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Cost-Benefit Analysis o f
Home Composting Programs
in t h e United States
by:
tor:
-May 1996
I ,
Cost-Benefit Analysis o f
Home Composting Programs
in the United States
by:
for:
May 1996
Acknowkdgements
Applied Compost Consulting would like t o thank t h e
Composting Council (Alexandria, Virginia) and the United
States Environmental Protection Agency for finding of
this study. Charles Cannon and Rebecca Roe of t h e Com-
posting Council provided effective overall project manage-
ment. Several government, academic and industry review-
ers of this report desewe many thanks for their com-
ments and assistance: Holly Johnson, University of Wiscon-
sin Cooperative Extension Sewice, who also provided a use-
ful list o f addresses o f home composting programs; Eu-
gene Lee, U.S.E.P.A.; Jim Hollyer, University of Hawaii; Bob
Martin, Rodale Press; Rhonda Sherman, North Carolina
State University; and Craig Benton, independent consultant. Additional mention goes to
Tom Richard, Cornell University, for his thoughtfulness and collegiality. Finally, we would
like t o offer our warmest appreciation of the 43 survey respondents (listed in the ap-
pendix) for their time and interest in helping t o provide t h e data which underpin this
study.
Applied Compost Consulting was selected by the Composting Council as the best
choice among eight candidates who were formally con-
sidered to conduct the work. This study was directed
and written by Steven Sherman, managing partner. Bar-
ton Blum, managing partner, conducted the statistical
analysis and developed several case studies. Dail Miller,
senior consultant, helped t o frame the economic ap-
proach used in the study. Lucinda Chiszar, research ana-
lyst, gathered and organized survey data and case study
information. Applied Compost Consulting bears respon-
sibility for any unintentional inaccuracies in the study.
Ta6k of Contents
Executive Summary 5
A. Study Context 10
B. Need f o r this Study 11
C. Goals of the Study 11
D. Analytical Approach 11
A. Demographics 12
B. Categorization of Programs 12
. C. Regional Variations 13
D. Overall Program Costs 14
1) Direct Cost Per Ton Diverted 14
2) Program Budgets 14
E. Program Elements 14
1) staffing 14
2) Home Composting Brochures 15
3) Workshops 15
4) Master Composter Training Programs 15
5 ) Compost Bin Distribution 16
6) Portable Displays and Hotlines 16
F. Role of Volunteers 17
G. Participation Rates 17
H. Diversion Rates 18
1) Quantities Diverted Per Program 18
2) Quantities Diverted Per Household 18
I. Grasscycling 19
J. Complementarity with Centralized Composting 19
K. Summary of Results 19
A. Note on Assumptions 19
B. Avoided Costs 20
1) Avoided Collection Costs-Public Benefits 20
2) Avoided Collection Costs Individual Benefits 21
-.
3) Avoided Disposal Costs 21
4)Avoided Environmental and Social Costs 22
C. Other Benefits 22
1)Derived Benefits of Volunteers 22
2) Derived Benefits of Master Composters 22
3) Additional Environmental and Social Benefits 23
0. Qualitative Summary of Benefits Er Avoided Costs 23
E. Recommendations for Developing Home Programs 24
F. Projections of Nationwide Estimates 24
Appendices
LIST OF TABLES
TABLE 1: Survey Respondents, 12A
by Population and Region
Executive Summayy
Conclusion: Home composting is a viable and useful component
o f solid waste management. The results o f the study demonstrate
t h a t home composting programs are successful and cost-effective in
communities large and small, urban and suburban, high income
and low income, east and west, north and south.
The results are based on a nation-wide 1995 survey of home composting programs
t h a t keep detailed records. More than one million people compost a t home in the 43 com-
munities t h a t provided economic data. Eight case studies of municipally-sponsored home
composting programs are included in the report.
Home composting programs offer the following benefits, according to persons asso-
ciated with home composting programs:
The costs for curbside collection, transfer, and centralized composting or disposal
of yard trimmings are much higher than the costs for encouraging residents to compost
them a t home. I n addition, home composting can reduce overall direct costs of collection
and disposal associated with other materials handling methods.
--
The table on t h e following page contains a summary of results on program costs
and benefits. As shown in the table, t h e average total net benefit accrued by local govern-
ments is a t least $43/ton for every ton diverted through home composting.
0 advertising
training of volunteers t o teach others about composting (known
as “master composters” o r “community composters”)
Programs in communities with less than 100,000 population tend t o have part-
time staff, while those between 100,000and 700,000 population tend t o have up t o one
full-time staff person. Programs in communities with more than 700,000 tend t o have
one o r more full-time staff,
Volunteers
Bin Distribution
Telephone Hotlines
Participation Rates
Home composting programs can achieve significant results in their early stages.
In 1991, 10%of t h e single-family households in communities with home composting pro-
grams composted a t home, according t o the survey results. Among survey respondents,
an average of 16% of single-family households now compost a t home, as of 1995. The
highest level of participation was 80%of single-family households in one community.
As a group, the sampled set of home composting programs has an average goal of
45%of single-family households composting a t home. These goals can be attained only
through sustained efforts (education, outreach, incentives) over a number of years.
Grascycling
In some communities, grasscycling (leaving cut grass on t h e lawn) forms the most
important component o f source redudion o f residentially-generated organic materials.
Communities which indicated t h a t they have significant grasscycling programs have below-
average program costs, in terms of dollars spent f o r every ton o f material t h a t is kept o u t
of the solid waste system.
Nearly all (97%) o f the suwey respondents affirmed t h a t home composting comple-
ments centralized composting, making both successful.
Until this study was undertaken, the direct fiscal costs and quantified benefits of
home composting had not been well documented. Lacking analytical information regard-
ing overall program costs and benefits, many program managers have been hard-pressed
t o determine t h e appropriate priority level f o r home composting education efforts or to
justifL budgetary requests.
Many solid waste program managers want t o know what budget outlays can be ex-
pected during the first three years of program start-up, and what cost savings can be
achieved fairly immediately. This quantified economic analysis of home composting pro-
grams nationwide is intended t o provide solid waste program managers with aggregate
and comparative data that may be useful for planning purposes.
The main goal of this economic analysis of home composting programs was t o de-
velop a composite view o f costs and benefits, based on results of a nationwide survey of
home composting programs. These results are presented in Sections 11 and 111. Appendix
A contains information on how t h e survey was conducted and what analytical methods
were employed in analyzing results. The survey is presented in Appendix B.
The results presented herein are based on an August, 1995 survey of 137 home
composting programs across North America. A total of 43 completed surveys were re-
turned in time for tabulation and analysis. The respondents are listed in Appendix C.
Another goal of this study was to provide descriptive information regarding three
program categories, based on population size. This information is presented in Section 11.
Analytical Approach
Economic analyses often obscure important social and environmental costs and
benefits of various public programs. However, in the case of home composting, this focus
on direct fiscal costs will help readers to understand t h a t home composting generally is
highly cost-effective in reducing the solid waste management burden, even without consid-
ering t h e important and numerous other benefits of home composting.
greater amount of uncertainty associated with them, and should be viewed as assertions
rather than as proven facts.
The term “home composting” (also known as “backyard composting”) was defined
for the purposes of this study as including active or passive composting a t home, worm
composting, grasscycling, and other activities undertaken by residents which reduce t h e
need for pick-up and off-site handling of organic materials. Whether survey respondents
consistently included all of these elements o r just a portion of them when answering ques-
tions was not able to be determined with certainty.
Demographics
Categorization of Programs
Palm Beach
Midwest East CANADA Total
CA County, FL
> 700,000 Sacramento Hillsborough Vancouver, 6
County, CA co, n BC
San Francisco,
CA
Milwaukee,
WI
250,000- Sacramento, Austin, T X Sarasota Co, Dakota Co, Moms Co, 9
700,000 CA FL MN NJ
Lincoln, NE
1 MarinCo,CA Piano, T X Madison, WI
lO0,bOO- Glendale, CA Grand Bibb County, Ann Arbor, New Haven, 11
250,000 Prairie, T X GA MI cr
Escondido, CA Kalamazoo
Co, M I
Thousand
Oaks,
Nassau Co, FL Columbia, Chittenden,
MO VI-
Total 3 4
~
8
~
10
ME
7 L
-43
TABLE 2:
Typical Home Cornposting Program Components,
by Size of Community
Regional Variations
No distinct geographic patterns emerged for home com-
posting programs, in terms of relative direct costs and derived
benefits (or avoided costs), size or scope, or diversion results.
Tremendous variation was found within regions, most notably in
tipping fees (a key avoided cost factor), and, perhaps more sur-
prisingly, in poundslyear diverted per household t h a t composts *
a t home.
P
15
Paid staff are supplemented by an average of 0.1 FTE time provided by volunteers
(see sub-section F). These volunteers provide services t h a t are hard t o quanti*; some pro-
gram managers indicated t h a t their home composting programs were created originally
by volunteers, and t h a t the volunteers provide valuable services in all aspects of home
composting program implementation.
2) Home Composting
-
Brochures
3) Workshops
Master composter programs are an increasingly popular strategy among local gov-
ernments t o promote home composting. Typically, master composter programs train vol-
unteers t o teach other residents how t o compost a t home. A total of 18 master com-
poster programs were reported by t h e 43 respondents to the survey. These programs are
also much less commonly known as “community composter” programs. (The descriptive
term “community” is thought t o be more appropriate than the term “master,” which
tends t o have a negative historical connotation among a sizable portion of t h e popula-
tion.)
than $l2,000/yr. Several factors contribute t o this variability in cost, including number
of participants, length of training, degree of supervision of volunteer outreach projects,
extent t o which the costs for materials for volunteer outreach efforts are covered by pro-
gram expenses, and other factors.
An average of 30 community composters are trained per program per year (n-15).
The mean cost of training a community composter is approximately $200/each (n=15).
It has been postulated elsewhere that home composting bin distribution programs
lead t o program success. This is probably true in many instances. However, the results of
t h e survey did not provide clear evidence t h a t home composting bin distribution pro-
grams are correlated with high rates of participation in a given community. Likewise, t h e
association was not clear between the number of bins distributed and the percent of diver-
sion attained through home composting. Several programs which reported high rates of
participation and diversion did not concentrate their efforts on bin distribution, subsi-
dized or otherwise. Hence, what works well in one set of communities is not necessarily
the most effective approach for another set of communities. Program managers should
evaluate closely the likely effects of subsidized bin distribution for themselves.
F. Role of Volunteers
This does not mean t h a t 16%of all single-family households in t h e United States
compost a t home. Instead, based on a sample of communities which have home compost-
ing programs, what it means is t h a t an estimated 16%of single-family households in these
communities now compost a t home, as opposed to an estimated 10%four years earlier.
Home composting programs are diverting approximately 14%o f the total genera-
tion of yard trimmings in communities which have such programs, based on the survey re-
sults. The 14%figure represents both the mean and the median values of estimates pro-
vided by 20 communities. Data regarding the amount in previous years were not avail-
able.
For t h e sake of completeness, it is noted here that the mean figure obtained from
an analysis of the twelve programs which provided measured data, rather than a combina-
tion o f estimates and measured data, was 770 Ibs/yr. However, because t h e result is based
on a much lower number of programs, the aggregate result (646 Ibslyr) can be utilized
rather than this sub-set.
Clearly, the enormous variability in results makes it difficult t o conclude that a typ-
ical community can expect a certain level of diversion per participating household. For
their own planning purposes, program managers have the choice of using: a) the 646 Ibs/
householdlyear figure, or roughly one ton diverted per year for every three participating
households; b) the 770 Ibs/household/year figure, since it is based on actual measure-
ments; c) their own estimate or measurement. The confidence interval shows statistically
that there is a very high probability that the true nationwide average is somewhere be-
tween 467 Ibslhousehold/yr and 825 l bslhouseholdlyr.
I. Grasscycling
In some cases identified by the study, grasscycling forms the
most important component of source reduction of residentially-
generated organic materials. For example, one community re-
ported t h a t 50% of all households now engage in grasscycling (up
from 30%four years earlier), and that, on average, each grasscy-
cling household diverts over one ton of grass clippings per year
from t h e solid waste management system.
Communities which indicated that they had significant grasscycling programs gen-
erally had below-average program costs per ton diverted. This suggests that, in some com-
munities, promoting grasscycling may be more cost-effective than promoting home com-
posting, especially if subsidized compost bins are involved. In addition, the results suggest
t h a t certain communities may be able t o increase their rate o f diversion per participating
household by emphasizing grasscycling more heavily in home composting education and
outreach programs.
K. Summary of Results
Key findings from the survey results are summarized in Table 3: Results of Na-
tional Survey of Home Composting Programs. The data presented in the table concen-
trate on direct program costs, demographics, and participation and diversion.
--
Obtaining reliable, measured data on the extent or monetary value of social and
environmental benefits, and total and marginal avoided costs proved t o be highly prob-
lematic. The same was true for estimating national averages and quantij/ing national
trends, with respect t o home composting. As such, this study concentrates on developing
reliable information on the direct fiscal costs of home composting. Since some of the data
and conclusions in this section rely on assumptions, this section has been separated from
the earlier section on direct costs of municipal home composting programs.
B. Avoided Costs
Avoided costs are indirect benefits. Typically, they are valued by measuring o r esti-
mating t h e cost of foregone strategies (“opportunity cost”). Home composting can reduce
the need for curbside collection of yard trimmings, either mixed with trash o r kept sepa-
rate from other materials. The benefits (avoided costs) of reducing the need for collec-
tion are discussed in sub-sections 61 and 82. Home composting also reduces the costs of
disposing of residential organic materials, and the costs of processing them in a central-
ized location into beneficial products. The benefits (avoided costs) of reducing the need
for disposal are discussed in sub-section 63. The avoided social and environmental costs
aisociated with reduced collection and disposal are discussed in sub-section B4. Additional
benefits-such as volunteer assistance and training, making and using compost a t home,
and others-are discussed in sub-sections C1 through C3.
Based on the results of the survey, the mean cost of trash collection is $67/ton
(n=29). The confidence level (@95%) for the true mean is between $53/ton and $8l/ton.
For separate collection of yard trimmings, collection costs often are somewhat lower than
for trash collection. The median cost for the separate collection of yard trimmings is
$54/ton (n= 17); however, extreme variability in collection costs were reported.
cost components were not available, the true marginal avoided cost could neither be calcu-
lated nor properly estimated. As a proxy, t h e cost-benefit analysis utilizes Franklin Associ-
ates’ recent estimate of $23/ton f o r the average avoided marginal cost of collection.
The suwey results did not reveal a clear picture of t h e average cost savings t h a t
participating households derive from avoiding the purchase of unneeded service. The nu-
merous permutations of refuse collection rates cloud t h e identification of a usable and
useful average value for individual cost savings.
Home composting reduces the need for disposal o r for the centralized processing o f
recyclable materials into new products. The mean reported disposal facility tipping fee is
$32/ton, based on 14 responses. The mean tipping fee a t centralized compost facilities
used by survey respondents is $26/ton (n=18>.
No single value captures avoided disposal costs. The cost o f disposal is not priced in
the marketplace a t full value; rather, i t systematically is underestimated. Full-value pric-
ing would incorporate the costs of facility closure, monitoring, and other costs. The full
costs of disposal are obscured by current tipping fees, which do not take into considera-
tion t h a t future disposal costs will be once, for instance, a landfill reaches its maximum
holding capacity. In other words, current tipping fees do not provide an accurate measure
of the true value of delaying the need for additional landfill space.
Social and environmental costs are not easily monetized, but are real nevertheless.
These include environmental impacts (air, water, noise, soil pollution), traffic congestion,
public health impacts, loss of open space, and other effects.
C. Other Benefits
In other words, if master composters average more than 17 hours of volunteer ser-
vice, then t h e benefits of master composter training programs will exceed their costs, pro-
vided t h a t training costs are approximately $200 per volunteer. of course, this highly
simplistic analysis of labor time does not take into consideration the unmeasurable bene-
fits of having knowledgeable, committed, and enthusiastic local volunteers as community
resources.
The environmental and social benefits of home composting cannot be easily quanti-
fied, yet they are important t o an overall understanding of program benefits. Wider social
benefits include: heightened community awareness o f environmental issues and solid
waste management; greater community spirit and sense o f common purpose; exercise and
relaxation; science education; and personal pride in taking responsibility for one’s own
habits and behavior.
Making compost a t home adds to social wealth, since a valuable product is created
from materials t h a t otherwise are not valued (assumes disposal). I t is highly unlikely t h a t
home composting activity reduces demand for compost products in the marketplace. If
anything, making compost a t home helps a large number of residents who have little expe-
rience with compost previously t o appreciate how it benefits their gardens. This product
testing a t home may actually stimulate product demand in t h e marketplace, since many
residents can make only a portion of the amount of compost t h a t they would like to use.
So, overall, marketplace demand, usage, and home production of compost may be an out-
growth o f home composting’s increased popularity.
Making compost a t home also adds environmental benefits, as has been well docu-
mented in numerous studies and publications. Put simply, compost helps t o create
healthy soils and plants in numerous ways, including:
building good soil structure; adding nutrients to the soil; pro-
moting deeper root growth; improving soil
0 aeration; increasing soil’s water-holding capacity; neutralizing
soil toxins; reducing mineral leaching from the soil; and reduc-
ing soil erosion.
D. Qualitative Summary of Benefits and Avoided Costs
The following quantifiable and non-quantifiable benefits have been identified o r as-
serted by persons associated with home composting programs. This information was gath-
ered through a literature review and oral communication with a wide array of people in-
volved with home composting programs. Home composting programs offer several real or
perceived benefits to their communities, as shown in Table 4.
TABLE 4:
Using the above estimate and extrapolating from the results of this study, it is esti-
mated t h a t there are a t least 3 million t o 5 million people nationwide who live in house-
holds which are composting a t home. More than half a million tons of material are esti-
mated to be diverted through home composting annually. If grasscycling activities were
fully taken into account, these participation and waste reduction figures probably would
be much higher.
From a public policy or program planning perspective, the number of people who
s t a r t grasscycling or composting a t home a s a result of home composting program efforts
is a more relevant figure than the pre-existing level. While this information is not avail-
able o i a national level, communities which are just beginning their home composting
programs can derive an estimate of the pre-existing participation level in their own cam-
munity by conducting a random sample.
TABLE 5:
Recommendations for Developing
Home Composting Programs
Overview
Alameda County is a major urban area in Northern California with 1.3 million in-
habitants. The County is comprised of 1 7 cities, including Berkeley, Oakland, Hayward and
Fremont. I t has nearly 500,000 households and a wide range of income levels.
The Alameda County Home Composting Program (ACHC) began in 1990 and is
funded by t h e Alameda County Waste Management Authority.
Quantification of Diversion
. Compost bins have been purchased through discount programs by 6.1% of single-
family households in Alameda County compost a t home. ACHC staff estimates t h a t actual
participation in home composting is greater than six percent in Alameda County. Based
on data gathered by ACHC, the average participating household composts 600 pounds per
year. In fiscal year 1994-95,4,000 tons of yard trimmings and food scraps were diverted
in Alameda County through home composting efforts. This amount represented a dou-
bling from t h e previous year.
The program’s long-term goal is t o have 60,000 single-family households compost-
ing a t home, A t this level, more than 18,000 tonslyear of yard trimmings and food scraps
would be composted a t home.
Since 1991, over 7,000 residents have attended home composting workshops and
an equivalent number of children have been educated about home composting through
school programs during this same period. In 1995, 110 workshops were held and 30 Mas-
t e r Composters were trained.
Program Economics
The cost per ton diverted through home composting in fiscal year 1994-95 was ap-
proximately $134/ton. This figure does not include amortization of bin costs over the ex-
pected life of the bin; rather, it measures the full up-front costs against t h e diversion
achieved so far through the use of the bins. Since the bulk of t h e expenditures for this
program is for compost bins which have a relative long life span, the cost per ton diverted
will decrease substantially over time. ACHC projects a cumulative diversion o f 16,574 tons
($35/ton) in 1997, rising t o 33,3 11tons ($17/ton) by 2002, from existing participants.
Program Summary
This is the largest home composting program in California, and one of the most
comprehensive programs in t h e United States. I t was initially funded with money from a
grant, It is well-staffed, multi-faceted, and has several permanent compost demonstration
sites, and school programs. The program publishes an annual report, and prints many
useful materials t h a t have been adapted by other home composting programs. According
t o Teresa Eade, program coordinator, the strength of the program is t h a t "each year exist-
ing bins are in use, yard trimmings are diverted from the waste stream with virtually no
additional cost."
The capital of Washington State, the City of Olympia is about 60 miles from Seat-
tle. Olympia has 37,000 residents and a median household income about equal t o the na-
tional level.
Olympia’s public works department started the home composting program in 1993.
The city also has separate collection of yard trimmings, a drop-off site for yard trimmings,
and a neighborhood chipping program. The centralized composting facility to which the
city hauls yard trimmings is ten miles away.
Quantification of Diversion
Olympia has developed a full range of composting brochures which are freely dis-
Gibuted to residents. These include a home composting resource guide, a schedule of
workshops, a home composting/spring clean up brochure, and a yard trimmings curbside
collection and drop-off guide.
On a small annual budget (about $0.31 per resident), Olympia manages t o achieve
substantial results via home composting. The following table illustrates the program ele-
ments and cost of providing them:
.
.I
I Home Composting Program Costs
P r o g r a m Element Annual C o s t
staff $ 3,480
Brochures $ 3,600
Workshops $0
Master Com poster Training $ 150
Demonstration Sites $ 4,000
Compost Bins $0
Other $300
I T o t a l Cost $ 11,530
Olympia has focused its efforts in several key areas. Staff time amounts t o only
10%of one full-time staff equivalent each year (200 hours), but is supplemented by over
830 hours each year in volunteer time donated f o r the master composter training, work-
shops, demonstration garden, and compost clinic. As these numbers illustrate, the pro-
gram’s success depends in large part on cultivating volunteer assistance.
Program Economics
The cost per ton diverted through home composting in 1995 is estimated t o be
$7.68. The cost per diverted ton in 1994 was estimated t o be $11.53. These numbers
compare very favorably with the cost of trash collection and separate yard trimmings col-
lection (and tipping fees). Public tipping fees a t t h e county landfill are $32 per ton for
yard trimmings and $62.10 f o r trash. I t costs the City approximately $100 per ton t o col-
lect and dispose residential trash; the cost for handling yard trimmings is approximately
$ 7 0 per ton. The cost per diverted ton f o r organic materials composted a t home is much
less than either of these system elements.
Households t h a t compost a t home and recycle generally have reduced their need
for trash collection. The number of households subscribing to the minimal 10 gallons/
week trash collection service has increased from 5%in 1988 to 15% currently. During the
same period, the number of households using the 60-gallon/week service dropped from
15%to 7%. An average of only 1.1Ibs. of residential trash per person per day were col-
lected in 1994, f a r below t h e national average. While difficult t o isolate the impact o f
home composting, it clearly has become an integral component of solid waste manage-
ment in Olympia.
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Summary of Program
The City of Olympia has steadily increased the diversion of yard trimmings and
food scraps through home composting over the past three years. Through a combination
o f demonstration sites, a master composter program, and sophisticated public education
materials, Olympia has developed a very successfir1 program. Volunteer efforts have been
integral t o the breadth and depth of the program, representing almost 50% of one full-
time staff equivalent. Olympia’s program has given assistance and permission t o use its
literature t o the State Department o f Ecology for state-wide efforts t o promote home
composting.
Ovewiew
The City of Ann Arbor has a population o f 110,000 and more than 20,000 single-
family households. The City has a relatively high standard of living; the median household
income is $39,925.
The city’s home composting program began in 1989, and is administered by the
Department of Solid Waste. The home composting program consists of a one-half acre
demonstration site, displays (including a flower bed planted in compost on t h e city hall
deck), workshops, school programs, and the distribution of books and brochures. The pro-
gram has demonstrated t h a t substantial diversion can be achieved without distributing
home composting bins.
Quantification of Diversion
In addition to the home composting program, the City has a yard trimmings collec-
tion program during the summer. This program uses four collection vehicles, which pick
up yard trimmings twice a week. The City sells the compost and mulch back t o the com-
munity for both residential and commercial use.
Four home composting workshops are held each year, educating 100 residents an-
nually. The workshops focus on composting, but also explains and encourages grasscy-
cling. Residents who call t h e City regarding composting are encouraged t o visit the
demonstration site.
Program Economics/Benefits
A t very minimal cost, Ann Arbor is diverting through grasscycling primarily nearly
13,000tonslyear ofyard trimmings. The cost per ton diverted through home composting
is less than $2. This amount compares highly favorably t o the $80 (plus disposal site tip-
ping fee) for each ton of trash collected, or $48 (plus $42 compost facility tipping fee) for
each ton of yard trimmings collected.
Were i t not for the home composting program, more yard trimmings collection ve-
hicles would be required during the summer, t o collect t h e larger amount o f yard trim-
mings t h a t would be set out by residents. No estimates, however, were provided by the
City.
The City is able t o sell all of the compost and mulch produced for commercial and
residential use. Compost sells for $12 per cubic yard in small quantities or $6 per cubic
yard in quantities of 500 cubic yards or more; mulch is sold f o r $3 per cubic yard. Ac-
cording t o the program coordinator, the community greatly appreciates this service.
Program Summary
Overview
Quantification of Diversion
The home composting budget has increased significantly each year, in response t o
recognition o f the program’s importance and success. In 1993-94,t h e program’s budget
for home composting bins was $5,000. The budget was increased by $30,000 in each of
t h e following years, allowing a bin purchase budget of $65,000f o r fiscal year 1995-96.
month. Each sale is advertised widely in local newspapers prior to the event. The goal is
t o reduce the amount of yard trimmings being placed a t the curb for separate collection
by distributing as many home compost bins as possible.
The program costs approximately $0.15 per county resident. The following table
illustrates t h e program elements and cost of providing them in fiscal year 1995-96:
Clearly, the emphasis in this program has been placed on providing subsidized com-
post bins, and on advertising their availability. The Master Composter training is provided
and paid f o r by t h e Cooperative Extension Sewice. Palm Beach County also has separate
collection of yard trimmings, and diverts 120,000 tons of yard trimmings annually t o a
centralized composting. By promoting home composting, the costs of collection and off-
site handling can be reduced, according to t h e program manager.
Program Economics
The estimated cost per ton diverted through home composting for fiscal year
1995-96 is $29.22. This compares favorably with the cost of residential collection of yard
trimmings which is $62.89/tonJ including t h e tip fee. The cost of ordinary residential
trash collection is $28.27/ton, plus an $18 landfill tipping fee. Because many of the pro-
gram expenditures are for compost bins with a minimum expected life of ten years, cost
per ton diverted is expected t o decrease over time.
Program Summary
Palm Beach County’s home composting program demonstrates how advertising can effec-
tively reach a large, diverse and dispersed population. According t o program coordinator
Susan Lancanese, local residents are environmentally conscious, and the program and its
budget have grown in response t o the interest of residents. In summarizing the program,
she says t h a t “our goals are very straightforward: we seek t o reduce the amount of yard
trimmings being placed a t the curb and t o educate residents on the benefits and simplicity
of backyard composting.”
Overview
Quantification of Diversion
*
Clearly, the emphasis in Glendale’s program has been placed on providing free com-
post bins, aeration tools, and low-cost pitchforks. The city has shown t h a t t h e bin distri-
bution and education programs cost less than $60 per household. Staff time amounts t o
only 6%of one full-time equivalent staff position each year (primarily for workshop pre-
sentations); volunteers supplement staff by providing a total of K) hours of assistance
each year. Glendale also operates a yard trimmings chipping site t o demonstrate the ef-
fectiveness of household-scale chippers.
The cost per ton diverted through home composting in 1994-95 was estimated to
be about $40.40, Because most of the program expenditures were f o r compost bins with
a minimum expected life of ten years, cost per ton diverted is expected to decrease each
year as the program matures. The cost per ton Over the first ten-year period is expected
to be $14.63. This compares favorably with the cost of trash collection and plant trim-
mings collection (and tipping fees). The cost of residential trash collection in t h e City of
Glendale is estimated to be $61.19/ton. Separate collection of yard trimmings is esti-
mated t o cost $53.84/ton.
Glendale has also realized additional cost savings from eliminating separate yard
trimmings collection routes. According t o program staff estimates, one yard trimmings
collection route day could be eliminated f o r every 4-97 tons per year of yard trimmings
t h a t are composted a t home, assuming there is a reduction in the frequency o f curbside
set out f o r yard trimmings. While it is difficult t o prove a direct correlation, program
staff indicate t h a t a fewer number of collection route-days are needed for yard trimmings
collection, and t h a t each regular route-day saves more than $27,000 each year in collec-
tion labor costs.
Program staff have also estimated t h a t there are substantial system-wide savings in divert-
ing food scraps through home composting efforts. The City estimated t h a t the net cost
per ton of diverting food scraps through home composting is $6, far less than the cost of
diversion in any other recycling efforts.
Summary of Program
The City of Glendale has documented the cost-effectiveness o f providing free com-
post bins t o residents. Through a combination of bin subsidies and educational efforts,
the program has steadily increased diverted tonnage o f yard trimmings and food scraps.
The reduction in yard trimmings collection routes clearly shows t h a t home composting
can complement centralized composting efforts, making both successful. Glendale’s phi-
losophy, as stated by coordinator Tom Brady, is t h a t “home composting is so simple and
cost-effective it should be o u r goal t o have a t least 25% o f America’s single-family house-
holds composting in the next ten years.”
Overview
The City of East Chicago is located on Lake Michigan, southeast of Chicago and j u s t
west o f Gary, Indiana. East Chicago has approximately 10,000single-family households,
and a total population of about 33,500. The median household income is $19,391,a fig-
ure which is well below t h e national median.
Quantification of Diversion
City staff estimate that 15-20% of households now compost a t home, as compared
with barely any prior t o 1994. The program’s long-term goal is 30% participation.
In addition t o staff time, the program utilizes volunteer labor. Currently, forty
volunteers contribute an average of 20 hours per year.
Program Economics
The following table illustrates the program elements and cost o f providing them:
P r o g r a m Element Annual C o s t
Staffiworkshops $ 10,000
School Programs $ 8,000
Compost Bin Purchases $ 5,000
Brochures $400
Advertising $ 1,000
Total Cost $ 24,400
The cost per ton diverted through home composting in 1994-95 is estimated t o be
about $17.43. While information on costs o f collection and disposal were not available
from t h e City, this per ton cost suggests t h a t home composting is the most cost-effective
way to manage yard trimmings in East Chicago.
Summary of Program
This program-in a community with a relatively low median household income-
has enjoyed immediate and substantial success by relying primarily on coordinated and ex-
tensive educational efforts (school programs, workshops, brochures, advertising), and sec-
ondarily on compost bin distribution. In its first year, East Chicago has achieved a partici-
pation rate o f 20% (2,400)of single-family households. Very few households were com-
posting a t home prior t o t h e inception of the program, according to program staff.
Nearly 1,000 people have attended home composting workshops since 1994. Most o f t h e
residents who compost a t home do not utilize a municipally-provided compost bin. The
number of refuse collection vehicle routes has dropped in response t o program success.
Amherst began its home composting in 1991. Key components of t h e program in-
clude compost bin distribution, workshops, brochures, books, and school programs. The
program will publish its first annual report in 1995.
Quantification of Diversion
The table below illustrates program elements and the costs of providing them:
Based on the current budget and estimated diversion rate, the home composting
program costs approximately $55 per ton diverted. Since most of t h e program expendi-
tures are t h e purchase of composting bins with a minimum expected life of ten years, cost
per ton diverted should decrease each year. By comparison, the cost of residential trash
collection in Amherst, including tip fee, is estimated a t $ l W / t o n . Current yard trimmings
and leaf collection and on-farm composting program costs average $45/ton.
The public cost of fall leaf collection has decreased by $9,000 due t o home com-
posting efTorts, according to program staff.
Summary of Program
Overview
The capital of Texas, Austin is a large, expanding urban area with a total popula-
tion of about 492,000. There are 126,000 single-family households in the city.
Quantification of Diversion
Each participating household composts 200 pounds per year, according t o City esti-
mates. In 1994-95,379 tons were diverted through home composting. In addition to
home composting, 7,700 tonslyear of yard trimmings are diverted through centralized
composting o r chipping.
Master Composter training comprises the main element of Austin’s home compost
education program. Each year, 25 students are trained as Master Composters; these stu-
dents are encouraged t o contribute 24 hours of volunteer time t o the program. In addi-
tion, 17,000 residents have attended home composting workshops in the last three years.
The program is not staffed by City employees, but rather relies on a $20,000 con-
t r a c t with the non-profit Austin Community Gardens t o provide all of the key elements o f
the education program. The program includes training Master Composters, maintaining a
demonstration site, providing workshops, distributing brochures, and responding to about
1,000 hotline calls per year.
Program Economics
The cost per ton diverted in 1994-95 is estimated to be about $73.88. By compari-
son, the cost of residential trash collection is $106/ton (excluding tip fee).
Currently, there is a flat fee for trash collection regardless of t h e number of cans.
However, the city is in t h e process of converting t o a volume-based system, which will pro-
vide a more direct financial incentive for residents t o reduce the amount of materials that
are discarded. Program staff anticipate t h a t the popularity of home composting ofyard
trimmings will grow in response t o the enactment of volume-based fees for trash collec-
tion.
Program Summary
A. Data Sources
Initial information used in formulating the scope of the study was gathered from a
combination of telephone interviews and a literature search and review. Prior to this
study, quantified primary data on the costs and effectiveness of home composting pro-
grams had been anecdotal a t best, or lacking. For this reason, i t was determined that this
study should focus on gathering and analyzing primary data on the economics of home
composting programs.
Primary data were collected directly from persons re-
sponsible for home composting programs in more than forty
local governments across North America. The vast majority
of the data was obtained from these primary sources.
Substantial efforts were made t o obtain information from all geographical regions
of the United States and representative regions of Canada, from communities of widely
varying population levels and socio-economic bases, so t h a t a representative cross-section
of programs could be described. A s shown in the analysis of results, these efforts were
largely successful.
__ Fifth, a list was obtained of contact names and addresses of home composting pro-
grams identified during a 1994 University of Wisconsin a t Stevens Point survey. That sur-
vey determined which programs collected economic data, but did not gather or analyze it.
sixth, Applied Compost Consulting developed a draft questionnaire, which was cir-
culated t o The Composting Council, US EPA, and other reviewers. After receiving oral and
written comments, Applied Compost Consulting developed the final version of t h e ques-
tionnaire.
Seventh, the suwey was sent by regular mail to t h e home composting program
contact in a total o f 137 communities. This l i s t included respondents identified by t h e
University o f Wisconsin survey as having maintained information on costs and program
results, and additional communities known t o have programs or located in geographical
areas not sufficiently represented by t h e University o f Wisconsin survey. Targeted commu-
nities were given two weeks t o complete t h e survey.
Eighth, after the two week period, communities which had not responded were con-
tacted via by fax or telephone two times within one week. These reminders helped t o in-
crease t h e rate o f response.
Ninth, after the closing date for receipt of completed sukeys had passed, all com-
munities which had not sent in suweys were deemed non-responsive. Nevertheless, com-
pleted surveys received after this deadline helped t o round out the overall picture of
“typical” home composting programs. These programs-a total of three-were not in-
cluded in t h e data analysis.
C. Data Analysis
All completed surveys were closely examined t o ensure responses were complete,
accurate, and reasonable. In cases where respondents were thought t o have potentially
misinterpreted a question, did not return all pages of the survey, or wrote illegible, incom-
plete, inconsistent or unintelligible answers, telephone follow-ups were made t o the re-
spondent, to clarify the response. In cases where inconsistencies in responses were de-
tected and i t was clear which of the information was correct, changes were made directly
t o the surveys.
Data from the surveys were inputted into a computerized spreadsheet and
database. Printouts of these computer spreadsheets were cross-checked with the original
surveys t o ensure consistency of data.
D. Statistical Analysis
A standard statistical analysis was used t o analyze numerical
data. Among the most important statistical assumpti ons, terms
and calculations used in the analysis were:
Population Mean: The sum of all points in a given population-whether included in the
sample o r not-divided by the number of such points. Referred t o as “the true mean.”
Median: The middle value of the relevant set of data. In other words, the median is the
value t h a t divides the set of data in half, with 50% of the measurements being above t h e
median and 50%being below it. Commonly referred to as “the midpoint.”
Note: Both the mean and median are important and useful measures of the so-called typi-
cal case, In most cases, the mean was used. However, the median was used in cases where
the mean was influenced strongly by extreme observations (“outliers”). The median is
much less affected by extreme points a t the high or low end of t h e distribution.
Standard Deviation: A key measure of dispersion (or variation) around the mean of a
sample. The greater the dispersion, the greater the standard deviation, If t h e frequency
&sttibution of a population conforms t o the normal distribution, then approximately 68%
of the measurements lie within plus or minus one standard deviation of the mean.
Normal Distribution: The results are viewed as normally distributed, in accordance with
the Central Limit Theorem of statistics regarding t h e relationship between sample size
and distribution. A normal distribution is symmetrical about the mean and bell-shaped,
with its location and shape determined entirely by its mean and standard deviation. with
a normally distributed set of data, confidence intervals can be developed.
Confidence Interval: An interval which has a certain probability of including the popula-
tion mean. This probability is called t h e confidence level ("confidence coefficient"). A
95% confidence interval means that if samples were drawn from the population repeat-
edly, the population mean would be included in the interval in 95% of the samples.
'Home Composting " includes active or passive composting at home, worm composting o f
food scraps, grasscycling and others activities by residents which reduce the need for
off-site handling o f organic materials, such as yard trimmings.
1. Do you have any annual reports on the home composting program in your
jurisdiction? (Circle one,]
a Yes (If yes, please send a copy along with your completed survey.)
b NO
CURRENTLY 1991
Number of households
which compost a t home households _____ households
-
OR
_______ percent of total _____ percent of total
3. What is your long-term goal for the number or percentage of single-family
households which will compost a t home? (Fill in o r circle.)
5. What is your estimate of the amount o f waste reduction achieved in your commu-
nity through home composting in each o f the past three years? (Fill out as much
asyou can.)
Fiscal year 1994-95: _____ tons per year QR ______ cubic yards per year
1993-94:______ tons per year ______ cubic yards per year
1992-93:______ tons per year QR ______ cubic yards per year
6. How many home composting bins were distributed in each o f the past three years?
.(Fill in dl that apply.)
Answers t o the following questions will be o f g r e a t value t o the cost-benefit analysis and
t o other new and emerging home composting programs. I f y o u ' r e having difficulty
answering this set o f questions, please call us a t 510-64-4-3693, and we'll go through i t
together.
10. How much money has been allocated to your community's home composting pro-
gram? (Fill in.)
FY 1995-96 FY 1994-95 FY 1993-94
Budget Budget Budnet
11. How are yard trimmings handled in your community? (Fill in or check information
t h a t is not available. Please make an estimate if the information is not readily
available.)
12. Which of the following home composting program elements are used currently by
your home composting program? What do they cost? (Circle dl t h a t apply; fill in
where appropriate or attach a budget sheet, if easier. Responses to this question
are very important, so please make y o u r best estimate. I f y o u r program does not
have a particular program element, please circle "not applicable (NA).] "
13. What is t h e estimated cost of residential collection (excluding tip fee) in your
community? (Fill in or circle.)
a $-----/ton C $-----/ton
b Don't know d Don't know
14. What is the approximate distance yard trimmings are transported from your service
area t o the following processing facilities used by your community? (Fill in. Please
circle NA if your program does not have or utilize a particular processing
operati on .)
16. If your jurisdiction operates its own centralized composting facility and does not
charge a tipping fee for municipally-collected material, what is t h e estimated cost of
processing incoming yard trimmings a t the facility? (Fill in or circle.]
a $ /ton ______
$ /cu. yd. (incoming material)
b Don't know
C N.A. (jurisdiction doesn't operate its own composting facility)
17. Are residents charged a volume-based fee for trash collection or for separate collec-
tion of yard trimmings? (Answer dl that apply.]
18. What are typical retail prices for yard trimmings compost sold by private busi-
nesses in your community? (Fill in all that apply.]
Ventura, California
Marialyce Pederson, Waste Management
Program Assistant