Food Scrap Recycling Pilot ProgramTHE CITY OF
DuB E MEMORANDUM
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April 11, 2007 ~ ~~ _~
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TO: The Honorable Mayor and City Council Members ~ o ~
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FROM: Michael C. Van Milligen, City Manager
SUBJECT: 2007 Food Scrap Recycling Pilot Program
The City began the second year of its two-year Food Scrap Recycling Pilot Program last
week. While the program has been relatively successful, it operated last year at only
50% of its Iowa Department of Natural Resources-permitted capacity. Public Works
Director Don Vogt is recommending a reduction in the program fee schedule as it is
believed that price is the primary obstacle to growth in the program's number of
subscribers.
Public Works Director Don Vogt recommends that the service fee for the 2007 Food
Scrap Recycling Pilot Program be reduced from $3.25 per month to $1.25 per month for
residential customers, with proportionate reductions to 48 gallon and 64 gallon larger-
volume commercial customers. The minimal budget impact in revenue is being
provided through a $600 grant from the Dubuque Metropolitan Area Solid Waste
Agency.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
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Michael C. Van illigen
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Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Don Vogt, Public Works Director
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THE CITY OF
DuB E MEMORANDUM
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April 10, 2007
TO: Michael C. Van Milligen, City Manager
FROM: Don Vogt, Public Works Director ~`-'
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SUBJECT: 2007 Food Scrap Recycling Pilot Program
INTRODUCTION
The purposes of this memorandum are to provide information and recommend a course
of action regarding the service fees to be charged for the City's 2007 Food Scrap
Recycling Pilot Program.
BACKGROUND
The City began the second year of its two-year pilot program last week. While the
program has been relatively successful, it operated last year at only 50% of its
Iowa Department of Natural Resources-permitted capacity. In the attached
memorandum, Solid Waste Management Supervisor Paul Schultz states that the
program's fee schedule has proven to be too high and is likely the primary obstacle to
growth in the program's number of subscribers.
DISCUSSION
I concur with Paul's argument for lower program fees. While the timing of this
recommendation may seem tardy, that it should have been submitted as part of the
FY08 budget submittal process, we felt that we could not make any recommendations
until after the conclusion of the first year of the program, thereby allowing time for a
proper analysis of costs/revenues and the completion of the post-program customer
survey. Also, any recommended/approved program changes would need to be
implemented prior to the start of FY08. While the second year of the program did begin
last week, billing for it will not begin until later this month.
ACTION STEP
I recommend that the service fee for the 2007 Food Scrap Recycling Pilot Program be
reduced from $3.25 to $1.25 per month for our residential customers, with proportionate
reductions to $5.00 (48 gallon) and $7.50 (64 gallon) per month for our larger-volume,
commercial customers.
Attachment
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THE CITY OP
DuB E MEMORANDUM
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April 9, 2007
T0: Donald J. Vogt, Public Works Director
FROM: Paul F. Schultz, Solid Waste Management Supervisor
SUBJECT: Proposed Change in Second Year Food Scrap Recycling Pilot Program
The purpose of this memorandum is to recommend a fee reduction in the Food
Scrap Recycling Pilot Project from a seasonal $26.00 to $1.25 per month.
On April 3, 2006, the City of Dubuque implemented atwo-year pilot project of
curbside collection of food scraps for composting. Over one hundred residential,
institutional and business customers voluntarily diverted their source-separated organics
(food scraps and compostable paper) for co-composting with yard debris. Households
set out their materials in 13 gallons recycling carts. Subscribed customers were
requested to set out weekly to reduce odors. Neither neighbor nuisance concerns nor
composting process problems were ever reported.
This co-composting initiative helped reduce the release of methane, a potent
greenhouse gas, supply more raw materials for our locally produced compost, and
helped the our customers reduce their landfilled materials. Approximately 33 tons (one
ton per week) of food scraps were collected between April and November. Subscribing
residential households set out an average of 13 pounds each week with a 75% weekly
setout rate. Eight commercial customers set out an average of 86 pounds per week
using either 48-gallon or 64-gallon tipper carts. Residential customers purchased
prorated $26.00 annual decals as used in the yard waste program. Commercial
customers paid higher fees for increased volume.
The goal of the two-year pilot is to achieve diversion of the maximum two tons per
week of food scrap compostables currently allowed by IDNR. It is recommended that we
add approximately 150 new subscribers in order to achieve this objective. Our end of
season survey of subscribers identified a perceived high subscription fee as the major
barrier to increased participation and therefore diversion. I therefore recommend that the
City reduce the fee for a GreenCart subscription from the current equivalent fee of $3.25
per month to $1.25 per month billed monthly. Monthly commercial rates are
recommended to be set at $5.00 fora 48-gallon cart and $7.50 fora 64-gallon cart.
This fee reduction will still allow us to cover our pilot program costs. Since the
same food scraps are now being co-collected by the yard waste crew rather than by the
refuse crew, there is little difference in collection cost. Tipping charges are virtually the
same and are unloaded at the same facility location. The only significant operational
cost is a small administrative and promotional charge and the prorated cost of the carts
amortized over 7 years. The carts were purchased with 50% of the cost paid from a
grant from the Dubuque Metropolitan Area Solid Waste Agency. Last week, DMASWA
approved an additional $600 grant to promote the pilot and expand the number of
subscribers in order to increase our composted tonnage.