Title
Discussion on a cost sharing agreement with Kansas City to operate the North Recycling Center.
Body
Issue/Request:
Consider the cost of Lee's Summit's one time expense and annual operating cost as part of the sharing agreement with Kansas City to operate the North Recycling Center.
Key Issues:
The North and South Recycling Centers were closed in February of 2016 and city-provided recycling services ceased at that time. Under this agreement,
Lee's Summit would:
• Staff the Center and provide roll-off boxes
Kansas City would:
• Pull the containers at no charge and keep the recycling revenue
Background:
The closing of the recycling centers was tied to the contract with Heartland Environmental Services, LLC, to manage the operations of the Landfill and Resource Recovery Park. As part of their offer to operate solid waste services in Lee's Summit, Heartland chose not to include recycling as part of their offered services. When the recycling centers closed in 2016, residents had the option of using trash hauler provided services for a fee, or using local schools drop-off recycling services. Later in 2016, the school districts' hauler changed their recycling program, resulting in the district closing access to public drop-off. This left single family residential customers with the only recycling option being curbside recycling. Other members of the public, such as those living in apartment complexes, now have no recycling options.
Impact/Analysis:
Opening a drop-off center would provide an option for citizens and businesses to participate in recycling. Unfortunately, the City no longer has a revenue stream through the Solid Waste Enterprise Fund to support a recycling center, and another funding source would need to be identified.
Annual operating cost for the Center: $34,818
One-time cost to re-open the Center: $32,142
One-time revenue available: $13,885*
* Revenue available is anticipated from the Mid-America Regional Council Solid Waste Management District (MARC SWMD). Lee's Summit received a $50,000 grant to assist with the original opening of the North Recycling Center. The City closed the center before the 10-year security interest period ended, resulting in the City paying MARC SWMD the remaining security interest from the grant, or $13,885. The MARC SWMD is open to refunding the money to the City if the Center is re-opened.
Timeline:
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Other Information/Unique Characteristics:
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Presenter
Presenter: Chris Bussen, Solid Waste Superintendent
Committee Recommendation
Committee Recommendation:
A motion was made by Councilmember Seif, seconded by Vice Chair DeMoro, to direct the City Manager to prepare a draft agreement and bring back to the Committee for consideration. The motion carried by a unanimous 4-0 vote.
A motion was made by Mayor Pro Tem Binney, seconded by Councilmember Seif, to direct the City Manager to develop a funding plan that would support the negotiated contract on the operation of the North Recycling Center that would be sent to the Finance and Budget Committee. The motion carried by a unanimous 4-0 vote.