Section 096-428-14 - Obtaining Information for Municipal ReimbursementThe SO must determine the per ton cost of recycling, reusing, or composting each packaging material type by each participating municipality with a current complete cost study; and the tons of each packaging material type recycled, reused, or composted by each participating municipality. The SO will obtain this information through annual reporting, cost studies, and representative audits.
A.Cost Studies. The method for each of the following cost studies is defined in the SO's plan.(1) Complete cost study. During a complete cost study with a participating municipality, the SO must study operations to create a cost reporting plan that identifies the cost information that must be reported on an annual basis, obtain additional information required to determine the per ton costs, and identify the management pathway used for each packaging material type. In addition, the SO must provide guidance on what changes to the management of packaging streams require notification, in accordance with Section 14(A)(2). The SO must conduct complete cost studies for 12 participating municipalities on an annual basis. The SO must choose the participating municipalities with which it conducts complete cost studies based on the following criteria, which are listed in order of priority.
(a) For each group of similar municipalities, the SO must conduct complete cost studies for three participating municipalities that need a complete study cost. A participating municipality needs a complete cost study if it has never had a complete cost study, has not had a complete cost study in the past 15 years, or had its most recent cost study nullified in accordance with Section 14(A)(2)(c). If there are more than three participating municipalities that need a complete cost study in a group of similar municipalities, the SO must randomly choose three participating municipalities that need a complete cost study from the group of similar municipalities. If there are more than four groups of similar municipalities with at least three participating municipalities that need a complete cost study, the SO must divide the 12 cost studies among groups of similar municipalities to equalize, to the extent possible, the number of current complete cost studies in each group.
(b) The SO must conduct complete cost studies for participating municipalities that have not had a complete cost study. If the number of participating municipalities that have not had a complete cost study is more than the number of cost studies the SO has left to conduct, the SO must randomly choose participating municipalities that have not had a complete cost study.(c) The SO must conduct complete cost studies for participating municipalities with the oldest complete cost studies.(2) Follow-up cost study. A follow-up cost study is not a complete cost study. It targets information in a complete cost study that, as a result of a relevant change, is expected to change one or more participating municipalities' costs of managing one or more packaging material types by at least 10% or leaves one or more participating municipalities unable to complete their cost reporting plans. When a participating municipality or any affiliated contractor makes a change to the management of a packaging stream that requires notification, it must contact the SO within 30 days of making the change. The SO must determine whether a follow-up cost study is necessary. After a follow-up cost study, the SO updates the cost reporting plans of participating municipalities, as necessary.
Changes to the management of a packaging stream that might require notification are: changes to staffing levels or employee duties; changes to collection, transportation, or processing procedures, including changes to sets of accepted materials or changes to commodities managed; new equipment, new uses of equipment, discontinued use of equipment; capital investment into existing equipment; new structures, new uses of structures, discontinued use of structures; capital investment into existing structures; changes to transportation routes; and changes to uses of energy affecting total metered energy.
(a) If a change requiring a follow-up cost study affects the complete cost studies of less than 33% of participating municipalities in a group of similar municipalities, the SO will immediately nullify the complete cost studies for the affected participating municipalities and conduct a follow-up cost study to update the complete cost studies for affected participating municipalities such that they remain without a current complete cost study for no more than one reporting cycle.(b) If a change requiring a follow-up cost study affects the complete cost studies of 33% or more of participating municipalities in a group of similar municipalities, participating municipalities must report to the SO on operations prior to the change in accordance with their existing cost reporting plans. The SO must conduct a follow-up cost study to update the complete cost studies for affected participating municipalities. The participating municipalities must report on operations for the remainder of the calendar year in accordance with updated cost reporting plans.(c) If a follow-up cost study will require resources comparable to those required to conduct a complete cost study, the SO must nullify the existing complete cost study for the participating municipality. A new cost study for the participating municipality should be conducted in accordance with Section 14(A)(1).B.Representative Audits. The method for each of the following representative audits is defined in the SO's plan. (1) Types: (a) To convert the tons of a commodity managed to the tons of packaging material types recycled, reused, or composted, the SO must determine the weight of each packaging material type present in one ton of each commodity. The SO must also determine the weight of contamination present in one ton of the commodity.(b) To allocate costs associated with the management of a mixed packaging stream, the SO must determine the volume of the materials that will make up a commodity relative to the volume of all materials included in the mixed packaging stream's set of accepted materials.(c) To allocate costs associated with the simultaneous management of more than one packaging stream, the SO must determine the volume of one ton of a given set of accepted materials.(d) In cases where multiple mixed packaging streams with different sets of accepted materials contribute to a single commodity, the SO must determine for each mixed packaging stream the percent by weight of the materials that will make up the commodity relative to the weight of all materials included in the mixed packaging stream's set of accepted materials.(2) Requirements:(a) Initial auditing and frequency. Auditing must be conducted as part of a complete cost study with a participating municipality or during a follow-up cost study resulting from changes to sets of accepted materials or changes to commodities managed whenever there are not applicable results for a commodity or set of accepted materials managed by the participating municipality that were obtained during the last five years.(b) Sampling. When required for a cost study, samples must be collected once between September 1st and May 31st and once between June 1st and August 31st, but not during any week immediately following a Maine State or Federal holiday. Seasonal results from a participating municipality must be averaged to obtain one audit result.(i) If a follow-up cost study requires auditing of a new packaging stream and there is not enough time to collect samples before September 1st of that year, results from a single season audit can be used for the upcoming reporting year and the audit can be finished in the following year.(c) Accuracy. For each site and season, samples must be collected and analyzed until results estimate the value sought with 90% confidence, ± 5%.(i) For audits conducted in accordance with Section 14(B)(1)(a), samples only need to be collected and analyzed until results estimate the value of the most prevalent packaging material type with 90% confidence, ± 5%. If a packaging material type that is included in a commodity or set of accepted materials is not found during an audit, it must be presumed to be present at 1%.(d) Applicability. If audit results from the first two participating municipalities audited are not significantly different, all samples must be averaged, and the results must be applied to all participating municipalities managing the commodity or set of accepted materials. If audit results from the first two participating municipalities audited are significantly different, each audit result must be assumed to be site-specific and cost studies for all participating municipalities managing that commodity or set of accepted materials must include a site-specific audit.(e) Categorization. Packaging material types that are indistinguishable from one another at the time of an audit should be categorized together, as described in the SO's plan.(3) Site-specific audits. When a participating municipality suspects audit results being used to characterize its material are not applicable to its current operations, it may request a site-specific audit. (a) Process. A request for a site-specific audit must be submitted to the Department in writing, and must describe differences of processing equipment, sorting processes, or staffing levels relative to the facility where representative auditing was conducted and explain how these differences affect the parameter measured. Alternatively, the request may reference an audit result from the facility in question that is significantly different from the results being used to characterize its material currently. If the Department determines that the participating municipality should have a site-specific audit, the Department will approve the request and direct the SO to conduct a site-specific audit for the participating municipality within one year of the approval of the request. If the SO's auditing schedule does not allow for the completion of a site-specific audit within one year, the Department may delay approval of the request for up to 12 months.(b) Determination. If the Department determines the participating municipality has different processing equipment, sorting processes, or staffing levels that could affect the parameters estimated by representative auditing, or the alternative audit results referenced in the participating municipality's request are applicable and unbiased, the Department will direct the SO to conduct a site-specific audit.(c) Applicability. Site-specific audit results must be used for any participating municipality sharing the same distinctions described in the approved request. After performing a site-specific audit, the SO must identify any participating municipalities that share these distinctions and apply the audit results accordingly.06-096 C.M.R. ch. 428, § 14