HomeMy WebLinkAboutAgenda - 06-30-1997 - 8q {
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ORANGE COUNTY
BOARD OF COMMISSIONERS
ACTION AGENDA ITEM ABSTRACT
Meeting Date: June 30, 1997
Action Agenda
Item No.
SUBJECT: Amendments to Orange Regional Landfill Tipping Fee Schedule
DEPARTMENT: Public Works PUBLIC HEARING: (Y/1S)
BUDGET AMENDMENT: (Y/1)
ATTACHMENT(S): INFORMATION CONTACT:
5/15/97 Memo from LOG Chair Wilbert McAdoo, ext 2625
5/30/97 Memo from LOG Chair
6/23/97 Memo from CH Town Manager
TELEPHONE NUMBERS:
Hillsborough 732-8181
Chapel Hill 968-4501
Durham 688-7331
Mebane 227-2031
PURPOSE: To consider changes to the landfill tipping fee schedule to take effect July 1, 1997.
BACKGROUND: At their June 5, 1997 work session, the Board discussed, but elected to
postpone action on, proposed amendments to the landfill tipping fee schedule for FY 1997-98. The
rationales for the Landfill Owners' Group's and Chapel Hill Town Manager's tipping fee
recommendations are laid out in May 15 and May 30 memos from the LOG Chair.
Since that time, the attorneys for the Towns and County have identified potential problems with the
proposed imposition of a surcharge on building permit fees to raise revenue to pay for construction
and demolition(C & D)waste reduction efforts. The Chapel Hill Town Manager has recommended
that the revenue needed to implement the C & D reduction efforts be derived from increasing the
C & D tipping fee from $33 per ton to $35 per ton,effective July 1, 1997. The rationale for this is
fizrther explained in a June 23 memo to the Chapel Hill Town Council from the Town Manager.
The other proposed fee increases for 1997-98 (to $35 per ton for mixed solid waste and $12 per ton
for yard waste and clean wood waste) are unchanged from what the Board of Commissioners
considered at their June 5 work session.
Under terms of the 1972 landfill agreement between Orange County and the Towns of Chapel Hill
and Carrboro, all fees must be approved by each of the three boards. If all three boards do not agree
on a change to a particular fee, that fee remains unchanged.
RECOMMENDATION(S): The Manager recommends that the Board approve tipping fees of
$35.00 per ton for mixed solid waste, $35.00 per ton for construction and demolition materials, and
$12.00 per ton for yard waste and clean wood waste,with all fee changes to take effect July 1, 1997.
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To: Carrboro Board of Alderman
Chapel Hill Town Council
Hillsborough Board of Commissioners
Orange County Board of Commissioners
From; Richard Franck, Chair
Landfill Owners Group
Subject : Fiscal 1997-98 Landfill Fund Budget Recommendation
Date: May 15, 1997
Landfill Owners Group met on May 8 and finalized the LOG budget
recommendations for the 1997-98 Fiscal Year. The Owners Group
considered several potential additions to the Chapel Hill Town
Managers , proposed budget that will result, if approved by all
three member governments, in a tipping fee increase in excess of
that proposed by the Town Manager. The three recommended additions
are:
1 . Construction & Demolition Manual Separation Program
This program would provide for a landfill salvage operation
that manages a limited number of items for reuse by non-profit
organizations such as Habitat for Humanity, etc . , and/or
discounted resale to the general public. This program
represents one full-time materials handler and is estimated to
cost $39 . 500 assuming an October 1, 1997 implementation.
\2 . Construction waste Reduction Program
The construction waste reduction program assumes that the
governments will adopt and enforce planning ordinances,
which would result in the increased diversion of recyclable
clean wood, metal and other reusable materials, estimated at
10-11% of total construction and demolition wood and metal now
discarded. Chapel Hill has already adopted such an ordinance,
however, we would anticipate suggesting some modification of
this existing ordinance. This program would enforce these
plan requirements in all jurisdictions if the governing bodies
adopt the necessary ordinances . This program represents one
full-time compliance officer and is estimated to cost $32 . 500
assuming a February 1, 1998 implementation.
The Owners Group has recommended funding of the these two programs
($72 , 000) by each governing body assessing a $0 . 07/$100 surcharge
to building permits for projects costing over $50, 000, in all four
jurisdictions . Such 'a surcharge would realize about $76, 000 in
revenue, based on county-wide building permit revenue equal to
.995-96 .
3 . Integrated Plan First Year Implementation
This item represents the key initial step in implementing the
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plan and represents the cost of hiring a consultant to develop
and issue a request for proposals, evaluate the proposals
received and develop a contract with a firm that will
ultimately be responsible for design, construction and
operation of the facility. The Owners Group is proposing that
the facility be privately designed, constructed,-.and operated.
(The actual design and construction will be funded. in Fiscal
1998-99 . 1 This item assumes that all governments adopt the
concept of a Material Recovery Facility (MRF) , as proposed by
the Owners Group as an element in the proposed Solid Waste
Management Plan. A MRF was a component of all waste
management options considered. The cost is estimated at
$95 . 000 .
Funding for this item is proposed to come from an increase to the
Chapel Hill Town Managers' proposed tipping fee of $1.00 for mixed
solid waste and $1.25 for Construction & Demolition. The impact on
local government general fund budgets is estimated to be:
Carrboro = $10, 600
Chapel Hill = $24, 000
Hillsborough = $ 4, 600
Orange County = $18, 500
Material Existing Fee Manager's Prop, Owners GrUm
Mixed Waste $33/ton $35/ton $36/ton
Const . & Demo $33/ton $33/ton $34 .25/ton
Yard/Clean Wood . $.10/ton $12/ton $12/ton . ,
Tires $100/ton $100/ton $100/ton
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memorandum
-To: Carrboro Board of Alderman
Chapel Hill- Town Council
Hillsborough Board of Commissioners
Orange County Board of Commissioners
From; Richard Franck, Chair
Landfill Owners Group
Subject: Update on 1997-98 Landfill Fund Budget Recommendation
Date: May 30, 1997
Landfill Owners Group; met on May 8 and finalized the LOG budget
recomamendations :lor the 1997-98 Fiscal Year. The Owners Group
considered several potential additions to the Chapel Hill Town
Managers' proposed budget that would result, if approved by all
three member governments, in a tipping fee increase in excess of
that proposed by the Chapel Hill Town Manager. These
recommendations were presented to all elected officials in a
memorandum from me, dated May 15. The three recommended additions
are:
1. Construction & Demolition Manual Separation Program $39, 500
2 . Construction Waste Reduction Program $32, 500
3 . Request for Proposals to design, build and operate. $95,000
a Materials Recovery Facility
Funding for #1 & #2 is .recommended to be provided by a surcharge on
building perm, its. . Funding gor i#3 is proposed to come from an
increase to the Chapel° Hill Town Managers, proposed tipping fee of
$1.00 for mused solid waste and $1.25 for Construction &
Demolition. The impact on local government general fund budgets is
estimated to be:
Carrboro $10, 600
Chapel Hill = $24, 000
Hillsborough = $ 41600
Orange County $18,500
At the Chapel Hill Budget Work Session of May 21, the Town Manager
proposed adoption of the Owners Group additions, however, instead
of raising the tipping fee as the Owners Group 'proposes, he
suggests using an existing landfill fund reserve account to fund
the $95, 000 add item: #3. The Reserve for Acquisitions and
Construction, has an estimated June 30, 1997 balance of $837,550.
This fund was expressly created for the purpose of funding future
land acquisitions and future constriction projects (other that
South Eubanks Construction) and can lbe properly utilized for an
activity directly related to the design and construction of such a
major solid waste facility. It appears that the Chapel Hill Town
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Council was favorably disposed to this recommendation.
The Owners Group was apprised of this recommendation at its May 28
meeting and took no formal action. Please keep this alternative in
mind as your respective boards proceed to discuss and approve the
Landfill Budget.
Ii3at
arial aria RXl stZng Fee Ma�mr'B Pray, CRUM Gram
Mixed Waste $33/ton $35/ton $36/tan
Const. & Demo $33/ton $33/ton $34.25/ton
Yard/Clean wood $10/ton $12/ton $12/ton
Tires $100/ton $100/ton $100/ton
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MEMORANDUM
TO: Mayor and Council
FROM: W.Calvin Horton,Town Manager
SUBJECT: Funding of Consftetion and Demolition waste Reduction programs with
An Increase in Construction and Demolition waste Landfill Tipping Fee
DATE: June 23, 1997
This memorandum proposes that the Council, with the concurrence of Orange County and the
Town of Cacrboro, increase the proposed tipping fee for construction and demolition wastes at
the Orange Regional Landfill from its current level of $33 per ton to S35 per ton.The additionai
revenues%vuld support programs to enforce regulation of the solid waste plan ordinance and to
salvage reusable and recyclable construction and demolition waste at the landfill.
The attached resolution would authorize the Manager to begin to implement these progruns.
BACKGROUND
On June 9, the Chapel MR Town Council adopted a goal of reducing the total amount of solid
waste landfillak
• by 45%per pawn in Orange County by 2001 (compared to 1991-92)and
• by 61%by 2006 compared to 1991-92,(see attachment 1).
The programs described in this memorandum for reducing construction and demolition waste
would assist in meeting those overall goals. As part of the overall waste reduction goals,
reduction of construction and demolition waste could be wlwvcd through a combo ttion of
regulating construction waste,salvaging usable materials fiom the landfill and using landfill fees
to create economic-ineentivesto separate mataEials.The Owners Group endorsed this approach at
their May 23 meeting (see attachment). They also endorsed funding these programs through a
construction and demolition waste reduction fee attached to the building permits issued
throughout the County.
The I ed programs would
• salvage reusable or recyclable materials from the construction and demolition materials
section of the landfill and
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enforce requirements for separation of recyclable construction materials on-site at most
Construction sites.
These programs are recommended by the Manager for implementation in 1997-98
(Mcmordndum to Council of May 16, 1997). It is the opinion of the Town Attorney that this
proposed method of funding this program is not lawful. We, therefore. have revised our
recommendation so that the source of finnding would be from an increase in landfill tipping fees
on construction and demolition wastes. This fee was recommended by the Landfill Owners
Group to remain at$33 per ton in 1997-98.
We project that the construction and demolition waste am of the landfill will be full in one-and-
one-half years. Using the fined, southern,portion of the Eubanks landfill for construction waste
as well as the mixed solid waste now buried there could reduce its capacity as much as two years.
11w landfill would then be foil by 2003 ratba that the currently projected 2005, creating an
impetus to provide immediate waste reduction in this sector.
-• DISCUSSION
We project overall first year combined program costs at$82,000. The proposed,construction and
demolition waste reduucdw prams could be fiu>ded from a combination of a S2.00 increase in
the tipping fee on the projected 32,000 tons of construction and demolition wastes, $8,000 from
undesignated reserves and a $10,000 grant from the North Carolina Office of Pollution
Prevention and Eavrromaent1 Assistance. The grant has been awarded specifically to buy
storage containers for safvageablex recovered at the landfill.
landfill SW_VPALe h2grAM
Using landfill tipping fees for the salvage program would enable implementation of that program
in October 1997. Coordinated implemation of the construction and demolition waste-related
solid waste plan ordinances in all Orange County jurisdictions would require significant
cooperation aanong the jurisdictions. We project that ordinances in all jurisdictions would not be
in place until early 1998 and that the reduction program would not take effect until February
1998. This timetable would enable several months for education of the construction community
about the requirements of the ordinance before field enforcemeat begins. We would propose that
enforcement begin-in July, 1998.
Solid Wad DMvelo M Drdinaum a 4 EA&St t_tMgM
In August 1996 we held discussions with the various planning and inspections department
personnel and conducted a work session with builders on solid waste planning and landfill
regulations. There was consensus that enforcement of solid waste regulations on construction
and demolition wastes would best be handled for all Jurisdictions, as recycling collections arc
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now,by the staff of the Solid Waste Management Deparunent of the Town of Chapel Hill(or the
successor agency upon re tgaumdon of the solid waste management function.)
The salvage program could operate somewhat independently of the solid waste plan ordinance
since salvage would take place at the landfill. The solid waste plans could be enforced only after
they were adopted by each government. The two programs would operate more effectively
together since the solid waste plans would probably require, at a minimum, separation of
recyclable construction wastes; the salvage operator-at the landfill would then inspect the
recyclable loads for compliance with the separation requirements when those loads were
delivered to the landfill.
Without implemamatian of some measures designed to reduce the eoasnuetion and demolition
waste stream, the govemm nts of Orange County may not otherwise meet their adopted solid
waste reduction goals.
We would take the following steps if funding were provided:
• Hire.stall purchase supplies and equipment. aml initiate the ladfiill salvage program
beginning in October 1997.The solid waste plan compliance inspection program could begin
in February 1998.
a Work with other Town staff to develop changes to the existing development ordinance that
would reread solid waste planning requirem=ts to all conswiction projects with a value of
over S50,W0.The current ordinance covets only those project requiring a special use permit
or a zoning compliance permit. These conditions exclude individual residential units,
demolition project and renovations within the existing perimeter of sa building, all of which
generate significant anan wets of waste and represeat over 8V/.of permit value in Chapel MR.
Recommend than the Manager and staff work with the staff of other local governments as
requested to prepare similar ordinances requiring solid waste plan development.
The proposed tip fee u=tmse for consuucb n and demolition waste reduction is calculated to
cover the full costs of the two progtamL in the second year,no new vehicles or other equipment
would be required,but a hall year of salaries for both positions would keep the cost level similar
to the first year.
RECOMAW"ATiONS
We recommend that
1. Council adopt the S35 per ton tipping fete for construction and demolition waste as part of the
1997-98 fee schedule. This fee is included.in the recomin- ded fee policies in agenda item
#8e, and the revenue is included in the recommended budget. Commence by the County
and Carrboro is nexssary for any landfill tipping fees to become effective.
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2. The Council adopt the following resolution that would authorize the Manager to develop
changes to the existing development ordinance that would extend the solid waste plan
requirement to all eonsauetion projects valued at over 550,000, and authorize the Manager
and staff to work with other jurisdictions in Orange County to develop solid wash plan
ordinances that are similar to that adopted by the Town of Chapel Hill to enable ease of
enforcement and consistency for builders and regulators.
A RESOLUTION AUTHORIMNG THE MANAGER TO START THE PROCESS TO
AMEND CHAPEL Hu.L•S SOLID WASTE PLAN REQUIRES AND TO WORK
WITH OTHER JURISDICTIONS TO ESTABLISH SIN GLAR REGULATIONS
(97-&23/R-16)
WHEREAS,the construction and demolition disposal area of the Orange Regional Landfill will
be full within one and one-half years,and
WHEREAS, the Council of the Town of Chapel M11 has adopted ambitious waste reductions
gam,
1. NOW BE IT HEREBY RESOLVED by the Council of the Town of Chapel Hill that the
Manager is authorized to develop changes to the existing development ordinance that would
extend the solid waste plan requirement to all construction projects valued at over$50,000,
and to work with other jurisdictions in Orange County to develop solid waste plan ordinances
that are similar to-that adopted by the Town of Chapel Hill to enable can of enforcement and
consistency for builders and regulators.
This is the 23"day of June, 1997.
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