COUNTY OF SIMCOE ITEM FOR: CORPORATE SERVICES COMMITTEE SECTION: Solid Waste Management ITEM NO. CS 11-103 MEETING DATE: June 15, 2011 SUBJECT: Recyclables Transfer Facilities Funding Application RECOMMENDATION: THAT Item CS 11-103, outlining the need for recyclables transfer facilities and a funding application related to these facilities, be received for information. RELATIONSHIP TO THE WASTE MANAGEMENT STRATEGY: The Waste Management Strategy recommended that the County directly contract for recyclables processing and in Year 1 of the Strategy an assessment of transfer capabilities be undertaken. BACKGROUND: Currently, the County’s waste collection contractors are responsible for recyclables processing and marketing with the exception of the north Simcoe contract area. This existing situation does not provide efficiencies for transportation and processing. The County also does not benefit from revenues for recyclable commodities and this existing situation makes the addition of new materials to the recycling program more difficult as there are a number of Material Recycling Facilities (MRF) processing County materials. Staff has determined that increased efficiencies and increased revenues can be gained through development of three additional decentralized transfer facilities for recyclables materials and shipment to a Material Recycling Facility for processing under a separate contract which includes the County retaining revenues from the commodity sales. The current practice at the County’s North Simcoe Material Recycling Facility is that paper fibres undergo a rudimentary sort and are baled and shipped directly to market while the commingled containers are shipped to an outside Material Recycling Facility for processing. This practice has increased the efficiency of operations at the facility and results in revenues to help offset the cost of the blue box program. Once established, other transfer facilities would also ship commingled containers to an outside Material Recycling Facility for processing and could choose to send the paper fibres to an outside processor or to North Simcoe for baling and shipment direct to market. In either case, revenues from recyclable commodities would be gained as well as efficiencies of scale related to the processing contract and trucking efficiencies would be gained through development of County recyclables transfer facilities. While the Strategy recommended utilization of ‘Transtore’ units for the transfer of recyclables by the County, staff has determined through review of a study undertaken by the Continuous Improvement Fund (CIF) that the upper threshold for Transtore units effectiveness was approximately 5,000 tonnes per year. As the County currently diverts approximately 25,000 tonnes per year of blue box materials and would most effectively utilize four transfer locations it was determined that conventional clear-span buildings with loading platforms would be the optimal choice. June 15, 2011 Corporate Services Committee CS 11-103 Page 2 ______________________________________________________________________________ In assessment of potential locations for these transfer facilities the following locations have been initially identified: Nottawasaga Landfill Site 10 – transfer facility can be developed on the existing property, Certificate of Approval amendment required from the Ministry of the Environment. Oro Landfill Site 11 – transfer facility could be developed on County owned property, Certificate of Approval amendment required from the Ministry of the Environment. Potential to partner with either or both Barrie and Orillia. Site 24 – North Simcoe Material Recycling Facility – currently sort and bale paper fibres and ship commingled containers to an outside Material Recycling Facility for processing. This location lacks adequate space to significantly expand operations and does not have good access to major transportation routes. As such, the baling portion of the operation should be considered to be moved to the South Simcoe operation when developed to make more efficient use of resources. South Simcoe Community Environmental Centre (SSCEC) – this site is still to be identified. It would be developed to include either transfer capabilities for commingled containers and baling capabilities for paper fibres or; depending on provincial legislation with respect to Extended Producer Responsibility and Council direction, may at some time be developed as a full-fledged Material Recycling Facility potentially with partnerships with areas such as Barrie and Orillia. Siting, approvals and development for this facility could take considerable time. County staff has made an application to Continuous Improvement Fund for funding related to the development of these facilities. Continuous Improvement Fund was created to help Ontario municipalities undertake best practices initiatives to improve the effectiveness and efficiently of blue box recycling programs. Staff are currently working with Continuous Improvement Fund and the separated cities of Barrie and Orillia as best practices dictate that partnerships with our neighbouring municipalities will further serve to increase blue box efficiencies. Staff will provide further reports to Council as this project develops. FINANCIAL ANALYSIS: The cost of developing these facilities will be included for Council consideration in the 2012 capital budget. Continuous Improvement Fund funding could cover 50% of the cost of facilities development. SCHEDULES: There are no schedules attached to this Item. PREPARED BY: Willma Bureau, Contracts & Collections Supervisor APPROVALS: Rob McCullough, Director, Solid Waste Management Rick Newlove P. Eng, General Manager Engineering, Planning & Environment Lealand Sibbick, Deputy Treasurer Mark Aitken, Chief Administrative Officer Date: May 27, 2011 May 30, 2011 June 3, 2011 June 7, 2011