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Private Hauler Waste Disposal Fee Changes for Fiscal Year 2025City of Dubuque City Council Meeting Consent Items # 026. Copyrighted June 17, 2024 ITEM TITLE: Private Hauler Waste Disposal Fee Changes for Fiscal Year 2025 SUMMARY: City Manager recommending City Council adopt a resolution adjusting the private hauler disposal fees at the Water & Resource Recovery Center (W RRC) for high strength waste; fats, oils, & grease (FOG); septage; and inorganics in conjunction with the Fiscal Year 2025 budget. RESOLUTION Establishing the schedule of rates for the disposal of private hauled waste to the Water & Resource Recovery Center as provided for in 13-2B-8(F) of the City of Dubuque Code of Ordinances SUGGESTED Suggested Disposition: Receive and File; Adopt Resolution(s) DISPOSITION: ATTACHMENTS: Description Type MVM Memo City Manager Memo Staff Memo, Adjusting Private Hauler Disposal Rate Staff Memo Schedule at the W RRC Resolution Adjusting Hauled Waste Disposal Rate Resolutions Schedule at the W RRC THE CITY OF Dubuque DUB TEE1. All -America City Masterpiece on the Mississippi � pp zoo�•*o 13 zoi720zoi9 TO: The Honorable Mayor and City Council Members FROM: Michael C. Van Milligen, City Manager SUBJECT: Private Hauler Waste Disposal Fee Changes for Fiscal Year 2025 DATE: June 12, 2024 Water & Resource Recovery Center Director Deron Muehring is recommending City Council adopt a resolution adjusting the private hauler disposal fees at the Water & Resource Recovery Center (WRRC) for high strength waste; fats, oils, & grease (FOG); septage; and inorganics in conjunction with the Fiscal Year 2025 budget as follows: High Strength Waste $0.080 per gallon Fats, Oils, & Grease (FOG) $0.063 per gallon Septage (originating within city limits) $0.090 per gallon Septage (originating outside city limits) $0.120 per gallon Inorganic waste (e.g., car wash grit) $0.050 per pound The fee increases will help offset the cost of providing the requisite infrastructure to handle and treat the waste without causing compliance issues with Clean Water Act permit requirements. I concur with the recommendation and respectfully request Mayor and City Council approval. Mic ael C. Van Milligen MCVM:sv Attachment cc: Crenna Brumwell, City Attorney Cori Burbach, Assistant City Manager Deron Muehring, Water & Resource Recovery Center Director Jennifer Larson, Chief Financial Officer Dubuque THE CITY OF DUB TU.� All•Aaleriea City v. Masterpiece on the Mississippi zo°'�zoiz•zo 13 � pP 2017*2019 TO: Michael C. Van Milligen, City Manager FROM: Deron Muehring, Water & Resource Recovery Center Director SUBJECT: Private Hauler Waste Disposal Fee Changes for Fiscal Year 2025 DATE: June 10, 2024 INTRODUCTION: The purpose of this memo is to recommend adjusting the private hauler disposal fees at the Water & Resource Recovery Center (WRRC) for high strength waste; fats, oils, & grease (FOG); septage; and inorganics in conjunction with the Fiscal Year 2025 budget. The fee increases will help offset the cost of providing the requisite infrastructure to handle and treat the waste without causing compliance issues with Clean Water Act permit requirements. BACKGROUND: The WRRC provides wastewater treatment for residential, commercial, and industrial users in the city of Dubuque and surrounding areas. The WRRC employs screening, grit removal, primary treatment, biological secondary treatment, and ultraviolet (UV) disinfection before discharging treated water into the Mississippi River. It utilizes a temperature -phased anaerobic digestion (TPAD) process to convert wastewater sludge into biosolids for disposal. The TPAD setup includes two mesophilic digesters and two thermophilic digesters operating in series. Sludge from the blended sludge tank is fed into the thermophilic digesters before overflowing to the mesophilic digesters. Digested sludge is dewatered using centrifuges resulting in Class A and Class B biosolids that are hauled away to be stored and later land applied by a private contractor. The anaerobic digesters are fed waste from the blended sludge storage tank that contains a combination of sludge and scum from the primary clarifier, thickened waste activated sludge (TWAS) from the secondary clarifier, and waste hauled in from offsite. Of the hauled waste, approximately 83% is HSW, 13.0% is septage, and 4% is FOG. Even though the volume of hauled waste makes up approximately 20% of the waste by volume in the blended sludge tank, it has a much higher pollutant content than the other wastes — pollutants such as BOD, COD, TSS, sulfur, and nutrients (nitrogen and phosphorus). Higher pollutant loading demands more WRRC resources and has more potential to upset the biological balance within the anaerobic digesters. Service People Integrity Responsibility Innovation Teamwork In April of 2024, the City Council passed Resolution 99-24, adopting the Fiscal Year 2025 annual budget. DISCUSSION: The WRRC provides a service to area businesses and homeowners accepting hauled waste that can be categorized as domestic septage; high strength waste (waste with higher levels of pollutants than domestic waste); fats, oils, and grease (FOG); and inorganic waste. The schedule of fees for the disposal of the hauled waste at the WRRC should reflect the City's costs associated with accepting, handling, treating, and disposing of hauled waste. Hauled waste increases facility costs related to biosolid disposal, operations (labor), maintenance, chemical use, oxygen use, electricity, and equipment replacement. The hauled waste schedule of rates was last adjusted with the Fiscal Year 2017 budget. The adopted Fiscal Year 2025 budget included an improvement package request to increase the disposal fees associated with private hauled waste. The increased fees were based on an analysis of the costs incurred at the WRRC relating to accepting and dealing with the waste at the WRRC. The fee increases were outlined as follows: FY24 Cost/gal FY25 Cost/gal HSW $0.0401 $0.080 Fats, Oils, & Grease (FOG) $0.050 $0.063 Septage (within city limits) $0.070 $0.090 Septage (outside city limits) $0.100 $0.120 Currently varies between $0.03 and $0.045 While not presented as part of the FY25 Budget, the tipping fee associated with accepting and handling car wash grit trap waste and other non -organic waste for dewatering (or decanting) was also reviewed. This material is too wet to dispose of at the landfill. Haulers deposit the material at the WRRC where the liquid portion can decant and enter the treatment process and the inorganic solids (e.g., sand, grit, gravel, debris, and trash) can dry to the point that they can be hauled and disposed of at the landfill. The tipping fee should be in line with the City's cost to handle and treat the liquid portion and load and haul the inorganic grit and debris to the landfill for disposal. Because the City's cost is most closely tied to the tipping fees paid at the landfill, and because the landfill charges by weight, the recommendation is to change the tipping fee for inorganic waste based on weight as follows: FY24 FY25 Cost/gal Cost/Pound Inorganic waste (e.g. Car Wash Grit) $0.150 $0.0501 'Alternative tipping fee based on weight which aligns with the basis of fees charged the City for disposing of decanted waste material at the landfill. The FY25 Budget includes funding for the development of a facility plan for the WRRC. The development of the facility plan will consider how best to handle inorganic waste at the WRRC. That could be a decanting facility located at the landfill, which could be owned Service People Integrity Responsibility Innovation Teamwork and operated as part of the landfill or by the City on land leased landfill property. The goal is to have that portion of the facility plan complete to be able to consider improvements as part of the FY26-30 CIP Budget. RECOMMENDATION: I recommend adjusting the private hauled waste disposal rate schedule for disposal of high strength waste; fats, oils, & grease (FOG); septage (holding tanks); and inorganic material at the WRRC in conjunction with the Fiscal Year 2025 budget and as outlined below. High Strength Waste $0.080 per gallon Fats, Oils, & Grease (FOG) $0.063 per gallon Septage (originating within city limits) $0.090 per gallon Septage (originating outside city limits) $0.120 per gallon Inorganic waste (e.g., car wash grit) $0.050 per pound ACTION REQUESTED I respectfully request adoption of the attached resolution adjusting the private hauled waste disposal rate schedule for the disposal of high strength waste; fats, oils, & grease (FOG); septage (holding tanks); and inorganic material at the WRRC in conjunction with the Fiscal Year 2025 budget. Attach. Cc: Crenna Brumwell, City Attorney Jennifer Larson, Chief Financial Officer Service People Integrity Responsibility Innovation Teamwork Prepared by: Deron Muehring, City.of Dubuque WRRC 795 Julien Dubuque Drive Dubuque, IA 52003 563 589-4177 Return to: Adrienne N. Breitfolder, City Clerk, 50W 1311 Street, Dubuque, IA 52001 (563)589-4100 RESOLUTION NO. 193 - 24 ESTABLISHING THE SCHEDULE OF RATES FOR THE DISPOSAL OF PRIVATE HAULED WASTE TO THE WATER & RESOURCE RECOVERY CENTER AS PROVIDED FOR 1N 13-2B-8(F) OF THE CITY OF DUBUQUE CODE OF ORDINANCES WHEREAS, the Water & Resource Recovery Center (WRRC) provides wastewater treatment for residential, commercial, and industrial users in the city of Dubuque and surrounding areas; and WHEREAS, the WRRC receives wastewater through the sanitary sewer collection system and permitted waste hauled to the treatment facility; and WHEREAS, hauled waste can be categorized as domestic septage; high strength waste (waste with higher levels of pollutants than domestic waste); fats, oils, and grease (FOG); and inorganic waste. WHEREAS, provided for in 13-2B-8(f=) of the City Code of Ordinances, the rate to be charged for domestic sewage discharged at the wastewater plant by private haulers shall be established by resolution; NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF DUBUQUE, IOWA: Section 1. Establishes the rates for the disposal of private hauled waste at the WRRC pursuant to the schedule of rates as follows: Private Hauled Waste Disposal Rate Schedule High Strength Waste $0.080 per gallon Fats, Oils, & Grease (FOG) $0.063 per gallon Septage (originating within city limits) $0.090 per gallon Septage (originating outside city limits) $0.120 per gallon Inorganic waste (e.g., car wash grit) $0.050 per pound Section 2. The given rate schedule shall take effect on July 1, 2024. Passed, approved and adopted this 17th day of June, 2024. i Attest: ov'�"' &�" Adrienne Breitfelder, Clity Clerk