Minutes of the Board of Directors Meeting
June 16, 2000

ATTENDANCE

Board of Directors present were: Acting Chairman Ebel, Clark, Hammel, Varljen and Wood. Absent were: Frost, Kassees, Musser, and Spangler. Staff present were: Warner, Forster, Garner, Lausch, Norris, Olson and Dougherty. Also present were Solicitor George T. Brubaker Hartman Underhill & Brubaker; and Glenn Hoag and Tom Wilton, Ogden Martin Systems of Lancaster.

APPROVAL OF THE MINUTES

The minutes of the April 14, 2000 Board of Directors meeting were approved and presented.

EXECUTIVE DIRECTOR'S REPORT - Warner reported on the following:

• Operating Results - Business is very good and a surplus of $239,126 for the month of May was generated. This surplus is after allocating $250,000 to reserve funds.
  
  
• Radiation Monitoring - PADEP is in the final stages of adopting numerous amendments to the Municipal and Residual Waste Regulations. Part of the regulations contain an entirely new set of requirements pertaining to radioactive waste monitoring. We will be required to establish monitors at all of our facilities in order to screen for radioactive material. Warner is very involved with the Keystone Chapter SWANA on this issue and in particular working to see that Resource Recovery Facilities have the same recourse with handling this material as do landfills. This will involve a capital outlay of $40,000 to $100,000 for monitors, protocols to be written and designated employee training.
  
  
• Pollution Liability Insurance - Currently the Authority has about $5 million in the GSIF to cover any pollution liability. This was set up over 10 years ago when this type of Liability Insurance was not commercially available. A discussion followed on the advantage of obtaining this coverage, since it is now available, for $70,000 to $85,000 per year, which could free up the $5,000,000 for other purposes.
  
  
• Picnic - The Authority Employee Picnic will be held on June 25^th at the Chickies Creek Day Use Park.
  
  
• Request for Prices - An out-of-county business enterprise contacted the Authority requesting our rates for Residual Waste. A response to this request was prepared by George Brubaker, and the 2000 Rate Schedule for Municipal Solid Waste was mailed to them.

FINANCE DEPARTMENT - Olson reported on the following:

• LCSWMA Preliminary Results Actual vs. Budget - All Programs for the Month and Five Months Ended May 31, 2000.
  
  
• LCSWMA Accounts Receivable Report and Past Due Detail Analysis as of May 31, 2000.
  
  
• Approval of Disbursements - On motion by Wood, second by Varljen and unanimous vote, the Summary of Disbursements for April and May 2000 in the total amount of $7,504,683 were unanimously approved.
  
  
• Cash Fund Management - In order to further diversify our cash investment management, staff met with First Union to discuss their investment structure and pricing fees. First Union's fee proposal is the same as Fulton's. However, First Union offers Internet and software capabilities far superior to Fulton, and has demonstrated excellent reporting and client service. On motion by Hammel, second by Clark and unanimous vote, the Board approved a transfer of the balance in the Capital Reserve Fund from Fulton Bank to First Union. Fulton Bank will now have 66% of the funds, First Union 20% and Hopper-Soliday will manage the remaining 14%.

ADMINISTRATIVE SERVICES DEPARTMENT - Lausch reported on the following:

• Waste Stream Management - The Summary Tonnage Report - Actual Results vs. Budget for the Month Ended May, 2000 was reviewed. Total revenue tons received for processing and/or disposal at Authority facilities in May were 56,531 tons, making May 2000 the fourth highest month for tons delivered in the Authority's history.
  
  
• Municipal Waste - Mount Joy Township decided to contract for refuse/recycling collection services, and has opened bids for an Option E Program. The low bidder for collection was York Waste Disposal with a bid of $42.60 for one year, $43.60 for year, two and $44.60 for year three. Lebanon Farms Disposal's bid was significantly higher, and Waste Management did not submit a proposal.
  
  
• Solid Residual Waste - Three-year renewal agreements were signed with Columbia Borough and Ephrata Borough to dispose of grit waste.
  
  
• Liquid Residual Waste - During May, 513,909 gallons of waste were delivered to the Liquid Treatment Plant. Revenue for the waste was $34,465, or $13,036 over budget.

John Ridinger resigned as Accounts Manager and Kevin Weaver, formerly an Authority Compliance Officer and most recently an Auxiliary Operator for OMSL, has been hired.

• Recycling - The agreement with North Star Steel in Youngstown, Ohio to accept small RRF ferrous was renewed for another year under the same pricing indices. We also entered into an agreement with Weiner Brokerage to deliver oversized RRF ferrous to U.S.S. Achey. For the first time, oversized ferrous will be priced based on market indices.
  
  
• Waste Tire Processing and Recycling Agreement - On motion by Clark, second by Varljen and unanimous vote, the Board approved entering into a new agreement with A&R Tire Sales and Recycling, Inc. at $70.50 per ton through May 31, 2001, with the option to extend until May 31, 2002.
  
  
• Purchase of 30-Gallon Biodegradable Kraft Bags - On motion by Hammel, second by Varljen and unanimous vote, the Board approved entering into a contract with Dano Enterprises for the purchase of 98,000 30-gallon biodegradable kraft bags at a unit cost of $0.244 for a total bid price of $23,912. Price includes delivery to the Transfer Station in September 2000.

OPERATIONS DEPARTMENT - Garner reported on the following:

• Frey Farm Landfill - On May 31, Randy Weiss, PaDEP Inspector, was on site. That inspection was the 50^th consecutive facility inspection with no compliance issues or violations noted in his report.
  
  
• Household Hazardous Waste - There was a 24% increase over the historical average participation for the month of May, which can be attributed to the recent newspaper article about the facility. Year-to-date, 15% more customers have been served than for the same period in 1999.
  
  
• Transfer Station Trailer Purchase - On motion by Varljen, second by Wood, and unanimous vote, the Board awarded the contract for the purchase of three (3) steel transfer trailers to the lowest bidder, Spector Manufacturing, Inc., for the bid price of $108,000.
  
  
• Radio System Replacement and Repeater Tower Service - On motion by Wood, second by Clark, and unanimous vote, the Board approved the purchase of new radios and the repeater tower service to Radio Maintenance, Inc. for the bid price of $34,266 for the new radios and the first year of the repeater tower service.

RRF CONTRACT ADMINISTRATION DEPARTMENT - Forster reported on the following:

• Site Operations - Electric revenues for May totaled $1,263,093, or $135,000 below budget. The revenue was not met for several reasons: 1) Unit #3 outage was not completed until May 7^th; 2) there were 72 hours of unanticipated downtime; and 3) the facility was dispatched to minimum generation on two occasions, resulting in a revenue loss of $8,000.

A total of 33,076 tons of waste was delivered to the facility in May, up 35% from April, due to a 78% increase in deliveries of Transfer Station waste.

• Regulatory Activities - Randy Weiss was on site on May 17^th for a routine inspection. His report contained no operational violations.

The spring stack testing event began May 22^nd, and was completed on June 1^st. Preliminary results from the particulate test runs indicate all emissions were within acceptable limits. The final results will be included in next month's Board report.

• Other Activities - A discussion was held regarding the tour of Lee County, Florida's Non-Ferrous Recovery System visited by Forster, Warner, Frost, Ebel and Kassees during the Ogden Waste-To-Energy Partners' Conference held July 11 - July 14.

TECHNICAL SERVICES DEPARTMENT - Norris reported on the following:

• Administrative - The Annual Facility Operations Report for the Resource Recovery Facility, the Frey Farm Landfill, the Transfer Station and the Liquid Treatment Plant will be completed and submitted to the Department in June.
  
  
• Capital Project Administration - Work was completed on the LASA Pipeline "record" drawings and sent to Gannett Fleming for their review and certification. After Gannett Fleming's work is completed, the Form 37 Construction Certification packet will be submitted to the Department.
  
  
• Facilities Compliance and Assurance - Work was completed and submitted to the Department for the NPDES repermitting regarding the discharge associated with the Cornwall Open Pit Mine for flow augmentation of the Susquehanna River should drought conditions occur.

Work was completed in May for the Creswell Landfill historic groundwater monitoring results in an electronic format compatible with the Department's environmental data software system. We have now provided the Department with electronic histories of all the regulatory mandated groundwater monitoring programs.

CITIZENS ADVISORY COMMITTEE

• The CAC did not meet.

PUBLIC COMMENT

There was no public comment.

EXECUTIVE SESSION

The Board went into Executive Session at 9:05 A.M. to discuss real estate matters.

OTHER BUSINESS

The Board adopted Resolution No. 2000-2.

ADJOURNMENT

There being no further business to come before the Board, the meeting adjourned at 11:05 A.M.

APPROVED BY THE BOARD OF DIRECTORS OF THE LANCASTER COUNTY SOLID WASTE MANAGEMENT AUTHORITY THIS 11^TH DAY OF AUGUST 2000.

John S. Kassees, Secretary