A Memorandum of Understanding between the Regent Neighborhood Association, Inc. and UW/DOA and MGE regarding the New Energy Facility on Walnut Street

1)      Background

As the UW continues to develop, its neighbors are concerned about the impact this causes on their health, safety and quality of life. In an effort to address these concerns, and knowing that an additional energy facility will likely be constructed on Walnut Street, representatives of the Regent Neighborhood Association initiated discussions with the UW and MGE to establish mutually agreeable guidelines for managing the construction and operation of any new facility on the site.

2)      Goals

a. To ensure that any new energy facility is a good neighbor in the community, with improved health, welfare and quality of life for nearby residents.

b. To provide a forum for open discussion of issues.

c. To define a process for resolving complaints.

 

3)      Assumptions

a. UWs needs for steam, chilled water and back-up electricity will be met.

b. Neighbors desire to protect and improve current levels of health, safety and quality of life.

c. UW and its neighbors will maintain a relationship of open cooperation.

4)      Agreements Concerning Air Quality

The goal is to make continued progress on improving air quality, and there will be no net increase in emissions from construction of the new energy facility.

a.       MGE and UW/DOA agree that they will mitigate the additional air emissions (NOx, SOx and PM) from the new facility by achieving offsetting reductions in emissions from other sources in the area. For purposes of this agreement, PM2.5 should be considered a component of PM emissions.


b.      Before the new facility begins operation, UW/DOA and MGE will develop and put into effect a plan to achieve NOx, SOx and PM reductions in the metropolitan area sufficient to totally offset all such emissions from the new facility. At least 50% of the reductions shall occur on or near campus (including the Isthmus area).

c.       It is agreed that any emission reduction, in order to be counted as an offset under this MOU, must be a quantifiable reduction in actual emissions not otherwise required by federal or state law, regulation, interpretation, designation or order existing as of the effective date of this MOU. Reductions resulting from current or future voluntary actions/agreements (e.g. UWs Wisconsin Energy Initiative and MGEs Environmental Cooperative Agreement and commitments made under this MOU), may be counted to achieve the required offsets.

d.      Even if it is necessary to be more stringent than existing DNR/EPA emissions regulations to achieve this goal, any energy facilitys owners will do so, and will document their emissions offsets and annually report to the parties to this agreement.

e.       It is understood that this agreement will not preclude neighbors from advocating for stricter air quality standards during the DNR permitting process.

f.        UW/DOA and MGE will commit $50,000 (split 40/60 between UW/DOA and MGE) to implement VOC emission reduction measures within the City of Madison (and preferably within the Isthmus, campus and near west-side areas). By no later than 06/01/04, UW/DOA/MGE will, after providing opportunity for public comment, evaluate and recommend workable, cost-effective strategies to achieve the maximum VOC emission reductions possible and the costs thereof. The strategies evaluated shall meet the section C criteria and shall include potential reduction measures within UW/DOA/MGEs operations as well as from other sources. Implementation of the specific VOC emission reduction measures selected by UW/DOA/MGE shall commence by no later than 1/01/05 and shall be completed as soon as practicable thereafter.

g.       The UW/DOA and MGE will work jointly with the City of Madison to reach an agreement to install, maintain and operate an air monitoring station for informational/educational purposes at a suitable location in the near west-side area; the specific location, monitoring requirements and cost-sharing arrangement to be mutually agreed upon.


h.       By the time the new energy facility begins operation, when petroleum distillate fuel is needed, only ultra low-sulfur fuel (30 ppm) will be burned in any energy facility in the metropolitan area that is under the control of the parties to this agreement.

i.         After the new facility is operating, UW/DOA and MGE each agree to limit the use of petroleum distillate back-up fuel (i.e. ultra-low sulfur diesel or an equal/lower emission alternate) at that facility to those times when the gas supply is, or is threatened to be, interrupted or curtailed and to brief periods when back-up fuel use is necessary for regulatory compliance requirements or to test equipment reliability; even under these situations, total use of the petroleum distillate back-up fuel is limited to no more than 360 hours per year averaged over a 5-year period provided, however, that the limitations contained in this section may be exceeded in the event of an emergency.

j.        To improve air quality and achieve the two objectives of offsetting emissions from the new facility and using Ultra Low Sulfur Diesel fuel, the UW/DOA will develop a plan for fuel use and operating protocols for the Charter &Walnut facilities. The plan will be open for public comment before it is implemented.

k.      If and when alternate fuels are used, the net impact upon emissions will be the same or better than those of ultra-low sulfur fuel.

5)      Agreements Concerning Noise & Vibration

 

a.       Noise and/or vibration levels will be monitored* at these locations in the area at any time of day or night (especially between 12 and 4 AM) as needed:

1 = 130 North Prospect Avenue,
2 = 2102 University Avenue
3 = 2218 Kendall Avenue
4 = 701 Highland Avenue
5 = 1 Gifford Pinchot Drive
6 = Lakeshore Path near baseball field

b.      Noise with annoying, irregular, noticeable frequencies or pulsations from any new energy facility will be mitigated.

c.       Goal is no increase in perceptible noise at those locations generated by any new energy facility during its operation. (For reference, sound experts generally agree that the human ear detects changes of 3dBA or less as barely perceptible, a change of 5dBA is perceptible, and a change of 10 dBA is perceived as either twice or half as loud.)

d.      Even if it is necessary to be more stringent than proposed city noise ordinance standards to achieve this goal, the power plants owners will do so.

e.       It is understood that this agreement will not preclude neighbors from advocating for stricter noise standards during the PSC CPCN process.

f. Silencers will be installed on valves to reduce the impact of transient noise related to steam venting and/or emergency conditions.

g. Vibration will not cause interference with sensitive scientific equipment in the vicinity.

h. Vibration will not be discernible by neighbors.

i. Existing noise problems at other UW-Madison facilities will be evaluated and mitigated. Progress reports will be provided to the Joint West Campus Area Committee. Noise levels shall be monitored for dBA and dBC in accordance with the latest version of the American National Standards Institute (ANSI) S12.9/Part 1 and Part 3. Both measurements shall be a 10 minute time-weighted average of dBA and dBC readings.

6)      Construction Compliance

All local ordinances governing the construction phase of any new energy facility will be adhered to. The bike path, or an alternate route, will remain open throughout construction. A waste reduction/recycling plan during construction will be implemented to minimize construction waste.

 

7)      Aesthetic Considerations:

The facility will follow the International Dark-Sky Associations current guidelines to minimize light pollution in the area.

8)      Complaint Procedure

Advisory Committee

a.       An Advisory Committee will be created to review and suggest ways to resolve complaints pertaining to the new energy facility. The committee will provide equal representation for the energy facility and the neighborhood; decisions will be made by consensus.

b.      Three representatives of the Regent Neighborhood Association will serve rotating 3 year terms and will provide one co-chair.

c.       Three representatives of the energy facility (at least one of whom will be a UW employee) will be chosen by its owners and will provide one co-chair

d.      The City of Madison may provide an ex officio (non-voting) member.

e.       The Advisory Committee will begin meeting no later than upon commencement of construction of the facility and continue for at least the first two years of its operation, meeting as needed with a minimum of two meetings per year.

f.        Any party may call an additional meeting through one of the co-chairs; a quorum consists of at least two community and two facility representatives.

g.       All records of the Advisory Committees proceedings (including agendas and approved minutes) will follow state requirements governing public notice, open records and open meetings. The facilitys operator will maintain a website which contains these records and make it available to the public.

Complaint Process

h.       The Advisory Committee will educate the residential neighbors about its existence, and the specifics of the complaint process.

i.         Complaints will be brought to a staff person who will be an employee of the facilitys operator, designated and approved by the Advisory Committee; all parties are responsible for bringing complaints to the designated individual.

j.        The staff person will keep a log of all complaints received; the log will be available to the public.

k.      If there is an obvious way to resolve the complaint, the staff person will take immediate steps to do so.

l.         The Advisory Committee will evaluate the log and all complaints, seek additional information from the complainants as needed, evaluate the sufficiency of the complaint, and within 30 days establish a schedule for resolving each issue which will be both timely and public.

m.     Outside consultants may be hired if necessary to investigate a complaint.

n.       In the event that the Advisory Committee cannot reach consensus on how to resolve a complaint, the community representatives and the facility representatives shall each choose a person they believe can facilitate a resolution to review the complaint and findings, and work to achieve a consensus among members of the Advisory Committee. If the resolution facilitators cannot reach a consensus with the advisory committee, the decision of the facilitators will govern the Advisory Committee.

o.      Participation in this complaint process will not waive, reduce or eliminate the rights or remedies that an individual may have in any another forum.

9)      Air Quality Improvement Plan
The UW/DOA and MGE have begun, and will continue, to work cooperatively with the City of Madison, Dane County and the State of Wisconsin, and with input from the community, and other local units of government and other businesses, agree to develop a long range plan to address issues of air quality in the metropolitan area. The goal will be to reduce local sources of emissions overall, and the plan will take into consideration all new and existing energy facilities, stationary sources, transportation and other non-point sources of air emissions. Among other things, the plan will include power plants, cogeneration opportunities, transmission lines and any other issues necessary to develop a coherent plan for improving air quality in the area.

10)  Applicability The provisions of this agreement will apply to existing facilities at Walnut Street and Charter Street as well as any new energy facility built on the UW-Madison campus.

11)  Parties and Successors The parties to this agreement are the owners of the energy facility built north of the existing Walnut Street plant, UW/DOA and MGE, their successors and assigns, and representatives of the Regent Neighborhood Association.

12) Amendments This agreement may not be amended except upon written approval by all parties.

13) Submission

UW/DOA and MGE will seek to have the provisions of Section 4 pertaining to back-up fuel use (paragraphs g and h) included in the DNR air permits as a state only requirement for their respective energy facilities. MGE will seek to have this MOU incorporated as a part of any PSC CPCN approval for the new facility so as to be enforceable through the PSC process.

14) Costs

Any costs incurred under the terms of this agreement will be born by the owners of the energy facility.

15) Signatures

All parties agree that fax signatures shall be binding and that this MOU may be executed in counterparts.

 

15) Effective Date
This MOU will take effect on date of signing by all parties, and will remain in effect for so long as the new energy facility operates.

 

REGENT NEIGHBORHOOD ASSOCIATION
By______________________________ Joy E. Drummond, President
By______________________________ Karen Cornwell, Negotiating Team
By______________________________ Dave Drummond, Negotiating Team
By______________________________ Nan Fey, Negotiating Team
By______________________________ George Hall, Negotiating Team
By______________________________ Steve Hiniker, Negotiating Team

STATE OF WISCONSIN DEPARTMENT OF ADMINISTRATION
By_______________________________ Marc Marrotta, Secretary

UW-MADISON

By________________________________ John D. Wiley, Chancellor

MADISON GAS & ELECTRIC COMPANY

By________________________________ Gary J. Wolter, President & CEO