I have a pallet compost system here too. It aint pretty but it seems to be doing the job. We've had skunks around here but so far no critters have tried to get into it. I was originally afraid my neighbor's chickens, who used to free-range over here before we moved in, might get in and scratch it out so I put a spare pallet on the front to block it. Its not attached so can be moved when I need to access it, and so far it seems to have prevented anything getting into it. I can't wait until Spring when I will be able to add a bunch of compost to my garden.
Homemade compost is the best. DH had raised garden beds at the house in Wichita and the first year he put them together he bought several bags of "store" compost and was being a total snob about using my two huge barrels of homemade compost that I had been working on for eight months. We got into quite the debate because he didn't think my compost was good enough so I challenged him to use just my compost in one box and his store bought bagged stuff in the other two. Well guess which box went gang busters?
We had okra plants the size of Texas out there. So he learned an important lesson about compost!
I have never heard of a composting system like your dad talks about. In Australia every household is issued with both a trash bin and a recycling bin. The trash is picked up weekly and the recycle bin bi-weekly. The recycle bin is divided in two - one half for paper and the other for everything else. Trash/recycling are not a private enterprise like they seem to be here in KS, but are covered in the property taxes, so every household has the same bins. It seems like most people participate since they already have the bin, so I think it does increase the amount of stuff that is recycled. I've continued to recycle here but I have to say it is more of a hassle since I have to separate out the different things - paper, tin cans, aluminum, plastic and so on, and then load them up and take them to the drop off point. Still, I've never heard of a composting system added into the mix.
In Maine the trash/recycling is like that too. The taxes pay for your pick up. I hate recycling here, I have to drive all the way up to Olathe with our recycling so I just try to take it when I make a trip to Sam's club. It gets to be large load because I only go about twice a month at the most. I wish we had free curbside recycling.