CR 92-28 Adoption Of Resolution 92-01
January 7, 1992
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council Report: 92-28
ADOPTION OF RESOLUTION 92-0l AUTHORIZING SPONSORSHIP
RECYCLING IN THE PURSUIT OF A GRANT FROM THE OFFICE
MANAGEMENT (OWM)
OF UNITED
OF WASTE
I
Proposed Action.
Staff recommends adoption of the following motion:
Resolution No. 92-01 authorizinq the sponsorship of
in their pursuit of a qrant from the Off ice of
(OWM) . "
"Move to adopt
united Recvclinq
Waste Management
Overview.
united Recycling approached the City of Hopkins in November of 1990
interested in purchasing our unused 300 gallon refuse containers. At
that time they were interested in using the containers, for collecting
plastic wrap from carpet stores and recycling it by shipping it back
to the carpet manufacturers to use in carpet backing. We supplied
them with 149 containers from November 1990 to May 1991. They are now
applying for a grant to expand thier business from the Office of Waste
Management. As a requirement of the grant, they have approached the
city of Hopkins asking for sponsorship of the grant application to the
OWM. We have reviewed their business plan, the grant requirements and
I have recently contacted three carpet outlets in or near Hopkins
regarding their relationship with united Recycling. Each company was
pleased with the service provided and excited about united Recycling's
expansion plans. After determining that the city has minimal
liabili ty and reporting responsibility we are recommending that the
city sponsor them in their grant pursuit. Grant funds are available
only through city or county sponsorship.
Primary Issues to Consider
o What is the city's role in sponsorship?
o will united recycling make a good faith effort during the life of
the grant?
o Is adoption of this Resolution in the best interest of the City
of Hopkins?
Supportinq Information
o Analysis of Issues
o united Recycling Grant Application
o Resolution 92-01
o Copy of OWM Grant Agreement Requirements
;(;)1/[1 C. (Ih~
Kathy A: Max, Recycling Coordinator
council Report: 92-28
Page 2
Analysis of Issues
o What is the, city's role in sponsorship?
The City would be required to act as liaison between United
Recycling and the OWM. This would require the city to enter into
a contract with the OWM and one with united Recycling. If the
grant is approved, the OWM disburses 75~ of the funds to the City
of Hopkins and the city is responsible for the disbursement of
those funds to united Recycling. The city would be required to
report yearly on the progress of the grant. However, in the
contract with united Recycling the city would require united
Recycling to complete the report and we would just redirect it to
the OWM. Under section I; Assiqnment, in the Grant Agreement
with the OWM, it states that the City (Grantee) will not assign
or transfer any rights or obligations without prior consent of
the OWM. The city will develop an attachment to the agreement
which would ask permission to transfer obligations for reporting
and costs to united Recycling and language to that effect would
be included in our contract with united Recycling. This
agreement as well as the agreement with OWM would be reviewed by
the city Attorney. Administrative costs and legal fees would be
paid by United Recycling.
o will united recycling make a good faith effort during the life of
the grant?
Tom Osdoba from the Office of Waste Management explained the
city's responsibility in sponsoring this type of grant. In doing
so he explained that the OWM is responsible for making sure that
the grant request meets the grant requirements, that it is a
feasible operation and that it has good possibilities of success.
All grants awarded, are based on the information requested-by the
OWM and supplied by united Recycling. The city's part is mainly
to support what united Recycling is doing and identify that they
appear to' be making a good faith 'effort to, fulfill all grant
requirements. Based on the information contained wi thin their
grant application, phone conversations with current customers,
and personnal contact with Dan Treanor, Charlies Pyle, and Jim
Bonneville, it is my belief that they will make every attempt
possible to fulfill their obligations. In the event that they do
not fulfill those obligations within the first year, the final
25% funding would be withheld by OWM. If it is found that they
made a good faith effort and failed, chances are they would
recieve all funds expended to the point of termination and would
not be required to repay funds expended.
Council Report: 92-28
Page 3
o Is adoption of this Resolution in the best interest of the city
of Hopkins?
The Office of Waste Management offers various grants to promote
recycling initiatives. Due to state regulations certain grants
can only be obtained through city' or county sponsorship. The
reason for this is basically to allow cities and counties some
control over the funds, and give counties and cities a voice in
how those funds are spent. The Solid Waste Separation Grant
that united Recycling is pursuing requires city or county
sponsorship. By sponsoring this grant request, Hopkins will be
promoting a recycling initiative that if successful will be of
benefit to both residents and businesses. A problem material
will be eliminated from the waste stream helping to increase our
waste abatement efforts.
After contracts are executed both with OWM and united Recyling,
there will be limited city liability and involvement. The
benefit would be in being associated with promoting a potentially
successful recycling effort.
UNITED RECYCLING, INC.
PROPOSAL FOR SOLID WASTE
SEPARATION PROJECT
MINNESOTA OFFICE OF
WASTE MANAGEMENT
MR. THOMAS OSDOBA
1350 ENERGY LANE
ST. PAUL, MINN~SOTA
55108
DECEMBER 21, 1991
%t&ud 9fccy~Ic;,'f
>,..:;
RECYCLER'S FOR THE CARPET IND.
3119 LYNN AVENUE sour
5T. LOUIS P-ARK, MN 55416
December 21, 1991
Minnesota Office of Waste Management
Recycling Market Development Grant and Loan Program
1350 Energy Lane
st. Paul, Minnesota
55108
Attention:
Mr. Thomas Osdoba
Dear Mr. Osdoba:
united Recycling was founded in February, 1990 to capitalize
on a business opportunity based on the following trends:
o
.
Every industry should be responsible for their own
recycling efforts and waste.
o Carpet industry does not have a recycling program and
should prior to mandated regulations.
o Carpet industry is growing annually at a rate of 2:4%
with no formal plan to dispose of waste.
o Greater than 90% of carpet production is a man made
fiber which is a major concern for waste disposal.
o Government (federal, state and loCal) are beginning to
regulate the disposaljburning of carpet products in waste
dumps.
These trends provide an opportuni ty to develop a carpet
recycling business that could be implemented in the Minneapolis-st.
Paul area and spread to regional markets through a combination of
franchising, royalty, or joint venture activities.
.
Page Two
Several key objective have been established:
o Provide recycling for all components of carpet including
the face yarn, primary and secondary backing, padding,
and plastic wrap.
o Provide a recycled end product that will add value to
the consumer.
o Quality service and integrity to the community.
o Become the model for the industry.
To accomplish these objectives United Recycling has developed
a carpet and accessory collection method to keep carpet out of the
waste disposal dumps and treatment plants. The company has also
developed technology to convert carpeting into products that are in
demand by the flooring industry and other end users.
Materials included in this proposal are:
1. Collection Truck with lift gate.
2. Collection Tubs.
3. Carpet collection truck.
4. Carpet collection devices.
5. Labor.
6. Vehicle expense.
7. Administration.
CONTACT PERSON:
CITY OF
James D. Bonneville
United Recycling
3119 Lynn Avenue South
.st. Louis Park, Minnesota
55416
"\
Authorized:
Mr. Lee Gustafson
Public Works Director
City of Hopkins
1601 Second Street South
Hopkins, Minnesota 55343
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UNITED RECYCLING, INC.
PROPOSAL FOR SOLID WASTE SEPARATION PROJECT
I. COVER LETTER
II . COVER PAGE
III. PROJECT PARTICIPANTS
IV. PROJECT DESCRIPTION
V.
VI.
VII.
VIII.
IX.
X.
XI.
XII.
XII.
A.
B.
Existing solid waste separation
Description of proposed solid waste
separation
Types and amounts of materials to be
separated.
Equipment to be used.
Implementation schedule
C.
D.
E.
ITEMIZED STATEMENT OF COST AND FINANCING
WORK PLAN AND BUDGET
LOCAL GOVERNMENT AFFECTED BY PROPOSED PROJECT.
WASTE SUPPLY
PRELIMINARY MARKET ANALYSIS
PERMITS AND ENVIRONMENTAL IMPACTS
EDUCATION AND PROMOTION PLAN
STATUTORY REQUIREMENTS
RESOLUTIONS
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III. PROJECT PARTICIPANTS
A.
United Recycling, Inc,.
3119 Lynn Avenue South
st. Louis Park, Minnesota
55416
Charles Pyle
President
Twenty five years in the carpeting industry most
recently as a sales representative for Bondafoam,
Inc. He has been active and a leader in the forward
thinking of the industry and has assumed the
role of president since inception. .
Past President of the Upper Midwest Floor _covering
Association and current President of the Mid-West
area Marketing Association. Past President of
Great Western trucking.
.
James D. Bonneville
Consultant
Thirty years with pUblic and private companies
most recently with Norstan.Inc. in Minneapolis.
Has twenty five years experience in MIS,
Fifteen in financing and funding of projects.
President of a public company and held
numerous positions in finance, operations, and
administration.
(Resume attached)
William Lammers
Manager-Manufacturing/Engineering
Over twenty years in Manufacturing and research and
development related activities for a Fortune 500
company. He has utilized plastic development
injection molding and extrusion over a ten year
period and holds two process related patents.
Dan Treanor
Manager-operations
Twenty years in the carpet industry.
in all levels of Distribution. Owned
operated own business for ten years.
Experienced
and
.
B. CITY OF HOPKINS
Finance Director:
Public Works Director:
Recycling Coordinator:
1601 Second street South
Hopkins, Minnesota
55343
(612) 939-1382
John Schedler
Lee Gustafson
Kathy Max
JAMES D. BONNEVILLE
2711 Chadwell Circle
Wayzata,Minnesota 55391
(612) 933-8079 Home
(612) 420-1183 Business
.'
OBJECTIVE:
A significant key management position in a growth orientated company. Major
emphasis in Operations, Finance and Administration.
SUMMARY:
Proven ability to manage in crisis with strong management skills that includes
turnarounds, growth, and process management.
BUSINESS EXPERIENCE
May 1991 -
Present
ENVIRONMENTAL 1ECHNOLOGlES, INC.
Consultant to Holding company which is raising financing for Clean Green
Packaging and United Recycling, Inc.
May 1988 -
May 1991
NORSTAN, INC., Minneapolis, Minnesota
Executive Vice President - Finance and Administration
Norstan is a $130 million communications services company that sells and
services ROLM and other telecommunications related products.
A member of the. corporate senior management teatn with responsibility in .
Finance and Administration. Growth during period has been approximately
52% in sales and 41% in net income. Accountable for Finance, Legal,
Purchasing, Administration, Management Information Services and Investor
Relations. Significantly upgraded internal reporting process including policy
and procedure formulation.
Key Accomplishments:
. Developed Investor Relations program that increased institutional
ownership from 8% to 30%.
· Developed proactive MIS Steering Committee and mission including
centralization of most administrative functions.
· Developed formal budgeting and review procedure.
. Reduced legal and audit fees.
. Developed formalized merger and acquisition system.
. Significantly upgraded reporting process.
. Held inventory levels flat during sales growth of approximately 50%.
October 1987 -
May 1988 .
NICOLET INS1RUMENTS, INC., Madison, WJSCOnsin
Executive Vice President - Finance and Administration
Nicolet Instruments is a $140 million high technology instrument company
that provides testing equipment for hospitals, laboratories and governmental
agencies.
e"
One of two corporate officers in a holding company organization.
Responsibility i~cIuded finance and administration with corporate operating
authority. Initiated a formal.process of operating review with the companies
four operating divisions.
JAMES D. BONNEVILLE
November 1985 -
October 1987
July 1984 -
November 1985
March 1970 -
July 1984
1964 - 1970
EDUCATION
ACfIVITIES
INTERESTS
Page 2
Kev Accomplishments:
. Formalized monthly operating reporting process.
. Identified key balance sheet issues with recommendations for
im provemen t.
. Stabilized personnel issues and set objectives for staff and operating
groups.
COMPUTER DEPOT, INC., Minneapolis, Minnesota
President, Chief Operating Officer
Executive Vice President - Finance and Administration
Joined a financially troubled company with approximately $100.0 million in
sales as head of finance and administration. .Company filed for Chapter 11.
Became President and within one year reorganized company out of Chapter
11. Market conditions caused filing for Chapter 7 and liquidated company
approximately one year later.
Kev Accomplishments:
. Reorganized company out of Chapter 1I.
. Developed confidence of lenders and lawyers relative to viability of
company.
. Established cost control measures and sizing down techniques that
strengthened company.
. Brought strong leadership to a company in financial trouble.
-
THE CARLSON COMPANlES, Minneapolis, Minnesota
Vice President - Assistant to the President
An $8.0 billion consumer services cOmpany.
liE MACDONALD MOTIVATION COMPANY
Vice President - Finance and Administration
An $800 million corporate incentive and motivation company.
THE TORO COMPANY, Minneapolis, Minnesota
Vice President and Treasurer, The Tore Company
Treasurer, Toro Credit Company
Director; Corporate Planning
Manager, Management Information Services
lNVESTORS DIVERSIFIED SERVICES, Minneapolis, Minnesota
Various positions in Management Information Services including systems
design, programming and administration on large scale computers.
S1. Cloud State University, B.A (Business), 1963
St. Thomas College, M.B.A (Finance), 1977
Past Chairman of Board of Trustees, Colonial Church of Edina
Past President, Toro Credit Union and Financial Executives Institute
Board Member and Officer of various professional organizations
Community and neighborhood organizations
Family activities, running, golf, reading and photography.
RESUME
.~/'"
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, ,
William D. Lammers
Corporate Research - Technology Development Lab
Bldg 219-1S-01
3M Center
733-2211
Home Address Personal Data
2121 Hallmark Ave. N.
Oakdale, MN 55128
770-5394
Age:
Height: ..
Weight:
Married, Two
39 years
5'11"
175 lbs.
Children
CAREER OBJECTIVES
I believe my strength is my knowledge of polymer extrusion, specifically film and
profile extrusion and recently gained fiber extrusion knowledge. This knowledge
allowed me to advance in my career responsibilities to include equipment
specification and installation. and project work, such as Por~us Hollow Piber
Membrane Development. I am also capable of performing process designed
experiments to determine effects of process conditions on properties of extruded
articles. I can analyze the experiment using computer software programs. such.-
as Lotus, Minitab. Pact, MathCad or o~her Statistic or Math based programs. : '
have developed an interest in computer related activities. This includes
computer consultation and programming in my ,free time. This interest was spurred
by a desi.re to understand computers and how they work. I purchased the
individual components and assembled my own IBM compatible computer. My interest
and understanding has accelerated in recent years. I have installed several
Local Area Networks and written a custom business program.
WORK EXPERIENCE
1981 to present
3M, CRTDL
Process Development - Extrusion
1979 to 1981
Bemis Co., R&D Center. MPLS, MN
Process Development - Compounding & Extrusion
previous to 1979
Profile Extrusions, Hastings, MN
Profile Extrusion
Hartzel Mfg, Turtle Lake WI
Injection Molding
Lapcor Plastics, Manitowoc WI
Plastic Pinishing. Injection & Compression Molding
.
Shadow Plastics, Rice Lake, WI
Extrusion
EDUCATION
1975 Wisconsin Indianhead Technical Institute, Rice Lake, WI
Marketing (Program Major)
1975/76 Lakeshore Technical Institute, Cleveland, WI
Plastics Technology (Program Major)
1980 St.Paul Vo/Tech, St.Paul, MN
Technician Math, Applied Electronics
1981 North Hennipin Community College, Minneapolis, MN
English
1982 Lakewood Community College, White Bear Lake, MN
Chemis try
1984- 3M-HRD-.
Minitab, Statistics & Experimental Design, Trigonometry
1985 3M-IS&DP
Basic Programming 1 & 2, Symphony-A & B, Tech Writing
1987 3M-HRD
Pre-Calculus, Calculus 1
1987 Augsburg/3M
General Physics 1, Physics Lab 1
1988 Augsburg/3M
General Physi~s 2~Physics lab 2
1989 3M-HRD
Improved Tech Writing, Listening & Understanding, Managing
Conflict
1990 3M-HRD
Lotus Measure (Process Control)
1991 3M-HRD
Calculus 2, Chemical Engineering for Non Chemical Engineers
I do not have a formal degree, However I believe this education list represents
a comrni tment to continued education. I was matriculated into the Augsberg
Physics degree program in 1987. Although, I found Physics to be a challenge and
even interesting and enjoyable at times, my interest have turned towards more job
specific process engineering activities.
References: Available on request
.
IV. PROJECT DESCRIPTION
A. Currently carpeting and polyethylene materials
are hauled to landfills throughout the
metropolitan area and dumped generally for
a fixed fee per square yard. These materials
are either buried or burned and serve as a
significant landfill problem.
B.
By use of the 300 gallon tubs, customers are
able to segregate padding from wrappers
to insure that the wastes are kept clean and dry.
Duplicate tubs are provided allowing efficiency
in collection. The padding is baled and returned
for remanufacture. The polyethylene, is baled and
returned to film manufacturers or choooed and stored
for future in house use. Caroetinq is collected
from dealers or homeowners. The soeciallv desiqned
containers will be olaced at iob sites to eliminate
handlinq. The caroet will be remanufactured into
oroducts which will. be sold to the floorinq industrv
and other end users.
.
C. It is estimated that waste oaddinq qenerated in
the metrooolitan area is aooroximatelv 30.000
oounds oer month. PolyethYlene is estimated at
30.000 oounds oer month also. Caroetinq is
estimated at 25millionoounds annually or 2.1
million oounds monthlv which equates to
aooroximately 700.000 sauare yards monthly.
D. Collection eauioment includes one van tyoe two
ton truck eauiooed with a Dower lift aate:
One soecially desiqned two ton truck to handle
the collection units: and five collection units
to handle the caroetina. AdditionallY
200 ~lastic tubs will be used for~ad and
~olvethvlene.
.
IV. (Continued)
E. Plastic wrap and padding collection has been ongoing
since early 1991. Full collection activities will
commence January 1992. These activities will serve
as the basis for an ongoing collection and recycling
business for the greater Metropolitan area including
the counties of Hennipen, Anoka, Ramsey, Scott and
Dakota and Washington counties.
V. Eligible~Costs
A. Estimated costs associated with project.
CAPITAL
Collection Truck with lift gate
_$4,000
Collection containers
5,000
Carpet Collection Truck
5,000
Carpet Collection units
(5 @$2,000 each)
TOTAL
10,000
$24,000
OPERATING
Labor
$40,000
Vehicle Expense
21,000
Administrative
40,500
TOTAL
$101,000
TOAL COSTS ASSOCIATED WITH PROJECT
$125,000
GRANT REQUEST IS $50,000
'....
, .-'
B. Itemized list of cost associated with project
(See Above for first year expenses)
C. Funding for project
Environmental Technologies Inc.
captial contribution
$250,000
Dealer Investor Group
57,000
Total Capital
$327,000
Net Projected Loss for year
Projected Captial at year end
71,000
256,000
VI. WORK PLAN FOR PROJECT
DAN TREANOR-
OPERATIONS MANAGER
.
Begining January 1, 1992 will be responsible
for distibution and collection of plastic
wrap, carpet and padding. Dan will have
a driver, sorter personnel and personnel
that will provide bailing and chopping
of collected materials. Additional
trucks are budgeted as well as pick up
tubs.
Pick ups will be as required by the supplier
many will be daily most weekly or bi-weekly
as the containers become full they will
call for collection.
.
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WJLS
BY ::v.lRS TA:\
~E.\T
VII. LOCAL GOVERNMENTS IMPACTED
Any governmental agency that is involved in
recycling in the following counties will in
some way be impacted by this effort:
Hennipen
Anoka
Ramsey
Scott
Dakota
Washington
If the process proves to be successful and
profitable so that the company can financially
expand it should have the capability to open
stations in other large Minnesota cities.
VIII.
SUPPLY OF WASTE PRODUCT
The ownership of united Recycling, Inc. is
majority owned by eighteen carpet dealers
in the Twin City area. These dealers are
dedicated to recycling of its waste products and
have indicated that they will supply pad,
plastic wrappers, and carpet to this venture.
Assuming that the venture becomes viable and
profitable-- there is no reason why it will not
continue a long term collection system for
these materials.
Financial backing is critical and with the
funding assistance of Environmental Technologies,
Inc. united Recycling should have the staying
power necessary for achievement of its goals.
IX.
PRELIMINARY MARKET ANALYSIS
united Recycling has begun marketing pad through
at least two buyers on a truckload basis and
a price per pound. Plastic (Polyethylene), has
also a ready market through bailing or through
pellet form from extrusion.
carpet will be the companies Research and
Development effort and it anticipated that
by-products will be in the form of extruded
products for the carpet industry, basic
products for consumer use and pellets to be
solQ to the commodity market for remanufacture
through other manufacturers.
There currently exits a ready market for
extruded pellets and with the manufacturing
capability of the companies extruded it is
anticipated that such products as tack strips,
end caps for carpet manufacturers and other
low technology products will be produced.
"
SPECIALTIES. INC.
1471 1st Avenue N.W. ~ New Brighton, MN 55112
(612) 633.5020 All Area WArS -1-800-44-HANKS (444.2657)
I',~
March 25 ~ 1991
United Recycling
9841 - 13th Ave N
Plymouth1 MN 55441
Dear Charlie!
I
Per our conversation regarding the plastic tack strip.
~
Roberts Consolidated Co. did a market survey a year ago and
estimated.the total sales of tack strip in our area to be
approximately 901000 cartons annually.
.
I
We at Hank's Specialties1 Inc. would be very interested in
purchasing this new product when available.
Please contact us.
A.
....0 "
Th~6~
Randy Grachek '.
i
L
~..
I
.'
. ',:"-'t..,
_ . l~." .,.
..... '~
b' ";-j'
i .',
RG; lq
~
Plymouth Branch
14.13Q ?1st Ave. No.. Plymouth MN 55441
B.: ..r, .~,'
n ..... .~.
I\;:{~'
~"~?;~:'"
~U~:, .
..1,:1', :.
";'.. 0"
,.4> 0'
. ~."i' .'
'-' \~Q'
.:i;~: ~~.~
)..~ .
'r..~ " "
Dup--re '~nte-rp--ri~e~
II Beekman Place
13601 Mc:GT'Oeo" Blvd.
.j::oT'l: MLfe~, .j:lo7';J~ 3~919
i'
'J ,
o R D E R
- - ~ - .....
CON FIR MAT ION
------------
COMPANY: JJ.." ~ ~O -=Rs- ~:1~\ If'" to,
ADDRESS: 9 B &.! l ' \ 3 i!' ~ Vt:'fJW' ){,.
CITY /ST: '? L..1.f ~tO ~"t"" f V\N ZIP; 55 y.y \
ATTE. NTION. ~1\"'<Z...IC"'l"(~ PHONE ,-12- 'l~~.111:;
YOUR P.O. _ _ ~. A . : ~ .~ FAX '" f '2." q ~ ~.. 1""7
"
He confl;r:m our ~~ -- 6urCh~0 Order No. j 002 - ~ 2..
of todays date, as noted below, fo~ the following material
QUANTITY
1\-3 \\V~I"'"
DESCRIPTION
~ ~C3 kJ ~ - \ 'A }(,\S" - ~H='
F~ l"C' tI f=' ~ ~ r ""~1"\ltV,
PRICE
"' I.
J1l\XI~
"
SPECIAL gOtlDITIONS / INSTRUCTIONS I NOTATIONS:
.-.E t?1,..,- 7L~",6,," ~, 'fIt,,, ~<"'c.J\T""I'~ eo ~,., ,."'tC4 :r;....~ 'c:;--z..
Q,u". to.o-r' i '1 t, "f\ ? 1" t . '":< " \1..114)" ~ L If :2.. ) /L 'Y" R (J ~ ~-r VI
r\ ~ ~c ioU' '"'\ \... t\'7 f" 1> 1f. . .J
~,,^I tl (, r1i t ~. 11 e. 4 "1'" J ~,OOG 'TO 1-5. oc" r~ ~/ L-.
--r.; ~ ~ 'JE ~ N C''J \€;' il4~", ,
-r. 0" ~,C'~...D I-tp w;,..t4',~ 1 l'\~\lf('~ "f:'
. .
R '" t11 L" 1!a , l...''T '1 ' .
'"
11~
J H)41'o<or F01~
cD Ppot T '0'" I j~ "
Phorie: 8/3-433-1167 ~AX: 813-433-1860
.
X.
REGULATORY PERMITS
The company and management is not aware of any
permits that would prohibit this project. The
city of st. Louis Park, Minnesota has agreed
to this start up of this project.
XI. EDUCATION AND PROMOTIONAL PLANS
As the feasibility of this project is proved during
the ~early stages in January through April of 1992
promotional materials will be cdistributed to
dealers, homeowners, governmental agencies and
manufactures relative the service available and
process united Recycling, Inc. is fOllowing for
collection, remanufacturing and marketing of
it inventory.
Estimated annual costs of this effort should be no ./
greater ~han ~5,OOO.
XII. STATUTORY REQUIREMENTS
United Recycling does not intend to dispose
of its recyled product in landfills. Its
business plan and mission is to remanufacture
all waste. material into useableproductsto
again be used by the cons'umingpublic.
XIII.
RESOLUTIONS
Enclosed resolution from the City of Hopkins.
.
STATE OF MINNESOTA
CJ~14~r-t yY\
lAr~~.O~d/~
W I ~V11'
~Vii.c,L 1'1
uh'1\ lite 1& \1
SOLID WASTE SEPARATION GRANT AGREEMENT
by and between
and the STATE OF MINNESOTA, acting through its
OFFICE OF WASTE MANAGEMENT
THIS GRANT AGREEMENT (Agreement) is entered into by and between the
State of Minnesota, acting through its Office of Waste Management (OWM) and
(Grantee ).
WHEREAS, the OWM is authorized by Minn, Stat. ~ 115A.06, subd. 8 (1990) to
enter into contracts to, among other purposes, implement its grant programs; and
WHEREAS, the OWM administers a Solid Waste Separation (LOW-TECH)
Grant Program in accordance with Minn. Stat., sections 115A.49 to 115A.53 {1990) and
Minn. Rules pts. 9210.0400 to 9210.0460 (1990); and
WHEREAS, the Grantee applied to the OWM for a grant l.;mder the LOW-TECH
Grant Program; and
WHEREAS, on , the Director of the OWM
approved a grant award to the Grantee in the amount of $
NOW THEREFORE, the OWM and the Grantee agree as follows:
A. Interpretation of Agreement
This Agreement shall be interpreted pursuant to the laws of the State of
Minnesota. All attachments to this Agreement shall be considered integral and
enforceable parts of this Agreement.
B. Disbursement of Grant Funds
The OWM shall disburse a total of $
Grantee according to the following schedule:
in grant funds to the
1. The OWM shall disburse seventy-five (75) percent of the funds' upon the.
effective date of this Agreement; and
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2. The OWM shall disburse the remaining twenty-five (25) of the funds one
(1) year after the effective date of this Agreement or as soon as the Grantee has -
submitted the first apnual report summarizing the operational history of the project and
documenting all incurred expenditures, including receipts for capital costs, whichever
comes later.
.-~
C. Use of Grant Funds
By accepting the grarit funds disbursed under this Agreement, the Grantee agrees
to the follow limitations:
1. The Grantee shall implement the activities set forth in Attachment A in the
time and manner described in Attachment A.
2. The Grantee shall use grant funds solely for the eligible costs, as defined in
Minn. Rules pt. 9210.0420, subpart 3, of the activities identified in Attachment A.
3.. The Grantee shall use grant funds solely for the eligible costs of only those
tasks that are undertaken after the effective date of this Agreement and completed
during the term of this Agreement.
4. The Grantee shall return to the OWM all grant funds that have not been
expended before the completion of all activities to be taken under this .Agreement or the.
expiration of this Agreement, whichever is sooner.
."
D. Re-portine Requirements
1. The Grantee shall prepare annual reports on the developmental and
operational history of the project for the three (3) years this Agreement is in effect. The
annual reports shall be 'prepared in a format specified by the OWM.
2. The Grantee shall submit the annual reports to the OWM no later than the
anniversary date of this Agreement. The first report shall be submitted no later than one
(1) year from the effective date of this Agreement.
3. If the Director of the OWM determines that the information submitted in
the report is inadequate to enable the OWM to transfer the knowledge and experience
gained from the project to other communities in the State, the Grantee shall prepare and
submit additional information reasonably requested by the Director of the OWM.
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E. Amendments
1. The OWM shall not consider or accept any amendment to this Agreement
that requests additional funds. The OWM shall not consider or accept any applications
that request additional funds for the project funded by this Agreement.
2. All amendments to this Agreement shall be in writing and shall be executed
by the parties to this Agreement.
3. If the parties agree to an amendment that decreases the costs of activities
subject to this Agreement, the Grantee shall return to the OWM the proportionate
amount of grant funds. '
. 4. The Grantee shall bear sole responsibility for cost overruns incurred in
performing its activities ':1nder this Agreement.
F. Failure to Comply
1. Rescission
Failure of the Grantee to comply with the terms and conditions of this Agreement
shall constitute default under the terms of this Agreement. Except for failure to comply
with Part D of this Agreement, a default shall result in rescission of the grant unless the
OWM agrees to an amendment of this Agreement. Upon rescission of the grant, the
Grantee shall repay all funds disbursed pursuant to this Agreement. In addition to or in
lieu of rescission, the Director of the OWM reserves the right to exercise other available
remedies.
2. Notice of Default
Before finding that the Grantee is in default, the Director of the OWM shall send
a written notice to the Grantee describing the Grantee's failure to comply with the terms
and conditions of this Agreement. Upon receipt of this notice, the Grantee shall have
thirty (30) days to respond as set out below. If no response is received within thirty (30)
days, the Director of the OWM shall find that the Grantee is in default.
3. Response to Notice of Default
The Director of the OWM may agree to amend the terms and conditions of this
Agreement if the Grantee submits a written response supported by documentation that
establishes that an amendment is justified.
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4.
Failure to Comply With Reporting Requirements
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If the Grantee fails to comply with the reporting requirements in Part D., it shall
pay to the OWM liquidated damages in the following amount: $500 for each month
or part thereof that the reporting requirement is not met.
G. Authorized Aeents
The State's Authorized Agent for the purposes of administering this Agreement is
Thomas Osdoba . The Grantee's Authorized Agent for the purposes of administering
this Agreement is . The parties may substitute
authorized agents as necessary by written notification to each other.
H. Authority to Contract
The Grantee is authorized to enter into contracts needed to complete the work
specified in this Agreement. Any such contracts shall comply with all applicable
Minnesota statutes and rules. Regardless of any contracts, the Grantee shall remain
responsible to the OWM for satisfactorily completing all activities specified in this
Agreement.
I.
Assienment
.
The Grantee shall neither assign nor transfer any rights or obligations under this
Agreement without the prior consent of the OWM.
J. Liability
The Grantee agrees to indemnify and save and hold harmless the OWM and its
agents and employees from any and all cla.ims or causes of action arising from the
performance of this Agreement, including non-negligent acts or omissions, by the County
or the Grantee's contractors, agents, or employees. This clause shall not be construed to
bar any legal remedies the Grantee may have for the OWM's failure to fulfill its
obligations pursuant to this Agreement.
K. Public Data
The Grantee acknowledges that the results of the project described in the
application, the report submitted, and any new information that is developed with the .
assistance of grant funds is in the public domain and may not be copyrighted or patented.
.
4
CITY OF HOPKINS
RESOLUTION NO. 92-01
AUTHORIZATION TO SPONSOR UNITED RECYCLING IN THE PURSUIT
OF A GRANT APPLICATION FROM THE OFFICE OF WASTE MANAGEMENT
WHEREAS, Pursuant to Minnesota statute addressed in the Waste
Management Act of 1991, the Office of Waste Management is directed to
provide for'the establishment of technical and research assistance programs
for generators of industrial waste in the state, and,
WHEREAS, united Recycling has requested that the City of Hopkins
sponsor them in their submittal of a grant application to the Office of
Waste Managment for a Solid Waste Collection & Segregation Grant, and,
WHEREAS, the grant request is for funds to develop a collection and
recycling system for carpet, pad and plastic wrappers from the carpet
industry which will ultimately divert waste from landfills and other waste
disposal, facilities, and,
WHEREAS, as a requirement of the grant application process the grantee
must have city or County sponsorship, and
WHEREAS, the City of Hopkins has previously resolved that it
recognizes the necessity,to increase recycling efforts in order that larger
percentages of the city's waste stream be diverted from landfills and other
solid waste disposal facilites, and,
WHEREAS, United Recycling will be Offering services to businesses
within the City of Hopkins, and
WHEREAS, the city's sponsorship responsibilities are limited to;
entering "into a contract with the Office of Waste Management, acting as
liason between them and united Recycling for re-disbursement of grant
funds, and entering into a contract with ,United Recycling, and,
WHEREAS, the city's liability is limited to determining that United
Recycling will make a good faith effort to comply with and fullfill the
grant requirements;
THEREFORE, BE IT RESOLVED, that the ci ty of Hopkins, ci ty Council
agrees to sponsor united Recycling in it's pursuit of a grant from the
Office of Waste Managment for the specific purpose of recycling carpet, pad
and plastic wrappers, and,
BE IT FURTHER RESOLVED, that as a stipulation of said sponsorship,
United Recycling will enter into a binding agreement with the city of
Hopkins prior to commencement of sponsorship which will make United
, Recycling responsible for all grant requirements, fees and penalities.
Adopted by the City Council of the City of Hopkins this 7th day of January,
1992.
BY
Nelson W. Berg, Mayor
ATTEST:
City Clerk