070 of 2011 - Landfill Budget for calendar year 2012 0 11-1
B 12-3
SALT LAKE CITY ORDINANCE
No. 70 of 2011
(Adopting the Solid Waste Management Facility
budget for calendar year 2012)
An ordinance adopting the Solid Waste Management Facility budget, as prepared and
submitted by the Salt Lake Valley Solid Waste Management Council for the Calendar Year
2012.
PREAMBLE
On November 14, 2000, Salt Lake City(the "City") and Salt Lake County(the "County")
entered into an Interlocal Cooperation Agreement(as amended on October 7,2009, the
"Agreement"), pursuant to Title 11, Chapter 13 of the Utah Code Annotated, regarding the joint
management and operation of a Solid Waste Management Facility. The Agreement established
the Salt Lake Valley Solid Waste Management Council (the"Management Council") and
provided it with authority and responsibility relating to the operation and management of the
Solid Waste Management Facility.
Pursuant to the Agreement, all actions by the Management Council constitute
recommendations to the City and the County and the City and the County have the power to
review, ratify, modify, or veto any action of the Management Council.
The Management Council has prepared the attached Solid Waste Management Facility
budget for calendar year 2012 (the"2012 Budget") and has submitted it to the City Council for
its approval. The City Council has authority relating to budgets and appropriation of funds and,
therefore,must approve, on behalf of the City,the 2012 Budget. The 2012 Budget has been
available for public inspection in the Office of the City Recorder for at least 10 days.
The City Council fixed the time and place for a public hearing to be held on November 22,
2011 to consider the adoption of the 2012 Budget and ordered notice thereof be published at least
seven days before the hearing. Notice of said public hearing was duly published as required
herein. A public hearing to consider adoption of the 2012 Budget was held on November 22,
2011, in accordance with said notice, at which hearing all interested persons were heard for and
against the estimates of revenue and expenditures in the 2012 Budget.
The City Council wants to adopt the 2012 Budget submitted by the Management Council.
Be it ordained by the City Council of Salt Lake City, Utah:
SECTION 1. PURPOSE. The purpose of this Ordinance is to adopt the 2012 Budget,
prepared and submitted by the Management Council.
SECTION 2. ADOPTION OF BUDGET. The 2012 Budget is hereby adopted, subject
to similar approval by the County.
SECTION 3. RESERVE THE RIGHT TO AMEND. The City reserves the right to
amend the 2012 Budget at any time, consistent with the Agreement.
SECTION 4. PUBLIC INSPECTION. Copies of the 2012 Budget shall be available for
public inspection during regular business hours in the Office of the City Recorder.
SECTION 5. EFFECTIVE DATE. This Ordinance shall take effect on its first
publication.
Passed by the City Council of Salt Lake City, Utah, this 6 day ofr remher , 2011.
\ -J2J W/0 _
CHAIRPERSON
2
CITY,tii>t44
ATTEST: 2.6 'y
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Transmitted to the Mayor on 12-21-2011
Mayor's Action: Approved. Vetoed.
OP/
MAYOR
ATTEST:
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.••-,,�.�CITY;:,
, APPROVED AS TO FORM
(SEAL) :; � Salt Lake city Attorneys Office
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M 71 By
Bill No. 70 of 2011. oRAS le/
Published: 1-16-2012
3
ATTACHMENT 1
(Attach copy of 2012 Budget)
HB ATTY-#20505-v1-Solid_waste_facility_budget_2012.docx
4
Initiative Name:
SLVSWMF Landfill 2012 Budget
Initiative Number:
Blank (Gordon will number)
Initiative Type:
Type of Initiative (enter on first tab)
Initiative Discussion:
Each year the Salt Lake Valley Solid Waste Management Facility (SLVSWMF), which is jointly owned by Salt Lake
County and Salt Lake City, submits its budget to Salt Lake City for its approval. Salt Lake City last provided its approval of
the SLVSWMF budget in Dec 2010 and June 2011 for fiscal (calendar)year 2011.
SLVSWMF has submitted its 2012 budget to Salt Lake County for approval. SLVSWMF is also seeking the approval of
the 2012 budget from Salt Lake City.
Traditional types of midyear adjustments have been combined with the approved 2011 budget to form the 2011 amended
SLVSWMF budget. The major changes to revenue and expense will now be reviewed. All comparisons are made to the
amended 2011 budget.
The projected December 31,2012 cash balance for the SLVSWMF is$38,752,564.The projected cash balances by type
are: Closure/Post Closure $15,624,899, Designated $22,421,210 and Undesignated $706,455. The cash balance includes
the impact of the annual landfill dividend to the joint owners.The annual dividend is projected to be$1,575,000,
Revenue is projected to be$17,484,982.This is a year-to-year revenue increase of$2,210,084.The proposed budget for
expense is$14,195,827.This is a year-to-year increase of$375,185. Explanations for these changes follow.
SLVSWMF tipping fee revenue is budgeted to increase by$484,150. Ongoing tonnage is proposed to stay relatively flat.
The$2/ton July 2011 fee increase will be in effect for the entire budget year. No new fee structures have been added.There
are no changes to the DEQ or the Health Department per ton assessments.
Tipping fees for green waste are now tracked separately by the SLVSWMF. Based on increased tonnage, green waste
tipping fees will increase by$93,000.
No change in interest income revenue is projected. PTIF interest rates Aug 10 to Aug 11 changed from 0.6331% to
0.6214%.This is a.0117%decrease.
Three new shredders were delivered in 2011 and became fully functional in August 2011. They are projected to bring in
an additional $1,097,934 in revenue.The bulk of this revenue will be metal recovery. Compost sales have been soft for the
last three years and have not met budgeted levels. Hence compost sales will be opened up to commercial customers.With
that change it is anticipated that the revenue budget for compost sales will be met.
Initiative#
The one-time revenue of$30,000 from Quickcrete for the Transfer Station intersection has been removed.The project is
complete.Sale of vehicle revenue has been increased by$565,000 to reflect the sale of two grinders and one scraper.
Personal services is projected to decrease by $67,767. No changes are being made to either full time or temporary
headcount. Adjustments to base are a reduction of$65,769. Other changes net to a decrease of$1,998. In addition there
was a mid year 2011 increase of$6,067 to personal services which was not reviewed by Salt Lake City.
Materials and supplies are projected to increase by$25,998.The radios currently used are obsolete and will be replaced
at a cost of$20,000. Scale software and Waste Wizard hardware will be upgraded for$15,998.Three or four new computers
are needed and the total cost will be$5,000. Fewer tons are going to the face of the landfill so purchases of posi-shells will
decrease by$15,000.
It is proposed that the charges and services budget increase by$191,384. Fleet fuel is increasing$226,800 with gallons
remaining flat and the price of diesel fuel assumed to be $3.85/gallon. Road paving budget has increased $150,000 which
equals 2009 budget. Contract hauling has been increased by $62,035 to cover the anticipated fuel surcharge impact.
Maintenance expense for facilities and ground, office equipment and software will increase $60,000 because delays in
repairs are no longer feasible. Fleet maintenance will increase$19,010. Utilities expense is projected to increase by$7,000
and promotion of recycling is increasing $6,000.With projected increases in green waste tonnage fewer tons find their way
to the face.This reduces the GASB18 required closure expense by$282,461. Reduced face tonnage reduces DEQ fees by
$33,000, even though the DEQ fee structure did not change. The one-time Quickcrete expense of $30,000 has been
removed because the project is complete.Other adjustments net to a$6,000 increase.
Capital expense is projected to be$3,230,000. This is a budget-to-budget increase of$218,042. Scheduled replacement
capital includes $1,300,000 for two industrial shredders and $280,000 for a front-end loader. The significant increase in
green waste tonnage is the driver behind the purchase of a trommel screen for$450,000. Routine maintenance which will be
capitalized includes $250,000 in equipment repairs and $50,000 in solid rubber tires. Regulatory capital includes $350,000
for gas lines and $100,000 in OSHA related lighting for the transfer station. Safety capital includes $100,000 in concrete
work at the scale entry and $250,000 for a diesel packer to be used at the citizen unloading area. Planning expense o
$100,000,for the citizen unloading area is proposed to be rolled from 2011 to 2012.
Transfers from the SLVSWMF to other funds in Salt Lake County funds increased $7,528. Mid year 2011 reductions to
transfers totaling$49,214 were not previously reviewed by the Salt Lake City.
Based on changes in tonnage,the owners dividend is budgeted to increase by$10,500.
It is recommended that the Council approve the SLVSWMF budget.
Initiative#
SLVSWMF Landfill 2012 Budget
j I Initiative Name
Blank(Gordon will number) Calendar 2012
initiative Number I I Fiscal Year
_ Public Services Department Type of Initiative(enter on first tab)
Department I Type of Initiative
Greg Davis 801.535.6123
Prepared By Telephone Contact
(Negative) Positive _
General Fund-Fund Balance-
Impact
Revenue Impact By Fund: Fiscal Year Annual
Impact Amount Impact Amount
General Fund
Total $0 $0
Internal Service Fund
Total $0 $0
Enterprise Fund
SLVSWMF 17,484,962 17,484,982
Total $17,484,982 $17,484,982
Other Fund
Total $0 $0
Requested Number of FTE's: 0 0
Position Title:
No changes to staffing.The following is currently approved staffing: _
FPEs:
Full time 50.00
Seasonal 2.16
Total 52.16
Initiative#-a
•
Acco[mtiiig Detail Grant#and CFDA#If Applicadle:
Rcvenuc I
Salt Lake Valley Solid Waste Management Facility
Interest 155,000
Landfill Fees 11,905,000
Incoming Green Sales { _450,000
Compost Sales 425,000
Salvage Sales 3,677,482
Interfund Charges - 0
Other Sources 872,500
Total Revenue 17,484,982
Addition to Fund Balance 1,714,155
Expen c wc: I •
Personal Services _ 3,483,248
Operating and Maintenance Supplies 273,250
Charges and Services 6,781,718
Capital Outlay 3,230,000
Transfers 427,611
Total Expense 14,195,827
Annual Owners Dividend 1,575,000
One-time Distribution to Owners from Landfill cash balances
1Total Cash Flow i 15,770,827
Additional Accounts 1ils:
Revenue _ _ 17,484,982 i
Expense (14,195,827).
Annual Owners Dividend _ (1,575,000)
Addition to Fund Balance 1,714,155
Grant funds employee positions? I (Yes or No)
Is there a potential for grant to continue? (Yes or No)
If grant Is funding apsltIon is it expected the position will
be eliminated at the end of the grant? (Yes or No)
Will grant program be complete in grant funding time frame? (Yes or No)
Will grant impact the community once the grant funds are
eliminated? (Yes or No)
Does grant duplicate services provided by private or _
Non-profit sector? (Yes or NO)
Initiative#-b
SALT LAKE VALLEY SOLID WASTE MANAGEMENT FACILITY
PROPOSED BUDGET
Amended Proposed Dollar Percent
2011 2012 Change Change
Revenue and other sources
Landfill fees 11,420,850 11,905,000 484,150 4.2%
Green waste tipping fees 357,000 450,000 93,000 26.1%
Compost sales 425,000 425,000 - 0.0%
Salvage sales 2,579,548 3,677,482 1,097,934 42.6%
Interest income 155,000 155,000 - 0.0%
Sale of vehicle revenue - 565,000 565,000 -
Other sources 337,500 307,500 (30,000) -8.9%
Total revenue&other sources 15,274,898 17,484,982 2,210,084 14.5%
Expenditures and other uses
Salaries,wages, benefits 3,551,015 3,483,248 (67,767) -1.9%
Materials and supplies 247,252 273,250 25,998 10.5%
Charges and services 6,590,334 6,781,718 191,384 2.9%
Total operating expenses 10,388,601 10,538,216 149,615 1.4%
Capital outlay 3,011,958 3,230,000 218,042 7.2%
Transfers 420,083 427,611 7,528 1.8%
Total expenses and other uses 13,820,642 14,195,827 375,185 2.7%
Net before dividends&distrib. 1,454,256 3,289,155 1,834,899 126.2%
Dividends&distributions
Ongoing dividends 1,564,500 1,575,000 10,500 0.7%
One-time distribution - - - -
Total dividends&distributions 1,564,500 1,575,000 10,500 0.7%
Net after dividends&distributions (110,244) 1,714,155 1,824,399 -1654.9%
SALT LAKE VALLEY SOLID WASTE MANAGEMENT FACILITY
PROPOSED BUDGET
Amended Proposed Dollar Percent
2011 2012 Change Change
CONVERSION FROM COUNTY TO CITY
County
Revenue 15,274,898 17,484,982 2,210,084 14.5%
Expense 13,017,759 13,191,827 174,068 1.3%
Net 2,257,139 4,293,155 2,036,016 90.2%
City
Revenue per County 15,274,898 17,484,982 2,210,084 14.5%
Remove gain on sale of equip - - -
Add proceeds from sale of equip - - - -
Revenue per City 15,274,898 17,484,982 2,210,084 14.5%
Expense per County 13,017,759 13,191,827 174,068 1.3%
Remove depreciation (2,000,000) (2,225,000) (225,000) 11.3%
Remove loss on sale of equip (1,000) (1,000) - 0.0%
Add capital outlay 2,803,883 3,230,000 426,117 15.2%
Expense per City 13,820,642 14,195,827 375,185 2.7%
Dividends&distributions -
Ongoing dividends 1,564,500 1,575,000 10,500 0.7%
One-time distribution - - -
Total dividends&distributions 1,564,500 1,575,000 10,500 0.7%
Net after dividends&distrib. (110,244) 1,714,155 1,824,399 -1654.9%
Difference from Overview - - -
SALT LAKE VALLEY SOLID WASTE MAN FROM ADOPTED TO AMENDED BUDGETS
PROPOSED BUDGET
Original Amended Dollar Percent
2011 2011 Change Change
Revenue and other sources
Landfill fees 10,973,850 11,420,850 447,000 4.1%
Green waste tipping fees - 357,000 357,000 -
Compost sales 425,000 425,000 - 0.0%
Salvage sales 2,579,548 2,579,548 - 0.0%
Interest income 155,000 155,000 - 0.0%
Sale of vehicle revenue - - -Other sources 337,500 337,500 - 0.0%
Total revenue&other sources 14,470,898 15,274,898 804,000 5.6%
Expenditures and other uses
Salaries, wages, benefits 3,521,826 3,551,015 29,189 0.8%
Materials and supplies 247,252 247,252 - 0.0%
Charges and services 6,438,334 6,590,334 152,000 2.4%
Total operating expenses 10,207,412 10,388,601 181,189 1.8%
Capital outlay 2,803,883 3,011,958 208,075 7.4%
Transfers 469,297 420,083 (49,214) -10.5%
Total expenses and other uses 13,480,592 13,820,542 340,050 2.5%
Net before dividends&distrib. 990,306 1,454,256 463,950 46.8%
Dividends&distributions
Ongoing dividends 1,564,500 1,564,500 - 0.0%
One-time distribution - - - -
Total dividends &distributions 1,564,500 1,564,500 - 0.0%
Net after dividends&distributions (574,194) (110,244) 463,950 -80.8%
SALT LAKE VALLEY SOLID WASTE MAN FROM ADOPTED TO AMENDED BUDGETS
PROPOSED BUDGET
Original Amended Dollar Percent
2011 2011 Change Change
CONVERSION FROM COUNTY TO CITY
County
Revenue 14,470,898 15,274,898 804,000 5.6%
Expense 12,677,709 13,017,759 340,050 2.7%
Net 1,793,189 2,257,139 463,950 25.9%
City
Revenue per County 14,470,898 15,274,898 804,000 5.6%
Remove gain on sale of equip - - - -
Add proceeds from safe of equip - - - -
Revenue per City 14,470,898 15,274,898 804,000 5.6%
Expense per County 12,677,709 13,017,759 340,050 2.7%
Remove depreciation (2,000,000) (2,000,000) - 0.0%
Remove loss on sale of equip (1,000) (1,000) - 0.0%
Add capital outlay 2,803,883 2,803,883 - 0.0%
Expense per City 13,480,592 13,820,642 340,050 2.5%
Dividends&distributions
Ongoing dividends 1,564,500 1,564,500 - 0.0%
One-time distribution - -
Total dividends&distributions 1,564,500 1,564,500 - 0.0%
Net after dividends&distrib. (574,194) (110,244) 463,950 -80.8%
Difference from Overview - - -
SLVSWMF
Fee Comparison
2011 and proposed 2012
possible 2013-2018
assumptions:
no change to fee structure in proposed 2012 budget i _
SLVSWMF Board has requested that Landfill staff study cost recovery and fee structure
individually for Transfer Station,Green Waste Composting,Landfill Tipping Face,Customer UnloadingStation etc
Based on study fee changes will be proposed.ETA=July 2012 price change I - I
In the interim,using$2/ton fee chance each year be innin in Jul 2012 for the Refuse Fund Class RFP and Refuse Fund Class bucket
________I $2.00 $2.00 per 18 Oct 11 conversation with Larry Hansen
Pick-Up Truck Single Axle Trailers _Double Axle Trailers Commercial Transfer Station Transfer Transfer Transfer I Transfer Transfer Transfer
Flat Rate Flat Rate Flat Rate _ By Ton By Ton commercial station commercial Station commercial station commercial Station Commercial Station commercial station
2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 2012 2012 2013 2013 2014 2014 2015 2015 2016 2016 2017 2017
household trash $10.00 $10.00 $10.00 $10.00 $30.00 $30.00 .26.00 $26.00 $28.00 $28.00 $28.00 $30.00 $30.00 $32.00 $32.00 $34.00 $34.00 $36.00 $36.00 $38.00 $38.00 $40.00
household trash,SLCity and SLCounty n/a n/a n/a n/a n/a n/a $26.00 .,26.00 '.26.00 $26.00 $28.00 $28.00 $30.00 $30.00 $32.00 $32.00 $34.00 $34.00 $36.00 $36.00 $38.00 $38.00
clean green waste $5.00 $5.00 $5.00 $5.00 $15.00 $15.00 .16.00 $16.00 n/a n/a $16.00 n/a $16.00 n/a $16.00 n/a $16.00 n/a $16.00 n/a $16.00 n/a
construction debris $10.00 $10.00 $10.00 $10.00 $30.00 $30.00 $26.00 $26.00 n/a n/a $28.00 n/a $30.00 n/a $32.00 n/a ' $34.00 n/a $36.00 n/a $38.00 n/a
clean soil n clean sod $5.00 $5.00 $5.00 $5.00 $15.00 $15.00 $5.00 $5.00 n/a n/a $5.00 n/a $5.00 n/a $5.00 n/a $5.00 n/a $5.00 n/a $5.00 n/a
clean asphalt n concrete $5.00 $5.00 $5.00 $5.00 $15.00 $15.00 $5.00 $5.00 n/a n/a $5.00 _n/a $5.00 n/a $5.00 n/a $5.00 n/a $5.00 n/a $5.00 n/a
leaves,debagged $5.00 $5.00 $5.00 $5.00 $5.00 $5.00 $3.00 $3.00 n/a n/a $3.00 n/a $3.00 n/a $3.00 n/a $3.00 n/a $3.00 n/a
deceased animals n/a n/a n/a _ n/a n/a n/a $100.75 '.100.75 n/a n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a
special/medical waste n/a n/a n/a n/a n/a n/a $100.75 $100.75 n/a n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a
asbestos ti friable n/a n/a n/a n/a n/a n/a $500.75 $500.75 n/a n/a $500.75 n/a $500.75 n/a $500.75 n/a $500.75 n/a $500.75 n/a $500.75 n/a
asbestos'non-friable _ ' n/a n/a n/a n/a n/a n/a $100.75 $100.75 n/a n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a $100.75 n/a
household hazardous waste n/a n/a n/a n/a n/a n/a n a n/a n/a n/a n/a n/a n/a n/a n/a _ n/a n/a n/a n/a n/a n/a n/a
compost sale-per scoop(green waste I -- --
ground to mulch like product) $30.00 $30.00 $30.00 $30.00 $30.00 $30.00 $30.00 , $30.00 , n/a n/a , $30.00 n/a I $30.00, n/a $30.00 n/a $30.00 n/a $30.00 n/a $30.001 n/a