The City of Yorkton will make a major purchase to help up-date and improve processes at the Kinsmen Recycling Center in the city.
In 1994, a partnership was developed between the Saskatchewan Abilities Council, City of Yorkton, Kinsmen/Kinette Club, and Human Resources Development Canada towards establishing a system for processing and recycling paper products as well as providing employment opportunities for people of varying abilities. Since the 1994 inception of the Kinsmen Recycling Centre, an estimated 50 million pounds of recyclable material has been diverted from the landfill. The program is a success but with success comes cost, detailed a City administration report circulated to the regular meeting of Yorkton Council Monday.
While the centre has had a major impact on recycling, there are issues at the facility, explained Stephen Rosowsky, operation manager at the Saskatchewan Abilities Council - Yorkton Branch.
Rosowsky said a major issue is the baler used at the centre.
"A horizontal baler is essentially the heart of the Yorkton recycling program. When the baler breaks down the entire processing program comes to a stop and a costly chain reaction occurs. Material backlogs, waste haulers are unable to dump their trucks, occasionally material must be sent to the landfill, and employees are inefficiently utilized," explained a report from the recycling centre.
"The current 1979 baler we are using underwent a complete overhaul in 2011; we were optimistic this refurbishment would allow us to operate for at least a few more years with it. Unfortunately, we continue to have on-going costly problems with the machine. We are finding ourselves repairing components that were recently refurbished, calling upon specialty Hydraulic Servicemen based out of Regina and electricians on a weekly basis. The bottom line is the machine is aged, the electrical system and hydraulic systems are very complex, and replacement parts are becoming non-existent. We feel it is time to replace the machine with a modern new model. There is some urgency to start this process given a new model will require several months to be manufactured"
To replace the baler would cost up to $275,000.
Rosowsky said the centre also needed to install an elevated recycling sorting system at a cost of up to $250,000.
"The elevated recycling sorting equipment will greatly increase our efficiency and improve our ability to sort recyclables into more valuable grades. This improved sort will ultimately reduce the net cost of recycling given the increased salvage revenue. Other benefits will be increase production capacity and lower staff personnel costs. We estimate an annual improved net gain of $30,000 annually with the addition of this sort system. This figure would be a combination of saved labour time, and increased salvage values. With this calculation, over a 10 year period the equipment will have paid for itself," detailed the circulated report.
"Our current method of sorting material is very labour intensive and time consuming. Material is dumped onto the receiving floor and sifted through by hand. Once the material is sorted they are either placed into a large tote bag and stored outside or pushed further into the facility to be baled. Given our continued growth, this method is not sustainable in the long term."
Michael Buchholzer, Director of Environmental Services with the City told Council the equipment was needed.
"To maintain recycling services, worn out baling equipment must be replaced and new sorting equipment must be purchased," he said.
Buchholzer reminded the City has an obligation in terms of recycling.
"As per the 1999 agreement signed with the City and Saskatchewan Abilities Council, it states; "The contractor shall be responsible for the establishment and operation of the recycling centre which shall include final sorting, processing storing of material, setting up suitable markets and arranging for transportation", it further states that the Abilities Centre is to maintain an "efficient operation." To maintain the existing operation this equipment is required," he said.
The majority of the funds needed are already in place.
"As this is a capital purchase, and the funding will come from the recycling reserve, the equipment will be owned jointly by the Abilities Centre and City of Yorkton. The Abilities Council generates income from commercial and out of city recycling sources," explained Buchholzer.
To purchase the equipment, $402,000 would be transferred out of Recycling reserves and the balance of $123,000 would be funded by a two year internal loan provided by the City.
"Although this purchase depletes the reserve account, repayments expected within two years and replenishment of reserves to occur thereafter," said Buchholzer.
Council unanimously approved that the City of Yorkton fund the purchase of a baler and elevated recycling sorting system of $525,000 requested by Saskatchewan Abilities Recycling Depot, by withdrawing funds from Recycling Reserves and providing an internal loan to a maximum of $123,000 with payments over two years for the equipment purchase.