Loading...
HomeMy WebLinkAboutSWAB minutes 040804 � 8 Minutes - Regular Meetingi Solid Waste Advisory Board 19rF April 8 , 2004 � Approved May 13, 2004 Attendance : Bonnie Norwood, Randy Kabrick, Remus Smith, and Jan Sassaman Staff : Gayle Wilson, Blair Pollock, Wanda McCain, Rebecca Holdway and Rod Visser 1 . Adoption of Minutes from March 11 Kabrick makes minor grammatical changes . Moves to adopt as amended . Norwood 2nd Passes unanimously . [Note : changes are shown in March minutes] 2 . Waste Reduction, Reuse, Recycling Fee (Final) Recommendation Kabrick asks for clarification on the difference between the WRRR fee and the Basic [service] fee . Wilson replies that the WRRR fee is the description of the type of fee that it is and the nomenclature of the fee structure . The Basic [service] fee is a component of the fee structure . The new fee is not an availability fee, but a waste recovery fee . According to State statue it is a recycling fee . It is to be assessed on all residential and non-residential improved properties . It is a tiered fee system based on the location of the property all will receive at least Tier 1 [Basic] , which is proposed as $36 / year . Those that live in other service areas — urban, rural, or multi-family — would receive Tier 2 in addition to the $36 fee . We are proposing that it be mailed out with the property tax bills . It is intended to go to non-profits, tax- exempts as well as other properties . The only exception is UNC [because they do not receive our recycling services] . The proposal suggest that the fees could be kept at a constant rate for up to five years or until the ill continue to provide some subsidy for the landfill closes . The tipping fees w [WRRR] fees . The fees that are being proposed do not cover the full cost . A breakdown of the fees is as follows : Urban - $ 75 annual assessment, ($36 + $39) Rural with curbside collection service - $52 annual assessment, ($36 + $16 ) Multi-family - $50 annual assessment ($36 + $ 14) . The subsidy used from disposal has been proportioned among the fees [to each service sector] based on the proportion of [sectoral] fee to the total fee . There will be a meeting on Tuesday night where this will be introduced to the Commissioners . Hopefully they won ' t have a lot of changes and will be able to act on it in a timely manner . There is a lot of work going on to build a database for billing . When billing property taxes, the bill is formulated according to the property identification number (PIN) . Recycling services are provided by street addresses . The most labor-intensive part of the process is to put addresses with PINs . This information doesn' t exist in the unincorporated areas . 1 Minutes - Regular Meeting Solid Waste Advisory Board April 8 , 2004 Approved May 13, 2004 Sassaman asks if there is other information being looked for . Wilson states that we are working closely with the Tax Assessor ' s Office, Land Records, Tax Collections and with Information Technology departments and asked if there were any other information that could be gathered that wouldn' t be overly time consuming . Smith asks for clarification for how much an in-town Hillsborough resident would pay for the service-- $36 + $39 which would include curbside pickup, the use of the collection stations and continue to pay an amount for city taxes towards tipping fees . Wilson replies ' yes ' . This fee does not have any direct connection with garbage collection or disposal fees, by law . Kabrick asks what is the revenue requirement number listed in the Financial Summary Analysis under FY04-05 Basic . Wilson replies that it is the amount it takes to pay for the services and programs included under the Basic identifier . Kabrick asks if the Basic identifier is solid waste disposal and collection . Wilson replies that it is not disposal . The Basic fee covers the services at the drop - off sites, household hazardous waste (HHW) program, electronics recycling program, food waste program and various educational programs and activities . It also contains half of the administrative cost to run the department . Kabrick asks if there is a reason that it is not a break-even proposition . Wilson states that because of the materials that are collected as a result of those programs will not pay for the operating cost to collect and process them . Additionally, for programs like HHW there is no income . Kabrick asks if there is a reason the fee isn' t structured to cover the revenue requirements . Wilson states that in trying to make the fees as affordable and palatable as possible, he tried to maintain some reduced level of subsidy from tip fee revenue . [Wilson explains how the numbers were calculated and the amount that would be subsidized by the tipping fee] . 2 Minutes - Regular Meeting Solid Waste Advisory Board April 8 , 2004 Approved May 13, 2004 Kabrick asks if the reason that the full cost is not charged to the constituent is because it is not sellable . Wilson replies that it is difficult to sell and also difficult to convey to the Commissioners that we have a surplus of $2 million and want to asses a fee of $90 to a resident . Visser states that, as Gayle alluded to earlier, we try to use as much of the tipping fees as possible to off set the cost of recycling . Kabrick asks if the covenants of the enterprise fund set what the balance has to be . Wilson states that it is a decision of the Commissioners based upon the advice of the program mangers , manager' s office and finance director . The Environmental Finance Center has recommended that we maintain a minimum of 12 % preferably 16 % fund balance of total personnel and operations minus capital . In FY04- 05 the percentage is 31 in order to maintain the rates over a long period of time, more money has to be kept available . Sassaman states that it is important to stress that because at first glance it appears to be a lot all of a sudden . Kabrick asks if the financial analysis includes closure cost . Wilson replies no, it has been excluded in the calculations . It does include funds for equipment reserves . There are several special situations that we had to decide how to handle . For fraternities and sororities, we' ve calculated how many students should equal one unit, which would result in some of them getting multiple basic fees . Mobile home parks will be assessed according to the type of service received . Commercial properties, for the present time as an interim situation, will receive [ only] a basic fee . Kabrick asks if there are historical conversion factors that look at restaurants with " X" number of occupants that can be converted . Wilson states that Blair Pollock is looking into that, but we are unable to have that available by July 1 . It will probably be next spring before we can do any serious work on the commercial sector . Smith asks to be reminded of why this is has to be done this July . 3 Minutes - Regular Meeting Solid Waste Advisory Board April 8, 2004 Approved May 13, 2004 Wilson replies that the financial situation of the enterprise fund has been changing slowly over time . Revenues have been decreasing and cost of providing recycling service has been increasing . Smith asks if this is a plan that will not increase tipping fees . Wilson states that tipping fees have a practical maximum . We are trying to disconnect the reliance of the recycling programs on disposal . Kabrick states that if we wait much longer the fee will be much larger . Sassaman asks how will the not-for-profits be handled . Wilson states that they will receive a bill that will have a zero tax due but will include the fee . Sassaman asks how would a church downtown be handled . Wilson states that they would get the basic at this time . Another special situation is that a portion of Orange County falls within the city of Durham. If they receive services from Durham, they will be excluded from the fee . We are in a chicken and egg conundrum of whether to educate the public and advertise our recommendation . We don t want to get ahead of the Commissioners in case they want to make changes . We meet with the Commissioners on Tuesday and it will make the press the next day with the risk of communicating wrong information . Kabrick states that as a point of order if we [SWAB] move and adopt this fee structure and the Commissioners don' t like the numbers, it has to come back to us . Sassaman states that we could adopt it in concept. Kabrick states that it would be a bad idea not to adopt the figures . le Visser states that if you are going to take action it should be on these specific fees . This is the first time that the quasi-legislative function of SWAB as laid out in the interlocal agreement is being called upon. The attorney has written a letter that explains this and other fee segment of the interlocal agreement . Pollock states that adopting a specific fee gives a predictable fee for five years . 4 Minutes - Regular Meeting Solid Waste Advisory Board April 8 , 2004 Approved May 13, 2004 Visser states that we are not expecting any real problems . As far as we can tell this responds to the direction received from the November 20th work session . I expect there to be some of the same questions you all asked . It was clear that we would be going down the fee path rather than something else . Norwood states that it would be good to express to them that a $ 75 fee is only $1 . 44 a week or $6 a month which might be easier to grasp . Smith moves that we accept this under the premise that it is cast in stone for one year only, so that if it' s wrong it can be changed . Norwood 2nd Passes unanimously . 3 . Programs/Services Update Fiscal Year 200445 Budget Overview Wilson states that the budget has been submitted this week . [Passes out proposed fee schedule] We are recommending : Dry cell batteries are collected curbside, • Department take over the rural curbside program, Taking over UNC animal bedding program to be part of our food waste program, • Money has been included to relocate the Hillsborough site, • An additional $5 , 000 to design and permit the Southern Village recycling center, • The fee calculations assume some level of reimbursement of the Green Tract, • Assumed revenue from the fees, • Reestablishment of equipment reserve, and • Cost associated related to the fees such as a new position in the tax collection office and temporary employees . Norwood states that there is property for sale near the landfill that might be suitable . Wilson states that the landfill is always looking to expand it buffers, it depends on where it is . Norwood asks if cat litter consider as hazardous waste . Wilson states that it is more of a collection issue than disposal . Process to Develop WRRRF Database Pollock states that there are a lot of nuances and describes fieldwork and other work necessary to develop the database . 5 Minutes - Regular Meeting Solid Waste Advisory Board April 8, 2004 Approved May 13, 2004 3- year Solid Waste Management Plan Status Wilson states the Town of Chapel Hill will hear it on Wednesday . Hillsborough and Carrboro have approved it . Other Wilson states that [a methane] flare will be installed at the landfill to help correct the odor problem . Over the next 8 to 10 months there will be an organizational assessment taking place looking at the solid waste functions provided in the Public Works department and if there are any advantages of integrating that with the Solid Waste department . We have received the permit to construct the new C &D landfill, which is adjacent to the maintenance building . 4 . Other Business 200445 SWAB Priorities Sassaman states that considering the hour I suggest we table that until next meeting . You may want to look at the copy of the document that lists our priorities that was sent to the Commissioners . It was part of the January agenda . Sassaman states that the next meeting has been scheduled at the landfill crew building . Is there a preference on time ? Smith states that he would likeva tour . Sassaman states that for those that want to go on a tour to be at the landfill at 6pm. Norwood moves to adjourn . Kabrick 2nd Adjourn 8 : 50pm Next meeting : May 13, 2004 @ 6 : 30 pm 6