HomeMy WebLinkAbout1990-08-14 - AGENDA REPORTS - RECYCLED PAPER PRODUCTS (2)� � 4
AGENDA REPORT
City Manager Approval
Item to be presented by:
Ike: D. 0 1
DATE: August 14, 1990
SUBJECT: Purchasing Recycled Paper Products
DEPARTMENT: Finance/General Services 0
BACKGROUND
Andrea Daroca
Councilmember Heidt requested that this item on the acquisition of recycled
products be on the agenda.
The State Integrated Solid Waste Management Act of 1989 mandates cities to
reduce their waste stream to sanitary landfills by 25% in 1995 and 50% in the
year 2000. Los Angeles County, the State of California, and the nation
generally have reached a crisis situation in the area of solid waste disposal.
As a result, recycling efforts -are rapidly expanding locally and regionally.
However, the markets for recycled items are decreasing because of gluts
resulting from an overabundance of recycled materials.
A good example of market glut is in the area of recycling old newspapers (ONP).
In June, 1989, the average price paid for ONP was $48 per ton. In June, 1990,
the average price paid dropped to $20 per ton and has dropped to $10 per ton in
July, 1990. Most recyclers are having a difficult time finding a market for
ONP. This situation also applies to recycled glass. The problem is basically a
supply and demand issue --there is an abundant supply, but demand has been low.
To help alleviate this situation, many organizations including government
agencies are establishing policies to purchase recycled paper and other items.
Staff has researched local vendors and state contract prices for recycled paper
products and found the following results. Both copier paper and office paper
supplies are not readily available through the state. The state requires too
large an order quantity for the City of Santa Clarita to store. For example,
200 cases of copier paper at a 7% to 11% savings over local suppliers is
required. The city uses 192 cases per year. Additionally, the state charges
$40 per delivery and takes a minimum of four weeks to process and coordinate the
delivery of paper to the agency. A local vendor can provide recycled copier
paper at an added 7% to 11% cost over the state's contract price within two days
in a quantity which the city can store. Other recycled office paper supplies
have inconsistent delivery and costs which are not readily available to local
paper suppliers, and they are recommending that the city wait until recycling
suppliers are set up to provide the recycled products at a reasonable delivery
time and cost. Staff has tested recycled copier paper in existing city copiers
and printers and found no problems with this paper being used in these machines.
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RECOMMENDATION
That staff be authorized to purchase recycled copier paper. The purchase of
recycled copier paper will cost the city an estimated additional 4% or $260 per
year in comparison to regular copier paper. Additionally, that staff be
directed to purchase recycled office supplies as suppliers can provide needed
quantities on a timely basis and at a constant quality and price.