Agenda - 03-06-2001-8j - Laserfiche WebLink

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ORANGE COUNTY BOARD OF COMMISSIONERS ACTION AGENDA ITEM ABSTRACT Meeting Date: March 6, 2001 Action Agenda Item No. ~~~ SUBJECT: Revised Scrap Tire Agreement DEPARTMENT: Solid Waste PUBLIC HEARING: (Y/N) No ATTACHMENT(S): Scrap Tire Contract INFORMATION CONTACT: Gayle Wilson, 968-2800, ext 126 TELEPHONE NUMBERS: Hillsborough 732-8181 Chapel Hill 968-4501 Durham 688-7331 Mebane 336-227-2031 PURPOSE: To consider approving a four year contract with Central Carolina Tire far the removal of scrap tires from the Orange County Landfill. BACKGROUND: At their December 4, 2000 meeting, the BOCC approved a two year addendum to an existing agreement with U.S. Tire Recycling, L.P. that provides for the handling and disposal of scrap tires received at the Orange County Landfill. However, in January of 2001, the management of two firms - U. S. Tire Recycling and Central Carolina Tire -merged to form a new company. Because the vendor and some of the terms of the agreement approved in December have changed, staff recommends that the Board review and approve a revised agreement for scrap tire disposal. The attached contract would be for a period of four years, with a 3% increase in cost per year and the possibility of a two-year extension after the initial contract, if bath parties agree at that time. Costs for the program are addressed with tipping fees (for those cases where, by law, they may be charged) and State-shared revenue earmarked far scrap tire management programs. Scrap tire management requirements were instituted in 1989, when the North Carolina General Assembly approved Senate Bill 111. That law provided for sweeping changes in the way that solid waste would be managed throughout North Carolina from that point forward. Among many other elements of that legislation was the implementation of a comprehensive scrap tire disposal program. There were several changes to funding of the program in the early 1990's, but since then, State law and regulations have generally included the levying of a 2% tax on the purchase of each new tire in North Carolina (the percentage levied is smaller on some larger, more expensive tires). Each county receives a portion of the revenue accumulated through this State-administered tax to offset the costs of disposing of scrap tires received at each county's solid waste facilities. The law prohibits counties from charging for tire disposal at a county landfill, except for out-of--state generated tires, tires originating from illegal tire dumps, or tires in excess of 4 per trip that originate from a single residence (Orange County allows up to 8 tires from a resident).