Feasibility of Cooperative Acquisition and Processing of Diverse Organic Waste Streams in Wisconsin’s Fox River Valley

Philip Wells and Leslie Cooperband, University of Wisconsin,  Dept of Soil Science
Greg Lawless, University of Wisconsin Center for Cooperatives

Executive Summary

Northeast Wisconsin, particularly the Fox River Valley, is faced with increasing obstacles to land spreading or landfilling of organic wastes. The region is home to food processors, municipal wastewater treatment and solid waste facilities, paper mills, wood manufacturers and livestock producers. The region also represents one of the fastest growing urbanizing populations in Wisconsin. Increasing competition and restrictions on land spreading areas, rising landfill costs and loss of agricultural land to urban development have led farmers and industries to seek alternatives to direct land spreading and/or landfilling of raw wastes.

The Fox River Valley Organic Recycling (FRVOR) project was initiated to evaluate the economic, technical, organizational and regulatory feasibility of centrally processing organic wastes to produce soil amendments. This feasibility study included
1) development of an organic “waste shed” for the region
2) economic evaluation of collective processing and product production
3) evaluation of suitable processing technologies for production of soil amendments and organic fertilizers
4) assessment of potential markets for finished products
5) comparison of organizational and business models
6) examination of regulatory changes needed to promote collective waste processing.

The project should have a beneficial economic and environmental impact in the region by creating new employment, and by converting benign organic wastes into marketable soil resources.

The authors of this feasibility study have concluded that:

1. Significant potential exists in the Fox River Valley for a collaborative waste processing enterprise. 
2. The organic wastes or by-products available from present FRVOR participants have value as raw materials for the manufacture of soil amendments, representing a significant cost savings in current and projected waste management alternatives.
3. An enterprise based in the Fox River Valley that would receive locally available organic by products, process them into high-quality soil amendment products and market and distribute the products appears to be potentially profitable. This preliminary analysis finds that an equity investment of approximately $1 million could result in annual revenues of $5.4 million after five years, create 13 new jobs and a $1.2 million cash flow beginning in year 5.
4. The soil amendment enterprise presents a viable, environmentally responsible, long-term solution to the region’s organic waste stream problem.

Key Words: organic by-products, centralized processing, composting, anaerobic digestion, organic soil amendments

Funding Provided by:
University Industry Relations Program
City of Appleton Division of Utilities