Officia'i Minutes of MARION COUNTY BOARD OF COUNTY COMMISSIONERS. August

Transcription

1 Officia'i Minutes of MARION COUNTY BOARD OF COUNTY COMMISSIONERS August The Marion County Board of County Commissioners met in a workshop session in Commission Chambers at 9:03 a.m. on Wednesday, August 14, 2013 at the Marion County Governmental Complex located in Ocala, Florida. Upon roll call the following members were present: Vice-Chairman Carl Zalak, District 4; Commissioner David Moore. District 1; Commissioner Stan McClain, District 3; and Commissioner Earl Arnett, District 5. Chairman Kathy Bryant. District 2. arrived after the meeting commenced. Also present was County Administrator Lee A. Niblock. The meeting opened with the Pledge of Allegiance to the Flag of our Country. Garbage/Landfills/Solid Waste - Chairman Zalak stated the workshop was scheduled to discuss Solid Waste issues. Solid Waste Director Mike Sims presented a one page Agenda. a 13 page PowerPoint document entitled. "Board of County Commissioners Solid Waste Workshop" and a 4 page PowerPoint printout. Mr. Sims addressed page 2 of the 13 page PowerPoint presentation regarding the landfill analysis. which was recently completed. The County currently had about 8 years of landfill life remaining, based on 130 tons of waste coming to the facility annually. All existing capacity at the Baseline Landfill would be filled by September Commissioner McClain questioned if the side slope modifications were complete or as needed. Mr. Sims stated the side slope was complete up to the first terrace level and would continue to build out on top of that side slope as they started to move up; however. all additional air space captured was built into the capacity analysis. If the County decided not to continue to modify the side slope there would be a reduction in capacity and costs, but not moving forward with a 3: 1 side slope on top of where the County was currently (from 1 st terrace on up) would present an obstacle. which could be minimized, with a dramatic effect on capacity. The Baseline Landfill was permitted to do the 3: 1 side slopes, which brought out that eastern side slope and maximized the capacity footprint. The west and south side of the landfill was already at 3: 1 side slopes. Page 3 addressed the Baseline Solid Waste Disposal Guidelines. Mr. Sims advised that Board guidance from a workshop that was held in August of 2012 was to close the operations in October of 2015, based on the capacity analysis at that time 5 years of reserved air space was allowed for future "what ifs". Staff was looking at closing the side slopes and putting an intermediate closure on top of the landfill, which was basically an 18 inch cover of soil that would allow the County to reopen if necessary due to an emergency or catastrophic event, but would require maintaining an active permit. The County would also be required to spend additional funding to keep equipment operational to perform in that intermediate state as well as maintaining erosion control, drainage, etc. The County would still have obligations after closing a landfill in regard to maintaining landfill gas and leachate management. In May of 2013 the Heart of Florida Landfill (ACMS) became operational, at which time the County was going to start direct hauling from some of the recycling centers to that landfill. The Book S, Page 391

2 August 14,2013 County projected hauling 30,000 tons per year to the Heart of Florida Landfill, but agreed to hold off on that as requested by its management. The Heart of Florida Landfill was hoping,to generate a cash flow and then the County would be ab1e to begin hauling. He stated Charlie Dean (President, ACMS, Inc.) advised that the County could haul anytime as it owned the airspace and'asked that he be given a little advance notice before hauling operations occurred. Mr. Sims advised that he was currently on hold and requested guidance. The County was going to go through the bid process when the Baseline Transfer Station was open, not only for the operation, but also for the actual transporting of waste to the Heart of Florida Landfill. The starting of the Baseline Transfer Station would have to occur at the same time of the closure or intermediate closure of the Baseline Landfill. He requested guidance as to when the Baseline Landfill would go into intermediate closure or if the landfill would be closed. Once that was established other issues with regard to the bidding processes would all fit into the timeline. In response to Chairman Zalak, Commissioner McClain advised that he was in favor of closing the Baseline Landfill. Chairman Zalak concurred; noting $42 per ton at 1.7 million tons was $71.4 million worth of revenue, which cost the County approximately $20 to bury garbage. Mr. Sims stated the cost was approximately $21 to $23 per ton. Chairman Zalak noted that was approximately $34,000,000 worth of revenue to the citizens of Marion County who paid for that airspace. He commented on letters received from vendors who would lose a significant amount by leaving 5 years of airspace. Chairman Zalak stated, operationally, it was not good to keep equipment sitting around forever and keeping the landfill from an actual closure standpoint. He advised that he too would like to see the Baseline Landfill filled all the way to capacity. Commissioner McClain questioned whether the County was spending money on side slope modifications that was not needed to gain 2 or 3 years of airspace. Chairman Zalak noted it did not change the cost. Mr. Sims stated he would have to go back to their engineers, but opined that the County would not have 2 years of airspace from that first terrace. The bulk of airspace had already been captured. In response to Mr. Sims, Chairman Zalak advised that his preference was to fill the Baseline Landfill first before hauling to Heart of Florida Landfill. He noted it was a $50,000 to $60,000 expenditure to haul waste to the Heart of Florida Landfill. Chairman Zalak directed that direct haul be taken off the table unless the vendor (Heart of Florida Landfill) came back to the County requesting a change. Mr. Sims stated he understood the direction, noting a copy of the letter from G2Energy was included in the handouts (pages 4 through 6 of the PowerPoint). The County currently received about $230,000 in revenue from the landfill gas utilization (landfill gas to energy plant at the Baseline Landfill); with the completion of the side slope, replacement of some wells, and diverting the remainder of the gas coming from the urban cell, G2Energy was up to 4 megawatts (MW), where it was hoped that the revenue would be about $280,000 per year. Chairman Zalak commented on the Baseline Landfill equipment and compactor, noting there was 1 good dozer at the facility and opined that those could be made to go the distance. He advised that he did not want to buy any new items. Chairman Zalak stated from the Board's guidance Mr. Sims could put together a plan from a capital perspective, noting a leachate plan would also be needed. Mr. Sims concurred. General discussion ensued. Page 392, Book S

3 August 14, 2013 Pages 7 and 8 addressed the Recycling Center Service Hours. Chairman Zalak requested Mr. Sims skip this section as this was an item Commissioner Bryant wanted to address. Page 9 addressed the Solid Waste Single Stream Recycling Center Improvements. The County implemented the single stream recycling and eliminated all of the sorting boxes that were previously used. A compactor box was now used at recycling centers, which worked out very well. The Contractor was very responsive in getting boxes swapped out in a timely manner. Staff initially came to the Board to ask for these improvements, at which time they were directed to make do with what they had, operate the system for at least 6 months, analyze what was occurring then come back with recommendations. Staff was now coming back with recommendations regarding enhancing existing operations of the 3 busiest recycling centers (Baseline, Dunnellon and Martel), each of which exceeded 1,000 customers per operating day. Dunnellon and Martel operated 5 days per week and Baseline operated 7 days per week. The facility at Baseline averaged about 1,100 customers per day. Staff was requesting separating the recycling compactor away from the garbage compactors. Page 10 contained an aerial photo of the Baseline Recycling Center and depicted the location for the proposed recycling collection box. Two collection boxesl new compactor units were proposed primarily due to the volume of material that came through, as well as the number of customers per day being served, which would enhance the service capabilities and decrease wait time. The Contractor supplied the collection boxes for the compactor units, which would require electrical service to that facility. In response to Chairman Zalak, Mr. Sims advised that one collection box would be installed at other sites, but projected that within the next few years he would be back asking for a second compactor unit at both Martel and Dunnellon. He noted that when electrical service was installed it would have enough capacity to handle a second compactor in the future. Chairman Zalak advised that the hauler would like to see 2 compactors at each of the 3 recycling centers, which would eliminate the Sunday hauls. Mr. Sims stated when the conversion was operational; the County should be very close to having a materials recovery facility, materials reclamation facility, materials recycling facility or Multi re-use facility (MRF - pronounced "murf') operation in Marion County. He stated he was hopeful that Waste Pro would step up, noting they had submitted their plans for permitting in the City of Ocala and movement was seen in that direction. Chairman Zalak suggested the Baseline conversion occur and then direct staff to present a report within the next few months. Commissioner McClain concurred. Chairman Zalak directed staff to bring back a report in three months addressing the Baseline operation and whether the other sites needed to be considered. Mr. Sims stated he needed to move forward with Martel and Dunnellon to at least separate the collection boxes. Chairman Zalak advised that the direction was to move forward, but to prepare a report as to whether 2 boxes were needed at the other 2 sites (Martel and Dunnellon). Mr. Sims stated an analysis would be prepared and presented to the Board, noting he would move forward with moving or installing one new compactor at Martel and Dunnellon and making sure the electrical was su"fficient should a second compactor be added. In response to Commissioner McClain, Mr. Sims stated the electrical costs included capacity for 2 compactors at each site, noting the additional cost would be Book S, Page 393

4 August 14,2013 approximately $9,500 per compactor. Commissioner McClain advised that he had no problem with staff moving forward with all 3 locations at one time. Chairman Zalak concurred and directed staff to go ahead and install 2 compactors at each of the 3 sites. It was the general consensus of the Board to concur. Mr. Sims stated he would complete this project and then conduct a survey with customers to provide information on how things were working and responses received. Chairman Zalak inquired if this would be presented on the next Agenda. Mr. Sims stated the funds were already in their budget, noting it was budgeted when the County began single stream recycling. He advised that funds were available to include the 2 additional compactor units at Dunnellon and Martel. Mr. Sims stated approximately $240,000 was initially buqgeted for single, stream recycling and indentified in capital improvements as part of that project. Chairman Zalak questioned the costs for recyclables with all the different containers at each site, including hauling. Mr. Sims stated the cost was $109 per pull, from the contractor. The County received a return on recyclables, which was split with the contractor (55% - County and 45% - contractor). Savings to the County for Waste Pro to perform this service was $13,300; and the County had projected its cost to perform this operation would be about $41,000. The conversion to single stream was saving money on the operational expense side of the budget. General discussion ensued. Page 11 addressed Solid Waste Recycling Center Out-of-County Waste Acceptance. Multiple recycling centers were located reasonably close to County boundaries, which attracted residents outside Marion County who would like to use the facilities. Currently, that would trigger a ticket for any resident caught, as Code Enforcement Officers performed spot checks. The Solid Waste Department had been asked to establish a price for the use of the facility. Mr. Sims noted the price should be in a manner that was fair to local solid waste assessment paying customers who paid for these facilities. Staff recommended implementing a program that would cost out-of County residents $100 annually for a pass similar to what was currently being used by Parks. In the last 6 months 82 citations were issued by Code Enforcement Officers for out-of-county residents at recycling centers (Dunnellon, Orange Lake, Blitchton and Weirsdale). The first citation was $68 and the second citation was $118 so there was a reason for out-of-county residents to participate. Commissioner Bryant arrived at 9:30 a.m. Chairman Zalak passed the gavel to Commissioner Bryant who assumed the Chair. Mr. Sims advised that he needed Board authorization to approve out-of-county waste at Solid Waste facilities. He stated he could bring the matter back as an agenda item. Commissioner Zalak opined this was a good solution, noting the long time problem with those not paying the solid waste assessment. Chairman Bryant stated she fully supported the request. Mr. Sims advised that he would bring back an agenda item regarding this issue. Mr. Sims addressed the Recycling Center Service Hours (page 7), noting the primary problem was Friday mornings, as the 17 centers did not open until 9:00 a.m., Baseline opened at 7:00 a.m., which created an issue for many people. Staff requested the hours be shifted so that all recycling centers were open at 7:00 a.m., Monday through Friday. He commented on the number of customers Monday through Page 394, Book S

5 August 14, 2013 Wednesday. A significant number of customers were received on Friday and Sunday evenings during the late operating hours. Mr. Sims stated 4 options were presented (page 8) that would meet the needs of customers. He noted Model 3 was preferable, as it added 2 hours to each site on Friday and Saturday (4 hours total), as well as changing the times on Sunday, which may cause some confusion that would result in educating customers, at an increased cost of almost $50,000. Chairman Bryant advised that she asked staff to address this issue to provide consistency, noting she was not in favor of additional expenditures and opined that Model 4 would probably work. Model 4 included 2 additional hours on Friday and reduced service hours on Sunday by 2 hours at no additional cost. It was the general consensus of the Board to concur. Mr. Sims advised that the service hours were established by Resolution after a public hearing was held. He stated he would request a public hearing on a future agenda. Mr. Sims noted he would like to implement the changes by October 1, 2013, which would allow time for a public hearing. Chairman Bryant questioned what occurred at the end of daylight savings time when it was darker earlier. Mr. Sims stated all recycling centers were lighted and staffed, which eliminated security issues that were present in the past when there was no lighting or security at any drop off boxes. He opined that providing customers with enough notice that the facilities would be closing 2 hours earlier on Sundays would provide good results. Commissioner Zalak addressed signage regarding service hours. Mr. Sims stated he would move forward with the public hearing and associated agenda items with Model 4. It was the general consensus of the Board to concur. Page 12 addressed the Marion County Solid Waste Reserve Funds. During the budget workshops staff was questioned in regard to franchise fees. The County received $583,378 in franchise fees during the last fiscal year (FY), which was slightly down from peak years. The County also saw a reduction in commercial waste due to the economic downturn. The Tipping Fee Differential was approved by the Board several years ago for those people who self-hauled their own commercial waste to the Baseline Landfill and were charged $48 versus the $42 that was allowed to franchise haulers collecting a 15% franchise fee on their service to haul commercial waste. The Tipping Fee Differential generated an additional $109,835 in fees. Should the County completely delete franchise fees staff would advocate bringing the tipping fee back for a uniform rate of $42 per ton regardless of whether it was residential or commercial waste. Mr. Sims addressed the unencumbered cash reserves that were available in the Solid Waste Fund. He commented on the ACMSIHeart of Florida Landfill transaction where the Solid Waste Department purchased 2.5 million tons of airspace at $20,000,000 that currently left the department at about $10,000,000 in actual available cash reserves, which met all liabilities. The proposed budget for 2013/14 the department also submitted its 5-Year Capital Improvement Plan (CIP), which identified about $15,000,000 worth of projects. Approximately $3.5 million was included in the CIP for the side slope closure all around the Baseline Landfill in anticipation of the intermediate landfill closure that could be pushed out to a longer timeframe. Also included was the need for some type of citizen drop-off facility so as not to intermix hand unloading customers with commercial vehicles and heavy equipment inside the transfer station for safety purposes. A new facility for the hand unloading customers was Book S, Page 395

6 August 14, 2013 estimated at $550,000, which could also be pushed out until the Baseline Landfill was closed. Mr. Sims commented on the need for reserves for an authority were unknown, noting the liability related to landfill closures was huge. Old landfills (Davis, Martel and Newton) had huge liabilities and the concept that old landfills only had to be monitored for 30 years was no longer accurate. The State would require the County to continue monitoring and the assessment activities on those facilities should any contamination be discovered. He advised that he would like to continue to maintain franchise fees and offset collection costs that helped to bolster reserve funds, at least at this point in time. Commissioner McClain commented on the $35,000,000 that would be collected in 8 years and stated the $5.6 million would be a direct tax break on businesses in Marion County. He inquired as to how much money would be needed for the Solid Waste Authority moving forward. Commissioner Zalak addressed the $87 Solid Waste Assessment Fee, noting a portion was reserved for litter control, maintenance of the old landfills and going forward the County would be saving money. He stated the initiative with compressed natural gas (CNG) would significantly change fuel costs within Solid Waste and worked toward the benefit of the taxpayer in Marion County. General discussion ensued. Commissioner McClain stated he supported eliminating franchise fees. In response to County Administrator Niblock, Mr. Sims advised that currently approximately $4,000,000 was placed in Reserves annually. Mr. Niblock stated this and previous Boards had placed the Solid Waste Department on a solid footing. He noted earlier Board action to use up the 8 years of airspace at the Baseline Landfill added up to a lot of money and because this was a workshop he would suggest that staff bring back an action plan looking at the 10 year financial Performa for Board review and action no later than the 2 nd meeting in September, which was before final budget adoption. Chairman Bryant concurred, noting all information should be available before making any decision. Commissioner McClain inquired if that would include changing the budget for this next operating year and moving forward with making these cuts should the Board eliminate franchise fees. Commissioner McClain stated if the Board eliminated franchise fees would the franchise requirements still be in place. Mr. Sims stated franchise fees came into being when the franchise fund was moving in the wrong direction, noting at that time franchise fees were collected on construction demolition,' which had since ceased. The franchising of waste haulers was more about controlling who was out there collecting waste, not so much controlling where that waste went as the County had no flow control on its commercial waste. Advanced Disposal operated the transfer station in Marion County and took waste out; Waste Management collected some of their commercial waste from Marion County and hauled it to The Villages transfer station; and now the Heart of Florida Landfill was within close proximity that was drawing off some of the commercial solid waste. Looking at the financial analysis out into the future needed to be considered. In response to Commissioner Zalak, Mr. Sims stated franchising occurred before the 2000's, back when the County was in the process of looking to sight a landfill and accumulating reserves. Franchises were more about control of unauthorized dumping of waste and having control over who was collecting waste in Marion County. In 2003, the Page 396, Book S

7 August 14,2013 County had a franchise moratorium, when the issue of curbside collection was being considered. Page 13 addressed the Solid Waste Authority. Mr. Sims provided a brief recap, noting the second Task Force meeting was held on August 7, 2013, which he advised was very productive. A Commissioner from both Citrus and Alachua Counties participated at this meeting. The 2 primary forms of an Authority were: 1) the Palm Beach model, which was based on a Special Act of the Legislature; and 2) the New River model that was b~sed onlnterlocal Agreements. Marion County requested Citrus and Alachua Counties to provide timeline event information as to when disposal contracts expired, when their airspace would be terminated and when the County could start moving its waste. A prepared timeline of events would be a useful tool during the planning of an Authority. Mr. Sims advised that he along with Commissioner Zalak and Mr. Niblock would travel to Orlando for the League of Cities to provide a presentation. The pr~sentation was patterned on what was presented to the Florida Association of Counties (FAC) in Sarasota. He presented 2 pages regarding potential participation in a regional public solid waste authority; and a 16 page PowerPoint document entitled, "Marion County Introductory Discussion of a Regional Solid Waste Landfill Authority Task Force, August 17, 2013". The PowerPoint presentation was updated as it was no longer the ACMS Landfill, as ACMS incorporated part of the owners of the Heart of Florida Environmental Group Landfill. Some of the information was updated to point out that the landfill was now open and operating. Commissioner Zalak stated he continued to learn much about the Solid Waste Authority and some of the ways they were set up, noting the Interlocal Agreements provided the counties with home rule and the flexibility to negotiate. He stated the Interlocal Agreement would be the best direction for Marion County to establish the Solid Waste Authority. Chairman Bryant inquired as to new interest from municipalities. Commissioner Zalak stated the County had done a better job marketing due to the FAC and the League of Cities would provide a new opportunity. Mr. Sims noted he had received numerous telephone calls from municipalities; however, there had been no commitments, but there was interest. General discussion ensued. Mr. Sims stated this concluded his presentation. Utilities - Commissioner McClain advised that he had to attend another meeting at 10:30 a.m. and requested that he be permitted to address a couple of remarks relating to the next (Utilities) worksllop. He addressed the future customer service center, noting this was an issue he had been working on for quite some time, but a site had not yet been found that had the potential. Commissioner McClain stated he was not advocating any particular site; however, if it was a customer service center site, then it should involve customer service. If a site could be located that not only met the need of the Utilities Administration, but also customers and the ease of making payments. He advised that he supported the Windstream Utilities acquisition and suggested a formal offer be made. Commissioner McClain stated the Utility functioned as an enterprise fund and the Utility Director should at least be able to make a presentation to the Board as to what some of the issues were with regard to the salary and pay structure. He advised Book S, Page 397

8 August 14, 2013 that he was willing to try to understand the situation with some of the salary issues as some employees were lost to other jobs, which needed to be proven out and vetted. There being no further business to come before the Board, the meeting thereupon adjourned at 10:19 a.m. Attest: ~~&1= y Bryan Chalrm n Page 398, Book S