Stories indexed with the term ‘cart’

At its July 5, 2011 meeting, the Ann Arbor city council voted against increasing the payment it makes to Recycle Ann Arbor (RAA) for curbside collection of the city’s single-stream recycling carts – from $3.25 to $3.55 per month per cart. The vote was made without any deliberations and resulted in 5 votes for it and 4 against. Voting against it were Stephen Kunselman (Ward 3), Carsten Hohnke (Ward 5), Mike Anglin (Ward 5) and Sabra Briere (Ward 1).

The city council had voted on March 15, 2010 to adopt the single-stream recycling program, which began exactly one year ago, on July 5, 2010.

At that time, the city approved a contract with RAA that called for a payment of $3.25 per month per cart that RAA empties, plus a per-ton payment of between $18.74 and $30.00. The amount of revenue RAA has received through these two kinds of revenue was less than projected last year. Specifically, the tonnage payments received by RAA for fiscal year 2011 (which ended June 30) for recyclable material were projected to be $406,332 but in fact only generated $187,560 for RAA – only 46% of what was expected. The shortfall was $218,772.

Also, the city expected to distribute 32,779 carts, but it turned out that only 29,734 carts were deployed, or 9.3% fewer than planned. The staff memo accompanying the resolution explained the reduced number this way: “… many of the smaller multi-family residential units that were previously using the 11-gallon recycling ‘totes’ are able to share recycle carts, resulting in a smaller number of deployed carts.” In terms of revenue, the reduced number of carts meant that RAA received only $1,159,626 compared to the projected $1,278,381 – for a shortfall of $118,755.

Summing the shortfalls in the two kinds of revenue ($118,755 + $218,772), RAA received $337,527 less than it expected for FY 2011. The increase in the monthly per-cart service fee requested (but rejected by the council) – for all five years of the five-year contract – would have worked out to nearly cover the annual shortfall that was due only to the decreased number of carts: $107,042 versus $118,755.

The overly-optimistic projections were made by the city’s recycling consultant Resource Recycling Systems and RecycleBank, a company that administers a coupon-based incentive program to encourage residents to recycle. When the council approved the single-stream recycling contract with RAA last year, it also struck a 10-year deal with RecycleBank, at roughly $200,000 per year, to administer their coupon-based incentive program to help boost recycling rates in conjunction with the single-stream rollout.

At the time, Stephen Kunselman (Ward 3) questioned the length of the RecycleBank contract, and established in the course of deliberations that the city’s opt-out clause would be less costly than the cost of the contract. He was concerned that the city had options in the event that RecycleBank’s incentives did not boost recycling tonnage to the levels that were forecast. ["Council Banks on Single-Stream Recycling"]

This brief was filed from the city council’s chambers on the second floor of city hall, located at 301 E. Huron. A more detailed report will follow: [link] [Full Story]

Ann Arbor City Council meeting (March 15, 2010) Part 2: Part 1 of the meeting report handles the range of various topics at the meeting that did not fall into the general category of recycling. Part 2 focuses specifically on the two recycling-related resolutions approved by the council.

The two separate resolutions correspond to the two facets of the new recycling system for Ann Arbor, which will be deployed in July 2010.

One resolution revised the contract with Recycle Ann Arbor (RAA) for curbside recycling pickup to reflect the single-stream character of the system. Residents will no longer place paper and containers in separate 11-gallon stackable totes to be hand-emptied by RAA drivers.  Instead, residents will put all their recyclable materials into a single rollable cart with a lid. Drivers will operate a robot arm from inside the truck to lift and tip the single cart’s recyclable contents into the truck.

The other resolution approved by the council authorized a contract with RecycleBank to implement an incentive program for residents, based on their participation in the recycling program and the average amount of materials recycled on their route.

Both the conversion to the new system and its associated incentive program came under criticism  during public commentary. During council deliberations it was the incentive program that was given the most scrutiny by councilmembers – with Stephen Kunselman (Ward 3) voting against it. The contract with RAA was given unanimous support from the nine councilmembers who were present.

The arrangements with RAA for collection and with RecycleBank for the incentive program are separate contracts with separate entities – the single-stream system could be implemented without the incentive system. But it became apparent during council deliberations that the idea that the city council might opt for a single-stream system without the incentive program was not something city staff had planned for: The single-stream carts are already molded with labels “Earn rewards for recycling.” [Clarification: The authorization for the in-molded cart labels had not been made before the council approved the incentive contract.] [Full Story]