Materials Recovery Facility (MRF) Feasibility Study
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Page 23 of 94 We Know Where It Should Go Materials Recovery Facility (MRF) Feasibility Study June 2018 hdrinc.com (402) 399-1000 8404 Indian Hills Drive Omaha, NE 68114 Page 24 of 94 We Know Where It Should Go Page 25 of 94 Contents 1. Executive Summary ................................................................................................................ 2 2. Introduction and Purpose ........................................................................................................ 7 3. Metro Waste Authority’s Service Area .................................................................................... 7 3.1 Background .................................................................................................................... 7 3.2 Current Service Area ...................................................................................................... 8 3.3 Potential Service Areas .................................................................................................. 8 3.4 Potential MRF Volumes.................................................................................................. 9 3.4.1 Future Tonnage Projections Methodology ........................................................ 16 3.4.2 Projections by Commodity Type ....................................................................... 16 4. Processing Capacity and Technology ................................................................................... 21 4.1 Processing Capacity..................................................................................................... 21 4.2 Operational Approaches............................................................................................... 32 4.2.1 Single- versus Dual-Stream Considerations ..................................................... 32 4.3 Facility Maintenance..................................................................................................... 33 4.4 MRF Equipment Technologies ..................................................................................... 33 4.4.1 Standard Equipment ......................................................................................... 34 4.4.2 Commodity Storage and Densification ............................................................. 37 4.4.3 Special Considerations for Glass ..................................................................... 38 4.4.4 Industry Standards ........................................................................................... 40 4.5 Existing Comparable MRFs .......................................................................................... 42 5. Recycling Commodity Markets .............................................................................................. 44 5.1 Current Markets............................................................................................................ 44 5.2 Market Stability ............................................................................................................. 46 5.3 China’s Influence on Markets ....................................................................................... 51 5.4 Education ..................................................................................................................... 55 6. Facility Capital and Operational Costs .................................................................................. 55 6.1 Capital Costs ................................................................................................................ 55 6.2 Operational Costs ........................................................................................................ 58 6.3 Other Site Facilities ...................................................................................................... 63 7. Development Schedule ......................................................................................................... 63 8. Project Risks ......................................................................................................................... 65 Page 26 of 94 9. Summary of Feasibility Considerations ................................................................................. 66 9.1 Project Champion ......................................................................................................... 66 9.2 Project Site ................................................................................................................... 66 9.3 Commingled Recyclables Supply ................................................................................. 66 9.4 MRF Technology .......................................................................................................... 66 9.5 Markets for Sorted Recyclables ................................................................................... 67 9.6 Economics .................................................................................................................... 67 9.7 Risks ............................................................................................................................ 67 Tables Table ES-1. Material Recovery Facility Capital Cost Summary (2018$) ...................................................... 3 Table ES-2. Processing and Mobile Equipment Cost Summary (2018$) ..................................................... 3 Table ES-4 Recycling Revenue Sensitivity on Net Costs (2018$) ............................................................... 5 Table ES-5. Potential Cost Impact from Multiple Shifts ................................................................................ 5 Table ES-6. Comparison of Future Risks ..................................................................................................... 6 Table 3-1. Basis of Tonnage Estimates for Scenarios ................................................................................ 10 Table 3-2. Annual Tonnage Projections for Each Scenario (tpy)................................................................ 16 Table 3-3. Projected Quantities by Material Type – Baseline Scenario ..................................................... 17 Table 3-4. Projected Quantities by Material Type – Scenario 1 ................................................................. 18 Table 3-5. Projected Quantities by Material Type – Scenario 2 ................................................................. 19 Table 3-6. Projected Quantities by Material Type – Scenario 3 ................................................................. 20 Table 4-1. ISRI Paper Grades .................................................................................................................... 40 Table 4-2. ISRI Plastic Grades.................................................................................................................... 41 Table 4-3. ISRI Plastic Bale Grades ........................................................................................................... 41 Table 5-1. Current Market Pricing (May 2018) ............................................................................................ 45 Table 6-1. Material Recovery Facility Capital Cost Summary .................................................................... 55 Table 6-2. Processing and Mobile Equipment Cost Summary ................................................................... 57 Table 6-3. Mobile Equipment ...................................................................................................................... 57 Table 6-4. Personnel ................................................................................................................................... 58 Table 6-5. Revenue Opinion Summary (2018$) ......................................................................................... 59 Table 6-6. Potential O&M Cost Opinion Summary (2018$) ........................................................................ 60 Table 6-7. Recycling Revenue Sensitivity on Net Costs ............................................................................. 62 Table 6-8. Potential Cost Impact from Multiple Shifts ................................................................................. 62 Table 8-1. Comparison of Future Risks ...................................................................................................... 65 Page 27 of 94 Figures Figure ES-1. Mixed Paper Market in the Pacific Northwest (2016–2018) .................................................... 3 Figure 3-1. Potential Sources of Recyclables, Baseline Scenario .............................................................. 12 Figure 3-2. Potential Sources of Recyclables, Scenario 1 .......................................................................... 13 Figure 3-3. Potential Sources of Recyclables, Scenario 2 .......................................................................... 14 Figure 3-4. Potential Sources of Recyclables, Scenario 3 .......................................................................... 15 Figure 4-1. Grimes Site Layout ................................................................................................................... 25 Figure 4-2. Grimes Site Layout (Enlarged) ................................................................................................. 26 Figure 4-3. Grimes Conceptual Layout (30 tph).......................................................................................... 27 Figure 4-4. Grimes Conceptual