last
month on the issue. There seemed to be a lack of municipal involvement in other groundwater groups
and a need was identified to coordinate efforts and messages since groundwater flow impacts all of our
cities.
Additional background is provided on page 2 of the agreement. This agreement was modeled after an
agreement amongst communities in Dakota County that organized for a similar purpose.
In 2012, the state passed a law allowing the DNR Commissioner to create Groundwater Management
Areas (GWMAs). While the City of Scandia does not offer municipal water service, the legislation has
the potential to impact Scandia residents and businesses who receive water permits. The section of law
that applies is MN Stat. 103G.287, subd. 4:
Subd. 4.Groundwater management areas.
(a) The commissioner may designate groundwater management areas and limit total annual water
appropriations and uses within a designated area to ensure sustainable use of groundwater that
protects ecosystems, water quality, and the ability of future generations to meet their own needs.
Water appropriations and uses within a designated management area must be consistent with a
plan approved by the commissioner that addresses water conservation requirements and water
allocation priorities established in section 103G.261.
(b) Notwithstanding section 103G.271, subdivision 1, paragraph (b), and Minnesota Rules, within
designated groundwater management areas, the commissioner may require general permits as
specified in section 103G.271, subdivision 1, paragraph (c), for water users using less than
10,000 gallons per day or 1,000,000 gallons per year and water suppliers serving less than 25
persons for domestic purposes. The commissioner may waive the requirements under section
103G.281 for general permits issued under this paragraph, and the fee specified in section
103G.301, subdivision 2, paragraph (c), does not apply to general permits issued under this
paragraph. (emphasis added)
Whether or not the commissioner would exercise the option of requiring permits for smaller users is
unknown but the possibility does exist in law. It would likely be too administratively burdensome. Three
pilot projects have been identified to learn how to effectively create and manage GWMA, one of which
covers Scandia-the North and East Metro GWMA.
Issue:
Should the City approve the Intergovernmental Water Agreement?
Proposal:
The agreement requires nothing more than the cities cooperation, coordination and consideration of issues
related to groundwater supply. It does not obligate the City of Scandia to adopt any new rules,
regulations or ordinance nor commit City funds.
The agreement lays out the purpose, authority, implementation and termination provisions of the
agreement. If at any time the City of Scandia would like to withdraw from the agreement, they need only
give a 30 day notice to the other communities. Otherwise the agreement will terminate after 10 years.
The City of Scandia can benefit by working cooperatively with larger communities to ensure our concerns
our heard at the state level.
Fiscal Impact:
NA
Options:
1) Approve the Intergovernmental Water Agreement
2) Amend and then Approve the agreement
3) Do not approve the agreement
Recommendation:
Option 1.