Pacific has reached an agreement with a local dairy firm over effluent discharged into the city’s sewage lagoon.

Smith Foods Pacific (SFP), 20 Midwest Drive, operates a food processing facility which has exceeded effluent limits on BOD5 (biochemical oxygen demand) and TSS (total suspended solids) and has been paying a surcharge on its sewer bills.

With neither party admitting liability or fault, under the agreement Smith Foods will install a flow monitoring/sampling station to collect samples while it builds a pretreatment plant at its facility.

The city will engage a vendor to collect and analyze samples for BOD5, TSS and O&G (oil and grease) and add the cost of sampling and analysis to the firm’s monthly surcharges.

Once the sampling station is in operation, total wastewater discharge will be calculated by subtracting the amount of water added to the firm’s dairy products from the monthly volume metered into the plant and wastewater calculations will be based on the new meter readings.

Until the station becomes operable, wastewater flow will continue to be based on the volume of water purchased from the city.

Within 30 days after the agreement is signed, Smith Foods will retain a qualified engineering firm to design an industrial wastewater pretreatment plant that will meet the effluent discharge standards in city ordinance 705.260.

Following approval, Smith Foods will construct a new facility in two phases. The firm will complete construction and startup of Phase 1 no later than July 31, 2018, barring reasonable delays. The firm will complete construction and startup of Phase 2 no later than May 31.

While the pretreatment plant is under development and construction, the firm can gain some relief from surcharges if the city’s wastewater treatment plant is in compliance with its permit for BOD5, TSS and O&G.

For any month the city treatment plant is in compliance the city will place 50 percent of surcharges paid by the firm for that month into a separate escrow fund.

If after May 31, 2019, Phase 2 is operational and meeting the prescribed limits, the city shall apply the escrowed amounts as a credit to Smith Foods for future wastewater usage charges.

The firm will forfeit the escrowed funds if it fails to maintain compliance with the effluent limitations in city ordinance for two consecutive months, or a total of three months.