Localities still recycled after SPSA dropped service

When SPSA decided to drop all of its recycling programs this year, the eight cities and counties served by the regional waste authority were left to ask an uncomfortable question: Now what?

Since then, most of the localities have hired private companies to continue recycling as before or, in some cases, to expand environmental efforts.

Others, such as Portsmouth and Isle of Wight County, still are negotiating deals with private vendors, though both expect to retain their current level of recycling with drop-off centers but no curbside collections.

Norfolk, meanwhile, is experimenting with "managed competition," in which the city is bidding against private companies to take over recycling duties from the Southeastern Public Service Authority. Norfolk hopes the process leads to cheaper rates and better service.

No decisions have been made as yet, a city spokesperson said, though a program identical to the existing one is expected to be up and running by the time SPSA officially ends all recycling May 31.

SPSA, which began curbside recycling in 1988, is getting out of the business to cut costs and streamline operations. The agency owes more than $210 million and is under pressure to privatize services. It also wants to sell its recycling assets - including trucks, bins and property - valued at $4 million.

Increased recycling is especially appealing these days in South Hampton Roads because the fee charged by SPSA to dispose of garbage in a landfill or an incinerator is among the highest in the nation, at $170 per ton.

"Anything we can keep out of the waste stream is good for us, good for our pocketbook," said Mike Johnson, Southampton County administrator.

The rural county is expanding its curbside program effective April 1 by introducing larger, 95-gallon collection bins on wheels at about 1,200 homes in three towns, Johnson said.

A Smithfield company, All Virginia Environmental Solutions Inc., won a joint recycling contract last month with Southampton County and the city of Franklin to handle the job at a cost of $2.66 per home per month. SPSA charged $3.47 for the same service last year.

Chesapeake similarly has opted for a bigger curbside program, which also accepts more types of materials than the old system, which included 18-gallon bins that had to be carried by hand or dragged. After two months of the new but more expensive collection service, the results are better than what Chesapeake had expected, said David Thompson, the city's waste management director.

Participation rates have nearly doubled, Thompson said, to 63 percent of Chesapeake households in January and February from about 32 percent. At the same time, the amount of recycled materials has tripled, he added.

Overall, this increased haul has allowed the city to pay for its expanded program and still save money compared with what it paid SPSA last year, Thompson said. Last month alone, he added, Chesapeake saved about $18,000.

"We've been very, very pleased," he said, "and more importantly, the citizens seem to like it even better than we do. We've received all kinds of nice calls and e-mails."

Tidewater Fibre Corp., based in Chesapeake, is handling the program under a contract with Chesapeake City Hall.

The largest recycling company in Virginia, TFC has managed a big-bin program in Virginia Beach for the past 15 years, after the Resort City broke away from SPSA amid complaints of high costs and poor service.

TFC also has won a contract to provide subscriber service in Suffolk this year, and the company is bidding to run Norfolk's recycling, offering a price of less than $2.70 per household per month, said Michael Benedetto, a vice president.

Benedetto said TFC recently purchased another 4.2 acres next to its recycling center in Chesapeake to make room for trucks and maintenance areas.

In Suffolk, TFC is trying a slightly different approach. Under its contract with the city, TFC is signing up residents who want to subscribe for curbside recycling with the 95-gallon bins. The company is trying to gather at least 3,000 participants by Earth Day, April 22, before launching the service, Benedetto said.

Subscribers would pay $12 a month directly to TFC.

The city would continue to offer drop-off centers to the rest of the community and is negotiating a contract now with a private firm, said Debbie George, Suffolk spokeswoman.

Like Suffolk in 2007, Portsmouth scrapped curbside recycling in 2003, citing low participation rates and mounting costs under SPSA. Portsmouth expects to soon hire a private contractor to manage its drop-off centers but also will conduct a survey asking residents if they would be interested in re starting a curbside program, said Doug Harvey, director of public works.

The town of Smithfield is going to an expanded curbside program, and Isle of Wight County intends to contract for continued use of drop-off centers, officials in both localities said.

Scott Harper, (757) 446-2340, scott.harper@pilotonline.com