HomeMy WebLinkAbout2011-12-07 Packet - GarbageWhat’s it ALL About Alfie?
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Curbside Garbage Collection Rates and Charges Contract Amendments for Curbside Collection and Transfer Station Operations
December 7, 2011
Public Hearing
City Council Chambers
Ukiah, California
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Activities and Meetings
Dec, 2010 – April 2011 – Company drafted proposed revisions to the franchise and transfer station agreements and submitted them to City for staff review.
May, 2011—Company secured 5-year agreement with County of Lake to use Eastlake Landfill located in Clearlake for disposal of Ukiah solid waste beginning January 2012.
June – Sep., 2011 –Company purchased property to consolidate recycling processing operations, establish a green waste composting facility and a pilot commercial food waste composting
program.
June-Oct., 2011 – City Attorney, City staff, and Solid Waste Systems continued technical review, discussion related to proposed new agreements.
October 11, 2011 – Staff presented proposed rate schedules for curb-side collection and transfer station services to the Council
Council set December 7, 2011 as the date for a public hearing on the rates and directed staff to mail the required notices to property owners and customers.
October 21, 2011 – Notices mailed to property owners and customers.
November 2, 2011 – City Council presented with draft contract revisions and amendments
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Activities and Meetings - continued
November 3, 2011– Ad Hoc Committee meeting to discuss comments and concerns voiced at City Council meeting
November 14, 2011—Ad Hoc Committee meeting to discuss comments, concerns , and contract amendments.
November 16, 2011—Council meeting to discuss proposed contract amendments and revisions.
November 17, 2011—Ad Hoc Committee meeting to discuss comments, concerns , and contract amendments.
November 28, 2011—Ad Hoc Committee meeting to discuss comments, concerns , and contract amendments.
December 7, 2011—Council meeting
Public Hearing on proposed garbage rates (Proposition 218 & UCC Division 4, Chapter 6, Article 1)
Discussion and possible action of Collection Service and Transfer Station contract changes and revisions.
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Cost Components
Fuel Costs
Disposal fees
Operating Costs
Government Fees
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Fuel Costs
Adjusted by Fuel Index:
U.S. Energy Information Administration Petroleum & Other Liquids Index
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U.S. EIA Diesel Fuel Index
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Disposal Fees
Landfill Greenwaste
2011 33.48 32.00
2012 38.25 32.00
2013 38.25 32.00
2014 38.25 32.00
2015 +CPI 32.00
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Transfer Station Contract
Exhibit D – Proposed Transfer Station rates
5.64% increase = 4.20 per ton commercial customers, $1.00 per yard for non-compacted garbage (self-haul), and $ .25 increase in the minimum gate fee
Exhibit E – Rate Components, framework for annual adjustments, basis for future adjustments
Fuel by the State fuel index
Disposal fee increases by the disposal site fees
Governmental fees as established by regulation
Other operating costs by the CPI index
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Transfer Station Contract
Exhibit D – Rate Schedule
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Transfer Station Contract
Exhibit E – Rate Calculation, Page 1
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Transfer Station Contract
Exhibit E – Rate Calculation, Page 2
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Transfer Station Contract
Exhibit E – Rate Calculation, Page 3
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Transfer Station Contract
Exhibit E – Rate Calculation, Page 4
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Transfer Station Contract
Exhibit E – Rate Calculation, Page 5
Collection Contract
Exhibit C – Curbside Rate Components, framework for annual adjustments, basis for future adjustments
Fuel by the State fuel index
Disposal fee increases by the disposal site fees
Governmental fees as established by regulation
Other operating costs by the CPI index
Exhibit E – Proposed Garbage Collection rates
7.12% increase = $ .31 to $1.18 per month for the majority of the customers
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Collection Contract
Exhibit C – Rate Calculation, Page 1
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Collection Contract
Exhibit C – Rate Calculation, Page 2
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Collection Contract
Exhibit C – Rate Calculation, Page 3
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Collection Contract
Exhibit C – Rate Calculation, Page 4
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Collection Contract
Exhibit E – Rate Calculation, Page 1
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Collection Contract
Exhibit E – Rate Calculation, Page 2a
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Collection Contract
Exhibit E – Rate Calculation, Page 2b
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Bases for Rate Adjustments
EIA Diesel Fuel index
Consumer Price Index, All US Cities
Disposal site fees, Transfer Station, Landfill, Greenwaste
MWSMA fees
City fees
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SUMMARY
An extensive, in-depth process was followed to evaluate services and costs for providing both garbage collection and transfer station services
A Council Ad Hoc committee was involved throughout the process
This is the fourth time the City Council has held public discussions related to the proposed contract extensions
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SUMMARY - continued
The garbage collection rate setting process conformed with requirements of both Proposition 218 and the Ukiah Municipal Code
Protests received from the public are less than the number required to prevent the Council from taking action
Tonight’s public hearing is the final required step before the Council may take action on the garbage collection rates
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SUMMARY - continued
The Director of the Mendocino Solid Waste Management Authority, known as MSWMA, raised a number of questions and concerns. Some related to the contract provisions and others related
to the rate calculations.
The City attorney reviewed the contract related comments and added those not already in progress to the list of revisions to the contract and to the City Codes as appropriate
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SUMMARY - continued
The Council Ad Hoc committee invited MSWMA Director Sweeney and Supervisor McCowan to attend committee meetings and hear responses to the questions raised.
Staffs’ review of the rate computation questions resulted in different conclusions and yielded no change to the proposed rates
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SUMMARY - continued
Staff recommends the Council take action on both the Transfer Station contract and the Garbage Collection contract and also adopt a new schedule of rates as proposed after conducting
the public hearing on the garbage rates.
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