OWASCO - The town of Owasco might hire a private trash hauler for curbside pickup rather than continue to maintain its recycling center.
“As a result of comparing the present costs of the recycling center to the costs of hiring a private hauler with a municipal contract, it is apparent that due to financial reasons the town board should consider getting out of the trash business,” Councilman Ed Wagner said in his solid waste report to the board at its regular meeting March 13 and Tuesday afternoon.
Wagner suggested the board approve a Request for Proposal for trash services to be sent to prospective bidders as soon as possible, with public hearings scheduled to educate residents of the pros and cons.
On Monday, the board will hold a workshop meeting to discuss the research in greater detail. The exact cost for each resident would depend on individual haulers' bids. Five area trash haulers could bid.
“I was asked to look at recycling and whether or not it was self-sustaining,” Wagner said. “The town has a fiduciary responsibility to make sure it's being handled properly when cash is involved.”
He said the town was losing money in recycling, water billing, and sewer billing.
“There are definitely things that need to be tightened up,” said Gino Alberici, town councilor. “Deficits are being addressed. I credit Ed for the investigative work that he's done, although I'm not in total agreement with all the figures. We represent the community and need to do what's in the best interests of the majority.”
The investigation raised several concerns and recommendations. First, the town is undercharging by $1.20 per bag if it wants to break even to cover its operating costs. One solution might be to increase the cost per bag to $4.
Improper trash dumping has occurred during the recycling plant's hours of operation. Making sure the supervisor of public works is at the plant will correct the problem.
The town needs to tighten controls on non-residents depositing trash illegally at the center.
The center's cash transactions were not strictly accounted for, nor receipts systematically given, yet the state requires them. Bulk dumping and blue bag dumping funds need to be separated.
Inaccurate tracking of recycling vehicles' fuel consumption, despite a card system put in place to record fuels used, gives rise to the need for a monthly report to the board.
Wagner factored previously unaccounted costs into the bookkeeper's 2007 recycling report.
He estimated the cost of individuals driving out to the recycling plant on Swartout Road and Route 38A, as about a mile to 1.5 miles, at about $1.50 each time.
Besides the bookkeeper's yearly recycling revenue totals, $89,149.19; expenditure figures, $97,419.98; and resulting deficit figure, $8,270.79, Wagner included employee health insurance costs, FICA/Medicaid, workman's compensation, truck insurance, recycling truck and forklift fuel, and the recycling building bond, totalling $135,832.09 in expenditures, or a deficit of $46,682.90, probably more.
“No depreciation figures were included in either figure,” Wagner said
Based on 1,551 parcels paying taxes in the town, with only 37,100 trash bags sold in 2007 at $2 per bag, he estimated how many residents actually used the present recycling system. At one bag per person, 47 percent recycled at $175 per person with travel costs factored in. At two bags per person, then 371 residents recycled at $200, or only 23.1 percent of the town.
Residents hiring private haulers would pay $392 yearly for four 30-gallon trash bags a week and $435.60 yearly for a 96-gallon toter once a week for a year.
Private hauling figures from neighboring towns with curbside pickup for seven bags per week include: Elbridge, with 494 residents, for a yearly charge of $73.98 per resident; Jordan, with 450 residents, paid $79.63 each; Moravia, with 550 residents, charged $129.17 each; Niles residents paid $108.88 each, and Union Springs' 460 residents paid $100 each.
Wagner looked at the paperwork in each of the towns to substantiate the figures.
By all accounts, none of these figures exceeds the $175 yearly cost to each Owasco resident who drives to the town's recycling center to deposit his trash, if Wagner's estimates are accurate.
Staff writer Kathleen Barran can be reached at 253-5311 ext. 238 or kathleen.barran@lee.net
Wagner suggested the board approve a Request for Proposal for trash services to be sent to prospective bidders as soon as possible, with public hearings scheduled to educate residents of the pros and cons.
On Monday, the board will hold a workshop meeting to discuss the research in greater detail. The exact cost for each resident would depend on individual haulers' bids. Five area trash haulers could bid.
“I was asked to look at recycling and whether or not it was self-sustaining,” Wagner said. “The town has a fiduciary responsibility to make sure it's being handled properly when cash is involved.”
He said the town was losing money in recycling, water billing, and sewer billing.
“There are definitely things that need to be tightened up,” said Gino Alberici, town councilor. “Deficits are being addressed. I credit Ed for the investigative work that he's done, although I'm not in total agreement with all the figures. We represent the community and need to do what's in the best interests of the majority.”
The investigation raised several concerns and recommendations. First, the town is undercharging by $1.20 per bag if it wants to break even to cover its operating costs. One solution might be to increase the cost per bag to $4.
Improper trash dumping has occurred during the recycling plant's hours of operation. Making sure the supervisor of public works is at the plant will correct the problem.
The town needs to tighten controls on non-residents depositing trash illegally at the center.
The center's cash transactions were not strictly accounted for, nor receipts systematically given, yet the state requires them. Bulk dumping and blue bag dumping funds need to be separated.
Inaccurate tracking of recycling vehicles' fuel consumption, despite a card system put in place to record fuels used, gives rise to the need for a monthly report to the board.
Wagner factored previously unaccounted costs into the bookkeeper's 2007 recycling report.
He estimated the cost of individuals driving out to the recycling plant on Swartout Road and Route 38A, as about a mile to 1.5 miles, at about $1.50 each time.
Besides the bookkeeper's yearly recycling revenue totals, $89,149.19; expenditure figures, $97,419.98; and resulting deficit figure, $8,270.79, Wagner included employee health insurance costs, FICA/Medicaid, workman's compensation, truck insurance, recycling truck and forklift fuel, and the recycling building bond, totalling $135,832.09 in expenditures, or a deficit of $46,682.90, probably more.
“No depreciation figures were included in either figure,” Wagner said
Based on 1,551 parcels paying taxes in the town, with only 37,100 trash bags sold in 2007 at $2 per bag, he estimated how many residents actually used the present recycling system. At one bag per person, 47 percent recycled at $175 per person with travel costs factored in. At two bags per person, then 371 residents recycled at $200, or only 23.1 percent of the town.
Residents hiring private haulers would pay $392 yearly for four 30-gallon trash bags a week and $435.60 yearly for a 96-gallon toter once a week for a year.
Private hauling figures from neighboring towns with curbside pickup for seven bags per week include: Elbridge, with 494 residents, for a yearly charge of $73.98 per resident; Jordan, with 450 residents, paid $79.63 each; Moravia, with 550 residents, charged $129.17 each; Niles residents paid $108.88 each, and Union Springs' 460 residents paid $100 each.
Wagner looked at the paperwork in each of the towns to substantiate the figures.
By all accounts, none of these figures exceeds the $175 yearly cost to each Owasco resident who drives to the town's recycling center to deposit his trash, if Wagner's estimates are accurate.
Staff writer Kathleen Barran can be reached at 253-5311 ext. 238 or kathleen.barran@lee.net
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