HomeMy WebLinkAboutResolution 16-053 Resolution 16-053
Resolution Authorizing an Agreement with Bel Brands USA, Inc.
Be It Resolved by the City Council of the City of Brookings, South Dakota as follows:
Whereas, the City of Brookings and Bel Brands have reached a compromise agreement
concerning the wastewater pretreatment facility the City constructed to treat industrial
wastewater from the Bel Brands cheese processing facility. While Bel Brands has been
able to operate at full capacity for the past year and a half, the wastewater pretreatment
facility has required additional equipment to pre-treat its industrial wastewater. In particular,
a large piece of equipment commonly referred to as an Oxidizer was deemed necessary to
properly treat the wastewater, and this equipment is now in operation and has proven to be
the solution to address Bel Brands' current industrial wastewater levels, as well as potential
increases in wastewater volumes that may occur as a result of increased cheese
production; and
Whereas, the City of Brookings and Bel Brands have been in negotiations for a lengthy
period concerning the complex issue of a proper allocation of each party's costs associated
with the pretreatment facility upgrades; and
Whereas, the Agreement with Bel Brands provides that the Oxidizer is a necessary upgrade
to the wastewater pretreatment facility, and the City will therefore reimburse Bel for the cost
of the Oxidizer. The cost of the Oxidizer will be $947,578.93, but will provide the City with
desirable levels of long-term pretreatment of the industrial wastewater and will further
strengthen Bel's ability to produce its cheese products for many years to come. Bel Brands,
in turn, agrees to assume ownership and responsibility for both the wastewater pretreatment
facility and the Oxidizer once final construction punchlist items have been completed;
Now, Therefore, It Is Hereby Resolved by the City Council of the City of Brookings, South
Dakota, as follows:
A. The above-referenced Agreement and payment in the amount of
$947,578.93 constituting the cost of the upgrades of the Wastewater Pre-
treatment Facility are hereby approved; and
B. The Mayor, City Clerk, City Manager and City Attorney are authorized to
execute the required documents in accordance with this Resolution.
Passed and approved on the 14th day of June, 2016.
CITY OF BROOKINGS
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ATTEST: Tim Reed, Mayor
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Shari Thornes, City Clerk