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<br />. <br /> <br />. <br /> <br />. <br /> <br />Case #1: Request By Rubber Research Elastomerics, Inc. To Seek <br />City Support For Proposed Project To Recycle Whole <br />Scrap Tires: <br /> <br />Mr. Ed Welsh - Minnesota Solid Waste Board - Mr. Welsh was present <br />to speak on the subject of Minnesota solid waste grants (see <br />Attachment I). Mr. Welsh also noted that with respect to the grants, <br />the Board will give consideration to joint efforts between local <br />units of government outside the Metro area. <br /> <br />Commissioner Fults inquired as to the interest rates on the loans. <br /> <br />Mr. Welsh replied that the interest rate would be the same as what <br />the State is charged when the GO bonds are sold; the interest rate <br />fluctuates; he does not know the current rate; bonds sold 18 <br />months ago were at 8.67%. <br /> <br />Mr. Stark - President of Rubber Research Elasomerics, Inc. - The <br />company has been in existence for 22 years in Minneapolis. The <br />company has discovered a unique way to utilize scrap rubber, <br />primarily tires, by putting the scrap rubber through a several <br />stage process that reduces the rubber to a 30 mesh power which <br />they call 'tire cycle'. Use of ground rubber has been limited <br />to 5-8%; tire cycleuseage is 50-100%. The company sells tire <br />cyle back to the rubber industry for $.25-$.30/pound. The <br />facility would recyle60,000,000 pounds of tires per year; all <br />rubber and fiber would be utilized, extracted metal would be <br />sold; only electrical energy is used in the processing; there <br />are no by-products and trash. The 60,000,000 pounds is 1/3 of <br />the tire tonage generated in the State yearly. Twenty to thirty <br />million pounds of end product would be used within the State. <br />The facility would employ about 40 people. <br /> <br />Representative Ernie Larsen - Was present to speak on the subject <br />of a bill passed in the last legislative session regarding <br />waste tire collection and processing. Mr. Larsen passed a photo <br />around showing the tire dump in Andover where there is" currently <br />8-12 million tires. Attachment II to these minutes is a copy of <br />the subject bill. Mr. Larsen summarized what the bill does: <br />1. $117,000 set aside for establishing rules of waste tire <br />collection; 2. Requests funds to do an incineration study and <br />perform test burns; 3. Requested and received $52,000 for waste <br />tire recycling rules; 4. Requests funds to be used to encourage <br />recycling education; 5. Established a $4.00 fee on initial vehicle <br />registration and each subsequent transfer of a vehicle in the State <br />to be used for financing. With regards to incineration of tires, <br />Mr. Larsen stated that he does not feel that burning is the only <br />method of disposal and utilization of old tires; figures quoted <br />by Mr. Stark regarding the amounuof. scrap tire.s:his company <br />would process are small in comparison to the amount of scrap <br />tires generated in the State annually. Mr. Larsen stated that <br />Wisconsin is utilizing heat generated from tire burning to produce <br />steam power at a paper manufacturing plant; this plant is looking <br />to expand and if so could easily go through 120-150 tons of scrap <br />tires.per day. <br /> <br />EDC/July 11, 1984 <br />Page 2 of 5 <br />