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Home My WebLink About55B - SUPPORT AB939 SURCHARGE COUNTY LANDFILLS REQUEST FOR COUNCIL ACTION ~ ~ CITY COUNCIL MEETING DATE: CLERK OF COUNCIL USE ONLY: APRIL 17, 2006 TITLE: RESOLUTION SUPPORTING AB939 SURCHARGE AT COUNTY LANDFILLS APPROVED o As Recommended o As Amended o Ordinance on 1" Reading o Ordinance on 2"' Reading o Implementing Resolution o Set Public Hearing For ~. ~ C TY MANAGER CONTINUED TO FILE NUMBER RECOMMENDED ACTION Adopt a resolution supporting the proposed AB939 surcharge of $19 per ton at County landfills to encourage increased recycling by self-haulers. DISCUSSION The Integrated Waste Management Act of 1989 (AB 939) requires cities and counties to reduce the amount of waste disposed in landfills by the year 2000 and beyond by 50% or face fines of up to $10,000 per day. In addition, the State could issue a compliance order to the cities or to the County requiring that it implement more stringent and expensive measures and diversion programs with no consideration of local conditions, budget or waste stream. Proposed legislation indicates a push to increase the mandate to 75% diversion while the California Integrated Waste Management Board has adopted a policy of "Zero Waste". The City of Santa Ana has exceeded the State diversion requirements with a diversion rate of 60%, however meeting and sustaining the diversion mandate has been a challenge for many other Orange County cities and for the County of Orange. Orange County cities diverted virtually the same average percentage of waste in 2003 as they did in 2000, approximately 47%. In fact, more cities were in compliance in 2000 (16) than in 2003 (15) . For years self-hauled waste has been viewed by cities and their waste haulers as a barrier to meeting the unfunded mandate of AB 939. Since 1997, two Orange County Grand Juries and two ad hoc committees of the Orange County Waste Management Commission have also identified self hauled waste as a barrier to AB 939 compliance for the following reasons: 558-1 Resolution Supporting AB939 Surcharge April 17, 2006 Page 2 · It is predominately unprocessed (not recycled) and is hauled directly to the landfills by contractors, clean-up businesses, landscapers, gardeners, roofers, and demolition contractors. · It is approximately 15% of the total waste disposed of annually. · It consists of more than 60% readily recyclable and compostable materials that if diverted from the landfills could increase countywide diversion by up to 4%. · It is not regulated by the State or by city permit or franchise. · Self-haulers operate outside the recycling infrastructure and therefore do not pay their fair share of recycling costs as do residents and businesses. · Self hauled waste is difficult to accurately determine its jurisdiction of origin. · Out-of-county self-haulers illegally dispose of their waste at Orange County landfills because it's low disposal rates and attribute their waste to Orange County cities. The Orange County Waste Commission has been studying this issue since March 2004. During the last two years the Commission hired consultants and completed waste characterization, facility capacity and financial studies to provide the Commission with a technical foundation from which to make its recommendations. In addition, the Commission conducted a public hearing in August 2005 to accept comments from impacted entities such as businesses and non-profit organizations. Based on the technical studies and comments received from the Public Hearing, the Commission evaluated four options that would reduce the amount of recyclable materials currently being disposed of thereby increasing the diversion rates of cities and the unincorporated county: · Option 1 - Ban self hauled waste from Orange County landfills. · Option 2 Partially ban self hauled waste from Olinda Alpha and Frank R. Bowerman Landfills and site a C&D processing facility of "last resort" on the Prima Deshecha Landfill. · Option 3 Ban construction and demolition (C&D) debris and greenwaste from landfills. · Option 4 - Implement an AB 939 Surcharge on self hauled waste. At its November 10, 2005, meeting the Waste Commission selected Option 4, the AB 939 Surcharge, as the preferred option. This option is preferred as it is a market-driven, economically based solution; provides self- haulers with facility choices; encourages private sector market and diversion facility development; results in no increase to city contract rates through 2010; equalizes competition among self-haulers; has minimal impacts to operations and administration; and generates revenue to administer the program and develop countywide diversion programs. 558-2 Resolution Supporting AB939 Surcharge April 17, 2006 Page 3 City staff has closely monitored the work of the Commission on this issue. Staff is recommending that the Council support the proposal before the Board of Supervisors and adopt a resolution supporting the proposed AB939 surcharge of $19 per ton at County landfills to encourage increased recycling by self-haulers. The intended effect of this surcharge is to make it economically advantageous for self haulers to take these recyclable materials to a materials recovery facility or to a composting facility. ENVIRONMENTAL IMPACT There is no environmental impact associated with the action. FISCAL IMPACT There is no fiscal impact to the City associated with this action. This action is anticipated to force self haulers to recycle their waste at materials recovery facilities or to pay increased costs for disposing of the waste at the Orange County landfills. ~~ t James G. Ross Executive Director Public Works Agency 558-3 bk/4-11-06 RESOLUTION NO. 2006-XX A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA SUPPORTING THE RECOMMENDATION OF THE ORANGE COUNTY WASTE MANAGEMENT COMMISSION FOR AN IMPOSITION OF A SELF HAULER SURCHARGE OF $19 PER TON AT COUNTY LANDFILLS TO REDUCE THE AMOUNT OF SELF HAULED WASTE BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS FOLLOWS: Section 1. The City Council of the City of Santa Ana hereby finds, determines and declares as follows: A. The Orange County Waste Management Commission has recommended that the County of Orange take steps to reduce the amount of self-hauled waste at County landfills, in order to increase the amount of recycled waste in the County. B. The Integrated Waste Management Act of 1989 (AB 939, Public Resources Code section 40000 et seq.) required cities and counties to reduce the amount of waste disposed in landfills by the year 2000 and beyond by fifty percent (50%) or face fines of up to $10,000 per day. C. The City of Santa Ana meets and exceeds this standard, but other cities and unincorporated areas have had problems meeting this requirement. D. Two Orange County Grand Juries and two ad hoc committees of the Orange County Waste Management Commission have identified self hauled waste, which makes up fifteen percent (15%) of all waste disposed of at county landfills, as a barrier to AB 939 compliance for the following reasons: 1. Self hauled waste is predominately unprocessed (not recycled) and is hauled directly to the landfills by contractors, clean-up businesses, landscapers, gardeners, roofers, and demolition contractors. 2. Self hauled waste consists of more than sixty percent (60%) readily recyclable and compostable materials that if diverted from the landfills could increase countywide diversion by up to four percent (4%). 558-4 Resolution No. 2006-XXX Page 1 of2 3. Self hauled waste is not regulated by the State or by city permit or franchise. 4. Self-haulers operate outside the recycling infrastructure and therefore do not pay their fair share of recycling costs as do residents and businesses. 5. With self hauled waste it is difficult to accurately determine its jurisdiction of origin. E. Adoption of a surcharge on self hauled waste a preferable option as it is a market-driven, economically based solution; provides self-haulers with facility choices; encourages private sector market and diversion facility development; results in no increase to city contract rates through 2010; equalizes competition among self-haulers; has minimal impacts to operations and administration; and generates revenue to administer the program and develop countywide diversion programs. Section 2. The City Council supports the County's proposed AB 939 surcharge of $19 per ton on self hauled waste at County landfills to encourage increased recycling by self haulers. Section 4. This Resolution shall take effect immediately upon its adoption by the City Council, and the Clerk of the Council shall attest to and certify the vote adopting this Resolution. ADOPTED this day of ,2006. Miguel A. Pulido Mayor APPROVED AS TO FORM: Joseph W. Fletcher, City Attorney By: Benjamin Kaufman Chief Assistant City Attorney Resolution No 2006-XXX Page 2 of 2 558-5 AYES: Councilmembers NOES: Councilmembers ABSTAIN: Councilmembers NOT PRESENT: Councilmembers CERTIFICATE OF ATTESTATION AND ORIGINALITY I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify the attached Resolution No. 2006-XXX to be the original resolution adopted by the City Council of the City of Santa Ana on Date: Clerk of the Council City of Santa Ana 558-6 Resolution No. 2006-XXX Page 3 of 2