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SR 02-28-2023 7A City Council Report City Council Meeting: February 28, 2023 Agenda Item: 7.A 1 of 32 To: Mayor and City Council From: Rick Valte, Public Works Director, Public Works, Resource Recovery & Recycling Subject: Solid Waste Rate Study Recommended Action Staff recommends that the City Council: 1. Receive staff analysis of the Resource Recovery and Recycling solid waste rate study. 2. Review rate adjustment options and provide direction. 3. Consider the creation of a solid waste rate discount program and provide direction. Executive Summary The City’s Resource Recovery and Recycling Division (RRR) is an enterprise fund operation that provides sanitation and waste services to foster a clean, safe, and sustainable Santa Monica. In FY 2022-23, RRR has an annual budget of $37 million and employs a workforce of 93.9 full-time equivalent (FTE) essential workers who provide services to Santa Monica residents, businesses, and visitors. The City was due for solid waste rate adjustments in 2020 but made a conscious decision to defer rate increases as a way to protect ratepayers from further financial challenges during the COVID-19 pandemic. After three years without any adjustment in rates, RRR must adjust its rates in 2023 to ensure financial self-sufficiency, operational resiliency, and adapt to both new State mandates and the changing needs of RRR customers. The RRR operation is self-sustaining through its revenue-generating services and requires no financial subsidy from the General Fund. In fact, 92% of RRR’s revenue 7.A Packet Pg. 321 2 of 32 comes from solid waste utility billing. Due to the three-year delay in evaluating rates, RRR today relies on reserves to make up the difference between revenues and operational costs. Adding to the immediacy of the situation is emerging service mandates from the State’s Short-Lived Pollutants Act (SB 1383) and a significant increase in requests for bulky item pick up and other services. A solid waste rate increase is necessary beginning in FY 2023-24 to remain solvent and sustain RRR operations. Without a rate increase, RRR would deplete its reserve funds in early FY 2024-25, unable to continue providing sanitation and recycling services to the community and fail to meet State regulations on mandatory recycling. In this report, staff will discuss the RRR services that are funded by the solid waste rates, the status of the RRR enterprise fund, why a rate adjustment is necessary, two rate adjustment options, and the proposed timeline for the next six months. Staff recommends that the City Council review the two rate options presented in this staff report and provide direction. Based on comments received from Council and through the community outreach process, staff will present the final solid waste rate study for Council approval in June 2023 and implement new rates beginning August 2023 and on July 1st thereafter from 2024 through 2028. Background Resource Recovery and Recycling Services The City provides more services funded by its solid waste rates than most other jurisdictions in Los Angeles County or the State. These services include: 1. 7-day-a-week year-round sanitation services to over 93,000 Santa Monica residents (service ratio: 1 RRR employee serves 1,000 people) and an estimated 147,000 (post-pandemic) to 250,000 (pre-pandemic) of daytime population including international and regional tourists, shoppers, and workers (service ratio: 1 RRR employee serves 1,565-2,662 people) 2. Regulatory compliance, implementing California’s mandatory recycling laws, and leading the City Council’s Zero Waste by 2030 sustainability goal 7.A Packet Pg. 322 3 of 32 3. Collecting, transporting, and recycling/disposing three streams of solid waste materials from 7,000 single-family, 5,000 multi-family, and 1,450 commercial customers: landfill trash, recyclables, and organics 4. Bulky item pickup and illegal dumping collection and alley cleanup 5. Sweeping all streets to prevent debris from entering the storm drains and polluting the Santa Monica Bay 6. Servicing sidewalk litter and recycling containers (excluding containers in: Downtown Santa Monica -- maintained by the City’s Promenade Maintenance division; Santa Monica Beach – maintained by the City’s Beach Maintenance division; and all City parks – maintained by the City’s Public Landscape division) 7. Household and small business hazardous waste collection program 8. Zero waste programs, including construction and demolition material recycling, zero waste event management, education and outreach, on-demand door-to- door household hazardous waste collection, community recycling events (e.g. paper shredding and compost giveaway), and edible food recovery 9. Pressure-washing services (fee-based service) 7.A Packet Pg. 323 4 of 32 Figure 1. RRR Services. RRR staff provide more services than most jurisdictions, including alley cleanup, street cleaning, collecting and transferring the City’s recyclables and organics, community recycling events, door-to-door hazardous material pickup for residents, and zero waste programming. With a full-service municipal solid waste operation, Santa Monica enjoys the added benefits of: 1. Local control over operations and cost. 2. Flexibility in service offerings. 3. Ability to pivot to meet public needs, City and State policies, and Council priorities. Santa Monica is one of only three cities in Los Angeles County that provides the above services to both its residential and commercial customers as a municipal service (the other two cities are Culver City and Claremont). Table 1 provides a service comparison with Culver City, Claremont, and other neighboring cities. 7.A Packet Pg. 324 5 of 32 Table 1. Solid Waste Service Comparison City One Bundled Rate for Trash, Recyclables, and Organics to Incentivize Recycling Unlimited Bulky Item and Illegal Dumping Collection Included in Rate Door-to-Door Household Hazardous Material (HHW) Collection Included in Rate Monthly Recycling Events Included in Rate (e.g. paper shredding, compost giveaway, etc.) Zero Waste Goal Programs Santa Monica Yes Yes Yes, for all residential customers Yes, for all residential customers Yes Culver City Yes, for single- family residents only; multi-family and commercial customers must pay for each container separately Yes, for residential customers No No No Claremont Yes Yes – 3 items per year for residential customers only No No No Burbank Yes, for single- family residents only; multi-family and commercial customers must pay for each container separately No No No No Beverly Hills Paid via tax roll based on home’s square footage Yes No No No West Hollywood No - all customers must pay for each container separately Yes No No No Santa Monica’s rates also compare favorably to that of these cities. Single-family rates are slightly higher than comparable cities to account for the additional services provided above. The rates for multi-family and commercial are substantially lower than the comparable cities and will be examined further in the discussion section below. RRR Expenditures: Where Does the Money Go? RRR provides high levels of service to the community, with a history of low-rate increases, controlled expenses, and steady reserves in the years leading up to 2020. After reviewing financial data from the last ten years, the City’s rate study consultant concluded that the RRR Enterprise Fund was very healthy in all years. In addition to maintaining financial stability, RRR was able to successfully navigate through the global downturns in recycling markets resulting from China’s National 7.A Packet Pg. 325 6 of 32 Sword Policy in 2017 while implementing several important State mandates, including mandatory commercial recycling (AB 341) in 2012, mandatory commercial organics recycling (AB 1826) in 2016, and the Short-Lived Pollutants Act for mandatory organics recycling (SB 1383) in 2022. RRR has a total budget of $37 million for FY 2022-23, which includes operating costs, capital improvement programs, and non-departmental transactions. As illustrated in Figure 2, the majority of expenses fall into either labor (33%), vehicles and capital assets (32%), or post-collection activities including the transportation, disposal, and recycling of solid waste materials (23%). Figure 2. RRR Expenditures Breakdown, FY 2022-23 RRR Revenues: Where Does the Money Come From? The RRR operation is funded by the RRR Enterprise Fund. Independent from the General Fund, enterprise funds operate like private enterprises – revenues must cover expenditures, and proper reserves must be maintained for unexpected expenses. The RRR Enterprise Fund functions as a separate financing entity, and it is self-sustaining through its own revenue sources and expenditures without any General Fund subsidy. 7.A Packet Pg. 326 7 of 32 RRR is projected to generate $29 million in revenues in FY 2022-23. Figure 3 demonstrates that over 92% of revenue comes from solid waste utility billing – the predominant source of revenue to fund RRR services. The rest comes from fee-based services (5%), such as pressure washing, plan checks, and permit fees, and other miscellaneous sources (3%), including Federal and State government rebates for alternative fuel credits and recycling programs. Figure 3. RRR Revenues Breakdown, FY 2022-23 RRR Rate Study The mechanism through which to analyze and set solid waste utility rates is called a rate study, commonly conducted by an independent solid waste consulting firm. The City’s fiscal policy for utility enterprise funds is to conduct a rate study every five years to set new rates for the next five years. The last solid waste rate study was approved by City Council nearly nine (9) years ago in 2014 (Attachment A). In 2019, staff engaged R3 Consulting Group, Inc. to conduct a new rate study. The rate study was near completion in early 2020, with planned rate updates beginning in FY 2020-21, when the COVID-19 global pandemic brought the process to an abrupt halt. COVID-19 Impacts In March 2020, the RRR rate study was suspended at the onset of the COVID-19 pandemic and the subsequent stay-at-home orders and business shutdowns in the 7.A Packet Pg. 327 8 of 32 United States. Mindful of the uncertainties and hardships faced by many, the City made a conscious decision to avoid placing additional financial burdens on ratepayers by putting the RRR rate study and proposed rate increases on pause. The pandemic lasted longer than expected, resulting in a three-year rate freeze in 2020, 2021, and 2022. Solid waste utility rates have not increased since FY 2019-20. The historical rate increases since the 2014 rate study, and the three-year rate freezes since 2020, are shown in Table 2 below. Table 2. City’s Historical Solid Waste Rate Increases Year Single-Family Customers Multi-Family Customers Commercial Customers 2014-15 3.85% 1% 7.25% 2015-16 3.85% 1% 7.25% 2016-17 3.85% 1% 7.25% 2017-18 CPI - 2.5% CPI - 2.5% CPI - 2.5% 2018-19 CPI - 3.7% CPI - 3.7% CPI - 3.7% 2019-20 CPI - 2.6% CPI - 2.6% CPI - 2.6% 2020-21 COVID 0% 0% 0% 2021-22 COVID 0% 0% 0% 2022-23 COVID 0% 0% 0% While the City’s solid waste rates sustained a 0% increase for the past three years, inflation and the cost of doing business kept rising. The nation’s inflation rate skyrocketed to 7.1% in 2021 and 6.5% in 2022, while the previous average between 2012 to 2020 was 1.6%. Concurrently, the State’s mandatory organics recycling law SB 1383 came into effect in 2022, necessitating the adoption of a local mandatory organics recycling ordinance, investment in additional resources to implement the State and local laws, and meeting regulatory compliance. The combination of inflation, contractual and supply cost increases, and new mandated compliance resulted in a $9.5 million expenditure increase in the RRR Enterprise Fund for FY 2022-23, as demonstrated in Figure 4. 7.A Packet Pg. 328 9 of 32 Figure 4. While COVID-19 Triggered a Three-Year Rate Freeze, Cost of Doing Business Increased by $9.5M After a three-year rate freeze, updated solid waste rates are necessary at this critical juncture to sustain the RRR operation. Accordingly, staff re-engaged the rate consultant to update and complete the 2022 solid waste rate study (Attachment B). The rate findings (Attachment F) are summarized in the Discussion section below. Past Council Actions Meeting Date Description 5/13/2014 (Attachment A) Adoption of Solid Waste Rates 2/14/2023 (Attachment B) 2022 Solid Waste Rate Study Third Contract Modification Discussion Current Fund Status The three-year rate freeze and the increased cost of doing business created the perfect storm for the RRR Enterprise Fund. Despite prudent budget management, organizational restructuring, deferring capital projects, and leveraging reserves on a one-time basis during the difficult COVID years to postpone a rate increase to the ratepayers, much of the available RRR Fund reserves have been spent down. As explained earlier, revenues generated from solid waste utility billing and other 7.A Packet Pg. 329 10 of 32 miscellaneous programs ($29 million) are projected to be $8 million lower than the required operating and capital funds to maintain operation ($37 million) in FY 2022-23. In other words, the Fund is currently operating at a structural deficit of $8 million and relying on reserves to sustain RRR services. The current fiscal year started with $22.5 million in reserves in July 2022, of which 35% (estimated at $8 million) is projected to be used to fund RRR’s operation until the end of June 2023. Trends Impacting the Fund Since the last rate study was approved in 2014, there have been significant changes to the solid waste industry. Any new rate study looking forward must take into account a number of dynamic factors. New State Mandates The mandates of the State’s Short-Lived Pollutants Act (SB 1383) and the City’s corresponding mandatory organics ordinance adopted in November 2021 means increasing service demand for organics collection. Since adoption, over 2,500 additional organics containers have been, and more will continue to be, distributed to new locations as RRR implements green container rollout to all neighborhoods. This is an additional route of service that must be provided to every customer. SB 1383 also mandates the City to educate and enforce organics recycling by inspecting locations to ensure compliance. Currently, RRR has one Zero Waste Assistant to cover the outreach, education, and compliance inspection of over 13,000 solid waste account locations in the City. Staffing Solid waste collection is an incredibly labor-intensive operation. The quantity and quality of staff make a huge difference in establishing a resilient and efficient workforce. A total of 24 as-needed frontline personnel and 4 permanent positions were eliminated from RRR during COVID-19 restructuring. As staffing reduced, remaining workers had to work faster and longer hours to cover services, resulting in an unsustainable work environment. As a result, daily absences rose 57% from 5.15 FTE in FY 2019-20 to 7.A Packet Pg. 330 11 of 32 8.09 FTE in FY 2021-22 and continue to rise in FY 2022-23. These statistics already excluded callouts related to COVID-19 illnesses. These open and unassigned collection routes that currently exist on most days must be added to other RRR Equipment Operators’ daily workload regardless of their original route assignment (Landfill Trash, Recyclables, or Organics). Workers oftentimes struggle to finish their original assigned route plus the additional stops. Uncollected stops are rolled over to the following days, leading to further service delays and customer frustration. Therefore, staffing shortages cause an adverse domino service impact on the overall collection schedule and operation. Without right sizing the collection staff, missed or delayed collections will continue to increase as existing staffing is insufficient to meet new mandated demand and frequencies. Changes in Customer Needs There has been a notable uptick in illegal dumping activities and bulky item collection requests. One observation is consumer behavior changed during the pandemic and exacerbated the problem of discarded items. Many residents cleaned out large items from their homes, purchased “fast furniture” (Attachment C) that are not meant to be durable, and switched to online shopping and delivery services for groceries and other goods that resulted in additional discarded packaging materials. Many of those new habits persist today. 7.A Packet Pg. 331 12 of 32 Figure 5. Alley Cleanup is a Critical Service to Maintain a Clean and Safe Santa Monica Before and after photos of an alley cleaned up by RRR Simultaneously, the inception of the City’s 311 team in March 2021 made it easier than ever for residents to report on issues or request services, including bulky item and illegal dumping removal. As a result, the number of 311 requests the City received for bulky item and illegal dumping collection gradually increased over time and surged to a staggering 180 requests per day in January 2023. Bulky item and illegal dumping cleanup was the number one requested City service of all 311 tickets citywide. Beyond just the additional trash in the alleys, the City’s street sweeping operations are also in a period of transition. The City is projected to have constructed 3.56 miles of protected bike path by the end of FY 2022-23 to promote car-free transportation and improve bike rider safety. The total mileage of protected bike path is anticipated to expand threefold to 10.41 miles in FY 2023-24 and almost seven times to 21.05 miles in FY 2025-26. 7.A Packet Pg. 332 13 of 32 Protected bike paths create additional sweeping needs that cannot be accommodated within the current street sweeping structure. The City’s streets are divided into different street sweeping districts, each with a different “No Parking” two-hour window as enforced by Traffic Services in the Police Department. Therefore, street sweeping is a time-sensitive service: RRR workers must complete sweeping dozens of streets within the same two-hour window before parking restrictions are lifted and parked cars return. Meanwhile, protected bike path sweeping requires a different vehicle and timing. As the quantity increases, additional resources will be required to maintain clean and safe paths moving forward. Sustainability Santa Monica maintains a long-standing commitment to sustainability and fighting climate change. A central tenet of that effort has been the mandate of achieving Zero Waste by 2030. Above and beyond what has been mandated by the State, Council adopted in 2014 (Attachment D) and updated in 2019 (Attachment E) the City’s Zero Waste Strategic Operations Plan (Zero Waste Plan) to provide an environmental policy framework that can guide the City on its path to achieving zero waste (1.1 pound per person per day, or PPD, of landfill waste disposal by 2030). The City currently generates 3.5 PPD, and much progress is needed in zero waste strategy implementation during the span of this rate study in order to achieve the 2030 goal. Staff continue to identify new and expanded zero waste opportunities that help to increase diversion from landfills as techniques and technologies become available. How Proposed RRR Rates are Calculated It is important to understand the City’s rate setting methodology. The 2023-2028 Five- Year Solid Waste Rate Study forecasts the future performance of the RRR Fund, including expenses, use of reserves, target reserve levels, and the overall revenues necessary to cover expenses and meet reserve targets over time. Expenses were forecasted based on current expenses as well as conservative increases in those 7.A Packet Pg. 333 14 of 32 expenses and other proposed, planned, or known changes to costs over time (i.e., proposed staffing rightsizing and anticipated increases to post-collection expenses, as examples). From there, expenses were allocated to one of two categories – carts or bins – which correspond to the primary service offering types available to residents and businesses. That allocation was made based on a blended metric of the number of accounts served, the number of days they are served, the number of annual tons collected, and the amount of revenue derived from that category. Once the expenses were allocated to carts vs. bins, then the amount of those expenses were compared to the amount of revenue derived from current rates. Because the RRR Fund is currently running a deficit, revenues from both cart and bin customers are less than the expenses attributed to the service provided to each of those categories. Thus, revenues for both cart customers and bin customers need to increase in order to cover forecasted expenses. Any rate or fee calculated through a rate study must conform with the requirements of Proposition 218. Proposition 218 fees include fees for sewer, water, and refuse service. Proposition 218 imposes the following standards on the amount of fees that can be charged, as follows: • Revenues derived from the fee or charge must not exceed the funds required to provide the property-related service; • Revenues derived from the fee or charge must not be used for any purpose other than that for which the fee was imposed; • The amount of a fee or charge imposed upon any parcel must not exceed the proportional cost of services attributable to the parcel, though a parcel by parcel analysis is not required before imposing the fee; • The fee or charge may not be imposed for a service unless the service is actually used by, or immediately available, to the owner of the property subject to the fee or charge; • No fee or charge may be imposed for general services, where the service is available to the public in substantially the same manner as it is to property owners. 7.A Packet Pg. 334 15 of 32 Proposition 218 also requires at least 45-day notice of the public hearing at which the rates are considered and an opportunity to protest the rates is provided before the rates are imposed. The City will mail the public notice outlining the proposed rate changes to all property owners and utility account holders no later than 45 days prior to the public hearing date. Rate Strategies: Next Five Years As the community slowly recovers from the COVID-19 impacts, the City intends to continue protecting ratepayers and aiding economic recovery by smoothing the necessary rate increases to be consistent across all years and avoiding dramatic near- term rate spikes. In order to gradually phase in the rate increases, the rate study report recommends the continued use of reserves through the next three fiscal years (estimated at $9.8 million) to offset a portion of the increases that would have been otherwise needed. In other words, the RRR Enterprise Fund is projected to continue operating at a structural deficit (revenues below expenditures) in FY 2023-24, FY 2024- 25, and FY 2025-26 even if Council approves the proposed rate increases discussed in the rate adjustment options section of this report. By the end of FY 2025-26 (Year 3 of this rate study period), the fund reserves are projected to dip to 6.9% or $2.7 million. The rate study strongly advises that the City slowly build up its reserves to the recommended level of 25% or 90 days of operating budget expenses by FY 2027-28 (Year 5 of this rate study period) for the following reasons: • A 90-day operating reserve is the industry best practice for solid waste enterprise funds in the state. • A 90-day operating reserve is the City’s adopted reserve target for other utility enterprise funds, such as the Water and Wastewater Funds and would provide uniformity across municipal-provided utilities. 7.A Packet Pg. 335 16 of 32 • A 90-day reserve can tolerate a higher level of economic uncertainty and absorb more risk around unrealized revenues from utility billing. During the peak of the COVID-19 pandemic, many businesses shut down; offices transitioned to remote or hybrid working; and restaurants shortened their business hours or shifted to takeout service only. All of these changes meant commercial customers were requesting a reduced level of solid waste collection and thereby less billing revenues for the RRR Fund. Keeping rate increases moderate is important in the current economic climate. Simultaneously, the City bears a fiscal responsibility to keep the RRR Enterprise Fund healthy so that it can continue to provide critical sanitation, public health, and zero waste services to maintain a clean, safe, and sustainable community for residents and businesses. Staff believes maintaining three months of operating expenses in reserve for an operation of this size is a prudent fiscal policy (Figure 6). 7.A Packet Pg. 336 17 of 32 Figure 6. RRR Fund History and Forecast, FY 2014-2028 Two rate adjustment options will be proposed and discussed below. Option One – staff’s recommendation -- would accomplish the following five goals for the next five years: 1. Achieve financial stability in the RRR Enterprise Fund to sustain RRR operations and meet State mandated regulatory compliance 2. Build fund reserves to industry standards of 90-day operating budget by Year 5 3. Modernize and simplify the rate structure to meet solid waste industry standards 4. Right-size staffing level to meet current community needs 5. Enhance services to support Council’s priority to maintain a clean and safe city through the establishment of a regularly scheduled alley cleanup service by enhancing the Bulky Item Illegal Dumping (BIID) response team and creating a new quarterly Community Cleanup Program (CCP) 7.A Packet Pg. 337 18 of 32 Option Two – a slightly reduced rate increase -- would still accomplish the first four goals. However, it would not allow for the capacity to achieve the fifth goal of enhanced clean and safe services. Option One: Enhanced Clean and Safe Services (Staff Recommendation) Option One is the staff recommended “Enhanced Clean and Safe Services” option. Under Option One, rates would be restructured in year one to accurately account for the true costs of services provided and align the fee structure with the best management practices of the industry. The remaining four years of the rate study would then apply a consistent 11% annual increase to all services evenly. Table 3. Proposed Rates of Typical Services for Option One, Including Annual Change in Rate in Dollar and Percentage Customer Type Current FY 2022-23 Monthly Proposed FY 2023-24 Monthly Proposed FY 2024-25 Monthly Proposed FY 2025-26 Monthly Proposed FY 2026-27 Monthly Proposed FY 2027-28 Monthly Single-Family One (1) 65-gallon 1x per week $41.78 $46.37 +$4.60 11% $51.47 +$5.10 11% $57.13 +$5.66 11% $63.42 +$6.29 11% $70.39 +$6.98 11% One (1) 95-gallon 1x per week $53.90 $59.83 +$5.93 11% $66.41 +$6.58 11% $73.71 +$7.30 11% $81.82 +$8.11 11% $90.82 +$9.00 11% Multi-Family Four-Unit Apartment Two 95-gallon 1x per week $99.28 $119.65 +$20.37 21% $132.81 +$13.16 11% $147.42 +$14.61 11% $163.64 +$16.22 11% $181.64 +$18.00 11% Ten-Unit Apartment One 300-gallon 2x per week $222.58 $275.00 +$52.42 24% $305.25 +$30.25 11% $338.83 +$33.58 11% $376.10 +$37.27 11% $417.47 +$41.37 11% Commercial Small Retail One 95-gallon 1x per week $88.21 $57.13 -$31.09 -35% $63.71 +$6.58 11% $71.01 +$7.30 11% $79.12 +$8.11 11% $88.12 +$9.00 11% Mid-Size Retail One 2-cubic-yard 1x per week $131.34 $154.69 +$23.36 18% $172.01 +$17.32 11% $191.23 +$19.22 11% $212.56 +$21.33 11% $236.23 +$23.68 11% Staff is requesting a total of 15.12 full-time-equivalent (FTE) positions beginning FY 2023-24 to right-size the RRR operation to meet the community’s emerging service needs, address service gaps, comply with State SB 1383 regulatory requirement of mandated organics recycling collection, establish a regularly scheduled alley cleanup 7.A Packet Pg. 338 19 of 32 service by enhancing the BIID response team, and to create a new, volunteer-driven Community Cleanup Program that would support a more sustainable and resilient operation. The additional positions would break down as follows: Right-Size Solid Waste and Recyclable Collection Staffing Staffing requirement: 1 RRR Superintendent, 1 RRR Equipment Operator, 5 Bin Truck Drivers (7 FTE) This request is intertwined with the section below as it relates to added organics collection required by SB 1383 mandatory compliance. SB 1383 Mandatory Compliance and Zero Waste by 2030 Implementation Staffing requirement: 2 RRR Equipment Operators, 1 Zero Waste Assistant (3 FTE) To ensure timely organics collection services, RRR would need to add new organics collection routes to service these new locations, necessitating additional drivers and collection trucks. Right-Size Sweeping Services Staffing requirement: 1 Motor Sweeper Operator (1 FTE) The current staffing level is unable to provide street sweeping services during the existing time-restricted posted areas or absorb the addition of sweeping within the protected bike paths. As protected bike path infrastructure continues to expand, the sweeping service demand will continue to grow thus requiring a dedicated vehicle and staff member. Establish a Regularly Scheduled Proactive Alley Cleanup Service by Enhancing the Bulky Item and Illegal Dumping (BIID) Response Team Staffing requirement: 2 RRR Equipment Operator, 5 Bin Truck Drivers (7 FTE) 7.A Packet Pg. 339 20 of 32 RRR’s BIID team currently consists of three employees, covering more than 200 miles of streets and alleys in the City daily. Due to staffing shortages discussed earlier, these employees are frequently reassigned to cover residential and commercial collection or other duties, consequently interrupting BIID alley cleanup services. Proactive, timely alley cleanup is labor-intensive; it requires a consistent service schedule and a sufficient staffing model. The proposed staffing requirement would restore four crews for the BIID response team. This would allow RRR to create an established schedule that customers can count on for alley cleaning and illegal dumping every Monday through Friday, instead of reactively responding to 311 reports of items discarded in the public right of way. The additional staffing would also allow RRR to assign more workers to container delivery, from replacing damaged or stolen containers to distributing new green organics containers for SB 1383 mandatory organics recycling. The result will be speedier container delivery and achieving State compliance sooner. Creation of a New Quarterly Community Cleanup Program (CCP) Staffing requirement: Zero – Work will be absorbed by the BIID response team Another community benefit of right-sizing to a fully-staffed BIID response team is to provide RRR the required staff capacity to establish and support a new volunteer-driven Community Cleanup Program (CCP). The City has received requests to create volunteer cleanup events, at which neighborhood group associations and individuals can mobilize teams of volunteers, consisting of City residents and/or businesses, to clean up their neighborhoods. Volunteers at these events would be provided with cleanup supplies and assistance from BIID team workers, trucks, and equipment. To allow these cleanup events to be scalable and successful, the creation of an official City program is necessary. Infrastructure and staffing must be in place. The program would require application intaking, staffing and equipment coordination, overtime, supply procurement, inventory 7.A Packet Pg. 340 21 of 32 management, and capacity planning. RRR is currently unable to support such a program due to budget and staffing constraints. If the proposed rate increases are approved and the BIID response team is right-sized, the team would be able to support a new CCP program in addition to their routine alley cleanup duties. The CCP program would be piloted at a quarterly frequency. Offset with a Reduction of 2.88 FTE As-Needed Maintenance Assistants Staffing offset: Minus 4 Maintenance Assistant vacancies (-2.88 FTE) To offset the staffing requirement and budgetary impact from the five actions above, staff proposes eliminating four existing vacant as-needed Maintenance Assistant positions (equivalent to 2.88 FTE). It has been challenging to fill these four vacancies because the job is physically demanding and as-needed positions do not offer benefits therefore making the opportunities less competitive. Table 4. Services Included in the Proposed Rates – Option One, Enhanced Clean & Safe Services Customer Type Landfill Trash (Black Container) Collection & Disposal Recyclables (Blue Container) Collection & Recycling Organics (Green Container) Collection & Composting Bulky Item Pickup and Illegal Dumping Cleanup Weekly Street Sweeping On-Demand Door-to-Door HHW Collection Access to Monthly Recycling Events and Zero Waste Programs Enhanced Bulky Item Illegal Dumping Response & Alley Cleanup Quarterly Community Cleanup Program Single- Family Included Included Included Included Included Included Included Included Included Multi- Family Included Included Included Included Included Included Included Included Included Commercial Included Included Included Included Included No Partial Included Included Option Two: Right-Size Basic Services Option Two would right-size basic services to align with core needs only. Under Option Two, rates would still need to be restructured in year one to accurately account for the true costs of services provided and align the fee structure with the best management practices of the industry. The remaining four years of the rate study would then apply a consistent 10.2% annual increase to all services evenly. 7.A Packet Pg. 341 22 of 32 Table 5. Proposed Rates of Typical Services for Option Two, Including Annual Change in Rate in Dollar and Percentage Customer Type Current FY 2022-23 Monthly Proposed FY 2023-24 Monthly Proposed FY 2024-25 Monthly Proposed FY 2025-26 Monthly Proposed FY 2026-27 Monthly Proposed FY 2027-28 Monthly Single-Family One (1) 65-gallon 1x per week $41.78 $46.04 +$4.26 10.2% $50.73 +$4.70 10.2% $55.91 +$5.18 10.2% $61.61 +$5.70 10.2% $67.89 +$6.29 10.2% One (1) 95-gallon 1x per week $53.90 $59.39 +$5.50 10.2% $65.45 +$6.06 10.2% $72.13 +$6.68 10.2% $79.48 +$7.36 10.2% $87.59 +$8.10 10.2% Multi-Family Four-Unit Apartment Two 95-gallon 1x per week $99.28 $118.78 +$19.50 19.6% $130.90 +$12.12 10.2% $144.25 +$13.35 10.2% $158.96 +$14.71 10.2% $175.17 +$16.21 10.2% Ten-Unit Apartment One 300-gallon 2x per week $222.58 $272.30 +$52.42 23.6% $300.05 +$28.05 10.2% $331.26 +$30.91 10.2% $365.32 +$34.06 10.2% $402.86 +$37.54 10.2% Commercial Small Retail One 95-gallon 1x per week $88.21 $56.69 -$31.52 -35.7% $62.75 +$6.06 10.7% $69.43 +$6.68 10.6% $76.78 +$7.36 10.6% $84.89 +$8.10 10.6% Mid-size Retail One 2-cubic-yard 1x per week $131.34 $154.69 +$23.36 17.8% $170.75 +$16.06 10.4% $188.44 +$17.69 10.4% $207.93 +$19.50 10.3% $229.42 +$21.49 10.3% Option Two includes an additional 8.12 FTE employees to keep up with current collection and sweeping service demand and to meet new State and local regulatory compliance in organics recycling. Without these positions, sanitation services would continue to degrade over time as demands continue to rise. However, Option Two would not provide for the staffing needed to enhance RRR’s current bulky item, illegal dumping, and alley cleanup response. While Option One would provide the necessary resources to deploy proactive, recurring weekly alley cleanup services, Option Two would maintain the current service model of responding only to bulky item collection and illegal dumping locations reported through 311 as staffing allows. Additionally, Option Two would not provide for the staff capacity to support a quarterly Community Cleanup Program (CCP). Table 6. Services Included in the Proposed Rates – Option Two, Right-Size Basic Services 7.A Packet Pg. 342 23 of 32 Customer Type Landfill Trash (Black Container) Collection & Disposal Recyclables (Blue Container) Collection & Recycling Organics (Green Container) Collection & Composting Bulky Item Pickup and Illegal Dumping Cleanup Weekly Street Sweeping On-Demand Door-to-Door HHW Collection Access to Monthly Recycling Events and Zero Waste Programs Enhanced Bulky Item Illegal Dumping Response & Alley Cleanup Quarterly Community Cleanup Program Single- Family Included Included Included Included Included Included Included No No Multi- Family Included Included Included Included Included Included Included No No Commercial Included Included Included Included Included No Partial No No Rate Comparisons: 2023-2028 Tables 3 and 5 summarize the current and proposed FY 2023-28 rates of the most commonly subscribed collection service levels for single-family customers, multi-family customers, and commercial customers under Option One – Enhanced Clean and Safe Services, and Option Two – Right-Size Basic Services, respectively. These two tables show a small snippet of the dozens of service subscription levels RRR offers, from one 65-gallon container serviced once a week to multiple 4-cubic-yard containers serviced seven days a week. The full list of proposed rates can be found in Attachment F. Tables 4 and 6 show the RRR services that are included under Option One versus Option Two. Essentially, the proposed rate difference between Option One and Option Two equate to less than 1% or $1-$3 per month for many customers, but Option One provides the substantially enhanced clean and safe services at a minimal additional cost. The rate difference will vary based on individual customers. Single-Family Rates Residents who reside in single-family houses may choose to have either 65-gallon black landfill trash carts or 95-gallon trash carts. Blue recycling cart and green organics cart services are included in the bundled rate at no additional cost. Most single-family customers opt to have one 95-gallon trash cart with once-a-week collection service. Under Option One, single-family customers can anticipate a rate increase ranging from $5-$9, depending on the chosen service level. Under Option Two, single-family customers can anticipate an increase ranging from $4-$8 over the five-year span. 7.A Packet Pg. 343 24 of 32 Multi-Family Rates Service subscription levels vary widely in the multi-family customer sector based on the size and needs of the building. Although some very large apartment buildings exist, most multi-unit dwellings and rent control apartment buildings in the City have ten or less units. In either rate option, the year one proposed increase is greater than the following years because of the rate restructuring required to eliminate the livable unit charges and fold in street sweeping services into one bundled solid waste and recycling rate for multi-family customers. Including street sweeping into one bundled solid waste and recycling rate ensures the overall rate structure is consistent among all customer types and modernizes the City’s solid waste rate structure to align with industry standards. Under Option One, a typical four-unit apartment with two 95-gallon landfill trash carts with once a week collection could see a rate restructuring adjustment of $20 ($5 per unit) in year one and approximately $13-$18 (or $3.29-$4.50 per unit) in years two through five. Under Option Two, the same four-unit apartment could see a rate restructuring adjustment of $20 ($5 per unit) in year one and $12-$16 ($3-$4 per unit) in the out years. Under Option One, a ten-unit apartment who chooses to have one 300-gallon trash cart with twice a week collection could anticipate a similar per-unit rate increase for a total of $52 ($5.20 per unit) for the entire building in year one, followed by $30-$41 ($3-$4 per unit) in the subsequent years. Under Option Two, the same ten-unit apartment could anticipate a rate restructuring adjustment of $52 in year one ($5.20 per unit), followed by $28-$38 ($2.80-$3.80 per unit) in the following years. Commercial Rates Similar to the multi-family rates, all commercial rates require rate restructuring in year one to eliminate street sweeping charges by water meter size and fold in sweeping service into one bundled solid waste and recycling rate to align with industry best practice. As rates are normalized, some small businesses could see savings in year 7.A Packet Pg. 344 25 of 32 one, with subsequent year increases at the same level of single-family homes subscribing to the same service. There is a great level of rate impact variability in the business community based on the size, nature, and needs of the business. A small business might choose to have one 95- gallon trash cart with once-a-week collection, while large supermarkets and hotels might prefer multiple 4-cubic-yard trash bins with seven-day-a-week collection. Rates are based on the level of service required. The more trash a business generates, the higher the rate will be. Staff analysis found most commercial customers in the City to be small to medium-sized businesses. Some of the smallest businesses, such as small retail shops, professional offices, or hair salons with one 95-gallon trash cart serviced once a week could potentially anticipate a monthly rate reduction of $31 in year one due to rate restructuring and a nominal increase of $7-$9 in subsequent years under Option One. Under Option Two, the same small business could see a saving of $32 in year one, followed by an increase of $6-$8 in the out years. Medium sized businesses that require more service, such as cafes and fitness studios, could expect an upward monthly adjustment of $23 in year one and $17-$24 in the following years under Option One. The same medium sized business could see the same $23 rate restructuring adjustment in year one and an increase of $16-$21 in years two through five under Option Two. Conclusion Staff recommends rate adjustment proposal Option One, which would allow RRR to stabilize the RRR Enterprise Fund and maintain fiscal solvency, right-size the staffing level to meet current community needs, provide faster and better customer service, and make meaningful progress towards SB 1383 regulatory compliance as well as the Council’s Zero Waste by 2030 sustainability goal. Option One would create permanent jobs, encourage volunteerism and community involvement in co-creating a cleaner, safer, and more sustainable City, while still protecting rent control buildings and 7.A Packet Pg. 345 26 of 32 businesses as the City’s multi-family and commercial solid waste rates would continue to be ranked among the lowest of all 88 cities in Los Angeles County. Figure 7. Comparison of Monthly Solid Waste Rates (FY 2023-24 Projected) Option One yields many more positive improvements to the community at a minimal increased cost, including: 1. The rate difference between Option One (Enhanced) and Option Two (Basic) is only less than 1% or less than $3 per month for many customers. 2. As shown in Figure 7, the City’s Option One proposed rates compare well to those in other cities in Los Angeles County. The proposed single-family rates might be slightly higher than some cities, but the City provides more white-glove services to its residents as demonstrated in Table 1, including monthly recycling events and on-demand HHW pickup. 3. Figure 7 exhibits that the City’s proposed multi-family and commercial rates are still considerably lower than most other cities even after the proposed increase under Option One. Option One rates support the City’s desire to protect rent- controlled buildings, protect small businesses, and aid economic recovery. 7.A Packet Pg. 346 27 of 32 4. The ability to deploy rapid response to increasing community needs for a clean and safe City. Restoration of a fully staffed BIID response team allows for proactive alley cleanup and illegal dumping collection services five days a week, instead of reactively responding to 311 requests. 5. Shorter bulky item collection response time, quicker replacement of stolen/broken containers, and faster delivery of new organics containers. The latter drives the City’s ability to comply with the State’s SB 1383 mandate. 6. Cleaner neighborhoods and less opportunities for discarded items to cause undesirable behaviors, such as scavenging. 7. Creation of a new City-supported CCP that encourages volunteerism. The CCP pilot allows resident volunteers to be part of the collaborative efforts to create a cleaner city and make a direct positive change in their own neighborhood. 8. Considering the three years of rate freeze from 2020-23 where the rates stayed stagnant, the average annual ten-year increase from 2017-28 is 6.3% for Option One (Enhanced) and 6% for Option Two (Basic). That annual adjustment compares favorably with industry standards, especially given changes in the recycling market in the last few years, new unfunded State mandates, inflation impacts, and the wide variety and high level of service provided by the City. Under both rate adjustment options presented in this report, many single-family solid waste customers can anticipate an annual rate increase of $4-$9 per month, multi- family customers $20-$52 in 2023 and $12-$41 in the following years, and commercial customers ranging from a reduction of $31 to an increase of $23 in year one and an increase of $7-$24 in the subsequent years. It is important to note that solid waste ratepayers can choose from a wide menu of service subscription levels, thus the actual rate impact will vary widely based on the customer’s service needs. Most customers will see an increase in their solid waste rates, while others may see a decrease due to rate restructuring. The estimates cited above represent rate impacts for the most commonly subscribed service levels, but there will be more variations in the multi-family and commercial customer sectors due to the varying sizes and needs of these buildings. 7.A Packet Pg. 347 28 of 32 Alternatives It is paramount that the City implement a rate increase in early FY 2023-24 after a three-year rate freeze. Not implementing a rate increase is not a feasible option as the RRR Enterprise Fund would run out of money and become unable to sustain the City’s solid waste and recycling services beginning in early FY 2024-25. Staff’s recommended Option One (Enhanced Clean and Safe Services) requires an annual increase of 11% and results in an additional 15.12 FTE in staffing. Rate adjustment Option Two (Right- Size Basic Services) requires an annual increase of 10.2% and results in an additional 8.12 FTE. A minimum 9% annual increase would still be required to stabilize the RRR Fund even with no new added services or staffing. Staff does not recommend this as the current staffing shortages are unsustainable in the long run, leading to continued degradation of the City’s cleanliness, increased response times, and an overall reduction in customer service levels. Table 7 summarizes the two proposed rate options and the alternative outcome. Table 7. Rate Option Summary Option Additional Staffing Level Proposed Annual Increase Anticipated Outcome One – Enhanced Clean and Safe Services (RECOMMENDED) 15.12 FTE 11% Enhanced bulky item illegal dumping collection Proactive weekly alley cleanup Quarterly community cleanup program Two – Right-Size Basic Services 8.12 FTE 10.2% Right-Size Existing Basic Services No enhanced bulky item illegal dumping collection No quarterly community cleanup program Alternative (NOT RECOMMENDED) 0 FTE 9% Staffing shortages persist Missed or delayed collections continue City’s cleanliness degrades Ways to Keep Rates Down As demonstrated throughout this report, the 2023 rate study aims to achieve the following: • Keep solid waste rate increases moderate despite the three-year rate freeze by deploying reserves; and 7.A Packet Pg. 348 29 of 32 • Enhance RRR services. In addition, as described below, there are different ways to minimize the impacts of proposed rate increases. Customers Can Right-Size Service Subscription Level The City incentivizes landfill diversion and recycling by offering a bundled solid waste and recycling rate structure based on the number, size, and service frequency of the black landfill trash container(s) only. There are no separate charges for servicing or requesting additional blue recycling containers and green organics containers. The solid waste rate is based on a customer’s chosen level and frequency of service required. The more landfill trash a customer generates, the more RRR services are required, and the higher the rate will be. As RRR continues to roll out green organics containers to every neighborhood, residents and businesses have an opportunity to assess their consumption habits, find ways to generate less landfill trash by reducing waste, and recycle and compost more in the blue and green containers. By diverting and recycling some of the materials previously discarded in the black landfill trash container to the blue and green containers, a customer might find they no longer require the number, size, and/or service frequency of the black trash container they previously chose. Right- sizing service level and reducing landfill trash disposal not only lowers one’s utility bill, it also reduces methane gas emission at the landfill and dramatically helps the City achieve its Zero Waste by 2030 goal. Create a Solid Waste Rate Discount Program 7.A Packet Pg. 349 30 of 32 The City Council is being asked to support creating a new solid waste rate discount program, which does not currently exist. The City has a water utility rate low-income discount program for income-qualified customers that are enrolled in the California Alternate Rates for Energy (CARE) program offered by Southern California Edison and the Southern California Gas Company. Proposition 218 mandates that utility discounts be covered by funding sources outside of the utility enterprise fund. Accordingly, the Water Fund received a total amount of $154,930 in General Fund subsidy to fund the program in 2022, which benefited 447 customers. If directed by the City Council to create a solid waste rate discount program, staff would explore viable funding options, develop program criteria and duration, and report back to the Council at the June 2023 rate adoption public hearing. Next Steps and Public Outreach Staff seeks comments from Council regarding Option One and Option Two of the rate adjustment scenarios. Staff also seeks direction from Council about the creation of a solid waste rate discount pilot program for residents with eligibility. Staff will incorporate Council comments from this meeting into the final rate study while public outreach commences. RRR staff has planned a robust community outreach calendar to share information of the rate study findings, develop community understanding of the need for rate adjustments to maintain high quality solid waste and recycling services, and provide an update on the City’s zero waste progress and programming that is funded by solid waste utility rates. As part of the public outreach, from February through April staff will be meeting with all key business stakeholder organizations, neighborhood associations, and the Commission on Sustainability, Environmental Justice, and the Environment. In late April, the City will mail a public notice outlining the proposed rate changes to all property owners and utility account holders at least 45 days prior to the public hearing date. Absent a majority protest, Council may approve the final adoption of the rates at 7.A Packet Pg. 350 31 of 32 the public hearing in June 2023. The new rates would take effect starting August 1, 2023. Environmental Review No environmental review under CEQA is required at this time since this study session on solid waste rates will not result in direct or indirect physical changes in the environment. Financial Impacts and Budget Actions There are no immediate financial impacts or budget actions necessary at this study session. If Council approves staffing changes and/or the creation of a solid waste rate discount program, staff will return later to seek specific budget actions. Finally, staff will incorporate Council’s comments from this meeting into the calculation of the potential total financial impact to the RRR Enterprise Fund and present it in the staff report and rate adoption meeting. If new rates are approved by Council in June 2023, the new rates would be effective on August 1, 2023, and annually on the first day of the fiscal year on July 1, 2024, through July 1, 2027 (FY 2023-28). Prepared By: Yvonne Yeung, Resource Recovery and Recycling Administrator Approved Forwarded to Council Attachments: A. Staff Report: Adoption of Solid Waste Rates, 2014 (Web Link) B. Staff Report - Solid Waste Rate Study 3rd Contract Modification (Web Link) C. New York Times Article: "How Cheap 'Fast Furniture' Could Soon Clog Landfills." October 31, 2022 D. 2014 Zero Waste Plan E. 2019 Zero Waste Plan Update 7.A Packet Pg. 351 32 of 32 F. Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 7.A Packet Pg. 352 1/23/23, 8:57 AM How Cheap ‘Fast Furniture’ Could Soon Clog Landfills - The New York Times https://www.nytimes.com/2022/10/31/realestate/fast-furniture-clogged-landfills.html 1/4 https://www.nytimes.com/2022/10/31/realestate/fast-furniture-clogged-landfills.html Fast Furnitureʼ Is Cheap. And Americans Are Throwing It in the Trash. The mass-produced furniture that sold furiously during the pandemic could soon be clogging landfills. By Debra Kamin Published Oct. 31, 2022 Updated Nov. 2, 2022 To hear more audio stories from publications like The New York Times, download Audm for iPhone or Android. Americans bought piles of furniture during the pandemic, with sales on desks, chairs and patio equipment jumping by more than $4 billion from 2019 to 2021, according to a market data company. And a lot of it won’t survive the decade. Fast furniture, which is mass-produced and relatively inexpensive, is easy to obtain and then abandon. Like fast fashion, in which retailers like Shein and Zara produce loads of cheap, trendy clothing that’s made to be discarded after only a few wears, fast furniture is for those looking to hook up but not settle down. It’s the one-season fling of furnishings. Many of the Ikea beds and Wayfair desks bought during the Covid-19 lockdown were designed to last about five years, said Deana McDonagh, a professor of industrial design at the University of Illinois, Urbana-Champaign. “I relate to fast furniture like I do to fast food,” Ms. McDonagh said. “It’s empty of culture, and it’s not carrying any history with it.” Ikea of Sweden said in a statement that “life span estimation may vary” for its furniture, and customers are encouraged to repair, resell or return products they can no longer use. Wayfair said through a spokesperson that “we sell an extensive range of furniture products across all styles and price points,” adding that some are meant to “last for generations as well as furniture that meets customer needs for affordability.” Increasingly, renters and homeowners are opting for fast and cheap, or as Amber Dunford, style director at Overstock.com, defines it, “furniture where the human hand is missing.” And they don’t keep it long. Each year, Americans throw out more than 12 million tons of furniture, creating mountains of solid waste that have grown 450 percent since 1960, according to the Environmental Protection Agency. Bits of tossed furniture can be recycled, but the vast majority ends up in landfills. “It’s quite a big problem, both spatially and also because of the way a lot of fast furniture is made now, it’s not just wood and metal. The materials don’t biodegrade or break down,” said Ashlee Piper, a sustainability expert and the author of “Give a Sh*t: Do Good. Live Better. Save the Planet.” “We’re creating this Leviathan problem at landfills with the furniture that we get rid of.” The e-commerce furniture market alone was worth more than $27 billion in 2021, and projected to reach more than $40 billion by 2030, according to a report from Next Move Strategy Consulting. Ikea is opening an average of 50 new locations per year; Amazon, the world’s largest retailer, now has two private-label furniture brands, the midcentury-modern Rivet and the more farmhouse-chic Stone & Beam. For all of its flaws, fast furniture offers millions of homeowners the opportunity to live in a stylish home at an affordable price point. As young people contend with skyrocketing housing prices and economic anxiety, even those who would prefer to browse antique markets or shop for custom pieces simply don’t have the resources to do so. 7.A.c Packet Pg. 353 Attachment: New York Times Article: "How Cheap 'Fast Furniture' Could Soon Clog Landfills." October 31, 2022 (5616 : Solid Waste Rate 1/23/23, 8:57 AM How Cheap ‘Fast Furniture’ Could Soon Clog Landfills - The New York Times https://www.nytimes.com/2022/10/31/realestate/fast-furniture-clogged-landfills.html 2/4 Sebastien Long founded Lodgeur, which rents short-term furnished apartments in Texas, in 2019. He does the design for the apartments in-house, and relies almost exclusively on retailers like Wayfair, Target, West Elm and CB2. “We do this because of fast turnaround times required on many of our projects, but also because we’re able to create stylish and comfortable apartments,” he said. The durability of the furniture doesn’t concern him much, he added, because of his business model. “Fast furniture is more likely to get damaged when you move it around in a U-Haul,” he said. “That’s why we leave it inside the apartment and instead move people in and out.” But even for those who swore they’d never bring low-end furniture in their homes, necessity can be the mother of exception. During the pandemic, Georgia Zikas, owner of Georgia Zikas Design, worked with a client in New Jersey, furnishing and decorating a multi-million- dollar house that would be used as their second home. They closed in November 2020 and wanted to be able to use the backyard pool by spring, but global production and shipping bottlenecks meant that custom-made furniture pieces were delayed by months. “They had a deadline,” Ms. Zikas said. “So I went to one of my designers and was like: ‘What can we have in eight weeks?’” The entire home was outfitted with ready-to-ship pieces from Pottery Barn, Crate & Barrel and Ethan Allen, vendors that have higher price points, use higher-quality materials and all have sustainability pledges. But environmentalists like Ms. Piper still consider them fast furniture because their pieces are mass produced. It was a choice, said Ms. Zikas, that a few years ago might have surprised her. But since the pandemic, and its ripple effect on the global supply chain, all bets are off. “It’s definitely affecting where we’re shopping,” she said. Sometimes, however, homeowners have a change of heart. Doug Greene, 34, bought a 200-year-old rowhouse in Philadelphia five years ago, and after doing a gut renovation, found he didn’t want to bring mass-produced furniture into a space he’d so painstakingly restored. So he taught himself how to make furniture, and he and his girlfriend, Ashley Hauza, now have a home where he handcrafted nearly every stick of furniture from solid wood. There’s a western red cedar waterfall bench. There’s a white oak bed frame with a hand-cut bridle joint. Environmentalists say landfills are becoming clogged with the mass-produced “fast furniture” that consumers discard. Pieces of furniture, above, that were thrown away with the garbage on the streets of the Upper East Side of Manhattan in 2021. Jutharat Pinyodoonyachet for The New York Times Doug Greene bought a 200-year-old rowhouse in Philadelphia, but after a gut renovation, decided he didn’t want to fill it with mass-produced furniture.Steve Legato for The New York Times 7.A.c Packet Pg. 354 Attachment: New York Times Article: "How Cheap 'Fast Furniture' Could Soon Clog Landfills." October 31, 2022 (5616 : Solid Waste Rate 1/23/23, 8:57 AM How Cheap ‘Fast Furniture’ Could Soon Clog Landfills - The New York Times https://www.nytimes.com/2022/10/31/realestate/fast-furniture-clogged-landfills.html 3/4 “It’s all much more solid pieces of furniture than anything I could have picked up from a store on a shelf,” he said. “I used to pick up an Ikea desk every time I switched apartments. I just thought that was the way people did it. I now have a much greater appreciation for creativity and design.” Over the past decade, a number of sustainability-focused companies have entered the market in the hopes of presenting a solution. Kaiyo, an online marketplace for pre-owned furniture, was founded in 2014 and says it has since kept more than 3.5 million pounds of furniture out of landfills. Those with furniture to unload can offer it to Kaiyo, and if the company accepts — Alpay Koralturk, the chief executive, said the company purchases about half of the pieces offered to them — it’ll get picked up for free and the seller will get a check. Buyers can shop the online marketplace, and know that items shown online are always in stock. “Everyone has a ton of furniture. Few products are as ubiquitous,” Mr. Koralturk said. “I was trying to imagine what the 21st century solution should be.” Fernish, a rental furniture subscription service, allows customers to pay month-to-month for items from brands like Crate & Barrel, always with the option to buy outright. The service says it has saved more than 1 million pounds of furniture from landfills. “We recognize that furniture is generally an unrecyclable good,” said Michael Barlow, Fernish’s chief executive. “The way to give it a second life is to put very quality product into circulation in the first place, and build a supply chain,” he said. “The demographic that we’re built for is people in their 20s and 30s.” Major retailers, facing pressure from customers and environmentalists, are also saying they’ll do better. Wayfair, which saw sales deflate this summer after a pandemic boom, pledged in its most recent corporate responsibility report to reduce greenhouse gas emissions — mainly created by the production and shipment of its products — by 63 percent by 2035. “We don’t claim to have everything figured out, but we’re working to address big problems and set strategies with an approach that’s true to Wayfair,” founders Niraj Shah and Steve Conine wrote in the report. And Ikea has laid out bold climate goals in its sustainability strategy, vowing to become fully circular — using only recycled or renewable materials, and creating zero waste — by 2030. One of Mr. Greene’s pieces is a waterfall bench made from western red cedar.Steve Legato for The New York Times 7.A.c Packet Pg. 355 Attachment: New York Times Article: "How Cheap 'Fast Furniture' Could Soon Clog Landfills." October 31, 2022 (5616 : Solid Waste Rate 1/23/23, 8:57 AM How Cheap ‘Fast Furniture’ Could Soon Clog Landfills - The New York Times https://www.nytimes.com/2022/10/31/realestate/fast-furniture-clogged-landfills.html 4/4 “Keeping prices low is a cornerstone of our business,” Ikea of Sweden said in a statement. “But this must never come at the expense of people and the environment.” In the 2021 fiscal year, more than 99 percent of their wood was either recycled or certified by the Forest Stewardship Council as being sourced responsibly, the company said. Fourteen percent was fully recycled. The impact of fast furniture, Ms. Piper said, is a hard sell to even the most economically-conscious people. But she’s optimistic that change is possible. “You have elements of sustainability that are sexier to people, and are more the gateway drug to sustainability, like fast fashion,” she said. But if Ikea can do it, “and they’re willing to share how they do it with other companies, that’s really encouraging.” Audio produced by Tally Abecassis. 7.A.c Packet Pg. 356 Attachment: New York Times Article: "How Cheap 'Fast Furniture' Could Soon Clog Landfills." October 31, 2022 (5616 : Solid Waste Rate city of santa monica zero waste strategic operations plan Attachment 1 7.A.d Packet Pg. 357 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) 7.A.d Packet Pg. 358 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan DRAFT Zero Waste Strategic Operations Plan Prepared for: City of Santa Monica Public Works Department Resource Recovery & Recycling 2500 Michigan Avenue Santa Monica, CA 90404 Prepared by: . 251 South Lake Avenue, Suite 1000 Pasadena, CA 91101 626-584-1700 In conjunction with: 19200 Von Karman Avenue, Suite 360 Irvine, California 92612 (949) 251-8628 January 2013 7.A.d Packet Pg. 359 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) 7.A.d Packet Pg. 360 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan i Contents 1.0 Introduction ................................................................................................................................................. 1-1 1.1 Background ...................................................................................................................................................................................... 1-1 1.1.1 What Is Zero Waste? ........................................................................................................................................................... 1-2 1.2 Guiding Principles ......................................................................................................................................................................... 1-2 1.3 Zero Waste Policy .......................................................................................................................................................................... 1-4 1.4 Goal Areas, Goals, Indicators and Targets .......................................................................................................................... 1-4 2.0 Current Conditions .................................................................................................................................... 2-7 2.1 Resource Recovery and Recycling Division ....................................................................................................................... 2-7 2.1.1 Residential Collection Services ...................................................................................................................................... 2-7 2.1.2 Commercial Collection Services .................................................................................................................................. 2-15 2.1.3 Household Hazardous Waste ....................................................................................................................................... 2-18 2.1.4 Zero Waste Events ............................................................................................................................................................ 2-20 2.2 City Policies and Programs ..................................................................................................................................................... 2-20 2.2.1 Santa Monica Municipal Code (SMMC) .................................................................................................................... 2-20 2.2.2 Extended Producer Responsibility ............................................................................................................................ 2-24 2.2.3 Recycled Products Procurement Policy .................................................................................................................. 2-24 2.2.4 Sustainable City Plan ....................................................................................................................................................... 2-25 2.2.5 Green Business Certification Program ..................................................................................................................... 2-26 2.2.6 Sustainable Quality Awards .......................................................................................................................................... 2-27 2.2.7 US Conference of Mayors/California Public Interest Research Group (CALPIRG) Buy Recycled Campaign ...................................................................................................................................................................... 2-27 2.2.8 City’s Purchase and Use of Tropical Forest Wood Products .......................................................................... 2-27 2.2.9 Print Shop Purchasing Policy ....................................................................................................................................... 2-27 2.2.10 Electronic Waste ............................................................................................................................................................. 2-27 2.2.11 Used Oil and Filter Collection .................................................................................................................................... 2-27 2.2.12 Christmas Tree Recycling ........................................................................................................................................... 2-27 2.2.13 Catalogue Choice ............................................................................................................................................................. 2-29 2.2.14 Scheduled Events ............................................................................................................................................................ 2-29 2.3 Resource Recovery and Recycling Processing Facilities ........................................................................................... 2-29 2.3.1 Santa Monica Community Recycling Center.......................................................................................................... 2-29 2.3.2 Southern California Disposal Transfer Station .................................................................................................... 2-30 7.A.d Packet Pg. 361 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan ii 2.4 Educational Outreach................................................................................................................................................................ 2-30 2.4.1 Sustainable Works ............................................................................................................................................................ 2-30 2.4.2 Community Sustainability Liaison ............................................................................................................................. 2-31 2.4.3 Educational Outreach Tools ......................................................................................................................................... 2-31 2.4.4 Educational Outreach Events ....................................................................................................................................... 2-32 3.0 Generation and Characterization ......................................................................................................... 3-1 3.1 Existing Generation....................................................................................................................................................................... 3-1 3.2 Waste Diversion ............................................................................................................................................................................. 3-1 3.3 Disposal .............................................................................................................................................................................................. 3-3 3.4 Discarded Materials Characterization .................................................................................................................................. 3-3 3.4.1 Methodology ........................................................................................................................................................................... 3-3 3.4.2 Single-Family Residential Waste Composition ....................................................................................................... 3-5 3.4.3 Multi-Family Residential ................................................................................................................................................... 3-6 3.4.4 Commercial ............................................................................................................................................................................. 3-7 3.4.5 Self-Haul ................................................................................................................................................................................... 3-8 3.5 Disposal Projections ..................................................................................................................................................................... 3-9 3.5.1 Population Projections....................................................................................................................................................... 3-9 3.5.2 Future Disposal ..................................................................................................................................................................... 3-9 4.0 Zero Waste Options ................................................................................................................................... 4-1 4.1 Initial List of Potential Options ................................................................................................................................................ 4-1 4.2 Recommended Strategies .......................................................................................................................................................... 4-5 4.2.1 Mandatory ............................................................................................................................................................................... 4-5 4.2.2 Collection ................................................................................................................................................................................. 4-6 4.2.3 Rate Setting .......................................................................................................................................................................... 4-10 4.2.4 Upstream ............................................................................................................................................................................... 4-11 4.2.5 Downstream ........................................................................................................................................................................ 4-13 4.2.6 Facilities ................................................................................................................................................................................ 4-16 5.0 Diversion and Greenhouse Gas Emissions Reduction Estimates .............................................. 5-1 5.1 Diversion Estimates ...................................................................................................................................................................... 5-1 5.2 Greenhouse Gas Emissions Reduction Estimates ............................................................................................................ 5-3 6.0 Financial and Cost Analysis .................................................................................................................... 6-1 6.1 Financial Analysis .......................................................................................................................................................................... 6-1 6.2 Cost Analysis .................................................................................................................................................................................... 6-4 6.3 Customer Rate Impact Analysis .............................................................................................................................................. 6-5 7.A.d Packet Pg. 362 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan iii 6.4 Program Impact Observations ................................................................................................................................................. 6-7 7.0 Implementation .......................................................................................................................................... 7-1 Exhibits Exhibit 2-1. Map of SF Residences Participating in the Pilot Food Scraps Collection Program ........................... 2-12 Exhibit 2-2. Used Oil and Oil Filter Collection Locations ....................................................................................................... 2-28 Exhibit 3-1. Single Family Residential Disposed Waste Composition ................................................................................ 3-5 Exhibit 3-2. Multi-Family Residential Disposed Waste Composition ................................................................................. 3-6 Exhibit 3-3. Commercial Disposed Waste composition- Percentages ................................................................................ 3-7 Exhibit 3-4. Self-Haul Disposed Waste Composition Percentages ....................................................................................... 3-8 Exhibit 7-1. Implementation Schedule ............................................................................................................................................. 7-2 Tables Table 1-1. Goal Areas, Indicators and Targets ................................................................................................................................ 1-5 Table 2-1. Residential Tonnages (2011) .......................................................................................................................................... 2-7 Table 2-2. Items Accepted in the City’s Recycling Program ................................................................................................. 2-10 Table 2-3. Bi-Monthly Single-Family Residential Collection Rates ................................................................................... 2-11 Table 2-4. Bi-Monthly Multi-Family Residential Collection Rates ................................................................................... 2-14 Table 2-5. Commercial Tonnages (2011) ..................................................................................................................................... 2-15 Table 2-6. Bi-Monthly Commercial Collection Rates (FY 2011/2012) .......................................................................... 2-17 Table 2-7. Materials accepted at the City’s HHW Center ....................................................................................................... 2-19 Table 2-8. Approved C&D Recycling Facilities ........................................................................................................................... 2-23 Table 2-9. City-Approved Mixed C&D Recycling Facilities ................................................................................................... 2-24 Table 2-10. 2010 Sustainable Report Card Grades .................................................................................................................. 2-26 Table 2-11. Educational Outreach Media ..................................................................................................................................... 2-31 Table 2-12. Citywide Environmental Events .............................................................................................................................. 2-32 Table 3-1. Overall Generation 2011 (tons) ..................................................................................................................................... 3-1 Table 3-2. 2011 Diversion Summary ................................................................................................................................................. 3-2 Table 3-3. 2011 Disposal Summary (tons) ..................................................................................................................................... 3-3 Table 3-4. Composition by Material Category and Generator Sector ................................................................................. 3-4 Table 3-5. Population Forecasts (2010-2030) .............................................................................................................................. 3-9 7.A.d Packet Pg. 363 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan iv Table 3-6. Waste Disposal Projections (2013-2030), Tons .................................................................................................. 3-10 Table 5-1. Diversion Estimates by Implementation Phase ...................................................................................................... 5-1 Table 5-2. Zero Waste Strategic Plan Diversion Estimates ..................................................................................................... 5-2 Table 5-3. Zero Waste Strategic Plan Greenhouse Gas Emissions Estimates (MTCE) ................................................ 5-3 Table 6-1. Solid Waste Program Baseline Analysis – All Sectors ................................................................................................ 6-2 Table 6-2. Solid Waste Program Baseline Analysis – Single Family Sector ...................................................................... 6-2 Table 6-3. Solid Waste Program Baseline Analysis – Multi-family Sector ........................................................................ 6-3 Table 6-4. Solid Waste Program Baseline Analysis – Commercial Sector ......................................................................... 6-3 Table 6-5. Planning-Level Cost Estimates for Selected Zero Waste Programs ............................................................... 6-5 Table 6-6. Customer Rate Impacts for Selected Zero Waste Programs ............................................................................. 6-6 Table 6-7. Most Cost Effective Zero Waste Programs Based on Incremental Annual Program Savings ............. 6-7 Table 6-8. Programs with Net Cost Increases Sorted by Lowest to Highest Cost Per Ton ........................................ 6-8 Appendices A. Waste Characterization Analysis B. Population Projections C. Summary List of Recommended Strategies D. Diversion Potential by Option E. Greenhouse Gas Emissions Assumptions and Calculations F. City Solid Waste Revenue and Expense Data G. Planning Level Cost Estimates H. List of Plan Contributors and Preparers 7.A.d Packet Pg. 364 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-1 1.0 Introduction 1.1 Background The City of Santa Monica prides itself on being an environmental leader. It’s Resource Recovery and Recycling Division (RRR) and Office of Sustainability and the Environment (OSE) have implemented many cutting edge environmental initiatives and programs. The City’s state-of-the-art waste diversion strategies contributed to the City reaching a 74% diversion rate in 2009. As another indicator of the City’s diversion accomplishments, the City’s calculated per capita disposal rate in 2010 was 3.6 pounds per person per day, well below the targeted rate of 10.9 pounds per person per day. The per capita disposal target, as established by CalRecycle, is the amount of disposal that is approximately equivalent to the 50 percent diversion requirement, and represents an average of 50 percent of total waste generation in 2003 through 2006 expressed in terms of per capita disposal On June 23, 2009, the City Council directed staff to develop a Zero Waste Strategic Plan. The creation of the Plan would allow the City to strengthen and refine its current waste diversion operations while adding significant opportunities and emerging technologies. The City established the Zero Waste Planning Committee to effectively design and implement a zero waste program. This Committee was comprised of the Resource Recovery & Recycling Division (RRR), the Office of Sustainability and the Environment (OSE) and the City’s private partners, Southern California Disposal and Allan Company. Numerous meetings were held between September 2009 and August 2010 to establish methodologies to develop a Zero Waste Strategic Plan. Out of this collaborative effort, several processes and programs were discussed and implemented including a pilot residential yard trimmings and food scraps program, expansion of the commercial food scraps program, and audits of landfills to determine diversion rates. In addition, the committee determined that a consultant would be needed to develop a long term Zero Waste Strategic Plan which would include identifying new and expanded operational programs, including producer responsibility, product stewardship, client responsibility, council ordinances and resolutions as well as identifying impacts of all programs on future materials processing requirements and disposal rates. A Request for Proposals for a consultant was issued in June 2011, and in December 2011, the City began a Zero Waste Strategic Planning process to identify the new policies, programs and infrastructure that will enable the City to reach its Zero Waste goal of 95% diversion by 2030, or a per capita disposal rate of 1.1 pounds per person per day. The Zero Waste Strategic Operations Plan will help the City strengthen its existing diversion operations while addressing significant fiscal challenges and emerging trends and technologies. The Plan will serve as a broad environmental and policy framework and will guide the future development of the City’s resource recovery and recycling policies, programs, and infrastructure. 7.A.d Packet Pg. 365 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-2 1-2 The Zero Waste Strategic Planning process included the following tasks: 1. Review and summary of existing policies, programs, facilities, and rate structure. 2. Review and compilation of existing zero waste guiding principles, and development of zero waste guiding principles relevant to the City. 3. Compilation of existing and projected waste generation and composition data. 4. Identification, evaluation, and selection of policy, program, and infrastructure options. 5. Calculation of potential diversion and greenhouse gas emission reductions. 6. Analysis of program costs and rate structure impacts. 1.1.1 What Is Zero Waste? Zero waste is a change of perspective. It requires rethinking what we have traditionally regarded as trash and instead treating all materials as valued resources. Zero waste entails shifting consumption patterns, more carefully managing purchases, and maximizing the reuse of materials at the end of their intended use. Zero waste takes into consideration the entire materials management system, from extraction of natural resources, to product design, manufacturing and distribution, to product use and reuse, to recycling, composting, energy recovery, or disposal. In developing policies, programs and infrastructure to achieve zero waste, the City can both maximize diversion from landfills and reduce generation of waste. Achieving zero waste entails encouraging the City, its residents, businesses, and visitors to reevaluate what we consider waste. Ultimately, zero waste contributes to the development of a greener local economy and a more sustainable community. In order to reach true sustainability, the strategies identified in the Zero Waste Strategic Operations Plan must consider “People, Planet, and Profit” as the triple bottom line achieving social, environmental, and economic sustainability. The City has defined it Zero Waste goal to mean achieving 95% diversion or a per capita disposal rate of 1.1 pounds per person per day. 1.2 Guiding Principles The Santa Monica Zero Waste Strategic Operations Plan (Plan) is based on ten Guiding Principles that provide a framework for the policies, programs and actions identified for implementation. These Zero Waste Guiding Principles are consistent with the Guiding Principles developed for the Santa Monica Sustainable City Plan. The Guiding Principles were presented to the public at the Santa Monica festival in May 2012. Nearly 400 residents provided input during the event. The residents indicated their top three priorities are: healthy community; waste reduction; and education and outreach. The Guiding Principles are detailed below: 7.A.d Packet Pg. 366 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-3 1-3 1. The Health of the Community and the Environment Guides all Policy Decisions Santa Monica is committed to protecting, preserving and restoring the natural environment and safeguarding the health of all members of the community. All program and policy decisions related to achieving our zero waste goals will be developed based on these commitments. 2. The Hierarchy for Managing Discarded Materials is to Reduce, Reuse, Recycle and then Recover The City has adopted an environmental hierarchy for ‘highest and best use’ of discarded materials. It will follow this hierarchy by prioritizing waste prevention and reduction, then encouraging reuse prior to treatment through recycling and composting. The City will recover energy and economic value from residual materials that cannot be recycled or composted through environmentally sound treatment prior to disposal. 3. Economic and Social Benefits are Integral to Zero Waste The programs and policies in this Plan will promote economic benefits, including job creation, cost savings and business opportunities, and will ensure that inequitable burdens are not placed on any one geographic or socioeconomic sector of the population. 4. The City Leads By Example Santa Monica will model the behavior it seeks from its residents, businesses and institutions by incorporating zero waste principles into local policies and operations; through advocacy for zero waste policies and initiatives at the regional, state and federal level; and through support to the community in striving for zero waste. 5. Brand Owners, Producers and Manufacturers Contribute to the Management of their Products and Packaging The City will pursue policies at all levels of government (State/ Regional/Local) for producers to take responsibility for the end of life management of products and packaging. Consumers need to be part of the solution and will be educated on alternative purchasing practices. 6. Regional Partnerships Leverage the City’s Efforts in Pursuing Zero Waste Santa Monica recognizes that to be successful it must work with other cities in the region in order to promote a robust zero waste infrastructure and culture. The City will collaborate on programs, public outreach, legislation, infrastructure and new technologies that help to achieve zero waste goals throughout the region. 7.A.d Packet Pg. 367 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-4 1-4 7. Municipal Management of Local Collections and Processing Programs Ensures Local Control and Responsiveness The City’s operations are a model of materials management. New programs and infrastructure will be developed to ensure that residents, businesses and visitors become zero waste champions. 8. Education, Outreach and Marketing are Essential to Achieving Cultural Change Santa Monica recognizes the power of community-based social marketing, social networks, community organizing and grassroots support for its education and outreach programs. The City will empower the community by providing the tools and techniques for enabling the culture to achieve zero waste. 9. Research and Development of New Technologies, Collection Systems and Infrastructure are Needed to Maximize Diversion of Discarded Materials The City recognizes current approaches to managing materials are inadequate to maximize diversion from disposal. The City will closely monitor new developments and will invest in pilot programs and facilities for achieving zero waste. 10. Local Market Development for Reusable and Recyclable Materials Ensures Sustainability Santa Monica is part of the global economy, but recognizes that local business development is the key to a sustainable community. Wherever possible, the City will invest in local reuse and recycling markets and support local businesses in providing markets for discarded materials. 1.3 Zero Waste Policy The City will develop a zero waste policy to be adopted concurrent with the adoption of the zero waste strategic operations plan. The policy will establish the City’s goal of reaching zero waste by 2030, and the strategies and actions the City will take to attain that goal. Other aspects of the policy may include the definition of zero waste, specific goals for the residential and commercial sectors, the roles and responsibilities of City departments and divisions, and references to relevant sections of the City’s municipal code, ordinances, and resolutions. The policy will be drafted for review by City staff and legal counsel, and for consideration by the City Council. 1.4 Goal Areas, Goals, Indicators and Targets The Zero Waste Strategic Operations Plan is organized around six goal areas: 1. Waste Reduction 2. Environmental Benefits 3. Economic Benefits 4. City Leadership 5. Producer Responsibility 6. Zero Waste Culture Change 7.A.d Packet Pg. 368 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-5 1-5 Specific goals are established in each goal area representing what Santa Monica must achieve in order to become a zero waste community. For each goal, indicators have been developed to measure progress toward meeting the goals. The indicators will help determine the impact of a program, policy or action, and when tracked over time, will reflect the accomplishments and challenges of implementing the Zero Waste Strategic Operations Plan. The indicators will measure the performance or effectiveness of specific policies or programs, and will be used to determine the need for future modifications to the Plan. For some goals, numeric targets have been established to further evaluate the accomplishments of the Plan. The goal areas, indicators and targets are listed in Table 1-1. Table 1-1. Goal Areas, Indicators and Targets Goal Area/Indicator Targets 1. Waste Reduction • Total citywide generation (also report per capita and by sector) • Amount landfilled • Amount diverted (recycled and composted, etc.) from landfill • 80% diversion by 2015 • 95% diversion by 2030 • Per capita disposal rate of less than 3.6 pounds/person/day by 2020 • Per capita disposal rate of less than 1.1 pounds/person/day by 2030 2. Environmental Benefits • Greenhouse gas emissions reduction through waste reduction and recycling programs • Conversion of City fleets to clean fuels/renewable • 30% contribution to greenhouse gas reduction goal through waste prevention and recycling by 2015 • 50% contribution to greenhouse gas reduction goal through waste prevention and recycling by 2020 • 100% of all City fleet vehicles to clean fuels by 2030 3. Economic Benefits • Creation of new jobs • Local market development • 20% increase in local jobs from waste prevention and recycling • Local market development o 3 new local partnerships by 2015 o 5 new partnerships by 2020 7.A.d Packet Pg. 369 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 1.0 INTRODUCTION 1-6 1-6 Goal Area/Indicator Targets 4. City Leadership • Zero waste at City offices and facilities • Establish baseline • Recycling and composting at all City facilities by 2015 • 80% diversion rate at City facilities by 2015 • 95% diversion rate at City facilities by 2030 5. Producer Responsibility • Producer responsibility for problem products (advocacy at state level or implementation of City ordinances) • State legislation or City ordinance to address pharmaceuticals, sharps, batteries, fluorescent bulbs by 2020 6. Zero Waste Culture Change • Customer participation and reduced contamination • Zero waste awareness at home, at work, at school, at play • 80% participation in City programs by 2015 • 90% participation in City programs by 2020 • 100% participation in City programs by 2025 • Contamination reduced to 2% by 2015 • Contamination reduced to 1% by 2020 • 80% of residents and businesses aware of Zero Waste by 2015 • 90% of residents and businesses aware of Zero Waste by 2020 7.A.d Packet Pg. 370 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-7 2.0 Current Conditions An important step in the planning process is to obtain a comprehensive understanding of the existing policies, programs, and infrastructure in the City. This helps ensure the Zero Waste Plan is in line with the City’s established goals and efforts. 2.1 Resource Recovery and Recycling Division This section provides a description of the existing services provided by the City’s Resource Recovery and Recycling Division. 2.1.1 Residential Collection Services The City’s Resource Recovery and Recycling Division provides collection services for all single-family (SF) and multi-family (MF) residences. There are approximately 50,000 total housing units in the City1. Approximately 77% of the housing units are designated by the City as MF, which is defined as more than 2 units. In 2011, the City collected an estimated 43,300 tons from residential customers, including approximately 27,600 tons of refuse, 8,500 tons of recyclables, and 7,000 tons of yard trimmings/ food scraps. A breakdown of the quantities and types of materials collected from single-family and multi-family residences is shown in Table 2-12. Table 2-1. Residential Tonnages (2011) Single-Family Multi-Family Total Refuse 6,976 20,692 27,667 Recycling 4,099 4,479 8,578 Yard Trimmings/Food Scraps 6,428 613 7,041 TOTAL 17,503 25,783 43,287 1 US Census, 2010; http://factfinder2.census.gov/faces/tableservices/jsf/pages/productview.xhtml?src=bkmk 2 The City does not have separate collection routes by customer type, and therefore percentage estimates have been calculated based on the 2009 container audit and weighted averages. 7.A.d Packet Pg. 371 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-8 2-8 2.1.1.1 Single-Family Residences Single-family residences are provided with refuse, recycling, and yard trimmings collection services on a weekly basis, that utilizes an automated, 3-cart system. Residents can choose between 68- and 95-gallon sized black carts for refuse, and are provided 95-gallon blue carts for recyclables and 95-gallon green carts for yard trimmings. Items that are accepted in the blue recycling container are summarized in Table 2-2. Yard trimmings are composted at Community Recycling, located in Lamont, California, for agricultural use. The materials accepted in the yard trimmings carts include grass, leaves, weeds, tree trimmings, and small branches not more than 3 feet long. Currently, there are no restrictions or fees on the number of recycling or yard trimmings carts available to residents. Residents may request as many containers as they need. Single-family residents pay for collection services bi-monthly, based on the frequency of service, the number of carts, and the size of the refuse cart(s). The current collection rates for single-family residences are included in Table 2-3. Beginning in August 2010, the City began a pilot SF residential food scraps collection program for approximately 600 households. The program allowed residents to place food scraps in their yard trimmings cart(s). In late 2010, the City conducted a survey of 150 participants to collect feedback on the food scraps collection program. Of the responses received, 40% were participating in the program while 60% were not participating. Of the 60% of residents who were not participating in the program, 67% indicated they were not aware of the 7.A.d Packet Pg. 372 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-9 2-9 program and stated they would begin to participate in the program now that they were aware. In August 2011, the pilot program expanded to 330 households, in February 2012 to an additional 370 households, and in April 2012, a total of 1,300 households were participating in the program. Beginning June 30, 2012, all single-family residences were eligible to participate in the program. A map of the pilot program areas is shown in Exhibit 2-1. The co-collected food scraps and yard trimmings are taken to Southern California Disposal (SCD), where they are placed in transfer vehicles that are hauled to Community Recycling for composting. The City also offers home composting and vermicompost bins at a subsidized price as another measure to decrease the amount of organic materials that go to landfills. 7.A.d Packet Pg. 373 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-10 2-10 Table 2-2. Items Accepted in the City’s Recycling Program Glass All glass bottles and jars (mayonnaise, apple juice bottles, wine bottles, etc.) CA redemption bottles (soda, beer, wine coolers, etc.) Metal Aluminum beverage cans and aluminum food cans (e.g., cat food cans) Steel/tin food and beverage cans Clean aluminum foil and foil food trays Paper Newspaper (including inserts) Office paper (white and colored) Computer paper Corrugated cardboard Cardboard boxes and paper bags Phone books Magazines and catalogs Food/detergent boxes Mixed office paper (file folders, fax paper, envelopes, advertisements, flyers, etc.) Junk mail, bulk mail, and scrap paper Paper bound with non-water soluble glue (paperback books, hardback books, overnight mail packages, etc.) Milk cartons (clean and rinsed) Aseptic Packages (juice boxes) Plastics Plastics Numbered 1-5, and 7 Water/juice/soda bottles Food containers Milk and water jugs Detergent/cleaning product bottles Personal care bottles Plastic bags (shopping bags, dry cleaner bags and other plastic bags) 7.A.d Packet Pg. 374 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-11 2-11 Table 2-3. Bi-Monthly Single-Family Residential Collection Rates (FY 2011/2012) Quantity, Size Refuse Cart Frequency Rate 1-68 gallon cart 1x weekly $64.85 2-68 gallon cart 1x weekly $129.70 3-68 gallon cart 1x weekly $194.55 1-95 gallon cart 1x weekly $83.76 2-95 gallon cart 1x weekly $167.54 3-95 gallon cart 1x weekly $251.31 1-68 & 1-95 gallon cart 1x weekly $148.63 2 cubic yard bin 1x weekly $335.06 300 gallon container 1x weekly $252.33 Shared container service $25.67 A bulky item collection service is offered by the City. Bulky items include large objects that do not fit in a refuse container, such as refrigerators, stoves, and furniture. The service is available to residents for a fee, depending on the size and amount of items discarded. The fees can range from $25 for small items, to $250 for large items. 7.A.d Packet Pg. 375 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-12 2-12 Exhibit 2-1. Map of SF Residences Participating in the Pilot Food Scraps Collection Program 7.A.d Packet Pg. 376 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-13 2-13 2.1.1.2 Multi-Family Residences The City collects refuse from an estimated 40,000 multi-family (MF) units. Multi-family buildings are provided with either 68- or 95-gallon carts; 300-gallon containers; or 2-, 3-, or 4- cubic-yard bins for refuse collection. Residents of multiple unit dwellings and condominiums have a commingled recycling collection program. Blue 300-gallon containers, or 2, 3, or 4 cubic yard bins are placed throughout the alley ways for the collection of commingled recyclables from MF complexes. The containers and bins are either designated to specific complexes, or are shared by neighboring complexes. In 2012, there were approximately 400 large (more than 5 units) buildings that did not have recycling services. The City has been working to address this issue, and during 2013, all 400 buildings will be provided with recycling opportunities. A list of recyclables accepted by the City was provided in Table 2-2. The City also offers home composting and vermicompost bins at a subsidized price to multi-family residences as a measure to decrease the amount of organic materials that go to landfills. The current collection rates for multi-family residences are shown in Table 2-4. 7.A.d Packet Pg. 377 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-14 2-14 Table 2-4. Bi-Monthly Multi-Family Residential Collection Rates (FY 2011/2012) 68, 95 Gallon Refuse Carts 3 Cubic Yard Refuse Bin Quantity, Size Frequency Rate Quantity, Size Frequency Rate 1-68 gallon cart 1x weekly $51.35 3 cubic yard bin 1x weekly $226.49 1-95 gallon cart 1x weekly $67.55 3 cubic yard bin 2x weekly $453.02 3 cubic yard bin 3x weekly $679.52 300 Gallon Refuse Container 3 cubic yard bin 4x weekly $906.03 Quantity, Size Frequency Rate 3 cubic yard bin 5x weekly $1,132.54 300 gallon container 1x weekly $147.27 3 cubic yard bin 6x weekly $1,358.97 300 gallon container 2x weekly $294.54 300 gallon container 3x weekly $441.82 4 Cubic Yard Refuse Bin 300 gallon container 4x weekly $589.10 Quantity, Size Frequency Rate 300 gallon container 5x weekly $736.38 4 cubic yard bin 1x weekly $300.26 4 cubic yard bin 2x weekly $600.51 2 Cubic Yard Refuse Bin 4 cubic yard bin 3x weekly $900.77 Quantity, Size Frequency Rate 4 cubic yard bin 4x weekly $1,201.03 2 cubic yard bin 1x weekly $154.03 4 cubic yard bin 5x weekly $1,501.28 2 cubic yard bin 2x weekly $308.07 4 cubic yard bin 6x weekly $1,801.54 2 cubic yard bin 3x weekly $462.09 2 cubic yard bin 4x weekly $616.11 Refuse Bin Roll Out 2 cubic yard bin 5x weekly $770.16 Quantity, Size Frequency Rate 2 cubic yard bin 6x weekly $924.17 Bin roll out 1x weekly $41.89 Bin roll out 2x weekly $83.76 Miscellaneous Bin roll out 3x weekly $125.65 Quantity, Size Frequency Rate Bin roll out 4x weekly $167.54 Livable Unit Charge $8.11 Bin roll out 5x weekly $206.35 No Charge/2nd Meter $0.00 Bin roll out 6x weekly $251.31 Lock Charge/Per Bin $17.58 City bin on City Property Per Bin $86.47 Refuse Bin Truck Roll Out Share Bin/Cart Service $37.84 Quantity, Size Frequency Rate Bin truck roll out 1x weekly $47.38 Bin truck roll out 2x weekly $94.76 Bin truck roll out 3x weekly $144.44 Bin truck roll out 4x weekly $189.52 Bin truck roll out 5x weekly $236.91 Bin truck roll out 6x weekly $284.29 7.A.d Packet Pg. 378 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-15 2-15 2.1.2 Commercial Collection Services The City provides collection services for all 3,000 commercial accounts, representing approximately 14,000 businesses. A breakdown of the quantities and types of materials collected from commercial accounts is shown in Table 2-5. The container sizes available to commercial businesses for refuse include: 68- or 95- gallon carts; 300-gallon containers; or 2, 3 or 4-cubic- yard bins. Extra refuse collection containers are available for an additional fee, depending on the size and number of containers requested. The summary of commercial rates for collection services is included in Table 2-6. Commercial customers also pay for street sweeping services. In the future, street sweeping services may be incorporated into the City’s overall rate structure. Table 2-5. Commercial Tonnages (2011) Tons Refuse 38,199 Recycling 3,882 Food Scraps/Yard Trimmings 2,316 TOTAL 44,398 The City provides commingled recycling collection services to all commercial customers at no additional charge. Approximately 820 businesses currently participate in recycling. Private haulers also provide recycling services to some commercial businesses. Table 2-2 includes the list of items collected in the commercial recycling program. Food scraps recycling collection is available to restaurants, grocery stores and other establishments with food services. Presently, the service is offered at no additional charge. In the future, the program will be incorporated into the City’s overall rate structure. Participants are required to source separate all food scraps and place them into designated containers provided by the City. Currently, 98 businesses are participating in the program and another 471 businesses are eligible to participate. The City takes the food scraps to SCD, where it is loaded into roll-off containers and picked up by Community Recycling for transport to their composting facility it Lamont, California. 7.A.d Packet Pg. 379 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-16 2-16 Partnering with GeoGreen Biofuels, the City offers a fats, oil, and grease (FOG) collection program that is free of charge. Collection containers are located Downtown in parking structures 2 through 6. Restaurants that are not located Downtown can request a separate collection container by contacting the City. 7.A.d Packet Pg. 380 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-17 2-17 Table 2-6. Bi-Monthly Commercial Collection Rates (FY 2011/2012) 68 Gallon Refuse Cart 2 Cubic Yard Refuse Bin Quantity, Size Frequency Rate Quantity, Size Frequency Rate 1-68 gallon cart 1x weekly $35.13 2 cubic yard bin 1x weekly $110.79 1-68 gallon cart 2x weekly $70.25 2 cubic yard bin 2x weekly $221.59 1-68 gallon cart 3x weekly $105.39 2 cubic yard bin 3x weekly $332.37 1-68 gallon cart 4x weekly $140.52 2 cubic yard bin 4x weekly $443.16 1-68 gallon cart 5x weekly $175.64 2 cubic yard bin 5x weekly $609.37 2 cubic yard bin 6x weekly $664.76 95 Gallon Refuse Cart 2 cubic yard bin 7x weekly $775.55 Quantity, Size Frequency Rate 1-95 gallon cart 1x weekly $50.00 3 Cubic Yard Refuse Bin 1-95 gallon cart 2x weekly $99.98 Quantity, Size Frequency Rate 1-95 gallon cart 3x weekly $149.98 3 cubic yard bin 1x weekly $149.98 1-95 gallon cart 4x weekly $199.97 3 cubic yard bin 2x weekly $299.94 1-95 gallon cart 5x weekly $249.96 3 cubic yard bin 3x weekly $449.93 3 cubic yard bin 4x weekly $599.91 300 Gallon Refuse Container 3 cubic yard bin 5x weekly $749.88 Quantity, Size Frequency Rate 3 cubic yard bin 6x weekly $899.85 300 gallon container 1x weekly $102.68 3 cubic yard bin 7x weekly $1,049.83 300 gallon container 2x weekly $205.36 300 gallon container 3x weekly $318.53 Refuse Bin Roll Out 300 gallon container 4x weekly $424.71 Quantity, Size Frequency Rate 300 gallon container 5x weekly $530.88 Bin roll out 1x weekly $24.32 Bin roll out 2x weekly $48.64 Miscellaneous Bin roll out 3x weekly $72.96 City bin on City property Per Bin $59.45 Bin roll out 4x weekly $97.28 Lock Charge Per Bin $17,58 Bin roll out 5x weekly $121.59 Non-Semi Auto Service 2x/week $45.94 Bin roll out 6x weekly $145.93 Bin roll out 7x weekly $170.23 Street Sweeping Rates (based on water meter size) Refuse Bin Truck Roll Out 0.75” Per Unit $74.32 Quantity, Size Frequency Rate 1.00” Per Unit $101.34 Bin Truck roll out 1x weekly $35.13 1.5” Per Unit $148.63 Bin Truck roll out 2x weekly $70.25 2.00” Per Unit $198.61 Bin Truck roll out 3x weekly $105.39 3.00” Per Unit $297.24 Bin Truck roll out 4x weekly $140.52 4.00” Per Unit $397.24 Bin Truck roll out 5x weekly $175.64 6.0” Per Unit $595.86 Bin Truck roll out 6x weekly $210.77 Bin Truck roll out 7x weekly $270.23 7.A.d Packet Pg. 381 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-18 2-18 2.1.3 Household Hazardous Waste Residents have access to a free drop-off service for Household Hazardous Waste (HHW) at the City’s HHW Collection Center, located at the City Yards on 2500 Michigan Avenue. The operating hours of the HHW Center are the 1st Saturday of the month, between 9 am and 2 p.m. Small businesses, those that generate less than 27 gallons of hazardous waste per month can make an appointment to bring hazardous waste to the City’s HHW Collection Center on the Friday before the 1st Saturday of the month. There is a fee for small businesses to use the HHW Collection Center. A list of the HHW accepted is provided in Table 2-7. To supplement the services provided at the drop-off center, the City began a HHW Home Collection Program in August 2011. The HHW Home Collection Program is provided on a free and unlimited basis to homeowners and tenants in the City. Participants in the program must contact the City’s contractor to reserve the service and request a collection kit. On collection day, residents are instructed to leave their HHW at their doorstep where it is collected. Materials accepted in the HHW Home Collection Program include: • Aerosols • Art Supplies • Automotive Products • Batteries • Cleaners/Wax • Garden Chemicals • Lubricants • Mercury Containing Devices • Other Household Products • Paints • Personal Care Products • Pesticides • Sharps • Electronics • Pool Chemicals • Auto Batteries: Up to 4 • Fluorescent Light Tubes (Straight): Up to 10, tubes must be taped • Televisions: 1 • Computer Monitors: 1 • Empty paint cans and/or dried latex paint not hazardous Other Consumer Electronics with Circuit Boards • Desktop or laptop computers: 1 • Microwave ovens: Up to 2 • Desktop scanners, printers, copiers: Up to 2 • Fax machines: Up to 2 • Telephones, cell phones, portable phones, keyboards, mice, VCR’s, CD players, stereos disc drives, cables: No limit 7.A.d Packet Pg. 382 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-19 2-19 Table 2-7. Materials accepted at the City’s HHW Center Category Materials Included Aerosol Products Aerosol air fresheners, aerosol antibacterial sanitizers Art Supplies Adhesives, paint, cleaners, correction fluids, photography chemicals Automobile Batteries Automobile batteries Automotive Products Cleaners, lubricant, solvent, fuel, brake fluid, antifreeze, carburetor cleaner, metal conditioner, engine degreaser, fuel additives, refrigerants, transmission fluid, window washer fluid, used motor oil, used motor oil filters Batteries All household types Chemicals Garden chemicals, pesticides Cleaners/Wax Polish, degreasers, rug/upholstery cleaners, oven cleaners, toilet bowl cleaners E-waste Computer monitors, televisions, cell phones, DVD players Fats, Oil, and Grease Cooking oil Fluorescent Straight Light Tubes Fluorescent lamps Lubricants Automotive/household compressor oil, cutting oil Paint Aerosols, hobby/automotive/household latex and oil-based, thinners, strippers, wood preservatives, lacquers, linseed oil, primers, stains, varnishes Personal Care Personal Care - nail polish, polish remover, rubbing alcohol, shoe polish, spot remover Poisons Household/garden poisons, pesticides, insecticides, herbicides, fungicides, baits traps, fertilizers, pet care, pool chemicals Other Household Fluorescent tubes/bulbs, compact fluorescent lamps (CFLs), thermostats, thermometers, propane tanks, moth balls, rust remover, kerosene Sharps Medical Waste Needles, lancets Oil and Oil Filters Used motor oil, oil filters 7.A.d Packet Pg. 383 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-20 2-20 2.1.4 Zero Waste Events To promote and implement recycling, reuse and composting practices at special events, the Resource Recovery and Recycling Division offers assistance to help organizations implement Zero Waste events. The assistance includes a planning guide with information and recommendations on vendor involvement, food service, site planning, decorations and giveaways, education, volunteers, signage, and collection containers. 2.2 City Policies and Programs The City has implemented numerous policies and programs that support the City’s resource recovery and sustainability efforts. These policies and programs were incorporated into the Zero Waste Planning process to ensure the goals and visions were aligned. 2.2.1 Santa Monica Municipal Code (SMMC) 2.2.1.1 Disposable Food Service Containers Chapter 5.44 of the Santa Monica Municipal Code (SMMC) prohibits the distribution of disposable food service containers made of nonrecyclable plastic or expanded polystyrene foam from all food providers and at City events. The ban applies to single-use disposable containers intended for serving or transporting prepared, ready-to-eat food or beverages. The ban helps reduce the amount of plastic that ends up on the City’s beaches, reduces materials that go to the landfill, and also reduces the amount of natural resources used to manufacture and transport the disposable products. 2.2.1.2 Single-Use Carry Out Bags Chapter 5.45 of the SMMC prohibits retail establishments, grocery stores, convenience stores, mini-marts, liquor stores, pharmacies, and any City events, from distributing petroleum and bio- based single-use carryout plastic bags. The code imposes a $0.10 fee for each paper bag that is distributed, and requires paper bags to be 100% recycled content paper, with a minimum of 40% post-consumer, recycled content. 7.A.d Packet Pg. 384 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-21 2-21 The City has implemented a Share a Bag Program. The program enables the community to donate extra, reusable bags at designated locations throughout the City for those who cannot afford reusable bags or for those who forget their reusable bags. There are 10 Share a Bag Program locations citywide The locations are listed below and shown on Exhibit 2-2. • Santa Monica City Hall Help Desk, 1685 Main Street • Santa Monica Chamber of Commerce, 1234 6th Street #100 • Downtown Santa Monica Ambassador's Desk, Parking Structure 4, 1321 2nd St. • Santa Monica Convention & Visitors Bureau, 1920 Main Street • Santa Monica Place, The Market on Level Three • Real Offices Center Santa Monica, 604 Arizona Ave • Sustainable Works, 1744 Pearl Street • Assistance League of Santa Monica Thrift Shop, 1453 15th Street • Cherry Picked Boutique, 2807 Pico Blvd. • Virginia Avenue Park, 2200 Virginia Ave. Exhibit 2-2. Share a Bag Locations 7.A.d Packet Pg. 385 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-22 2-22 2.2.1.3 Construction and Demolition Material Waste Management Plans Chapter 8.108, Subpart C, requires all City-sponsored construction and demolition (C&D) projects, as well as private C&D projects that are $50,000 or greater in value, or are 1,000 square feet or greater, to meet a minimum 70% diversion rate. Covered projects must submit a waste management plan (WMP) for City approval that includes the tonnages of materials that are disposed and diverted, and the methods implemented to reuse and/or recycle the materials,. Applicants must provide a security deposit equal to 3% of the project value, or $30,000, whichever is less. Upon project completion, a final compliance report must be submitted for the security deposit to be refunded to the applicant. A number of methods can be used to comply with the C&D diversion requirements. On -site reuse is allowed on a case by case basis, as approved in the WMP. Materials that are source-seperated on site, such as wood, concrete, or asphalt, can be sent to an approved C&D facility for reuse or recycling. All mixed C&D materials are required to be sent to an approved mixed C&D recycling facility. A list of the City-approved C&D recycling facilities is included in Table 2-8. 7.A.d Packet Pg. 386 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-23 2-23 Table 2-8. Approved C&D Recycling Facilities (2010) METAL companies listed below accept both ferrous & non-ferrous metals, unless otherwise noted. MIXED C&D RECYCLERS Process mixed C&D to extract recyclables SALVAGED ITEMS (USED BUILDING MATERIALS) A&S Metal Recycling 2261 E. 15th Street Los Angeles, CA 90021 213-623-9443 Community Recycling & Resource Recovery, Inc. 9189 DeGarmo Avenue Sun Valley, CA 91352 818-767-0675 Freeway Building Materials 1124 S. Boyle Avenue Los Angeles, CA 90023 323-261-8904 Alpert & Alpert Iron & Metal 1815 Soto Street Los Angeles, CA 90023 323-265-4040 Direct Disposal 3720 Noakes Street Los Angeles, CA 90023 323-262-1604 Santa Fe Wrecking & Salvage 720 E. 18th Street Los Angeles, CA 90021 213-765-8166 Atlas Iron & Metal 10019 Alameda Street Los Angeles, CA 90002 323-566-5184 East Valley Diversion 11616 Sheldon Street Sun Valley, CA 91352 818-252-0019 Scavenger’s Paradise 5453 Satsuma Avenue N. Hollywood, CA 91601 323-877-7945 Kramer Metals 1760 E. Slauson Avenue Los Angeles, CA 90058 323-587-2277 Downtown Diversion 2424 E. Olympic Blvd Los Angeles, CA 90021 213-612-5005 WOOD North Hills Recycling, Inc. 11700 Blucher Avenue Granada Hills, CA 91344 818-831-7980 A-1 Metals Recycling, Inc. 8250 Tujunga Avenue Sun Valley, CA 91352 818-767-4388 California Waste Services 621 W. 152nd Street Gardena, CA 90247 310-538-5998 Recycled Wood Products 1313 E. Phillips Blvd Pomona, CA 91766 909-868-6882 INERT MATERIAL Southern California Disposal 1908 Frank Street Santa Monica, CA. 90404 310-828-6444 CARPET PADDING Hanson Aggregates 5625 Southern Avenue South Gate, CA 90280 800-300-6120 Carpet Pad Recycling 1923 Rosemead Blvd South El Monte, CA 91733 626-444-6048 Arcadia Reclamation, Inc. 12321 Lower Azusa Road Arcadia, CA. 91006 909-392-8510 Interior Removal Specialist, Inc. 9309 Rayo Avenue South Gate, CA 90280 323-357-6900 CARDBOARD Allan Company 2411 Delaware Avenue Santa Monica CA 90404 310-453-9677 Vulcan Materials Company 11520 Sheldon Blvd Sun Valley, CA 90052 818-768-4157 INERT MATERIAL BRICK & ROOFING TILES Valley Base Materials 2121 E. 25th Street Los Angeles, CA 90058 323-583-7913 Bourget Bros Building Materials 1636 11th Street Santa Monica, CA 90404 310-450-6556 Chandler’s Sand Gravel 26311 Palos Verdes Drive East Rolling Hills Estates, CA 90274 310-784-2900 Nu-Way Arrow Reclamation 1270 E. Arrow Highway Irwindale, CA. 91706 626-305-5308 7.A.d Packet Pg. 387 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-24 2-24 In 2010, the City conducted an audit of the mixed C&D recycling facilities. The results of the audit indicated a total of 35,308 tons of C&D materials originating in the City were processed at these facilities, with 31,116 diverted from landfilling, for an average of 88% diversion. Table 2- 9 includes the approved mixed C&D recycling facilties, along with the facility diversion rates, and tons of materials processed from the City in 2010. Table 2-9. City-Approved Mixed C&D Recycling Facilities (2010) Facility Name and Location Tons Originating in Santa Monica Diversion Rate Tons Diverted California Waste Services 5,922 87% 5,152 Community Recycling 16,742 93% 15,570 Direct Disposal 311 73% 227 Downtown Diversion 10,087 83% 8,372 East Valley Diversion 62.6 85% 52.4 Interior Removal Specialists 1,190 78% 928 Southern California Disposal 994 82% 815 TOTAL 35,308 88% 31,16 2.2.2 Extended Producer Responsibility Resolution 10412, signed on June 23, 2009, documents the City’s support for an extended producer responsibility (EPR) framework in State legislation by way of urging the League of California Cities, the California State Association of Counties, and CalRecycle to advocate for more EPR policies. The resolution states that the City will encourage all manufacturers to take part in the responsibility of their products, from the processing, collection, recycling, and disposal of the materials. 2.2.3 Recycled Products Procurement Policy The Recycled Products Procurement Policy was developed in 1991 to help the City make responsible decisions in purchasing products with recycled content. The main guidelines of the policy include the following: • The priority in which products should be purchased based on the highest content of post-consumer material, pre-consumer material, and minimum recycled content. • The ability of a product and its packaging to be reused, reconditioned for reuse, or recycled, and the amount of waste the product and its packaging generates. 7.A.d Packet Pg. 388 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-25 2-25 • Equipment purchased or rented by the City are to be compatible with the use of recycled-content products. • Product specifications, requisitions, and performance standards must not require the use of products made from virgin materials or exclude recycled-content products. 2.2.4 Sustainable City Plan In September 1994, the City Council took steps to address sustainability concerns in the community by adopting the City of Santa Monica Sustainable City Plan. The Sustainable City Plan provides a roadmap to ensure the City meets its environmental, economic, and social needs without compromising the quality of life for the community and for future generations. The plan has concrete goals and targets for tracking the City’s progress in the following nine areas: 1. Resource Conservation 2. Environmental and Public Health 3. Transportation 4. Economic Development 5. Open Space and Land Use 6. Housing 7. Community Education and Civic Participation 8. Human Dignity 9. Arts and Culture The Sustainable City Plan includes goals and strategies, for the City government and all sectors of the community, to conserve and enhance local resources, safeguard human health and the environment, maintain a healthy and diverse economy, and improve the livability and quality of life for all community members in the City. Under the Resource Conservation area, the City established the following goals for solid waste generation: • Total citywide generation to not exceed year 2000 levels by 2010 • Increase amount diverted to 70% of total by 2010. The goals of the Sustainable City Plan are tracked through a Sustainable City Progress Report and Report Card. In 2005, a Progress Report website was launched to provide updates on the status of the Plan as well as a letter grade that rates the City on its efforts in the initial eight target areas. In 2012, a ninth target area, Arts and Culture, was added to the Sustainable City Plan. 7.A.d Packet Pg. 389 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-26 2-26 The Sustainable City Report Card is a document that provides a summary of the grades that are also posted on the Progress Report website. The most recent Sustainable City Report Card was released in 2012, a summary of those grades are provided in Table 2-10. The 2010 waste diversion goal was exceeded in 2009 with a diversion rate of 74%. Table 2-10. 2010 Sustainable City Report Card Grades # Category Overall Grade Effort 1 Resource Conservation B- A- 2 Environmental and Public Health C+ A- 3 Transportation C+ A 4 Economic Development B A- 5 Open Space and Land Use A- A 6 Housing C A 7 Community Education and Civic Participation A- A 8 Human Dignity B A 9 Arts and Culture1 N/A N/A 1 The Arts and Culture category was added in 2012 and grades were not included in the 2012 report card. 2.2.5 Green Business Certification Program The City, the Convention and Visitors Bureau, the Chamber of Commerce, and the Sustainable Works non-profit organization have joined together to certify and recognize green businesses in the community through the Green Business Certification Program. The Program recognizes and certifies businesses that have taken steps to incorporate sustainable practices into their operations. In order to apply for a green certification, businesses must have a physical location in the City, a minimum of five employees, and occupy a minimum of 500 square feet of commercial business space. Eligible businesses must fall under one of the following categories: • Office • Retail Store • Restaurant • Grocery • Hotel • Motel Businesses that successfully pass the verification process are green certified for a period of 2 years. A 7.A.d Packet Pg. 390 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-27 2-27 total of 19 businesses were certified in the latest (2011-2013) Business Certification Program. 2.2.6 Sustainable Quality Awards The Sustainable Quality Awards (SQA) event was developed to identify and recognize businesses in the City that are successfully incorporating sustainable practices into their operations. The SQA is an annual event that promotes the efforts of local businesses that have made significant achievements in the areas of sustainable economic development, social responsibility, and stewardship of the natural environment. 2.2.7 US Conference of Mayors/California Public Interest Research Group (CALPIRG) Buy Recycled Campaign In September 1995, the City adopted a resolution for the US Conference of Mayors/California Public Interest Research Group (CALPIRG) Buy Recycled Campaign. In the resolution, the City agreed to purchase paper that contains a minimum of 20% post-consumer recycled content, increasing the amount of post-consumer recycled content to 30% beginning in 1998. The City currently exceeds these standards by using paper containing a minimum of 50% post-consumer recycled content. 2.2.8 City’s Purchase and Use of Tropical Forest Wood Products Ordinance 2.28 bans the purchase or use of any tropical hardwood product within the City, or at any City-sponsored events. The ordinance requires all contracts between the City and any supplier of wood products to include provisions that restrict the use of tropical wood. 2.2.9 Print Shop Purchasing Policy The City’s print shop has a policy to exclusively purchase and use recycled paper and vegetable- based printing inks, unless a printing request is submitted that cannot be completed using those products. It is estimated that 99% of all printing jobs are completed using recycled paper and vegetable-based inks. 2.2.10 Electronic Waste Electronic waste (E-waste), such as computers and televisions, is collected through a drop-off program for residents and businesses at the Santa Monica Community Recycling Center, located at 2411 Delaware Avenue. The drop-off program is free to residents and fee-based for businesses. 2.2.11 Used Oil and Filter Collection Collection centers are located throughout the City for residents to drop off used oil and oil filters. Exhibit 2-3 provides a map of the drop off locations. 2.2.12 Christmas Tree Recycling During the month of January each year, Christmas trees can be taken and recycled at four local parks or at the SCD Transfer Station in the City for free. The trees collected at the parks are turned into mulch and used throughout the City. 7.A.d Packet Pg. 391 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-28 2-28 Exhibit 2-3. Used Oil and Oil Filter Collection Locations 7.A.d Packet Pg. 392 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-29 2-29 2.2.13 Catalogue Choice City residents can sign up for a free account to opt-out of unwanted catalogs, phone books, coupons, circulars, credit card offers, and donation solicitations. The website is accessed through https://santamonica.catalogchoice.org/login. 2.2.14 Scheduled Events The City schedules a variety of waste reduction, re-use, recycling and composting events on a quarterly basis: • E-Waste collection • Textile recycling • Paper shredding • Compost give-away days and workshops • Re-use workshops • Annual Citywide yard sale 2.3 Resource Recovery and Recycling Processing Facilities There are two resource recovery and recycling processing facilities located within the City limits: the Santa Monica Community Recycling Center and the SCD Transfer Station. 2.3.1 Santa Monica Community Recycling Center The Santa Monica Community Recycling and Buy-Back Center is located at 2411 Delaware Avenue. The property is owned by the City and leased to the Allan Company, who owns and operates the facility equipment. The Center is open Monday through Friday from 8:00 a.m. to 5:00 p.m., and on Saturdays from 8:00 a.m. to 2:00 p.m. The Center may close earlier due to maximum daily tonnage restrictions. The Community Recycling Center accepts the following items: • Cans – aluminum, steel • Glass – bottles and jars • Plastic • Mixed Paper • Scrap Metal • Electronics • White goods - stoves, refrigerators and other appliances • Used motor oil and oil filters 7.A.d Packet Pg. 393 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-30 2-30 2.3.2 Southern California Disposal Transfer Station The SCD Transfer Station is a privately owned facility that is open to the public. The transfer station is located at 1908 Frank Street, and is open Monday through Friday from 6:00 a.m. to 2:00 p.m., and on Saturdays from 6:00 a.m. to 1:30 p.m. Items that are accepted at the facility include: • Refuse • Food scraps • Yard trimmings • C&D debris • Street sweeping collections In addition, SCD receives and transfers all refuse, yard trimmings, and food scraps that are collected by the City. SCD transfers refuse to a number of facilities, including Puente Hills landfill, Sunshine Canyon Landfill, Chiquita Canyon Landfill, Southeast Resource Recovery Facility (SERRF), and Commerce Refuse to Energy Facility. Yard trimmings, food scraps, and street sweepings are transferred to Community Recycling for composting at its compost facility in Lamont. Community Recycling receives the City’s food scraps at the SCD transfer station, and transfers the material to its composting facility in Lamont, California. Construction and demolition debris generated from City projects is also transferred through SCD to Community Recycling for processing, recycling, and disposal. 2.4 Educational Outreach 2.4.1 Sustainable Works Sustainable Works, a project of Community Partners, is a non-profit environmental education organization within the City. The organization offers four different sustainability programs: Business Greening, Community Sustainability, Residential Greening, and Student Greening. The Business Greening Program is free to Santa Monica businesses through a subsidy provided by the City’s Office of Sustainability and the Environment. The Program assists businesses in greening their bottom line by helping them save money and resources through increased efficiency and employee education. Sustainable Works performs on-site environmental assessments to evaluate current business practices and provides sustainable recommendations. The Community Sustainability Program facilitates the adoption of sustainable practices in the community and engages stakeholders to help meet sustainability goals. 7.A.d Packet Pg. 394 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-31 2-31 The Residential Greening Program offers free Green Living Workshops for residents in the City, and to non-residents for a fee. The series features six workshops offered once a week, for six weeks, covering topics that include resource recovery and recycling, water, energy, transportation, chemicals, and responsible purchasing. A Sustainable Works book is provided to each participant, which includes comprehensive resources for sustainable living. The Student Sustainability Workshop is a program that provides educational, student leadership, and community building opportunities to its participants while shaping the next generation of environmental leaders. 2.4.2 Community Sustainability Liaison The role of the Community Sustainability Liaison is to provide Santa Monica residents and community organizations with information and resources needed to help meet the goals of the Santa Monica Sustainable City Plan. The Liaison also helps coordinate educational outreach events within the community and produces a monthly electronic newsletter that highlights local sustainable news and events. 2.4.3 Educational Outreach Tools The City provides updates and information on its programs, policies, and events through a variety of outreach tools. Information is dispersed online (City websites and emails), via mail, television programming, workshops, advertisements in public spaces, and through citywide events. A list of some of the media available to the City for public outreach and education is provided in Table 2-11. The Environmental Directory includes a thorough list of local resources for topics that range from energy efficiency programs to environmentally preferred purchasing. The booklet also includes resources for refuse, recycling, composting, and hazardous waste. Table 2-11. Educational Outreach Media Media Resource Recovery and Recycling Division Website Office of Sustainability and the Environment Website Sustainable Santa Monica Electronic Newsletters Sustainable Santa Monica Facebook Page Santa Monica Resource Recovery and Recycling Facebook Page and Twitter City Emails Press Releases/Media Lists (i.e., Santa Monica Daily Press, Santa Monica Mirror, Santa Monica Observer, the Argonaut, etc.) CityTV Programming Community Events/Workshops City Hall Public Information Desk Libraries Farmers Markets Display Advertising (Big Blue Bus Advertising, etc.) City Collection Truck Advertising 7.A.d Packet Pg. 395 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 2.0 CURRENT CONDITIONS 2-32 2-32 2.4.4 Educational Outreach Events The City hosts a variety of environmental events throughout the year. These events provide the City an opportunity to directly reach out to community members, support local businesses, and promote sustainability efforts. The Santa Monica Festival is the largest festival in the City, and is held each year in May at Clover Park. The City also dedicates the month of September as Sustainability Awareness Month, in which key messages are targeted to residents, businesses, and the City Council regarding sustainability topics. Events that take place during Sustainable Santa Monica Awareness Month include: • Business Mixers • Residential Workshops • Film Screenings • A Sustainable Food Event • Report Card Launch • Student Poster Contest • Green Prize for Sustainable Literature A summary of annual sustainability events hosted by the City is provided in Table 2-12. Table 2-12. Citywide Environmental Events Event Month Buy Local Expo March Sustainable Industries Economic Forum April Santa Monica Festival May AltBuild Expo May Sustainable Quality Awards May Main Street Festival June Solstice Festival June Sustainable Santa Monica Awareness Month September AltCar Expo October Pico Festival October 7.A.d Packet Pg. 396 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-1 3.0 Generation and Characterization 3.1 Existing Generation Analyzing the City’s generation provides an understanding of which areas to target in the Zero Waste Strategic Operations Plan. Utilizing both the generation data and the inventory of existing programs and infrastructure, zero waste options were developed that will provide the most significant impact on reducing waste and increasing diversion. In 2011, the City’s generation, as calculated by CalRecycle, was approximately 360,000 tons of materials. Out of the total tons generated, 77% was diverted through waste prevention, recycling, and composting, and 23% was disposed in landfills or waste-to-energy facilities. The Zero Waste Strategic Operations Plan prioritizes source reduce, reuse, recycling, and composting materials before landfilling or processing at waste-to-energy facilities. The total amount of materials generated is calculated using the City’s average generation rate from the years 2003 through 2006. This methodology is consistent with the CalRecycle per capita disposal equivalent methodology (as set forth in state statute). The City’s 2011 per capita disposal was 5.0 pounds per person per day (PPD). Compared to the per capita disposal target of 10.9 PPD, the City was well within the target goal. The City’s overall 2011 generation is included in Table 3-1. Table 3-1. Overall Generation 2011 (tons) Disposal Diversion Total 82,997 275,355 358,351 3.2 Waste Diversion In 2011, the City diverted approximately 275,355 tons of material, or 77% of the total materials generated. The diversion programs provided by the City, and waste prevention and recycling efforts undertaken by individual residents and businesses, all contribute to the City’s diversion rate. A summary of the activities that contribute to diversion in the City is provided in Table 3- 2. 7.A.d Packet Pg. 397 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-2 Table 3-2. 2011 Diversion Summary Source/Program Diversion (Tons) SF Residential 10,527 Curbside Recycling 4,099 Yard Trimmings and Food Scraps 6,428 MF Residential 5,092 Recycling 4,479 Yard Trimmings 613 Commercial 6,412 Recycling 3,882 Yard Trimmings and Food Scraps 2,530 Self-Haul 3,356 Recycling 3,248 Yard Trimmings and Food Scraps 108 C&D 41,919 Commercial 2,861 Self-Haul 7,945 Private C&D Recycling 31,113 Street Sweeping 2,627 Other City Programs3 17,790 Residential Drop-Off 164 Residential Buy-Back 17,484 Tires 13 White Goods 7 Scrap Metal 78 E-waste 8 HHW 36 Diversion at Landfills (alternative daily cover, beneficial reuse, etc.) 12,601 Other Source Reduction & Recycling Programs4 175,031 Total 275,355 3 City of Santa Monica 2010 Annual Report to CalRecycle 4 This figure was estimated based on CalRecycle’s calculation of citywide generation, and includes waste prevention and recycling efforts undertaken by individual residents and businesses in the City. 7.A.d Packet Pg. 398 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-3 3.3 Disposal In 2011, 82,997 tons of materials were disposed in landfills or processed at waste-to-energy facilities. Commercial waste comprised approximately 50% of the disposed waste, MF residential waste comprised almost 25% of disposal, and SF residential waste made up 8%. The remaining disposal consisted of self-haul construction and demolition (C&D) debris and additional materials that were disposed by private companies or individuals. A summary of the disposed waste is provided in Table 3-3. . Table 3-3. 2011 Disposal Summary (tons) Source Tons SF Residential 6,976 MF Residential 20,692 Commercial 39,931 Self-Haul (City controlled) 7,494 Self-Haul (Not City controlled)5 7,905 Total 82,997 3.4 Discarded Materials Characterization Understanding the types and quantities of materials that make up the discarded materials generated in the City is an important element of the Zero Waste Strategic Operations Plan. The data helps guide the development and selection of policies, programs and facilities, and to target specific material types and/or products. Since discarded materials vary by generator type, it is important to analyze the materials generated by each sector. 3.4.1 Methodology For this study, the waste composition percentages contained in the California 2008 Statewide Waste Characterization Study were applied to the City’s discarded materials quantities to 5 Consists of disposal by private companies and individuals outside of the City’s control. 7.A.d Packet Pg. 399 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-4 identify the types and quantities of materials disposed by sector6. The specific data used for Santa Monica was taken from the “Overall Disposed Waste Composition: Southern Region.” The study characterizes the waste into 10 categories and 62 material types. Table 3-4 shows the overall waste characterization by material category for each sector. The detailed data for all material categories and types for each sector is included in Appendix A. Table 3-4. Composition by Material Category and Generator Sector Category SF Residential MF Residential Commercial Self- Haul Paper 18.3% 22.2% 20.1% 5.1% Glass 2.2% 2.9% 1.2% 0.4% Metal 3.7% 3.4% 4.3% 4.4% Electronics 0.4% 0.0% 0.1% 0.3% Plastic 9.9% 7.0% 10.5% 5.7% Other Organic 47.0% 41.8% 31.9% 10.1% Inerts and Other 14.7% 17.7% 28.1% 62.9% Household Hazardous Waste (HHW) 0.2% 0.2% 0.3% 0.1% Special Waste 0.2% 3.8% 3.5% 11.0% Mixed Residue 3.5% 1.1% 0.0% 0.0% Source: CalRecycle, 2008 State-wide Waste Characterization Study, Southern Region 6 Cascadia Consulting Group, for the California Integrated Waste Management Board (now “CalRecycle”). 7.A.d Packet Pg. 400 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-5 3.4.2 Single-Family Residential Waste Composition Within the single-family residential sector, the following key findings are identified: • Other Organic makes up 47% (3,280 tons) of the sector’s total disposed wastestream. Food waste was the largest material type in this category, which made up 24% (1,687 tons) of the overall waste disposed within this sector; followed by leaves and grass at approximately 8% (540 tons); and remainder/composite organics at approximately 7% (484 tons). • Paper makes up 18% (1,273 tons) of the wastestream; remainder/composite paper was the largest material type and made up approximately 6% (401 tons). • Inerts and Other make up approximately 15% (1,026 tons) of the wastestream; lumber was the largest material type in this category, which made up almost 8% (543 tons) of the disposed wastestream. A summary of the quantity of materials disposed in the SF residential sector is shown in Exhibit 3-1. Exhibit 3-1. Single Family Residential Disposed Waste Composition Paper 1,273 tons Glass 150 tons Metals 256 tons Electronics 26 tons Plastics 691 tons Other Organic 3,280 tons Inerts and Other 1,026 tons HHW 17 tons Special Waste 15 tons Mixed Residue 243 tons 7.A.d Packet Pg. 401 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-6 3.4.3 Multi-Family Residential Within the multi-family residential sector, the following key findings are identified: • Other Organic makes up the largest category of the materials, which was approximately 42% (8,639 tons) of the sector’s total wastestream. Food waste was the largest material type in this category, which made up approximately 22% (4,460 tons) of the overall waste disposed within this sector; followed by remainder/composite organics at 9% (1,890 tons); and carpet which was 6% (1,300 tons). • Paper makes up 22% (4,590 tons) of the wastestream; uncoated corrugated cardboard, other miscellaneous paper, and remainder/composite paper were the largest material types in this category, each made up approximately 5% (1,000 tons) of the wastestream. • Inerts and Other make up approximately 18% (3,668 tons) of the wastestream; lumber was the largest material type in the category, which made up 12% (2,568 tons) of the total disposed wastestream. A summary of the quantity of materials disposed in the MF residential sector is shown in Exhibit 3-2. Exhibit 3-2. Multi-Family Residential Disposed Waste Composition Paper 4,590 tons Glass 596 tons Metals 692 tons Electronics 6 tons Plastics 1,443 tons Other Organic 8,639 tons Inerts and Other 3,668 tons HHW 39 tons Special Waste 794 tons Mixed Residue 225 tons 7.A.d Packet Pg. 402 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-7 3.4.4 Commercial Within the commercial sector, the following key findings are identified: • Other Organic makes up the largest category of the materials, at 32% (12,721 tons) of the sector’s disposed wastestream. Food waste is the largest material type in this category, which makes up15% (6,102 tons) of the overall waste disposed within this sector; followed by carpet at 5% (1,994 tons); and prunings and trimmings at 4% (1,683 tons). • Inerts and Other make up 28% (11,217 tons) of the wastestream; lumber is the largest material type in the category, which makes up approximately 17% (6,570 tons). • Paper made up 20% (8,807 tons) of the wastestream; cardboard was the largest material type and made up approximately 7.5% (2,981 tons) of the total disposed wastestream. A summary of the quantity of materials disposed in the commercial sector is shown in Exhibit 3- 3. Exhibit 3-3. Commercial Disposed Waste composition- Percentages Paper 8,007 tons Glass 477 tons Metals 1,730 tons Electronics 42 tons Plastics 4,197 tons Other Organic 12,721 tons Inerts and Other 11,217` tons HHW 125 tons Special Waste 1,413 tons Mixed Residue 2 tons 7.A.d Packet Pg. 403 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-8 3.4.5 Self-Haul Within the self-haul sector, the following key findings are identified: • Inerts and Other makes up the largest category of materials, which is 63% (9,692 tons) of the sector’s disposed wastestream. • Special Waste makes up 11% (1,689 tons) of the wastestream, which consists entirely of bulky items. • Other Organic makes up 10% (1,559 tons) of the wastestream; carpet is the largest material type and makes up approximately 4% (551 tons) of the total disposed wastestream. A summary of the quantity of materials disposed in the self-haul sector is shown in Exhibit 3-4. Exhibit 3-4. Self-Haul Disposed Waste Composition Percentages Paper 785 tons Glass 58 tons Metals 675 tons Electronics 50 tons Plastics 872 tons Other Organic 1,559 tons Inerts and Other 9,692 tons HHW 18 tons Special Waste 1,689 tons Mixed Residue 3 tons 7.A.d Packet Pg. 404 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-9 3.5 Disposal Projections 3.5.1 Population Projections Low and high population forecasts were provided in the City’s 2010 Land Use and Circulation Element (LUCE)7. The forecasts used for the disposal projections are an average of the low and high population estimates from the LUCE. As shown in Table 3-5, the average 5-year percentage increase between 2010 and 2030 is 1.31%, and the 20 year cumulative growth is 5.23%. Refer to Appendix B for the reference LUCE data. Table 3-5. Population Forecasts (2010-2030) Source 2013 2014 2015 2020 2025 2030 20 year Cumulative % Change Average Growth 91,578 91,820 92,063 93,275 94,488 95,700 % change-5 yr. - - 1.33% 1.32% 1.30% 1.28% 5.23% 3.5.2 Future Disposal The disposal projections for the City are calculated based on the population growth projections and waste composition data. Overall, it is anticipated the waste disposal will increase by over 3,756 tons between 2013 and 2030, which represents an increase of approximately 220 tons per year. A summary of the waste disposal tonnage projections for each sector is provided in Table 3-6. The commercial sector is expected to contribute an additional 106 tons per year to the disposal waste stream from 2013 to 2030. The multi-family residential sector disposal is expected to increase by 55 tons per year through 2030; the single-family residential sector disposal is expected to increase approximately 19 tons per year; and the self-haul sector by 41 tons per year. Utilizing the data in Table 3-6, the types and quantities of materials that can potentially be source reduced, recycled, and/or composted have been identified for each waste sector in the Zero Waste options in Section 4. 7 City of Santa Monica Land Use and Circulation Element. 7.A.d Packet Pg. 405 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 3.0 GENERATION AND CHARACTERIZATION 3-10 Table 3-6. Waste Disposal Projections 2013-2030 (Tons) Source 2013 2014 2015 2020 2025 2030 SF Residential 7,013 7,032 7,050 7,143 7,236 7,329 MF Residential 20,801 20,857 20,912 21,187 21,462 21,738 Commercial 40,143 40,249 40,356 40,887 41,419 41,950 Self-Haul 15,481 15,522 15,563 15,768 15,973 16,178 Total* 83,438 83,659 83,880 84,985 86,090 87,195 * Values may not sum to total due to rounding 7.A.d Packet Pg. 406 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-1 4.0 Zero Waste Options 4.1 Initial List of Potential Options To meet its Zero Waste goal, the City will implement expanded and new policies, programs and infrastructure during the short, medium and long terms. For purposes of this plan, the short term is considered years 2013-2015, the medium term is years 2016-2022, and the long term is years 2023-2030. Using the information on current policies, programs and facilities (Section 2), and the waste generation and composition of discarded materials (Section 3), zero waste options were identified for potential implementation in the single-family, multi-family, and commercial sectors. Policy, program, and facility options included opportunities to improve existing programs, as well as new programs for reducing generation and discarded materials and increasing diversion. Initially, a list of 33 options was developed for review and evaluation. The options were categorized as follows: Mandatory - Policies or programs that are compulsory (such as meeting a diversion requirement) or prohibit an activity (such as a disposal or use ban). Collection - Programs for the collection of residential and commercial food scraps, recyclables, and bulky items. Rate Setting – Revised fee structures to account for basic and additional services, for single- family, multi-family, and commercial sectors. Upstream – Policies and programs to support re-design strategies to reduce the volume and toxicity of discarded products and materials, and promote low-impact or reduced consumption lifestyles. Downstream – Policies and programs to address reuse, recycling and composting of end-of-life products and materials to ensure their highest and best use. Facilities – Local and regional, existing and new, resource recovery facilities for processing recyclables, residuals, and other materials for beneficial use and energy recovery. The list included three mandatory policies/program options, seven collection program options, two rate setting options, three upstream options, fourteen downstream options, and four facility options. A description of each option was included, along with the affected waste sector (single-family, multi-family, government); relevant guiding principles; implementation opportunities and obstacles, portion of discarded materials, potential capture rate by material type, implementation time frame, and examples from other jurisdictions, as available. The initial list of options were considered and then reduced, based on the elimination of some options. A summary of the list of initial options, and resulting status, is included in Table 4-1. 7.A.d Packet Pg. 407 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-2 Table 4-1. Initial List of Zero Waste Options Title Description Affected Waste Sector Resulting Status MANDATORY 1. Disposal bans Restrict disposal of specific materials, such as plastic bottles and cardboard. • S-F • M-F • Commercial Recommend 2. C&D ordinance revision Revise C&D ordinance to increase diversion requirement from 70% to 90%. • S-F • M-F • Commercial Recommend 3. Mandatory diversion rate Require commercial, residential, and government sectors to meet specific diversion rates. • S-F • M-F • Commercial Recommend COLLECTION 4. Mandatory food scraps participation -commercial Require food establishments to participate in the City’s food scraps diversion program. • Commercial Recommend 5. Mandatory food scraps participation -residential Require residents to participate in the City’s food scraps diversion program. • S-F • M-F Recommend 6. Mandatory commercial recycling Adopt an ordinance that expands on AB 341 to require all businesses to have recycling service. • Commercial Recommend 7. Mandatory recycling of new materials Require recycling of carpets, textiles, mattresses, and other items currently not collected in the recycling bins. • S-F Recommend 8. Wet/Dry collection Separate wet (food waste) and dry (non- recyclable materials) waste by different color bags to be separated at the MRF. • M-F • Commercial Modified 9. Weekly organics collection and bi-weekly collection of trash and recyclables Reduce the collection frequency of trash and recycling containers while maintaining organics collection at once per week. • Phase 1: S-F • Phase 2: M-F Modified 10. Bulky item collection for reuse and recycling Expand collection frequency with emphasis on reuse and recycling; partnership with reuse organizations • M-F Modified RATE SETTING 11. Implement Integrated Waste Management Fee Structure Revise fee structure to account for basic services and additional services Eliminate “free recycling and organics” • S-F Recommend 12. Implement Integrated Waste Management Fee Structure Revise rate structure • M-F • Commercial Recommend 7.A.d Packet Pg. 408 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-3 Title Description Affected Waste Sector Resulting Status UPSTREAM POLICIES AND PROGRAMS 13. EPR for HHW, pharmaceuticals, and/or difficult to recycle items Establish mandatory take back provisions for producers and/or businesses that sell batteries, fluorescent light bulbs, sharps and pharmaceuticals, or other difficult to recycle products. Difficult to recycle items can include Styrofoam, packaging materials, and toys. • S-F • M-F • Commercial Recommend 14. Packaging legislation Support legislation that requires manufacturers to reduce packaging and to incorporate recycled content materials in all packaging. • S-F • M-F • Commercial Recommend 15. Behavior change marketing Large scale, sustained, social marketing and media campaign • S-F • M-F • Commercial Recommend DOWNSTREAM POLICIES AND PROGRAMS 16. Expansion of the Single-Use Carry Out Bag ordinance Establish a date to review the progress of the current ordinance and set a goal date to expand the program to all retailers and restaurants. • Commercial Recommend 17. Multi-Family recycling educational outreach Require multi-family building managers to inform tenants about recycling resources upon move-in. • M-F Recommend 18. Move-in/Move-out program Provides free excess waste pickup services for residents moving in/out of their homes • M-F Modified 19. Self-haul waste origin reporting Require more accurate reporting of self-haul waste origin at transfer and disposal sites • S-F Recommend 20. Regional Sustainability Collaboration Meetings Host regular meetings with local jurisdictions to discuss opportunities, projects, and issues. • S-F • M-F • Commercial Recommend 21. Update Environmental Directory Update the 2009 Environmental Directory. • S-F • M-F • Commercial Modified 22. School recycling competitions Hold competitions between schools to see who can divert the most materials from their waste stream within a fixed time frame. Prizes, money, trophies, etc. can be awarded to the school that collects the most. • Commercial Modified 23. HHW collection bins at public events Collect used batteries, cell phones, etc. at public events. Events can include farmer’s markets, Santa Monica Festival, street fairs, etc. • S-F • M-F Recommend 7.A.d Packet Pg. 409 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-4 Title Description Affected Waste Sector Resulting Status 24. Expand items collected in the recycling bins Materials could include clothing, diapers, chip bags, and other specific materials. • S-F • M-F • Commercial • Government Recommend 25. Centralized “garage sales” Establish a program for residents to sell items in a centralized location, as opposed to the many garage sales typically held in the City. • S-F • M-F Recommend 26. Clothing drives Hold clothing drives to collect clothing, shoes, blankets, etc. to donate to thrift stores, reuse centers, homeless shelters, etc. • S-F • M-F • Commercial Eliminated 27. Business & restaurant food donation Program to help businesses and restaurants find resources that will accept food donations. • Commercial Recommend 28. Diversion Recognition and Rewards Program Reward residents for participating in recycling. • M-F Modified 29. Product reuse/recycling grants Offer grants and/or subsidies to individuals and businesses to develop businesses in the City that reuse or recycle materials. • S-F • M-F • Commercial Modified FACILITIES 30. Transform residuals Send all residual waste to a waste-to-energy facility. • S-F • M-F • Commercial • Government Modified 31. MRF residual materials Send residual materials to mixed waste MRF for further sorting prior to landfilling or transformation. • S-F • M-F • Commercial Eliminated 32. Resource Recovery Park/Hard to Recycle Center Facility that accepts materials that are difficult to recycle (e-waste, Styrofoam blocks, textiles, etc.) and identifies reuse/recycle opportunities; also works with manufacturers on take-back programs. • S-F • M-F • Commercial • Government Recommend 33. Alternative Technology Facility Utilize regional facility for processing of residual waste into energy or other beneficial use. • S-F • M-F • Commercial • Government Recommend 7.A.d Packet Pg. 410 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-5 4.2 Recommended Strategies The initial list of options was reviewed and evaluated by the City project team, and a final list of strategies was developed, incorporating the comments from all of the team members. A description of each of the recommended strategies is included below, and a summary table is included in Appendix C. 4.2.1 Mandatory Mandatory requirements, new rules and ordinances can be the most effective strategies for achieving Zero Waste. The City will support these efforts through technical assistance, outreach and education, and reinforcement of desired behaviors. A description of these strategies is provided below. 4.2.1.1 Disposal Bans To reduce discards that currently have recycling markets or uses, the City will consider product and material bans. Plastic water bottles, cardboard, yard trimmings and construction and demolition debris can be recycled, have available end-uses, and should not be disposed. These materials impact the collection system and take up space in landfills. The ban will start with government facilities, such as elimination of single-use water bottles at City facilities and events, and improved recycling of cardboard and landscaping debris. 4.2.1.2 C&D Ordinance Revision Construction and demolition debris constitutes approximately 33% of the City’s overall disposal. The existing ordinance requires all City-sponsored C&D projects, and all private C&D projects that are $50,000 or greater in value or 1,000 square feet or great to meet a minimum 70% diversion rate. This option will modify the existing Construction and Demolition Ordinance by increasing the diversion requirement from 70% to 90%. An amendment to the C&D ordinance will be required to implement the increased diversion requirements. The increase will be implemented in a phased approach, as follows: • 75% in 2015 • 80% in 2020 • 85% in 2025 • 90% in 2030 4.2.1.3 Mandatory Diversion Rate The City will adopt an ordinance establishing diversion mandates for the single-family, multi- family, commercial, and government sectors. The diversion mandates will be implemented in a phased approach, as follows: • 75% in 2015 • 80% in 2020 • 85% in 2025 • 90% in 2030 7.A.d Packet Pg. 411 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-6 The effort will be supported by education and outreach and enforcement through tagging of bins with recyclables and/or stop service notices. 4.2.1.4 Mandatory Recycling in Hotels/Motels There are approximately 30 hotels/motels in the City, and an estimated 600,000 visitors stay in hotels/motels annually, with an average length of stay of three nights.8 These visitors generate waste during their stay, and may not be aware of or have opportunities to recycle their waste. This ordinance will require all hotels and motels to implement a recycling program in guest rooms and common areas. The City will support the effort with education and outreach and technical assistance. 4.2.2 Collection The Resource Recovery and Recycling Division is responsible for the collection of refuse, recycling, and yard trimmings from single-family, multi-family and commercial customers. Zero Waste collection initiatives that will be implemented by the Division include: mandatory food scraps participation for commercial and residential customers, mandatory commercial recycling, adding materials to the mandatory recycling of new materials, including mattresses, textiles, transitioning to bi-weekly collection of trash, wet/dry collection method, and bulky item collection. These initiatives are described below. 4.2.2.1 Require Commercial Food Scraps Collection This policy represents a major shift from voluntary to mandatory participation in organics collection programs. It is intended to motivate all commercial generators within the City to separate organic materials from the waste they generate at their business, and place it in the appropriate organics collection container on a regular basis for collection. To effect this change, the City will need to develop and adopt a separate ordinance that requires waste generators to source separate organics from other waste, and set the organics out for collection. The organics separation ordinance could be implemented in conjunction with or as a component of the mandatory commercial recycling ordinance (Option 7), or as a stand-alone ordinance. This ordinance will need to be carefully developed based on consideration of potential cost impacts on businesses and customers, and be consistent with City policy directives. The ordinance should be publicized adequately to inform all residents, businesses, and others of the intent and purpose of the ordinance. This program requires availability of permitted compost facilities within the region that will receive, process, and market yard trimmings commingled with food scraps and other organic materials suitable for conversion to compost products. Before this program could be implemented on a citywide basis, the City will need to ensure that there is sufficient processing 8 Santa Monica 2011Tourism and Economic Fiscal Impacts and Visitor Profile, Santa Monica Convention and Visitor’s Bureau. 7.A.d Packet Pg. 412 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-7 capacity in the region to handle the increased organics tonnages that will be collected through the expanded brown bin program. 4.2.2.2 Require Residential Food Scraps Collection This policy represents a major shift from voluntary to mandatory participation in organics collection programs. It is intended to motivate all residential generators within the City to separate organic materials from the waste they generate at their homes, and place it in the green collection container on a regular basis for collection. To effect this change, the City will need to develop and adopt a separate ordinance that requires waste generators to source separate organics from other waste, and set the organics out for collection. The City will modify and expand its current food scraps collection program to include not only yard trimmings and food scraps, but also food-contaminated paper, and similar compostable materials. This program is designed to increase residential waste diversion by requiring residents to place food scraps and other organic materials in their green bins. This program requires availability of permitted compost facilities within the region that will receive, process, and market yard trimmings commingled with food scraps and other organic materials suitable for conversion to compost products. Before this program could be implemented on a citywide basis, the City will need to ensure that there is sufficient processing capacity in the region to handle the increased organics tonnages that will be collected through the expanded green bin program. 4.2.2.3 Expand Mandatory Commercial Recycling Assembly Bill 341 (adopted by the California legislature in 2011) established a statewide goal of 75 percent by 2020 and requires commercial generators (with four or more cubic yards per week of solid waste) and multi-family complexes (with five units or more) to recycle. However, it does not specify the materials to be collected or the level of recycling services received. Many communities have adopted ordinances specifying recycling requirements for multi-family residential and commercial customers. This policy expands upon the requirements of AB 341, to mandatory participation in recycling collection programs. It is intended to motivate all commercial waste generators within the City to separate recyclable materials from the waste they generate at their business, and place it in the appropriate blue bin or recycling collection container on a regular basis for collection. To effect this change, the City will need to develop and adopt a “Mandatory Recycling” ordinance that requires waste generators to source separate recyclables from other waste, and set the recyclables out for collection. The recycling ordinance will need to be carefully developed based on consideration of potential impacts to business and customers, consistent with City policy directives, and publicized adequately to inform all residents, businesses, and others of the intent and purpose of the ordinance. 7.A.d Packet Pg. 413 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-8 4.2.2.4 Require Recycling of New Materials This program allows the City to require the recycling of materials currently not collected in the blue bins from residential customers, including mattresses, carpet, and textiles. The materials could be added to the blue bin program, or alternatively, the City could collaborate with non- profit or other private organizations to increase the availability of collection or drop-off centers for these materials in the City. Adding new materials to the recycling program will require the availability of viable long-term markets to ensure the materials are recovered to the maximum extent feasible and have a positive market value. Some items are more suited to recovery and processing, while others do not have viable markets or processors to accept them. The City will work with processors and representatives of the recycling industry to identify market opportunities in the Southern California region for various materials that could be recycled. Once appropriate program parameters are established, the City will need to provide appropriate public outreach so that residents can easily identify the acceptable items for recycling. 4.2.2.5 Weekly Organics and Recycling Collection; Bi-weekly Refuse Collection The City collects refuse, recycling and organics (yard trimmings and food scraps) from residential customers on a weekly basis. This option will reduce the collection frequency of trash to every other week, while maintaining recycling and organics collection at once per week. The program will be implemented initially for single-family residences, and phased in later for multi-family residences. The City will support the transition with outreach and education to residents. This program requires availability of permitted compost facilities within the region that will receive, process, and market yard trimmings commingled with food scraps and other organic materials suitable for conversion to compost products. Before this program could be implemented on a citywide basis, the City will need to ensure that there is sufficient processing capacity in the region to handle the increased organics tonnages that will be collected through the expanded green bin program. It is anticipated the program will result in an increase in waste diversion, as organics comprise 47% of the single-family disposed waste stream, and 43% of the multi-family disposed wastestream. Reduced operations costs are also anticipated, based on results in other communities that have tested every other week refuse collection (e.g. Renton, Tacoma, and Seattle, Washington and Portland, Oregon). Other benefits of the program include fewer collection truck trips, which will reduce vehicle air, noise and green house gas emissions, and increased collection efficiency in terms of labor time, and maintenance. 4.2.2.6 Wet/Dry Collection In a transition from the every other week collection, the City will re-route existing residential and commercial collections to keep “wet” discards (which include yard trimmings, food scraps and soiled paper, manure and other “putrescibles”) separate from “dry” discards, such as paper, glass, etc. Wet discards will be collected for processing through composting or anaerobic digestion, and dry products and materials will be reused, repaired or recycled. The dry waste routing and 7.A.d Packet Pg. 414 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-9 processing takes advantage of the recyclables generated by residents and business, makes recycling less dependent on changing customer behavior and can dramatically increase diversion. It can also reduce disposal fees and increase revenues from the sale of recyclables due to the increase tons of materials recovered. It is anticipated the wet/dry collection will increase diversion by about 8% in the residential sector, and 6% in the commercial sector. This program requires the availability of processing capacity in the region that can handle greater quantities of recyclables for separation and processing. This program requires availability of permitted facilities within the region that will receive, process, and market the organic materials. Before this program could be implemented on a citywide basis, the City will need to ensure that there is sufficient processing capacity in the region to handle the increased recyclables and organics that will be collected. 4.2.2.7 Bulky Item Collection; Move-in/Move-out Program A significant source of trash is created when apartment dwellers move in and out of apartment buildings. Presently, the City provides bulky item collection Monday through Friday for a prearranged fee. The fee varies according to the size and weight of the item, and ranges from $50 for a small item to $250 or more for a major cleanup of debris and furniture pieces. Bulky items are limited to those large items that do not fit in a refuse container, such as: refrigerators, stoves, furniture and similar items. This service is available to both Residential and Commercial customers. A new program will be implemented to provide excess waste pickup services for multi-family residents moving in/out of their homes. The purpose of the program is to reduce the frequency of illegal dumping in alleys and on curbs, and provide more convenient opportunity for residents to donate their materials for reuse and recycling. The City will collaborate with reuse entities (thrift stores, repair shops, and non-profits such as Goodwill Industries, Salvation Army, St. Joseph’s Center, and American Cancer Society Discovery Shop) to repair, reuse, and resell appropriate bulky items that are currently being set out by residents for collection by the Division and landfilled. The City recently entered into a service contract to establish Santa Monica SHARES, a program for the donation of items to non-profits and schools. The City will encourage residents to contact Santa Monica SHARES to donate useable items using the program’s online service. Information on this program will be conveyed through annual mailers to multi-family residences, through the City’s web page and City events. 7.A.d Packet Pg. 415 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-10 4.2.3 Rate Setting Changes to the rate structure can have a significant effect in motivating customers to participate in new programs, and to account for basic services and additional services. The City’s existing rate structure for single-family refuse collection is based on the number and size of carts (either 68 or 95 gallons). Unlimited carts are provided for recyclables and yard trimmings. For multi-family dwellings, a similar fee structure is established for refuse collection, based on the size, number, and frequency of collection of 68, 95 or 300 gallon carts, or 2, 3, or 4 cubic yard bins. In addition, a per unit charge is assessed for each unit in the complex. Commingled recyclables are collected in 300-gallon carts or 2, 3, or 4 cubic yard bins, and are either designated to specific complexes or are shared. There is no separate charge for recycling. Commercial customers are also charged for refuse collection based on the size, number and frequency of collection (68, 95 or 300 gallon carts, or 2, 3, or 4 cubic yard bins), and are assessed street sweeping charges, based on the water meter size. There is no separate charge for recycling. The existing fees collected by the City pay for more than just refuse collections and disposal. The fees are used to pay for collection and processing of recyclables, food scraps, yard debris and bulky items, as well as street sweeping, equipment, infrastructure, container replacements, support services, alternative technology studies, etc. 4.2.3.1 Implement Single-Family Integrated Waste Management Fee Structure The intent of this option is to reduce the risk to the city of its existing disposal oriented rate structure, and more accurately account for basic services and additional services. The fee structure will also provide further incentives for customers to increase recycling and reduce disposal. Under this type of fee structure, a basic service fee will be assessed for each single- family residence, and will include one cart each for trash, recycling, and organics. An additional charge will be assessed for additional refuse carts, with a lower additional charge for recycling and organics carts. The advantages of this type of fee structure are increased diversion and decreased disposal, and a potential reduction in collections costs for the City collections operations. Although residents may be resistant to a change in their fee structure, the option aims to communicate the value of the services to the customers. It is anticipated this type of fee structure will result in a 4% increase in diversion in the single-family sector. 4.2.3.2 Implement Multi-Family and Commercial Sector Integrated Waste Management Fee Structure The goal of this option is to establish sufficient customer rate incentives for commercial and multi-family refuse customers to increase recycling and decrease refuse service. This policy will help to minimize the common industry practice of offering price incentives based on volume discounts to customers that subscribe for higher levels of refuse service, thereby creating pricing incentives for customers to shift to increased recycling services. It will also require full disclosure of the cost components of rates charged and eliminate the perception of “free recycling”. 7.A.d Packet Pg. 416 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-11 Refuse rate component: Commercial customer rates will be modified to reflect a uniform “per cubic yard” rate for the whole range of bin or container sizes and collection frequency offered to customers. The amount of the cubic yard (unit) rate will be established to ensure that sufficient revenues are generated to cover the City’s costs. For example, the City would charge a rate of $100 for a one cubic-yard bin collected once per week, the rate would be $200 for the one cubic-yard bin collected two times per week, $400 for a four cubic-yard bin collected once per week, or $1,200 for a six cubic yard bin collected two times per week. Recycling rate component: A recycling rate will be established under this fee structure, for example that is no higher than 75 percent of the refuse rate for service, as measured by the uniform “per cubic yard” rate for refuse service. If the City charges $100 for a one cubic yard bin of refuse, they would charge no more than $75 for a one cubic yard bin of commingled or source separated recyclables. 4.2.4 Upstream 4.2.4.1 Extended Producer Responsibility Producer responsibility is a key strategy for achieving Zero Waste. Take-back requirements shift the costs of refuse from taxpayers to brand owners and producers. They also create a powerful economic incentive to redesign products and substantially reduce the use of toxic materials. The City will consider the following problem materials for producer take-back: • Materials that cannot be reused, recycled or composted and single-use items; and • Regulated materials (e.g., pharmaceuticals, sharps, batteries, fluorescent bulbs). The upstream extended producer responsibility (EPR) initiatives call for the City to take an active role in advocating for legislation that requires product manufacturers, retail establishments, wholesale distributors and other appropriate entities to take back certain products or packaging that currently are difficult to recycle, contain toxics or otherwise pose problems when they are discarded as waste. The City will work with various federal, state and regional agencies and community groups to ensure that effective take-back programs are enacted into law, thereby enhancing the City’s goals to reduce the volume and toxicity of the materials entering the City’s waste stream. The following are the priorities the City will focus on under this program: • Advocate for legislation making businesses responsible for their products that contain toxics, such as pharmaceuticals, fluorescent lights, household batteries, treated wood, and other materials banned from disposal statewide • Advocate for legislation making businesses responsible for their products that are difficult to recycle materials, such as disposable diapers, composite materials, tires, white goods, durable goods, plastic, and food packaging. 7.A.d Packet Pg. 417 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-12 • Advocate for legislation to incentivize manufacturers to use local reuse and recycling markets for the products they manufacture. 4.2.4.2 Packaging Legislation The City’s Office of Sustainability and the Environment is presently working with Green Cities California to identify opportunities for packaging legislation. The option will further the City’s efforts of leadership by example and work towards regionalization of programs to address packaging. The goal of packaging legislation is to prevent or reduce the impact of packaging and packaging waste on the environment. Legislation will contain provisions not only for preventing packaging waste, but also the reuse, recovery and recycling of packaging waste. Under this option, the City will advocate for packaging legislation making businesses responsible for their packages, including alternatives to expanded polystyrene containers, “peanuts” and “blocks” and plastic bags (statewide); and support for reusable shipping containers. The City will also support legislation to reduce packaging and to incorporate recycled content materials in all packaging. 4.2.4.3 Behavior Change Marketing To significantly increase awareness of its existing and planned Zero Waste programs, the City will undertake a large scale media or social marketing campaign. The City will work closely with electronic and print media to encourage their coverage of the City’s goals, plans, and project implementation, and to challenge them to help engage the public in creative new ways. Funding programs on an on-going basis (over multiple five-year campaign periods) to educate target audiences about the new rules and changes is an important part of implementing Zero Waste. This program will greatly enhance public awareness about where to reuse, recycle, and compost materials to keep them out of landfills, and encourage residents, businesses, workers, and visitors to fully participate in achieving a Zero Waste future. A community-based social marketing program will be implemented to help change the culture and waste-related behavior in the City, with different messages targeted to different demographics using a wide assortment of tools. The City will work closely with electronic and print media to encourage their coverage of the City’s goals, plans, and project implementation, and to challenge them to help engage the public in creative new ways. This program will greatly enhance public awareness about where to reuse, recycle, and compost materials to keep them out of landfills, and encourage residents, businesses, workers, and visitors to fully participate in achieving a Zero Waste future. Social marketing campaigns involve the systematic application of marketing alongside other techniques and tools to achieve specific social behavioral goals. Some of the best practices that have been developed include starting from a detailed understanding of the needs, desires and attitudes of the individuals concerned, researching the underlying reasons for certain behaviors and developing an “offer” that will be attractive given existing needs, values and other pressures such as peer group influences. 7.A.d Packet Pg. 418 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-13 There is also an important role for civic leaders and elected officials, to lead by example as exemplars of the new social norms. This requires clear and consistent messages from the City Council and City management and staff. Strategies for changing the norms of behavior include: • Leaders who visibly encourage and reward successful innovation; • Focusing financial resources on innovation, including both public and private sources; • Using incubator models for testing and piloting innovations; and • Establishing institutions to link small scale enterprises to larger organizations such as business and legislative bodies. 4.2.5 Downstream 4.2.5.1 Expand Single-use Carry Out Bag and Disposable Container Ordinance The City’s existing ordinances prohibit the distribution of single-use carry out petroleum and bio-based plastic bags by retail establishments; grocery, convenience and liquor stores; mini- marts; pharmacies; and at City events. The City also prohibits the distribution of disposable food service containers made of nonrecyclable plastic or expanded polystyrene foam from all food providers and at City events. The ban applies to single-use disposable containers intended for serving or transporting prepared, ready-to-eat food or beverages. This policy will establish a date to review the progress of the existing ordinances, and to set a goal date to expand the program to all retailers and restaurants. Expansion of the bans will further help to reduce the amount of plastic that ends up on the City’s beaches, reduce materials that go to the landfill, and reduce the amount of natural resources used to manufacture and transport the disposable products. 4.2.5.2 Multi-family Recycling Educational Outreach This program will provide enhanced technical assistance to owners and managers of multi-family complexes in order to encourage them to initiate or expand recycling and waste reduction practices at their complexes, and to make tenants aware of the move-in/move-out program. Technical assistance will include conducting on-site waste assessments to identify target materials for recycling and waste reduction, providing information on arranging for recycling services, and distributing appropriate outreach materials describing best practices for setting up or expanding recycling services. Technical assistance will help to minimize or overcome various obstacles to recycling faced by multi-family complexes (space constraints, labor and sorting requirements, lack of information or training, etc.). Technical assistance provided by the City will encourage more complexes to set up an effective recycling program that is suited to the complex’s site. 4.2.5.3 Self-haul Waste Origin Reporting Misreported waste origin continues to be an ongoing problem for the City and throughout the region. The problem can impact a jurisdiction’s ability to accurately monitor and report disposal, and to plan for new policies and programs. In Santa Monica, it is estimated that over 10,000 tons 7.A.d Packet Pg. 419 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-14 per year of waste is misallocated to the City. The intent of this option is to establish regional cooperation between cities, counties, and facilities that are responsible for reporting the origin of waste. Through regional cooperation, a more efficient process should be established to track misreported waste, and reduce the time and resources spent by individual jurisdictions on this process. This option will be closely tied with the option for Regional Sustainability Collaboration described below. 4.2.5.4 Regional Sustainability Collaboration There are several approaches to regional cooperation, including the formation of a regional Zero Waste Task Force and the development of inter-agency or interlocal agreements between neighboring communities. The approach will form the basis for establishing regional Zero Waste goals throughout Southern California. The City will support regional efforts in Zero Waste planning and will engage in dialogues with other cities to identify opportunities for regional coordination and to undertake project-specific regional opportunities. The City will explore possibilities through this process of developing regional Resource Recovery Parks, regional reuse, recycling and composting, and conversion technology infrastructure, and regional funding for Zero Waste. 4.2.5.5 Environmental Directory On-line version The City provides an Environmental Directory booklet that includes a list of local resources for topics that range from energy efficiency programs to environmentally preferred purchasing. The booklet also includes resources for refuse, recycling, composting, and hazardous waste. The Directory was last updated in 2009, and has historically been provided in print form only. This option will create an on-line only version of the Directory, eliminating the print version entirely. The on-line version will include new and/or updated resources, and will be made available and searchable on the City’s website. 4.2.5.6 Rewards Program The City’s Sustainable Quality Awards (SQA) was developed to identify and recognize businesses in the City that are successfully incorporating sustainable practices into their operations. An annual event promotes the efforts of local businesses that have made significant achievements in the areas of sustainable economic development, social responsibility, and stewardship of the natural environment. This option will expand the City’s recognition of businesses to reward residents and businesses for developing programs in the City for reusing, repurposing, reducing, and recycling of waste. As part of this option, the City will initiate school waste reduction competitions, with rewards in the form of prizes, money, grants, etc. The City will coordinate with other civic organizations, such as the Chamber of Commerce, to identify grants and other funding opportunities. This intent of this option is to encourage community involvement in zero waste solutions, including individuals, business, schools and other institutions. The program may stimulate local job growth and markets for recovered materials, creating a new reuse industry in the City. 7.A.d Packet Pg. 420 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-15 4.2.5.7 Household Hazardous Waste (HHW) Collection at Public Events Presently, the RRR Division offers assistance to help organizations implement Zero Waste goals at their events. This program will entail placement and servicing of HHW collection containers at public events, and City events such as the Santa Monica Festival. This program will provide convenient opportunities for the general public to safely dispose of used batteries, mobile phones, and other HHW items. 4.2.5.8 Expand Items Collected In Recycling Cart This program allows the RRR Division the ability to add new materials to the existing list of materials that can be placed in the recycling cart for collection by the City, including textile and other items. Adding new materials to the recycling cart will require that the City’s contracted recycling processor identify viable long-term markets to ensure that the materials are recovered to the maximum extent feasible and have a positive market value. The City will initiate discussions with its processor to identify market opportunities in the Southern California region for new materials that could be recycled. Once opportunities are identified and new materials are selected, the City will need to provide appropriate public outreach to residents and businesses. Adding new materials will reduce the quantity of materials being disposed, create a convenient program to donate clothing and other materials for reuse and/or recycling, and provide the ability to divert specific hard-to-recycle items. 4.2.5.9 Centralized Garage Sales The City presently schedules an annual citywide yard sale to promote waste reuse and repurposing. In addition, numerous yard sales are held privately throughout the City on a regular basis. The City has been considering and assessing the advantages and disadvantages of the citywide garage sales. This option will establish a program for residents to sell items in a centralized location, in lieu of the many garage sales that are typically held in the City. The program will be coordinated with the citywide yard sale event, and will be free and open to residents only. It is the intent of the program to encourage more residents to resell and reuse items before discarding them, and provide residents with limited space an opportunity to sell their items. 4.2.5.10 Business and Restaurant Food Donation The many large businesses and restaurants in the City generate uneaten prepared foods that are typically disposed. Food comprises approximately 15% of the commercial waste stream. This program will help businesses and restaurants to find resources that will accept food donations. This program will reduce the amount of food scraps that is landfilled, and provide a source of food for persons in need. The City will publish resources in the environmental directory for businesses wishing to donate food, and will provide information on the program on its website. 7.A.d Packet Pg. 421 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-16 4.2.6 Facilities 4.2.6.1 Regional Resource Recovery Center Resource Recovery Centers (RRCs) can be small centers for drop-off of hard to recycle items, including mattresses, large blocks of Styrofoam, and textiles, or much larger facilities that include a reuse yard for building materials, and provide repair and refurbishment for reusable bulk items and other reusable materials delivered by the public. They can also handle HHW materials, brush, and other recoverable materials. The materials typically are brought in self- hauled loads by residents or businesses to a solid waste facility. Thus RRCs are usually developed at landfills or transfer facilities. Local facilities can redesign their sites to provide for a separate drop-off and staging area where the public can drop off their recoverable materials before proceeding to the designated tipping area. At some facilities, the diversion activity takes place after the fee gate and the public is required to separate materials for recycling and reuse. If users decide to proceed directly to the disposal area, they are required to pay an extra fee. Reduced tipping fees at RRCs can provide a significant incentive to users. Most provide drop-off or buyback options for revenue-generating recyclables. Some charge lower rates for certain items (e.g., yard trimmings, clean fill). Diversion levels and costs at RRCs can vary widely depending on the extent and type of the diversion activities. These activities can include public area drop-off for traditional recyclables (cans, bottles, and paper), salvaging materials from the tipping area at a transfer station or landfill (large pieces of metal, cardboard or wood), diverting reusable items (furniture, building materials, and household goods), and providing retail sales on site. In some locations, RRCs could be combined in “clusters” of reusable, recyclables, compostable, and special discards (including regulated materials and C&D). Each of the clusters would utilize different approaches to collecting and processing, requiring different trucks, equipment and handling. The cluster approach requires that the combined categories of materials be sorted at other locations. Some activities may be co-located at a landfill, but others may be off-site. The City may support these efforts through helping apply for grants, recruiting businesses and industries to use materials generated by Zero Waste programs, and promoting the use of the RRC. 4.2.6.2 Alternative Technology Facility Based on Zero Waste research some type of future alternative technology is anticipated to be developed that will help meet Zero Waste goals. A number of emerging technologies are currently under consideration or in development with the potential to provide substantial increases in diversion rates. Examples of these emerging technologies include thermal and biological processes, including anaerobic digestion, gasification, and pyrolysis. In addition, although mixed material processing facilities are currently in operation throughout the U.S., developments and improvements in this technology over time should render increased efficiencies, better economical feasibility and higher diversion processing capabilities. A number of jurisdictions in Southern California are evaluating the feasibility of developing alternative technology facilities for processing the residual waste into energy or other beneficial use. The County of Los Angeles and cities of Los Angeles and Glendale are some of the local 7.A.d Packet Pg. 422 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-17 jurisdictions that are continuing to evaluate the potential for implementation of such a facility. It is reasonable to predict that within the planning horizon of the Zero Waste Strategic Operations Plan, some current emerging technologies will be commercially viable to support the City in achieving its Zero Waste goals. The City will monitor and support the development of a regional alternative technology facility for the processing of the residual portion of the waste stream into waste or other beneficial use. 4.2.6.3 Residual Processing A portion of the City’s waste is presently transformed into energy at one of two permitted waste to energy facilities in Southern California. The City’s Zero Waste Strategic Plan includes policies and programs to reduce, reuse, recycle, and compost to the greatest extent possible the maximum amount of materials for beneficial reuse. It is estimated the City can achieve a 93% diversion rate with the implementation of the policies, programs and infrastructure described in the previous option. However, in the future, the City may continue to utilize transformation of residuals to achieve 95% diversion by 2030. 7.A.d Packet Pg. 423 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 4.0 ZERO WASTE OPTIONS 4-18 THIS PAGE INTENTIONALLY LEFT BLANK 7.A.d Packet Pg. 424 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 5.0 DIVERSION AND GREENHOUSE GAS EMISSIONS 5-1 5.0 Diversion and Greenhouse Gas Emissions Reduction Estimates 5.1 Diversion Estimates Diversion estimates were prepared to identify the waste disposal reduction potential of each policy and program. The diversion estimates are based on comparable policies and programs implemented in other jurisdictions, research, and educated estimates. Table 5-1 summarizes the diversion by implementation phase. As indicated, based on the City’s 2012 diversion rate of 77%, it is estimated the City can achieve 94% diversion by 2030 through implementation of all the policies, programs and facilities identified; and 96% diversion with residual waste processing. Table 5-1. Diversion Estimates by Implementation Phase Phase/Year Existing (2012) Short Term (2013-2015) Short to Medium Term (2013-2020) Medium Term (2021-2025) Medium to Long Term (2021-2030) Long Term (2026-2030) 2030 (with Residual Processing) Estimated Diversion 77% 80% 85% 86% 89% 94% 96% A breakdown of the zero waste plan diversion increases by sector and phase is included in Table 5-2. As indicated, options to be implemented in the commercial sector will have the greatest impact on increasing diversion, followed by the multi-family and single-family sector programs. The commercial sector programs with the greatest diversion potential include mandatory food scraps recycling, expanding the types of recycled materials collected, wet/dry collection, increasing the C&D ordinance diversion requirement, and behavior change marketing. For the residential sector, the options with the greatest diversion potential include mandatory food scraps recycling, mandatory diversion rate, behavior change marketing, and wet/dry collection. In the multi-family sector, the options with the highest diversion potential include implementing an integrated waste management fee structure, behavior change marketing, mandatory food scraps recycling, mandatory diversion rate, wet/dry collection, and converting to bi-weekly refuse collection. The detailed calculations used for estimating the diversion potential of each of the policies, programs, and facilities considered by the City are included in Appendix D. The diversion estimates are presented in the presumed order of implementation. Each one builds on the program or policy preceding it, and assumes the available waste was reduced by the previous program. Several policies will require new ordinances and regulations which will require City Council action and time to implement. Zero waste is a design framework for reducing generation of waste and maximizing diversion, not a strict tonnage goal. By implementing the proposed policies, programs and facilities, the City will be striving towards zero waste, but there will still be some residual wastes that will be disposed. 7.A.d Packet Pg. 425 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 5.0 DIVERSION AND GREENHOUSE GAS EMISSIONS 5-2 Table 5-2. Zero Waste Strategic Plan Diversion Estimates Estimated Diversion Increase (tons) Total Diversion Rate Increase (%) Residual Processing Diversion (tons) Total Diversion Increase with Residual Processing (tons) Diversion Rate Increase with Residual Processing (%) Short Term (2013- 2015) Short to Medium Term (2013- 2020) Medium Term (2021- 2025) Medium to Long Term (2021- 2030) Long Term (2026-2030) Total Diversion Increase (2013-2030) SF Residential 1,819 1,249 130 926 736 4,860 1.3% 1,248 6,107 1.7% MF Residential 4,032 4,686 1,244 3,098 1,970 15,031 4.1% 3,377 18,407 5.0% Commercial 5,528 5,113 4,672 6,201 10,546 32,060 8.8% 4,913 36,973 10.1% Self-Haul 0 6,142 0 0 4,134 10,277 2.8% 0 10,277 2.8% Diversion (tons) 11,379 17,190 6,046 10,225 17,387 62,227 9,537 71,765 Diversion (%) 3.2% 4.7% 1.6% 2.8% 4.7% 17% 19.6% 7.A.d Packet Pg. 426 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 5.0 DIVERSION AND GREENHOUSE GAS EMISSIONS 5-3 5.2 Greenhouse Gas Emissions Reduction Estimates The U.S. Environmental Protection Agency (U.S. EPA) developed the Waste Reduction Model (WARM) to help planners and organizations track and voluntarily report greenhouse gas emissions reductions from several different waste management practices. WARM calculates and totals Greenhouse Gas (GHG) emissions for baseline and alternative waste management practices—source reduction, recycling, composting, and landfilling. The model calculates emissions in metric tons of carbon equivalent (MTCE), metric tons of carbon dioxide equivalent (MTCO2E), and energy units (million BTU) across a wide range of material types commonly found in municipal solid waste. The WARM was used to estimate the amount of GHG emissions that can potentially be reduced through implementation of the programs and policies outlined in the Zero Waste Strategic Operations Plan. The GHG emissions reductions are calculated based on the program implementation timeline (i.e. short term, short-to-medium term, medium term, etc.). The long term programs include residual processing, modeled as combustion (waste-to-energy) in WARM, therefore the GHG emissions reduction shown is the resulting net effect. Based on the estimated diversion rates in the Zero Waste Strategic Operations Plan, the City’s overall GHG emissions will be reduced by 18,573 MTCE by 2030. The GHG emissions reductions are shown in Table 5-3. The model assumptions and results are included in Appendix E. Table 5-3. Zero Waste Strategic Plan Greenhouse Gas Emissions Estimates (MTCE) Source Short Term Short to Med Term Med Term Med to Long Term Long Term Residual Processing Total SF Residential (517) (255) (58) (307) (262) 98 (1,301) MF Residential (1,482) (1,438) (556) (1,094) (920) 189 (5,301) Commercial (1,935) (1,973) (1,249) (2,489) (3,037) 545 (10,138) Self-Haul - (1,153) - - (680) - (1,833) TOTAL (3,934) (4,819) (1,863) (3,890) (4,899) 832 (18,573) Note: a negative value (i.e., a value in parentheses) indicates an emission reduction; a positive value indicates an emission increase 7.A.d Packet Pg. 427 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 5.0 DIVERSION AND GREENHOUSE GAS EMISSIONS 5-4 THIS PAGE INTENTIONALLY LEFT BLANK 7.A.d Packet Pg. 428 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-1 6.0 Financial and Cost Analysis 6.1 Financial Analysis The first steps in determining the selected zero waste programs’ costs and rate impacts involved developing an understanding of the Division’s operational and capital costs for existing programs and establishing a baseline. In order to develop the baseline data included in Tables 6-1 through 6-4, data was gathered from the City on solid waste related revenue and expense data, and shared cost allocation methodologies. (Appendix F). The expense data provided by the City was categorized within specific cost categories for Direct Costs (the direct labor, equipment and other costs required for the collection activity), Material Handling Costs (the transfer, processing, and disposal costs associated with the post-collection handling of the collected material), and Administration and Overhead (the management, administrative, and other indirect overhead costs of the Division that is allocated back to each line of service). In addition to these collection costs, there are costs for programs and services performed by the Division which have been allocated among sectors based on estimates provided by Division staff. These programs/services costs, and the sector allocations, are listed below. COST CATEGORY SECTOR ALLOCATION Events Single Family 100% Alley Crew Single Family 10%; Multi-Family 90% Household Hazardous Waste Single Family 50%; Multi-Family 50% Outreach Calculated among sectors based on number of accounts Street Sweeping Commercial 100% Public Litter Container Collection Commercial 100% Bus Stop Litter Collection Commercial 100% 7.A.d Packet Pg. 429 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-2 Table 6-1. Solid Waste Program Baseline Analysis – All Sectors Table 6-2. Solid Waste Program Baseline Analysis – Single Family Sector * Includes expenses for Compost Bins/Giveaways, Events, Household Hazardous Waste, Alley Crew, and Outreach Single Family Multi-Family Commercial Total Labor 1,394,476$ 2,243,936$ 3,939,579$ 7,577,991$ Equipment 1,242,954$ 1,718,448$ 3,201,892$ 6,163,294$ Other 550,652$ 786,368$ 953,502$ 2,290,522$ Subtotal Direct Costs 3,188,082$ 4,748,752$ 8,094,973$ 16,031,808$ Direct Transfer 225,823$ 414,487$ 821,128$ 1,461,439$ Allocated Transfer 53,053$ 84,320$ 160,140$ 297,513$ Processing 234,074$ (118,343)$ 137,734$ 253,465$ Disposal 442,492$ 1,446,126$ 2,682,622$ 4,571,240$ Subtotal Material Handling 955,442$ 1,826,590$ 3,801,625$ 6,583,656$ Subtotal Operations Costs 4,143,524$ 6,575,342$ 11,896,598$ 22,615,464$ Admin & Overhead 784,838$ 923,740$ 867,978$ 2,576,556$ Total Program Costs 4,928,362$ 7,499,082$ 12,764,576$ 25,192,020$ Total By Sector Solid Waste Recycling Green Waste Other* Total Labor 363,443$ 402,854$ 475,823$ 152,356$ 1,394,476$ Equipment 349,026$ 396,323$ 450,381$ 47,224$ 1,242,954$ Other 70,041$ 346,561$ 87,803$ 46,247$ 550,652$ Subtotal Direct Costs 782,510$ 1,145,738$ 1,014,007$ 245,827$ 3,188,082$ Direct Transfer 117,399$ 4,079$ 99,823$ 4,522$ 225,823$ Allocated Transfer 27,610$ -$ 25,443$ -$ 53,053$ Processing -$ (134,934)$ 365,237$ 3,771$ 234,074$ Disposal 428,105$ -$ -$ 14,387$ 442,492$ Subtotal Material Handling 573,114$ (130,855)$ 490,503$ 22,680$ 955,442$ Subtotal Operations Costs 1,355,624$ 1,014,883$ 1,504,510$ 268,507$ 4,143,524$ Admin & Overhead 78,841$ 131,558$ 102,165$ 472,274$ 784,838$ Total Program Costs 1,434,465$ 1,146,441$ 1,606,675$ 740,781$ 4,928,362$ Single Family 7.A.d Packet Pg. 430 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-3 Table 6-3. Solid Waste Program Baseline Analysis – Multi-family Sector * Includes expenses for Household Hazardous Waste, Alley Crew, and Outreach Table 6-4. Solid Waste Program Baseline Analysis – Commercial Sector * Includes expenses for Outreach, Street Sweeping, Public Litter Containers, and Bus Stop Refuse Collection Solid Waste Recycling Green Waste Other* Total Labor 1,327,221$ 558,006$ 63,915$ 294,794$ 2,243,936$ Equipment 1,052,983$ 480,484$ 48,534$ 136,447$ 1,718,448$ Other 242,340$ 405,506$ 10,883$ 127,639$ 786,368$ Subtotal Direct Costs 2,622,544$ 1,443,996$ 123,332$ 558,880$ 4,748,752$ Direct Transfer 387,629$ 5,195$ 9,664$ 11,999$ 414,487$ Allocated Transfer 81,894$ -$ 2,426$ -$ 84,320$ Processing -$ (153,261)$ 34,918$ -$ (118,343)$ Disposal 1,400,182$ -$ -$ 45,944$ 1,446,126$ Subtotal Material Handling 1,869,705$ (148,066)$ 47,008$ 57,943$ 1,826,590$ Subtotal Operations Costs 4,492,249$ 1,295,930$ 170,340$ 616,823$ 6,575,342$ Admin & Overhead 264,232$ 169,335$ 12,426$ 477,747$ 923,740$ Total Program Costs 4,756,481$ 1,465,265$ 182,766$ 1,094,570$ 7,499,082$ Multi-Family Solid Waste Recycling Organics Other* Total Labor 1,918,374$ 649,706$ 169,882$ 1,201,617$ 3,939,579$ Equipment 1,392,244$ 451,977$ 136,189$ 1,221,482$ 3,201,892$ Other 354,760$ 377,236$ 24,923$ 196,583$ 953,502$ Subtotal Direct Costs 3,665,378$ 1,478,919$ 330,994$ 2,619,682$ 8,094,973$ Direct Transfer 721,546$ 4,812$ 21,436$ 73,334$ 821,128$ Allocated Transfer 151,187$ -$ 8,953$ -$ 160,140$ Processing -$ (139,058)$ 182,266$ 94,526$ 137,734$ Disposal 2,599,087$ -$ -$ 83,535$ 2,682,622$ Subtotal Material Handling 3,471,820$ (134,246)$ 212,655$ 251,396$ 3,801,625$ Subtotal Operations Costs 7,137,198$ 1,344,673$ 543,649$ 2,871,078$ 11,896,598$ Admin & Overhead 369,302$ 188,190$ 33,349$ 277,137$ 867,978$ Total Program Costs 7,506,500$ 1,532,863$ 576,998$ 3,148,215$ 12,764,576$ Commercial 7.A.d Packet Pg. 431 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-4 6.2 Cost Analysis The cost analysis is designed to assist the City in making planning-level decisions regarding the selection of appropriate programs for the Zero Waste Plan. The analysis considers two quantitative factors: • Diversion potential (measured by tons per year); and, • Cost effectiveness (measured by the cost per diverted ton). The estimates presented herein are not intended to calculate the precise results of each program. The tables present a “low” and “high” estimate of the incremental change in the Division’s cost associated with the implementation of these programs. The range of costs is reflective of the range experienced in other communities that have implemented these or similar programs. The actual costs of the program will be impacted by general economic conditions during the implementation period, management decisions regarding the operations of each program, and customer behaviors that are too numerous to model. Instead, we estimated a reasonable range (as represented in the “Low” and “High” cost estimates in the Incremental Annual Program Costs/(Savings) and Incremental Annual Program Cost/(Savings) Per Ton in tables 6-1 through 6-4) for each of these measurements based on data provided by the City, data gathered from other companies and communities who are operating similar programs, and in-house data from other zero waste/high-diversion engagements. These planning-level estimates are intended to provide enough information for the City to evaluate the relative merits of each program in the development of the Zero Waste Plan. For each selected program, the incremental change in the annual cost for the program and the cost per ton diverted was estimated. The cost estimates provide a reasonable basis for understanding the potential cost impacts and how costs between programs compare to one another. Cost estimates are not inclusive of any indirect implementation cost associated with the development of implementation plans, general plan amendments, conduct of feasibility studies, or the process of procuring and negotiating the contracts associated with each program (if necessary). These are anticipated to be one-time costs incurred by the City. More precise cost estimates can be prepared during the implementation planning phase once decisions are made on issues such as program scope, facility operations, education and outreach, roles and responsibilities, and other factors. Table 6-5 presents the incremental annual change in program costs, the estimated tons diverted by program, and the cost/(savings) per diverted ton for each of the selected programs. Details of the planning level cost estimate calculations for each program are included in Appendix G. 7.A.d Packet Pg. 432 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-5 Table 6-5. Planning-Level Cost Estimates for Selected Zero Waste Programs 6.3 Customer Rate Impact Analysis Using the cost analysis data, the percentage impact on existing customer rates for each of the selected program options was calculated. The rate impacts for each selected program are cumulative. The rate impacts are based on fiscal year 2013 budget data provided by the City, and cumulative future tonnage diversion assumptions developed by HDR. The “Low” and “High” rate impacts are illustrated in Table 6-6. Details of the rate impact calculations for each program are included in Appendix G. PROGRAM PHASE PROGRAM TONS DIVERTED Residential Low High Low Midpoint High Food Scraps Collection Short 90,346$ 132,755$ 1,124 80$ 99$ 118$ Behavior Change Marketing Short 28,582$ 60,418$ 410 70$ 109$ 147$ Weekly Organics and Recyclables Collection; Bi-Weekly Refuse Collection Short-Med (157,402)$ (137,671)$ 504 (312)$ (292)$ (273)$ Wet/Dry Collection Med-Long (295,135)$ (252,622)$ 562 (525)$ (487)$ (449)$ Residuals Processing Long 10,716$ 13,211$ 1,248 9$ 10$ 11$ Multi-Family Low High Low Midpoint High Behavior Change Marketing Short 211,746$ 375,609$ 1,549 137$ 190$ 242$ Bulky Item Collection; Move-In/Move-Out Program Short-Med $ 160,896 $ 230,483 176 $ 916 $ 1,114 $ 1,312 Weekly Organics and Recyclables Collection; Bi-Weekly Refuse Collection Short-Med $ (229,434) $ (201,057) 2,694 $ (85) $ (80) $ (75) Food Scraps Collection - Cart Customers Medium $ 39,381 $ 58,132 476 $ 83 $ 102 $ 122 Food Scraps Collection - Bin Customers Medium $ 130,258 $ 300,681 463 $ 281 $ 465 $ 649 Wet/Dry Collection Med-Long (94,878)$ (81,319)$ 1,615 (59)$ (55)$ (50)$ Residuals Processing Long 29,006$ 35,760$ 3,377 9$ 10$ 11$ Commercial Low High Low Midpoint High Behavior Change Marketing Short (101,132)$ (44,065)$ 2,831 (36)$ (26)$ (16)$ Food Scraps Collection Medium 456,964$ 615,261$ 3,975 115$ 135$ 155$ Wet/Dry Collection Med-Long (210,325)$ (185,492)$ 2,620 (80)$ (76)$ (71)$ Expansion of Mandatory Commercial Recycling Long $ 214,645 $ 355,382 906 $ 237 $ 315 $ 392 Residuals Processing Long 41,976$ 51,750$ 4,887 9$ 10$ 11$ INCREMENTAL ANNUAL PROGRAM COST/(SAVINGS) INCREMENTAL ANNUAL PROGRAM COST/(SAVINGS) PER TON 7.A.d Packet Pg. 433 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-6 Table 6-6. Customer Rate Impacts for Selected Zero Waste Programs PROGRAM PHASE Residential Low High Food Scraps Collection Short 3.1% 4.5% Behavior Change Marketing Short 1.0% 2.1% Weekly Organics and Recyclables Collection; Bi-Weekly Refuse Collection Short-Med -5.4% -4.7% Wet/Dry Collection Med-Long -10.1% -8.6% Residuals Processing Long 0.4% 0.5% Multi-Family Low High Behavior Change Marketing Short 2.8% 5.0% Bulky Item Collection; Move-In/Move-Out Program Short-Med 2.1% 3.1% Weekly Organics and Recyclables Collection; Bi-Weekly Refuse Collection Short-Med -7.8% -6.9% Food Scraps Collection - Cart Customers Medium 1.3% 2.0% Food Scraps Collection - Bin Customers Medium 1.5% 3.4% Wet/Dry Collection Med-Long -1.3% -1.1% Residuals Processing Long 0.4% 0.5% Commercial Low High Behavior Change Marketing Short -1.2% -0.5% Food Scraps Collection Medium 5.2% 7.0% Wet/Dry Collection Med-Long -2.4% -2.1% Expansion of Mandatory Commercial Recycling Long 2.5% 4.1% Residuals Processing Long 0.5% 0.6% RATE IMPACT 7.A.d Packet Pg. 434 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-7 6.4 Program Impact Observations The most cost effective programs are those that result in net cost savings. These programs are illustrated in Table 6-7. Table 6-7. Most Cost Effective Zero Waste Programs Based on Incremental Annual Program Savings The other programs result in net cost increases. The most cost effective of these programs are those with the lowest cost per ton diverted. The programs in Table 6-8 are sorted from most to least cost effective based on the diversion achieved. Program Program Tons Diverted Residential Low High Weekly Organics and Recyclables Collection; Bi- Weekly Refuse Collection (157,402)$ (137,671)$ 504 Wet/Dry Collection (295,135)$ (252,622)$ 562 Multi-Family Low High Weekly Organics and Recyclables Collection; Bi- Weekly Refuse Collection (229,434)$ (201,057)$ 2,694 Wet/Dry Collection (94,878)$ (81,319)$ 1,615 Commercial Low High Behavior Change Marketing (101,132)$ (44,065)$ 2,831 Wet/Dry Collection (210,325)$ (185,492)$ 2,620 Incremental Annual Program Savings 7.A.d Packet Pg. 435 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 6.0 FINANCIAL AND COST ANALYSIS 6-8 Table 6-8. Programs with Net Cost Increases Sorted by Lowest to Highest Cost Per Ton Residuals Processing Commercial 4,887 10$ Residuals Processing Multi-Family 3,377 10$ Residuals Processing Residential 1,248 10$ Food Scraps Collection Residential 1,124 99$ Food Scraps Collection - Cart Multi-Family 476 102$ Behavior Change Marketing Residential 410 109$ Food Scraps Collection Commercial 3,975 135$ Behavior Change Marketing Multi-Family 1,549 190$ Expansion of Mandatory Commercial Recycling Commercial 906 $ 315 Food Scraps Collection - Bin Multi-Family 463 $ 465 Bulky Item Collection; Move-In/Move-Out Program Multi-Family 176 1,114$ Program Tons Diverted SectorProgram Incremental Annual Program Midpoint Cost Per Ton 7.A.d Packet Pg. 436 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 7.0 IMPLEMENTATION 7-1 7.0 Implementation Implementation of the recommended strategies will be undertaken over an approximately 20 year period, from 2013 through 2030. During the implementation, the City will continue to evaluate the efficacy of each strategy, and modify the Plan as necessary to meet the zero waste goals and objectives, and to adjust to the changing social, environmental, and economic conditions within the City. An implementation schedule is presented in Exhibit 7-1. 7.A.d Packet Pg. 437 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 7.0 IMPLEMENTATION 7-2 Exhibit 7-1. Implementation Schedule Period Program Single - Famil y Multi- Family Commercia l Self- Haul C&D Short- Term Require Food Scraps Collection Behavior Change Marketing Environmental Directory On-line Version Integrated Waste Management Fee Structure Bulky Item Collection; Move- In/Move-Out Program Recycling Educational Outreach Mandatory Recycling in Hotels/Motels Business and Restaurant Food Donation Santa Monica Shares /Bulky Item Reuse and Recycling Short to Medium- Term Regional Sustainability Collaboration Rewards Program HHW Collection at Public Events Centralized Garage Sales Disposal Bans Weekly Organics and Recyclables Collection; Bi-weekly Refuse Collection Self-Haul Waste Origin Reporting Medium- Term Packaging Legislation Extended Producer Responsibility Regional Resource Recovery Center Require Food Scraps Collection Expand Single-Use Carry Out Bag and Disposable Container Ordinance Medium to Long- Term Wet/Dry Collection Expand Items Collected in Recycling Cart 7.A.d Packet Pg. 438 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) city of santa monica zero waste strategic operations plan 7.0 IMPLEMENTATION 7-3 Period Program Single - Famil y Multi- Family Commercia l Self- Haul C&D Long-Term Mandatory Diversion Rate Require Recycling of New Materials C&D Ordinance Revision Expand Mandatory Commercial Recycling Alternative Technology Facility Residuals Processing 7.A.d Packet Pg. 439 Attachment: 2014 Zero Waste Plan (5616 : Solid Waste Rate Study) ZERO WASTE PLAN UPDATE FINAL REPORT September 23, 2019 A 2020-2024 ROADMAP TO REDUCE, REINVENT, RECAPTURE, AND RECYCLE SANTA MONICA’S WASTE MATERIAL STREAMS 7.A.e Packet Pg. 440 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) TOC - i ZERO WASTE PLAN UPDATE Table of Contents FINAL REPORT Report Contributors The following organizations and individuals contributed to the research, preparation, review, and evaluation of the City of Santa Monica Zero Waste Plan Update. CITY OF SANTA MONICA Task Force on the Environment Mark Gold Erik Neandross Garen Baghdasarian Robert Lempert Susan Mearns David Pettit Dean Kubani Reource Recovery and Recycling Division Chris Celsi Yvonne Yeung Daniel Pankau Erin Carr Office of Sustainability and the Environment Shannon Parry James Velez-Conway Planning and Community Development Department Peter James Public Works Department Susan Cline Salvador Valles R3 CONSULTING GROUP, INC. Garth Schultz, Principal Natalie Lessa, Project Manager Emily Ginsburg, Senior Project Analyst Claire Wilson, Project Analyst ABBE and ASSOCIATES, LLC Ruth Abbe, Principal HDR ENGINEERING, INC. John Carlton, Planning Lead 7.A.e Packet Pg. 441 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) TOC - ii ZERO WASTE PLAN UPDATE Table of Contents FINAL REPORT Table of Contents Sections 1 Executive Summary ........................................................................................................... 1 2 State Requirements and Diversion Assessment and Opportunities Analysis ................... 9 3 Recommended Zero Waste Actions ............................................................................... 15 4 Projected Outcomes and Timeline ................................................................................. 35 Tables 1 Summary of Priority Actions for Zero Waste Achievement .............................................. 6 2 Additional Diversion Potential by Zero Waste Action ..................................................... 36 3 Estimated Annual Greenhouse Gas Emission Reduction ................................................ 38 4 Estimated Average Annual Implementation Costs by Zero Waste Action ...................... 39 5 Initial Estimated Rate Impacts by Zero Waste Action ..................................................... 40 Figures 1 Projected Implementation Timeline ................................................................................. 7 2 Santa Monica Diversion Rate in Tons by Year ................................................................. 11 3 Diversion Levels by Sector Based on Participation Levels............................................... 12 4 Estimated Contents of Santa Monica’s Landfilled Materials by Sector .......................... 13 5 Zero Waste Program Team Organization Chart .............................................................. 17 6 Additional Diversion Potential by Sector and Action ...................................................... 36 7 Estimated Reduction in MTCO2 by Zero Waste Action................................................... 38 7.A.e Packet Pg. 442 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) TOC - iii ZERO WASTE PLAN UPDATE Table of Contents FINAL REPORT Appendices A 2014 Santa Monica Zero Waste Strategic Operations Plan B Status of Strategy Implementation C Status of Zero Waste Goals D Santa Monica Additional Diversion Potential Analysis E Santa Monica Cost Estimate by Action 7.A.e Packet Pg. 443 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 1 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT SECTION 1 Executive Summary BACKGROUND The City of Santa Monica (City) has a history of leadership in the field of environmental sustainability. The City has made multiple commitments to reduce waste sent to landfills (and associated greenhouse gas emissions) including its goals in the 2019 Climate Action and Adaptation Plan (CAAP) and investment to review and update to its 2014 Zero Waste Strategic Operations Plan (2014 ZWP, included as Appendix A). This 2019 Zero Waste Plan Update (2019 ZWP Update) reviews the implementation status and outcomes of the waste reduction and diversion strategies included in the 2014 ZWP, is consistent with the City’s CAAP, and recommends priorities for implementation in the next five years. HISTORY OF THE PROCESS On June 23, 2009, the City Council directed staff to develop a Zero Waste Strategic Plan to enhance Santa Monica’s waste diversion operations and reduce landfill disposal. The Zero Waste Planning Committee, comprised of the Resource Recovery & Recycling Division (RRR), the Office of Sustainability and the Environment (OSE) and the City’s private partners, Southern California Disposal and Allan Company, was established to effectively design and implement the City’s Zero Waste program. Numerous meetings were held to discuss potential resource recovery policies, programs, and infrastructure, resulting in a collaborative effort to implement of several programs including a pilot residential yard trimmings and food scraps program, expansion of the commercial food scraps program, and audits of landfills to determine diversion rates. The 2014 ZWP was developed to serve as a broad environmental and policy framework to guide Santa Monica on its path to Zero Waste: 95% diversion of waste from landfill by 2030, or a per capital disposal rate of 1.1 pounds per person per day (PPD). Many community members, City staff, commissions, and other stakeholders contributed to the 2014 ZWP’s development, including its three top guiding principles: healthy community, waste reduction, and education and outreach. This spirit of teamwork continues in creating the 2019 ZWP Update to build on past successes and identify new actions Santa Monica can take to achieve its Zero Waste goals. WHAT IS ZERO WASTE? Zero Waste is the conservation of all resources by means of responsible production, consumption, reuse, and recovery of products, packaging, and materials without burning and discharges to land, water, or air that threaten the environment or human health. Working towards Zero Waste is critically important for protecting people and planet, and as a shared goal is ethical, economical, efficient and visionary. Zero Waste guides people in changing their lifestyles and practices to emulate natural cycles, where discarded materials become resources for others to use. Everyone can participate in Zero Waste regardless of age, income level or background, and benefit from 7.A.e Packet Pg. 444 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 2 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT the improved environmental health and economic opportunity resource recovery brings. Zero Waste is also an invitation and opportunity to join in a global sustainability movement. WHAT DOES ZERO WASTE MEAN TO SANTA MONICA? When Santa Monica developed its Zero Waste plan in 2014, the City defined its Zero Waste goal as a 95% reduction from the State's measurement of the City's 2004-2006 waste generation estimate of 21.8 pounds per capital disposal (PPD) by Year 2030. A 95% reduction of 21.8 PPD equals to approximately 1.1 PPD by 2030. The measure of diversion reflects how well the City is diverting materials away from landfills and putting materials in recycling and organic containers. Per capita disposal (PPD) measures how well the City is reducing the overall amount of materials that are sent to the landfill. To achieve Zero Waste, the City must both increase its current diversion rate of around 40% by increasing recycling and organics collection and reduce its 5.0 PPD by discarding less materials as garbage. The City can make significant strides towards its Zero Waste goals over the next five years. However, additional effort and continuous improvement will be needed to achieve a 1.1 PPD by 2030. ZERO WASTE IN SANTA MONICA’S CLIMATE ACTION AND ADAPTATION PLAN Solid waste disposed in the landfill generates methane gas and contributes to the City’s carbon footprint. Increasing recycling and composting rates will be critical to meeting the City’s goal to achieve Zero Waste to landfill by 2030 and to reduce greenhouse gas (GHG) emissions. The City adopted its CAAP in June 2019 that includes 11 strategies related to solid waste, with the goal of reducing total carbon emissions by 3% and meeting the City’s 95% diversion of waste from landfill by 2030. 1. Implement citywide organics recycling 2. Zero waste outreach and education 3. Institute wet-dry sorting system for businesses 4. Implement pricing signals to increase diversion 5. Increase construction and demolition debris diversion requirements 6. Implement material and landfill bans 7. Expand the reuse and repair economy 8. Foster a food waste prevention network 9. Incentivize reusable containers and packaging 10. Support and pilot extended producer responsibility programs 11. Explore waste-to-energy conversion technologies 7.A.e Packet Pg. 445 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 3 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT REVIEW OF ZERO WASTE PERFORMANCE TO DATE The City has not yet implemented many of its Zero Waste strategies, and as a result, is not meeting most of its Zero Waste goals. A review of the specific 2014 ZWP strategies are discussed in Appendix B of this Update. Reasons that implementation of the 2014 ZWP has largely not yet occurred include a focus on achieving optimal day-to-day waste collection customer service as opposed to long-term zero waste strategic planning, unclear responsibilities, staff attrition, organizational inertia, and the fact that the strategies recommended in the 2014 ZWP were not better prioritized for the City. This ultimately resulted in de- prioritization of Zero Waste strategies and minimization of staff and organizational buy-in to the 2014 ZWP. Additionally, there were no apparent accountability and reporting mechanisms in place with respect to ZWP implementation, which, given staff attrition, resulted in more obscurity about responsibilities. Another reason for delayed implementation could be lack of adequate financial and staffing resources. This 2019 ZWP Update, therefore, focuses on providing a concise set of actions along with clear staffing responsibilities and resources to implement the recommended actions. PROJECTED OUTCOMES Initial estimates of anticipated diversion, GHG emissions reductions, and implementation costs for the five priority Actions (Actions) are described in Section 4 of this 2019 ZWP Update. In terms of diversion, full implementation of recommended priorities could result in an approximately 24% reduction to the City’s disposal by 2024, as measured in pounds per person per day of waste sent to landfill. Specifically, 5.0 PPD could be reduced to 3.8 PPD by 2024, which would be an additional 20,800 tons of waste diverted from landfill and an estimated 28,600 metric tons of carbon dioxide equivalent reduction. This is the equivalent to the annual emissions from 5,641 passenger vehicles, conserving 1,394 households’ annual energy consumption, or conserving 27,586 barrels of oil. In terms of cost, the average annual cost of implementation for the recommended priorities is projected at an annual average cost of approximately $1,087,000. If the City were to fund all priority Actions through the rate base, over time the City’s solid waste rates would need to increase by approximately 3.3% to cover the average annual cost of implementation. For single family customers with a 95-gallon garbage cart, this would be an additional approximate $1.80 per month based on 2019 rates. For commercial customers, the additional dollar amount added per month would be $2.62 for a two cubic yard garbage container collected once per week based on 2019 rates. 7.A.e Packet Pg. 446 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 4 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT DEVELOP A ZERO WASTE PROGRAM TEAM A necessary precursor to implementing the recommended suite of Actions is for the City to establish a new Zero Waste Program Team housed within the Resource Recovery & Recycling Division of the Public Works Department. The Zero Waste Program Team would be charged with the responsibility for implementation. This 2019 ZWP Update recommends creation and funding of a new seven-person Zero Waste Program Team (comprised of two existing positions and five new ones, as further discussed in Implementation in Action: Develop a Zero Waste Program Team on pages 16 and 17) and to implement the recommended Actions and provide annual reports on plan implementation and progress. The Zero Waste Program Team would report to the RRR Manager. PRIORITY ACTIONS FOR 2020-2024 Based on review of Zero Waste progress to date, an evaluation of the City’s Zero Waste Goals, and with consideration of the current needs and objectives of the City, this 2019 ZWP Update recommends a prioritized suite of Actions designed to further the City’s progress towards its Zero Waste goals. These Actions are dependent on the City’s ability to first develop a Zero Waste Program Team to implement the Actions below. 1. Develop a Zero Waste Program Team 2. Create, Implement, and Enforce a Comprehensive Zero Waste Ordinance 3. Create, Implement, and Enforce an Edible Food Recovery Program 4. Provide Proactive Technical Assistance and Community Engagement 5. Develop and Implement a Zero Waste Communications Plan These Actions encapsulate strategies already identified in the City’s 2014 ZWP and 2019 CAAP. To be clear, the 2014 ZWP’s strategies were not – in and of themselves – the reason that ZWP implementation is behind schedule. The strategies included in the 2014 ZWP were, and remain, generally representative of the types of Actions the City does, in fact, need to take in order to meet its Zero Waste goals. That said, the ZWP implementation status is at least partially attributable to the fact that the strategies recommended in the 2014 ZWP were not better prioritized for the City. This 2019 ZWP Update, therefore, does not seek to replace or supersede the 2014 ZWP but, rather, to strategically identify and prioritize a more refined set of Actions for implementation in coming years. It is important to note that the strategies identified in the 2014 ZWP remain, for the most part, potentially viable and can remain in the City’s quiver for future reconsideration, adaptation, and potential implementation. PLAN UPDATE GOAL The 2014 ZWP establishes the City’s zero waste goal as 95% reduction, or diversion of waste from landfill, from the State's measurement of the City's 2004-2006 waste generation estimate of 21.8 pounds per capital disposal (PPD) by 2030. In other words, the goal is to achieve a per capita disposal rate of 1.1 pounds per person per day by 2030. While the City has reduced its overall disposal since the adoption of its 2014 ZWP, it appears that the City is not on track to meet the milestone of 3.6 PPD in 2020 and will 7.A.e Packet Pg. 447 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 5 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT need to dramatically decrease disposal in order to meet the 1.1 PPD target set for 2030. It is recommended that the City monitor and report annually on progress towards its 1.1 PPD target set for 2030 and prepare a Zero Waste Plan Update in 2024 to identify new and expanded policies and programs to help achieve the City’s 2030 goal. PROJECTED TIMELINE It is recommended the City embark on a focused five-year implementation period for the five priority Actions identified in this 2019 ZWP Update in keeping with the figure shown on the following page. 7.A.e Packet Pg. 448 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 6 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT TABLE 1 – Summary of Priority Actions for Zero Waste Achievement Startup Year Action* Objective Average Annual Cost Tons Diverted Change in GHG Emissions (MTCO2) 2020 1. Develop Zero Waste Program Team Create five new Zero Waste Program Team positions Included below 2020 2. Create, Implement and Enforce Comprehensive Zero Waste Ordinance Require all generators to participate in recycling and organics programs, enhance construction and demolition debris recycling requirements, and reusable food ware for dine-in restaurants. $269,000 6,600 7,300 2020 3. Create, Implement and Enforce an Edible Food Recovery Program Require grocery stores, restaurants and other food generating businesses to recover edible food currently disposed and collaborate with food recovery organizations to help feed people in need. $109,000 700 2,900 2020 4. Provide Proactive Technical Assistance and Community Engagement Provide technical assistance to help commercial and multi-family generators with the greatest potential for higher diversion. Engage residents through in-person Zero Waste education. $600,000 12,000 16,400 2020 5. Develop a Zero Waste Communications Plan Develop and execute a robust communications plan to educate the community and tourists on Zero Waste. $109,000 1,500 2,000 Total Average Annual Cost $1,087,000 20,800 28,600 *Action 2 through Action 5 are dependent on the establishment of the Zero Waste Program Team (Action 1), as further described on p.16 & p.17. 7.A.e Packet Pg. 449 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 7 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT FIGURE 1 – Projected Implementation Timeline 2020 1.Hire Zero Waste Program Team. 2.Develop comprehensive Zero Waste policy covering mandatory recycling and organics program, enhanced construction and demolition debris recycling requirements, and expand the City’s ban on single-use plastics. 3.Stakeholder and community engagement on the zero-waste policy; complete ordinance revisions. 4.City Council considers and adopts Zero Waste policy. Begin phased implementation. 2021 1.Proactive development of SB 1383 policy and systems to recover edible food for those in need. 2.Ensure SB 1383 preparedness. 3.Development of outreach and educational materials to support implementation efforts. 2022 1.Community engagement and technical assistance for multi- family and commercial generators. 2.Begin enforcement of Zero Waste policy. 2023 1.Implement formalized social media plan. 2.Create online content and enhance educational materials to engage the community and visitors in Zero Waste programs. 3.Begin assessing penalties for non-compliance with edible food participation ordinance. 2024 1.Maintain and monitor prior Actions taken to support Zero Waste achievement. 2.Fully evaluate progress and attainment towards the community’s Zero Waste goal. 3.Identify new and expanded Zero Waste Actions for implementation over the next five years in a 2024 ZWP Update. 2025 – 2029 1.Implement the 2024 ZWP Update priority Actions. 2.Maintain Zero Waste policies and programs. 3.Continue to monitor and report out on progress. Set the Foundation 2020-2021 Engagement and Enforcement 2022-2023 Maintenance and Monitoring 2024-2029 7.A.e Packet Pg. 450 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 8 of 42 ZERO WASTE PLAN UPDATE Section 1 – Executive Summary FINAL REPORT This page intentionally left blank. 7.A.e Packet Pg. 451 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 9 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT SECTION 2 State Requirements and Diversion Assessment and Opportunities Analysis This section presents background information on applicable State laws and data on waste diversion for the community, overall and by sector. It also identifies the recoverable resources that are most often not captured and removed from the disposal stream. This analysis guides the recommendations for how to approach improvements in capturing these resources for each sector which tie to the strategies proposed in this 2019 ZWP Update. STATE LAWS In addition to the Zero Waste goals that were set in the City’s 2014 ZWP, the City must also comply with new and existing State Laws including AB 341, AB 1826, and SB 1383. Each of these laws have requirements for the jurisdiction to provide resources, outreach, education, and monitor progress and compliance for its recycling and organics programs. Progress and efforts towards these goals are currently reported to the State annually in the Electronic Annual Report (EAR). AB 341 – Mandatory Commercial Recycling AB 341 increased the statewide diversion goal to 75% and instituted mandatory recycling service for all businesses, multi-family properties (5 units or more) and public entities that generate more than four cubic yards of solid waste per week. Additionally, the bill requires education and outreach programs be implemented to inform generators cover by the bill of their obligation to meet the terms of the regulation. To measure efforts made to comply with this policy, CalRecycle requires an annual report which details the commercial recycling program, including education, outreach, and monitoring. AB 1826 – Mandatory Commercial Organics Recycling AB 1826 expanded mandatory commercial and multi-family residential recycling requirements to add organics recycling. Covered generators are generally in alignment with those covered under AB 341. AB 1826 requires jurisdictions to identify covered generators that will be subject to compliance, ensure that organics recycling services are available to them, and perform outreach, education, and compliance monitoring to make them aware of the requirement to participate. As with AB 341, CalRecycle requires reporting on program offerings and compliance efforts. SB 1383 – Short-Lived Climate Pollutants SB 1383 sets a goal to reduce organic waste by 50% from the 2014 level by 2020 and 75% by 2025. Additionally, the bill establishes a target of recovering 20% of currently disposed edible food for human 7.A.e Packet Pg. 452 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 10 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT consumption by 2025. The law’s requirements are still under development and, though the latest draft with specific regulatory language was released by CalRecycle in December 2018, adjustments may be made until requirements become effective on January 1, 2022. Although the exact language and details of this bill are not yet finalized, current draft regulations present the following potential impacts and requirements for local jurisdiction:  The City will need to provide an implementation report demonstrating compliance by April 1, 2022;  The City will need to provide organics collection service to all generators;  The City’s garbage containers are currently black for garbage, blue for recyclables and green for organics; some retrofits to the bins (where black bins are used for organics) may be needed, as well as adding signage to bins that are currently unlabeled;  The City will need to expand its pilot food rescue program (with Global Green) and incorporate additional features such as: conducting outreach to edible food generators and providing a list of food recovery organizations to generators;  The City may be required to impose penalties on generators that fail to comply;  The City may be required to purchase products made from organics (such as compost and mulch) for internal City use; and  The City may be required to adopt ordinances mandating local use of finished products made from organics. CURRENT DIVERSION The City’s progress towards Zero Waste can be measured by the amount of recyclable and organic material that residents and businesses divert from landfill disposal. Figure 2, on the following page, shows Santa Monica’s diversion rate from 2015-2018. Contamination (i.e., materials wrongly placed in recycling and/or organics collection containers and ultimately disposed) is included in total landfilled materials. While diversion from landfill disposal has improved slightly, discarded materials generated by the Santa Monica community are mostly landfilled, indicating an opportunity for Santa Monica residents and businesses to recycle and compost more materials. 7.A.e Packet Pg. 453 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 11 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT FIGURE 2 – Santa Monica Diversion Rate in Tons by Year However, not all of the City’s generators throw away the same amount or type of discarded materials. Figure 3, on the next page, depicts current amount of material collected as garbage, recycling, and organic materials for different generator sectors in Santa Monica: single family curbside carts (SFD), commercial containers (COM), and multi-family containers (MFD). Collected tons have been allocated according to subscription levels by sector to estimate their diversion rates. While single family residents have excellent levels of participation in waste diversion programs (likely exceeding the 90% target set for 2020), multi-family residents and commercial businesses have lower levels of participation: the commercial and multi-family sectors have the most need for improvement with 11% and 21% diversion respectively. Both of these sectors also generate the majority of the material, making them the most important sectors to target for high impact change. Single family customers have a much higher level of diversion with 61%, but still has room for improvement. - 10,000 20,000 30,000 40,000 50,000 60,000 70,000 80,000 90,000 2015 2016 2017 2018Tons Landfilled Waste Recycled Waste Composted Waste Recycled Construction & Demolition Waste 38%35%35% 40% 7.A.e Packet Pg. 454 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 12 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT FIGURE 3 – Diversion Levels by Sector Based on Participation Level Of the roughly 1,600 commercial customers in the City, only about 185 or 12% subscribe to both recycling and organics collection services. Likewise, of the roughly 3,000 multi-family customers in the City, only about 115 or 4%, subscribe to both recycling and organics collection services. While these figures may be understated due to the fact that some, if not many, commercial and multi-family customers may share recycling and organics collection containers, data regarding which customers share what recycling service is not available. Based on overall garbage, organics, and recyclables service levels tracked by the City, it is clear that commercial and multi-family customers are not achieving high levels of participation in waste diversion programs. As shown in Figure 3 above, landfilled tons attributable to commercial and multi-family customers (shown in grey) are far higher than organics (shown in green) and recycling (shown in blue) for those customer types. This is in contrast to the levels of participation observed for single family customers. Single family customers are achieving an approximate 61% diversion rate based on subscription levels, whereas commercial customers are achieving approximately 11% and multi-family customers are achieving approximately 22%. UNCAPTURED MATERIALS The recyclable and compostable materials found in Santa Monica’s garbage represent the potential to divert more resources from landfill disposal. Breaking down the landfilled materials bar in Figure 3 using the 2014 State Waste Characterization Study, Figure 4 shows what recoverable materials are being thrown away. Across sectors, organic materials and paper comprise the bulk of landfilled materials. Improved source separation and source reduction of these materials would significantly reduce Santa Monica’s - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 COM MFD SFDTons per YearGarbage Organics Recycling 11% Diversion bySubscriptionLevels 21% Diversion by Subscription Levels 61% Diversion bySubscriptionLevels 7.A.e Packet Pg. 455 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 13 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT landfilled materials. Most disposed materials could also be captured for recovery, with the exception of residue and some special wastes. FIGURE 4 – Estimated Contents of Santa Monica’s Landfilled Materials by Sector CONTAMINATION Contamination rates for Santa Monica are well above maximum targets set by the 2014 ZWP (contamination reduced to 2% by 2015, 1% by 2020). The reported contamination rate for collected recyclables varies over time, but is generally above 20% while the contamination rate for collected organics is generally above 5%. While these contamination rates are above the targets set in the 2014 ZWP, they are comparable to other communities. Overall, contamination rates are important as they are a measure of how well residents and business are sorting their recyclable and organic materials because higher contamination can increase the cost of processing for recovery. The City will continue to track contamination of its recyclable and organic materials and reduce contamination through implementation of this 2019 ZWP Update. - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 Single Family Multi-Family Commercial Organic Paper Inerts Plastic Special Glass Metal Residue Electronics 7.A.e Packet Pg. 456 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 14 of 42 ZERO WASTE PLAN UPDATE Section 2 – State Requirements and Diversion Assessment and Opportunities Analysis FINAL REPORT This page intentionally left blank. 7.A.e Packet Pg. 457 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 15 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT SECTION 3 Recommended Zero Waste Actions This section summarizes a concise set of five strategic Actions for the City to implement in the next five years. To be clear, the following priority Actions are already largely described and identified in the 2014 ZWP and in the City’s 2019 CAAP, including applicable GHG emissions and cost estimates. This 2019 ZWP Update is not intended to broadly override or supersede the prior plan. Instead, this 2019 ZWP Update focuses the City’s resources and attention on a suite of high priority Actions which would immediately improve Santa Monica’s Zero Waste achievement while also facilitating the City’s required compliance with State mandates. Additionally, priority Actions would fulfill 10 of the solid waste actions identified in the CAAP1 and include a targeted approach to reduce disposed organic materials which generate significant greenhouse gases. The City will conduct another ZWP Update in 2024 to evaluate its progress towards Zero Waste using the goals, indicators and targets identified in the original 2014 ZWP2, and evaluating the implementation status of the priority Actions described below. To the degree that descriptions vary from the descriptions in other planning documents, it is because there are a variety of ways to fulfill these priorities. The City will adapt recommendations as needed to ensure that action is not deferred due to lack of agreement on the details. 1 The outlier being CAAP action #11 (Explore waste-to-energy conversion technologies) which is not addressed in this 2019 ZWP Update. Actions the City takes in the next five years should focus on improving participation in the City’s current recycling and organics programs. The City may conduct a separate study of waste-to-energy conversion technologies to fulfill this action. 2 With the clarification that the percentage diversion targets are calculated via the CalRecycle diversion equivalent calculation methodology described elsewhere herein. 7.A.e Packet Pg. 458 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 16 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT ACTION #1: Develop a Zero Waste Program Team The 2014 ZWP and 2019 ZWP Update represent a significant undertaking for the City. Dedicated staff resources will be needed to implement specific policies and programs. The City has multiple departments/divisions engaged in the development and implementation of the plan. It is essential that the plan identify appropriate roles and responsibilities for each department/division in carrying out the strategies identified in the plan. Overall, based on estimates of staffing needs for program implementation, it should be anticipated that the City’s Zero Waste Program Team would require the following five 5.0 FTE new positions and the reclassification of one 1.0 FTE existing position:  One 1.0 full-time equivalent (FTE) new Senior Sustainability Analyst to manage the Zero Waste Program and Team, conduct research, undertake implementation of programs, and be the primary responsible party for Action #1, including associated administrative code enforcement authority.  One 1.0 FTE new Zero Waste Coordinator to assist the Senior Sustainability Analyst and be the primary responsible party for Actions #3 and #5, including associated administrative code enforcement authority.  Three 3.0 FTE new Zero Waste Assistants and the reclassification of one 1.0 FTE existing Project Support Assistant to Zero Waste Assistant for a total of four Zero Waste Assistants, with primary responsibility for Action #4 including contamination monitoring.  Approximately $250,000 to $350,000 per year in outreach, education, production and special services to support program activities. The five 5.0 FTE new Zero Waste positions could join with the existing 1.0 FTE Senior Sustainability Analyst (whose duties are primarily focused on matters of State reporting and compliance) and the existing 1.0 FTE Project Support Assistant (to be reclassified to Zero Waste Assistant) for a total of a seven-person 7.0 FTE Zero Waste Program Team with the organizational structure as shown in Figure 5. Costs for these positions are identified in Appendix E. 7.A.e Packet Pg. 459 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 17 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT FIGURE 5 – Zero Waste Program Team Organization Chart Five 5.0 FTE Net New Positions Recommended for Hire in 2020 RRR Manager (Reclassified) from Project Support Assistant to Zero Waste Assistant (Proactive Technical Assistance, Monitoring) Zero Waste Assistant (Proactive Technical Assistance, Monitoring) Zero Waste Assistant (Proactive Technical Assistance, Monitoring) Zero Waste Assistant (Proactive Technical Assistance, Monitoring) Senior Sustainability Specialist (State Compliance and Reporting) Senior Sustainability Analyst - (Zero Waste Ordinance Development, Enforcement) Zero Waste Coordinator (Edible Food Recovery and Communication Plan) = Existing RRR Position = New Zero Waste Program Team Position 7.A.e Packet Pg. 460 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 18 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT ACTION #2 Create, Implement, and Enforce a Comprehensive Zero Waste Ordinance POLICY SUMMARY ADDITIONAL POTENTIAL DIVERSION 6,600 tons IMPLEMENTATION START 2020 GREENHOUSE GAS REDUCTION 7,300 MTCO2 AVERAGE ANNUAL COST ESTIMATE $269,000 2014 ZWP STRATEGIES 1, 2, 3, 4, 5, 6, 7, 8 CAAP ACTIONS 1, 6, 9, 10 Objective Achieve a higher level of diversion from landfill disposal by requiring all generators to participate in recycling and organics programs, enhancing construction and demolition debris recycling requirements, and encourage and/or require the use of reusable food ware. Description A comprehensive policy approach to zero waste is needed to create a strong framework to support high diversion program implementation and advance community action. Developing inter-related sections of municipal code that together holistically address the discarded materials generated by residents and businesses within the City will serve to complement other actions and streamline implementation efforts. Require Mandatory Recycling and Organics Program Participation To maximize the potential of Santa Monica’s three-stream system, all generators should be required to participate in recycling and organics programs. Creating mandatory recycling and organics requirements is an alignment with State legislation and clearly sets the expectation that everyone take action to reduce their waste. This message should be positively affirmed through conducting education to all members of the community. 7.A.e Packet Pg. 461 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 19 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Updating the municipal code for mandatory recycling and organics collection program participation would simplify and streamline implementation of State legislation, as well as emphasize that Zero Waste is a community effort. The City can partner with community groups to spread the message across targeted waste generator sectors, and ensure technical assistance services are available to help customers comply (Action #4). A multi-media and multi-lingual approach is recommended to ensure the message is widespread (Action #5). A positive messaging approach is important to explain this Action is in support of the community’s Zero Waste goal, reflects increasing State legislative requirements, and encourages everyone to participate in helping Santa Monica be a sustainable community. Mandatory subscription to recycling and organics collection services also lifts the responsibility for generators to voluntarily subscribe. Instead, each customer would be provided with recycling and organics containers from RRR, with service level sized appropriately to manage the materials generated. With individualized technical assistance (Action #4) and waste diversion infrastructure in place, all generators will have the tools and support needed to be successful. Adequate enforcement of mandatory requirements is also crucial for achieving and maintaining high participation. This includes monitoring the proper use of containers so as to minimize contamination of recyclables and organics because contamination impairs waste diversion efforts by increasing the cost to process collected materials and reducing their recoverability. It is not enough to subscribe – how well customers participate in recycling and organics programs is what ultimately determines their success. Enhance Construction & Demolition (C&D) Debris Recycling Requirements Building projects produce large amounts of C&D debris that often end up in a landfill despite their potential to be reused or recycled. The City’s current C&D Ordinance sets a 70% diversion requirement of total material generated by each covered project. To enhance C&D debris recovery efforts, covered projects could be required to recycle C&D materials by using the services of the permitted C&D haulers or by self-hauling C&D materials, or by employing a City-approved deconstruction contractor. Loads should be directed to third-party certified facilities proven to have good processes in place to maximize recovery. Changing the focus from hitting a percentage diversion target to achieving high diversion of all recoverable materials generated would increase the overall amount of C&D diverted from landfill disposal. Oversight of C&D diversion by project could be streamlined by requiring that all covered projects track diversion and disposal through the use of simplified C&D forms and/or through an online platform such as Green Halo. For greater resource recovery, technical assistance and outreach should be actively provided to permit applicants through the building counter and online. City staff will work with the Building and Safety Division to implement a program in which all C&D materials must go to high diverting facilities and/or development of additional policies to promote recycling (i.e., deconstruction ordinance, requiring source separation of materials on-site, prohibiting the disposal of readily recyclable C&D materials). The shift away from focusing on diversion and the 7.A.e Packet Pg. 462 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 20 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT generator’s ability to recycle to the requirement of materials going to facilities that achieve high C&D diversion rates will not only increase the City’s C&D diversion rate but be less time for staff to review weight tickets and diversion calculations for each covered project. Update Disposable Food Service Ware Ordinance The City adopted a Non-Marine Degradable Disposable Food Service Ware ordinance on January 1, 2019 prohibiting the use and distribution of plastics and other non-marine degradable food service ware (cups, plates, straws, accessories) from food or beverage providers. The ordinance targets a range of single-use plastic products, which will reduce the amount of non-recyclable plastics destined for disposal and demonstrate Santa Monica’s strong commitment to reducing materials sent to landfill. While the City is currently in the early phases of implementation and enforcement (which began July 1, 2019), a growing number of cities and counties in California are addressing the problem of single-use plastics through food ware ordinances. Municipalities including Alameda, San Francisco, Manhattan Beach, Malibu, and Santa Cruz County have similar bans on single-use plastics. Other cities like Berkeley, San Anselmo, and Watsonville have passed additional requirements including disposable cup charges ($0.10-$0.25), prohibition of products containing fluorinated compounds, requiring three-stream waste collection for customer use in the front-of-house, and requiring all dine-in food to be served on or in reusable food ware. The City should continue to educate and engage its businesses on the requirements of the existing ordinance, and consider expanding the ordinance to include additional provisions and more robust enforcement of its ordinance through a phased approach. The first phase will focus on full implementation and enforcement of Santa Monica’s current ordinance. RRR staff should collaborate with the Office of Sustainability and the Environment to assist in enforcement and public education. The second phase will be to expand the ordinance to include additional requirements that promote source reduction. Businesses will grow accustomed to the current ordinance and this phased approach to include reusable dine-in food service ware, a disposable cup charge requirement, and requiring garbage, recycling, and organics containers in the front-of-house, will support a wider culture shift around source reduction. Over time, residents and businesses will become more comfortable with, and aware of, practicing source reduction and/or utilizing reusable alternatives. In addition to adding more innovative ordinance features, enforcement should be shifted away from a compliant-based system to more proactive enforcement. The Zero Waste Program Team can enforce the ordinance via administrative code violation process, and penalties should have monetary value to help fund enforcement and additional outreach activities. 7.A.e Packet Pg. 463 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 21 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT This policy also promotes Extended Producer Responsibility (EPR) by stimulating market demand for products that are reusable, recyclable, or compostable at end of life, which the City adopted a resolution to support in 2009 and is also a key Zero Waste strategy in the CAAP. EPR redirects responsibility for managing waste back to the product manufacturers, particularly for hard-to-recycle materials or disposable products to help reduce their upstream generation. Resources Needed The City’s solid waste ordinance would need to be enhanced to comprehensively support Zero Waste, with on-going resources provided to conduct annual outreach and monitoring. Development of a mandatory recycling and organics program participation ordinance, updating the City’s current C&D ordinance, and updating of its single-use plastics ordinance is estimated to require 2,080 hours in start- up labor (estimated 1.0 full-time equivalent or FTE) for the first year. Implementation and enforcement of the new ordinance requirements is anticipated to take 2,080 hours thereafter (1.0 full-time equivalent) to sustain via outreach, monitoring, and enforcement. The City would hire an additional Senior Sustainability Analyst to be responsible for development, implementation and enforcement of ordinance requirements. Fines and penalties for not meeting the requirements of the ordinance could help fund additional outreach and education efforts and could be accomplished by providing the Senior Sustainability Analyst with administrative code enforcement authority. Implementation Steps STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY PHASE I: Draft Ordinance and Seek Stakeholder Input – Steps 1-4 are concurrent 1 Draft comprehensive Zero Waste ordinance to: 1) require mandatory recycling and organics program participation, 2) enhance C&D debris recycling, 3) update and explore additional requirements in include: prohibit disposable dine-in food service ware, add disposable cup charge, and requiring 3 stream in front-of-house 3-6 months RRR Senior Sustainability Analyst 2 Engage the community via public workshop, stakeholder meetings, online and social media 2 months RRR Senior Sustainability Analyst 3 Conduct inter-departmental coordination to seek input on draft ordinance from the Planning & Community Development and Public Works 2 months RRR Senior Sustainability Analyst 7.A.e Packet Pg. 464 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 22 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY 4 Revise draft ordinance to incorporate feedback 1 month RRR Senior Sustainability Analyst PHASE II: Engage City Council and Support Ordinance Adoption 1 Conduct City Council workshop on the draft ordinance and invite feedback Per Council Schedule RRR Senior Sustainability Analyst 2 Revise draft ordinance 1-2 months RRR Senior Sustainability Analyst 3 Present revised ordinance to the City Council for consideration and adoption Per Council Schedule RRR Senior Sustainability Analyst PHASE III: Conduct Outreach, Begin Implementation, and Enforcement 1 Conduct outreach campaign to educate residents and businesses 6 months RRR Senior Sustainability Analyst 2 Send non-compliance notifications and engage in positive outreach to help impacted generators achieve compliance 6 months RRR Senior Sustainability Analyst 3 Begin enforcement of ordinance requirements Ongoing Code Enforcement and RRR Senior Sustainability Analyst 4 Conduct annual outreach and invite feedback Ongoing RRR Senior Sustainability Analyst 5 Re-evaluate ordinance, implementation and enforcement annually for improvement. Report to City Council and put forward revisions as appropriate. Ongoing RRR Senior Sustainability Analyst 7.A.e Packet Pg. 465 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 23 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT ACTION #3 Create, Implement, and Enforce an Edible Food Recovery Program Objective Divert edible food from disposal and redistribute the food to those in need. Recovery of edible food is a requirement of State law SB 1383 as well as a strategy to reduce GHG emissions by reducing the amount of organic material sent to landfill and recovering them to feed hungry people in the City and surrounding areas. Description Edible Food3 has been identified by California through the passage of SB 1383 as an important sector of the organics stream that can be reduced and recovered. Not only does this material provide an opportunity to reduce the tons sent to landfill where it will emit GHG emissions, recovering edible food feeds hungry people in the community. SB 1383 requires jurisdictions to recover 20% of the edible food currently landfilled and direct it for human consumption. SB 1383 identifies food generating businesses and categorizes them into tiers described below:  Tier One: Supermarkets; grocery stores with a total facility size equal to or greater than 7,500 square feet; food service distributors; wholesale food markets (compliance required by January 1, 2022).  Tier Two: Restaurants with 250 or more seats, or a total facility size equal to or greater than 5,000 square feet; hotels with an on-site food facility and 200 or more rooms; health facility with an on- site food facility and 100 or more beds; large venues; large events; state agencies with a cafeteria with 250 or more seats or total cafeteria facility size equal to or greater than 5,000 square feet; 3 Edible food per SB 1383 Draft regulatory language means unsold or unserved food that is fit for human consumption, even though the food may not be readily marketable due to appearance, age, freshness, grade, size, surplus, or other conditions. POLICY SUMMARY ADDITIONAL POTENTIAL DIVERSION 700 tons IMPLEMENTATION START 2020 GREENHOUSE GAS REDUCTION 2,900 MTCO2 AVERAGE ANNUAL COST ESTIMATE $109,000 2014 ZWP STRATEGIES 26 CAAP ACTIONS 8 7.A.e Packet Pg. 466 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 24 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT local education agency facilities with an on-site food facility (compliance required by January 1, 2024). Collaborate with Food Recovery Organizations The City must work collaboratively with its local and regional food recovery organizations (including the Westside Food Bank and their member agencies, faith-based organizations, prepared food rescue organizations like RePlate and Copia, etc.) to determine how the City can help support their efforts to collect and distribute recovered edible food. Hosting regional food recovery organization meetings on a quarterly basis may be useful in identifying roles of organizations and discussing potential opportunities for building or strengthening partnerships. In addition, the City must identify the current capacity of these organizations and what the capacity will be needed to recover the 20% edible food. As such, the City will meet with these organizations as well as regional jurisdictions to gain an understanding of how much each group is recovering currently, how much capacity currently exists, and how recovery is measured and tracked (weighing food, databases), and how the City can best partner and support these organizations. Support may include funding for on-going recovery efforts or capital improvements to expand existing capacity, and/or monitoring commercial edible food generators for compliance with this Action. Ordinance Development and Enforcement As a part of this effort, the City will develop an ordinance that requires all food generating businesses (categorized as Tier 1 and Tier 2) to establish a relationship with food recovery organization(s) for the purposes of recovering edible food and prohibiting the disposal of edible food. The City will need to identify and maintain a list of edible food generators (Tier 1 and Tier 2 generators) in the City. This is not only important to understand the impact of an ordinance of this nature, but it is a requirement of SB 1383. Identification will be helpful for implementation and enforcement of this ordinance as well. This ordinance, if implemented, will greatly increase the amount of edible food that can be recovered and help meet the 20% goal. Therefore, collaboration with the food recovery organizations is important to ensure that capacity exists for the additional food that will be collected as a result of the ordinance. Apart from supporting food recovery organizations and generators, the City can maximize food recovery in the City’s limits by supporting and promoting gleaning, school food waste reduction policies, and distributing information of how to reduce wasted food. 7.A.e Packet Pg. 467 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 25 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Resources Needed The City will need a Zero Waste Coordinator working 1,040 annually (0.5 FTE) for on-going annual monitoring and maintenance. The City will need to coordinate its efforts with other local jurisdictions, food recovery organizations, environmental health agencies, and the City’s code enforcement staff. This Action requires input and support from a wide variety of public stakeholders and City staff to be successful. Implementation Steps STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY PHASE I: Draft and Adopt Ordinance and Stakeholder Input 1 Develop a list of regional food recovery organizations (Westside Food Bank, Copia, RePlate, faith-based groups, etc.) 2 months RRR Zero Waste Coordinator 2 Identify and maintain Tier 1 and Tier 2 generators based on the SB 1383 requirements using NAICS codes Ongoing RRR Zero Waste Coordinator 3 Develop a model agreement for food generating businesses to use for securing recovery services 2 months RRR Zero Waste Coordinator 4 Draft and adopt comprehensive edible food recovery ordinance that: 1) requires food generators to have an agreement with a food recovery organization 2) prohibits the disposal of edible food 6 months (Per Council Schedule) RRR Zero Waste Coordinator and RRR Senior Sustainability Analyst PHASE II: Support and Collaboration with Food Recovery Organizations 1 Meet with the Westside Food Bank and other local food recovery organizations to:  Measure existing capacity and need (collection vs. distribution)  Quantify needs to expand efforts to meet 20% food recovery goal  Determine method of tracking, weighing, and counting collected and distributed food via the food bank and/or member agencies. 2-4 months RRR Zero Waste Coordinator 7.A.e Packet Pg. 468 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 26 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT 2 Meet with regional jurisdictions to coordinate efforts related to food recovery (i.e., fee to cover costs, etc.) 2 months RRR Zero Waste Coordinator 3 Create a regional Strategic Plan to meet SB 1383 goal of recovering 20% edible food 4-6 months RRR Zero Waste Coordinator 4 Establish/support a method of sustainable funding for food banks and other organizations to increase capacity and collect and distribute more food 4-6 months RRR Zero Waste Coordinator PHASE III: Conduct Outreach, Begin Implementation, and Enforcement 1 Educate food generating businesses of requirement to secure recovery services 6 months RRR Zero Waste Coordinator 2 Send non-compliance notifications and engage in positive outreach to help impacted generators achieve compliance 6 months RRR Zero Waste Coordinator 3 Create an enforcement mechanism that includes on- the-ground assessment (i.e. inspection) of participation in food recovery programs through Environmental Health Ongoing Environmental Health and RRR Zero Waste Coordinator 4 Conduct annual outreach and invite feedback Ongoing RRR Zero Waste Coordinator 5 Re-evaluate ordinance, implementation, and enforcement annually for improvement. Report to City Council and put forward revisions as appropriate. Ongoing RRR Zero Waste Coordinator 7.A.e Packet Pg. 469 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 27 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Action #4 Provide Proactive Technical Assistance and Community Engagement POLICY SUMMARY ADDITIONAL POTENTIAL DIVERSION 12,000 tons IMPLEMENTATION START 2020 GREENHOUSE GAS REDUCTION 16,400 MTCO2 AVERAGE ANNUAL COST ESTIMATE $600,000 2014 ZWP STRATEGIES 18, 20 CAAP ACTIONS 2 Objective Proactively provide targeted technical assistance to help commercial and multi-family generators with the greatest potential for higher waste diversion through personalized training and support. Engage residents through positive, in-person interaction to provide Zero Waste education. Description Proactive Technical Assistance A robust technical assistance program is needed to provide commercial and multi-family generators with the help they need to initiate or expand recycling, organics recycling, composting, and waste reduction practices. Skilled staff would aid businesses and multi-family properties in minimizing and overcoming obstacles to waste diversion, such as limited space, labor and sorting requirements, and lack of information or training. Technical assistance activities would include conducting on-site waste assessments to identify target materials for improved diversion, opportunities for edible food recovery, right-sizing collection service levels, providing information for securing recycling equipment, labeling containers and posting signage both front and back of house, addressing contamination, and training custodial and operations staff. Technical assistance staff will also develop and distribute outreach materials describing best practices appropriate for multi-family and different types of businesses. The approach to technical assistance also determines its level of impact: rather than wait on businesses or 7.A.e Packet Pg. 470 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 28 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT property managers to request assistance, technical assistance staff will initiate contact, directly engage with generators identified as having the most potential to improve, and follow up to maintain a high level of participation. The City will also promote the technical assistance program and encourage businesses and multi- family properties to use it to achieve compliance with City ordinance (Actions #2 and #3). Technical assistance is more effective when undertaken within the framework of City ordinance requirements to recycle and reduce waste. This program is a collaborative effort, with technical assistance staff empowered to implement City ordinance through their efforts to help targeted generators comply and achieve greater participation rates by working with City staff to support active enforcement. For the first three years of the program, the City will target the top 20% of commercial generators and top 20% of multi-family generators for technical assistance. Often the top 20% of generators are responsible for more than half of the materials generated by these sectors. A targeted approach is important for focusing resources to make a meaningful impact on the City’s disposal rates. Specifically, discarded materials from the commercial and multi-family sectors are a significant portion of Santa Monica’s overall generation. Improvements in commercial and multi-family diversion will result in improvement to the community’s overall diversion and further achievement of its waste reduction goal. Over time, generators will need continued engagement to maintain successful participation in waste diversion programs and the targets may be expanded to reach higher hanging fruits. Community Engagement Residents could benefit from active and direct engagement as well. In-person presence, collaboration, and involvement within the community is important for developing strong working relationships with local organizations and understanding real barriers to proper use of diversion programs. On-the-ground experience also creates personal insight into Santa Monican disposal behaviors, which can guide development of specific strategies and messages for community based social marketing (Action #5). Technical assistance staff should regularly attend Santa Monica community events and festivals, neighborhood organization and HOA meetings, and other organized community meetings to act as an accessible resource to engage attendees about waste-related topics, collaborate and share information, and integrate Zero Waste conversations into various groups. For example, beach clean-ups could be a good avenue for engaging community members and creating social awareness that may lead to further individual action. In addition, technical assistance staff can begin to identify Zero Waste ambassadors within the community and conduct in-person workshops such as a Master Recycler Course to build a network of interested and knowledgeable community members to spread the message of Zero Waste. 7.A.e Packet Pg. 471 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 29 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Resources Needed The City currently has one full-time staff person (with the title of Project Support Assistant) dedicated to conducting education and outreach in the community. Via this Action, the City would ramp up those efforts with three (3) additional Zero Waste Assistant positions (6,240 new annual hours, 3.0 new FTE). This would result in a proactive team of four full-time people dedicated to providing Santa Monica’s businesses and multi-family properties with technical assistance, and residents with direct outreach when needed to maximize the additional diversion potential of this Action. Employing boots on the ground to appropriately engage target generators through a robust technical assistance program will require significant investment. However, this program is critical for meaningfully moving the needle on Santa Monica’s waste diversion and its ability to achieve the Council approval goal of zero waste by 2030. Implementation Steps STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY PHASE I: Build Technical Assistance Team and Set Targets – Steps 2-5 are concurrent 1 Hire three RRR Zero Waste Assistants and fe-class existing Project Support Assistant as Zero Waste Assistant 3 months RRR Senior Sustainability Analyst 2 Identify top 20% commercial and multi-family generators 1 month 4 RRR Zero Waste Assistants 3 Identify community groups, potential Zero Waste ambassadors, local events and other avenues for resident engagement 2 months 4 RRR Zero Waste Assistants 4 Develop educational materials for distribution during on-site assistance and at community events 3 months 4 RRR Zero Waste Assistants 5 Create Master Recyclers Course materials, work on logistics and promotion 3 months 4 RRR Zero Waste Assistants PHASE II: Proactively Engage Generators On-site and in the Community 1 Reach out to target generators regarding Zero Waste and City ordinance requirements. Ongoing 4 RRR Zero Waste Assistants 2 Conduct site-visits to assess conditions and help start or expand waste diversion practices through individualized support Ongoing 4 RRR Zero Waste Assistants 7.A.e Packet Pg. 472 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 30 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY 3 Attend community events and engage local organizations; conduct Master Recyclers Course and support Zero Waste ambassadors Ongoing 4 RRR Zero Waste Assistants PHASE III: Monitor Program Success and Integrate Lessons Learned 1 Check-in with Zero Waste Assistants at minimum once per quarter to assess progress (e.g., number of calls, emails and site visits conducted by team and the results, number of community events attended, and other agreed upon metrics) Ongoing RRR Senior Sustainability Analyst 2 Annually conduct analysis to identify top 20% generators and other low hanging fruit to target for technical assistance Ongoing 4 RRR Zero Waste Assistants 3 Annually identify local events, organizations, and other avenues to engage residents in Zero Waste Ongoing 4 RRR Zero Waste Assistants 4 Integrate lessons learned from implementation to- date to continually improve the program Ongoing 4 RRR Zero Waste Assistants 7.A.e Packet Pg. 473 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 31 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Action #5 Develop and Implement a Zero Waste Communications Plan POLICY SUMMARY ADDITIONAL POTENTIAL DIVERSION 1,500 tons IMPLEMENTATION START 2020 GREENHOUSE GAS REDUCTION 2,000 MTCO2 AVERAGE ANNUAL COST ESTIMATE $109,000 2014 ZWP STRATEGIES 14, 16 CAAP ACTIONS N/A Objective Develop and execute a robust communications plan to educate Santa Monica residents and visitors about proper separation of discarded materials, reduction, Zero Waste goals, important updates, and more. Description Behavior change is an increasingly important factor in the successful implementation of diversion programs and reducing materials sent to landfill. It not only supports policy development but directly links these policies to disposal habits. State laws AB 341, AB 1826, and SB 1383 also require print and/or online media be created for distribution to a jurisdiction’s community. Communications are necessary for supporting and supplementing the Action #4 education and outreach plan and for assisting City staff in conducting in-person community engagement. There are many ways to provide education and outreach to a community. The messaging can be informational, educational, statistical, motivational, promotional, and/or disciplinary. For this Action, community-based social marketing (CBSM) will be emphasized. CBSM draws on the idea that behavior change is most effective when people are directly contacted on a community level. CMBS is more effective than other techniques because it focuses on a single activity, and targets one desired behavior (i.e., focusing a campaign on food waste reduction) rather than providing people with a “laundry list” of things to do (i.e., a campaign around both food waste reduction and water usage). Additionally, CMBS uncovers the barriers to the target behavior, which is critical to future long-term change. This education and communication plan will provide marketing collateral (as opposed to in-person involvement in Action #4) and serve as a resource for information and awareness around certain disposal habits. Based on research, the City can create actionable, quantifiable responsibilities (e.g. number of site visits conducted per week; customer follow-up protocol; community organization meeting and event schedule; and expectation for involvement). Developing such content as print and online collateral, social media, and video would also be advantageous to the City considering its unique customer base of large media production companies, TV stations, and social media "influencers" available for collaboration, content sharing, and overall cultural norming. 7.A.e Packet Pg. 474 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 32 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT Developing a variety of content across mediums not only helps the residents of Santa Monica become educated on Zero Waste related issues, it also helps educate tourists as well. Santa Monica received over 8.4 million visitors in 20184. To target such a large number of non-residents, education and communications must be clear, effective, and able to be understood by tourists to ensure that visitors are aware of the Zero Waste systems in Santa Monica and are informed. Messaging for visitors must be in strategically placed in the City’s most-visited areas including its beaches and pier, downtown area, and at its hotels and short term rental properties. Resources Needed The City will need 1,040 hours of Zero Waste Coordinator annual labor (0.5 FTE) to implement this program. Largely, the collaboration needed in this Action will be between City staff, including the Office of Communications, Public Works Communications and Marketing Coordinator, Information Services Department and members of the Zero Waste Program Team. The City may seek to work with outside agencies for advertisements, promotions, and content creation as a way to increase the level of awareness to residents and visitors of the City’s Zero Waste goals and increase engagement. Implementation Steps STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY PHASE I: Develop Education, Outreach, and Communications Plan 1 Create a formalized Education and Communications, which includes:  Development of engaging content  Social media presence including Facebook, Instagram, Next Door  Paid online advertisement with an emphasis on travel/tourist webpages 6 months Office of Communications, RRR Zero Waste Coordinator 2 Robust website development inclusive of an informational guide that describes where and how to properly dispose of particular items; consider collaboration with third party education and outreach platforms 3 months ISD, Office of Communications, RRR Zero Waste Coordinator 3 Conduct research on the disposal behaviors and perceptions of the community and develop strategies for addressing such information as part of the Education and Outreach Plan using: 6 months RRR Zero Waste Coordinator 4 https://www.santamonica.com/about-smtt/economic-value-of-tourism/ 7.A.e Packet Pg. 475 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 33 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT STEP TASK DESCRIPTION TIMELINE RESPONSIBLE PARTY  Focus Groups  Conversations from tabling as a part of Action #4 PHASE II: Implement Plan and Engage Community 1 Develop infographics, posters, and other visual 2D media collateral for sharing online and printed for distribution within the community (bus stops, truck sides, billboards, etc.) 4-6 months Office of Communications, RRR Zero Waste Coordinator 2 Develop print advertisement, specific to tourism as part of booking tourist-related activities / accommodation that addresses ways to minimize waste and recycle/compost correctly in tourist areas 4-6 months Office of Communications, RRR Zero Waste Coordinator 3 Develop short and aesthetically pleasing videos with the specific goal of educating the community how to properly source separate items, reduce contamination, and also create behavior change through normalizing sustainable behavior and lifestyle 4-6 months IT, Office of Communications, RRR Zero Waste Coordinator 4 Promote the City’s collection programs through radio, TV, and other audio and video collateral Ongoing Office of Communications, RRR Zero Waste Coordinator 5 Coordinate with community influencers to share media content Ongoing Office of Communications, RRR Zero Waste Coordinator 7.A.e Packet Pg. 476 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 34 of 42 ZERO WASTE PLAN UPDATE Section 3 – Recommended Zero Waste Priorities FINAL REPORT This page intentionally left blank. 7.A.e Packet Pg. 477 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 35 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT SECTION 4 Projected Outcomes and Timeline INITIAL DIVERSION ESTIMATES Initial planning level estimates of the diversion potential for the priority Actions are presented in this 2019 ZWP Update. These planning level estimates are based on analysis of the City’s current landfilled materials tons and assessment of the potential amounts of recovery that could reasonably be projected given adequate implementation. More precise estimates are not possible given that many variables influence materials generation and disposal patterns (for example, the China National Sword Policy) and the fact that the level of City implementation cannot be anticipated in advance. As such, these estimates are solely intended for the purposes of demonstrating relative potential outcomes by priority Action and estimating GHG emissions. To estimate the diversion potential of each priority Action, the City developed a diversion model (Appendix D) which uses disposed waste composition data for each generator sector (i.e., single family, multi-family, commercial, and self-haul) to estimate tons of potentially recoverable materials by type and by sector that are currently landfilled. The model then applies an estimated capture rate (the percentage of a target material estimated to be diverted) to the tons disposed to derive the potential diversion tons associated with each priority Action. Capture rates were developed under guidance from the U.S Environmental Protection Agency’s “Managing and Transforming Waste Streams” tool, in addition to research of comparable programs and educated estimates. Waste composition data from CalRecycle’s 2014 Disposal-Facility-Based Characterization of Solid Waste in California report was used in estimating the recoverability of materials in that are currently disposed Santa Monica. TABLE 2 – Additional Diversion Potential by Zero Waste Action # Recommended Zero Waste Action Annual Additional Potential Diversion Single Family Multi-Family Commercial C&D Debris Total All Sectors 2 Create, Implement, and Enforce a Comprehensive Zero Waste Ordinance 420 1,190 1,230 3,800 6,640 3 Create, Implement and Enforce an Edible Food Recovery Program N/A N/A 720 N/A 720 4 Provide Proactive Technical Assistance and Community Engagement 650 4,640 6,690 N/A 11,980 7.A.e Packet Pg. 478 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 36 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT # Recommended Zero Waste Action Annual Additional Potential Diversion Single Family Multi-Family Commercial C&D Debris Total All Sectors 5 Develop and Implement a Zero Waste Communications Plan 270 580 610 N/A 1,460 TOTAL 1,340 6,410 9,250 3,800 20,800 *Action #1, Develop a Zero Waste Program Team, is a prerequisite of Actions #2 through #5. Therefore, its diversion potential has been included in the other Actions. The model projections that implementation of the priority Actions could result in an approximately 24% reduction to the City’s PPD. As seen in Table 2 and Figure 6, robust technical assistance efforts, particularly in the multi-family and commercial sectors, are projected to be the primary contributors to waste diversion. FIGURE 6 – Additional Diversion Potential by Sector and Action - 5,000 10,000 15,000 20,000 25,000 Single Family Multi-Family Commercial C&D Debris Total All SectorsAnnual Additional Potential DiversionTons Create, Implement and Enforce a Comprehensive Zero Waste Ordinance Create, Implement and Enforce an Edible Food Recovery Program Provide Proactive Technical Assistance and Community Engagement Develop and Implement a Zero Waste Communications Plan 7.A.e Packet Pg. 479 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 37 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT INITIAL GHG REDUCTION ESTIMATES The U.S. Environmental Protection Agency’s (EPA) Waste Reduction Model (WARM) was used to calculate the 2019 ZWP Update’s estimated GHG emission reduction. WARM was created by the EPA to help planners and organizations estimate greenhouse gas emission reductions from several different waste management practices. The model calculates emissions in metric tons of carbon dioxide equivalent (MTCO2E) and metric tons of carbon equivalent (MTCE) across a wide range of material types commonly found in municipal solid waste. If recommended Zero Waste Actions were to be fully implemented, approximately 28,600 metric tons of carbon dioxide equivalent could be avoided each year through the source reduction, reuse, recycling and composting of currently landfilled materials. This is the equivalent to the annual emissions from 5,641 passenger vehicles, conserving 1,394 households’ annual energy consumption, or conserving 27,586 barrels of oil. TABLE 3 – Estimated Annual Greenhouse Gas Emission Reduction Total Change in MTCO2E 28,600 Total Change in Energy Use 160,276 million BTU Total Change in MTCO 7,307 Figure 7, on the following page, compares the estimated reduction in MTCO2E by priority Action. Actions that emphasize behavior change are expected to yield the greatest reductions in landfilled tons and greenhouse gas emissions. Strategies that take a policy-based approach support behavior change and could yield still greater reductions depending on the level of effort undertaken to educate the community and enforce requirements. In addition, targeting the diversion of materials which generate the most GHG’s in landfills – namely food and other organic materials – will help the Santa Monica community continue to move the needle in addressing climate change. 7.A.e Packet Pg. 480 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 38 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT FIGURE 7 – Estimated Reduction in MTCO2E by Zero Waste Action *Action #1, Develop a Zero Waste Program Team, is a prerequisite of Actions #2 through #5. Therefore, its MTCO2E reduction potential has been included in the other Actions. Collectively, full implementation of these priority Actions could meaningfully contribute to reaching the City’s CAAP goal to achieve an 80% reduction (below 1990 levels) in community carbon emissions by 2030. Recommended Zero Waste Actions support CAAP implementation action items for reducing waste-related emissions. This complementarity further streamlines community sustainability efforts by making good use of staff time and limited resources for greater impact to achieve both climate action and waste reduction goals. INITIAL ESTIMATED IMPLEMENTATION COSTS Sustainable funding is critical for supporting implementation of priority Zero Waste Actions and ongoing progress in waste reduction. Once the City seeks to implement the priority Actions described in this 2019 ZWP Update, it will also need to consider potential funding sources and secure resources needed for implementation. Implementation of priority Actions is anticipated to begin in 2020 and outlines steps to be taken over a five-year planning period through 2024. Estimated costs for each priority Action and projected implementation over the planning period are further detailed in Appendix E, and summarized in Table 4, on the following page. 7,300 2,900 16,400 2,000 28,600 - 5,000 10,000 15,000 20,000 25,000 30,000 35,000 Action #1: Create, Implement and Enforce a Comprehensive Zero Waste Ordinance Action #2: Create, Implement and Enforce Edible Food Recovery Program Action #3: Provide Proactive Technical Assistance and Community Engagement Action #4: Develop and Implement Zero Waste Communications Plan Total MTCO2 E Priority Action7.A.e Packet Pg. 481 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 39 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT TABLE 4 – Estimated Average Annual Implementation Costs by Zero Waste Action # RECOMMENDED ZERO WASTE ACTION AVERAGE ANNUAL COST ANNUAL TONS DIVERTED DOLLARS PER TON DIVERTED 2 Create, Implement and Enforce a Comprehensive Zero Waste Ordinance $269,000 6,600 $40 3 Create, Implement and Enforce an Edible Food Recovery Program $109,000 700 $151 4 Provide Proactive Technical Assistance and Community Engagement $600,000 12,000 $50 5 Develop and Implement a Zero Waste Communications Plan $109,000 1,500 $75 TOTAL $1,087,000 20,800 $52 *Action #1, Develop a Zero Waste Program Team, is a prerequisite of Actions #2 through #5. Therefore, its cost estimate has been included in the other Actions. The City will note that actual costs may vary depending on the City’s specific implementation approaches, timing of implementation, utilization of existing City resources, and other factors. The average annual cost for the five priority Actions is estimated at approximately $1,087,000. The City could implement variants on any priority Action that may lessen the actual cost of implementation, though the City should be aware that such changes could affect the outcomes of those strategies. Costs for implementation of recommended Zero Waste Actions were developed by:  Estimating the number of hours projected to be needed to develop and maintain each policy or program;  Estimated salary and benefits for one new Senior Sustainability Analyst, one new Zero Waste Coordinator, three new Zero Waste Assistants, and the reclassification of one Project Support Assistant to one Zero Waste Assistant (each at Step 2 to be consistent with the City's budgeting practice);  The annual outreach and education materials expense for each program, including training materials, newspaper advertising, promotional flyers, promotional kits, and outreach campaigns. This also includes supporting equipment such as materials sorting stations and signage; and  An annual inflation escalator of 5% to adjust estimated costs over time. 7.A.e Packet Pg. 482 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 40 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT ESTIMATED RATE IMPACTS The potential rate impact of funding Zero Waste strategies is presented below in Table 5. If the City were to fund all recommended Zero Waste strategies through the rate base, over time Santa Monica’s collection rates would need to increase by approximately 3.3% to cover the average annual cost of implementation. For single family customers with a 95-gallon garbage cart, this would be an additional approximate $1.80 per month. As an alternative to funding these positions via solid waste rates, the City could potentially use revenue from its General Fund, collect enforcement fees, or apply for grant funds to help reduce a rate increase to fund recommended Zero Waste policies and programs. TABLE 5 – Initial Estimated Rate Impacts by Zero Waste Action # ACTION RATE IMPACT 2 Create, Implement and Enforce a Comprehensive Zero Waste Ordinance 0.9% 3 Create, Implement and Enforce an Edible Food Recovery Program 0.4% 4 Provide Proactive Technical Assistance and Community Engagement 2.0% 5 Develop and Implement a Zero Waste Communications Plan 0.4% *Action #1, Develop a Zero Waste Program Team, is a prerequisite of Actions #2 through #5. Therefore, its rate Impact estimate has been included in the other Actions. While Action #4 is projected to require the most funding, it is also anticipated to have the highest impact on waste reduction. The City could consider adding an enforcement and fee component to strategies that call for ordinance revisions in order to generate revenue for implementation of this 2019 ZWP Update. Fees and enforcement may also drive greater participation in Zero Waste programs. However, it is recommended that the City initially focus on making a positive effort to engage and educate the community before considering enforcement. As a result, enforcement fees would not be a significant funding source in the near-term but would remain an option should diversion rates fail to improve. CalRecycle offers grants that the City could consider applying for to further Santa Monica’s waste reduction goals. For example, CalRecycle’s Greenhouse Gas Reduction Grant and Loan Programs include a Food Waste Prevention and Rescue Grant Program and new Pilot Reuse Grant Program that could help fund food recovery initiatives in Santa Monica (Action #3). Non-profit groups also offer grants to fund waste reduction, including the California Student Sustainability Coalition Zero Waste Mini Grant program. 7.A.e Packet Pg. 483 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 41 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT Grant funds are not guaranteed. However, if awarded they could significantly supplement the funding of certain elements of this ZWP Update. PROJECTED GOAL AND INDICATOR OUTCOMES Implementation of the five recommended Zero Waste Priority Actions could potentially achieve the following Zero Waste goal/indicator outcomes (aligning with the 2014 ZWP Update) by 2024. These are based on the estimated diversion outcomes discussed above.  Reduction in landfilled waste from 5.0 to 3.8 PPD (an approximate 24% reduction);  Reduction in greenhouse gas emissions in alignment with CAAP goals;  Community awareness of Zero Waste increase by 50% (to be measured through conducting periodic community surveys);  Majority of customers (95%+) subscribing to recycling and organics collection services (or the wet/dry program); majority of edible food generators (95%+) partnering with a non-profit; and  Majority of customers actively participating in recycling and organics programs (less than 30% recoverable materials in garbage, to be measured through garbage container “lid flip” audits to visually assess contents during technical assistance site visits). IMPLEMENTATION STEPS AND TIMELINE This 2019 ZWP Update recommends implementation of the five recommended Zero Waste priority Actions by 2024. Specific overall implementation steps and timeline are as follows:  2020: Hire Zero Waste Program Team (Action #1).  2020: Comprehensive zero waste policy development and adoption (Action #2).  2021: Building momentum through proactive development of SB 1383 policy and systems to recover edible food for those in need (Action #3).  2022: Directly engaging, and assisting, residents and businesses in Zero Waste practices via a robust public education and outreach effort (Action #4). Providing individualized technical assistance for the community’s largest generators will meaningfully progress waste reduction; these efforts will be strengthened by Santa Monica’s ordinance requirements and enforcement, in addition to coinciding with SB 1383’s effective date.  2023: Positively spreading the message of Zero Waste far and wide to all members of the Santa Monica community through social media, online, print, and other channels of communication (Action #5). A formalized social media plan should be developed in 2023; outreach and education materials in support of Actions #2-4 should be created and distributed in timing with their implementation.  2024: Further support the grounding and fruition of all priority Actions to maximize waste diversion efforts. Evaluate progress towards the community’s Zero Waste goal. 7.A.e Packet Pg. 484 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) Page 42 of 42 ZERO WASTE PLAN UPDATE Section 4 – Projected Outcomes and Timeline FINAL REPORT CONDUCT A ZWP UPDATE IN 2024 It is strongly recommended that the City conduct a re-assessment of its Zero Waste achievement on a regular basis – by 2024 at the latest – to measure progress, adjust for changing conditions, reassess strategies and/or identify additional strategies to implement. Nearing the halfway point to goal year 2030, 2024 offers an important opportunity to see how far Santa Monica has come and course correct as necessary in forging the path to Zero Waste. Implementation of this 2019 ZWP Update will help the City significantly reduce its PPD but further action will be needed after 2024 for the City to reach its 2030 goal of 1.1 PPD. The future of Santa Monica’s Zero Waste program will be shaped by many factors: the community’s commitment in advancing Zero Waste, the City’s ability to support continued progress and innovation, new State mandates and legislative requirements, and the influence of larger socioeconomic shifts. In 2024, Santa Monica should conduct an evaluation of its landfill diversion and 2019 ZWP Update implementation to measure success and keep all stakeholders accountable for the outcome. Efforts taken to fulfill each priority Action, and the results, should be well-documented along with any innovations, supporting Actions, or other changes in conditions. Findings should be communicated to further improve waste reduction and open a dialogue with residents and businesses on next steps for achieving Zero Waste. FUTURE PROGRESS AND ACTION Santa Monica is a leader in Zero Waste by investing in a plan in 2014 and updating this ZWP in 2019. It is imperative that the City and community work together to not only achieve an increase in the amount of recycling and organics collected for diversion within Santa Monica, but overall waste reduction as well. While Zero Waste may always require continuous improvement, the City should take pride in its successes, learn from its failures, and seek above all else, reduce and responsibly manage its discarded materials for future generations. If Santa Monica reaches its Zero Waste goal by 2030, everyone’s collective achievement should be recognized and celebrated with the encouragement to maintain Zero Waste practices for continued community and environmental benefit. Conversely, if the goal is not achieved in that time, the City will iteratively evaluate Zero Waste progress to identify the largest areas of opportunity for increased resource recovery and take lessons learned to inform next steps. A new goal date and revised set of priorities plan would need to be developed, with sufficient time for selected Zero Waste strategies to be implemented. In either case, a greater focus on Zero Waste initiatives that reduce greenhouse gas emissions will likely continue to rise in importance as a way to address climate change. Santa Monica is a leader and innovator on the path to Zero Waste. Through this 2019 ZWP Update and beyond, the City will continue to make strides in its sustainability efforts. 7.A.e Packet Pg. 485 Attachment: 2019 Zero Waste Plan Update (5616 : Solid Waste Rate Study) REPORT City of Santa Monica Submitted electronically: February 6, 2023 Five-Year Rate Study 7.A.f Packet Pg. 486 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 405 14th Street, Suite 350, Oakland, CA 94612 | p 916.782.7821 | f 916.782.7824 | www.r3cgi.com February 6, 2023 Ms. Yvonne Yeung Acting Resource Recovery and Recycling Manager City of Santa Monica 2500 Michigan Ave, Building 9s, Santa Monica, CA 90404 submitted via email: Yvonne.Yeung@smgov.net SUBJECT: Report – Five-Year Rate Study Dear Ms. Yeung, R3 Consulting Group (R3) is pleased to submit this Report to the City of Santa Monica (City) detailing our analysis findings, and recommendations related to Santa Monica’s Resource Recovery and Recycling (RRR) Divisions enterprise fund and solid rates for fiscal year (FY) 2023-24 through FY 2027-28. In 2019, the City engaged R3 to conduct a rate study forecasting revenues, expenses, and necessary rate increases effective FY 2020-21 through FY 2024-25. The results of that rate study were completed in March 2020, just prior to start of the COVID-19 pandemic, and were not brought forward for Council adoption because of the economic uncertainty at the time. This updated rate study follows up on that prior engagement, with findings and recommendations including: The City’s RRR Division provides comprehensive solid waste, recycling, street sweeping, and other services necessary to fulfill unfunded State and other mandates. The RRR enterprise fund is currently operating at a budgeted deficit due to not adjusting solid waste rates since FY 2019-20. The RRR enterprise fund will be nearly exhausted by the end of FY 20223-24 and will not be able to continue operations into FY 2024-25 without immediate increases in rate revenues. The City provides a comparably high level of service to its residents and businesses compared to other publicly run solid waste operations. After needed updates to the City’s rate structure and increases to rate revenues, the City’s rates for single-family residents will remain appropriate given the level of service being provided, and rates for multi-family residents and businesses will remain low compared to other communities. * * * * * We appreciate the opportunity to continue to be of service to the City. Should you have any questions on our Report, please don’t hesitate to reach out directly. Sincerely, Garth Schultz | Principal R3 Consulting Group, Inc. 510.292.0853 | gschultz@r3cgi.com 7.A.f Packet Pg. 487 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) TABLE OF CONTENTS City of Santa Monica | Five-Year Rate Study – Report TOC 1. Executive Summary & Background page 1 2. RRR Enterprise Fund Is At Risk page 3 3. Five-Year Rate Study Overview page 5 4. Revenue, Expense, & Reserve Projections page 6 5. Five-Year Rate Projections page 9 Supporting Figures 1 Cost Increases by Category for FY 2022-23 over FY 2021-22 ...............................................3 2 Expense Projections for Five-Year Rate Study ......................................................................7 3 History and Projections of Revenues, Expenses and Reserves by Year ...............................8 4 Comparison of Single-Family Bundled Monthly Rates (FY 2023-24 Projected) ................... 10 5 Comparison of Multi-Family Bundled Monthly Rates (FY 2023-24 Projected) ...................... 12 6 Comparison of Commercial Bundled Monthly Rates (FY 2023-24 Projected) ...................... 14 Supporting Tables 1 Single-Family 65-Gal Bundled Monthly Rates ........................................................................9 2 Single-Family 95-Gal Bundled Monthly Rates ........................................................................9 3 Annual Change in Single-Family 65-Gal Bundled Monthly Rates ..........................................9 4 Annual Change in Single-Family 95-Gal Bundled Monthly Rates ..........................................9 5 Multi-Family 95-Gal Bundled Monthly Rates (4-Units) .......................................................... 11 6 Multi-Family 2-CY 2x Weekly Bundled Monthly Rates (10-Units) ......................................... 11 7 Annual Change in Multi-Family 95-Gal Bundled Monthly Rates (4-Units) ............................ 11 8 Annual Change in Multi-Family 2-CY 2x Weekly Bundled Monthly Rates (10-Units) ........... 11 9 Commercial 3-CY 1x Weekly Bundled Monthly Rates (0.75” WM) ........................................ 13 10 Commercial 3-CY 2x Weekly Bundled Monthly Rates (1.5” WM) .......................................... 13 11 Annual Change in Commercial 3-CY 1x Weekly Bundled Monthly Rates (0.75” WM) .......... 13 12 Annual Change in Commercial 3-CY 2x Weekly Bundled Monthly Rates (1.5” WM) ............ 13 7.A.f Packet Pg. 488 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 1. EXECUTIVE SUMMARY & BACKGROUND City of Santa Monica | Five-Year Rate Study – Report 1 of 14 Executive Summary The City of Santa Monica’s Resource Recovery and Recycling Division (RRR) provides critical solid waste and recycling, public health, sustainable materials management, short-lived climate pollutant greenhouse gas (GHG) reduction, and Clean & Safe community programs and services to residents and businesses in the City of Santa Monica. Santa Monica is among the few public agencies that provides these services to residents and businesses as a municipal operation, from which the primary benefit is the City’s direct control over programs, flexibility in service, and ability to adapt in response to public needs. 95% of RRR’s funding comes from rates charged via the City’s utility bill – those rates have not been changed since fiscal year (FY) 2019-20 and are overdue for updates. The City had previously planned to update rates in FY 2020-21, in order to provide the new programs needed to address increasing demand for extra solid waste collection, combat illegal dumping, and fund progress towards achievement of the City’s 2030 Zero Waste Goal. Additionally, important updates to multi-family and commercial rates were needed to align with single-family residential rates and best practices for solid waste rate structuring. Updates to rates were not implemented that year, due to the COVID-19 pandemic, and the City remains without an approved plan to set rates in future years. RRR is a well-managed operating providing high levels of service to the community, and had a history of low-rate increases, well-controlled expenses, and stable reserves above target levels. However, since the inception of the COVID-19 pandemic, much of the available reserves in RRR’s enterprise fund have been spent, despite RRR cutting staffing and programs, deferring capital replacements and projects, and leveraging one-time revenues all in an effort to continue providing services while avoiding increases in charges to ratepayers. Today, the RRR Fund is at a critical moment wherein rate increases are required for RRR to continue operating for much longer – without rate increases in FY 2023-24, RRR Fund reserves will be fully exhausted early in FY 2024-25 and RRR will not be able to function. The results of the City’s new RRR rate study will achieve sustainable funding for operations, restore operations to pre-COVID-19 levels, and replenish reserves to safe levels. Rate increases for single-family rates effective August 1, 2023 and July 1 of 2024 through 2027 of 10.2% to 11% are recommended – with these increases, the average annual increase over the last 15-years is just over 5%, which is directly in keeping with solid waste industry trends. Updates to multi-family and commercial rates to bundle street sweeping charges into solid waste rates is also recommended, resulting in varying changes (from approximately 2% to 50%) in effective August 1, 2023 and 10.2% to 11% on July 1 of 2024 through 2027. After update and adjustment, the City’s multi-family and commercial rates will remain well below most other comparable agencies, and the City’s single-family residential rates will be comparable to other agencies given the comparably high level of service the City provides. Background and Services RRR is an enterprise operation provides solid waste and recycling collection, processing and disposal, and street sweeping services to residents and businesses in Santa Monica. Santa Monica is among a small and unique set of public agencies in Los Angeles County that provide municipal solid waste services to residents and businesses, with only two other cities (Claremont and Culver City) providing full service solid waste programs to their constituents. Publicly provided solid waste services like Santa Monica’s can provide a great deal of control, flexibility, and responsiveness to community needs compared to private operations secured through long-term agreements. Services and programs provided by RRR are critical to preserve public health and are also required to fulfill State mandates for the reduction of GHG emissions. Per SB 1383 (The Short-Lived Climate Pollutant Act of 2016) the City must implement a variety of programs and services to recover and recycle organic waste (such as food scraps, yard trimmings and paper) and thus reduce GHG emissions from landfills. In support of this objective, as well as the City’s Goal of Zero Waste for 2030, the City employs a team of dedicated staff supporting Zero Waste outreach and education efforts, including in-the-field training and technical assistance to businesses and multi-family dwellings. 7.A.f Packet Pg. 489 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Executive Summary & Background City of Santa Monica | Five-Year Rate Study – Report 2 of 14 The suite of services that RRR provides to residents and businesses exceed those provided by most other jurisdictions in Los Angeles County and the State. Unlike most cities, Santa Monica provides: Trash, recycling and organic waste collection in a bundled package via one rate to all customers, which provides a strong financial incentive to recycle and compost waste and is cost-effective for rate payers. Unlimited collection of bulky items from residents and businesses, dedicated clean-up and removal of illegal dumping and alley clean-ups throughout the City, and quarterly community clean-up events. Convenient on-call door-to-door collection of household hazardous waste (“HHW” which includes paints, cleaning chemicals, pesticides, etc.). Regular and popular recycling events including paper shredding, electronic waste, carpet, mattresses, compost giveaways, used oil collection, City-wide garage sale, and repair café. 7.A.f Packet Pg. 490 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 2.RRR ENTERPRISE FUND IS AT RISK City of Santa Monica | Five-Year Rate Study – Report 3 of 14 The RRR enterprise fund (RRR Fund) is currently operating at a structural budget deficit of $8 million in FY 2022-23 after a three-year rate increase suspension. This deficit is primarily due to the combined result of $9.5 million in cost increases over the prior year, including: $1.4 million - Normal increases in collection operations costs, including labor, vehicle maintenance, fuel and other services, and which comprise nearly half (43%) of RRR’s overall expenses. $2.3 million - Anticipated increases in post-collection costs, including recycling, composting, and processing of trash (instead of direct landfilling) to recover resources to meet State mandates and the City’s Zero Waste Goal, comprising one quarter (25%) of RRR’s expenses. $2.0 million – Increases in property, overhead and shared costs, including new salary deferrals per labor agreements, new costs for debt service on the City Yards project, and increases in RRR’s funding obligations to other City programs (OSE and 311), comprising 12% of RRR’s expenses. $3.8 million – Increases due to deferred capital replacements and projects, including collection containers and vehicles and RRR’s operating facility, comprising 20% of RRR’s expenses. Additional detail regarding the changes in cost for FY 2022-23 compared to FY 2021-22 by category are shown in Figure 1, below. Figure 1: Cost Increases by Category for FY 2022-23 over FY 2021-22 Salaries and Wages, $837,122 Vehicle Maintenance, $78,889 Fuel, Supplies, Professional Services, $471,197 Recycling and Disposal Costs, $1,319,897 Transfer and Transportation Costs, $835,541 Household Hazardous Waste Services, $141,265 Salary and Benefit Commitments (MOU, OPEB, EMPC Payout), $1,129,650 City Yard Debt Service, $496,268 Environmental Reimbursement to OSE, $148,615 311 Team Funding, $223,534 Trucks and Equipment Capital Costs, $3,843,155 7.A.f Packet Pg. 491 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) RRR Enterprise Fund Is At Risk City of Santa Monica | Five-Year Rate Study – Report 4 of 14 Due to the COVID-19 pandemic, prior plans to update rates and increase effective July 1, 2020 by 15% and annually thereafter by 4% were not implemented. Instead, RRR cut staffing (twenty four as-needed frontline employees were laid off plus four permanent positions were eliminated) and other expenses, leading to service issues that remain today. RRR also deferred necessary capital truck replacements and facility projects, leveraged one-time revenues, and drew down the RRR Fund balance in order to sustain operations. Under present operating conditions, the RRR Fund will nearly exhaust all of its reserves by the end of FY 2023-24. Without immediate increases to solid waste rates charged to residents and businesses, the RRR Fund will run out of money in early FY 2024-25, which will have detrimental effects on the City’s solid waste, recycling and street sweeping operations. The City must increase solid waste rates in order to continue providing solid waste, recycling and street sweeping services beyond FY 2023-24. 7.A.f Packet Pg. 492 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 3. FIVE-YEAR RATE STUDY OVERVIEW City of Santa Monica | Five-Year Rate Study – Report 5 of 14 The City typically conducts rate studies every five years in order to set rates for RRR’s operations. Rate studies were completed in 2006 and 2014, each of which resulted in Council adoption of five-year rate projections. In 2019, the City engaged R3 to conduct a rate study forecasting revenues, expenses, and necessary rate increases effective FY 2020-21 through FY 2024-25. The results of that rate study were completed in March 2020, just prior to start of the COVID-19 pandemic, and were not brought forward for Council adoption because of the economic uncertainty at the time. The City re-engaged R3 to complete a rate study for the coming five (5) fiscal years, from FY 2023-24 through FY 2027-28. A summary of rate modeling projections is included in Attachment 1. The objectives of this rate study were to: Achieve financial stability in the RRR Fund by generating revenues to cover costs, fund required capital replacement and projects (collection vehicles and containers) and rebuild healthy reserves. Rebuild and restore staffing and services that were cut during the COVID-19 pandemic. Enhance and improve services to support Santa Monica’s Clean & Safe community objectives. Update, modernize and simplify the City’s rate structure to meet current industry standards. During the course of completing the rate study, R3 found RRR’s operations to be well-run, comprehensive, and generally very stable. For example, R3 found that, over the prior ten years from FY 2011-12 through FY 2021-22: RRR’s annual expenses grew at a pace of 3.8% annually, which is below normal industry trends of 4-5% annual expense growth. RRR’s residential customer rates grew at a pace of 2.4% annually and commercial rates grew by 3.2% annually, both of which were below the rate of growth in expenses. RRR successfully navigated downturns in recycling markets resulting from China’s National Sword Policy (2017) while also navigating community compliance with new unfunded State mandates for Mandatory Commercial Recycling (AB 341) and Mandatory Commercial Organics Recycling (AB 1826), as well as the Short-lived Climate Pollutants Act (SB 1383). The RRR Fund balance was very healthy, well above recommended 90-day operating reserves in recent years. 7.A.f Packet Pg. 493 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 4.REVENUE, EXPENSE, & RESERVE City of Santa Monica | Five-Year Rate Study – Report 6 of 14 PROJECTIONS In completing the rate study, R3 evaluated and projected RRR’s revenues, expenses, fund reserves, and necessary rate increases over the next five years. Revenue Projections The vast majority of RRR’s revenues (92%) are from bi-monthly rate charged to residents and businesses via the City’s utility bills for solid waste and recycling collection, processing, recovery and disposal services (projected to be $27 million in FY 2022-23). The remaining 8% of revenues (projected to be $2.3 million in FY 2022-23) are generated from other RRR services, such as construction and demolition debris management planning, solid waste enclosure plan check review, services to other City departments, events and other services. RRR’s revenues do not change appreciably year-to-year and are thus projected to remain flat without changes to the bi-monthly rates charged to ratepayers. Though there is the possibility of growth in the number of ratepayers in the future (associated with projection of new housing units included in the City’s new Housing Element), growth in accounts cannot be reliably projected at this time, and thus the rate study does not include an expectation of growth in revenue resulting from growth in subscriptions. Expense Projections RRR’s expenses are projected to increase annually by an average of ~4% per year in the coming five years, in accordance with the following projections: Net addition of 15.12 full time equivalent permanent positions in FY 2023-24 to replenish positions lost during COVID-19 staffing reductions and to enhance the City’s clean, safe, and zero waste programming, with projected increases in these expenses of 5% annually. This also includes creation of a new illegal dumping and bulky item response team, that will increase collection of illegal dumping and bulky items while also improving responsiveness time for these services. Labor costs (inclusive of salaries, wages and benefits) increasing overall by 3.4% to 5.5%, in keeping with the City’s cost-of-living labor contract adjustments. Vehicle maintenance costs increasing by 2.4% per year. Fuel, supplies and professional services increasing by 1.9% per year after one-year increases for insurance, contractual and legal services in FY 2023-24. Recycling and disposal costs increasing by 8.8% to 13.1% per year as per the terms and conditions of recently procured agreements which include gradually increasing amounts of solid waste processing to capture and recyclable recoverable materials to meet State mandates and the City’s Zero Waste Goal. Transfer and transportation costs increasing by 2.4% annually. HHW costs increasing 2.3% to 3.5% annually. City-wide cost allocation costs increasing 2% annually. Anticipated increase of RRR’s rental costs for use of City Yard. General liability insurance costs increasing 3% to 14.8% annually in accordance with City’s budget projections. Environmental reimbursement to Office of Sustainability and Environment increasing 3% to 4% annually in accordance with City’s budget projections. Truck and equipment capital costs set based on replacement projections provided by City’s Fleet Department. Expense projections by year are shown in Figure 2, on the following page. 7.A.f Packet Pg. 494 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) City of Santa Monica | Five-Year Rate Study – Report 7 of 14 Figure 2: Expense Projections for Five-Year Rate Study Expense Allocations RRR expenses are allocated by service container type – i.e., cart service or bin service – which corresponds to the type of route truck used to perform solid waste collections. Annual expenses are allocated to cart or bin service based on a blended allocation comprised of: revenue (20% weighting), tonnage (65% weighting), number of subscriptions (7.5% weighting) and container lifts (7.5% weighting). The result is that 38.75% of expenses are allocated to cart service and 61.25% are allocated to bin service. Fund Reserve Projections The RRR Fund began FY 2022-23 with available reserves of $22.5 million, $8 million of which are projected to be used to fund operations, resulting in a projected year-end fund balance of $14.5 million. In order to phase-in rate necessary rate increases and avoid near-term spikes in rates, the City intends to continue to use available fund balance to offset needed increases through FY 2025-26.1 This means that expenses will continue to exceed revenues in FY 2023-24 through FY 2025-26 even if the City adopts and implements recommended rate increases. As a result, R3 projects that the available fund balance will 1 Please Note: Prior rate study draft included larger rate adjustments in FY 2023-24 and FY 2024-25 than those included in this Report – use of fund reserves is keeping near-term rate adjustments lower than they would otherwise be. 15,692,311 17,079,520 18,038,251 18,841,735 19,414,774 20,100,146 20,751,515 7,335,557 9,632,260 10,211,111 11,080,094 11,996,900 12,963,727 13,988,766 2,696,317 4,705,650 5,825,138 5,538,435 5,654,268 5,769,384 5,867,027 1,616,237 1,697,049 1,781,901 1,870,996 1,964,546 4,044,144 7,887,299 5,356,420 5,526,106 4,834,973 4,936,893 5,040,599 29,768,329 39,304,729 41,047,157 42,683,419 43,682,815 45,641,145 47,612,453 - 5,000,000 10,000,000 15,000,000 20,000,000 25,000,000 30,000,000 35,000,000 40,000,000 45,000,000 50,000,000 FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY26/27 FY 27/28 Collection Operation Costs Post-Collection Recycling and Disposal Costs Property, Overhead and Shared Costs Compliance Programs Costs Vehicle Replacement and Capital Projects Grand Total Costs 7.A.f Packet Pg. 495 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) City of Santa Monica | Five-Year Rate Study – Report 8 of 14 decrease to $8.4 million by the end of FY 2023-24, $5.0 million by the end of FY 2024-2025, and $4.7 million by the end of FY 2025-26. While spending down available fund balance to stabilize rates and phase-in rate increases is an appropriate and advantageous, it is also important rebuild reserves to safe target levels. R3 strongly recommends that the City set rates to achieve a 90-day operating reserve by the end of the five-year projection period. The 90-day operating reserve is the best practice policy for other solid waste enterprise funds through the state and is also the City’s adopted target for the Water Fund. The rate study measures the 90-day operating reserve as 25% (90 divided by 365) of projected operating expenses (not including truck replacement and capital project costs) and forecasts achievement of the reserve target by the end of FY 2027-28, which is the final year of the rate study. Achieving the 90-day operating reserve in that year would result in an ending available fund balance of $10.5 million. The primary reason that the City should plan to achieve a 90-day operating reserve for the RRR Fund within five years is due to the fact that expense projections are modest and do not reflect the possibility of long-term inflation. Expenses as projected in the rate study generally use low 2% to 5% cost-of-living adjustments, resulting in overall annual cost increases of approximately 4% per year. If inflation results in higher annual cost increases in range of 5% to 6% per year (as was the case for many cost types in 2022) then actual costs will outpace rate study projections, resulting in precipitously low fund reserves. To that end, planning to achieve a 90-day operating reserve serves as further rate stabilization and likely avoiding the need for additional rate increases above those already contemplated for the coming five years via the rate study. A history of and projections for RRR’s revenues, expenses and fund reserves by year are shown in Figure 3, below. Figure 3: History and Projections of Revenues, Expenses and Reserves by Year 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% $- $10,000,000 $20,000,000 $30,000,000 $40,000,000 $50,000,000 FY 14/15 FY 15/16 FY 16/17 FY 17/18 FY 18/19 FY 19/20 FY 20/21 FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY 26/27 FY 27/28 Revenues Expenses Revenue Trend (5.39% Annual Increase)Expense Trend (5.41% Annual Increase) Fund Reserves as Percent of Expenses 7.A.f Packet Pg. 496 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) 5. FIVE-YEAR RATE PROJECTIONS City of Santa Monica | Five-Year Rate Study – Report 9 of 14 Using the aforementioned projections of revenues, expenses, and fund reserves, the rate study yields recommended increases to RRR’s single-family, multi-family and commercial rates effective August 1, 2023 and July 1 of 2024, 2025, 2026 and 2027. Two rate adjustment alternatives are presented for the City’s consideration: Alternative A, which includes funding for all expense projections described on the prior page and is recommended by RRR staff and R3, and Alternative B, which does not include the creation of an illegal dumping and bulky item response team (IDBI-RT), and thus has marginally lower rate increases. Though the City’s rates are listed in its rate sheets and billed to customers in utility bills on a bi-monthly basis, the effective monthly rates are shown for easy reference. The complete set of projected rates for each ratepayer classification is included as Attachment 2 (Five-Year Rate Sheets). Single-Family Rates The City’s single-family rates are based on trash container size (65-gallon and 95-gallon trash carts) but cover the cost of all service provided to single-family customers. The “bundled” service package includes weekly collection of trash, recycling, and organics, as well as street sweeping, bulky item pickups, on-call door-to-door HHW collection, and access to periodic recycling events. Tables 1 and 2, below, show the single-family rates for the five-year rate study period for 65-gallon and 95-gallon monthly rates for each of the two alternatives. Table 1: Single-Family 65-Gal Bundled Monthly Rates Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $41.78 $46.37 $51.47 $57.13 $63.42 $70.39 B – No IDBI-RT $41.78 $46.04 $50.73 $55.91 $61.61 $67.89 Table 2: Single-Family 95-Gal Bundled Monthly Rates Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $53.90 $59.83 $66.41 $73.71 $81.82 $90.82 B – No IDBI-RT $53.90 $59.39 $65.45 $72.13 $79.48 $87.59 Tables 3 and 4, below, show the annual increase in the monthly rates, which amount to 11% per year for Alternative A and 10.2% per year for Alternative B. Table 3: Annual Change in Single-Family 65-Gal Bundled Monthly Rates Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $4.60 $5.10 $5.66 $6.29 $6.98 B – No IDBI-RT $4.26 $4.70 $5.18 $5.70 $6.29 Table 4: Annual Change in Single-Family 95-Gal Bundled Monthly Rates Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $5.93 $6.58 $7.30 $8.11 $9.00 B – No IDBI-RT $5.50 $6.06 $6.68 $7.36 $8.10 7.A.f Packet Pg. 497 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Five-Year Rate Projections City of Santa Monica | Five-Year Rate Study – Report 10 of 14 It is important to note that, considering the three years of frozen rates (FY 2020-21 through FY 2022-23), the average annual 10-year increase through FY 2027-28 for Alternative A is 6.3% and for Alternative B is 6.0%. Likewise, the average annual 15-year increase from FY 2013-14 through FY 2027-28 is 5.3% per year for Alternative A and 5.05% per year for Alternative B. That average annual rate of increase compares well with industry standards, especially given changes in the recycling market places, new and increasing unfunded State mandates, and the comparably high levels of service provided by RRR. The City’s single-family rates are comparable to other cities in Los Angeles County that provide municipal solid waste collection services themselves, as shown in Figure 4, below. This shows the recommended FY 2023-24 City rates per Alternative A in comparison to projected FY 2023-24 rates for the seven other municipally provided solid waste services in Los Angeles County for which comparable rates exist.2 Though Santa Monica’s single-family rates are somewhat higher than those charged by the comparable agencies, single-family residents in Santa Monica have greater benefits in the form of street sweeping, on-call door-to-door HHW collection, unlimited bulky item collection, periodic recycling events and funding for Zero Waste Goal achievement, which are not common in most of the other agencies. Figure 4: Comparison of Single-Family Bundled Monthly Rates (FY 2023-24 Projected) Multi-Family Rates Like single-family rates, the City’s multi-family rates are also based on trash container size and cover the cost providing collection of trash, recycling, and organics, as well as bulky item pickups, on-call door-to- door HHW collection, and access to periodic recycling events. 2 Please Note: CPI adjustments have been applied to FY 2022-23 rates for comparable agencies where applicable. Additionally, while Beverly Hills also provides municipal solid waste services to single-family residents, that City collects solid waste rate revenues via tax rolls based on square footage with the amounts not being publicly available or comparable. Finally, Culver City does not provide 95-gallon single-family service and Los Angeles does not provide 65-gallon single-family service. $46.37 $35.89 $37.68 $53.49 $36.58 $- $39.54 $37.60 $59.83 $56.68 $46.85 $- $41.72 $36.32 $54.82 $38.93 $- $10 $20 $30 $40 $50 $60 Santa Monica Burbank Claremont Culver City Glendale Los Angeles Pasadena Torrance 65 Gallons Once Weekly 95 Gallons Once Weekly 7.A.f Packet Pg. 498 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Five-Year Rate Projections City of Santa Monica | Five-Year Rate Study – Report 11 of 14 Unlike the single-family rates, however, street sweeping is not currently included as a part of the bundled trash rate and is instead charged separately on per living unit. The practice of separately charging for street sweeping per living unit is inconsistent with standard solid waste rate-setting practice as well as the City’s current practice for single-family ratepayers and is unnecessarily complicated and impractical to continue given a recent Court of Appeals ruling that considered street sweeping to be solid waste collection activity. Therefore, R3 and staff are recommending discontinuance of the separate street sweeping charge based on living units and are instead recommending that street sweeping be included in the bundled rate based on trash subscription. Also unlike single-family rates, multi-family ratepayers can choose from a variety of subscription levels and sizes, as shown in Attachment 1 (Five-Year Rate Sheets). Tables 5 and 6, below, show examples of common multi-family subscription types (95-gallon of trash at a four-unit complex and 2-cubic yards of trash collected twice weekly at a 10-unit complex) for multi-family rates for the five-year rate study period. Table 5: Multi-Family 95-Gal Bundled Monthly Rates (4-Units) Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $59.25 $59.83 $66.41 $73.71 $81.82 $90.82 B – No IDBI-RT $59.25 $59.39 $65.45 $72.13 $79.48 $87.59 Table 6: Multi-Family 2-CY 2x Weekly Bundled Monthly Rates (10-Units) Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $230.60 $314.78 $349.41 $387.85 $430.51 $477.86 B – No IDBI-RT $230.60 $314.78 $346.89 $382.27 $421.26 $464.23 Tables 7 and 8, below, show the annual increase in the monthly rates. For the 95-gallon / 4-unit complex rates, the projected increase is 1% in FY 2023-24 and 11% in each of the following years for Alternative A, and 0.2% in FY 2023-24 and 10.2% per year in each of the following years for Alternative B. For the 2- cubic yards twice weekly / 10-unit complex rates, the projected increase is 36.5% in FY 2023-24 and 11% in each of the following years for Alternative A, and 36.5% in FY 2023-24 and 10.2% in each of the following years for Alternative B. Table 7: Annual Change in Multi-Family 95-Gal Bundled Monthly Rates (4-Units) Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $0.58 $6.58 $7.30 $8.11 $9.00 B – No IDBI-RT $0.14 $6.06 $6.68 $7.36 $8.10 Table 8: Annual Change in Multi-Family 2-CY 2x Weekly Bundled Monthly Rates (10-Units) Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $84.18 $34.63 $38.44 $42.66 $47.35 B – No IDBI-RT $84.18 $32.11 $35.38 $38.99 $42.97 As shown in Table 7, above, the effect of bundling street sweeping charges in with trash rates for a small multi-family complex is minimal. Table 8, above, shows that the effect for larger multi-family complexes is 7.A.f Packet Pg. 499 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Five-Year Rate Projections City of Santa Monica | Five-Year Rate Study – Report 12 of 14 somewhat larger in the first year, though it is important to understand that the City’s bundled multi-family service rates are quite low in comparison to other agencies. Figure 5, below, shows the comparison of Santa Monica’s rates via Alternative A (and inclusive of street sweeping charges) to other agencies.3 Figure 5: Comparison of Multi-Family Bundled Monthly Rates (FY 2023-24 Projected) As shown in Figure 5, Santa Monica’s rates for multi-family customers (inclusive of street sweeping) compare favorably to rates in other jurisdictions while also providing a high level of service including bulky item pickups, on-call door-to-door HHW collection, and access to periodic recycling events. Commercial Rates As with the City’s single-family and multi-family rates, the City’s commercial rates are based on trash container size and covers the cost providing collection of trash, recycling, and organics, as well as bulky item pickups, although business don’t have access to on-call door-to-door HHW collection and periodic recycling events and thus aren’t charged for those services (which is why the proposed commercial rates are slightly lower than the single-family and multi-family rates for the same subscription levels – commercial customers do not pay for HHW services and events through their solid waste rates). Akin to the multi-family rates, street sweeping is also not currently included as a part of the bundled commercial trash rates and is instead charged separately, based on water meter size. The practice of separately charging for street sweeping by water meter size is inconsistent with standard solid waste rate- setting practice as well as the City’s current practice for single-family ratepayers. As with multi-family rates, it is unnecessarily complicated and impractical to continue this practice given a recent Court of Appeals ruling that considered street sweeping to be solid waste collection activity. 3 Please Note: Claremont, Culver City, and Torrance did not have publicly available multi-family rates for the purposes of this comparison and that Beverly Hills does not provide cart service to multi-family. Also note that multi-family service for all except Santa Monica are rates provided by private contractors, not municipal service. $59.83 $- $56.68 $41.72 $124.04 $77.74 $314.78 $363.29 $510.20 $744.80 $1,023.02 $975.33 $- $200 $400 $600 $800 $1,000 Santa Monica Beverly Hills Burbank Glendale Los Angeles Pasadena 95 Gallons Once Weekly 2 Cubic Yards Twice Weekly 7.A.f Packet Pg. 500 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Five-Year Rate Projections City of Santa Monica | Five-Year Rate Study – Report 13 of 14 Therefore, R3 and staff are recommending discontinuance of the separate street sweeping charge based on water meter (WM) size and are instead recommending that street sweeping be included in the bundled rate based on trash subscription. Like multi-family ratepayers, commercial ratepayers can choose from a variety of subscription levels and sizes, as shown in Attachment 1 (Five-Year Rate Sheets). Tables 9 and 10, below, show examples of common commercial subscription types (2-cubic yards once weekly with 0.75” water meter and 3-cubic yards twice weekly with 1.5” water meter) for rates over the five-year rate study period. Table 9: Commercial 2-CY 1x Weekly Bundled Monthly Rates (0.75” WM) Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $131.34 $154.69 $172.01 $191.23 $212.56 $236.23 B – No IDBI-RT $131.34 $154.69 $170.75 $188.44 $207.93 $229.42 Table 10: Commercial 3-CY 2x Weekly Bundled Monthly Rates (1.5” WM) Alternatives Current FY 2022-23 FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $318.26 $469.47 $521.42 $579.08 $643.07 $714.09 B – No IDBI-RT $318.26 $469.47 $517.64 $570.71 $629.19 $693.65 Tables 11 and 12, below, show the annual increase in the monthly rates. For the 2-cubic yards once weekly with 0.75” water meter, the projected increase is 17.8%% in FY 2023-24 and 11% in each of the following years for Alternative A, and 17.8% in FY 2023-24 and 10.2% per year in each of the following years for Alternative B. For the 3-cubic yards twice weekly with 1.5” water meter, the projected increase is 47.5% in FY 2023-24 and 11% in each of the following years for Alternative A, and 47.5% in FY 2023-24 and 10.2% in each of the following years for Alternative B. Table 11: Annual Change in Commercial 2-CY 1x Weekly Bundled Monthly Rates (0.75” WM) Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $23.36 $17.32 $19.22 $21.33 $23.68 B – No IDBI-RT $23.36 $16.06 $17.69 $19.50 $21.49 Table 12: Annual Change in Commercial 3-CY 2x Weekly Bundled Monthly Rates (1.5” WM) Alternatives FY 2023-24 FY 2024-25 FY 2025-26 FY 2026-27 FY 2027-28 A – Staff Recommended $151.22 $51.95 $57.66 $63.99 $71.02 B – No IDBI-RT $151.22 $48.17 $53.07 $58.48 $64.46 As shown in Tables 11 and 12, above, the effect of bundling street sweeping charges in with trash rates for commercial customers is higher in FY 2023-24 than in the following years. 7.A.f Packet Pg. 501 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) Five-Year Rate Projections City of Santa Monica | Five-Year Rate Study – Report 14 of 14 As with multi-family rates, it is important to understand that the City’s bundled commercial service rates are quite low in comparison to other agencies. Figure 6, below, shows the comparison of Santa Monica’s rates via Alternative A (and inclusive of street sweeping charges) to other agencies.4 Figure 6: Comparison of Commercial Bundled Monthly Rates (FY 2023-24 Projected) 4 Please Note: Claremont and Torrance did not have publicly available multi-family rates for the purposes of this comparison. Also note that commercial service for all except Santa Monica and Culver City are rates provided by private contractors, not municipal service. $154.69 $220.32 $399.30 $368.29 $372.40 $548.38 $588.18 $469.47 $665.74 $1,043.49 $848.80 $812.52 $1,109.16 $975.33 $- $200 $400 $600 $800 $1,000 $1,200 Santa Monica Beverly Hills Burbank Culver City Glendale Los Angeles Pasadena 2 Cubic Yards Once Weekly 3 Cubic Yards Twice Weekly 7.A.f Packet Pg. 502 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) ACTUALSADJUSTED BUDGET12345FY 21/22 FY 22/23 FY 23/24 FY 24/25 FY 25/26 FY26/27 FY 27/28Starting Fund Balance21,169,728            22,549,276            12,569,720            6,420,809                3,005,343               2,679,323               5,033,898               Single‐Family Residential Rate Increase11.0% 11.0% 11.0% 11.0% 11.0%Multi‐Family Residential Rate IncreaseRESTRUCTURE11.0%11.0%11.0%11.0%Commercial Rate IncreaseRESTRUCTURE11.0%11.0%11.0%11.0%Revenues28,388,780            29,325,172            34,898,246            39,267,954             43,356,794            47,995,721            53,140,822            Salaries and Wages 10,854,075                11,691,197                12,249,833                12,924,498                13,367,071                13,918,971                14,433,795               Vehicle Maintenance 3,521,111                3,600,000               3,686,397               3,774,874                3,865,471               3,958,242               4,053,240               Fuel, Supplies, Professional Services 1,317,126               1,788,323               2,102,022               2,142,363                2,182,232               2,222,932               2,264,481               Collection Operation Costs15,692,311            17,079,520            18,038,251            18,841,735             19,414,774            20,100,146            20,751,515            Recycling and Disposal Costs 4,034,019                  5,353,916                  5,825,061                  6,587,666                  7,395,381                  8,252,174                  9,162,365                 Transfer and Transportation Costs 2,998,414               3,833,955               3,925,970               4,020,193                4,116,678               4,215,478               4,316,650               Household Hazardous Waste Services 303,124                  444,389                  460,080                  472,235                   484,842                  496,074                  509,751                  Post‐Collection Recycling and Disposal Costs7,335,557               9,632,260               10,211,111            11,080,094             11,996,900            12,963,727            13,988,766            City‐wide Cost Allocation Plan 1,276,612                  1,276,612                  1,302,144                  1,328,187                  1,354,751                  1,381,846                  1,409,483                 City Yard Rent (With Contingency) 681,022                   666,368                   1,332,736               1,332,736                1,332,736               1,332,736               1,332,736               Salary and Benefit Commitments (MOU, OPEB, EMPC Payout) 77,490                     1,207,140               1,283,413               1,121,523                1,140,810               1,176,880               1,214,139               City Yard Debt Service‐                               496,268                  776,587                  777,266                   777,209                  777,548                  777,096                  General Liability Insurance 388,375                   414,295                   459,491                   527,285                    583,779                   621,443                   640,274                  Environmental Reimbursement to OSE 272,818                   421,433                   438,290                  451,439                   464,982                  478,932                  493,300                  311 Team Funding‐                                223,534                  232,475                  ‐                                ‐                               ‐                               ‐                               Property, Overhead and Shared Costs2,696,317               4,705,650               5,825,138               5,538,435                5,654,268               5,769,384               5,867,027               Restore and Right‐size Collection Service ‐                                   ‐                                   740,194                     777,204                     816,064                     856,867                     899,710                    Illegal Dumping & Bulky Item Response Team ‐                                ‐                                641,355                   673,423                    707,094                  742,449                  779,571                  SB 1383 Mandatory Compliance & Zero Waste by 2030 Programs‐                               ‐                               122,743                  128,880                   135,324                  142,090                  149,195                  Right‐Size Sweeping Services‐                               ‐                               111,945                  117,542                   123,419                  129,590                  136,069                  Compliance Programs Costs‐                              ‐                              1,616,237               1,697,049                1,781,901               1,870,996               1,964,546               Trucks and Equipment Capital Costs 4,044,144                  7,887,299                  5,356,420                  5,526,106                  4,834,973                  4,936,893                  5,040,599                 Grand Total Costs 29,768,329               39,304,729               41,047,157               42,683,419               43,682,815               45,641,145               47,612,453              Surplus (Shortfall) (1,379,549)             (9,979,557)             (6,148,911)             (3,415,466)              (326,021)                2,354,575               5,528,369               Ending Fund Balance 22,549,276            12,569,720            6,420,809               3,005,343                2,679,323               5,033,898               10,562,267            Ending Fund Balance as % of Operating Expenses (Excluding Capital)40%18%8%7%12%25%Santa Monica RRR Fund 5‐Year Forecast and Rate StudyAttachment 1Santa Monica RRR 5-Year Rate Study17.A.fPacket Pg. 503Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 SSC 1-65 gallon 1x weekly $92.74 SB2 2 cubic yard bin 1x weekly $314.78 SSD 2-65 gallon cart 1xweekly $185.48 SSZ Shared Container Service $59.83 SSE 3-65 gallon cart 1x weekly $278.22 SSF 1-95 gallon cart 1x weekly $119.65 SSG 2-95 gallon cart 1x weekly $239.30 RFE No Charge/2nd Meter $0.00 SSH 3-95 gallon cart 1x weekly $358.95 RFX Inactive Account $0.00 SSK 1-65 & 1-95 gallon cart 1x weekly $212.39 CRC Recycling Container $0.00 SX3 300 gallon container 1x weekly $275.00 SYC Yard Waste Container $0.00 RUC Residence Under Construction $92.74 MSC 1-65 gallon cart 1x weekly $92.74 MCA 3 cubic yard bin 1x weekly $472.17 MSF 1-95 gallon cart 1x weekly $119.65 MCB 3 cubic yard bin 2x weekly $944.34 MCC 3 cubic yard bin 3x weekly $1,416.51 MXQ 300 gallon Container 1x weekly $275.00 MCD 3 cubic yard bin 4x weekly $1,888.68 MXA 300 gallon Container 2x weekly $550.00 MCF 3 cubic yard bin 5x weekly $2,360.85 MXB 300 gallon Container 3x weekly $825.00 MCE 3 cubic yard bin 6x weekly $2,833.02 MXC 300 gallon Container 4x weekly $1,100.00 MXE 300 gallon Container 5x weekly $1,375.00 MDA 4 cubic yard bin 1x weekly $629.56 MXD 300 gallon Container 6x weekly $861.25 MDB 4 cubic yard bin 2x weekly $1,259.12 MDC 4 cubic yard bin 3x weekly $1,888.68 MSQ 2 cubic yard bin 1x weekly $314.78 MDD 4 cubic yard bin 4x weekly $2,518.24 MBA 2 cubic yard bin 2x weekly $629.56 MDE 4 cubic yard bin 5x weekly $3,147.80 MBB 2 cubic yard bin 3x weekly $944.34 MDF 4 cubic yard bin 6x weekly $3,777.36 MBC 2 cubic yard bin 4x weekly $1,259.12 MBE 2 cubic yard bin 5x weekly $1,573.90 MBN Bin roll out 1x weekly $62.32 MBD 2 cubic yard bin 6x weekly $1,888.68 MBO Bin roll out 2x weekly $124.64 MBP Bin roll out 3x weekly $186.96 MFV Livable Unit Charge $0.00 MBQ Bin roll out 4x weekly $249.28 MFE No Charge/2nd Meter $0.00 MBS Bin roll out 5x weekly $311.60 MLK Lock Charge/Per Bin $27.68 MBR Bin roll out 6x weekly $373.92 MSY City Bin on City Property Per Bin $113.74 MSZ Share Bin/Cart Service $59.83 MCJ Bin truck roll out 1x weekly $62.32 MCK Bin truck roll out 2x weekly $124.64 TBD Compacted Waste Per Bin 2x Bin Rate MCL Bin truck roll out 3x weekly $186.96 MCM Bin truck roll out 4x weekly $249.28 MCN Bin truck roll out 5x weekly $311.60 MCO Bin truck roll out 6x weekly $373.92 MULTI-FAMILY CART/BIN RATES MISCELLANEOUS SINGLE FAMILY RATES SINGLE FAMILY RATES BI-MONTHLY SINGLE/MULTI FAMILY RATES Rates effective August 1, 2023 to June 30, 2024 RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 1 of 10 7.A.f Packet Pg. 504 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) #REF! Rate Increase CSA 1-65 gallon cart 1x weekly $87.34 CBA 2 cubic yard bin 1x weekly $309.38 CSB 1-65 gallon cart 2x weekly $180.08 CBB 2 cubic yard bin 2x weekly $624.16 CSC 1-65 gallon cart 3x weekly $272.82 CBC 2 cubic yard bin 3x weekly $938.94 CSE 1-65 gallon cart 4x weekly $365.56 CBD 2 cubic yard bin 4x weekly $1,253.72 CSF 1-65 gallon cart 5x weekly $458.30 CBG 2 cubic yard bin 5x weekly $1,568.50 CSD 1-65 gallon cart 6x weekly $205.43 CBE 2 cubic yard bin 6x weekly $1,883.28 CSG 1-65 gallon cart 7x weekly $239.67 CBF 2 cubic yard bin 7x weekly $2,198.06 CTA 1-95 gallon cart 1x weekly $114.25 CDA 3 cubic yard bin 1x weekly $466.77 CTB 1-95 gallon cart 2x weekly $233.90 CDB 3 cubic yard bin 2x weekly $938.94 CTC 1-95 gallon cart 3x weekly $353.55 CDC 3 cubic yard bin 3x weekly $1,411.11 CTF 1-95 gallon cart 4x weekly $473.20 CDE 3 cubic yard bin 4x weekly $1,883.28 CTG 1-95 gallon cart 5x weekly $592.85 CDH 3 cubic yard bin 5x weekly $2,355.45 CTD 1-95 gallon cart 6x weekly $292.34 CDF 3 cubic yard bin 6x weekly $2,827.62 CTE 1-95 gallon cart 7x weekly $341.07 CDG 3 cubic yard bin 7x weekly $3,299.79 CXA 300 gallon container 1x weekly $269.60 CEA 4 cubic yard bin 1x weekly $624.16 CXB 300 gallon container 2x weekly $544.60 CEB 4 cubic yard bin 2x weekly $1,253.72 CXC 300 gallon container 3x weekly $819.60 CEC 4 cubic yard bin 3x weekly $1,883.28 CXD 300 gallon container 4x weekly $1,094.60 CED 4 cubic yard bin 4x weekly $2,512.84 CXG 300 gallon container 5x weekly $1,369.60 CEE 4 cubic yard bin 5x weekly $3,142.40 CXE 300 gallon container 6x weekly $620.92 CEF 4 cubic yard bin 6x weekly $3,771.96 CXF 300 gallon container 7x weekly $700.59 CEG 4 cubic yard bin 7x weekly $4,401.52 CSX City bin on City Property Per Bin $113.74 CCN Bin roll out 1x weekly $62.32 CLK Lock Charge/Per Bin $27.68 CCO Bin roll out 2x weekly $124.64 CSZ Non-Semi Auto Service 2x/weekly $72.35 CCP Bin roll out 3x weekly $186.96 CCQ Bin roll out 4x weekly $249.28 CCS Bin roll out 5x weekly $311.60 RCS .75" Per Unit $0.00 CCR Bin roll out 6x weekly $373.92 RCT 1.00" Per Unit $0.00 CCT Bin roll out 7x weekly $436.24 RCU 1.5" Per Unit $0.00 RCV 2.00" Per Unit $0.00 RCW 3.00" Per Unit $0.00 CDJ Bin Truck roll out 1x weekly $62.32 RCX 4.00" Per Unit $0.00 CDK Bin Truck roll out 2x weekly $124.64 RCY 6.00" Per Unit $0.00 CDL Bin Truck roll out 3x weekly $186.96 CDM Bin Truck roll out 4x weekly $249.28 TBD Compacted Waste Per Bin 2x Bin Rate CDN Bin Truck roll out 5x weekly $311.60 CDO Bin Truck roll out 6x weekly $373.92 CDP Bin Truck roll out 7x weekly $436.24 STREET SWEEPING RATES (based on water meter size) BIN TRUCK ROLL OUT MISCELLANEOUS BIN ROLL OUT 300 GALLON CONTAINERS 4 CUBIC YARD BINS 95 GALLON CARTS 3 CUBIC YARD BINS 65 GALLON CARTS 2 CUBIC YARD BINS Rates effective August 1, 2023 to June 30, 2024 BI-MONTHLY COMMERCIAL RATES RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 2 of 10 7.A.f Packet Pg. 505 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) SSC 1-65 gallon 1x weekly $102.94 SB2 2 cubic yard bin 1x weekly $349.41 SSD 2-65 gallon cart 1xweekly $205.88 SSZ Shared Container Service $66.41 SSE 3-65 gallon cart 1x weekly $308.82 SSF 1-95 gallon cart 1x weekly $132.81 SSG 2-95 gallon cart 1x weekly $265.62 RFE No Charge/2nd Meter $0.00 SSH 3-95 gallon cart 1x weekly $398.43 RFX Inactive Account $0.00 SSK 1-65 & 1-95 gallon cart 1x weekly $235.75 CRC Recycling Container $0.00 SX3 300 gallon container 1x weekly $305.25 SYC Yard Waste Container $0.00 RUC Residence Under Construction $102.94 MSC 1-65 gallon cart 1x weekly $102.94 MCA 3 cubic yard bin 1x weekly $524.12 MSF 1-95 gallon cart 1x weekly $132.81 MCB 3 cubic yard bin 2x weekly $1,048.24 $0.00 MCC 3 cubic yard bin 3x weekly $1,572.36 MXQ 300 gallon Container 1x weekly $305.25 MCD 3 cubic yard bin 4x weekly $2,096.48 MXA 300 gallon Container 2x weekly $610.50 MCF 3 cubic yard bin 5x weekly $2,620.60 MXB 300 gallon Container 3x weekly $915.75 MCE 3 cubic yard bin 6x weekly $3,144.72 MXC 300 gallon Container 4x weekly $1,221.00 MXE 300 gallon Container 5x weekly $1,526.25 MDA 4 cubic yard bin 1x weekly $698.82 MXD 300 gallon Container 6x weekly $861.25 MDB 4 cubic yard bin 2x weekly $1,397.64 MDC 4 cubic yard bin 3x weekly $2,096.46 MSQ 2 cubic yard bin 1x weekly $349.41 MDD 4 cubic yard bin 4x weekly $2,795.28 MBA 2 cubic yard bin 2x weekly $698.82 MDE 4 cubic yard bin 5x weekly $3,494.10 MBB 2 cubic yard bin 3x weekly $1,048.23 MDF 4 cubic yard bin 6x weekly $4,192.92 MBC 2 cubic yard bin 4x weekly $1,397.64 MBE 2 cubic yard bin 5x weekly $1,747.05 MBN Bin roll out 1x weekly $69.18 MBD 2 cubic yard bin 6x weekly $2,096.46 MBO Bin roll out 2x weekly $138.36 MBP Bin roll out 3x weekly $207.54 MFV Livable Unit Charge $0.00 MBQ Bin roll out 4x weekly $276.72 MFE No Charge/2nd Meter $0.00 MBS Bin roll out 5x weekly $345.90 MLK Lock Charge/Per Bin $30.73 MBR Bin roll out 6x weekly $415.08 MSY City Bin on City Property Per Bin $126.25 MSZ Share Bin/Cart Service $66.41 MCJ Bin truck roll out 1x weekly $69.18 MCK Bin truck roll out 2x weekly $138.36 TBD Compacted Waste Per Bin 2x Bin Rate MCL Bin truck roll out 3x weekly $207.54 MCM Bin truck roll out 4x weekly $276.72 MCN Bin truck roll out 5x weekly $345.90 MCO Bin truck roll out 6x weekly $415.08 MULTI-FAMILY CART/BIN RATES MISCELLANEOUS SINGLE FAMILY RATES SINGLE FAMILY RATES BI-MONTHLY SINGLE/MULTI FAMILY RATES Rates effective July 1, 2024 to June 30, 2025 RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 3 of 10 7.A.f Packet Pg. 506 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) CSA 1-65 gallon cart 1x weekly $97.54 CBA 2 cubic yard bin 1x weekly $344.01 CSB 1-65 gallon cart 2x weekly $200.48 CBB 2 cubic yard bin 2x weekly $693.42 CSC 1-65 gallon cart 3x weekly $303.42 CBC 2 cubic yard bin 3x weekly $1,042.83 CSE 1-65 gallon cart 4x weekly $406.36 CBD 2 cubic yard bin 4x weekly $1,392.24 CSF 1-65 gallon cart 5x weekly $509.30 CBG 2 cubic yard bin 5x weekly $1,741.65 CSD 1-65 gallon cart 6x weekly $205.43 CBE 2 cubic yard bin 6x weekly $2,091.06 CSG 1-65 gallon cart 7x weekly $239.67 CBF 2 cubic yard bin 7x weekly $2,440.47 CTA 1-95 gallon cart 1x weekly $127.41 CDA 3 cubic yard bin 1x weekly $518.72 CTB 1-95 gallon cart 2x weekly $260.22 CDB 3 cubic yard bin 2x weekly $1,042.84 CTC 1-95 gallon cart 3x weekly $393.03 CDC 3 cubic yard bin 3x weekly $1,566.96 CTF 1-95 gallon cart 4x weekly $525.84 CDE 3 cubic yard bin 4x weekly $2,091.08 CTG 1-95 gallon cart 5x weekly $658.65 CDH 3 cubic yard bin 5x weekly $2,615.20 CTD 1-95 gallon cart 6x weekly $292.34 CDF 3 cubic yard bin 6x weekly $3,139.32 CTE 1-95 gallon cart 7x weekly $341.07 CDG 3 cubic yard bin 7x weekly $3,663.44 CXA 300 gallon container 1x weekly $299.85 CEA 4 cubic yard bin 1x weekly $693.42 CXB 300 gallon container 2x weekly $605.10 CEB 4 cubic yard bin 2x weekly $1,392.24 CXC 300 gallon container 3x weekly $910.35 CEC 4 cubic yard bin 3x weekly $2,091.06 CXD 300 gallon container 4x weekly $1,215.60 CED 4 cubic yard bin 4x weekly $2,789.88 CXG 300 gallon container 5x weekly $1,520.85 CEE 4 cubic yard bin 5x weekly $3,488.70 CXE 300 gallon container 6x weekly $620.92 CEF 4 cubic yard bin 6x weekly $4,187.52 CXF 300 gallon container 7x weekly $700.59 CEG 4 cubic yard bin 7x weekly $4,886.34 CSX City bin on City Property Per Bin $126.25 CCN Bin roll out 1x weekly $69.18 CLK Lock Charge/Per Bin $30.73 CCO Bin roll out 2x weekly $138.36 CSZ Non-Semi Auto Service 2x/weekly $80.31 CCP Bin roll out 3x weekly $207.54 CCQ Bin roll out 4x weekly $276.70 CCS Bin roll out 5x weekly $345.86 RCS .75" Per Unit $0.00 CCR Bin roll out 6x weekly $415.12 RCT 1.00" Per Unit $0.00 CCT Bin roll out 7x weekly $484.22 RCU 1.5" Per Unit $0.00 RCV 2.00" Per Unit $0.00 RCW 3.00" Per Unit $0.00 CDJ Bin Truck roll out 1x weekly $69.18 RCX 4.00" Per Unit $0.00 CDK Bin Truck roll out 2x weekly $138.35 RCY 6.00" Per Unit $0.00 CDL Bin Truck roll out 3x weekly $207.57 CDM Bin Truck roll out 4x weekly $276.76 TBD Compacted Waste Per Bin 2x Bin Rate CDO Bin Truck roll out 5x weekly $345.92 CDN Bin Truck roll out 6x weekly $415.11 CDP Bin Truck roll out 7x weekly $484.33 BIN TRUCK ROLL OUT STREET SWEEPING RATES (based on water meter size) MISCELLANEOUS BIN ROLL OUT 300 GALLON CONTAINERS 4 CUBIC YARD BINS 95 GALLON CARTS 3 CUBIC YARD BINS 2 CUBIC YARD BINS65 GALLON CARTS Rates effective July 1, 2024 to June 30, 2025 BI-MONTHLY COMMERCIAL RATES RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 4 of 10 7.A.f Packet Pg. 507 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) SSC 1-65 gallon 1x weekly $114.26 SB2 2 cubic yard bin 1x weekly $387.84 SSD 2-65 gallon cart 1xweekly $228.52 SSZ Shared Container Service $73.71 SSE 3-65 gallon cart 1x weekly $342.78 SSF 1-95 gallon cart 1x weekly $147.42 SSG 2-95 gallon cart 1x weekly $294.84 RFE No Charge/2nd Meter $0.00 SSH 3-95 gallon cart 1x weekly $442.26 RFX Inactive Account $0.00 SSK 1-65 & 1-95 gallon cart 1x weekly $261.68 CRC Recycling Container $0.00 SX3 300 gallon container 1x weekly $338.83 SYC Yard Waste Container $0.00 RUC Residence Under Construction $114.26 MSC 1-65 gallon cart 1x weekly $114.26 MCA 3 cubic yard bin 1x weekly $581.78 MSF 1-95 gallon cart 1x weekly $147.42 MCB 3 cubic yard bin 2x weekly $1,163.56 $0.00 MCC 3 cubic yard bin 3x weekly $1,745.34 MXQ 300 gallon Container 1x weekly $338.83 MCD 3 cubic yard bin 4x weekly $2,327.12 MXA 300 gallon Container 2x weekly $677.66 MCF 3 cubic yard bin 5x weekly $2,908.90 MXB 300 gallon Container 3x weekly $1,016.49 MCE 3 cubic yard bin 6x weekly $3,490.68 MXC 300 gallon Container 4x weekly $1,355.32 MXE 300 gallon Container 5x weekly $1,694.15 MDA 4 cubic yard bin 1x weekly $775.70 MXD 300 gallon Container 6x weekly $861.25 MDB 4 cubic yard bin 2x weekly $1,551.40 MDC 4 cubic yard bin 3x weekly $2,327.10 MSQ 2 cubic yard bin 1x weekly $387.85 MDD 4 cubic yard bin 4x weekly $3,102.80 MBA 2 cubic yard bin 2x weekly $775.70 MDE 4 cubic yard bin 5x weekly $3,878.50 MBB 2 cubic yard bin 3x weekly $1,163.55 MDF 4 cubic yard bin 6x weekly $4,654.20 MBC 2 cubic yard bin 4x weekly $1,551.40 MBE 2 cubic yard bin 5x weekly $1,939.25 MBN Bin roll out 1x weekly $76.79 MBD 2 cubic yard bin 6x weekly $2,327.10 MBO Bin roll out 2x weekly $153.58 MBP Bin roll out 3x weekly $230.37 MFV Livable Unit Charge $0.00 MBQ Bin roll out 4x weekly $307.16 MFE No Charge/2nd Meter $0.00 MBS Bin roll out 5x weekly $383.95 MLK Lock Charge/Per Bin $34.11 MBR Bin roll out 6x weekly $460.74 MSY City Bin on City Property Per Bin $140.14 MSZ Share Bin/Cart Service $73.71 MCJ Bin truck roll out 1x weekly $76.79 MCK Bin truck roll out 2x weekly $153.58 TBD Compacted Waste Per Bin 2x Bin Rate MCL Bin truck roll out 3x weekly $230.37 MCM Bin truck roll out 4x weekly $307.16 MCN Bin truck roll out 5x weekly $383.95 MCO Bin truck roll out 6x weekly $460.74 MULTI-FAMILY CART/BIN RATES MISCELLANEOUS SINGLE FAMILY RATES SINGLE FAMILY RATES BI-MONTHLY SINGLE/MULTI FAMILY RATES Rates effective July 1, 2025 to June 30, 2026 RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 5 of 10 7.A.f Packet Pg. 508 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) CSA 1-65 gallon cart 1x weekly $108.86 CBA 2 cubic yard bin 1x weekly $382.45 CSB 1-65 gallon cart 2x weekly $223.12 CBB 2 cubic yard bin 2x weekly $770.30 CSC 1-65 gallon cart 3x weekly $337.38 CBC 2 cubic yard bin 3x weekly $1,158.15 CSE 1-65 gallon cart 4x weekly $451.64 CBD 2 cubic yard bin 4x weekly $1,546.00 CSF 1-65 gallon cart 5x weekly $565.90 CBG 2 cubic yard bin 5x weekly $1,933.85 CSD 1-65 gallon cart 6x weekly $205.43 CBE 2 cubic yard bin 6x weekly $2,321.70 CSG 1-65 gallon cart 7x weekly $239.67 CBF 2 cubic yard bin 7x weekly $2,709.55 CTA 1-95 gallon cart 1x weekly $142.02 CDA 3 cubic yard bin 1x weekly $576.38 CTB 1-95 gallon cart 2x weekly $289.44 CDB 3 cubic yard bin 2x weekly $1,158.16 CTC 1-95 gallon cart 3x weekly $436.86 CDC 3 cubic yard bin 3x weekly $1,739.94 CTF 1-95 gallon cart 4x weekly $584.28 CDE 3 cubic yard bin 4x weekly $2,321.72 CTG 1-95 gallon cart 5x weekly $731.70 CDH 3 cubic yard bin 5x weekly $2,903.50 CTD 1-95 gallon cart 6x weekly $292.34 CDF 3 cubic yard bin 6x weekly $3,485.28 CTE 1-95 gallon cart 7x weekly $341.07 CDG 3 cubic yard bin 7x weekly $4,067.06 CXA 300 gallon container 1x weekly $333.43 CEA 4 cubic yard bin 1x weekly $770.30 CXB 300 gallon container 2x weekly $672.26 CEB 4 cubic yard bin 2x weekly $1,546.00 CXC 300 gallon container 3x weekly $1,011.09 CEC 4 cubic yard bin 3x weekly $2,321.70 CXD 300 gallon container 4x weekly $1,349.92 CED 4 cubic yard bin 4x weekly $3,097.40 CXG 300 gallon container 5x weekly $1,688.75 CEE 4 cubic yard bin 5x weekly $3,873.10 CXE 300 gallon container 6x weekly $620.92 CEF 4 cubic yard bin 6x weekly $4,648.80 CXF 300 gallon container 7x weekly $700.59 CEG 4 cubic yard bin 7x weekly $5,424.50 CSX City bin on City Property Per Bin $140.14 CCN Bin roll out 1x weekly $76.79 CLK Lock Charge/Per Bin $34.11 CCO Bin roll out 2x weekly $153.58 CSZ Non-Semi Auto Service 2x/weekly $89.14 CCP Bin roll out 3x weekly $230.37 CCQ Bin roll out 4x weekly $307.14 CCS Bin roll out 5x weekly $383.91 RCS .75" Per Unit $0.00 CCR Bin roll out 6x weekly $460.79 RCT 1.00" Per Unit $0.00 CCT Bin roll out 7x weekly $537.49 RCU 1.5" Per Unit $0.00 RCV 2.00" Per Unit $0.00 RCW 3.00" Per Unit $0.00 CDJ Bin Truck roll out 1x weekly $76.79 RCX 4.00" Per Unit $0.00 CDK Bin Truck roll out 2x weekly $153.57 RCY 6.00" Per Unit $0.00 CDL Bin Truck roll out 3x weekly $230.40 CDM Bin Truck roll out 4x weekly $307.20 TBD Compacted Waste Per Bin 2x Bin Rate CDO Bin Truck roll out 5x weekly $383.97 CDN Bin Truck roll out 6x weekly $460.77 CDP Bin Truck roll out 7x weekly $537.60 BIN TRUCK ROLL OUT STREET SWEEPING RATES (based on water meter size) MISCELLANEOUS BIN ROLL OUT 300 GALLON CONTAINERS 4 CUBIC YARD BINS 95 GALLON CARTS 3 CUBIC YARD BINS 65 GALLON CARTS 2 CUBIC YARD BINS Rates effective July 1, 2025 to June 30, 2026 BI-MONTHLY COMMERCIAL RATES RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 6 of 10 7.A.f Packet Pg. 509 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) SSC 1-65 gallon 1x weekly $126.83 SB2 2 cubic yard bin 1x weekly $430.50 SSD 2-65 gallon cart 1xweekly $253.66 SSZ Shared Container Service $81.82 SSE 3-65 gallon cart 1x weekly $380.49 SSF 1-95 gallon cart 1x weekly $163.64 SSG 2-95 gallon cart 1x weekly $327.28 RFE No Charge/2nd Meter $0.00 SSH 3-95 gallon cart 1x weekly $490.92 RFX Inactive Account $0.00 SSK 1-65 & 1-95 gallon cart 1x weekly $290.47 CRC Recycling Container $0.00 SX3 300 gallon container 1x weekly $376.10 SYC Yard Waste Container $0.00 RUC Residence Under Construction $126.83 MSC 1-65 gallon cart 1x weekly $126.83 MCA 3 cubic yard bin 1x weekly $645.77 MSF 1-95 gallon cart 1x weekly $163.64 MCB 3 cubic yard bin 2x weekly $1,291.54 $0.00 MCC 3 cubic yard bin 3x weekly $1,937.31 MXQ 300 gallon Container 1x weekly $376.10 MCD 3 cubic yard bin 4x weekly $2,583.08 MXA 300 gallon Container 2x weekly $752.20 MCF 3 cubic yard bin 5x weekly $3,228.85 MXB 300 gallon Container 3x weekly $1,128.30 MCE 3 cubic yard bin 6x weekly $3,874.62 MXC 300 gallon Container 4x weekly $1,504.40 MXE 300 gallon Container 5x weekly $1,880.50 MDA 4 cubic yard bin 1x weekly $861.02 MXD 300 gallon Container 6x weekly $861.25 MDB 4 cubic yard bin 2x weekly $1,722.04 MDC 4 cubic yard bin 3x weekly $2,583.06 MSQ 2 cubic yard bin 1x weekly $430.51 MDD 4 cubic yard bin 4x weekly $3,444.08 MBA 2 cubic yard bin 2x weekly $861.02 MDE 4 cubic yard bin 5x weekly $4,305.10 MBB 2 cubic yard bin 3x weekly $1,291.53 MDF 4 cubic yard bin 6x weekly $5,166.12 MBC 2 cubic yard bin 4x weekly $1,722.04 MBE 2 cubic yard bin 5x weekly $2,152.55 MBN Bin roll out 1x weekly $85.24 MBD 2 cubic yard bin 6x weekly $2,583.06 MBO Bin roll out 2x weekly $170.48 MBP Bin roll out 3x weekly $255.72 MFV Livable Unit Charge $0.00 MBQ Bin roll out 4x weekly $340.96 MFE No Charge/2nd Meter $0.00 MBS Bin roll out 5x weekly $426.20 MLK Lock Charge/Per Bin $37.86 MBR Bin roll out 6x weekly $511.44 MSY City Bin on City Property Per Bin $155.56 MSZ Share Bin/Cart Service $81.82 MCJ Bin truck roll out 1x weekly $85.24 MCK Bin truck roll out 2x weekly $170.48 TBD Compacted Waste Per Bin 2x Bin Rate MCL Bin truck roll out 3x weekly $255.72 MCM Bin truck roll out 4x weekly $340.96 MCN Bin truck roll out 5x weekly $426.20 MCO Bin truck roll out 6x weekly $511.44 MULTI-FAMILY CART/BIN RATES MISCELLANEOUS SINGLE FAMILY RATES SINGLE FAMILY RATES BI-MONTHLY SINGLE/MULTI FAMILY RATES Rates effective July 1, 2026 to June 30, 2027 RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 7 of 10 7.A.f Packet Pg. 510 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) CSA 1-65 gallon cart 1x weekly $121.43 CBA 2 cubic yard bin 1x weekly $425.11 CSB 1-65 gallon cart 2x weekly $248.26 CBB 2 cubic yard bin 2x weekly $855.62 CSC 1-65 gallon cart 3x weekly $375.09 CBC 2 cubic yard bin 3x weekly $1,286.13 CSE 1-65 gallon cart 4x weekly $501.92 CBD 2 cubic yard bin 4x weekly $1,716.64 CSF 1-65 gallon cart 5x weekly $628.75 CBG 2 cubic yard bin 5x weekly $2,147.15 CSD 1-65 gallon cart 6x weekly $205.43 CBE 2 cubic yard bin 6x weekly $2,577.66 CSG 1-65 gallon cart 7x weekly $239.67 CBF 2 cubic yard bin 7x weekly $3,008.17 CTA 1-95 gallon cart 1x weekly $158.24 CDA 3 cubic yard bin 1x weekly $640.37 CTB 1-95 gallon cart 2x weekly $321.88 CDB 3 cubic yard bin 2x weekly $1,286.14 CTC 1-95 gallon cart 3x weekly $485.52 CDC 3 cubic yard bin 3x weekly $1,931.91 CTF 1-95 gallon cart 4x weekly $649.16 CDE 3 cubic yard bin 4x weekly $2,577.68 CTG 1-95 gallon cart 5x weekly $812.80 CDH 3 cubic yard bin 5x weekly $3,223.45 CTD 1-95 gallon cart 6x weekly $292.34 CDF 3 cubic yard bin 6x weekly $3,869.22 CTE 1-95 gallon cart 7x weekly $341.07 CDG 3 cubic yard bin 7x weekly $4,514.99 CXA 300 gallon container 1x weekly $370.70 CEA 4 cubic yard bin 1x weekly $855.62 CXB 300 gallon container 2x weekly $746.80 CEB 4 cubic yard bin 2x weekly $1,716.64 CXC 300 gallon container 3x weekly $1,122.90 CEC 4 cubic yard bin 3x weekly $2,577.66 CXD 300 gallon container 4x weekly $1,499.00 CED 4 cubic yard bin 4x weekly $3,438.68 CXG 300 gallon container 5x weekly $1,875.10 CEE 4 cubic yard bin 5x weekly $4,299.70 CXE 300 gallon container 6x weekly $620.92 CEF 4 cubic yard bin 6x weekly $5,160.72 CXF 300 gallon container 7x weekly $700.59 CEG 4 cubic yard bin 7x weekly $6,021.74 CSX City bin on City Property Per Bin $155.56 CCN Bin roll out 1x weekly $85.24 CLK Lock Charge/Per Bin $37.86 CCO Bin roll out 2x weekly $170.48 CSZ Non-Semi Auto Service 2x/weekly $98.95 CCP Bin roll out 3x weekly $255.72 CCQ Bin roll out 4x weekly $340.94 CCS Bin roll out 5x weekly $426.16 RCS .75" Per Unit $0.00 CCR Bin roll out 6x weekly $511.50 RCT 1.00" Per Unit $0.00 CCT Bin roll out 7x weekly $596.64 RCU 1.5" Per Unit $0.00 RCV 2.00" Per Unit $0.00 RCW 3.00" Per Unit $0.00 CDJ Bin Truck roll out 1x weekly $85.24 RCX 4.00" Per Unit $0.00 CDK Bin Truck roll out 2x weekly $170.46 RCY 6.00" Per Unit $0.00 CDL Bin Truck roll out 3x weekly $255.74 CDM Bin Truck roll out 4x weekly $340.99 TBD Compacted Waste Per Bin 2x Bin Rate CDO Bin Truck roll out 5x weekly $426.20 CDN Bin Truck roll out 6x weekly $511.45 CDP Bin Truck roll out 7x weekly $596.73 BIN TRUCK ROLL OUT STREET SWEEPING RATES (based on water meter size) MISCELLANEOUS BIN ROLL OUT 300 GALLON CONTAINERS 4 CUBIC YARD BINS 95 GALLON CARTS 3 CUBIC YARD BINS 65 GALLON CARTS 2 CUBIC YARD BINS Rates effective July 1, 2026 to June 30, 2027 BI-MONTHLY COMMERCIAL RATES RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 8 of 10 7.A.f Packet Pg. 511 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) SSC 1-65 gallon 1x weekly $140.78 SB2 2 cubic yard bin 1x weekly $477.86 SSD 2-65 gallon cart 1xweekly $281.56 SSZ Shared Container Service $90.82 SSE 3-65 gallon cart 1x weekly $422.34 SSF 1-95 gallon cart 1x weekly $181.64 SSG 2-95 gallon cart 1x weekly $363.28 RFE No Charge/2nd Meter $0.00 SSH 3-95 gallon cart 1x weekly $544.92 RFX Inactive Account $0.00 SSK 1-65 & 1-95 gallon cart 1x weekly $322.42 CRC Recycling Container $0.00 SX3 300 gallon container 1x weekly $417.47 SYC Yard Waste Container $0.00 RUC Residence Under Construction $140.78 MSC 1-65 gallon cart 1x weekly $140.78 MCA 3 cubic yard bin 1x weekly $716.79 MSF 1-95 gallon cart 1x weekly $181.64 MCB 3 cubic yard bin 2x weekly $1,433.58 MCC 3 cubic yard bin 3x weekly $2,150.37 MXQ 300 gallon Container 1x weekly $417.47 MCD 3 cubic yard bin 4x weekly $2,867.16 MXA 300 gallon Container 2x weekly $834.94 MCF 3 cubic yard bin 5x weekly $3,583.95 MXB 300 gallon Container 3x weekly $1,252.41 MCE 3 cubic yard bin 6x weekly $4,300.74 MXC 300 gallon Container 4x weekly $1,669.88 MXE 300 gallon Container 5x weekly $2,087.35 MDA 4 cubic yard bin 1x weekly $955.72 MXD 300 gallon Container 6x weekly $861.25 MDB 4 cubic yard bin 2x weekly $1,911.44 MDC 4 cubic yard bin 3x weekly $2,867.16 MSQ 2 cubic yard bin 1x weekly $477.86 MDD 4 cubic yard bin 4x weekly $3,822.88 MBA 2 cubic yard bin 2x weekly $955.72 MDE 4 cubic yard bin 5x weekly $4,778.60 MBB 2 cubic yard bin 3x weekly $1,433.58 MDF 4 cubic yard bin 6x weekly $5,734.32 MBC 2 cubic yard bin 4x weekly $1,911.44 MBE 2 cubic yard bin 5x weekly $2,389.30 MBN Bin roll out 1x weekly $94.62 MBD 2 cubic yard bin 6x weekly $2,867.16 MBO Bin roll out 2x weekly $189.24 $0.00 MBP Bin roll out 3x weekly $283.86 MFV Livable Unit Charge $0.00 MBQ Bin roll out 4x weekly $378.48 MFE No Charge/2nd Meter $0.00 MBS Bin roll out 5x weekly $473.10 MLK Lock Charge/Per Bin $42.02 MBR Bin roll out 6x weekly $567.72 MSY City Bin on City Property Per Bin $172.67 MSZ Share Bin/Cart Service $90.82 MCJ Bin truck roll out 1x weekly $94.62 MCK Bin truck roll out 2x weekly $189.24 TBD Compacted Waste Per Bin 2x Bin Rate MCL Bin truck roll out 3x weekly $283.86 MCM Bin truck roll out 4x weekly $378.48 MCN Bin truck roll out 5x weekly $473.10 MCO Bin truck roll out 6x weekly $567.72 MISCELLANEOUS MULTI-FAMILY CART/BIN RATES SINGLE FAMILY RATESSINGLE FAMILY RATES Rates effective July 1, 2027 to June 30, 2028 BI-MONTHLY SINGLE/MULTI FAMILY RATES RESOURCE RECOVERY & RECYCLING DIVISION DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 9 of 10 7.A.f Packet Pg. 512 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study) CSA 1-65 gallon cart 1x weekly $135.38 CBA 2 cubic yard bin 1x weekly $472.46 CSB 1-65 gallon cart 2x weekly $276.16 CBB 2 cubic yard bin 2x weekly $950.32 CSC 1-65 gallon cart 3x weekly $416.94 CBC 2 cubic yard bin 3x weekly $1,428.18 CSE 1-65 gallon cart 4x weekly $557.72 CBD 2 cubic yard bin 4x weekly $1,906.04 CSF 1-65 gallon cart 5x weekly $698.50 CBG 2 cubic yard bin 5x weekly $2,383.90 CSD 1-65 gallon cart 6x weekly $205.43 CBE 2 cubic yard bin 6x weekly $2,861.76 CSG 1-65 gallon cart 7x weekly $239.67 CBF 2 cubic yard bin 7x weekly $3,339.62 CTA 1-95 gallon cart 1x weekly $176.24 CDA 3 cubic yard bin 1x weekly $711.39 CTB 1-95 gallon cart 2x weekly $357.88 CDB 3 cubic yard bin 2x weekly $1,428.18 CTC 1-95 gallon cart 3x weekly $539.52 CDC 3 cubic yard bin 3x weekly $2,144.97 CTF 1-95 gallon cart 4x weekly $721.16 CDE 3 cubic yard bin 4x weekly $2,861.76 CTG 1-95 gallon cart 5x weekly $902.80 CDH 3 cubic yard bin 5x weekly $3,578.55 CTD 1-95 gallon cart 6x weekly $292.34 CDF 3 cubic yard bin 6x weekly $4,295.34 CTE 1-95 gallon cart 7x weekly $341.07 CDG 3 cubic yard bin 7x weekly $5,012.13 CXA 300 gallon container 1x weekly $412.07 CEA 4 cubic yard bin 1x weekly $950.32 CXB 300 gallon container 2x weekly $829.54 CEB 4 cubic yard bin 2x weekly $1,906.04 CXC 300 gallon container 3x weekly $1,247.01 CEC 4 cubic yard bin 3x weekly $2,861.76 CXD 300 gallon container 4x weekly $1,664.48 CED 4 cubic yard bin 4x weekly $3,817.48 CXG 300 gallon container 5x weekly $2,081.95 CEE 4 cubic yard bin 5x weekly $4,773.20 CXE 300 gallon container 6x weekly $620.92 CEF 4 cubic yard bin 6x weekly $5,728.92 CXF 300 gallon container 7x weekly $700.59 CEG 4 cubic yard bin 7x weekly $6,684.64 CSX City bin on City Property Per Bin $172.67 CCN Bin roll out 1x weekly $94.62 CLK Lock Charge/Per Bin $42.02 CCO Bin roll out 2x weekly $189.24 CSZ Non-Semi Auto Service 2x/weekly $109.83 CCP Bin roll out 3x weekly $283.86 CCQ Bin roll out 4x weekly $378.45 CCS Bin roll out 5x weekly $473.04 RCS .75" Per Unit $0.00 CCR Bin roll out 6x weekly $567.77 RCT 1.00" Per Unit $0.00 CCT Bin roll out 7x weekly $662.28 RCU 1.5" Per Unit $0.00 RCV 2.00" Per Unit $0.00 RCW 3.00" Per Unit $0.00 CDJ Bin Truck roll out 1x weekly $94.62 RCX 4.00" Per Unit $0.00 CDK Bin Truck roll out 2x weekly $189.21 RCY 6.00" Per Unit $0.00 CDL Bin Truck roll out 3x weekly $283.87 CDM Bin Truck roll out 4x weekly $378.49 TBD Compacted Waste Per Bin 2x Bin Rate CDO Bin Truck roll out 5x weekly $473.08 CDN Bin Truck roll out 6x weekly $567.70 CDP Bin Truck roll out 7x weekly $662.37 BIN TRUCK ROLL OUT STREET SWEEPING RATES (based on water meter size) BIN ROLL OUT MISCELLANEOUS 4 CUBIC YARD BINS300 GALLON CONTAINERS 3 CUBIC YARD BINS95 GALLON CARTS RESOURCE RECOVERY & RECYCLING DIVISION Rates effective July 1, 2027 to June 30, 2028 BI-MONTHLY COMMERCIAL RATES 2 CUBIC YARD BINS65 GALLON CARTS DRAFTAttachment 2 Santa Monica RRR 5-Year Rate Study 10 of 10 7.A.f Packet Pg. 513 Attachment: Draft Report of Santa Monica Five-Year Solid Waste Rate Study, 2023-2028 [Revision 1] (5616 : Solid Waste Rate Study)