The fate of the city’s compost could soon be back directly in the city’s hands.

At Monday evening’s council meeting, water and waste services manager David Albisser brought forward a recommendation that council cancel the contract for the operation of the compost facility.

Instead, the city would put it in as a budget submission that would see the city take over full responsibility for it.

The move comes with the current contract for Boreal Composting, with Garret Gillespie running the compost facility, up at the end of the month.

As Albisser outlined in his report to council: “Earlier this year, Boreal Composting indicated that the current annual operating service agreement fee of $195,000 is no longer adequate to cover expenses and any extensions of the agreement would need to incorporate a fee increase.”

In order to ensure an open process on the next agreement, the city put out a tender last month for the contract to operate the compost facility for the next three years.

Adorna Landscaping was the sole bidder, coming in with a bid of $311,912 for 2014/2015, $357,281 for 2015/2016 and $375,145 in the final year of the contract.

It was proposing to have Gillespie carry on in the role of facility manager.

In addition to the contract cost, there are also building and utility maintenance, and equipment repair and maintenance and the like.

That brings the total estimated costs with the contract to $352,000 in the first year, $397,000 in the second year and $415,000 in the third year.

Each of those years, the city is anticipating revenue from compost sales, being in the $6,000 range, bringing down the cost somewhat.

“It is significantly over-budget,” Albisser said of the bid.

It’s also substantially higher than the $276,100 the city is estimating it would spend if it ran the facility itself.

That cost also includes maintaining a certified organic standard for the compost, which Albisser argued is “beneficial in maintaining public confidence in the quality of compost produced at this facility.”

Albisser was questioned by Coun. Kirk Cameron on why the bid was so much more than what the city estimates it could run the facility for.

Albisser didn’t have an answer, but pointed out staff did review the numbers with Adorna and “they fully understood” their bid.

Albisser also noted the cost difference in having the compost certified as organic, noting the documentation and soil sampling required is extensive.

“Everything is documented,” Albisser said, noting soil sampling is a major cost in organic certification.

He went on to ensure council, under questioning by Coun. Dave Stockdale, that the city has the capacity to handle the work and would have a facilitator and two staff working there.

Coun. Betty Irwin didn’t speak out against the city taking over operating the facility.

However, she noted that she wouldn’t want to see the city move into the sales and marketing end of it, as that would move it into competing with private business rather than simple cost recovery.

As Albisser noted, sales would happen only from the gatehouse at the facility.

If the city were to move into sales and marketing of its compost, it would come up as a separate expense for council to vote on.

Council will vote next Tuesday evening on whether to cancel the tender and move toward taking over responsibility for the compost facility.