FERRIS - The Ferris City Council met in a work session last week to consider adjustments to the budget for the new fiscal year.

City Manager Gus Pappas said the adjustments call for the establishment of a “distinct new fund” generated by Waste Management.

In a telephone interview, Pappas said the new fund would be protected from being absorbed into the general operation of the city.

“This fund would be available to underwrite particular projects proposed to the city council by the city staff or general citizens of the community,” he said.

Pappas said Waste Management saw an opportunity to take advantage of tax incentives provided by the federal government to cities that process electricity from multiple sources and will begin the process of collecting methane gas from the city landfill to convert into energy.

“This is an energy source which has been untapped where energy plants have been positioned at landfills which will collect methane gas, a by-product of the decomposition of household garbage in the landfill,” he said. “Rather than burn it off, as required by the state, it would be channeled into a large generator, which will convert and incorporate it into the electrical grid and the electric company would have to buy back all unused energy produced from this process.”

The city already receives a host fee from Waste Management that has been incorporated into the budget to offset ambulance service as well as other services.

“We have been told that we can expect this (methane gas conversion process) to generate about $500,000 for the city each year from Waste Management,” Pappas said.

During the Board of Adjustments meeting Tuesday, public hearings were conducted to consider two sub-standard structures on North Church Street. Because repair estimates were unavailable, action was postponed until next month’s meeting.

E-mail Paul at paul.gauntt@waxahachiedailylight.com