AgdaPkt 2004-04-12 - Laserfiche WebLink

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1.A~2 This new program will target high and mid-sized volume generators of food wastes, such as grocery stores, cafeterias, and restaurants. The collected material will be transported to BFl's Newby Island facility in Mílpitas for composting. The finished compost product will be available on a limited basis free of charge to jurisdictions. Each jurisdiction can receive one bag of compost for every two tons of collected organic material. This valuable material can be used in city projects (e.g. parks) or made available to residents. Additional bags can be provided at a nominal cost. For successful business participation, the program includes the services of Applied Compost Consultants (ACC) to work closely with BFI recycling coordinators to support participating businesses with training, monitoring, follow-up, and troubleshooting. ACC worked with San Francisco's successful organics collection program and has staff fluent in different languages. The program will include the purchase of new, water-tight collection vehicles to handle this organic material. These vehicles can be used for general solid waste or recycling collection if necessary. The program will bring with it education and assistance to enhance the existing commercial recycling programs. SBWMA-wide, BFI estimates new recycled tonnage from the program to be 11,000 tons in the first full year this program is in operation, and increasing to 26,000 tons in the program's fifth year. As Redwood City businesses comprise approximately 18% of total businesses within the SBWMA, the program has potential to increase commercial diversion significantly. BFI's processing cost rates for the Commercial Organics Collection Program will be a tiered structure based on the contamination level of the material. These processing costs will range from $30.00 per ton to $40.00 per ton. Customers that have contaminated organic material (non-organic materials such as paper and plastics) will be identified and provided with technical assistance to eliminate the contamination. Customers that consistently have contaminated material will be discontinued from the program. The tiered pricing will remain in effect without an escalator through December 31, 2006. Currently, all but the cities of East Palo Alto and Redwood City among the 11 jurisdictions within SBWMA have adopted this program. At the SBWMA's recommendation, most jurisdictions are offering businesses a 25% discount off of the regular container rates to participate in this program. The rate discount incentive will be evaluated on an annual basis in conjunction with the annual review of solid waste collection rates which is anticipated to be forwarded to the City Council for approval in January. Fiscal Impact The Commercial Organics Collection Program will be funded through the solid waste collection rates. The cost of the Commercial Organics Collection Program is estimated to impact the 2004 collection rates by 1.5%, or approximately $113,000. The impact that the rate incentive will have on the rates will depend on how many businesses participate in this program. These budget impacts will be addressed as part of the upcoming BFI garbage rate review in the fall of 2004.