Jan. 30, 2009
A new recycling facility in the Miramichi may be run by a private company if the price is right, says a spokesman for the local solid waste commission.
Northumberland Solid Waste Commission chair Levis Savoie said the commission's board has requested two separate bids for construction of a new facility.
"When we have the price we will decide which way to go."
Both options require a company to design and build the facility, but only one would see the commission run it.
The other would see it run by a private company.
Other regions have tried public/private partnerships to run their waste facilities and have seen mixed results.
In Moncton, the Westmorland Albert Solid Waste Commission reviewed eight proposals in 1994 and chose TIRU to run their facility in Berry Mills. By 1997 the company was out and the commission took over.
The facility's current general manager Bill Slater said one of the issues with a private company running the site was the commission lost control of it.
"When you put out an RFP these companies have to make money."
During TIRU's tenure, they didn't produce any workable compost and couldn't sell the recyclables because they brought in technology that didn't work, he said.
"That's always a scary part that technology don't work in these areas."
Slater said TIRU was supposed to run the facility for 20 years and when they left, the commission spent more than $2 million to replace all the equipment.
"We stripped all the equipment out and redone it."
The Westmorland Albert Solid Waste Commission set out in a contract criteria the company had to meet, which included financial penalties if the criteria weren't met, like a $4 million performance bond, he said.
"When you pick up $4 million from somebody that brings them to attention."
Slater said the community got behind the waste commission after they took over and have been more accepting of the work they do.
"Knock on wood it's still going great."
The Berry Mills site's general manager under TIRU has since been involved with the request for proposals process for the Northumberland Solid Waste Commission.
Savoie said the board sought bids for someone to help put the proposal together and hired Charles Boudreau, who had the lowest bid.
"The board thought he was the best one to help us."
Boudreau had experience running a facility like the one the commission wanted, Savoie said.
"He was just explain to us he knew what the policies, what the thing was that we wanted."
Savoie said the board made the decision that was best for the board and he didn't know if anyone else who submitted bids had experience in facilities like the one they want to build.
"That's how the board decided. This man had ran some facility before so he should know, eh."
Savoie said he didn't know how much the experiences of other solid waste commissions factored into the decision in the Miramichi.
"Me, I can only say so much what the board tell me the decision they make. If they don't I can't tell you anything because they don't tell me."
When contacted for comment, Northumberland Solid Waste Commission general manager Marie LeBlanc said initially the request for proposals was to design and build with the option to operate, but someone in her office corrected her and confirmed it was to do all three.
"I don't have the latest version of the RFP in front of me."
The board is also evaluating what it would cost for the commission to design, construct and operate the facility ourselves, she added.
"It's just something so that we can evaluate both issues and see which would be more cost effective."
Although reports before Christmas indicated the board would have made the final decision by now, LeBlanc said the request for proposals only went out on Jan. 9.
"We have to allow people adequate time to put proposals together."
When asked why the board hired someone involved in the failed Moncton facility, LeBlanc did not want to comment.
"I really couldn't comment on what the situation was in Moncton. I mean I don't work for the Moncton commission. I really have no idea."
She did say the board sought bids for someone to draft the request for proposals.
"They were evaluated and he was the best, the most suitable person."
Moncton is not alone in switching from a private partnership at their waste facility. Restigouche Solid Waste Commission spokesman Ian Comeau said they are going to take over operation of their transfer station from Waste Management on Jan. 1, 2010.
If they stayed with the company, there would be extra costs involved with running the site, he said.
"It's going to be a lot easier for us to offer different diversion programs."
Comeau said they had the option of adding services built into their contract, but it came down to a matter of cost and offering more service for what they pay.
"It's something that we've been looking at the last two or three years."
The initial contract was with BFI, who transferred it to MDI before Waste Management took over. Comeau said there were issues with MDI who didn't do upkeep on the facility.
"We weren't too happy with their service."
But with other facilities around the province, there is enough experience out there for regional commissions to do it on their own, like his commission did through the companies they hired, he said.
"We've gained it from them, now we can do it ourselves."
Savois said when Northumberland Solid Waste Commission board decided to issue a request for proposals, they advertised it online, and added he thought an ad was placed in the Miramichi Leader.
"Most of the thing now is on the Internet."
The request for proposals went out Jan. 9, but Miramichi Leader staff were unable to find an ad for proposals in any past editions. A quick search online yielded only one site with the request for proposals and it only listed the request for operation by a private company.
As of press time the commission hadn't received any bids for the design and construction of the new facility, Savoie said, but added the deadline is Feb. 23.
"Then we will have some news."
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