‘In reviewing the Waste Management By-Law during this year’s budget process it was discovered that there is currently no existing user fee for the sale of compost’
The City of North Bay is seeking to recoup some of the costs associated with its legislated compost program.
North Bay City Council has authorized a new user fee relating to the re-sale of compost to the general public. The proposed amendment to the Waste Management By-Law must go to a public meeting as part of Council’s general government committee, November 23, before it can go to a final vote.
According to the report to council prepared by Karin Pratte, Senior Facilities and Environment Engineer, “In reviewing the Waste Management By-Law during this year’s budget process it was discovered that there is currently no existing user fee for the sale of compost.”
According to the Municipal Act, 2001, to offset the cost of providing services, municipalities have the authority to impose a fee or charge on individuals who benefit directly from the service. The City says the “rationale for imposing user fees is that those who clearly benefit from a service should be the ones to pay for it.”
If the proposal passes, the City would be permitted to charge a $25 per tonne fee for processed compost at the landfill. Currently, there is no prescribed fee in the by-law but in its absence, the City has been administering a smaller fee.
“The current rate being charged for compost is $10 per tonne with a minimum of $10 per load. The average volume of compost generated annually is 1,000 tonnes which translates to a revenue stream of approximately $10,000,” reads the report. “Provided the historical annual tonnes sold remain at 1,000 tonnes, at the new rate of $25 per tonne, revenue of approximately $25,000 should be realized.”
The Environmental Services department estimates the entire composting process costs $40,000 per year, meaning the program would operate at less of a loss under the new fee structure.
Environmental Services accepts and collects leaf and yard waste at the City’s organic drop-off area on Patton. The Merrick Landfill also accepts the same materials, in addition to brush. The materials are chipped and composted and the entire compost process takes approximately a year. The material is then screened, tested, and then sold to the public.
The leaf and yard waste collection and composting program as currently organized generates revenue through the re-sale of small amounts of compost at the City’s Patton Street facility, while members of the public or contractors looking for larger loads purchase the compost at the Merrick Landfill.