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HomeMy Public PortalAboutExhibit RC 83- Rate Commission's Sixth Discovery Request to MSDBEFORE THE RATE COMMISSION OF THE METROPOLITAN ST. LOUIS SEWER DISTRICT SIXTH DISCOVERY REQUEST ISSUE: 2023 STORMWATER & WASTEWATER RATE CHANGE PROCEEDING WITNESS: METROPOLITAN ST. LOUIS SEWER DISTRICT SPONSORING PARTY: RATE COMMISSION DATE PREPARED: JUNE 15, 2023 Lashly & Baer, P.C. 714 Locust Street St. Louis, Missouri 63101 Exhibit RC 83 2 BEFORE THE RATE COMMISSION OF THE METROPOLITAN ST. LOUIS SEWER DISTRICT For Consideration of a Stormwater & ) Wastewater Rate Change Proposal ) by the Rate Commission of the ) Metropolitan St. Louis Sewer District ) SIXTH DISCOVERY REQUEST OF THE RATE COMMISSION Pursuant to §§ 7.280 and 7.290 of the Charter Plan of the Metropolitan St. Louis Sewer District (the “Charter Plan”), Restated Operational Rule § 3(7) and Procedural Schedule §§ 16 and 17 of the Rate Commission of the Metropolitan St. Louis Sewer District (the “Rate Comm ission”), the Rate Commission requests additional information and answers from the Metropolitan St. Louis Sewer District (the “District”) regarding the Rate Change Proposal dated March 24, 2023 (the “Rate Change Proposal”). The District is requested to amend or supplement the responses to this Discovery Request, if the District obtains information upon the basis of which (a) the District knows that a response was incorrect when made, or (b) the District knows that the response, though correct when made, is no longer correct. The following Discovery Requests are deemed continuing so as to require the District to serve timely supplemental answers if the District obtains further information pertinent thereto between the time the answers are served and the time of the Prehearing Conference. 3 DISCOVERY REQUEST 1. Please explain the District’s methodology for identifying stormwater customers as residential or non-residential. RESPONSE: 2. Appendix 8.9 of Ex. MSD 1 (Rate Change Proposal) categorizes impervious surface features as Building Main Structure Footprints, Paved Roads, Driveways, Sidewalks, and others. Please provide examples of “other” impervious surface features. RESPONSE: 3. Please state whether the proposed non-residential impervious area rate is based on the 2020 or 2022 aerial photography. RESPONSE: 4. Please state whether tax-exempt residential properties will be assessed the proposed stormwater capital tax. RESPONSE: 5. Please state whether tax-exempt non-residential properties be assessed the proposed stormwater capital charge. RESPONSE: 6. Please provide the total gross area at the parcel level for all non-residential parcels currently designated as “vacant”. RESPONSE: 7. Appendix 8.15 of Ex. MSD 1 indicates that the proposed stormwater capital tax ($0.0745 cent) would apply to residential personal property. Does the District currently bill the Regulatory ($0.02 cent) tax and O&M ($0.1000 cent) tax to personal property as well? RESPONSE: 8. In Ex. MSD 73I, the cost of the Fluidized Bed Incinerator (“FBI”) project was estimated to be $477,300,000 in 2018. In Ex. MSD 73K, the estimated cost is listed as $951,200,000. Please explain the factors contributing to the increase in total project cost. How certain is the District that the current cost estimate will not increase further? RESPONSE: 4 9. Please state the amount that the District has spent to date on the FBI project? RESPONSE: 10. Please provide a layman’s summary of all sludge management options evaluated in Ex. MSD 73G (Tech Memo 3), along with a summary of why each solution was or was not selected. RESPONSE: 11. Kansas City’s sludge management solution is Thermal Hydrolysis. Did the District consider this technology? If so, what factors led the District to not select it? If not, why did the District not consider it? RESPONSE: 12. Since the District selected the FBI technology for sludge handling, there have been developments such as federal incentives for energy recovery, potential regulation of PFAS, etc., that would have impacts on a sludge management program. Has the District conducted any recent review of the selected technology and plan to confirm that the FBI solution remains the best alternative for the District, given the many technical, financial, and environmental considerations? RESPONSE: 13. What risk would the District take if it were to move away from the FBI project to a different solution at this time? How much time would be required to undertake the necessary studies and design to reach the stage the District is currently at with the FBI project? How much cost would be incurred in conducting the necessary studies and design to reach such stage? RESPONSE: Respectfully submitted, /s/ Brian J. Malone Lisa O. Stump Brian J. Malone LASHLY & BAER, P.C. 714 Locust Street St. Louis, Missouri 63101 Tel: (314) 621-2939 Fax: (314) 621-6844 lostump@lashlybaer.com bmalone@lashlybaer.com 5 CERTIFICATE OF SERVICE The undersigned certifies that a copy of the foregoing was sent by electronic transmission to Stephanie DeJarnette, Office Associate Senior, Metropolitan St. Louis Sewer District; Susan Myers, Counsel for the Metropolitan St. Louis Sewer District, on this 15th day of June, 2023. Ms. Stephanie DeJarnette Office Associate Senior Metropolitan St. Louis Sewer District 2350 Market Street St. Louis, MO 63103 sdejarnette@stlmsd.com Ms. Susan Myers General Counsel Metropolitan St. Louis Sewer District 2350 Market Street St. Louis, MO 63103 smyers@stlmsd.com /s/ Brian J. Malone Brian J. Malone