Approve first amendment to Agreement No. 19-248 (Solid Waste Franchise Services) with USA Waste of California, Inc. dba Waste Management of Woodland to add carton recycling (e.g. milk cartons); delegate authority to the Director of the Division of Integrated Waste Management to execute the first amendment. (No general fund impact) (Lindbo/Juhler)

On November 19, 2019, the Board of Supervisors held a public hearing and approved a new solid waste franchise agreement (Agreement No. 19-248) with USA Waste of California, Inc. (Waste Management) to provide solid waste, recyclable materials, yard trimmings and construction and demolition services in County Exclusive Boundary Area #1. This area includes the rural areas of Winters, Woodland and West Sacramento, as well as the townships of Capay, Dunnigan, Clarksburg, Esparto, Knights Landing, Madison, Yolo, Zamora and other areas of unincorporated Yolo County.  At that time, carton recycling was not negotiated into the agreement due to the fact that Waste Management's Material Recovery Facility (MRF) was not equipped to handle them.  However, on November 14, 2024, Waste Management will be hosting the grand re-opening of its MRF in Sacramento showing off the updated technology that will now be able to accept cartons, such as school milk cartons, kids juice boxes, as well as aseptic cartons commonly used for broth or nut/soy milk.  These cartons will now be segregated with mixed paper and exported to be made into recycled pulp and container board packaging.  The Carton Council assisted Yolo County in vetting out the viability of the foreign markets that Waste Management is using and confirmed that this mill-buying group is a certified carton recycler.  Below is the current breakdown of all commodity markets Waste Management is working with on behalf of Yolo County.  

While the first term on Waste Management's agreement is not set to expire until 2029, the Integrated Waste Management Division staff have heard from many community members wanting carton recycling in Yolo County and would like to move forward with this addition effective November 15, 2024 to coincide with Waste Management's MRF enhancements.  Additionally, Waste Management has agreed to start accepting cartons for recycling in the City of West Sacramento, Winters, and Woodland as part of a greater regionwide sustainability effort.   For these reasons, we are seeking approval of this first amendment so that carton recycling can be added to the residential curbside carts as well as business collection program in County Exclusive Boundary Area #1

Cartons
Gable-top and Aseptic cartons are made from a mix of paper, polyethylene and aluminum (aseptic cartons). These layers provide protection against light, air, and harmful bacteria, but do not prevent them from being recycled. The estimated quantity of gable top and aseptic cartons generated in California is roughly 70,000 tons each year, of which only ~20% is recycled in the state, demonstrating an opportunity for continued recycling growth of this material.  Some cities are already participating, such as Napa, Anaheim, San Francisco and Oakland. Recycled cartons provide feedstock for building products, tissue paper and paper towels. It is spatially challenging and can be economically cost prohibitive to add a bunker and optical sorter to MRFs which is why there have been delays in implementing such programs.  While Waste Management is able to cover County Exclusive Boundary Area #1, Recology, who covers County Exclusive Boundary Area #2, including El Macero, N. Davis Meadows, Binning, Willowbank and other rural pockets of Davis and Winters are unable to do so at this time.  Due to the space restrictions in Recology's MRF, they are taking a different approach to adding carton recycling whereby they will set up a carton recycling drop off area at 2727 Second Street in Davis effective December 1, 2024.  This drop off will be available 7 days a week, 24-hour a day to all Davis city and rural residents. Recology will use this pilot program to determine the level of participation and volume collected.  Once they know how much material is in the Davis community, they will then decide whether to ship the material themselves or work with another recycler to pick up the source separated carton bales along a “milk run” collection route.  Since this pilot program is not currently being implemented at curbside or along the franchised commercial collection route, no amendment is needed at this time for Recology. 

The County worked with Waste Management, Recology, the Carton Council and a member from each jurisdiction regarding program implementation, and with County Counsel to approve the amendment as to form.