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1989-09-14 Special Meeting r 64.6 MINUTES OF SPECIAL MEETING, SEPTEMBER 14, 1989 ASSEMBLY The New Hanover County Board of Commissioners met in Special Session on Thursday, September 14, 1989, at 7:30 o'clock P.M. in the Assembly Room of the New Hanover County Courthouse located at 23 North Third Street, Wilmington, North Carolina. Members present were: Commissioners Jonathan Barfield, Sr.; W. Albert Corbett, Jr.; E. L. Mathews, Jr.; Vice-Chairman, Nolan I O'Neal; Chairman, Fred Retchin; Acting County Manager, Mary Gornto; County Attorney, Robert W. Pope; and Clerk to the Board, Lucie F. Harrell. Chairman Retchin called the Special Session to order stating the purpose of the meeting is discuss solid waste disposals and establishment of a recycling program in New Hanover County. DISCUSSION OF SENATE BILL 111 Director of Engineering & Facilities, Ed Hilton, stated Senate Bill 111, which will become effective October 1, 1989, will have a tremendous impact on counties in the handling of solid waste. He listed the following provisions of the bill: 1. Establishment of Solid Waste Management Program: Waste volume reduction at the source which involves recycling and refuse. 2. Composting: Incineration with energy production and incineration for volume reduction. 3. Disposal in Landfills 4. State Goal: Recycle at least 25% of the waste stream by January 1, 1993. I Mandated Requirements of Senate Bill 111: 1. Development and submission of a Comprehensive Solid Waste Plan by March 1, 1992. The County has been in the process of developing a plan for the past two years. 2. Local governments operating a solid waste facility are authorized to enact ordinances to prohibit waste coming in from outside of the county. 3. Effective government follows: July must 1, 1991, initiate each designated local a recycling program as a. Separation of construction and demolition debris from the solid waste stream with disposal at a separate location. b. Separation of recyclable materials from the waste stream. A determination of economic feasibility and market availability will be made by the State Department of Economic and Community Development. I c. Local recycling programs must attain the state- wide goal of 25% in the waste stream by January 1, 1993. d. No more than half of the 25% goal can be attained by separating yard trash, tires, white goods, and debris. e. The 25% goal can be modified by individual local government disposal units if there is an economic impact on waste energy facilities. New Hanover County will be eligible for this provision. ~ I I I c::Q, ':64.7 ., MINUTES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) f. Effective October 1, 1991, each designated local government must file an annual Solid Waste Management and Recycling Report to the State. g. After January 1, 1990, no beverage containers with detachable metal rings may be sold. h. After July 1, 1991, all plastic containers must be labeled to identify the type of resin from which the containers were produced. i. After January 1, 1991, all plastic bags must be made of recyclable materials. j. After October 1, 1991, no container or packaging material manufactured with chlorofluorocarbons can be sold. k. After October 1, 1991, all poloystyrene foam containers for food must be recycled. I. After January 1, 1993, plastic bags and poloystyrene foam containers are banned unless 25% of those products are being recycled. Schedule for Exclusion of Materials to be Placed in Landfills: a. After October 1, 1990, used oil cannot be placed in the Landfill. b. After January 1, 1991, white goods, lead and acid batteries cannot be placed in the Landfill. c. After January 1, 1993, yard trash cannot be placed in the Landfill. These wastes may be placed in separate compost facilities. Other Requirements: 1. All state agencies and local governments are required to use composting materials when attainable at or below the cost of other soil amendments. 2. The Department of Environmental Health and Natural Resources will be required to set up grants programs, not to exceed $25,000 each, to local governments for curbside pickup, collection centers, etc. 3. Operators of solid waste facilities must complete a training course administered by the Department of Environmental Health and Natural Resources. Director Hilton stated New Hanover County already has certified operators through the GRCDA program which the State endorses and should be acceptable when this requirement is instituted. 4. Under transportation storage treatment and disposal of different types of waste, the owner must establish a fee or surcharge sufficient to satisfy state and federal closure requirements. Escrow accounts must be established to receive the revenues and an annual audit is to be forwarded to the State. 5. Effective January 1, 1990, a 1% state sales and use fee is to be levied on all new tires purchased in North Carolina with proceeds distributed back to to counties on a per capita basis. 6. Effective July 1, 1990, permits will be required for scrap tire collection and disposal sites. 7. Effective January 1, 1990, the Commissioner of Health Services must adopt rules establishing standards for scrap tire ~ 6 4 ~NUTES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) disposal and permitting of the sites. Each county is responsible for disposal of scrap tires. 8. Effective March 1, 1990, landfilling of whole scrap tires is prohibi ted. Every county must provide a site for scrap tire disposal. The local disposal fees charged by counties or contractors will be limited as follows: a. In-county providers of waste tires: No fee unless cost for disposal of tires exceeds the 1% reimbursement from the State. b. Manufacturers and retailers of scrap tires for which no fee has been assessed can be charged a fee equal to the cost of the tire or any tire that is not covered under the 1% charge. Tires received from outside of the county are not limited to a particular fee. 9. Litter Law Amendments: a. Effective October 1, 1989, the following fines will be charged for littering: Minimum of $50 up to $200 for 15 lbs. of litter or less. With litter violations of 500 lbs. or more, the motor vehicles or equipment involved can be impounded by the State. b. The Department of Transportation must report by January 1, 1991, potential uses of recyclable materials involved with highway construction. The County will want to encourage evaluation of ash from the Steam Plant. Director Hilton stated the bill is aggressive and will have a tremendous impact upon counties financially, particularly since the General Assembly is not obligated to assist with funding if funds are not available. He stated a panel is being formed by the N. C. Solid Waste Branch of the Division of Health Services to visit counties and explain the logistics of Senate Bill 111. Director Hilton recommended scheduling a meeting with this group as soon as possible. Consensus: It was the consensus of the Board to authorize Director Hilton to schedule a meeting with the panel when they have developed their program to address the impact of Senate Bill 111 upon cities and counties. Commissioner Barfield expressed concern for the cost to the taxpayer in establishing a recycling program without available markets. He also expressed concern for the State mandating recycling and refuse collections programs with no funding assistance and requested that the Chairman write a letter to the N. C. Association of County Commissioners asking how local governments can address this problem. Consensus: It was the consensus of the Board for the Chairman to write a letter to the N. C. Association of County Commissioners as requested by Commissioner Barfield. PRESENTATION OF REFUSE COLLECTIONS AND RECYCLING FRANCHISES Director of Solid Waste Planning, Tim Cole, commented on the unincorporated areas of the County being serviced by five private haulers who are in free competition with one another. He stated the result of the present system is overlapping among the refuse collection routes; therefore, designation of exclusive areas for each private hauler through franchise agreements would reduce refuse collection fees and ease the impact of recycling costs. He presented the following franchise zone scenarios: ~ 3 o o o ~ MINUTES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) .,649 " I I I 1. Designation of one exclusive franchise zone for the unincorporated area of the County with the request for bids. 2. Designate two or three franchise areas for the unincorporated area of the County. 3. Designate franchise zones for existing haulers. Director Cole recommended designation of franchise zones for each of the existing haulers and requested the Commissioners to reconsider hiring a consultant to assist with developing routes and specifications for franchising refuse collections. Discussion was held on services that would be performed by a consultant. Director Cole stated the consultant would draw specifications for franchise zones by determining boundaries, the number of households to be in each zone, and maximize the efficiency of routing. He commented on the amount of time involved in collecting up-to-date data on the number of households in the unincorporated area stating without the 1990 Census, this will be a time consuming job. commissioner Corbett recommended utilizing the County Staff working with private haulers to determine boundaries stating he feels this can be accomplished without the services of a consultant. Commissioner Barfield expressed concern for franchising collections and taking away the right of persons to change haulers if they are not satisfied with the quality service. He recommended preparing contracts that will require quality service from the haulers under franchised zones. Director Hilton stated the operations contracts will specify the expected level of services from the haulers with the Solid Waste Planning Director becoming the clearing house for complaints. If the haulers do not perform, they will be in violation of the contract and lose their franchise. Commissioner Barfield expressed concern for creation of a bureaucracy within County government for management of the program. Director Hilton stated the level of involvement by the County will determine the amount of bureaucracy, for example, will the County or hauler collect the fees? If the County collects fees under the tax base, the Tax Department and Finance Department will have increased workloads. He commented on the complexi ty of these issues and recommended discussion of this item at a Special Work Session. Discussion was held on mandatory refuse collections being cost effective. Director Hilton stated establishing exclusive zones for haulers should produce enough revenue to pay for the recycling component without any increase in the collection fee. Commissioner Barfield stressed the importance of protecting the taxpayer when developing the program. Director Hilton stated once a decision is made on how to proceed with mandatory refuse collections and recycling, the public will be informed of the costs involved. Commissioner Corbett stressed the importance of cooperation from the public and recommended not making a statement until the County knows the costs involved. After further discussion, it was agreed that this item should be discussed at another meeting. Chairman Retchin stated the Work Session was called to receive input from the haulers and recyclers and asked if anyone present would like to speak. The following persons commented: Mr. Jim Perry, President of Waste Industries, stated he is opposed to any action that prohibits him from operating his business on the free enterprise system; however, he is not ~ E3~~ES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) opposed to recycling or programs that are environmentally sound. He presented the following comments: 1. In order to reduce the waste stream by 25%, everyone will have to adopt new methods of conservation; for example, the County, other governmental agencies and businesses should be printing on both sides of a sheet of paper. 2. Cost is based on productivity, including routing, work habits, route density, disposal cost, experience, and quality of service. 3. The application of a franchised refuse collections system will create a bureaucracy. o 4. Mandatory trash service will increase the density which will impact upon the cost. 5. Waste Industries would like to participate in the routing study of franchise zones and setting the fee for providing the service. Mr. Eddie Dick, representing Waste Industries, stressed the importance of receiving input from the haulers when developing the franchise areas and expressed concern for considering the franchising of commercial collections which, in his opinion, functions well as a free market system. Mr. Chris McKeithan, owner of Waste Management of Wilmington, expressed concern for any consideration being given to one exclusive franchise zone with bid invitations. He urged the Commissioners to designate areas for each of the existing private haulers with the County Staff and haulers working together for establishment of routes and the fee to be charged. Commissioner Mathews asked if anyone present would estimate the number of households that are not using a collections service. Mr. McKeithan estimated approximately 20%. o A lengthy discussion was held on the collections of fees and enforcement. Director Hilton stated enforcement is a difficult problem to resolve since the County has no alternative but to stop the trash service when bills are delinquent, which in his opinion, defeats the purpose of the program. Chairman Retchin recommended adding the fee to the tax bill. Tax Administrator, Roland Register, stated the fee would not be collectible under the same rules as property taxes and would depend on how it is charged. He stated if the fee is charged as a tax on the property, the Tax Department would be able to garnish wages, tax bank accounts, or foreclose; however, if the tax is charged to the person, there would be no mechanism for collections. After further discussion, it was agreed that the method of enforcement should be discussed at a later date. Chairman Retchin stated representatives of local recycling companies were invited to discuss the different approaches to processing and marketing recyclable products. He asked if anyone present would like to speak. The following persons commented: Mr. George Alper, owner of Southern Metals Recyclers, commented on the depressed newsprint recycling market stating the County must address the disposal problem when establishing a collections and recycling program. o Mr. Terry Horton, owner of Horton Iron & Metal Company, commented on scrap recycling industries throughout the country, stating there is a trade organization for recyclers who work with the legislature in trying to approach and address the disposal problem. Mr. Horton offered to actively participate with the County Staff when developing the county-wide recycling program. ~ o I I I MINUTES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) . 651 ., Mr. John Bryant, of Southern Metals Recycling, commented on the collection of recyclables in comparison to franchised trash collections stating franchised trash haulers are paid per household; whereas, franchised recycling haulers are paid for the value of items collected. He expressed concern for recycling hauling costs with no guarantee of return and asked how the County plans to address this issue. Director Hilton stated there are two issues relative to collections: (1) collection of household residential wastes; and (2) curbside recycling for collection of specified products such as household aluminum wastes, newsprint, glass, and some plastics. He stated the County will have to address the impact of a curbside collection recycling process if these markets become depressed and the products no longer go to the recyclers. Mr. William Seal, owner of Cape Fear Recyclers, who chiefly handles paper products, stated in order for a recycling program to succeed, separation at the source is essential. He asked who will separate the products, and what will be done with the products, particularly with the depressed paper markets? He offered to participate in development of a recycling program. A lengthy discussion was held on contracting with the franchised haulers to collect the recyclables. Solid Waste Director Cole stated the County is considering the possibility of contracting with the franchised haulers to collect the recyclables and transport these products to local recyclers. Consensus: After discussion of establishing a franchised refuse collections system, it was the consensus of the Board to request the Director of Engineer & Facilities, Ed Hilton; Director of Solid Waste Planning, Tim Cole; County Attorney, Robert W. Pope; and the private haulers to meet and prepare recommendations for implementing a county-wide collections program to be presented to the Commissioners within the next sixty (60) days. Chairman Retchin expressed appreciation to the haulers and recyclers for their input and assistance offered in developing a refuse collections and recycling program. ANNOUNCEMENT OF VISIT BY REPRESENTATIVE OF THE N. C. DEPARTMENT OF ENVIRONMENTAL HEALTH AND NATURAL RESOURCES TO DISCUSS SENATE BILL 111 Ms. Nancy Pritchett, Executive Director of Keep America Beautiful, announced the City/County Solid Waste Subcommittee will be sponsoring a visit from representatives of the N. C. Solid Waste Branch of the Division of Health Services, the agency who will be monitoring compliance of Senate Bill 111, on the evening of November 16, 1989, at 7:30 P.M. She requested the Commissioners to mark their calendars and plan to attend this meeting stating the location will be announced at a later date. ANNOUNCEMENT OF 8TH NATIONAL RECYCLING CONGRESS Chairman Retchin announced the 8th National Recycling Congress will be held in Charlotte, North Carolina, from October 31, 1989, through November 3, 1989, and requested the Commissioners to place this event on their calendars. MASONBORO SOUND AND MIDDLE SOUND DECLARED AS OUTSTANDING RESOURCE WATERS Chairman Retchin announced that Masonboro Sound and Middle Sound have been declared as outstanding Resource Waters. DISCUSSION OF NEWSPAPER RECYCLING PROGRAM FOR SCHOOLS Commissioner Corbett asked if the newspaper recycling program would be continued in schools this year? Acting County Manager Gornto stated the program has not been cancelled; however, the City has not been able to dispose of the newspapers collected last year. She stated further discussions are being held with the City in trying to resolve the marketing problem. ~ I I 6 ~ES OF SPECIAL MEETING, SEPTEMBER 14, 1989 (CONTINUED) Consensus: It was the consensus of the Board to encourage the County Staff to continue to work with the City in trying to find markets and see if the newspaper recycling program can be continued. ADJOURNMENT Commissioner Barfield MOVED, SECONDED by Commissioner Corbett to adjourn. Upon vote, the MOTION CARRIED UNANIMOUSLY. Chairman Retchin adjourned the meeting at 9:30 o'clock P.M. Respectfully submitted, ~V!~ Lucie F. Harrell Clerk to the Board ~ o n o