FY 18 Annual Report

Landfill

2018

CITY OF SPENCER, IOWA

Departmental Highlights

Budget Review The City owns and operates the Northern Plains Regional Landfill located south of Graettinger, Iowa. This fund accounts for the business-like activities of the landfill operations. The Landfill is funded primarily through tipping fees that users of the landfill pay to dispose of solid waste. The Landfill serves the City of Spencer, unincorporated Clay County, Emmet County, Palo Alto County, Pocahontas County and the cities of Bode and Whittemore. Beginning July 1, 2018 the landfill banned the acceptance of corrugated cardboard and e-waste for disposal in the landfill. The city established a penalty system for loads that continually bring in loads that contain banned materials. As part of the roll-out of this program, the landfill was able to assist the counties and communities that have contracts with the landfill for disposal of waste. This help came in the form of additional recycling containers/trailers that can be placed through their respective jurisdiction and portable storage facilities at each county transfer station for the storage of e-waste. The City also entered into ta area wide contract for the collection of e-waste for proper recycling. Each entity can call up the vendor and arrange for pickup of the e-waste martials. The department has several reserve accounts which are used for all capital equipment and infrastructure projects for the division. City financial policy requires the city to carry a positive cash balance in each of the enterprise funds at the end of the fiscal year. At a minimum, the balance should be 25% of the department appropriations for the succeeding fiscal year to provide adequate cash flow and emergency cash funding. Any operational revenues above the minimum balance may be transferred to the capital reserve accounts. In addition to the reserve accounts, the division also is mandated by state law to create and fund a closure and post closure account to ensure that the City has the necessary funds to permanently close cells and/or the entire landfill at some point in the future. The Household Hazardous Waste Regional Collection center is operated as a division of the landfill. The permanent collection site for the planning area is housed at the Spencer Transfer Station , while a satellite facility is located at the Palo Alto County transfer station. Residents are allowed to dispose of household hazardous waste for free while small businesses can dispose of waste for a nominal charge. The operating also conducts several mobile collection events within the planning every year. FY 18 saw the completion the construction of a new cell and leachate pond improvements. Total expenditures for the landfill totaled $3,536,296.53 for FY 18, which is an increase of $886,806.04 (+33.47%) compared to FY 17. Total departmental operational expenditures decreased in FY 18 compared to FY 17. The decrease was seen across the majority of the budgetary categories, however, the repairs, maintenance and utilities category saw a significant increase of $17,739.58 compared to FY 17. The cause of this increase was due to an increase in road maintenance and equipment maintenance and repairs. Capital projects increased in FY 18 due to the construction of an additional cell at the landfill. Expenditures related to the city's EMS program increased as the city purchased recycling trailers and containers for the storage of e-waste at various sites throughout the planning area. These purchases were necessitated by the city banning the acceptance of cardboard and e-waste at the landfill. One additional project that was undertaken in FY 18 was the creation of a fire control plan at the landfill. The Regional Collection Center operations saw an increase to its operations because of increased disposal costs of collected hazardous waste. Overall the department expended 108.78% of its budget. Interfund transfers were a primary reason for the expenditure overage as these exceeded the budgeted amount by 17% Operational revenues decreased by $281,674 in FY 18 compared to FY 17. 42% of this decrease came from lower transfers from the City of Spencer to reimburse the Landfill for disposal of waste from the City./ In FY 18, the decision was made to cap the city's contribution to the landfill at a fixed rate versus paying the normal per ton rate at the landfill. Also, overall tonnage was down slightly in FY 18. This may be in part due to large storm damage in the planning area in FY 17.

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