City of Culver City, California
City Council Agenda Item Report
RECOMMENDATION:
Staff recommends the City Council (1) adopt a Resolution establishing an organic
waste composting fee and (2) approve an agreement with Athens Services to
transport and process organic waste generated through a pilot food waste recycling
program.
BACKGROUND:
The Public Works Department strives to increase the City’s diversion rate by
implementing cost effective and high yielding recycling programs. Programs such as
weekly residential recycling collection, commercial co-mingled recycling collection,
and commercial cardboard collection are cornerstones of the City’ recycling
program.
Through extensive research and networking, staff discovered that several
surrounding cities have increased their trash diversion rates by implementing an
organic waste composting program. Cities such as Santa Monica and West
Hollywood have been able to increase their diversion rates by employing composting
programs in their respective restaurant districts. Staff believes that Sony Pictures
Entertainment (SPE ) and the downtown restaurants that are on the communal
compactor system are ideal candidates for an organic waste composting program
because of the amount of food these business generate and their ability to keep
bottles and cans out of their trash compactors.
Meeting Date: 04/13/09 Item Number: A-1
AGENDA ITEM: (1) Adoption of a Resolution Establishing an Organic Waste
Composting Fee Schedule; and (2) Approval of a Professional Services
Agreement with Athens Services to Provide Transfer and Composting Services
for a One Year Period with Two Optional One Year Renewals.
Contact Person/Dept.: Damian Skinner Phone Number: (310) 253-6421
Fiscal Impact: Yes [X] No [] General Fund: Yes [] No [X]
Public Hearing: [] Action Item: [X] Attachments: [X]
Public Notification: Sony Pictures Entertainment on 3/26/09, Culver City Downtown
Business Association on 3/30/2009, Master E-Mail Notification List (04/08/09)
Department Approval:
Charles D. Herbertson (04/01/09)
City Attorney Approval:
Carol Schwab (by H. Baker) (04/07/09)
Chief Financial Officer Approval:
Jeff Muir (by N. Kimball) (04/08/09)
City Manager Approval:
Jerry B. Fulwood (04/08/09) City of Culver City, California
City Council Agenda Item Report
DISCUSSION:
In the fall of 2008, staff approached SPE to implement an organic waste composting
program at their facility on Culver Boulevard. Logistics and outreach requirements
were fully vetted by staff and SPE to determine the feasibility of starting a new
environmental program. Since organic waste composting is substantially more
expensive than disposal, staff provided SPE with a fee proposal that would cover the
additional cost of the program. In January 2009, SPE expressed its interest in
moving forward with a one-year organic waste pilot program and the planned fee.
Staff proposes to start a one-year organic waste pilot program with SPE in May 2009
and take the lessons learned to implement a similar program for the downtown
restaurants. Annually, the pilot program will divert approximately 1,000 tons of trash
from the landfill which will increase the City’s diversion rate by approximately 1%.
Staff optimistically anticipates implementing an organic waste composting program
for downtown restaurants during Fiscal Year 2010-11.
Organic Waste Recycling Process
Organic waste collected in compactors will be taken to Athens Services, an organic
waste composting company, located in Victorville. Athens uses an extensive sorting
process to remove residual non biodegradable materials before the organic waste is
mixed with green waste. The mixture is heaped into windrows and sits for three
months to allow the material to degrade. Athens’ employees monitor the windrows
for heat and moisture to ensure that ideal environmental conditions exist to facilitate
the composting process. The resulting compost is sold to local farmers.
FISCAL ANALYSIS:
Culver City Sanitation will transport and empty food waste compactors at the City’s
Transfer Station. Athens’ long-haul tractor/trailers will transport the food waste from
the Transfer Station to their facility located in Victorville. The cost for this service is
$50.00 per ton.
The $50.00 per ton composting fee is substantially more expensive than landfill fees.
The City currently pays Chiquita Canyon landfill $28.00/ton to dispose of the City’s
trash. Staff is proposing a new fee to bridge the gap between disposal and
composting cost. An analysis of the City’s Drop-body trash rate revealed that
increasing it from $80.87 to $95.87 will cover the additional cost of the program. A
larger increase is not needed since City forces are not transporting the material to its
final destination. City of Culver City, California
City Council Agenda Item Report
In the event that Athens Services is no longer willing to participate in the City’s
organic waste composting program, Staff proposes that the City Council adopt a
$34.00 per empty contingency fee. Without the aid of Athens Services, organic
waste compactors cannot go to the Transfer Station for subsequent transfer.
Instead, compactors will be hauled directly to a composting facility from their point of
origin. The $34.00 per empty contingency fee is necessary to cover the additional
transportation cost.
The fee has been set to recover 100% of the increased cost; therefore, there is no
additional fiscal impact to the division.
ATTACHMENTS:
1. Organic Waste Composting Fee Resolution
2. Letter from Athens Services dated March 17, 2009
MOTION:
That the City Council:
1. Adopt a Resolution to establish an Organic Waste Composting Fee Schedule
effective May 1, 2009, and,
2. Approve a professional services agreement with Athens Services to provide
organic waste transfer and composting services for an initial term concluding on
June 30, 2010 with two optional one year renewals upon mutual agreement of
both parties; and,
3. Authorize the City Attorney to review/prepare the necessary documents; and,
4. Authorize the City Manager to execute such documents on behalf of the City.
MEETING DATE: 4/13/09
AGENDA ITEM: Adoption of a Resolution of the City Council Establishing
an Organic Waste Composting Fee Schedule; and
Approval of a Professional Services Agreement with
Athens Services to Provide Transfer and Composting
Services
ATTACHMENTS
Pages|109| Organic Waste Cornposting Fee Resolution 1-2|109| Letter from Athens Services dated March 17, 2009 31|101010|4 1|1010101010 10
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RESOLUTION NO. 2009-R
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
CULVER CITY, CALIFORNIA, ESTABLISHING AND•
LEVYING AN ORGANIC WASTE COMPOSTING FEE
SCHEDULE.
WHEREAS, pursuant to Section 5.01_070.A of the Culver City Municipal
Code, the City Council may, by resolution, establish fees for solid waste handling.
NOW, THEREFORE, the City Council of the City of Culver City, DOES
HEREBY RESOLVE as follows:
1. A new refuse collection fee shall be established for the following
service:
Organic Composting. Organic waste collected in compactors will
be taken to an organic waste composting company for processing.
Organic waste is sorted to remove residual non biodegradable materials
before the organic waste is mixed with green waste. The mixture is
heaped into windrows and sits for three months to allow the material to
degrade. The resulting compost is sold to local farmers.
2. The rates for organic waste composting shall be as follows:
a. Compactor Empty: $162.36 per event (plus Organic Waste
tonnage fee).
b. Organic Waste: $95.87 each ton, measured to the nearest
100th of a ton.
c. Transportation: $34.00 per event. In the event a compactor
bypasses the Transfer Station and is hauled directly to a composting
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2.
facility, a fixed fee of $34.00 shall be charged in order to cover the
additional transportation cost This fee shall be in addition to the
Compactor Empty and Organic Waste tonnage fees_
3. The Refuse Collection Fees set forth in Section 2 shall be collected
pursuant to monthly billing procedures established by the City Finance Department.
APPROVED and ADOPTED this day of 2009.
D. SCOTT MALSIN, MAYOR
City of Culver City, California
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MARTIN COLE, City Clerk
A09-00124March 17, 2009
City of Culver City
9225 W Jefferson
Culver City, CA 90232
Attn: Damian Skinner
Dear Damian,
Athens Services is pleased to present an offer to Culver City for organic waste recycling.
Athens will provide any and all necessary transportation services along with any required indemnifications
and permits_ The process commences with an empty Athens Services semi truck entering the Culver City
Transfer Station. The empty semi truck is then loaded with the organic waste material at your facility by
your equipment and staff to our tonnage specifications. The semi truck proceeds to be weighed at your
facilities scale to establish the outgoing organic waste tonnage. The organic waste material is then
transported to our compost facility, located in Victorville, California. Athens will provide a report each
month which will substantiate the accounting of the removal of organic material.
The cost for transportation and processing of organic waste will be $50.00 per ton. Additional charges will
apply for contaminated loads.
Athens Services is pleased and proud to partner with the City of Culver City in this recycling venture. By
doing so, Culver City benefits by reducing the amount of organic waste material going to the landfill
helping the city in achieving the state mandated diversion goals. With this one step, we help reduce
global warming and assist our state in going green.
I look forward to your response.
Sincerely,
Tom Ybarra
Director of Sales & Municipal Relations|1013|