Post Point Treatment Plant Resource Recovery Project Update September 9, 2019

Implementing the Climate Action Plan Environmentally Responsible Socially Acceptable Proven Technology Lifecycle Costs Sustainable Brief summary of why we are here and what we are attempting to accomplish. Mention the solids handling within the incineration problem (assuming council thinks of solids handling as incineration). Follow up with meeting the goals of the climate action plan. Very short amount of time on this slide.

Project Divided 5 Phases PHASE 1 – Define Conceptual Alternative PHASE 2 – Refine Concepts PHASE 3 – Implementation Plan PHASE 4 – Predesign PHASE 5 – Final Design, Construction & Operation The goal of this slide is to provide a general overview of the 5 phases leading into what we’ve accomplished and what we have yet to do. Wanting to let them know we have accomplished 2 of the 5 phases and will want to contract for the next 2 phases in the project. Also a reminder we are working within the legacies and strategic commitments.

Accomplishments Completed Phases 1 & 2 Screen World of Opportunities Council & Community Goals Engage Public in Solution Refine Concepts Selected Preferred Alternative Incinerator Evaluation Keys to mention here We looked at the existing technology and continue to monitor emerging opportunities. We look at every option through the lens of meeting the community and council objectives We refined our initial concepts in order to build a foundation for our project. We reached out and will continue to engage the public in the solution. We even took a step back and evaluated the viability of the incineration process to serve as base line for ensuring we considered every opportunity. Due diligence.

Phases 3, 4, & Nutrient Control Update Facility Plan Permitting Data Collection Procurement Evaluation Financial Assessment Marketing Report Ongoing Stakeholder Outreach Providing general overview of the details in phase 3. Will provide same level of detail in phase 4 on the next slide. At this point breaking the slides out into 2 separate however could also combine 3 & 4 into 1 slide. Phase 3 includes a Biosolids Facility Plan for the new biosolids facilities for submittal to the Washington State Departments of Ecology and Health (Department of Ecology), satisfying Washington Administration Code (WAC) 173-240-060 requirements for an Engineering Report. Refer to natural gas as Renewable natural gas.

Phase 4 Preliminary Design Site Layout Process Diagrams Mechanical Structural Electrical Controls Public Outreach Phase 4 is the preliminary design effort that is a key component to the final Engineering Report to Department of Ecology and advances the design drawing details and equipment/process selections. Continue the public outreach as we progress the design. Continue to update council on our findings.

Nitrogen Regulation Probable #7 on DOE list of dischargers The Department of Ecology is optimizing their Salish Sea Model to assess impacts of nitrogen on dissolved oxygen concentrations in Bellingham Bay. This will likely result in nitrogen regulations on point sources via updated future NPDES permits, including Post Point WWTP. DIN = Dissolved Inorganic Nitrogen

Nutrient Removal & Drivers Nitrogen Regulations Forthcoming Post Point Footprint Limited Significant Impact to Plant Capacity Biosolids & Nitrogen Removal Linked Uncertainty Surrounding Timing & Limits Nitrogen Removal is Expensive Nitrogen removal study The existing Post Point WWTP site footprint is limited and, depending on the level of nitrogen control that may be required, may require expansion and/or use of “intensification” technologies, i.e. low footprint innovative technologies for liquid stream nitrogen removal, to be able to fit both the biosolids improvements and nitrogen removal. If extremely low nitrogen levels are required, significant space is expected to be required for nitrogen removal facilities, which would impact the biosolids facilities layout (and potentially available capacity). Phase 3 will assess the likely range of possible nitrogen removal levels that may be required by the Department of Ecology. The preferred biosolids treatment approach and recycle streams will increase nitrogen levels in the liquid stream. Since the biosolids and liquids streams are inextricably linked, the next phase of work will develop the biosolids layouts in conjunction with potential nitrogen control measures to optimize the overall Post Point site and future use. Nitrogen removal cost impacts are expected to be significant. The study will identify costs and needed footprint.

Phase 3 & 4 Plus Nitrogen Removal Gain Regulatory Approval Refine Cost Estimate Rate Impacts Define Nutrient Removal Implications Determine Project Delivery ~$6.8 Mil 2019 - 2021 This Phase 3 and 4 amendment will significantly advance the details of this major project, allowing for: Regulatory approval Refined cost estimate and rate impacts Definition of future nutrient removal needs and integration as part of project Identification of project delivery approaches and potential partnerships with other entities. Identify cost for the project over the next 2 years for further project development. The 6.8 Million is included in the mid biannual budget amendment.

Post Point Treatment Plant Resource Recovery Project Update Presented by: Robert Johnson Superintendent of Plant, Public Works 360.778.7735 rjohnson@cob.org