Item 007 - ARR Operations and Administrative Projects Update — original pdf

Backup

To: Zero Waste Advisory Commission From: Richard McHale, Director, Austin Resource Recovery Date: April 8, 2026 Subject: Director’s Monthly Report to the Zero Waste Advisory Commission Reuse Warehouse After a two-year search for a suitable location, Austin Resource Recovery (ARR) is proceeding with the acquisition of 9201 Metric Boulevard for the Reuse Warehouse. The Purchase and Sale Agreement was executed on January 29, 2026, for $4.4 million. The City completed all due diligence on March 24, 2026, including appraisal, environmental assessments, building condition review, title review, and survey, with no issues identified. The acquisition was approved by Council on March 26, 2026, on consent. ARR anticipates closing on the facility in the coming weeks with opening planned for late summer or early fall 2026. Textiles and Clothing On-Demand Collection Austin Resource Recovery (ARR) has added Textile and Clothing collection as part of the on-demand program. Customers can request up to three collections per year at their convenience. Acceptable items will include clothing, blankets, linens, and curtains. Social media posts were made announcing that scheduling is now available; additional information can be found on ARR’s website. There are no additional resources planned for this expansion. 2026 Update on Impact of the HOME Initiative on the Department The City of Austin HOME initiative is a land use policy intended to reduce barriers to building accessory dwelling units on residential lots. Austin Resource Recovery (ARR) has added 232 new addresses on 61 existing trash routes from February 2025 through February 2026. The impact of these new additions have been absorbed as part of overall department operations. The department will continue to monitor these changes are how they impact route lengths, street congestion, and parking access. Potential policy changes may be needed to restrict parking on collection days and allow for the sharing of carts at properties with 2 to 4 dwelling units. Fix-It Clinic A Fix-It Clinic will be on May 2 at the Carver Library from 10:00 a.m. to 2:00 p.m. Residents can bring broken household items and learn to fix them with guidance from skilled coaches. There will be a drop-off period the week leading up to the clinic, for those who need something fixed but are unable to attend the event. Learn more, volunteer or register at austintexas.gov/fix-it Fix-it Clothing Swap and Mending Events Community members can bring clean, gently used clothing to swap with the community. If they have an item that needs a little love, they can get help with hems, buttons, small tears or patches. There are two events: April 4 from 2-4 p.m. at Twin Oaks Library (District 9) and April 18 from 1-4 p.m. at Windsor Park Library (District 4). Learn more, volunteer or register at austintexas.gov/fix-it. Utility-Scale Solar Array at FM812 Closed Landfill Working in conjunction with Austin Resource Recovery (ARR), Austin Energy issued a Request for Proposals in October 2025 for utility scale solar power to be located at the closed City of Austin FM 812 Landfill. Offers resulting from the solicitation provided Austin Energy with competitively priced options for a power purchase agreement and the opportunity to progress toward its local solar capacity goal in the Austin Energy Resource, Generation and Climate Protection Plan to 2035. In addition, as a local resource, the agreement will provide wholesale price risk mitigation to the Austin Energy Load Zone. ARR’s Zero Waste Comprehensive plan includes a long-term goal to identify alternative uses for the FM812 landfill, such as renewable energy generation. A closed landfill is a favorable candidate for ground-mounted solar for practical and environmental reasons. The land is generally large, open and already cleared yet otherwise difficult to use. Solar provides a flexible, compatible and low-impact solution that converts the site into a clean energy asset. This first of its kind project in Austin is expected to be completed and operational in 2028. Additionally, this 8 MW landfill solar facility will be the largest single site solar installation in the City of Austin. Central Business District Rate Change On April 23, 2026, ARR will propose to Council a budget amendment to revise fees for the Central Business District (CBD) customers. This revision is needed to ensure that ARR receives sufficient revenue to pay for contractually provided collection services in the CBD. The current contract provides daily collection, transport, processing, and disposal of trash and recycling, as well as daily litter abatement services within the CBD. This contract expired in April 2026. ARR issued a solicitation in October 2025 and Council approved the new contract on March 26, 2026. Under the new contract, prices for all collection services increased compared to the previous contract. Additionally, ARR will begin providing compost collection services in the CBD resulting in new collection costs not previously incurred. City Code Section 15-16-4 requires the City to contract with a private collection company to provide solid waste services within the Central Business District (CBD). In Fiscal Year 2025-2026, Austin Resource Recovery (ARR) implemented rate increases in the CBD based on recommendations from a professional cost of service study. Richard McHale, ARR Director ARR Solicitation Updates As of April 1, 2026 ZWAC Meeting April 8, 2026  Preparing for Council:  N/A  Published:  Recycling Processing Services for Non-Curbside Collections: The Contractor shall provide processing and marketing services for single-stream recyclable materials received from customers at the RRDOC and those collected by City crews from approximately 160 City facilities. Link to the current contract.  Expected to be Published Within 90 days:  Stationary Equipment: The Contractor shall provide preventative maintenance, servicing, repairs, and replacement parts for stationary recycling-related equipment. Link to the current contract. Definitions: CCO CO-OP (Capital Contracting Office): Administers the procurement of professional and construction services. (Cooperative Contract): A contract that has been competitively bid and issued by another government or purchasing alliance with the intention of sharing it with other governmental entities. (Interlocal Agreement): A collaborative contract between local government entities (for example, ARR and a county, state, or school district) to provide more efficient and less costly services, where any payments are made from current revenues. (Invitation for Bid): Formal bidding documents inviting suppliers to submit pricing for goods or services. (Request for Information): Used to obtain industry input, feedback, or reactions from potential suppliers prior to issuing a solicitation. RFQ (Request for Quotation): Informal request to suppliers to provide quotes on specific goods or services. (Request for Qualifications): Formal solicitation used when qualifications are the main criteria for professional services. (Request for Proposals): Formal request for a supplier to provide a solution and cost estimate to a complex need. ILA IFB RFI RFQS RFP Page 1 of 1 Austin Resource Recovery Curbside Collection and Drop Off Center Operations LAST FISCAL YEAR-FY25 CURRENT FISCAL YEAR-FY26 Description of Services FY2024 FY2025 Jan 2025 Feb 2025 FY25 YTD (Oct 24-Feb 25) Jan 2026 Feb 2026 d e s o p s D s n o T i Tons of Curbside Trash Tons of Curbside Bulk Disposed HHW Operations Tons Disposed Estimated Tons of Curbside Recycling Residuals (1) Total Disposed Tons Collected Curbside and from Drop Off Center Operations 136,713 9,366 484 10,610 138,105 5,993 452 9,963 12,141 242 43 978 10,413 380 28 784 56,329 2,590 171 4,391 11,802 543 41 771 10,032 514 34 635 157,173 154,514 13,404 11,604 63,481 13,156 11,215 62,954 156,937 FY26 YTD (Oct 25-Feb 26) 56,127 3,024 185 FY 2026 Goal 136,579 8,874 389 3,618 11,095 3,748 3,012 16,998 3,618 3,047 17,688 35,829 (1) Estimated tons of curbside recycling processed by vendors as residual - based on bi-annual sample route audit Total Tons of Recyclables Collected RRC Tons Recycled/Reused RRC Tons of Brush Collected HHW Operations Tons Recycled/Reused 42,315 1,811 0 344 40,094 1,835 0 388 Tons of Drop Off Center Collections Recycled/Reused 1,948 1,951 137 0 26 135 103 0 26 99 Tons of Curbside Compost Collected Tons of Curbside Bulk Recycled Tons of Curbside Brush Collected Tons of Curbside Textiles Collected Tons of Carts Recycled 42,716 206 6,713 46 177 38,971 272 9,357 42 221 3,098 1,853 28 109 4 15 30 198 3 24 i d e t r e v D s n o T 654 0 133 688 14,383 99 1,769 16 71 132 0 33 137 3,238 29 403 4 0 141 0 34 151 2,798 25 192 0 11 734 0 155 795 14,588 95 2,078 9 59 1,900 0 325 1,957 43,199 268 6,349 46 185 Total Diverted Tons Collected Curbside and from Drop Off Center Operations Total Tons Collected Curbside and from Drop Off Center Operations Estimated Percent of Curbside Collected Materials Diverted from Landfills by ARR 94,122 90,908 7,137 5,217 34,025 7,428 6,224 35,311 87,833 251,294 245,422 20,541 16,822 97,506 20,585 17,439 98,266 244,770 37.04% 36.61% 34.38% 30.66% 34.49% 35.73% 35.20% 35.48% 38.00% Pounds of Trash Collected per Customer per Pickup 24.39 25.16 26.79 22.13 24.19 25.04 21.30 24.19 23.91 Number of Trash and Recycling Customers 215,723 211,313 209,360 217,283 215,079 217,684 217,596 214,188 219,720 Pounds of Recycled Materials Collected per Customer per Pickup (every other week) Pounds of Curbside Compost Collected per Customer per Week 15.19 14.70 16.64 12.89 14.69 15.47 13.04 15.36 12.63 7.67 7.14 6.88 3.96 6.22 6.92 5.99 6.33 7.61 Number of Curbside Compost Customers 214,366 209,968 208,072 215,908 213,765 215,984 215,880 212,591 218,266 Total Tons of Dead Animals Collected from COA Rights-of-Way and the Animal Shelter 55 73 6 5 29 5 5 28 59 Austin Resource Recovery Curbside Collection and Drop Off Center Operations 20,541 20,585 16,822 17,439 7,137 5,217 7,428 0 6,224 Jan 2025 Feb 2025 Jan 2026 Feb 2026 Total Diverted Tons Collected Curbside and from Drop Off Center Operations Total Tons Collected Curbside and from Drop Off Center Operations Estimated Percent of Curbside Collected Materials Diverted from Landfills by ARR 0 0 36% 35% 35% 38% 25,000 20,000 15,000 10,000 5,000 0 50% 40% 30% 20% 10% 0% Jan 2026 Feb 2026 FY26 YTD (Oct 25-Feb 26) FY 2026 Goal Category of Waste Generation Residential Waste Diversion (city serviced accounts) Community Diversion Rate Reporting Status and Diversion Results for All Categories of Waste Generation 2020-21 Actual 41.96% * 2021-22 Actual 38.32% * 2022-23 Actual 63.42% * 2023-24 Actual 37.04% * 2024-25 Goal 38.00% * 2024-25 Current 35.48% * *As prescribed in the (1) 2023 Austin Resource Recovery Comprehensive Plan, the Department shall conduct a detailed waste assessment study every five years to determine progress toward our Zero Waste goal. This plan is an update to the (2) 2011 Master Plan (see link below).The first such study was published in (3) 2015, titled Austin’s 2015 Community Diversion Study (see link below). The study focused on estimating diversion from both ARR-serviced properties and commercial properties. Commercial properties include retail businesses, food service establishments, professional offices, industrial properties, institutional facilities, government facilities and multifamily properties five units and larger. According to Austin's 2015 Community Diversion Study, Residential Waste Diversion Rate (City-serviced accounts) represents approximately 15% and the Community Diversion Rate (accounts serviced by private waste haulers) represents approximately 85% of the total citywide. (1) 2023 Austin Recovery Comprehensive Plan (2) 2011 Master Plan (3) Austin's 2015 Community Diversion Study Residential Waste Diversion (City-serviced accounts) 63.42% 41.96% 38.32% 37.04% 38.00% 35.48% 70.00% 60.00% 50.00% 40.00% 30.00% 20.00% 10.00% 0.00% 2020-21 Actual 2021-22 Actual 2022-23 Actual 2023-24 Actual 2024-25 Goal 2024-25 Current Category of Waste Generation Commercial Tons Landfilled** Commercial Tons Recycled** Commercial Organics Tons** CY23 897,211 343,834 87,279 CY24 1,277,232 586,600 57,046 CY25 1,261,564 369,178 58,753 ** Numbers reported here are compiled from self-reported data submitted by licensed private waste haulers via semi-annual tonnage reports required under Section 15-6-3 of the City Code on a calendar year basis and as such, ARR does not attest to the accuracy of these amounts. These numbers reflect data from 100-200 licensed haulers (number of haulers varies over time), and include haulers servicing dumpsters, roll-offs, construction and demolition debris, landscaping debris, and metal scrap. These numbers do not reflect all data sources included in Austin's 2015 Community Diversion Study. Zero Waste Advisory Commission Meeting - April 2026 Single Stream Recycling Statistical Report FY26: October thru February Texas Disposal Systems (TDS) and Balcones Resources, Inc. (BRI) Month and Year Contractor Tons Delivered Contractor Payments Net Value to the City Landfill Cost Avoidance Revenue Processing Cost Net Value Net Amount * Due/(Owed) $ per ton value Cost Per Ton Total October 2025 November 2025 December 2025 January 2026 February 2026 TDS BRI Total TDS BRI Total TDS BRI Total TDS BRI Total TDS BRI Total 1,672.37 2,392.88 $4,065 1,566.17 2,132.32 3,698.49 2,080.32 2,422.34 4,502.66 1,714.82 2,673.99 4,388.81 1,835.61 1,846.81 3,682.42 19,175.46 175,434.72 $194,610 83,618.50 234,502.39 $318,121 ($64,443.04) ($59,067.67) ($123,511) ($64,443.04) ($59,067.67) ($123,511) ($38.53) ($24.68) $28.90 $28.90 $17,597 $167,354 $184,952 $29,061 $201,397 $230,458 $24,016 $235,835 $259,850 $26,718 $173,113 $199,831 $78,309 $208,967 $287,275 $104,016 $237,389 $341,405 $85,741 $262,051 $347,792 $91,781 $180,897 $272,678 ($60,711) ($41,613) ($102,324) ($74,955) ($35,992) ($110,947) ($61,725) ($26,216) ($87,942) ($65,062) ($7,784) ($72,846) ($60,711) ($41,613) ($102,324) ($74,955) ($35,992) ($110,947) ($61,725) ($26,216) ($87,942) ($65,062) ($7,784) ($72,846) ($38.76) ($19.52) $28.90 $28.90 ($36.03) ($14.86) $28.90 $28.90 ($36.00) ($9.80) $28.90 $28.90 ($35.44) ($4.21) $28.90 $28.90 $48,331 $69,154 $117,486 $45,262 $61,624 $106,886 $60,121 $70,006 $130,127 $49,558 $77,278 $126,837 $53,049 $53,373 $106,422 March 2026 TDS BRI April 2026 May 2026 June 2026 July 2026 Total 0.00 TDS BRI Total 0.00 TDS BRI Total 0.00 TDS BRI Total 0.00 TDS BRI Total 0.00 August 2026 TDS BRI Total 0.00 September 2026 TDS BRI Total 0.00 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 FY26 Totals 20,337.63 $1,069,702 $1,567,271 ($497,569) ($497,569) $587,758