1 00:00:00,000 --> 00:00:04,800 - Okay, good morning. 2 00:00:04,800 --> 00:00:07,900 It is nine o'clock and we have a quorum. 3 00:00:07,900 --> 00:00:12,320 So call to order the public utilities board 4 00:00:12,320 --> 00:00:16,600 for the city of Denton for Monday, March 27th of 2023. 5 00:00:16,600 --> 00:00:19,680 The first item is presentations from members of the public. 6 00:00:19,680 --> 00:00:24,680 Is anyone from the public here to make any comments? 7 00:00:24,680 --> 00:00:26,520 Okay, I see none. 8 00:00:26,520 --> 00:00:28,980 Let's move on to the consent agenda. 9 00:00:28,980 --> 00:00:32,700 Does any board member wish to pull a board item 10 00:00:32,700 --> 00:00:33,620 of A or B? 11 00:00:33,620 --> 00:00:36,600 Okay, I see none. 12 00:00:36,600 --> 00:00:39,200 Do we have a motion to approve items A and B? 13 00:00:39,200 --> 00:00:40,200 - So moved. 14 00:00:40,200 --> 00:00:41,320 - Thank you, Devin. 15 00:00:41,320 --> 00:00:42,760 Do we have a second? - So moved. 16 00:00:42,760 --> 00:00:43,680 - Thank you, Billy. 17 00:00:43,680 --> 00:00:44,920 All in favor say aye. 18 00:00:44,920 --> 00:00:46,120 - Aye. - Aye. 19 00:00:46,120 --> 00:00:47,000 Motion carries. 20 00:00:47,000 --> 00:00:49,160 Next item is consider approval 21 00:00:49,160 --> 00:00:51,700 of the March 13th, 2023 minutes. 22 00:00:51,700 --> 00:00:54,660 Do we have any changes or corrections? 23 00:00:54,660 --> 00:00:58,200 All right, do we have a motion to approve? 24 00:00:58,200 --> 00:00:59,480 - So moved. - Thank you, Barbara. 25 00:00:59,480 --> 00:01:01,080 And a second? 26 00:01:01,080 --> 00:01:02,280 Tom, thank you. 27 00:01:02,280 --> 00:01:03,920 All in favor say aye. 28 00:01:03,920 --> 00:01:05,100 - Aye. - Aye. 29 00:01:05,100 --> 00:01:05,940 Motion carries. 30 00:01:05,940 --> 00:01:08,240 We're gonna call items B and C together 31 00:01:08,240 --> 00:01:10,760 because they have a single presentation 32 00:01:10,760 --> 00:01:12,920 but we do need to vote on them separately. 33 00:01:29,040 --> 00:01:32,320 Do you need to read them off or at all? 34 00:01:32,320 --> 00:01:33,420 - Do I need to read them? 35 00:01:33,420 --> 00:01:34,560 - Okay. - I usually read them. 36 00:01:34,560 --> 00:01:35,960 - Okay, thank you. 37 00:01:35,960 --> 00:01:37,480 Haven't been to PMU in a while. 38 00:01:37,480 --> 00:01:39,800 Good morning, Randy Klingle, Treasury Manager. 39 00:01:39,800 --> 00:01:41,240 And I have a brief presentations 40 00:01:41,240 --> 00:01:44,240 about the notice of intents for certificates of obligation. 41 00:01:44,240 --> 00:01:49,000 The purpose of the notice of intent, 42 00:01:49,000 --> 00:01:50,780 we do it for the certificates of obligation 43 00:01:50,780 --> 00:01:53,180 because it is required by state law. 44 00:01:53,180 --> 00:01:56,540 We must publish this notice two times in our local paper. 45 00:01:56,540 --> 00:01:59,140 So we will publish this in the Denton Record Chronicle. 46 00:01:59,140 --> 00:02:01,040 We also will put it on our city's website 47 00:02:01,040 --> 00:02:03,280 for the duration of the notice. 48 00:02:03,280 --> 00:02:06,800 We will also pass a bond ordinance 49 00:02:06,800 --> 00:02:10,020 at least 46 days after the first publication. 50 00:02:10,020 --> 00:02:11,740 So that will be happening in a couple of weeks 51 00:02:11,740 --> 00:02:13,000 after we take this to council 52 00:02:13,000 --> 00:02:15,000 after your recommendation today. 53 00:02:15,000 --> 00:02:16,600 Most of my presentation 54 00:02:16,600 --> 00:02:19,780 is about each utilities project list fund 55 00:02:19,780 --> 00:02:22,060 that you approved as a budget item. 56 00:02:22,060 --> 00:02:24,120 And then you also note it'll have a new column 57 00:02:24,120 --> 00:02:26,480 that has the notice of intent item list 58 00:02:26,480 --> 00:02:28,600 which has a new total on some of those. 59 00:02:28,600 --> 00:02:30,320 And we will just briefly go over those. 60 00:02:30,320 --> 00:02:31,640 We do have the department's presence 61 00:02:31,640 --> 00:02:35,020 if you have specific questions regarding the actual projects. 62 00:02:35,020 --> 00:02:38,000 So our first utility is Solid Waste, 63 00:02:38,000 --> 00:02:40,880 which their budget and their notice of intent project list 64 00:02:40,880 --> 00:02:42,580 came in the same at $16 million. 65 00:02:42,580 --> 00:02:47,240 The Water Department reduced their budget 66 00:02:47,240 --> 00:02:48,980 by about $3 million. 67 00:02:48,980 --> 00:02:50,480 And that's mostly in the line 68 00:02:50,480 --> 00:02:52,460 of the water transmission lines. 69 00:02:52,460 --> 00:02:56,080 They did an analysis and they just not needed as much funds 70 00:02:56,080 --> 00:02:57,680 in the beginning of the year as they thought. 71 00:02:57,680 --> 00:02:59,620 So they reduced that by 3 million. 72 00:02:59,620 --> 00:03:04,000 The Waste Water Department did have a larger reduction 73 00:03:04,000 --> 00:03:06,000 from the budget to the notice of intent 74 00:03:06,000 --> 00:03:08,760 reducing for about $11 million. 75 00:03:08,760 --> 00:03:10,320 And the discussion with that department 76 00:03:10,320 --> 00:03:13,220 is in the solid handlings improvement line item 77 00:03:13,220 --> 00:03:15,140 from 12 million to two. 78 00:03:15,140 --> 00:03:17,680 That was the full contract amount at the time. 79 00:03:17,680 --> 00:03:18,600 And after reviewing, 80 00:03:18,600 --> 00:03:21,200 they only needed about $2 million this fiscal year. 81 00:03:21,200 --> 00:03:24,000 So you'll see that 12 million roll out in future years. 82 00:03:24,000 --> 00:03:26,440 But that is-- - Does that come under 83 00:03:26,440 --> 00:03:29,600 existing contracts or is that just a prediction 84 00:03:29,600 --> 00:03:30,920 of what will happen? 85 00:03:30,920 --> 00:03:33,400 - My understanding is that is a contracted amount 86 00:03:33,400 --> 00:03:35,200 and you'll probably see that come forth later 87 00:03:35,200 --> 00:03:37,160 and they'll use commercial paper 88 00:03:37,160 --> 00:03:39,060 to get the full contract amount, 89 00:03:39,060 --> 00:03:40,880 but the funds they'll only need 90 00:03:40,880 --> 00:03:42,320 through multiple years ahead. 91 00:03:42,320 --> 00:03:49,500 Electric is the last utility fund. 92 00:03:49,500 --> 00:03:52,520 So we had a $30 million budget increase 93 00:03:52,520 --> 00:03:56,120 from the notice intent from the budget. 94 00:03:56,120 --> 00:04:00,120 And Daniel Stanford came in a couple of weeks ago 95 00:04:00,120 --> 00:04:03,360 and y'all did recommend the budget improvement for that. 96 00:04:03,360 --> 00:04:05,880 And that is mostly due to the transformers 97 00:04:05,880 --> 00:04:08,540 and the increasing cost of those 98 00:04:08,540 --> 00:04:11,960 over the last several months, if not even longer. 99 00:04:11,960 --> 00:04:15,080 I think he quoted 300% increase in those costs. 100 00:04:15,080 --> 00:04:17,040 So that is majority of that. 101 00:04:17,040 --> 00:04:18,840 But you also see a note at the bottom. 102 00:04:18,840 --> 00:04:21,440 There are some other projects like the LED conversions, 103 00:04:21,440 --> 00:04:24,600 the Hickory GIS and some text dot relocations, 104 00:04:24,600 --> 00:04:25,880 which they reviewed again. 105 00:04:25,880 --> 00:04:28,820 And that is part of the increase for the electric fund. 106 00:04:28,820 --> 00:04:49,880 And the comparison is also in the AIS, 107 00:04:49,880 --> 00:04:51,480 if you need to look at it a little further too, 108 00:04:51,480 --> 00:04:55,600 but a little give and take on several of the line items, 109 00:04:55,600 --> 00:04:57,080 but you should see where the bulk is. 110 00:04:57,080 --> 00:04:58,560 - Most of it's just the- 111 00:04:58,560 --> 00:05:00,220 - Transformers. - Development. 112 00:05:00,220 --> 00:05:04,040 Correct, we got transmission lines up there too, 113 00:05:04,040 --> 00:05:06,080 but we're on a pretty big jump. 114 00:05:06,080 --> 00:05:08,560 - Yes, and I believe they reduce the transformers 115 00:05:08,560 --> 00:05:10,040 and then, or the substations 116 00:05:10,040 --> 00:05:13,720 and increase the transformer lines 117 00:05:13,720 --> 00:05:15,980 just with residential and commercial growth. 118 00:05:15,980 --> 00:05:17,680 Would you agree with that, Tony? 119 00:05:17,680 --> 00:05:19,600 - Yeah, I'll just point out that 120 00:05:19,600 --> 00:05:22,040 Dennis Intents really sets the maximum 121 00:05:22,040 --> 00:05:25,800 that we can issue after this 46 day period. 122 00:05:25,800 --> 00:05:28,200 And so we're gonna continue to work through that time 123 00:05:28,200 --> 00:05:30,760 and see if we can continue to finalize these numbers. 124 00:05:30,760 --> 00:05:32,720 And so I'm really hopeful, 125 00:05:32,720 --> 00:05:34,640 not putting pressure on Jerry Fielder who's here, 126 00:05:34,640 --> 00:05:37,880 but I'm really hopeful that we can parse that down 127 00:05:37,880 --> 00:05:40,960 a little bit more and so it won't be as dramatic. 128 00:05:40,960 --> 00:05:43,120 - If you've got new revenue coming in 129 00:05:43,120 --> 00:05:46,560 because of the T cost and that's a different thing, 130 00:05:46,560 --> 00:05:50,200 and obviously you wanna spend money to make money. 131 00:05:50,200 --> 00:05:52,280 - Well, that's a good point. 132 00:05:52,280 --> 00:05:54,400 For all these items that are transmission related, 133 00:05:54,400 --> 00:05:56,760 there is a reimbursement that we get 134 00:05:56,760 --> 00:05:59,240 through our transmission cost service. 135 00:05:59,240 --> 00:06:01,240 As you guys know, we're still working through that process, 136 00:06:01,240 --> 00:06:05,520 but about 50% roughly of this bond issue 137 00:06:05,520 --> 00:06:07,240 is T-coast eligible. 138 00:06:07,240 --> 00:06:09,800 - Electric wind locations. 139 00:06:09,800 --> 00:06:13,080 Can you explain that line item to me, please? 140 00:06:13,080 --> 00:06:14,300 - Jerry, come up here. 141 00:06:14,300 --> 00:06:15,140 - Sorry, Jerry. 142 00:06:16,200 --> 00:06:18,020 - He thought he was gonna get away. 143 00:06:18,020 --> 00:06:18,860 - We're still friends. 144 00:06:18,860 --> 00:06:21,040 - You're all dressed up, so you may as well come up. 145 00:06:21,040 --> 00:06:24,360 - Jerry Fielder, division engineering manager. 146 00:06:24,360 --> 00:06:26,120 Tony was doing a good job. 147 00:06:26,120 --> 00:06:29,760 No, relocations is mainly dealing with TextDOT. 148 00:06:29,760 --> 00:06:32,120 Whenever we first had budgeted for all the projects 149 00:06:32,120 --> 00:06:36,160 that we did relocate for TextDOT, we had a set of plans. 150 00:06:36,160 --> 00:06:41,080 TextDOT has increased, I guess, the amount of space 151 00:06:41,080 --> 00:06:42,880 or whatever that they wanted to take. 152 00:06:42,880 --> 00:06:45,560 And so it's increased the number of encroachments 153 00:06:45,560 --> 00:06:47,360 that we have or relocations that we have. 154 00:06:47,360 --> 00:06:50,120 So it's jacked up the price significantly 155 00:06:50,120 --> 00:06:51,120 when it came to those. 156 00:06:51,120 --> 00:06:55,440 - Okay, I've said it before, I'll say it again. 157 00:06:55,440 --> 00:06:57,160 For someone who builds roads, 158 00:06:57,160 --> 00:07:04,800 the delays that are caused by utility relocates 159 00:07:04,800 --> 00:07:07,280 are not your problem. 160 00:07:07,280 --> 00:07:08,680 You guys are fantastic. 161 00:07:08,680 --> 00:07:09,520 - Thank you. 162 00:07:09,520 --> 00:07:10,680 - You get right out there and get it done 163 00:07:10,680 --> 00:07:15,440 'cause you are a public utility and care about the public. 164 00:07:15,440 --> 00:07:19,240 It's the franchise utilities that delay everything. 165 00:07:19,240 --> 00:07:22,080 That's kind of why I pulled that line out. 166 00:07:22,080 --> 00:07:23,480 - I'll take kudos anytime. 167 00:07:23,480 --> 00:07:24,480 - Absolutely. 168 00:07:24,480 --> 00:07:26,000 - Yeah, I just pointed out Billy on those. 169 00:07:26,000 --> 00:07:29,680 We do anticipate some level of reimbursement from the state. 170 00:07:29,680 --> 00:07:32,760 Unfortunately, they're not as quick to pay as we are, 171 00:07:32,760 --> 00:07:35,080 so we tend to issue bonds. 172 00:07:35,080 --> 00:07:37,320 Once we get reimbursed, we then repurpose those bonds 173 00:07:37,320 --> 00:07:40,000 for other projects, that subsequently then lowers 174 00:07:40,000 --> 00:07:42,200 the bond sale for the next year. 175 00:07:42,200 --> 00:07:45,240 - And some utilities, you're just responsible 176 00:07:45,240 --> 00:07:47,960 for your own relocates because you've had that land 177 00:07:47,960 --> 00:07:50,040 for free from the state, and they'll say, 178 00:07:50,040 --> 00:07:51,320 no, we're not paying you for it. 179 00:07:51,320 --> 00:07:53,560 You just gotta move it, right? 180 00:07:53,560 --> 00:07:56,480 - Yeah, not all relocations are created equal, for sure. 181 00:07:56,480 --> 00:07:57,480 - Right, yeah. 182 00:07:57,480 --> 00:08:01,000 - Okay. 183 00:08:01,000 --> 00:08:01,840 Thank you, Jerry. 184 00:08:01,840 --> 00:08:05,320 - And like Tony said, all the utilities, 185 00:08:05,320 --> 00:08:07,520 you know, for the next time I come up for you 186 00:08:07,520 --> 00:08:08,720 for the bond parameter orders, 187 00:08:08,720 --> 00:08:11,560 they'll all take, constantly take reviews of these projects 188 00:08:11,560 --> 00:08:13,520 to see what they can do to tweak them. 189 00:08:15,560 --> 00:08:17,720 So the total notice of intent for all the COs 190 00:08:17,720 --> 00:08:21,760 is 181,771,000 with those four utilities 191 00:08:21,760 --> 00:08:23,040 that we just discussed. 192 00:08:23,040 --> 00:08:26,000 Okay. 193 00:08:26,000 --> 00:08:28,600 So next steps, after your recommendation, 194 00:08:28,600 --> 00:08:30,240 I will take this to council on April 4th, 195 00:08:30,240 --> 00:08:33,360 so we can issue the notice of intent and make those postings. 196 00:08:33,360 --> 00:08:35,360 And then in May, we'll have the bond ordinance 197 00:08:35,360 --> 00:08:38,640 come back to the PUB, which will be our final sale list 198 00:08:38,640 --> 00:08:40,200 for you guys to recommend. 199 00:08:40,200 --> 00:08:42,800 Take it forth to council after that in June. 200 00:08:42,800 --> 00:08:45,560 And we hope to have the sale about the third week of June, 201 00:08:45,560 --> 00:08:47,840 and then we'll receive proceeds in July. 202 00:08:47,840 --> 00:08:50,840 So that's the further timeline out for this year's bond sale. 203 00:08:50,840 --> 00:08:54,560 And then any further questions? 204 00:08:54,560 --> 00:08:55,760 - Any further questions? 205 00:08:55,760 --> 00:08:58,840 All right. 206 00:08:58,840 --> 00:09:00,040 Oh, go ahead. 207 00:09:00,040 --> 00:09:05,040 - So just to clarify and probably educate 208 00:09:05,040 --> 00:09:08,200 maybe any public who might be watching, 209 00:09:08,200 --> 00:09:12,680 what does this do to the total debt load 210 00:09:12,680 --> 00:09:14,960 of the utilities? 211 00:09:14,960 --> 00:09:19,040 - In total dollars or it increases 212 00:09:19,040 --> 00:09:23,000 their total debt service payments overall, 213 00:09:23,000 --> 00:09:24,720 it will add to there. 214 00:09:24,720 --> 00:09:26,320 - Okay, so let me, 215 00:09:26,320 --> 00:09:32,720 is this a total net increase of maximum debt 216 00:09:32,720 --> 00:09:34,680 by this amount perpetually, 217 00:09:34,680 --> 00:09:39,080 or have previous COs been paid off 218 00:09:39,080 --> 00:09:40,560 and been removed from the stack? 219 00:09:40,560 --> 00:09:42,120 - Previous COs have been paid off. 220 00:09:42,120 --> 00:09:43,600 They accumulate over time, 221 00:09:43,600 --> 00:09:45,280 and then we refund them any time we can. 222 00:09:45,280 --> 00:09:46,520 They are callable in nine years, 223 00:09:46,520 --> 00:09:47,600 and we may refinance them, 224 00:09:47,600 --> 00:09:50,120 and they move forward to current debt. 225 00:09:50,120 --> 00:09:51,640 So there is debt on the books, 226 00:09:51,640 --> 00:09:54,560 and I believe most of this is 20, 30 year debt 227 00:09:54,560 --> 00:09:55,400 that we have here. 228 00:09:55,400 --> 00:09:57,360 Those are the terms of these projects here. 229 00:09:57,360 --> 00:09:58,720 - Okay. 230 00:09:58,720 --> 00:09:59,960 I guess I was trying to look for, 231 00:09:59,960 --> 00:10:02,120 you might not have this information readily available, 232 00:10:02,120 --> 00:10:07,240 of what the pattern is as old debt gets paid off, 233 00:10:07,240 --> 00:10:10,000 and new debt, this is new projects. 234 00:10:10,000 --> 00:10:11,600 Some of this is growth, 235 00:10:11,600 --> 00:10:14,680 and some of this is existing areas of the city. 236 00:10:14,680 --> 00:10:17,600 So we would expect the total debt load to increase, 237 00:10:17,600 --> 00:10:21,080 maybe not $200 million a year, right? 238 00:10:21,080 --> 00:10:22,120 Some of that's been paid off, 239 00:10:22,120 --> 00:10:23,280 and some of this is, 240 00:10:23,280 --> 00:10:25,040 I don't know when the last time we issued COs, 241 00:10:25,040 --> 00:10:26,160 I don't know if it was last year, 242 00:10:26,160 --> 00:10:27,480 if it wasn't here, okay. 243 00:10:27,480 --> 00:10:32,480 If this is like what that kind of trend in debt is. 244 00:10:32,480 --> 00:10:34,560 - I can bring that back. 245 00:10:34,560 --> 00:10:36,320 - Yeah, that'd be great, thank you. 246 00:10:36,320 --> 00:10:39,760 - Maybe the bond capacity that we can have. 247 00:10:39,760 --> 00:10:40,680 - Yeah. 248 00:10:40,680 --> 00:10:44,160 - Yeah, and it should be kind of interesting to see 249 00:10:44,160 --> 00:10:46,520 how much of this is growth as the city grows, 250 00:10:46,520 --> 00:10:48,760 and infrastructure needs grow, 251 00:10:48,760 --> 00:10:53,320 versus just ongoing kind of revitalization 252 00:10:53,320 --> 00:10:54,880 of existing infrastructure. 253 00:10:54,880 --> 00:10:55,720 - Okay. 254 00:10:55,720 --> 00:10:56,560 - Thank you. 255 00:10:56,560 --> 00:10:57,400 - Absolutely. 256 00:10:57,400 --> 00:11:00,640 Other questions? 257 00:11:00,640 --> 00:11:02,920 Nope, okay. 258 00:11:02,920 --> 00:11:04,800 Do we have a motion to approve item B, 259 00:11:04,800 --> 00:11:09,640 the notice of intention to issue $52 million in principal 260 00:11:09,640 --> 00:11:12,560 for certificates of obligation for the city of Denton 261 00:11:12,560 --> 00:11:14,960 for general government and solid waste projects? 262 00:11:14,960 --> 00:11:18,680 Okay, feeling moved? 263 00:11:18,680 --> 00:11:19,920 I think Devin's second. 264 00:11:19,920 --> 00:11:21,600 All in favor say aye. 265 00:11:21,600 --> 00:11:22,440 - Aye. 266 00:11:22,440 --> 00:11:23,280 - Aye. 267 00:11:23,280 --> 00:11:25,520 - Okay, the next one is item C, 268 00:11:25,520 --> 00:11:29,240 publication of notice of intent to issue $167 million 269 00:11:29,240 --> 00:11:31,680 in principal amounts of certificates of obligation 270 00:11:31,680 --> 00:11:34,360 for the city of Denton for waterworks and wastewater 271 00:11:34,360 --> 00:11:36,240 and electric system projects. 272 00:11:36,240 --> 00:11:37,320 Do we have a motion? 273 00:11:38,880 --> 00:11:40,000 Devin moves. 274 00:11:40,000 --> 00:11:41,440 Do we have a second? 275 00:11:41,440 --> 00:11:42,280 Barbara seconds. 276 00:11:42,280 --> 00:11:43,720 All in favor say aye. 277 00:11:43,720 --> 00:11:44,560 - Aye. 278 00:11:44,560 --> 00:11:45,920 - Motion carries. 279 00:11:45,920 --> 00:11:46,760 - Thank you. 280 00:11:46,760 --> 00:11:47,580 - Thank you. 281 00:11:47,580 --> 00:11:48,920 Management reports. 282 00:11:48,920 --> 00:11:50,680 - So Madam Chair, members of the PB, 283 00:11:50,680 --> 00:11:52,800 so the two items that we have here for you 284 00:11:52,800 --> 00:11:55,640 are just the future agenda items. 285 00:11:55,640 --> 00:11:56,680 Coming up on April 10th, 286 00:11:56,680 --> 00:12:00,400 we have a update on the wastewater master plan. 287 00:12:00,400 --> 00:12:03,120 And as I said before, after that period, 288 00:12:03,120 --> 00:12:05,800 there'll be a lot of budget discussions with you. 289 00:12:06,800 --> 00:12:09,000 Certainly there'll be a lot of conversations going on 290 00:12:09,000 --> 00:12:13,240 this year with rates and cost of service studies 291 00:12:13,240 --> 00:12:14,320 and what have you. 292 00:12:14,320 --> 00:12:17,200 So please make sure that you have your calendars 293 00:12:17,200 --> 00:12:19,440 up to date on that so that you can be here. 294 00:12:19,440 --> 00:12:21,480 And then for new business action items, 295 00:12:21,480 --> 00:12:22,880 believe it or not, this is the first time 296 00:12:22,880 --> 00:12:26,680 in a couple of years that we have no outstanding items. 297 00:12:26,680 --> 00:12:29,200 Certainly I'm not encouraging you to add anything today, 298 00:12:29,200 --> 00:12:31,080 but certainly if you have something 299 00:12:31,080 --> 00:12:33,200 that you're interested in, please let us know. 300 00:12:33,200 --> 00:12:34,040 We'll be happy to do that. 301 00:12:34,040 --> 00:12:37,040 And we'll make sure I'll work with Randy 302 00:12:37,040 --> 00:12:40,200 on getting a response to Mr. Taylor's request. 303 00:12:40,200 --> 00:12:42,380 We'll try to get that in the next management update. 304 00:12:42,380 --> 00:12:44,980 - Do you have any rights that you think are gonna go down? 305 00:12:44,980 --> 00:12:48,480 (laughing) 306 00:12:48,480 --> 00:12:51,080 - I'm gonna let the finance people respond to that. 307 00:12:51,080 --> 00:12:54,080 - Yeah, you're gonna walk away from that one. 308 00:12:54,080 --> 00:12:55,360 (laughing) 309 00:12:55,360 --> 00:12:56,200 - So good morning. 310 00:12:56,200 --> 00:12:58,440 Nick Vincent, Interim Finance Director. 311 00:12:58,440 --> 00:12:59,360 To answer your question, 312 00:12:59,360 --> 00:13:02,280 we do not have anticipation of rates decreasing. 313 00:13:02,280 --> 00:13:03,920 We'll probably be talking about rate increases 314 00:13:03,920 --> 00:13:04,760 this fiscal year. 315 00:13:04,760 --> 00:13:06,160 So it's yet to be determined. 316 00:13:06,160 --> 00:13:08,760 It'll come forward to you in the coming months though. 317 00:13:08,760 --> 00:13:12,100 - So keep our calendars clear. 318 00:13:12,100 --> 00:13:14,340 (laughing) 319 00:13:14,340 --> 00:13:17,400 - You never ask a question 320 00:13:17,400 --> 00:13:19,220 that you don't really know the answer to. 321 00:13:19,220 --> 00:13:21,520 (laughing) 322 00:13:21,520 --> 00:13:23,380 - Madam Chair, those are the two items 323 00:13:23,380 --> 00:13:25,400 that I was really happy to answer any questions you may have. 324 00:13:25,400 --> 00:13:27,160 - All right, thank you. 325 00:13:27,160 --> 00:13:28,560 Then we're to concluding items. 326 00:13:28,560 --> 00:13:30,000 Does any board member have anything 327 00:13:30,000 --> 00:13:31,600 they want added to a future agenda 328 00:13:31,600 --> 00:13:33,700 or have any comments they'd like to make? 329 00:13:33,700 --> 00:13:36,560 I see none. 330 00:13:36,560 --> 00:13:40,560 Okay, work session, PUB 2308. 331 00:13:40,560 --> 00:13:43,120 Hold a discussion on the solid waste 332 00:13:43,120 --> 00:13:46,640 and recycling rewrite of the solid waste ordinance. 333 00:13:46,640 --> 00:13:49,640 And I appreciate that you put 45 minutes on there 334 00:13:49,640 --> 00:13:51,380 so that we know about how long. 335 00:14:00,960 --> 00:14:02,960 - Good morning, my name's Tammy Clausing. 336 00:14:02,960 --> 00:14:05,400 I'm the Assistant Director for Solid Waste and Recycling. 337 00:14:05,400 --> 00:14:07,720 And today we'll be talking about 338 00:14:07,720 --> 00:14:09,760 the proposed solid waste ordinance update 339 00:14:09,760 --> 00:14:11,780 to include the commercial diversion. 340 00:14:11,780 --> 00:14:17,040 Our agenda today will be to review the background 341 00:14:17,040 --> 00:14:20,000 on this item, a metrics trends and problems, 342 00:14:20,000 --> 00:14:22,760 components of the commercial diversion article, 343 00:14:22,760 --> 00:14:24,840 public engagement opportunities, 344 00:14:24,840 --> 00:14:28,120 public meeting feedback, solid waste ordinance updates, 345 00:14:28,120 --> 00:14:29,840 next steps and ask for direction. 346 00:14:31,480 --> 00:14:33,520 So back in July of 2022, 347 00:14:33,520 --> 00:14:37,240 we adopted a comprehensive solid waste management strategy, 348 00:14:37,240 --> 00:14:40,280 the alignment with council's key focus area 349 00:14:40,280 --> 00:14:43,560 of promoting sustainability and in the environment. 350 00:14:43,560 --> 00:14:47,280 And in November of 2022, we had a council work session 351 00:14:47,280 --> 00:14:50,620 on the introduction of a comprehensive diversion ordinance. 352 00:14:50,620 --> 00:14:53,440 Just to be clear on the verbiage, 353 00:14:53,440 --> 00:14:55,640 the comprehensive diversion ordinance 354 00:14:55,640 --> 00:14:58,620 is the same as the commercial diversion article. 355 00:14:58,620 --> 00:15:01,560 Just wanted to make sure that our verbiage was clear 356 00:15:01,560 --> 00:15:03,880 throughout what we're talking about today 357 00:15:03,880 --> 00:15:06,080 and what you might remember from last year. 358 00:15:06,080 --> 00:15:09,380 So we're gonna get in a little bit of numbers 359 00:15:09,380 --> 00:15:11,160 that you might be familiar with. 360 00:15:11,160 --> 00:15:14,120 Our current commercial diversion rate is 3%, 361 00:15:14,120 --> 00:15:17,360 equaling 2,448 tons. 362 00:15:17,360 --> 00:15:21,000 So currently out of our city of Denton customers, 363 00:15:21,000 --> 00:15:23,900 we have roughly 95,000 tons last year 364 00:15:23,900 --> 00:15:28,900 that went to the landfill of that 2,448 was recycled. 365 00:15:28,900 --> 00:15:32,160 Our current commercial recycling participation rate 366 00:15:32,160 --> 00:15:35,400 is 17% equaling 483. 367 00:15:35,400 --> 00:15:39,280 So out of all of our commercial trash customers, 368 00:15:39,280 --> 00:15:42,420 17% are currently recycling with us. 369 00:15:42,420 --> 00:15:45,680 Back in 2020, we did a waste characterization study 370 00:15:45,680 --> 00:15:49,240 that showed between 42 and 55% of commercial 371 00:15:49,240 --> 00:15:53,760 and multifamily trash was comprised of programmatic material. 372 00:15:53,760 --> 00:15:56,000 Programmatic material being items 373 00:15:56,000 --> 00:15:58,800 that are in the city of Denton's contract with Pratt, 374 00:15:58,800 --> 00:16:02,660 cardboard, paper, plastic containers one through seven, 375 00:16:02,660 --> 00:16:05,040 aluminum cans and steel cans. 376 00:16:05,040 --> 00:16:09,320 So roughly 45,000 tons from our commercial customers 377 00:16:09,320 --> 00:16:12,900 went into the landfill and could have been recycled. 378 00:16:12,900 --> 00:16:15,560 So the caveat to these numbers 379 00:16:15,560 --> 00:16:19,280 is that it's only the city of Denton data. 380 00:16:19,280 --> 00:16:21,960 We have an open market for commercial recycling, 381 00:16:21,960 --> 00:16:24,840 which means that any third-party vendor 382 00:16:24,840 --> 00:16:28,720 can come in and recycle or haul recycling 383 00:16:28,720 --> 00:16:30,300 as long as they get a permit with the city. 384 00:16:30,300 --> 00:16:32,400 So we're not capturing that data 385 00:16:32,400 --> 00:16:34,460 and all the good work that all the businesses 386 00:16:34,460 --> 00:16:35,760 are currently doing. 387 00:16:35,760 --> 00:16:38,480 So that's the caveat to these numbers. 388 00:16:38,480 --> 00:16:39,900 - Question. - Yes. 389 00:16:39,900 --> 00:16:41,760 - So you may answer this on another slide 390 00:16:41,760 --> 00:16:42,800 and I apologize if you do, 391 00:16:42,800 --> 00:16:47,240 but what is your current estimated life left? 392 00:16:47,240 --> 00:16:48,920 - On the landfill. - On the landfill. 393 00:16:48,920 --> 00:16:53,320 - We're looking at 2049, I believe, easily. 394 00:16:53,320 --> 00:16:56,240 The more we divert, the longer the life will be. 395 00:16:56,240 --> 00:16:59,720 - In 2002, I believe it was, 396 00:16:59,720 --> 00:17:04,700 the estimated life of the landfill was 26 years. 397 00:17:04,700 --> 00:17:07,840 So we've done a good job. 398 00:17:07,840 --> 00:17:09,640 You guys have done a good job of-- 399 00:17:09,640 --> 00:17:13,160 - We have a lot more opportunity for sure. 400 00:17:13,160 --> 00:17:15,080 - Yeah, cooperation has been great. 401 00:17:15,080 --> 00:17:16,000 So anyway. 402 00:17:17,480 --> 00:17:19,280 So I wanted to bring up, 403 00:17:19,280 --> 00:17:21,960 we did a pilot program with chute lids 404 00:17:21,960 --> 00:17:25,600 and locking devices on our recycling bins. 405 00:17:25,600 --> 00:17:27,080 The pilot was very successful. 406 00:17:27,080 --> 00:17:29,860 So moving forward, any new recycling bin, 407 00:17:29,860 --> 00:17:34,640 we put on a chute lid and locking device. 408 00:17:34,640 --> 00:17:39,640 There were some issues with some of the pilot participants 409 00:17:39,640 --> 00:17:42,200 when they had turnover with the employees. 410 00:17:42,200 --> 00:17:44,760 So they didn't understand that they needed 411 00:17:44,760 --> 00:17:46,160 to keep the lids closed. 412 00:17:46,160 --> 00:17:50,600 So we created a video and we're letting the management 413 00:17:50,600 --> 00:17:52,160 of those places have that video 414 00:17:52,160 --> 00:17:53,760 so they can train new employees. 415 00:17:53,760 --> 00:17:58,200 We talked about donation box concerns. 416 00:17:58,200 --> 00:18:00,640 And as we followed up with development services, 417 00:18:00,640 --> 00:18:04,600 our current development code does not allow donation boxes. 418 00:18:04,600 --> 00:18:07,360 There are 17 locations that are illegal, 419 00:18:07,360 --> 00:18:09,760 non-conforming or grandfathered in. 420 00:18:09,760 --> 00:18:13,000 And as I was told that there were no issues 421 00:18:13,000 --> 00:18:15,840 of overfill or contamination. 422 00:18:15,840 --> 00:18:20,200 So we decided to not pursue the donation boxes any further. 423 00:18:20,200 --> 00:18:23,240 Legal is working with development services 424 00:18:23,240 --> 00:18:26,440 to understand the regulation for future issues 425 00:18:26,440 --> 00:18:28,840 that might arise, but for solid waste, 426 00:18:28,840 --> 00:18:31,740 we're not pursuing anything with the donation boxes. 427 00:18:31,740 --> 00:18:36,320 We talked about North Lakes Recycling Center last time. 428 00:18:36,320 --> 00:18:38,160 I heard loud and clear to keep it. 429 00:18:38,160 --> 00:18:39,960 So we're gonna keep it. 430 00:18:39,960 --> 00:18:43,440 There are construction, there is construction going on. 431 00:18:43,440 --> 00:18:46,640 So we may be moving the location slightly 432 00:18:46,640 --> 00:18:49,720 just to help with the parking situation. 433 00:18:49,720 --> 00:18:54,580 As we were creating this diversion article, 434 00:18:54,580 --> 00:18:56,160 within the solid waste ordinance, 435 00:18:56,160 --> 00:18:59,280 there were some inadequacies that we would like to address. 436 00:18:59,280 --> 00:19:02,720 So limited enforcement capability for illegal containers, 437 00:19:02,720 --> 00:19:05,860 overflowing materials and contamination. 438 00:19:05,860 --> 00:19:09,160 The service assistant's porch collection program 439 00:19:09,160 --> 00:19:11,140 and valet services are not considered 440 00:19:11,140 --> 00:19:12,740 in the current ordinance. 441 00:19:12,740 --> 00:19:17,360 And the outdated third party permit and yard waste articles. 442 00:19:17,360 --> 00:19:20,040 And then of course, the commercial recycling diversion 443 00:19:20,040 --> 00:19:21,300 is not required. 444 00:19:21,300 --> 00:19:26,400 Components of the commercial diversion article 445 00:19:26,400 --> 00:19:29,320 will require that all entities to implement a diversion 446 00:19:29,320 --> 00:19:31,200 or recycling program. 447 00:19:31,200 --> 00:19:33,720 Requirements from customers will be to submit 448 00:19:33,720 --> 00:19:35,720 a diversion plan annually. 449 00:19:35,720 --> 00:19:38,920 Their choices for programmatic material 450 00:19:38,920 --> 00:19:42,520 will be to contract with the city of Denton or a third party. 451 00:19:42,520 --> 00:19:44,780 Choices for non-programmatic materials 452 00:19:44,780 --> 00:19:48,120 will be to contract with a third party or perform in-house. 453 00:19:48,120 --> 00:19:50,520 So non-programmatic materials are anything 454 00:19:50,520 --> 00:19:52,840 that's not in the city of Denton's program. 455 00:19:52,840 --> 00:19:56,760 So used motor oil, scrap metal, large plastic items, 456 00:19:56,760 --> 00:20:01,760 textiles, anything that can be recycled will fit into this. 457 00:20:11,360 --> 00:20:13,680 Requirements from a third party diversion vendor 458 00:20:13,680 --> 00:20:16,600 or in-house programs will be to obtain a permit 459 00:20:16,600 --> 00:20:19,220 with the city, which is currently implemented, 460 00:20:19,220 --> 00:20:21,740 and send quarterly diversion tonnages to the city 461 00:20:21,740 --> 00:20:24,440 so that we can track all the good work that's going on. 462 00:20:24,440 --> 00:20:28,640 Our public engagement opportunities. 463 00:20:28,640 --> 00:20:32,080 We sent mailings to commercial and multifamily customers 464 00:20:32,080 --> 00:20:34,720 informing them of the commercial diversion articles 465 00:20:34,720 --> 00:20:38,440 and public opportunities to comment. 466 00:20:38,440 --> 00:20:42,600 We made public comment available starting February 3rd. 467 00:20:42,600 --> 00:20:47,040 We held a public meeting at the Civic Center on February 16th. 468 00:20:47,040 --> 00:20:49,400 And we posted a red line and clean version 469 00:20:49,400 --> 00:20:53,160 of the revised solid waste ordinance on February 28th. 470 00:20:53,160 --> 00:20:56,360 And we'll leave that online until April 4th 471 00:20:56,360 --> 00:20:58,000 for continued public comment. 472 00:20:58,000 --> 00:21:04,100 Public feedback that we've already received. 473 00:21:04,100 --> 00:21:05,880 There were some concerns with legal, 474 00:21:05,880 --> 00:21:08,640 non-conforming grandfather properties, 475 00:21:08,640 --> 00:21:12,440 unique layouts and enough room for another container. 476 00:21:12,440 --> 00:21:14,160 We assured the meeting attendees 477 00:21:14,160 --> 00:21:16,200 that we would handle unique situations 478 00:21:16,200 --> 00:21:18,640 and layouts individually and create a plan 479 00:21:18,640 --> 00:21:20,720 or a solution that fit their business. 480 00:21:20,720 --> 00:21:22,860 We understand there's not a one size fits all. 481 00:21:22,860 --> 00:21:24,900 So we wanna make sure that everybody's comfortable 482 00:21:24,900 --> 00:21:29,100 with whatever level that they can support on their property. 483 00:21:29,100 --> 00:21:31,920 We were asked for clear wording 484 00:21:31,920 --> 00:21:35,820 on what type of diversion would be acceptable. 485 00:21:35,820 --> 00:21:38,000 So in our letter to commercial businesses 486 00:21:38,000 --> 00:21:40,040 in an online diversion plan portal 487 00:21:40,040 --> 00:21:43,260 for implementation of our commercial diversion ordinance, 488 00:21:43,260 --> 00:21:46,280 we would outline acceptable diversion materials. 489 00:21:46,280 --> 00:21:49,260 Again, non-programmatic materials, 490 00:21:49,260 --> 00:21:51,760 anything like used motor oil, plastic film, 491 00:21:51,760 --> 00:21:54,940 textile, scrap metal are all non-programmatic materials 492 00:21:54,940 --> 00:21:57,940 and are acceptable for the diversion plan. 493 00:21:57,940 --> 00:22:02,920 The ordinance updates we're proposing. 494 00:22:02,920 --> 00:22:05,920 One item that won't be changing is the city 495 00:22:05,920 --> 00:22:08,920 will remain a sole provider for residential trash 496 00:22:08,920 --> 00:22:12,160 and residential recycling of programmatic materials 497 00:22:12,160 --> 00:22:14,300 and commercial multifamily trash. 498 00:22:14,300 --> 00:22:17,800 We'd like to include the porch collection service, 499 00:22:17,800 --> 00:22:21,240 valet services and the commercial diversion. 500 00:22:21,240 --> 00:22:23,480 We'd like to update the third party permitting 501 00:22:23,480 --> 00:22:27,620 and yard waste articles to reflect current processes 502 00:22:27,620 --> 00:22:30,080 and updates for illegal containers, 503 00:22:30,080 --> 00:22:33,080 overflowing materials and contamination. 504 00:22:33,080 --> 00:22:35,580 And I just wanna mention, there might be, 505 00:22:35,580 --> 00:22:37,720 this may lead to other ordinance updates 506 00:22:37,720 --> 00:22:39,600 needing to help with implementation. 507 00:22:39,600 --> 00:22:44,240 And status and next steps. 508 00:22:44,240 --> 00:22:47,680 We held our public meeting on February 16th 509 00:22:47,680 --> 00:22:49,880 where we had 12 business owners attend 510 00:22:49,880 --> 00:22:52,440 and we got great feedback from them. 511 00:22:52,440 --> 00:22:53,920 We were very excited for it. 512 00:22:53,920 --> 00:22:58,320 Our draft ordinance was completed on February 28th 513 00:22:58,320 --> 00:23:01,700 and I'm here today for the PUB work session. 514 00:23:01,700 --> 00:23:04,080 We'll have a council work session next week 515 00:23:04,080 --> 00:23:06,800 and then based on feedback, 516 00:23:06,800 --> 00:23:10,880 come back to PUB and council later in the month for approval. 517 00:23:10,880 --> 00:23:13,720 We'd like to start outreach in June of 2023 518 00:23:13,720 --> 00:23:18,240 with the implementation start around December, 2023 519 00:23:18,240 --> 00:23:21,740 and an implementation completion in June of 2024. 520 00:23:21,740 --> 00:23:26,360 So what does implementation look like? 521 00:23:26,360 --> 00:23:27,800 We're gonna have phases. 522 00:23:27,800 --> 00:23:29,360 There will be five groups made 523 00:23:29,360 --> 00:23:32,880 from the 2,803 commercial customers. 524 00:23:32,880 --> 00:23:34,720 Each group will be phased by months 525 00:23:34,720 --> 00:23:38,480 over a five month period starting in June of 2023. 526 00:23:38,480 --> 00:23:41,600 So group one will send a letter out in June 527 00:23:41,600 --> 00:23:44,420 and then have six months of implementation. 528 00:23:44,420 --> 00:23:47,720 So they'll hopefully start their diversion plan in December. 529 00:23:47,720 --> 00:23:49,360 Group two will be in July, 530 00:23:49,360 --> 00:23:51,680 group three will be in August and so forth. 531 00:23:51,680 --> 00:23:54,440 On the communication side, 532 00:23:54,440 --> 00:23:56,520 a letter will be sent out to each of the groups 533 00:23:56,520 --> 00:23:58,800 or phases as they come online. 534 00:23:58,800 --> 00:24:01,760 Customers who are currently commercial recycling customers 535 00:24:01,760 --> 00:24:03,980 with the city of Denton will receive a letter 536 00:24:03,980 --> 00:24:06,240 stating the new ordinance and informing them 537 00:24:06,240 --> 00:24:08,040 that they don't need to do anything 538 00:24:08,040 --> 00:24:10,860 unless they change or update their diversion plan. 539 00:24:10,860 --> 00:24:13,080 Customers will be given a six month timeframe 540 00:24:13,080 --> 00:24:15,880 to implement and submit their diversion plan 541 00:24:15,880 --> 00:24:17,700 and feedback and reporting, 542 00:24:17,700 --> 00:24:20,040 solid waste and recycling team will be following up 543 00:24:20,040 --> 00:24:21,640 with customers as needed 544 00:24:21,640 --> 00:24:23,960 based on their grouping and diversion plan 545 00:24:23,960 --> 00:24:26,580 or any unique situations that may arise. 546 00:24:26,580 --> 00:24:30,400 So this is where I ask for direction to move forward 547 00:24:30,400 --> 00:24:32,600 with the rewrite of the solid waste ordinance 548 00:24:32,600 --> 00:24:35,320 and include a commercial diversion article 549 00:24:35,320 --> 00:24:37,120 or any other direction you may have. 550 00:24:37,120 --> 00:24:39,960 - So does any of this have to do 551 00:24:39,960 --> 00:24:42,960 with the FHWA's new requirements on sustainability? 552 00:24:42,960 --> 00:24:49,960 - Not that I'm aware of, no. 553 00:24:49,960 --> 00:24:51,200 - Do you know what that is? 554 00:24:52,440 --> 00:24:56,200 - No, we don't, but again, any other. 555 00:24:56,200 --> 00:24:58,920 - Sorry, Brian. 556 00:24:58,920 --> 00:25:04,740 - Good morning, Brian, 557 00:25:04,740 --> 00:25:07,120 Barnard Solid Waste Director with the city of Denton. 558 00:25:07,120 --> 00:25:10,680 As we worked forward, this is really an out shoot 559 00:25:10,680 --> 00:25:15,080 of our comprehensive solid waste management strategy 560 00:25:15,080 --> 00:25:19,640 and the concept was independent of any other state 561 00:25:19,640 --> 00:25:22,840 or federal mandates related to sustainability 562 00:25:22,840 --> 00:25:24,640 or diversion contained within. 563 00:25:24,640 --> 00:25:28,320 However, what we're doing here should align completely 564 00:25:28,320 --> 00:25:30,920 with whatever is being proposed at those levels. 565 00:25:30,920 --> 00:25:33,280 - Yeah, it looks like you're going above and beyond, 566 00:25:33,280 --> 00:25:36,240 but just making sure that you're aware 567 00:25:36,240 --> 00:25:40,040 that the FHWA is about to come down on everybody 568 00:25:40,040 --> 00:25:44,440 on any kind of infrastructure projects, 569 00:25:44,440 --> 00:25:47,680 which I would assume what you do is infrastructure. 570 00:25:48,720 --> 00:25:50,640 - So we'll go ahead and research that 571 00:25:50,640 --> 00:25:54,160 so we have that information available to discuss, 572 00:25:54,160 --> 00:25:55,400 not only at the council meeting, 573 00:25:55,400 --> 00:25:57,400 but at the following, here in a couple of weeks, 574 00:25:57,400 --> 00:26:02,040 we actually asked for actual approval of the ordinance 575 00:26:02,040 --> 00:26:03,960 to the council, so we still have two weeks 576 00:26:03,960 --> 00:26:05,160 before we ask for it out. 577 00:26:05,160 --> 00:26:07,120 - Okay, I just thought it was an appropriate question. 578 00:26:07,120 --> 00:26:07,940 - Thank you. 579 00:26:07,940 --> 00:26:08,780 - Thanks. 580 00:26:08,780 --> 00:26:13,120 - And how have the owners 581 00:26:13,120 --> 00:26:18,000 of the multifamily facilities responded to this? 582 00:26:18,000 --> 00:26:19,680 That's always such a difficult thing 583 00:26:19,680 --> 00:26:23,280 to get tenants to recycle. 584 00:26:23,280 --> 00:26:24,760 - So at the public meeting, 585 00:26:24,760 --> 00:26:27,600 there were roughly 12 business owners, 586 00:26:27,600 --> 00:26:28,840 and most of them were multifamily. 587 00:26:28,840 --> 00:26:31,420 And there was a very positive group of people. 588 00:26:31,420 --> 00:26:34,360 There were two people that had some concerns, 589 00:26:34,360 --> 00:26:37,680 but after talking with them, they did seem to be on board. 590 00:26:37,680 --> 00:26:39,080 They weren't the happiest about it, 591 00:26:39,080 --> 00:26:41,720 but they understood the importance of recycling. 592 00:26:41,720 --> 00:26:44,520 We did receive some other public comments. 593 00:26:44,520 --> 00:26:46,280 They wanted to know what, 594 00:26:46,280 --> 00:26:48,120 if they were already recycling something, 595 00:26:48,120 --> 00:26:49,320 if that counted, and it did. 596 00:26:49,320 --> 00:26:52,240 So if they're doing some sort of recycling diversion 597 00:26:52,240 --> 00:26:54,640 from the landfill, that counts, so, okay. 598 00:26:54,640 --> 00:26:59,940 - What's the enforcement mechanism for non-compliance? 599 00:26:59,940 --> 00:27:03,600 - We're trying to be proactive 600 00:27:03,600 --> 00:27:06,400 and not come down with a heavy hand. 601 00:27:06,400 --> 00:27:09,620 So right now, it's making sure 602 00:27:09,620 --> 00:27:11,720 that they're filling out the diversion plan, 603 00:27:11,720 --> 00:27:13,440 and we'll follow up with those customers 604 00:27:13,440 --> 00:27:14,880 that don't turn in a diversion plan, 605 00:27:14,880 --> 00:27:18,160 and that's where we are right now with enforcement piece. 606 00:27:18,160 --> 00:27:20,360 Community Improvement does plan on helping 607 00:27:20,360 --> 00:27:24,720 with the contamination and, yeah, 608 00:27:24,720 --> 00:27:27,480 the contamination part and illegal third party. 609 00:27:27,480 --> 00:27:29,000 - Is there any benefit to them 610 00:27:29,000 --> 00:27:31,280 beyond doing the right thing, quote unquote? 611 00:27:31,280 --> 00:27:33,080 Is there any benefit to them for compliance? 612 00:27:33,080 --> 00:27:36,480 - Ideally, you would replace the amount of trash 613 00:27:36,480 --> 00:27:37,840 with a recycling. 614 00:27:37,840 --> 00:27:42,840 So the recycling is 21 and some change per cubic yard, 615 00:27:43,200 --> 00:27:45,040 and trash is 24 and some change. 616 00:27:45,040 --> 00:27:47,920 So ideally, there'll be a less expensive 617 00:27:47,920 --> 00:27:49,360 on their monthly bill. 618 00:27:49,360 --> 00:27:52,920 So if it works the way that we would like it to work. 619 00:27:52,920 --> 00:27:53,760 - Thank you. 620 00:27:53,760 --> 00:27:58,160 - I appreciate that because that's very difficult 621 00:27:58,160 --> 00:28:01,880 because the whole world uses your bins. 622 00:28:01,880 --> 00:28:05,500 And they set things beside your bins 623 00:28:05,500 --> 00:28:07,640 that you have to pick up. 624 00:28:07,640 --> 00:28:10,840 So that's an ongoing problem. 625 00:28:10,840 --> 00:28:14,680 I wonder though about recycling at places 626 00:28:14,680 --> 00:28:17,000 that have no additional space, 627 00:28:17,000 --> 00:28:19,420 but you're not a volume user, 628 00:28:19,420 --> 00:28:24,420 if there could be bags provided to put paper products, 629 00:28:24,420 --> 00:28:26,880 because some of these offices use nothing 630 00:28:26,880 --> 00:28:28,280 but paper products. 631 00:28:28,280 --> 00:28:31,240 They don't have an additional place to put them. 632 00:28:31,240 --> 00:28:35,760 But if bags were provided that you could set beside your, 633 00:28:35,760 --> 00:28:38,000 I realize that they'd have to get out of the truck 634 00:28:38,000 --> 00:28:42,960 to pick up the bags, but it would be a method perhaps. 635 00:28:42,960 --> 00:28:44,840 - So some of these low volume, 636 00:28:44,840 --> 00:28:48,160 we do plan on giving options of a cart. 637 00:28:48,160 --> 00:28:51,880 So it's smaller footprint for those locations 638 00:28:51,880 --> 00:28:53,440 where the volume just isn't there, 639 00:28:53,440 --> 00:28:56,240 a cart should be easily manageable by our team. 640 00:28:56,240 --> 00:28:58,640 - So it'd be similar to the cart that our homes have. 641 00:28:58,640 --> 00:29:00,160 - Yes, exactly. 642 00:29:00,160 --> 00:29:03,520 - So I don't know how this relates. 643 00:29:03,520 --> 00:29:06,200 You guys are the experts, so no, I think-- 644 00:29:06,200 --> 00:29:08,480 - You turn your mic on, thank you. 645 00:29:08,480 --> 00:29:11,360 - I've said this before, but most of the recycling 646 00:29:11,360 --> 00:29:14,200 at my office with paper that we do goes to a shredder. 647 00:29:14,200 --> 00:29:18,080 Do you have any kind of cooperation with those? 648 00:29:18,080 --> 00:29:21,000 - So that would be, one of our comments actually 649 00:29:21,000 --> 00:29:22,400 was that specific comment. 650 00:29:22,400 --> 00:29:26,500 And if you're hiring a third party to shred your paper, 651 00:29:26,500 --> 00:29:27,900 all we need to know is who they are 652 00:29:27,900 --> 00:29:31,280 and their contact information and we'll get with them 653 00:29:31,280 --> 00:29:32,940 and make sure that we're counting that 654 00:29:32,940 --> 00:29:34,240 towards your diversion plan. 655 00:29:34,240 --> 00:29:35,080 - Okay. 656 00:29:36,400 --> 00:29:38,080 - Good question, Billy. 657 00:29:38,080 --> 00:29:39,980 - Okay, I'm just waiting for Mr. Taylor 658 00:29:39,980 --> 00:29:41,200 'cause he always has good ones. 659 00:29:41,200 --> 00:29:42,740 Go. 660 00:29:42,740 --> 00:29:43,820 - He wasted the end. 661 00:29:43,820 --> 00:29:47,480 Not always, sometimes I jump right in front. 662 00:29:47,480 --> 00:29:50,800 No, so I just had a few questions. 663 00:29:50,800 --> 00:29:56,140 So right now there are third party permitted haulers? 664 00:29:56,140 --> 00:30:01,200 - Yes, so we're an open market, 665 00:30:01,200 --> 00:30:04,760 so anybody can sign up and say we're recycling 666 00:30:04,760 --> 00:30:07,080 in the city of Denton and as long as they have a permit, 667 00:30:07,080 --> 00:30:08,320 they're allowed to do so. 668 00:30:08,320 --> 00:30:12,000 - Okay, and so that's for recycling, not for solid waste? 669 00:30:12,000 --> 00:30:12,840 Not for municipal solid waste? 670 00:30:12,840 --> 00:30:14,160 - No, only recycling. 671 00:30:14,160 --> 00:30:15,720 - Okay, and then-- 672 00:30:15,720 --> 00:30:18,120 - But let me say a few things. 673 00:30:18,120 --> 00:30:18,960 - Yeah. 674 00:30:18,960 --> 00:30:23,840 - Excuse me, Brian Burner again. 675 00:30:23,840 --> 00:30:25,720 And this is where we get into semantics 676 00:30:25,720 --> 00:30:27,580 because when we talk about recycling, 677 00:30:27,580 --> 00:30:31,120 our mind immediately goes to the blue bin. 678 00:30:31,120 --> 00:30:34,600 And probably 99% of anything that's blue bin worthy, 679 00:30:34,600 --> 00:30:37,240 we get and send to Pratt. 680 00:30:37,240 --> 00:30:41,280 So a lot of our contracted third party diversion partners 681 00:30:41,280 --> 00:30:42,880 are taking things like C and D. 682 00:30:42,880 --> 00:30:45,360 They're taking things like textile. 683 00:30:45,360 --> 00:30:47,400 You go out to the Aldi warehouse, 684 00:30:47,400 --> 00:30:50,960 they've got a tremendous recycling diversion program, 685 00:30:50,960 --> 00:30:53,520 but they're taking film, they're taking pallets. 686 00:30:53,520 --> 00:30:55,880 Things that we don't take and probably never will take. 687 00:30:55,880 --> 00:30:59,160 So that's where those third parties are actually permitted 688 00:30:59,160 --> 00:31:02,080 and that's the information that we're looking to obtain 689 00:31:02,080 --> 00:31:04,720 through that third party process. 690 00:31:04,720 --> 00:31:05,560 - Okay, thank you. 691 00:31:05,560 --> 00:31:07,200 And actually I brought this up 692 00:31:07,200 --> 00:31:09,800 because I actually got this flyer in the mail 693 00:31:09,800 --> 00:31:12,800 a week ago or so advertising like a free dumpster 694 00:31:12,800 --> 00:31:14,800 or a $300 dumpster. 695 00:31:14,800 --> 00:31:16,560 - And that's the bane of our existence. 696 00:31:16,560 --> 00:31:18,880 And that's part of what we want to address 697 00:31:18,880 --> 00:31:23,640 as part of the update to our ordinate, 698 00:31:23,640 --> 00:31:25,640 to the whole solid waste ordinance. 699 00:31:25,640 --> 00:31:27,600 And for anybody who may be watching this, 700 00:31:27,600 --> 00:31:31,400 again, the city of Denton is the exclusive provider 701 00:31:31,400 --> 00:31:34,320 of garbage for commercial and residential. 702 00:31:34,320 --> 00:31:36,880 So if you're hiring, if you're a homeowner, 703 00:31:36,880 --> 00:31:39,920 if you're a apartment builder, 704 00:31:39,920 --> 00:31:41,840 if you're just a general business 705 00:31:41,840 --> 00:31:46,000 and you're bringing in a big name or small holder 706 00:31:46,000 --> 00:31:48,480 such as this to provide a dumpster to provide, 707 00:31:48,480 --> 00:31:51,040 that is illegal in the city of Denton. 708 00:31:51,040 --> 00:31:53,640 And part of it is, it's part of our enforcement 709 00:31:53,640 --> 00:31:55,960 where you're working to minimize those. 710 00:31:55,960 --> 00:31:59,000 However, if you have a company like this 711 00:31:59,000 --> 00:32:01,880 who is diverting, it's not sham recycling, 712 00:32:01,880 --> 00:32:05,200 but it's physically going in, pulling out the materials, 713 00:32:05,200 --> 00:32:07,520 taking it to a third party to be reused. 714 00:32:07,520 --> 00:32:09,560 They'll go through the permitting process. 715 00:32:09,560 --> 00:32:11,920 They'll report, there are tonnages to us 716 00:32:11,920 --> 00:32:14,320 and we'll assure that. 717 00:32:14,320 --> 00:32:16,440 And then those folks are fully welcome here 718 00:32:16,440 --> 00:32:17,960 to operate within the city of Denton. 719 00:32:17,960 --> 00:32:20,080 - Okay, so if it was like a construction 720 00:32:20,080 --> 00:32:23,680 and demolition only dumpster, then they were, 721 00:32:23,680 --> 00:32:25,360 and I guess in order to get their permit, 722 00:32:25,360 --> 00:32:27,040 they would have to demonstrate to the city 723 00:32:27,040 --> 00:32:29,600 that they have a sort of-- - Yeah, they've got a place 724 00:32:29,600 --> 00:32:31,320 to take their gypsum off their drywall. 725 00:32:31,320 --> 00:32:32,840 They've got a place to take the lumber. 726 00:32:32,840 --> 00:32:34,200 They've got a place to take the rock 727 00:32:34,200 --> 00:32:35,480 and the concrete and the brick. 728 00:32:35,480 --> 00:32:37,640 And it's not going into a hole in the ground. 729 00:32:37,640 --> 00:32:40,120 It's going to somebody who is reusing that 730 00:32:40,120 --> 00:32:43,600 in some beneficial manner in a third party way. 731 00:32:43,600 --> 00:32:44,440 - Okay, thank you. 732 00:32:44,440 --> 00:32:49,440 And a few other, more process questions. 733 00:32:49,440 --> 00:32:52,760 I know this isn't gonna happen until fall, 734 00:32:53,720 --> 00:32:58,720 but the diversion for things like scrap metal, 735 00:32:58,720 --> 00:33:03,000 a lot of Fultons, and I forget the name of the place 736 00:33:03,000 --> 00:33:04,880 across the street from Fultons, 737 00:33:04,880 --> 00:33:07,080 they get a steady stream of business 738 00:33:07,080 --> 00:33:12,080 from local and non-local people, companies, et cetera. 739 00:33:12,080 --> 00:33:16,520 Is there any way to simplify the reporting 740 00:33:16,520 --> 00:33:20,660 like where, if you walk into the Fultons office, 741 00:33:20,660 --> 00:33:24,160 you can say City of Denton commercial, 742 00:33:24,160 --> 00:33:25,200 like here's my account number, 743 00:33:25,200 --> 00:33:29,360 and then that automatically, that gets reported to the city, 744 00:33:29,360 --> 00:33:31,680 or does Fultons or other metal recyclers 745 00:33:31,680 --> 00:33:34,400 that are in the city report that now? 746 00:33:34,400 --> 00:33:35,600 - They don't report it now, 747 00:33:35,600 --> 00:33:38,160 and we wanna be very careful of double counting, 748 00:33:38,160 --> 00:33:40,880 so that I think that's kind of part of your question there 749 00:33:40,880 --> 00:33:44,320 is so that receipt that the customer gets 750 00:33:44,320 --> 00:33:46,960 will help them with their diversion plan. 751 00:33:46,960 --> 00:33:50,200 So if they're going once a week, they can just say that, 752 00:33:50,200 --> 00:33:53,080 'cause that would be an in-house in that scenario, 753 00:33:53,080 --> 00:33:55,180 the customer, it would be an in-house program. 754 00:33:55,180 --> 00:33:59,840 So they would say that they're coming twice a month, 755 00:33:59,840 --> 00:34:02,400 and their reporting would go online, 756 00:34:02,400 --> 00:34:04,280 and they'd say these are my two tickets, 757 00:34:04,280 --> 00:34:07,880 and this is what I diverted if they were doing it in-house. 758 00:34:07,880 --> 00:34:11,740 So we don't expect Fulton to do all that work for us. 759 00:34:11,740 --> 00:34:13,200 - Right, and I was wondering if there's a way 760 00:34:13,200 --> 00:34:18,200 to simplify that, like where they get a triplicate 761 00:34:19,080 --> 00:34:22,280 golden rod copy, and they have to go scan it 762 00:34:22,280 --> 00:34:24,080 and upload it every week. 763 00:34:24,080 --> 00:34:25,220 - Can I make those? 764 00:34:25,220 --> 00:34:26,720 (laughing) 765 00:34:26,720 --> 00:34:28,480 - Well, it's been a long time since I've been to Fulton's, 766 00:34:28,480 --> 00:34:29,760 but that's what I remember getting 767 00:34:29,760 --> 00:34:32,020 was the golden rod sheet off the back. 768 00:34:32,020 --> 00:34:33,600 - I'd be more than happy to work with them 769 00:34:33,600 --> 00:34:35,920 and see how we can, as soon as we get it up and running, 770 00:34:35,920 --> 00:34:38,460 I'm sure we can find the pain points 771 00:34:38,460 --> 00:34:39,840 and do some process improvement 772 00:34:39,840 --> 00:34:43,480 to make life a little easier in that realm, for sure. 773 00:34:43,480 --> 00:34:44,840 - Thank you. 774 00:34:44,840 --> 00:34:45,960 - You have the current trends 775 00:34:45,960 --> 00:34:47,760 as far as participation in recycling. 776 00:34:47,760 --> 00:34:49,760 How is that trending over time? 777 00:34:49,760 --> 00:34:50,680 Is it increasing? 778 00:34:50,680 --> 00:34:51,520 Is it decreasing? 779 00:34:51,520 --> 00:34:52,880 Is there many of the same? 780 00:34:52,880 --> 00:34:54,560 - I've been with the city for two years, 781 00:34:54,560 --> 00:34:56,880 and probably the last year and a half, 782 00:34:56,880 --> 00:34:59,040 so I don't have historical data on that. 783 00:34:59,040 --> 00:35:00,440 I do know it's increasing, 784 00:35:00,440 --> 00:35:02,400 but I couldn't tell you by how much. 785 00:35:02,400 --> 00:35:07,800 - Questions? 786 00:35:07,800 --> 00:35:11,880 Got in on 45 minutes. 787 00:35:11,880 --> 00:35:14,860 So, do we have a recommendation? 788 00:35:15,840 --> 00:35:17,880 I'm going to go ahead and move forward. 789 00:35:17,880 --> 00:35:19,400 Absolutely. 790 00:35:19,400 --> 00:35:20,520 All right. 791 00:35:20,520 --> 00:35:21,360 - Well, thank you. 792 00:35:21,360 --> 00:35:23,800 - Yes, commercial and multi-family 793 00:35:23,800 --> 00:35:28,220 is the hardest to get to do this, so kudos. 794 00:35:28,220 --> 00:35:33,360 All right, that is 9.35. 795 00:35:33,360 --> 00:35:34,200 Do we have a motion? 796 00:35:34,200 --> 00:35:36,440 (laughing)