Milton Richmond Shelburne Tim Loucks So. Burlington Paul Stabler St. George Underhill -----
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1 #4 APPROVED CHITTENDEN SOLID WASTE DISTRICT WILLISTON TOWN HALL WILLISTON, VERMONT November 15, 2017 PRESENT BOARD MEMBERS: Bolton Duncan Galbraith Burlington Rob Green Charlotte Colchester Dirk Reith Essex Essex Junction Hinesburg Lynn Gardner Doug Taft, alt. Huntington Jericho Leslie Nulty Milton Richmond Shelburne Tim Loucks So. Burlington Paul Stabler St. George Underhill Westford Michelle DaVia Williston Craig Abrahms Kaylin McCamp, alt. Winooski Bryn Oakleaf STAFF: OTHERS PRESENT: Sarah Reeves Amy Jewell Katherine Decarreau Michele Morris Jonny Finity Josh Tyler Dan Goossen Jennifer Holliday Nancy Plunkett Brian Wright Thomas Melloni, Paul Frank + Collins Michael Casella, Casella Waste Systems AGENDA: 1. Call to Order & Agenda 2. Public Comment Period 3. Minutes 4. Finance 5. General Manager Update
2 CHITTENDEN SOLID WASTE DISTRICT 11/15/17 PAGE 2 6. MRF Commodities Update 7. Food Scrap Update 8. Other Business 9. Program Updates 10. Adjournment 1. CALL TO ORDER & AGENDA Chairman Paul Stabler called the meeting to order at 6 PM and introduced Kaylin McCamp, alternate representative from Williston. Agenda There were no changes to the agenda. 2. PUBLIC COMMENT PERIOD None. 3. APPROVAL OF MINUTES September 27, 2017 MOTION by Dirk Reith, SECOND by Lynn Gardner, to approve the 9/27/17 minutes as written. VOTING: unanimous; motion carried. 4. FINANCE a) Finance Committee Report of Warrants Finance Director, Katherine Decarreau, reported warrants as of 11/7/17 totaled $1,684,907. There were no questions or comments on the warrants or disbursements. b) Bank Balance as of 10/31/17 Bank balances not available due to the meeting schedule being advanced a week (i.e. all deposits are not yet received). There were no questions or comments on the bank balances. c) FY18 First Quarter Financials Staff is waiting for some information from the auditors in order to complete the FY17 yearend closeout. For the FY18 first quarter, unusual spending such as dues or magazine subscriptions stand out in the first quarter because there are so few of these items. There is a PFOA issue with the old landfill so planned expenses there will be exceeded. Also, an Act 250 permit will be done for the old sandpit. Overall, expenses are tracking as planned. Revenues are ahead in the solid waste management fee (ahead 5%) and the MRF (tip fees are strong, but materials sales show a decrease due to global markets). Special Waste revenues are down because there are no wood sales. The DOCs are doing well. Scrap metal is at 122%. Household Hazardous Waste is up slightly, but it is expected to go down the next quarter then tick up again in the spring. Biosolids revenue is down slightly. Compost sales are below 25%. Compost sales are heaviest in the spring. Sarah Reeves explained the Act 250 permit is to bring the former Hinesburg Sand & Gravel sandpit under the CSWD permit.
3 CHITTENDEN SOLID WASTE DISTRICT 11/15/17 PAGE 3 d) FY19 Preliminary Budget Finance Director Decarreau said an inflation rate of 1.23% was used with the preliminary budget. Compost in the current configuration cannot produce much more product so the numbers have been revised downward slightly. Outreach and Communications show a decrease because new staff is at a lower salary level than senior staff. Solid waste management fee will be the same as last year. It is anticipated $430,000 will be used in stabilization funds. There will be no assessment to member municipalities. The PUD is not yet included and transfers to reserve funds (excess revenues over expenses) are not done. Sarah Reeves confirmed some changes are necessary with compost and some of the change will be in the anticipated level of spending. MOTION by Dirk Reith, SECOND by Rob Green to approve the FY19 preliminary budget as presented. VOTING: unanimous; motion carried. e) Banking Resolution Finance Director Decarreau explained the credit card authorization needs to be updated to reflect the names of the current General Manager and Finance Director. The $30,000 cap on the card will not be exceeded and staff will be looking at how to manage the District s credit exposure. MOTION by Lynn Gardner, SECOND by Dirk Reith, to approve the Businesscard Resolution Form for CSWD with People s United Bank with change in the titles to Executive Director and CEO to reflect the CSWD organization chart to be in place as of January VOTING: unanimous; motion carried. 5. GENERAL MANAGER UPDATE Sarah Reeves reported CSWD was recognized at the Northeast Recycling Council 30 th Anniversary Celebration for sustainability and leadership in the public sector, specifically for work with ANR and local businesses on food recovery. The CSWD Board is thanked for the support and the staff is thanked for the amazing work that is done. Paul Stabler added the citizens need to be recognized as well for contributing to the success of the CSWD programs. Sarah Reeves reported the first draft of the business analysis of Green Mountain Compost by DSM have been received and is posted on the website. The Executive Board has reviewed the draft and is compiling comments to send to DSM. The final report will be presented to the Executive Board and then to the full board at the 12/20/17 meeting. Forward comments to Sarah Reeves. 6. MRF COMMODITIES UPDATE Josh Tyler reported on the impact of the Chinese National Sword Program on scrap recycling. China has put a.3 contamination limit on materials received which could impact the price paid for commodities. Materials from North America will need to be
4 CHITTENDEN SOLID WASTE DISTRICT 11/15/17 PAGE 4 cleaned up. Materials with the least amount of contamination sorted at the highest level will be kept in the market with a high market value. Material received by CSWD is fairly clean, but still needs to be sorted. CSWD has limited space to expand for new technology. Moving forward CSWD must clean materials as much as possible to stay competitive. Michelle DaVia suggested educating the citizenry further to provide even cleaner product since the MRF cannot be upgraded to do this. Lynn Gardner asked about the contamination rate for CSWD materials. Josh Tyler said overall the rate is 8%-10%. Bales are in the 5% range when shipped. Manufacturers are working on how to gauge contamination. Sarah Reeves said CSWD has not received negative feedback on the bales that are shipped. The MRF operator is on board to push for higher quality of materials. CSWD will also work with customers. Staff continues to research new technologies. Leslie Nulty asked about the ratio between sales domestically versus export markets, observing that 0.3% contamination is essentially a ban on imports. Josh Tyler said exports are typically 40% mixed paper and cardboard and the balance being containers and glass. Forty percent of the mixed paper material goes to China. Casella is looking into domestic markets. Staff will provide a breakdown of export weight and revenue for mixed paper. There was discussion of the MRF operation. Sarah Reeves said the MRF is through putting 47,000 tons per shift. There is not enough volume to run two shifts. The MRF produces about the same numbers as the Casella facility in Rutland. Tim Loucks spoke in support of looking at machinery and process technology. Rail transport should also be considered. There was brief discussion of keeping workers at the MRF (as the unemployment rate declines workers tend to leave for other jobs). Bryn Oakleaf mentioned incentives to recycle and possibly going back to dual stream. Sarah Reeves said elimination of single stream recycling is doubtful and technologies are advancing. 7. FOOD SCRAP UPDATE Jon Finity reported collection of food scraps began in 2001 (42 tons collected). In 2017 to date 791 tons have been collected. The food scrap fee was implemented in July The fee is $1.50 for up to five gallons of food scraps if not accompanied by a trash bag. Comments (mostly negative) on the fee have been received though the comments have dwindled according to the DOC operators. From July to September of this year 2,681 food scrap customers paid $4, in fees. Green Mountain Compost saw an uptick in food scraps from July 2016 to July 2017 because people were driving to the facility to drop off the scraps without a fee. Staff will continue to track the data.
5 CHITTENDEN SOLID WASTE DISTRICT 11/15/17 PAGE 5 There was discussion of the amount of food scraps (30 gallon container) that can be dropped off at GMC for free. Sarah Reeves noted the 30 gallon amount was in place already when food scrap collection at the DOC began. Dan Goossen added the 30 gallon amount was an attempt to be consistent. There are not many 30 gallon customers. Most people bring in under 10 gallons or 100 gallons or more. Kaylin McCamp asked why the fee is waived with trash. Sarah Reeves explained the recycling fee is embedded in the cost of trash disposal so the fee for food scraps is waived to avoid charging the customer twice. Tim Loucks asked if the food scrap fee is a success or failure. Michelle DaVia said the public needs to understand that recycling has a cost and compost is expensive to handle. Going forward staff needs to be looking for ways for the system to pay for itself. Tim Loucks asked about the percentage of people who bring items to the DOC without paying a fee. Brian Wright estimated less than a third of the DOC customers are in this category. Tim Loucks commented customers may find it more acceptable to pay a fee of $1 per customer per visit for all services offered by the District. Lynn Gardner said the state is still trying to figure out how collection of food scraps will work. Leslie Nulty added it is important to understand the state did not know how expensive food scraps would be to handle when food scrap recycling was mandated. CSWD recognizes the revenue structure may need to be reconsidered due to changing material markets and the cost of equipment. The cost environment today is different from 20 years ago. Sarah Reeves said Act 148 requires haulers to offer food scrap pickup. Implementation was delayed by the legislature. CSWD asked the opinion of haulers and they said it is hard to compete with the perception of free so CSWD decided to stay with the fee to show the public that there is a cost associated with taking food scraps. Bryn Oakleaf asked if there is any difference in quality in the material from the DOC that is taken to GMC. Dan Goossen said once the materials are mixed there is no impact because the amounts are so small. The collection site at the DOC and when the material is transported to GMC is when there is potential for odors. Sarah Reeves pointed out carts have been added at the DOCs and sawdust is there for people to spread over the material. Bryn Oakleaf asked if the extra trips argument (increase in the trips from the DOCs to GMC) has any policy implications. Nancy Plunkett said staff did consider this and found that typically the food scrap only people are already making a trip to the DOC though it is not known where they are traveling from. 8. OTHER BUSINESS None. 9. PROGRAM UPDATES The Board received written briefs on CSWD programs/projects. 10. ADJOURNMENT
6 CHITTENDEN SOLID WASTE DISTRICT 11/15/17 PAGE 6 MOTION by Dirk Reith, SECOND by Duncan Galbraith, to adjourn the meeting. VOTING: unanimous; motion carried. The meeting was adjourned at 7:02 PM. M.E.Riordan, Recording Secretary I agree that this is an original copy of minutes and they have been approved by motion of the Board of Commissioners at the 12/20/2017 meeting held in Williston. Alan Nye, Secretary/Treasurer
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