Drop in tonnage a concern for SRRA
KINGFIELD –- Members of the Kingfield New Portland Transfer Station committee met last Thursday followed by a Sandy River Recycling Association meeting at Webster Hall.
SRRA director Ron Slater responded to a committee request to potentially process “single-sort” or commingled recyclables.
The transfer station committee was looking into a better way for its residents to recycle. Studies have shown that there are greater recycling rates in terms of tonnage based on programs that promote single-sort recycling. This is based on the fact that more people will want to recycle if there was not a need to separate individual commodities.
Administrative Assistant Doug Marble explained that the request was denied due to the amount of equipment that would be required to sort commingled recyclables at SRRA.
SRRA manager Ron Slater said that process equipment can cost over $3 million in capital investment.
Although Slater was pleased to announce that commodity pricing was up, the total tonnage of material they process is way down and of concern. “As you will notice, we are down over 400 tons from last year,” Slater reported. “The first question is where did they go? The second question is how can we get some or most of these tons back?”
SRRA has dropped from 1,792 toms of material processed annually in 2007 to 1,202 last year.
Slater said their “bread and butter” has always been OCC, old corrugated containers or cardboard.
He reported that people, due to a decline in the economy, are not purchasing things like refrigerators, ranges and furniture. This is one reason for a decline; the other is a trend in manufacturers not packaging products in boxes, but rather using lightweight plastic and other material to ship products.
All but two of the 18 municipalities were down in tonnage from the previous year.
In Farmington alone, 557.7 tons were produced in 2007. Last year’s report shows them down to 212.26 yielded tons. Kingfield is showing a two-year drop from 150 to 110 tons with Rangeley’s numbers looking very similar. Only Carthage and Sandy River Plantation show an increase, but combine for only 32 tons annually.
Marble said that discussions also focused an increase in commercial waste and privatized recycling operation may be a cause for decreased numbers. Residents and businesses that use dumpsters tend to recycle less. And commercial haulers such as operations in Farmington have been looking to take commodities such as OCC out of the waste stream. As of last Dec. OCC was marketed at $191 per ton.
Marble said that municipal solid waste quantities at the transfer station were also down compared to years past. This may support the theory of either consumer spending is down or the waste haulers are gaining market share.
With the loss of SRRA tonnage and subsequent revenue, and considering the cost per ton to process recyclables, Marble said it was reported that the municipal recyclers may be able to sustain operations at the current volume for three years.
But, Slater reported, an ongoing effort is underway to regain its volume.
Currently SRRA charges municipalities $45 per ton to process recyclables. This is far less expensive than what’s paid in tipping and transportation fees for MSW, Slater explained.
Marble said that it’s not the intent of SRRA directors, as reported, to increase costs for processing.
In an expenditure summary, the total 2009 budget was set at $241,000 and in spending they came in $11,000 under budget. The largest line item was gross wages set at $117,000 with $10,600 in payroll taxes and $21,000 in health insurance.
Slater reported income summary at $56,246 in allocations and $61,142 in commodity revenue. On average, commodities are selling for $179. Typical commodities include, cardboard, newspaper, paper of various grades, natural and colored plastic, steel cans and aluminum as examples.
Slater reported the next biggest loss was newspapers. “I’m sure that you have all noticed that newspapers are getting thinner there are less ads and flyers.”
The recycling manager said that more people are getting their daily news from their computers and it is becoming less important to go out and buy a daily newspaper.
In December, Slater reported ONP sold for $86 a ton with 43 tons processed and shipped.
SRRA is reporting investment activity through mutual funds and CDs near $300,000 and other significant cash assets which stabilize the association through troubled times like now when the tonnage is down or in the future when commodity prices do sometimes fall.
Slater asked that members continue to work together to help keep SRRA working for its member towns.











