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Item 4E MemoCITY OF SOUTHLAKE MEMORANDUM (August 18, 2020) To: Shana Yelverton, City Manager From: Rob Cohen, Director of Public Works Item 4E Subject: Approve a resolution supporting the application of Grapevine Business Park, LLC to the Texas Commission on Environmental Quality (TCEQ) for a Municipal Setting Designation (MSD) along the border between the City of Southlake and the City of Grapevine. Action Requested: Approve a resolution supporting the application of Grapevine Business Park, LLC to the Texas Commission on Environmental Quality (TCEQ) for a Municipal Setting Designation (MSD) along the border between the City of Southlake and the City of Grapevine. Background Information: Grapevine Business Park, LLC seeks to develop property located at 500 Industrial Boulevard, Grapevine, TX. This property was the home of several automotive component manufacturing businesses from 1984 to 2018. It is believed that this work was the source of volatile organic compounds that leached into the ground and contaminated the groundwater to levels beyond permissive exposure limits. Rather than face the expense of environmental remediation and cleanup, Grapevine Business Park, LLC, seeks relief via the Municipal Setting Designation (MSD) law through the MSD application process. MSD law provides a less expensive and faster alternative to the existing state environmental regulations governing the investigation and cleanup of contaminated groundwater. The statute substitutes a municipal ordinance or restrictive covenant in lieu of TCEQ regulations to protect the public against exposure to the contaminated groundwater. The local government in which the property resides is required to endorse the application via a resolution. This action prohibits the use of designated groundwater for potable or irrigation purposes. The MSD law also requires local municipalities within one half mile of a MSD to pass a resolution supporting a MSD application. Page 1 of 2 Item 4E The Designation for this property was achieved through the City of Grapevine's approval of an ordinance and resolution in February 2020. This action prevents the use of groundwater for potable drinking water or for irrigation purposes for the property designated as an MSD, which is 500 Industrial Boulevard, Grapevine, TX. The applicant's request to Southlake is part of the MSD process since Southlake is within one half mile of the property. The MSD law requires municipalities located within this distance to pass a resolution in support of the application. This assures the TCEQ that there is support for the MSD request by adjoining municipalities. The decision to support this application will not adversely impact Southlake, its residents or use of well water for potable water or irrigation purposes. The resolution, if Council chooses to support the applicant, is a requirement of the MSD process. Financial Considerations: None. Strategic Link: This item links to the City's Strategy Map strategic focus area of Quality Development. It specifically relates to the City's Corporate Objective, C4: Attract & Keep Top -Tier Businesses To Drive A Dynamic & Sustainable Economic Environment. Citizen Input/ Board Review: N/A Legal Review: The City Attorney's Office has reviewed the resolution. Alternatives: The City Council may approve or deny the resolution. Staff Recommendation: Approve a resolution supporting the application of Grapevine Business Park, LLC to the Texas Commission on Environmental Quality (TCEQ) for a Municipal Setting Designation (MSD) along the border between the City of Southlake and the City of Grapevine. Supporting Documents: Attachment A: Resolution Attachment B: City of Grapevine endorsement of the applicant's request. Staff Contact: Rob Cohen, Director of Public Works Page 2 of 2 Attachment A RESOLUTION NO. 20-033 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SOUTHLAKE, TEXAS SUPPORTING THE APPLICATION OF GRAPEVINE BUSINESS PARK, LLC TO THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY FOR A MUNICIPAL SETTING DESIGNATION AT THE SOUTHEAST BOARD BETWEEN THE CITY OF SOUTHLAKE, TEXAS AND THE CITY OF GRAPEVINE, TEXAS AND PROVIDING AN EFFECTIVE DATE. WHEREAS, Chapter 361, Subchapter W, of the Texas Health and Safety Code, the Texas Solid Waste Disposal Act authorizes the Texas Commission on Environmental Quality (TCEQ) to certify Municipal Setting Designations for properties upon receipt and approval of a properly submitted application to TCEQ; and WHEREAS, as a part of the application to TCEQ for Municipal Setting Designation for a site, the applicant is required to provide documentation that the application is supported by: (1) the city council of the municipality in which the site is located, (2) the city council of each municipality with a boundary located not more than one-half mile from the site, (3) the city council of each municipality that owns or operates a groundwater supply well located not more than five miles from the site, and (4) the governing body of each municipal or retail public utility, as defined by Section 13.002 Texas Water Code, that owns or operates a groundwater supply well located not more than five miles from the site; and WHEREAS, pursuant to Texas Health and Safety Code, Chapter 361, Subchapter W, the property owner will file an application with the TCEQ for the issuance of a Municipal Setting Designation for the property located at the southeast border between the City of Southlake, Texas and the City of Grapevine, TX with the facility located at 500 Industrial Boulevard, Grapevine, Texas, shown on the attached Exhibit "A" (the "MSD Site"); and WHEREAS, the MSD Site is within a one-half mile radius of the City limits of Southlake, Texas; and WHEREAS, the City Council of the City of Grapevine approved the MSD Site by ordinance approved on February 4, 2020, attached hereto as Exhibit "A", and authorization has been requested by the property owner for each additional municipality and retail public utility for which approval is required; and WHEREAS, the City Council of the City of Southlake finds it in the best interest of the City to support the application for the Municipal Setting Designation for the MSD site. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF SOUTHLAKE: Section I. The City of Southlake supports the application of Grapevine Business Park, LLC, to TCEQ for certification of a Municipal Setting Designation for the MSD Site as shown on the attached Exhibit "B". Section II. This Resolution shall take effect immediately from and after its passage as the law and charter in such cases provide. DULY PASSED AND APPROVED the day of Laura Hill, MAYOR Amy Shelley, CITY SECRETARY /_1»t01 M01:1,T to Allen Taylor, CITY ATTORNEY 004 AL FBI C1 r � � asp 1 1 dh 1 1 � � 1 1 �1 Attachment B February 24, 2020 M r. Rob Cohen Director of Public Works City of Southlake, Texas 1400 Main Street, Suite 320 Southlake, Texas 76092 (817) 748-8098 Dear Mr. Cohen I am writing to request your City's assistance and support with meeting the Texas Commission on Environmental Quality's (TCEQ) requirements for Municipal Setting Designations (MSD). The certification of an MSD for the site (500 Industrial Blvd.) s in the best interest of the community; and, we request City of Southlake support this MSD application to the TCEQ by passing ordinance and resolution supporting this application. State law requires that an application for a MSD be supported by a resolution and ordinance adopted by the governing body of each municipality located within a half mile of the designated property for which the MSD s sought. City of Grapevine recently passed MSD Ordinance No. 2020-010 and Resolution No. 2020- 003 for this affected property supporting this MSD application. We have attached these documents to this letter for your reference. The MSD only applies to the designated property at 500 Industrial Boulevard and does not apply to any offsite properties. The plume from this affected property ' moving easterly, away from the Southlake boundary, and has been defined by the applicant. Background Information: An MSD s an official state designation given to property within a municipality or its extraterritorial jurisdiction that certifies that designated groundwater at the property ' not used as potable water, and ' prohibited from future use as potable water because that groundwater ' contaminated in excess of the applicable potable -water protective concentration level. The purpose of an MSD s to provide a less expensive and faster alternative for addressing groundwater contamination. The program utilizes Texas state law that s intended to promote the investigation, cleanup, and redevelopment of environmentally impaired properties. The state law, which can be found at Texas Health & Safety Code, Chapter 361, Subchapter W, authorizes the Texas Commission on Environmental Quality (TCEQ) to certify MSDs in order to restrict the groundwater underlying the designated property for potable purposes by ordinance or restrictive covenant. More information about MSDs ' available on the TCEQs web site at https://www.tceq.texas.gov/remediation/msd.htm1. To be eligible for an MSD the designated property must meet the following criteria: (a) the property lies within a corporate limits or extraterritorial jurisdiction of a municipality authorized by statue, (b) a PUBLIC WORKS DEPARTMENT THE CI'IY OF GRAPEVINE P.O. Box 95104 • GGapevine, Texas 76099 . Phone Metro 817/410-3135 • Fax 817/410-3003 public drinking water system is available that supplies potable water to the designated property and properties within 0.5 mile of the designated property. Properties located within an MSD may be subject to different environmental investigation and cleanup standards due to the reduced risk of human exposure to contaminated drinking water from groundwater supply wells. MSDs must be approved at both the municipal and state level. The City of Grapevine has adopted a procedural ordinance to process applications for MSDs on properties located within the city limits. Grapevine, like most urban areas in North Texas, has property impacted by historical gasoline service stations, auto repair facilities, dry cleaners, and other commercial and industrial activities. Contamination from such sources tends to be localized in shallow groundwater zones and does not present a risk to the City's drinking water supply system. As a matter of public policy, Grapevine wishes to see these properties investigated, cleaned up to levels considered protective of human health and the environment by the TCEQ, and redeveloped. We have processed MSD applications within the City of Grapevine over the past few years. It is our informed belief and expectation that there are not now, and will never be in the future, contaminated sites within the City of Grapevine representing a risk to your public water supply system. Such, conditions, where they do exist, would warrant immediate action to mitigate an imminent threat to human health and would never be considered candidates for an MSD by the City. Please contact me so that we can set up a meeting to discuss the MSD process and your role in that process. I can be reached at (817) 410-3130. 1 look forward to hearing from you. Sincerely, 1" Bryan ck Director of Public Works DS ORDINANCE NO.2020-010 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS, AMENDING CHAPTER 25 UTILITIES AND SERVICES OF THE CITY OF GRAPEVINE CODE OF ORDINANCES, AS AMENDED, BY THE ADDITION OF SECTION 25-211(E); ESTABLISHING LOT 8A1, REPLAT OF THE FIRST SECTION OF GRAPEVINE INDUSTRIAL PARK OF THE CITY OF GRAPEVINE, TARRANT COUNTY, TEXAS AS A MUNICIPAL SETTING DESIGNATION SITE; PROVIDING FOR THE PROHIBITION OF THE USE OF GROUNDWATER FOR POTABLE AND IRRIGATION PURPOSES FOR THE SITE; PROVIDING THAT THIS ORDINANCE IS CUMULATIVE; PROVIDING A SEVERABILITY CLAUSE; PROVIDING A FINE OF UP TO $2,000.00 FOR EACH OFFENSE IN VIOLATION OF THE ORDINANCE; PROVIDING A SAVINGS CLAUSE; PROVIDING FOR PUBLICATION IN THE OFFICIAL NEWSPAPER OF THE CITY; DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE WHEREAS, the City Council of the City of Grapevine adopted Ordinance No. 2005-79 on October 11, 2005 establishing processes, procedures and restrictions associated with a Municipal Setting Designation authorized under Chapter 361, Subchapter W of the Texas Health and Safety Code; and WHEREAS, Grapevine Business Park, LLC (Applicant) has filed an application with the City of Grapevine for the City's approval of a Municipal Setting Designation (MSD) for Lot 8A1, Replat of the first section of Grapevine Industrial Park, a 10.882 acre site located at 500 Industrial Boulevard, Grapevine, Texas, more fully described in Exhibit 'W', attached hereto and incorporated herein in its entirety; and WHEREAS, upon passage of a supporting resolution by the City Council, Applicant intends to file a separate application with the Executive Director of the Texas Commission on Environmental Quality (TCEQ) for certification of an MSD for the Site pursuant to Texas Health and Safety Code, Chapter 361, Subchapter W; and WHEREAS, Applicant has continuing obligations to satisfy applicable statutory and regulatory provisions concerning groundwater contamination investigation and response actions at the Site; and WHEREAS, the City Council of the City of Grapevine is of the opinion that it is in the best interest of the public and the City to support Applicant's application to the Texas Commission on Environmental Quality for a Municipal Setting Designation for the Site; and 1 WHEREAS, in order for the TCEQ to certify the Site, the City must prohibit the potable use of groundwater from beneath the Site; and WHEREAS, a public drinking water supply system exists that supplies or is capable of supplying drinking water to the Site, and property within one-half mile of the Site; and WHEREAS, where public drinking water is available, the potable use of groundwater in designated areas should be prohibited to protect public health and welfare when the quality of the groundwater presents an actual or potential threat to human health; and WHEREAS, all constitutional and statutory prerequisites for the approval of this ordinance have been met, including but not limited to the Open Meetings Act and Chapter 211 of the Local Government Code; and WHEREAS, City Council has found that the passage of this Ordinance serves the best interests of the health, safety, and welfare of the public. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS: Section 1. That all of the above premises are found to be true and correct and are incorporated into the body of this ordinance as if copied in their entirety. Section 2. That Chapter 25 Utilities and Services, Section 25-211 of the City of Grapevine Code of Ordinances, as amended, is hereby amended by the addition of the following: • a(e) Lot 8A1, Replat of the first section of Grapevine Industrial Park" Section 3. That the designated groundwater beneath Lot 8A1, Replat of the first section of Grapevine Industrial Park, City of Grapevine, Tarrant County, Texas is the shallow water table of the designated property. This shallow groundwater is in soils which lie over the Eagle Ford Shale Formation which underlies the site. The designated groundwater zone is associated with a shallow perched groundwater bearing unit (GWBU) located at depths ranging from 28 to 32 feet below ground surface (bgs). Section 4. That the following contaminants associated with the Site have been detected within the designated groundwater at concentrations exceeding residential assessment levels for potable use: Ordinance No. 2020-010 2 • tetrachloroethene (PCE) or (PERC) • trichloroethylene (TCE) 1,1,-Dichloroethene (1,1 DCE) Section 5. That one semivolatile organic compound (SVOC) and three metals were detected in three groundwater samples above the ingestion PCLs during the initial groundwater sampling event; however, subsequent sampling to confirm the exceedances did not return concentrations of either SVOCs or these metals above the ingestion PCLs. • bis(2-ethylhexyl) phthalate • Arsenic • Chromium • Lead Section 6. That the use of the designated groundwater associated with Lot 8A1, Replat of the first section of Grapevine Industrial Park in the City of Grapevine, Tarrant County, Texas for potable and irrigation purposes is hereby prohibited. This prohibition is necessary because the contaminant concentrations exceed potable water standards. Section 7. That the City will provide advance written notice to the Texas Commission on Environmental Quality, as much as is practicable, prior to enacting an ordinance repealing or amending this section. Section 8. That this ordinance shall be cumulative of all provisions of ordinances and of the Code of the City of Grapevine, Texas, as amended, except where the provisions of this ordinance are in direct conflict with the provisions of such ordinances and such Code, in which event conflicting provisions of such ordinances and such Code are hereby repealed. Section 9. That it is hereby declared to be the intention of the City Council that the sections, paragraphs, sentences, clauses and phrases of this ordinance are severable, and, if any phrase, clause, sentence, paragnaph or section of this ordinance shall be declared unconstitutional by the valid judgment or decree of any court of competent jurisdiction, such unconstitutionality shall not affect any of the remaining phrases, clauses, sentences, paragraphs and sections of this ordinance, since the same would have been enacted by the City Council without the incorporation in this ordinance of any such unconstitutional phrase, clause, sentence, paragraph or section. Section 10. That any person, firm or corporation who violates, disobeys, omits, neglects or refuses to comply with or who resists the enforcement of any of the provisions of this ordinance shall be fined not more than two thousand dollars ($2,000.00) for each offense. Each day that a violation is permitted to exist shall constitute a separate offense. Section 11. That all rights and remedies of the City of Grapevine, Texas, are expressly saved as to any and all violations of the provisions of the ordinances amended- in Section 1, which have accrued at the time of the effective date of this ordinance and, as to Ordinance No. 2020-010 3 O a L+z F�- - R - �..— �- — —°�-- -- -L--- d--�-- POW OF ------ MVWY AL BOULEVARD sear. a.ur---------------------�--- --- --r-- '1 --=•�- ---- ---- ---' '--- •--- ---- --- ---- ll! I I SII I L �An III I II i I W-m II 1 1 g II 1 m��x I. omm;�m s I I I u ILi ns. aw-otnn rn" -°aJIM_- __. ' C�7>�:�':�•.:rr��- w:- o rTzw .��-sy.�=�..��'.• .fz���7--Csrx :t:> :5�...��.. _F6,-F • �i=s��.r�,�:x ;�.r9 �'�L'-'S >r7�rtME T6TA y� R33Saf�:�SIS[ � 59 Aft9•{y+.��.2?�7 • ��`i�s,:a rater ......�.._...,_....._,.... :c W --I 1 Ll such accrued violations and all pending litigation, both civil and criminal, whether pending in court or not, under such ordinances, same shall not be affected by this ordinance but may be prosecuted until final disposition by the courts. Section 12. That this ordinance shall be in full force and effect after its passage and publication as required by law, and it is so ordained. Section 13. That if any section, article, paragraph, sentence, clause, phrase or word in this ordinance, or application thereto to any person or circumstances is held invalid or unconstitutional by a Court of competent jurisdiction, such holding shall not affect the validity of the remaining portions of this ordinance; and the City Council hereby declares it would have passed such remaining portions of the ordinance despite such invalidity, which remaining portions shall remain in full force and effect. Section 14. That the fact that the present ordinances and regulations of the City of Grapevine, Texas, are inadequate to properly safeguard the health, safety, morals, peace, and general welfare of the inhabitants of the City of Grapevine, Texas, creates an emergency for the immediate preservation of the public business, property, health, safety and general welfare of the public which requires that this ordinance become effective form and after the date of its passage and it is accordingly so ordained. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 4th day of February, 2020. ATTEST: Tara Brooks City Secretary APPROVED AS TO 'Ta(L City Attorney APPROVED: William .Tate Mayor Ordinance No. 2020-010 El RESOLUTION NO.2020-003 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS, SUPPORTING THE APPLICATION OF GRAPEVINE BUSINESS PARK, LLC TO THE TEXAS COMMISSION ON ENVIRONMENTAL QUALITY FOR A MUNICIPAL SETTING DESIGNATION FOR 500 INDUSTRIAL BOULEVARD GRAPEVINE, TARRANT COUNTY, TEXAS AND PROVIDING AN EFFECTIVE DATE WHEREAS, Grapevine Business Park, LLC (Applicant) has filed an application with the City of Grapevine, Texas, for the City's support of a Municipal Setting Designation for the property located at 500 Industrial Boulevard, Grapevine, Tarrant County, Texas, the metes and bounds description being attached hereto in Exhibit'W'; and WHEREAS, a public meeting on the application for support was held in Grapevine on February 3, 2020, and a public hearing was held in Grapevine on February 4, 2020, and the affected community was duly notified of same and allowed the opportunity to comment; and WHEREAS, an approved public drinking water supply system exists that supplies or is capable of supplying drinking water to the Site and to locations within one-half mile of the Site; and WHEREAS, Applicant has filed documentation with the City stating that contaminants identified within the designated groundwater, associated with the Site, have been detected in concentrations exceeding residential assessment levels for potable use include trichlorethylene (TCE), tetrachloroethene (PCE, or PERC), 1,1,- Dichloroethene (1,1 DCE); and WHEREAS, Applicant has further filed documentation with the City stating that the designated groundwater sought to be restricted is associated with a shallow perched groundwater bearing unit (GWBU) located at depths ranging from 28 to 32 feet below ground surface (bgs); and WHEREAS, the City of Grapevine, by ordinance, has prohibited the use of designated groundwater beneath the Site for potable purposes as well as for irrigation; and WHEREAS, upon passage of a supporting resolution by the City Council, Applicant intends to file an application with the Texas Commission on Environmental Quality for certification of a Municipal Setting Designation for the Site pursuant to Texas Health and Safety Code, Chapter 361, Subchapter W; and WHEREAS, Applicant has continuing obligations to satisfy applicable statutory and regulatory provisions concerning groundwater contamination investigation and response actions at the Site; and WHEREAS, the certification of a Municipal Setting Designation for the Site is in the best interests of the community; and WHEREAS, all legal prerequisites for the adoption of this resolution have been met, including but not limited to the Local Government Code and the Open Meetings Act; and WHEREAS, the City Council hereby declares that the approval of this resolution is in the best interests of the health, safety, and welfare of the public. NOW, THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS: Section 1. That all matters stated in the preamble of this resolution are true and correct and are hereby incorporated into the body of this resolution as if copied in their entirety. Section 2. That the ,City of Grapevine supports Applicant's application to the Texas Commission on Environmental Quality for a Municipal Setting Designation of the Site. Section 3. That this resolution shall take effect from and after the date of its passage. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 4th day of February, 2020. APPROVED: William �DTatei Mayor ATTEST: � ORAPF`� Tara Brooks City Secretary '� `. •' Resolution Nb. 2020-003 2 1 1 APPROVED AS TO FORM: I a 2 City Attorney Resolution No. 2020-003 m OYtlK Wuv4 qw L wm v �uT 1MfRYr awiw[ Iv 611ielfeYs R'Y'I�fIf �4 I _�-noL �+oRw tl °`�` ••0�`�•• I�F'�`�•""�••`• .+ �: ®nRw. 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