07-153Council File # 07-153
Green Sheet # 3037015
PAUL, MINNESOTA
Substitute — 2/21{07
RESOLUTION
Cr�
Presented by
1 WHEREAS, Rock-Tenn Company owns and operates a paper recycling mill on a 40-acre site in the
2 Midway area which handles about 1,000 tons per day of paper recovered for recycling; and
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WI�EREAS, Rock Tenn Company is Minnesota's leading paper recycler, accounting for 50 percent of the
paper recycled in Minnesota and 1% of the paper recycled in the United States, thereby making the cost of
paper recycling lower for our state's communities and businesses;
WI�REAS, Rock Tenn Company's St. Paui plant pays livable wages to all employees and in fact,
employs about 500 people at union wages, and annualiy spends about $78 million for goods and services in
the metropolitan area; and
WHEREAS, the State o£Minnesota has approved a Metropolitan Emissions Reduction Project (MERP)
put forward by Xcel Energy, which will reduce air emissions in several ways, including replacing the coal-
fired High Bridge Power Plant in Saint Paul with a natural gas fired plant; and
WHEREAS, Rock-Tenn is a large energy consumer, and currently uses steam generated by the coal-fired
High Bridge power plant, but will lose that energy source when the coal-fired plant is shut down in 2007 to
comply with the MERP ]egi slation; and
WHEREAS, Rock-Tenn Company, Market Street Energy (an affiliate of District Bnergy St. Paul) and the
Saint Paul Port Authority are working together on the development of a new energy facility that uses
renewable energy to meet Rock-Tenn's energy needs; and
WHEREAS, the new energy facility is expected to be designed such that it could bum several types of
renewable fuels and make the Midway a model for sustainable urban growth with renewable energy; and
WHEREAS, the new replacement energy source has the potential of providing district energy to the new
Central Cocridor Light Rail Transit and the West Midway neighborhood; now therefore be it
RESOLVED, that the City Council of the City of Saint Paul hereby indicates its support for legislation
sought by Rock-Tenn Company, Market Street Energy and the Saint Paul Port Authority to establish a
Metropolitan Emissions Reduction Project Renewable Energy Transition Charge to provide funds to Rock-
Tenn for its use in developing a new renewable energy facility to serve Rock-Tenn.
Adoptioo Cartified by Coun il Secretary
BY ,/� c,(�S/Ji�
Approved by Date �
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Requested by Depamnent of:
Sy:
Fortn Approved by Ciry Attorney
By:
Form Approved by Mayor for Submission to Council
By:
Adopted by Council: Date ��a/�Q7
� Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet Green Sheet �
�7'/�
CQ - ComN
Contact Person 8 Pho�:
Jay Benanav
Doc. Type: RESOLUTION
E•DOCUment Requiretl: Y
DocumentConWCt: Caroi
ConWCf Phone: 68643
14FE&07
y
Assign
Number
For
Routing
OMer
Total # of Signature Pages _(Clip PJI Lowtions for Signature)
Green Sheet NO: 3037015
0 aoocl
1 ouncil De arbnent D'vectar
2 "lv Clerk Ci Clerk
Supporting tegslation sought to recover MERP telated costs and apply those recovered costs [o a new energy supply for Rock Tenn.
qi
Mswer
Planning Commission 1. Has this person7firm ever worked under a contractfor this department?
CIB Cammittee Yes NO
Civil Service Commission 2. Has this personlfirtn ever been a ciry employee?
Yes No
3. Dnes this perso�rzn possess a skill not nortnally possessed by any
current ciry employee?
Yes No
Expiain all yes answers on separete sheet and aHach to green sheet
Initiating Problem, Issues, Opportunity (Who, What, When, Where, Why):
AdvanWges If Approved:
Disadvantages If Approved:
Disadvantages If NotApproved:
Tfansaction:
Funtling Source:
Financial Information:
(Explain)
Activity Number,
CosURevenue Budgeted:
February 14, 2007 3:49 PM Page 1
Council File # � 7 .3
GreenSheet# �p3�0��
OF
RESOLUTION
PAUL, MINNESOTA
by
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WI-IEREAS, Ro -Tenn Company owns and operates a paper recycling mill on a 40-acre site in the Midway area
which handles abo ,000 tons of paper per day recovered for recyciing; and
WHEREAS, Rock-Tenn mpany is Minnesota's leading paper recycler, accounting for 50 percent of the paper
recycled in Minnesota and o percent of the paper recycled in the United States, thereby making the cost of paper
recycling lower for our state's mmunities and businesses; and
WHEREAS, Rock-Tenn Company' amt Paul plant pays livable wages to ali employees and in fact, employs about
500 people at union wages, and annua spends about $78 million for goods and services in the metropolitan area;
and
WfIEREAS, the State of Minnesota has appro d a Metropolitan Emissions Reduction Plan (MERP) put forward by
Xcel Energy, which would reduce air emissions several ways, including convefting the High Bridge Power Plant
in Saint Paul from coal to natural gas fuel; and
VJT�REAS, Rock-Tenn is a large energy consumer, an rrently consumes steam produced by the High Bridge
electrical' generation plant, but as a victim of unintended co equences wil] lose that energy source when the High
Bridge plant converts its fuel source in the summer of 2007; an
WFIEREAS, since the 1980s, Rock-Tenn has invested about $60 mi 'on in the pipe and related infrastructure and
maintenan�e; and
VJI�,REAS, Rock-Tenn Company, Market Street Energy (an affiliate of D� rict Energy St. Paul) and the Saint Paul
Port Authority are working together on the development of a new energy cent using renewable energy and have
identified costs associated with the MERP that Rock-Tenn will bear in replacin at energy source; and
WFiEREAS, the new replacement energy source would have a flexible burner so it c Id burn several types of
renewable fuels and possibly be owned by the Saint Paul Port Authority and operated Market Energy; and
WHEREAS, fl�e new replacement energy source has the potential of providing district ener to power the new
Central Corridor Light Rail Transit and the West Midway neighborhood; now therefore be it
D 7�is�
33 RES VED, that the City Council of Saint Pau] hereby indicates its support for legislafion sought by Rock-Tenn
34 Compan Market Street Energy and the Saint Paul Port Authority to recover MERP-related costs and apply those
35 recovered c ts to a new energy supply for Rock-Tenn Comppny.
Requested by Department of:
Adoption Certified by Council Secretary
By:
Approved by Mayor: Date -
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Form Approved by City Attomey
By:
Form Approved by Mayor for Submission to Council
s
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Adopted by Council: Date