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April 11, 1986 Ms. Jeanne Mabusth Zoning Administrator City of Orono Box 66 Crystal Bay, MN 55322 Dear Jeanne: I am writing this letter in response to your request for additional informa- tion regarding the construction of a geothermal heating and cooling system, the completion of construction of the seawall around the existing lagoon and the drainage relief system which was previously installed on the property. Regarding the geothermal proposal, I have included a brochure that explains the general principles of the system. Basically, a geothermal system pumps water from a well, circulates it through a heat exchanger and discharges the water into the lake. Our system is in the design stages and will not he completed for approximately 60 days. We are aware that a conditional use permit will be necessary for installation of underground pipes. At this poLit, it is premature to make an application to the City for work that may be necessitated within 75 feet of the lakeshore. Your second request was for more information regarding the seawall. You may recall that at an earlier Planning Commission meeting Mr. Ulrich and I presented pictures showing the existing lagoon and seawall. I believe we indicated that Mr. Ulrich had a desire to extend the existing seawall around the balance of t.ie lagoon. At present, because of other priorities, we have not obtained the necessary engineering drawings nor had the opportunity to obtain installation bids. Those two steps are necessary before we can finalize plans for thii particular project. Again, we understand that a conditional use permit from the City will be necessary. As you are aware, we will also .ie,' ippro,als from the Department of Natural Resources. Quite frankly, this has een a priority project because of the immediacy and Fignificance of the requests currently pending before the City. With regard to the drainie `ief system, you may recall that we had a meeting with various City Sty., including yourself, Bruce Schmitt and me. During that meeting the Citv Sta. iuthorited backfilling, removal of stock- piles from the right-of-way and th,- •ompletion of the drainage relief system. That system consists of a twn foot d. n sewer rock with filter fabric buried entirely below grade. The System was .3spected and approved by Tom Jacobs. The function of the system is to relie•e hydrostatic pressure by diverting water away from the foundation walls of the project. We would like the 'Tanning Commission members and City Council members to understand the full scope of this construction project. As a result, we have shared this additional information with you so that you may include it with your staff reports. However, we do feel it is premature for us to submit conditional use permits for the geothermal system +rd for the construction of