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088 of 2008 - adopting the Solid Waste Management Facility budget for calendar year 2009 (Landfill budget) 0 08-1 B 08-3 SALT LAKE CITY ORDINANCE No. 88 of 2008 (Adopting the Solid Waste Management Facility budget, which has been prepared and submitted by the Salt Lake Valley Solid Waste Management Council for calendar year 2009, subject to specific policy directives) AN ORDINANCE ADOPTING THE SOLID WASTE MANAGEMENT FACILITY BUDGET, AS PREPARED AND SUBMITTED BY THE SALT LAKE VALLEY SOLID WASTE MANAGEMENT COUNCIL, FOR CALENDAR YEAR 2009, SUBJECT TO SPECIFIC POLICY DIRECTIVES. PREAMBLE On November 14, 2000, Salt Lake City(the "City") and Salt Lake County(the "County") entered into an Interlocal Cooperation Agreement (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 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 Salt Lake Valley Solid Waste 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 Salt Lake Valley Solid Waste Management Council. The Salt Lake Valley Solid Waste Management Council has prepared the attached Solid Waste Management Facility budget for calendar year 2009 and has submitted said attached budget 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 Solid Waste Management Facility budget. The attached Solid Waste Management Facility 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 December 2, 2008 to consider the adoption of the attached Solid Waste Management Facility budget and ordered notice thereof be published at least seven days prior to the hearing. Notice of said public hearing was duly published as required herein. A public hearing to consider adoption of said Solid Waste Management Facility budget was held on December 2, 2008, in accordance with said notice, at which hearing all interested persons were heard for and against the estimates of revenue and expenditures in the Solid Waste Management Facility budget. The City Council wants to adopt the attached Solid Waste Management Facility budget for calendar year 2009, submitted by the Salt Lake Valley Solid Waste Management Council, subject to specific policy directives. Be it ordained by the City Council of Salt Lake City, Utah: SECTION 1. PURPOSE. The purpose of this Ordinance is to adopt the attached Solid Waste Management Facility budget,prepared and submitted by the Salt Lake Valley Solid Waste Management Council, for calendar year 2009, subject to the attached policy directives. SECTION 2. ADOPTION OF BUDGET. The attached Solid Waste Management Facility budget, prepared and submitted by the Salt Lake Valley Solid 2 Waste Management Council, for calendar year 2009, is hereby adopted subject to the attached policy directives, and subject to similar approval by the County. SECTION 3. RESERVE THE RIGHT TO AMEND. The City reserves the right to amend the attached Solid Waste Management Facility budget at any time, consistent with the Agreement. SECTION 4. PUBLIC INSPECTION. Copies of the attached Solid Waste Management Facility 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 9th day of December, 2008. CHAIRPERSON ATTEST: IEF DEPUT RECO ER Transmitted to the Mayor on December 11, 2008 Mayor's Action: Approved. X Vetoed. 11,f,,,f#; M . OR APPROVED AS TO FORM Salt Lake City Attorneys Office Date if- (It"—0 BY 3 ATTEST: y E-PR C P Y C RECO r • SEAL r �"�.;� Y�i(�• ) Bill No. gg of 2008. Published: 12-22-08 • HB_ATTY-#6 1 07-v1-Ordinance_adopting_landfill_budget_for_2009.DOC 4 • Initiative Name: Name of initiative SLVSWMF Landfill 2009 Budget Initiative Number: Blank Initiative Type: Type of Initiative initiative Discussion: 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 December 2007 for calendar year 2008. • SLVSWMF has submitted its 2009 budget to Salt Lake County for approval. SLVSWMF is also seeking the approval of the 2009 budget from Salt Lake City. Traditional types of midyear adjustments'have been combined with the approved 2008 budget to form the 2008 amended • SLVSWMF budget.. The major changes to'revenue and expense will now be reviewed. All comparisons are made to the amended 2008budget Year-tie-yearb+th revenue and expense will decrease by$5,037,602.Revenue is budgeted to equal expense Including an increase-of--$3;ti99,867- in fund balance. The projected December 31, 2009 cash balance for the 'SLVSWMF. is • $49,888,861';The projected cash•balances by-type are: Closure/Post-Closure-$26,820,337,,Designated$17,431,392 and Undesignated$5,637,122. Landfill tipping fee revenue is budgeted to increase by $1,080,000. This is driven by two factors. Ongoing tonnage is proposed to increase by 12,660 tons.During 2008 approximately 9,000 tons which were previously taken'to transfer.stations owned by vendors were tipped instead at the SLVSWMF transfer station, Based on cost and the convenient location of the SLWSWMF transfer station-this trend Is expected to continue.Several types of tipping fees are proposed to change. Green waste tipping fees are proposed to decrease by (l6.7%) to $5.00/load. Daily cover material tipping fee rate is proposed to increase by 148.6% to $22.00/ton. Clean fill material tonnage was previously tipped at the landfill for no charge. It is now proposedthatthe clean fill tipping fee be$12.35/ton.The special.handling materials fee is proposed to increase by 53.8%to $100.00 per tort. Interest income revenue is projected to decrease by S1,100,000. PTIF interest rates July 07 to July 08 have fallen from 5.26%to 3,01%.This is a 42.8%decrease. Expense at the.SLVSWMF Is proposed to decrease by$5,037,602. To follow is a discussion of the factors driving this decrease,by major category ef'expense. Personal serviicesis:projected to be fiat year-toyear, This-le an the dual impact of vancancies and lower-cost backfllling.The number of FTEs at the Landfill is proposed`to stay"flat with a total headcount of 57.25. •. Materials and supplies are.projected to jnorease by $20,01/0.The largest'component of this change-is-in;increase of $30,000 in small equipmentarid tools.The other'comporient:is a reduction of:$10,000 in.computer components. It Is :proposed that the charges and ser-vlces budget increase by $257,498: The changes in this category include a increase of$315,000 for fleet an increase_of$29,998..in-fleet maintenance and a$221,000 decrease in maintenance of facilities, grounds, office equipment, software-arid roads. A-component of this•savings is the landfill harvesting materials deposited at the.landfill.which can be used for road base.maintenance. Contract labor is projected to decrease by $60,000 now that staffingissues.related to Such items as traffic control and water wagon driving have been resolved. Contract hauling costs are-projectedto increase by$,90/ton.for a total increase of$182,000,Other adjustments total$11,500 in Increases. Capital expense is projected to decrease by$5,315,100. Within the last several years, the landfill has completed several large on-site construction projects.Hence,only three new on-site capital projects are planned for 2009, In addition, no capital equipment is proposed to be replaced during 2009. The landfill has reviewed replacement cycles and equipment condition. Based on this review the landfill believes that no equipment should be replaced during 2009. It is recommended that the Council approve the SLVSWMF budget. Initiative# • SLVSWMF Landfill 2009 Budget Initiative Name (Blank) 2008-09 Initiative Number Fiscal Year Public Services • (TvPe of initiative) • Department Type of Initiative Greg Davis 535-6123 Pre_pared By . . Telephone Contact (Negative) Positive !SLVSWMF -Fund Balance- . 3,899,867, __ 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 10,245,633 10,245,633 Total` $10,245,633 $10,245,633 Other Fund Total. $0 $0 Staffing_Impact_ 'Requested Number of 0 0 'Position Title: I I . • Initiative#-a ccounting Detail Grant#and CFDA#If Applicable: evenue: _ Amount Salt Lake Valley Solid Waste Management Facility Interest $ 1,400,000 Landfill Fees $ 11,530,000 Compost Sales $ 395,000 Salvage Sales $ 460,000 Intertund Charges $ 95,000 Other Sources $ 265,500 Fund Balance...(Favorable)/Unfavorable $ (3,899,867) Total $ 10,245,633 xpenditure: Amount Personal Services $ 3,560,256 Operating and Maintenance Supplies $ 226,300 Charges and Services $ 5,879,377 Capital Outlay — $ 579,700 Total $ 10,245,633 Additional Accounting Details: 1 j - Grant Information: �. Grant funds employee positions? (Yes or Noj Is there a potential for grant to continue? (Yes or Now _If grant is funding a position 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) WIII 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 SOLID WASTE MANAGEMENT FACILITY Fees and Charges Ise • . . o Landfill Compost Salvage Interfund Other Fund Funding Interest Fee L Sales I Sales I Charges Sources Balance Total FY0708 Budget-Adopted , 8 8,8 a' 10,450,000 395,000 385;000 95,000 1, I$ , ••,•7 1 , - ,1 . FY0708 Budget-Mid year adjustments (59,942) (59,942) FY0708 Budget-Amended 2,500,000 10,450,000 395,000 385,000 95,000 251,500 1,206,735 15,283,235 Signiticant Changes I (Interest...rates dropping significantly...S.26%vs 3.01% (1,100,000) (1,100,000) Changes to tipping n handling tees-some down others up significantly 1,080,000 1,080,000 Higher market prices for salvage materials 75,000 75,000 Favorable changes in soil regeneration market 15,000 15,000 Rental (1,000) (1,000) Fund Balance (5,106,602) (5,106,602) Total Changes (1,100,000) 1,080,000 75,000 14,000 (5,106,602) (5,037,602) FY0809 Budget 1,400,000 11,530,000 395,000 460,000 95,000 265,500 (3,899,867) 10,245,633 per landfill Personal I Materials/I Charges/ I Fund Budget History FTE I Services Supplies Services Capital Balance Total FYO/O8 Budget-Adopted . 3,530,677 206,300 5,711,400 5,894,800 4 FY0708 Budget-Mid year adjustments 29,579 (89,521) (59,942) FY0708 Budget-As Amended 57.25 3,560,256 206,300 5,621,879 5,894,800 15,283,235 I Significant Changes I Adjustment to Base (5,894,800) (5,894,800) Computer Components (10,000) (10,000) Small Equipment,value<$1,000+ Small Tools 30,000 30,000 Landfill Closure Costs ...light by$30K 20,000 20,000 Rental Equipment (30,000) (30,000) Contract labor (60,000) (60,000) Contract hauling-cost/ton increasing by$.90 182,000 182,000 Health Department/Hazardous Waste 75,000 75,000 Fleet maintenance 29,998 29,998 Fleet fuel 315,000 315,000 Intergovernmental Charges Accounting Support (43,300) (43,300) Other 800 800 • Maintenance of facilities'n grounds+office equip+s/w (120,000) (120,000) - Maintenance of roads (101,000) (101,000) Other Professional/Consulting SLC City Engineering Support (7,600) (7,600) Aerial and Ground Surveys (3,000) (3,000) Other (400) (400) Capital Projects: De-watering Ditch Litter Fence 200,700 200,700 Asphalt Overlay Road Surface 111,000 111,000 Asphalt Citizen Brush Unloading Area 268,000 268,000 Capital Equipment- None Prior Year Items-None Total Changes 20,000 257,498 (5,315,100) (5,037,602) FY0809 Budget 57.25 3,560,256 226,300 5,879,377 579,700 10,245,633 10/30/2008 9:09 AM SLVSWMF Budget Template 2009.xIs budget sch SOLID WASTE MANAGEMENT FACILITY Bridge from County to City numbers FY0809 Budget Revenue Per County 14,145,500 • plus: net use of fund balance (3,899,867) plus: gain on sale of vehicles Per City 10,245,633 10,245,633 Expenses Per County 11,880,988 less:depredation (1,820,000) less: loss on sale of vehicles (1,000) less: indirect costs (394,055) add: capital 579,700 Per City 10,245,633 10,245,633 ( ) I ( i 10/30/2008 9:09 AM SLVSWMF Budget Template 2009.xds budget sch