If our local recycling practices become more effective than anticipated, will we be penalized because our tonnage is lower than what we estimated for the MRC during the planning stages of the project?

No, it would not be penalized.  One of the benefits of the process is that it lends itself to recycling and local control.  The contract terms that the MRC negotiated with the original partner specifically allow towns to continue or expand their existing waste reduction and recycling programs.  The facility is designed with the understanding that many member communities will choose this route.  Towns that would like to continue or expand their existing recycling programs will be able to do so.  MRC agreements for the facility do not impose requirements to deliver a Guaranteed Annual Tonnage (GAT) of MSW on individual towns, and towns are NOT be liable for penalties for failure to deliver any specific amount of MSW so long as they continue to deliver all MSW under their control to the facility.  Communities can continue existing PAYT programs, add new PAYT programs, or add new diversion programs without fear of being penalized individually for delivery shortfalls.