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Multi-Material B.C. (MMBC) RESIDENTIAL RECYCLING PROGRAM

November 17, 2015

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Extended Producer

Responsibility is an

evolutionary step in

addressing our

zero waste

challenges more

comprehensively.

In British Columbia,

companies that

produce packaging

and printed paper

are now responsible

for delivering and

funding residential

recycling programs.

MMBC provides

residential recycling

services on behalf of

producers by

contracting with

municipalities, First

Nations, private

collectors or non-profit

organizations.

The City became a

contractor to MMBC

and started providing

recycling collection

services with funding

from MMBC as of

May 19, 2014.

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Drivers for Re-Evaluating MMBC Agreement

FUNDING SHORTFALL

4 2 1 3 FLEET

REPLACEMENT INVESTMENT

OPPORTUNITIES CONTRACT RENEWALS

Cost to deliver recycling will exceed MMBC revenue by $4.1M in 2015 and 2016.

Shortfall will rise to $5.4M in 2017. The cost of recycling could be financed by MMBC instead of through utility fees.

FUNDING SHORTFALL

The City’s recycling fleet has reached the end of its service life and is in urgent need of replacement. The estimated cost to purchase new trucks is $12M- $14M.

REPLACEMENT OF RECYCLING TRUCKS

MMBC’s agreement with the City for Multi Family recycling collection expires on April 30, 2016. The City’s subcontract for Multi Family recycling in the downtown core, False Creek and Kitsilano also expires on April 30, 2016.

EXPIRY OF MULTI-FAMILY CONTRACTS

There is a significant opportunity to invest funds in high demand programs such as litter prevention and control, abandoned and illegally dumped waste, and new recycling initiatives.

OPPORTUNITY TO INVEST IN OTHER PROGRAMS

3-1-1 calls for litter

have increased 50%

since 2014.

Increase investment

in litter prevention

and control, including

anti-littering

campaign and

increased collection,

infrastructure and

partnerships.

3-1-1 calls for illegal

dumping incidents

have increased by

32% from 2014.

Increased investments

will be made to

address abandoned

waste through

education, faster

response times, and

enforcement.

Increased investments

will create

employment

opportunities in

partnership with

social enterprise

organizations to

provide more

micro-cleaning of city

lanes and streets.

RECOMMENDATIONS

Transition residential

recycling collection

services to MMBC.

Engage MMBC in a

transition plan.

Notify Musqueam

Band of the change.

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Implications of Recommendations

FINANCIAL

2 3 HUMAN RESOURCES ENVIRONMENTAL

Resources can be

redirected into high

demand areas such as

litter prevention and

control, abandoned

waste collection,

on-street recycling

and street cleaning,

while also supporting

social enterprises.

FINANCIAL

Staff affected by this

change will be

re-deployed to new

positions and

vacancies arising

through regular

attrition within

Sanitation and other

Engineering branches.

HUMAN RESOURCES

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MMBC must achieve

75% recovery which

supports the City’s

GCAP Zero Waste

goals (achieved 80%

in 2014).

MMBC must recycle

85-90% of recovered

packaging (achieved

93% in 2014).

ENVIRONMENTAL

The City and MMBC

are aligned in

ensuring the

transition is

successful and

Vancouver residents

are provided with

ongoing high quality

recycling services.

TRANSITION PLAN

CONCLUSION

Faced with fleet

investments, rising

program costs and

increased demand in

high priority areas,

the most prudent

approach for the City

is to end its contract

with MMBC and turn

over recycling

services to MMBC.

CONCLUSION