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Officials break ground for $65M wastewater plant

Owatonna waste water plant, wastewater, Owatonna
By
Joni Hubred, News Editor

With state funds still hanging in the balance, Owatonna officials on Friday broke ground for a $65 million wastewater treatment expansion that will carry the city well into the future.  

The project started five years ago with an estimated $37 million price tag. In May, the city selected Rice Lake Construction Group’s $55.7 million project bid, with $12 million subject to change based on materials cost increases. 

The city is contracting with Nero Engineering and AE2S for engineering services.  

Located on Industrial Boulevard, the original Wastewater Treatment Plant was built in the 1980s, with land set aside for growth. The expansion will increase its capacity from 5 million to more than 9 million gallons per day.  

Currently, the facility runs at and sometimes slightly over capacity, Public Works director Kyle Skov said, adding that is not unusual. Adding capacity has been on the table since he was hired.  

"I’ve been with the city going on 10 years, and it’s been on the horizon for that entire time,” Skov said. Construction will take about two-and-a-half years.  

Crews are on-site this week, starting work on the process building and two smaller buildings. The new process draws effluent (liquid sewage) through a membrane and discharges clear water. 

Skov said the design takes environmental protection into account.   

“We went through a process called non-degradation,” he said. “We looked at the effects of this on the Straight River and downstream areas, and we can’t degrade that from where it is today.”  

According to information provided by the city, the plant will also capture methane from sewage sludge, clean it, and then funnel it into the city’s natural gas distribution system, in partnership with Owatonna Public Utilities. 

The original plant has far exceeded its estimated 20-year lifespan; the expansion is expected to carry the city at least 30 years into the future.  

City officials began incremental rate increases about 10 years ago, and more than $3 million has already been spent on planning costs, with another $10 million in reserves. The city has also applied for $22 million in state bonding and an $8 million state grant. 

Those funds haven’t come through, because the state legislature adjourned this year without taking action. City administrator Kris Busse said both Rep. John Petersburg and Sen. John Jasinski have pushed the requests forward.  

“That would help us deal with some of these incredible price changes,” she said, “and lessens the burden on our rate payers.”  

“We’re not giving up yet,” Petersburg said after the groundbreaking ceremony. “We’re going to keep trying and do everything we can.”  

The bill must originate in the House of Representatives, he said. While Gov. Tim Walz could call a special session, that becomes less likely as time goes by. 

“I’m all in favor of a bonding bill passed early in the (next) session for some of these projects that really need to get going next year,” Petersburg said.  

The city implemented its latest rate increase in June 2021, with another likely by the end of this year, Skov said. Residents may see a hike larger than the typical 2-3%.  

Skov encouraged residents to reach out to local lawmakers with support for the bond and grant funds.  

“It would go a long ways towards softening the blow to the businesses and to the residents,” he said.  

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