Recycling Agreement - Fort Benning Garrison and Clark Realty
Initiator
David Arrington, Deputy City Manager
Recommendation
Authorize the City Manager to execute an Memorandum of Understanding with the \n \n Fort Benning Garrison and a Services Agreement with Fort Benning Family \n \n Communities LLC (Clark Reality Capital) for residential and other recycling \n \n services on the Fort Benning Military Reservation.
Approval
Pending
Background
The City constructed a new Recycling/Sustainability Center to serve as a
regional recycling material processing center. The center primarily serves as
a processing center for local residential recyling efforts but has the capacity
and was intended to function as a regional center. The additional capacity
provides a revenue enhancement opportunity for the City in order to fund the
City's recycling effort. The City's partnership with Pratt Industry on
operations and marketing has been extremely successful in increasing tonnage
and revenue to support operation of the center. The City has been in
discussion with Fort Benning for several years to establish a public/public
partnership on recycling which would be fiscally advantageous to both
organizations. The opening of the City's new facility has provided the
opportunity for this partnership to become a reality. The initial phase of
this partnership will consist of a curb side residential program for all
housing areas on Fort Benning. Due to contractual obligations it is necessary
for the City to enter into an agreement with the Housing Management firm, Fort
Benning Family Communities LLC in order to implement the program. In
addition to the residential program, Fort Benning will direct their solid waste
contractor to transport all recycling materials to the City's center as opposed
to transporting the material to a landfill. This program is being implemented
as a pilot program for one year with an option to renew for two additional
years if successful. This partnership is projected to be a win/win for all
parties involved.
Analysis
The pilot program is scheduled to begin on October 1, 2014 or upon delivery of
the recycling trucks and 95 gallon containers. The containers are being
purchased by Fort Benning Garrison and Fort Benning Family Communities. The
agreements will provide a revenue enhancement opportunity for the City to fund
local recycling operations. The recyling effort will assist Fort Benning in
meeting several Department of Defense mandates involving sustainability goals.
The agreements provide for early termination by either party with a 30 day
written notice. The City will utilize leased equipment to perform the
services which limits our financial liability in the event the agreement is
terminated.
Financial Considerations
The City's will be responsible for leasing vehicles to support the contract and
additional staff to work the routes. Conservative estimates on the revenue
generated from the recycling is projected to exceed the cost of staffing and
equipment.
Projected Annual Fiscal Impact Statement
The City will incur operational expenses for leasing of equipment and staffing
if the pilot program is successful. The determination of success will be if
revenues exceed expenses. If not, the program will be terminated.
Legal Considerations
Council must approve the Memorandum of Understanding and Services Agreement
Recommendations/ Actions
Authorize the City Manager to execute an Memorandum of Understanding with the
Fort Benning Garrison and a Services Agreement with Fort Benning Family
Communities LLC (Clark Reality Capital) for residential and other recycling
services on the Fort Benning Military Reservation.