The UCRRA is an essential part of the local municipal function, as it is responsible for developing, funding, and executing a comprehensive county-wide solid waste management program. The Agency’s operations are primarily funded by tipping fees, with modest additional revenues from sales of recyclable materials, dumpster rentals, pulling fees, and fuel surcharges. Based on the Agency’s 1992 Solid Waste Management Contract with the County of Ulster still in force today, any deficits incurred by the Agency will be covered by a Net Service Fee paid by the County.
Therefore, the programs and its financial outlook have direct financial impacts on residents by impacting both the tipping fees charged to residents using the facility, and in the form of a Net Service Fee paid by the County if operating revenues fail to cover operating costs. To date, Ulster County has paid UCRRA over $37 million in net service fees. The Ulster County Legislature must decide what should be done with those funds to best serve the taxpayers some of which might be required to address our solid waste management future.
Our audit identified several issues related to the organization’s operations that relate to both effective internal controls and policies, and enforcement of existing policies and regulations. While our audit initially sought to review the composting operations conducted at the facility, our review uncovered several issues that should be addressed by the Board and by County officials to ensure that the Agency is operating in the best interest of County residents that have an impact agency-wide.
