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HomeMy WebLinkAboutSubmittal-Current Recycling vs. Conversion to Single StreamCurrent Recycling vs. Conversion to Single Stream Revenue: WSI Proposed Rate (1): $ 18.05 CURRENT SINGLE STREAM Bin Recycling Tonnage (2): 2,878.13 Single Stream 11,878.13 Recycling Tonnage (3): ANNUAL REVENUE: $ 51,950.25 $ 214,400.25 Tipping Fee Cost Savings County Rate (4): $ 61.49 Tonnage Diverted TIPPING FEE COST SAVINGS $ 176,976.21 $ 730,386.21 TOTAL REVENUE & COST SAVINGS $ 228,926.46 $ 944,786.46 Operating Costs: Personnel Cost (5) $ 331,991.92 $ 125,316.36 Fuel Costs (6) $ 57,186.00 $ 21,603.60 Maintenance Cost (7) $ 121,383.62 $ 17,918.73 TOTAL OPERATING COSTS $ 510,561.54 $ 164,838.69 REVENUE & SAVINGS IN EXCESS OF EXPENSES: $ (281,635.08) $ 779,947.77 INVESTMENT PAY -BACK ANALYSIS (8) Number of units (9) Recycling Container (10) Container Cost 69,300 $50.00 $3,465,000.00 INVESTMENT PAY -BACK 4.4 Years (1) Rate proposed from WSI of $19.00/ton minus 5% for waste. (2) Annualized based on five (5) months beginning January 1, 2011 thru May 31, 2011. (3) Estimated increase in recycling with conversation to single stream. (4) Weighted average with 90% of garbage going to resource recovery at $60.30/ton and 10% going to transfer station at $72.17/ton. (5) The current operation has ten (10) personnel; five (5) drivers and (5) collectors with weekly pick-up. With a conversion to single stream, we will be able to use the newly purchased automated hybrid trucks and the number of personnel will be reduced to three (3) drivers with bi-weekly pick-up. (6) The current recycling operation consumes 16,200 gallons of diesel fuel per year; the single stream operation is estimated to consume 6,120 gallons per year. For this analysis, the average fuel cost was estimated to be $3.53/gallon. (7) Annual maintenance cost for the current operation averages $121,383.62. The single stream annual maintenance cost is estimated to be $17,918.73. (8) Because the trucks to be utilized have already been purchased, the pay -back analysis will only include the cost for containers. (9) Number of units serviced. (10) Estimated cost for recycling containers Updated on 7/14/11