Notice of the ordinary meeting of the
Nelson Tasman Regional Landfill Business Unit
Tira ā-Rohe Pakihi Ruapara o Whakatū,
o Te Tai o Aorere
Agenda
Rārangi take
Chair To be appointed
Deputy Chair To be appointed
Members Tasman District Cr Stuart Bryant
Tasman District Cr Trindi Walker
Nelson City Cr Judene Edgar
Nelson City Cr Kate Fulton
Andrew Stephens (Iwi Representative)
Pat Dougherty
Quorum: 3 Chief Executive
Nelson City Council Disclaimer
Please note that the contents of these Council and Committee Agendas have yet to be considered by Council and officer recommendations may be altered or changed by the Council in the process of making the formal Council decision.
The Nelson Tasman Regional Landfill Business Unit (NTRLBU) is a joint committee of Nelson City and Tasman District Councils. The NTRLBU is governed by a Terms of Reference (A1983272).
· Matters relating to the operation and use of the York Valley and Eves Valley landfills as regional landfill facilities, and the timing of their use.
· Setting of fees and charges for waste disposal at the regional landfill facilities by 30 June each year; including the power to apply discounted fees and charges for the disposal of waste in bulk; and to determine other circumstances where discounted fees and charges may be applied.
· Decisions to accept (or not accept) waste that is generated outside the Nelson-Tasman region.
· Any other matters under the area of responsibility of the Business Unit
· All recommendations to Council will be subject to adoption of an equivalent resolution by the other Council, unless it is a matter specific to one Council only.
· The Memorandum of Understanding governing the NTRLBU allows for either four or five members to be appointed. The quorum at a meeting is either two (if four members are appointed), or three (if five members are appointed), including at least one from each local authority.
· The Standing Orders of the Council providing administration to the committee shall be applied at each meeting.
· The Chairperson will not have a casting vote
· Copies of minutes of meetings of the Nelson Tasman Regional Landfill Business Unit will be retained by each Council for record keeping purposes
Nelson Tasman Regional Landfill Business Unit
13 December 2019
1 Apologies
1.1 An apology from Andrew Stephens (Iwi Representative) was received.
2. Confirmation of Order of Business
3.1 Updates to the Interests Register
3.2 Identify any conflicts of interest in the agenda
5. Appointment of Chairperson and Deputy Chairperson 5 - 5
Document number R13691
Recommendation
That the Nelson Tasman Regional Landfill Business Unit 1. Receives the report Appointment of Chairperson and Deputy Chairperson (R13691); and 2. Appoints _______________ as Chairperson of the Nelson Tasman Regional Landfill Business Unit for the triennium 2019-2022; and 3. Appoints _______________ as Deputy Chairperson of the Nelson Tasman Regional Landfill Business Unit for the triennium 2019-2022.
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6. Nelson Tasman Regional Landfill Business Unit General Manager Update 6 - 35
Document number R13695
Recommendation
That the Nelson Tasman Regional Landfill Business Unit 1. Receives the report Nelson Tasman Regional Landfill Business Unit General Manager Update (R13695) and its attachments (A2313830, A2313829 and A2313868); and 2. Confirms the feedback from the Councils for inclusion in the updated Nelson Tasman Regional Landfill Business Unit Business Plan 2020/21 (A2313868). That the Nelson City and Tasman District Councils 3. Approves the revised Nelson Tasman Regional Landfill Business Unit Business Plan 2020/21 (A2313868) following feedback from Nelson City Council.
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Item 5: Appointment of Chairperson and Deputy Chairperson
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Nelson Tasman Regional Landfill Business Unit 13 December 2019 |
REPORT R13691
Appointment of Chairperson and Deputy Chairperson
1. Purpose of Report
1.1 To appoint a new Chairperson and Deputy Chairperson for the new triennium.
2. Recommendation
Attachments
Item 6: Nelson Tasman Regional Landfill Business Unit General Manager Update
Nelson Tasman Regional Landfill Business Unit Joint Committee 13 Dec 2019 |
Report Title: NTRLBU Acting General Manager’s Update
Report Author: Don Clifford, Acting General Manager
Report Number: R13695
1. Purpose of Report
1.1 This report provides the three-monthly update on activity of the Nelson Tasman Regional Landfill Business Unit (NTRLBU).
1.2 To request approval from both Councils for the updated Nelson Tasman Regional Landfill Business Unit Business Plan 2019/20.
2. Report Summary
2.1 The landfill operations are generally running well and aligned with Plan.
3. Recommendation
That the 1. Receives the report (R13695) and its attachments (A2313830, A2313829 and A2313868); and 2. Confirms the feedback from the Councils for inclusion in the updated Nelson Tasman Regional Landfill Business Unit Business Plan 2020/21 (A2313868). That the Nelson City and Tasman District Councils 1. Approves the revised Nelson Tasman Regional Landfill Business Unit Business Plan 2020/21 (A2313868) following feedback from Nelson City Council. |
4. Health and Safety
4.1 The contractor at York Valley has reported no significant incidents.
5. Operations
Finance report on trading to date
5.1 Attachment 1 includes the financial reports to the end of October 2019:
· Income Account for the period to 31 October 2019
· Balance Sheet as at 31 October 2019
5.2 Generally, we have continued the same trend as for earlier this year; with income and costs slightly above budget.
5.3 Year-to-date landfill fees received were 101% against budget.
5.4 TDC staff costs are 500% of the YTD budget; mostly due to operations management.
5.5 Acting General Manager opex costs are 106% of the YTD budget.
5.6 No costs have been coded to General Manager Other Professional Advice (c.f. to YTD budget of $33k)
5.7 Total year-to-date staff and administration costs were down significantly to only 76% against YTD budget due to lower activity.
5.8 There were unprogrammed expenses for the O&M contract of approximately $40k above the YTD budget; which included a response to a stormwater “sinkhole” on the Eastern side of the York valley landfill
5.9 The net YTD deficit after levy was $19,559.
6. Landfill Operations and Maintenance – York Valley and Eves Valley
6.1 The new contract commenced on 1 January 2019. The Eves Valley site was taken over on 1 July 2019.
6.2 The new compactor was delivered in July 2019; staff training is continuing.
6.3 The weighbridge is now operating well as a result of scheduled maintenance (to avoid a repeat of the dirt build-up issues).
6.4 Residual waste tonnages are tracking slightly above budget projections (6,000 tonnes per month vs plan of 5,800t). As per the previous year, the high volumes are likely to be associated with continuing high activity in the construction industry.
6.5 Landfill costs have tracked above budget. York Valley expenses are up due to the higher cost of the operations contract and higher waste levy (as a result of the increased volumes). Eves Valley costs are up due to un-budgeted maintenance costs.
6.6 The ETS levy is up slightly (103% YTD) due to both volume increase and price increase.
6.7 At the current rate of landfill we are still tracking to use up the available York Valley airspace by approximately 2031/2032.
6.8 A consultant has been engaged to advise on the stormwater control systems at York Valley; there will be follow-on work required to prepare design solutions.
7. York Valley & Eves Valley Annual Monitoring Reports
7.1 A consulting engineering firm has been engaged to address the recommendations from the Annual Monitoring Report for York Valley Landfill.
7.2 Good progress is being made.
7.3 A separate consulting engineering firm has been engaged to address the recommendations from the Annual Monitoring Report for Eves Valley Landfill.
7.4 Good progress is being made.
8. Joint Landfill Asset Management Plan
8.1 At the NTRLBU meeting on 22 June 2018 the committee approved the draft Asset Management Plan (AMP) being issued to both councils for approval.
8.2 Nelson City Council approved the AMP on 15 November 2018. Tasman District Council approved the AMP in February 2019.
8.3 A consultant will soon be engaged to undertake a review of the AMP and to confirm alignment with recent Business Plans.
9. Business Plan
9.1 Tasman District Council approved the 2019/2020 Business Plan on 9 May 2019. Nelson City Council approved the 2019/2020 Business Plan in June 2019.
9.2 The board approved the 2020/2021 Business Plan at the September 2019 meeting.
9.3 Subsequent feedback has been received from Nelson City Council requesting some minor text clarifications.
9.4 These minor additions are highlighted in yellow on attachment 3.
10. York Valley Landfill Tonnages
10.1 The tables below show recent weighbridge records of total tonnages per month received at York Valley. For comparison, the 2019/20 budgets are based upon an average monthly tonnage of approximately 5,800 tonnes.
11. Annual Report
11.1 The 2018/2019 annual report was submitted to both councils for consideration and approval.
12. Emissions
12.1 Nelson City Council and Tasman District Council are both considering their Emissions “footprint”. As the NTRLBU assets are jointly owned by the councils, then the Business Unit will also need to assess its emissions. A notional allowance of $100,000 per year has been added to the Business Plan 2020/2021 for this activity.
13. Emissions Trading Scheme (ETS)
13.1 The Acting General Manager is investigating ways to reduce costs.
13.2 The ETS Levy is a significant component of the costs of operating the landfill.
13.3 Currently we are paying the ETS Levy on the basis of the Default Emissions Factor of 1.19. The annual cost is approximately $2m.
13.4 One option that has been identified is to apply to the Environmental Protection Agency (EPA) for a Unique Emissions Factor (UEF). The Climate Change (Unique Emissions Factor) Regulations 2009 provide the framework to apply for a UEF for a specific site.
13.5 As a start, the Acting General Manager is working towards a Clause 23C application relating to the landfill gas collection and destruction system.
13.6 If successful there is the further option to undertake “SWAP” studies to assess the typical make-up of waste being placed in the landfill. That information may indicate a further possibility to adjust the UEF if the waste composition is favourable (in comparison to the default).
13.7 The UEF is related to the efficiency of the gas destruction system. A hypothetical efficiency of only 4% might result in a UEF of 1.15 which would save approximately $70k per year. If our gas destruction efficiency is say 20%, that would yield a UEF of 0.95 – a saving in the order of $480k per year.
13.8 It is therefore considered worthwhile to incur some cost and effort into applying for a UEF.
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13.9 We have engaged a Consultant to formally apply for the UEF; and another firm to be the “Recognised Verifier”. These costs had not been explicitly budgeted; so they could be coded to the O&M budget contingency item “Professional Advice”.
14. Stormwater Control at York Valley
14.1 A draft options report has been received from the consultant for the Western side of York Valley (which is at risk).
14.2 Rough order consultant’s estimates for the options range from $600k to $1.4m
14.3 The contractor has been asked to provide feedback and an independent rough estimate for each option.
15. Truck Wash
15.1 A new project approved in the Business Plan is to install a truck wash at York Valley.
15.2 The current concept being developed is to install it within the existing wheel wash structure.
16. Road Surface renewal
16.1 The condition of the existing York valley sealed road surface is being assessed.
16.2 It is likely that a reseal will be required.
17. Government landfill levy consultation
17.1 The Government has just released “Reducing waste: a more effective landfill levy consultation document” Publication date: November 2019 Publication reference number: ME 1470 https://www.mfe.govt.nz/sites/default/files/media/Waste/reducing-waste-a-more-effective-landfill-levy-consultation-document.pdf
17.2 The Government is proposing to increase the landfill levy and apply it to more types of waste. This consultation document is seeking feedback on proposals to:
· increase the levy for municipal landfills (those that take household waste)
· apply the levy to all types of landfill except cleanfills (accepting only virgin excavated natural materials) and farm dumps
· apply the levy at different rates for different landfill types, to reflect different environmental and social costs of disposal, and different opportunities for recovery of different materials
· collect better waste data.
17.3 The proposal would see the landfill levy progressively expanded to all landfill types and increased from $10 to $50 or $60 per tonne at municipal landfills that take household waste by 2023.
17.4 The consultation closes at 5pm on Monday 3 February 2020.
17.5 The Board therefore has an opportunity to consider the Government proposals; and to provide feedback.
17.6 Because the Acting General Manager’s tenure is about to end, guidance is sought from the Board members as to what feedback, if any, they wish to send to Government.
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18. Management
18.1 For the Board to review progress against the approved current year Business Plan a tracking document has been created.
18.2 The Key Performance Measures tracking report is attachment 2.
Don Clifford, Acting General Manager NTRLBU
Attachments
A2313830 - Financial Report to 31 October 2019
A2313829 - Key Performance Measures tracking report
A2313868 – Updated Nelson Tasman Regional Business Unit Business
Plan 2020/21