Nielsen, Evans sign WMI contract;
County Auditor doesn't
updated 03/20/02, posted 03/19/02
At the BOCC meeting March 19, County Commissioner Rhea Miller's motion asking the county to follow the advice of the Solid Waste Advisory Committee to hold a public hearing and conduct a weight test before signing the contract with Waste Management Inc. died for lack of a second. County Commissioner Darcie Nielsen made a motion to sign the contract. The motion passed 2 to 1 with Commissioner John Evans and Nielsen voting for it and Miller voting against.
Under the contract WMI will transport garbage and transport and process recyclables from the county through Dec. 31, 2012. County Auditor Si Stephens asked the commissioners to allow him to do a financial analysis of the contract before it was awarded. Because they chose not to have him conduct an analysis he said he could not in good faith sign the contract.
The contract requires only the signatures of a majority of the BOCC. As a matter of policy, the county Auditor and the county Prosecutor usually sign contracts the county enters into.
Contract approved with WMI
posted 03/14/02
After a 6½ hour worksession spread over two days, San Juan County Board of Commissioners voted 2 to 1 on March 13, 2002 to award a contract to Waste Management Inc. Commissioner Rhea Miller voted against awarding the contract for transporting garbage; transporting and processing recyclables to the corporation.
County Commissioner Darcie Nielsen voted for the contract because she believes it is the way of the future. "Bale and haul system is obsolete." The success of recycling programs is dependent on getting the product back to the industry that will use it. The large quantities WMI deals with means it can provide a steady source of product.
County Commissioner John Evans believes the switch will save the county money. "By getting our finances in order we will be independent," he said. Creation of a year round hazardous waste program would be possible funds were available. "When you are broke you're broke," he said. "There is no discretionary money. You have no discretion. "
County Commissioner Rhea Miller said, "We will lose local control with this contract. I presented months ago a program which would allow us to expand and create model plants on Orcas and San Juan Islands... There is no substitute for a public hearing. I don't understand why we can't have one. Signing this without a financial analysis will kill public sentiment for courthouse expansion."
County Auditor Si Stephens recommended the BOCC wait until a cost analysis was done before approving the contract. "I may be the only Lopezian in the world, who is a supporter of the MRF," he said. "But I don't know the cost. It would be prudent to analyze cost and capital expenses. Not only would I like to do that. We owe it to our constituency for a contract that will last longer than any of us will be in office."
Commissioner Darcie Nielsen disagreed with his request, she believed adequate analysis had already been done. She said, "I understand political animals. You have never asked for that type of operational cost analysis."
Stephens replied, "This is the first time the county entered into a 10-year- contract. If this has a significant capital component. We ought to be upfront and ought to say so. The data ought to be there."
Capital expenses are listed in six-year plans by the county. Solid Waste Manager Jon Shannon said the operational change can be made without any capital expense. While no improvements are necessary, new tipping floors and Z walls for the Orcas and San Juan Island transfer sites would make the comingled system work better. He said, "I don't want to do the design until we have a 20-year-infrastructure plan in place.
A section of the contract calling for the county to direct by ordinance that all municipal solid waste (MSW) originating in the unincorporated areas of the county be delivered to the transfer stations was included in case the county's existing ordinance was not sufficient. San Juan County Prosecutor said, "It wasn't determined if we needed one or not. It is just a cautionary measure." He believes the existing ordinance which allows for disposal of MSW only at county sites adequately covers flow control.
Questions about guaranteed weights were raised. A correction was made to the formula as originally written.
DIF =( (ACWG-ACWA) - 1) ) x T, where:
ACWG=Actual Average Container weight guarantee
ACWA = Actual annual average container weight calculated in accordance with Section 7.4
T = Total number of Containers transported in the previous year x Tipping fee set forth in Section 8.1 through 8.3.
Public comment centered on the lack of a public hearing and discomfort with stopping source-separated recycling. A sampling of the public comment is provided on another page.
At the end of the worksession, County Commissioner John Evans noted he was more exhausted after the worksession than he was after unloading 30 tons of hay over the weekend.
WMI contract discussion continues Wednesday
posted 03/13/02
The Board of County Commissioners' worksession on the proposed Waste Management Inc. contract continues at 9 a.m. Wednesday, March 13 in the county Courthouse. More than 150 people attended the BOCC's discussion Tuesday. Several members of the audience expressed outrage when Commissioners Darcie Nielsen and John Evans wouldn't second a motion by Rhea Miller to hold a public hearing on the contract. A petition requesting a public hearing was presented during the BOCC's morning session Tuesday. There are 1,052 names on the petition.
The contract changes the way the county handles recyclables. The Solid Waste Division believes the change is an operational change rather than a policy change which would mandate a public hearing. Michael McBrayer sought a restraining order to prevent approval of the contract without a public hearing. County Prosecutor Randy Gaylord argued the petitioner had not established legal standing since user fees rather than taxes pay for the services covered by the contract. He told Judge Alan Hancock the county was obligated to award the contract to WMI since it was the lowest bidder. In a written statement, Solid Waste Manager Jon Shannon said if the contract was not approved WMI might withdraw its offer. Judge Alan Hancock turned down the petitioner's request.
During the 2½ hour worksession, Shannon explained the reasons the contract was being recommended. The county went out for bids to achieve certain goals he said.
- to reduce the cost of recycling and garbage services.
- to maintain services at or above current levels.
- to free up capital for future system improvements
- to keep options open
- to control our own destiny. (Currently San Juan County piggybacks on Island County's contract with WMI. By having its own contract with WMI)
Much of the discussion focused on the county's obligations to WMI under the new contract. When did the recyclables and municipal solid waste come under WMI's control. Seattle attorney Steve DiJulio of Foster, Pepper and Shefelman said, "You (residents) own your waste until you dispose of it at the county facility. The county owns it until it is put in the containers and sealed. Once it is sealed in the container it is owned by WMI."
Commissioner Darcie Nielsen wanted assurance that the contract would not prevent the county from processing recyclables though innovative means such as worm bins. Shannon said the contract did not obligate the county to give its recyclables to WMI. "It was critical to all of us that we maintain control of all of this." he said.
Questions about the flow control ordinance required in the contract was discussed. The ordinance would require all municipal solid waste generated in the unincorporated part of the county be taken to the transfer station. County Commissioner Rhea Miller noted adoption of an ordinance requires a public hearing. Gaylord agreed it did. He said a current county ordinance which makes it unlawful for any person to dispose waste except at county sites might meet the contract's requirements.
Miller expressed concerns about the lack of financial risk and cost benefit analysis of the contract. She also questioned whether the county can meet the guaranteed average container weight requirements. The county must pay liquidated damages for the difference if it comes up short on the average container weight. It is computed on an annual basis.
The extent of capital improvements required was also a topic of discussion. The bale and haul alternative was not recommended by county staff because of capital costs involved. Shannon said the WMI contract could be implemented without any capital expenses. "There are things we could do and hope to do to make easier," he said. A tipping floor for the recyclables was an example.
As time ran out, Miller asked again if capital improvements would be necessary. "Are you looking at construction of concrete walls and tipping floors to put recyclables in trailer? " she asked.
Shannon answered yes.
The worksession continues at 9 a.m. today in the commissioners hearing room in the county courthouse.
| 
