HomeMy WebLinkAboutUkiah Waste Solutions, Inc. 2011-12-12; Amendment 1 2016-01-01Ukiah Waste Solutions, Inc.
P.O. Box 60
Ukiah, CA 95482
Mr. Sage Sangiacomo
City Manager
City of Ukiah
300 Seminary Avenue
Ukiah, CA 95482
August 14, 2015
RE: UWS letter of intention to adjust rates.
Dear Mr. Sangiacomo,
Please accept this letter as our formal notification of intention to adjust each of the current
Ukiah Waste Solutions, Inc. rates effective as of January 1, 2016 in accordance with Section
6.2(a) through (c) of the Waste Collection Agreement dated December 12, 2011.
Thank you,
UKIAH WASTE SOLUTONS, INC.
David '??2 L/avcoee
David M. Carroll
President
Cc: Karen Scalabrini
Ukiah Waste Solutions Curbside Rate Components
Annual Adjustment Calculations
Effective Date January, 2016
Comparison Year Costs
TOTAL COSTS
Less: Fuel Cost
Less Disposal Fees - Garbage
Less Disposal Fees - Green Waste
Less City Landfill Closure Costs
Less City Commercial Oversight fee
Collection Costs before Recycle Credit
Recycle Credit
Change in Franchise Fee & Billing Costs
Collection COSTS Subject to CPI adj.
Revenue base
2015 Comparison Year Revenue
Index
$3,028,068.47
$181,939.66 Fuel
$809,674.57 SWS TS Gate
$55,785.84 Negotiated
$60,000.00 Set by City
$9,999.96 Set by City
$1,910,668.44
- $16,323.15
$1,894,345.29
Residential
CPI
Commercial
Increase /
Decrease
Allowed
(58,807.92)
(971.61)
0.00
0.00
0.00
(11,260.40)
2,273.21
(68,766.72)
TOTAL
Roll Off Total Revenue
27.64%
67.17%
5.19%
100.00%
$878,256.06
$2,134,702.00 $165,013.48 $3,177,971.54
Fuel Cost
Disposal Fees - Greenwaste
Landfill closure cost
Commercial Oversight fee
Other Regulatory & Governmental Costs
Disposal Fees - Garbage
CPI adjustment
Total before franchise and billing fees
Franchise Fee
Billing Fee
Adjusted revenue
Revenue Adjustment
(516,252.01)
$0.00
$0.00
$0.00
$0.00
($268.51)
$628.22
$862,363.76
($3,022.05)
($604.41)
5858,737.30
(539,502.36)
$0.00
$0.00
$0.00
50.00
($652.65)
$1,526.96
$2,096,073.95
($7,086.18)
$0.00
$2,088,987.77
($3,053.55)
50.00
$0.00
$0.00
$0.00
($50.45)
$118.03
$162,027.51
(S547.76)
$0.00
$161,479.75
($58.807.92)
$0.00
$0.00
$0.00
$0.00
(5971.61)
$2,273.21
$3,120,465.22
($10,655.99)
($604.41)
$3,109,204.82
(519,518.76)
(545,714.23)
($3,533.73)
($68,766.72)
(Rate adjustment as a percent
Page 1 of 6
1
Ukiah Waste Solutions Curbside Rate Components
Annual Adjustment Calculations
Effective Date January, 2016
June 2014
$4.101
June 2014
238.343
Fuel - June to June (Fuel Index)
June 2015 Index Increase (Decrease)
$3.192 - $0.909
Fuel % Change - 22.17%
CPI - June to June (Index)
June 2015 Index Increase (Decrease)
238.638 0.295
CPI % Change 0.12%
Transfer Station Fee (Disposal Fees - Garbage) Jan to Jan
January 2015 January 2016 Increase (Decrease)
$81.30 $81.20 -0.100
Transfer Station Fee % Change -0.12%
Green Waste Disposal Fee (Disposal - Green Waste) Jan to Jan
January 2015 January 2016 Increase (Decrease)
$30.00 $30.00 $
Disposal Fee - Green Waste % Change 0.00%
Landfill Closure Costs Jan to Jan
January 2015 January 2016 Increase (Decrease)
$60,000.00 $60,000.00 $
Landfill Closure Costs % Change 0.00%
Commercial Oversight Fee Jan to Jan
January 2015 January 2016 Increase (Decrease)
$10,000.00 $10,000.00 $
Commercial Oversight Fee % Change 0.00%
June 2015
Recycle Credit June to June
Tons Value /Ton Credit
3,264.63 $5.00 $ 16,323.15
Recycle Credit $ 16,323.15
City Franchise Fee 15%
City Billing Fee - Residential Customers 3%
Page 2 of 6
Revenue base
Residential
Commercial
Roll Off
Total Revenue base
Service Level
Ukiah Waste Solutions, Inc.
2016 RATE ADJUSTMENT
2016 Adjustment
Final Adjustment ($68,766.72)
% Rate Adjustment -2.16%
Comparison
Year Revenue
Adjusted FA
2016 Revenue
$878.256.06 $859,285.73
$2,134,702.00 $2,088,592.44
$165,013.48 $161,449.19
$3,177,971.54 $3,109,327.35
SUMMARY OF RATE ADJUSTMENT FOR STANDARD SERVICES
YEAR 2016
Current New Effective
2015 2016 Percentage Total Monthly Rate Per
Rate Rate Adjustment Adjustment Gallon /Yard
Curbside Service
No Service & 10 gallon can rate
20 gallon can rate
32 gallon can rate
68 gallon can rate
95 gallon can rate
Other combinations - rate per gallon
1 yard bin rate
1.5 yard bin rate
2 yard bin rate
3 yard bin rate
4 yard bin rate
6 yard bin rate
4.91
10.34
18.57
43.88
61.82
0.72
122.88
145.21
193.63
290.42
387.23
580.86
4.80
10.12
18.17
42.93
60.48
0.70
120.23
142.07
189.45
284.15
378.87
568.31
- 2.24%
-2.13%
- 2.15%
-2.16%
- 2.17%
-2.78%
-2.16%
- 2.16%
-2.16%
-2.16%
-2.16%
- 2.16%
$ (0.11) $ 0.480
$ (0.22) $ 0.506
$ (0.40) $ 0.568
$ (0.95) $ 0.631
$ (1.34) $ 0.637
$ (0.02) $ 0.700
$ (2.65) $ 120.23
$ (3.14) $ 94.71
$ (4.18) $ 94.73
$ (6.27) $ 94.72
$ (8.36) $ 94.72
$ (12.55) $ 94.72
Packout Service
10 gallon can rate
20 gallon can rate
32 gallon can rate
68 gallon can rate
95 gallon can rate
Other combinations - rate per gallon
7.58
12.97
22.75
53.43
77.20
0.83
7.42
12.69
22.26
52.28
75.53
0.81
- 2.11%
-2.16%
- 2.15%
-2.15%
-2.16%
-2.41%
$ (0.16) $
$ (0.28) $
$ (0.49) $
$ (1.15) $
$ (1.67) $
$ (0.02) $
0.742
0.635
0.696
0.769
0.795
0.810
Remote Area Service
Add to the Packout Service rate.
$ 7.58 $
7.42 -2.11% $ (0.16) N/A
In areas with limited access, an additional fee is charged to fund the costs of special equipment and special handling necessary
to provide garbage pickup services. This fee is in addition to the "Packout Service" fee listed in this schedule.
Commercial / Multi - Family Service
10 gallon can rate
20 gallon can rate
32 gallon can rate
68 gallon can rate
95 gallon can rate
1 yard bin rate
1.5 yard bin rate
2 yard bin rate
3 yard bin rate
4 yard bin rate
6 yard bin rate
$ 5.12 $ 5.01 -2.15% $ (0.11) $ 0.501
$ 10.72 $ 10.49 -2.15% $ (0.23) $ 0.525
$ 19.28 $ 18.86 -2.18% $ (0.42) $ 0.589
$ 45.56 $ 44.58 -2.15% $ (0.98) $ 0.656
$ 64.21 $ 62.82 -2.16% $ (1.39) $ 0.661
$ 122.88 $ 120.23 -2.16% $ (2.65) $ 120.23
$ 145.21 $ 142.07 -2.16% $ (3.14) $ 94.71
$ 193.63 $ 189.45 -2.16% $ (4.18) $ 94.73
$ 290.42 $ 284.15 -2.16% $ (6.27) $ 94.72
$ 387.23 $ 378.87 -2.16% $ (8.36) $ 94.72
$ 580.86 $ 568.31 -2.16% $ (12.55) $ 94.72
Page 3 of 6
Page 4 of 6
Calculation to adjust fuel costs
Fuel Revenue Adjustment Worksheet, based on Fuel Index change, June to June
Base Year Fuel Index and Cost 3.102
$200,641.151 2010 Actual
Index Change - New
vs. Base Year
1
Fuel index adjustment at June 2011 4.213
35.82%
$71,869.66 Plus: Base Year Cost X Index Change
Revenue adjustment for January 2012 rate revision
571,869.66
$0.00 Less: Prior Fuel Cost applied to rate
>I
$272,510.811 Fuel Cost Allowed Year 1
Annual adjustment based on Fuel Index change, year to year (using example fuel index changes)
2
Fuel index adjustment at June 2012 4.027
29.82%
$59,831.19 Plus: Base Year Cost X Index Change
Revenue adjustment for January 2013 rate revision
($12,038.47)
$71,869.66 Less: Prior Fuel Cost applied to rate
>`
$260,472.341 Fuel Cost Allowed Year 2
3
Estimated Fuel index adjustment at June 2013 4.023
29.69%
$59,570.36 Plus: Base Year Cost X Index Change
Revenue adjustment forJanuary 2014 rate revision
($260.83)
$59,831.19 Less: Prior Fuel Cost applied to rate
>I
$260,211.51 Fuel Cost Allowed Year 3
4
Estimated Fuel index adjustment at June 2014 4.101
32.21%
$64,626.51 Plus: Base Year Cost X Index Change
Revenue adjustment for January 2015 rate revision
$5,056.15
$59,570.36 Less: Prior Fuel Cost applied to rate
>)
$265,267.661 Fuel Cost Allowed Year 4
5
Estimated Fuel index adjustment at June 2015 3.192
2.90%
55,818.59 Plus: Base Year Cost X Index Change
Revenue adjustment for January 2016 rate revision
($58,807.92)
$64,626.51 Less: Prior Fuel Cost applied to rate
>I
$206,459.741 May be RESET during rate review process
6
Estimated Fuel index adjustment at June 20 3.192
2.90%
$5,818.59 Plus: Base Year Cost X Index Change
Revenue forJanuary
$5,818.59 Less: Prior Fuel Cost applied to rate
adjustment 2017 rate revision
>j $0.00
$206,459.741 Fuel Cost Allowed Year 6
Page 4 of 6
Ukiah Waste Solutions, Inc.
Statement of Profit & Loss
Comparison Year July 2014 to June 2015
REVENUE
Residential $878,256.06
Commercial $2,134,702.00
RollOff $165,013.48
TOTAL REVENUE $3,177,971.54
EXPENSES
Fuel Cost
Disposal - MSW
Disposal - Green Waste
City Landfill Closure Costs
City Commercial Oversight Fee
All Other Costs (CPI driven costs)
TOTAL OPERATING EXPENSES
$181,939.66
$809,674.57
$55,785.84
$60,000.00
$9,999.96
$1,910,668.44
$3,028,068.47
Recycle Credit Analysis
2014 Tons
Jul 264.32
Aug 248.42
Sep 257.73
Oct 269.05
Nov 258.06
Dec 331.32
2015
Jan 270.88
Feb 259.20
Mar 272.37
Apr 281.77
May 272.73
Jun 278.78
Curbside 3,264.63 Tons
2014 -15 $117.78 Annual average actual market price
Recycle Credit 2015 $16,323.15
%
Composition
16.75%
23.07%
21.01%
0.53%
0.51%
1.94%
1.25%
1.82%
24.41%
0.71%
8.00%
100.00%
Composite Market Value Grid
Annual Mo Average 2014 / 2015
Commodity
OCC #11
ONP #7
Mixed Paper
HDPE Color
HDPE Natural
PET
#3 - #7 MRP
Tin
Glass 3 Mix
Alum Cans
Residue
Scrap CRV
Value /Ton Value /Ton
$112.67
$66.00
$66.00
$421.58 $100.00
$649.08 $100.00
$238.83 $1,140.00
$78.08
$60.46
($40.00) $84.00
$1,388.42 $2,860.00
($81.30)
Weighted
Value /Ton
$18.87
$15.23
$13.87
$2.76
$3.82
$26.75
$0.98
$1.10
$10.74
$30.16
($6.50)
$117.78
Cost /Rev
Ukiah Waste Solutions Curbside Agreement
Adjustment
Period
Adjustment
Method
Index
Cost
1,2
Fuel
Annual
100% of index change
eia Ca #2 Diesel Retail all sellers
Base Rate as Adjusted
Disposal - Solid Waste
Time to Time
Per TS (SWS) Agreement
N/A
Pass Through
1,2
Operations (all other costs)
Annual
100% of index change
CPI - US Cities CPI -U
Base Rate as Adjusted
3
Recycle Reduction
Annual
Per Recycle Agreement
Rec Market Value Grid - $5 base
Operating Cost Reduction
1,2
Green Waste Disposal
$30 / Ton
Annual
Up to CPI (Contractor Choice)
CPI - US Cities CPI -U
Base Rate as Adjusted
1,2,8
Food Waste Disposal (Comm)
Up to $40 / ton
Annual
Up to CPI (Contractor Choice)
CPI - US Cities CPI -U
Base Rate as Adjusted
4
City Franchise Fee
15%
Time to Time
City Action
N/A
Pass Through
4
City Bill Fee
3%
Time to Time
City Action
N/A
Pass Through
4
City Oversight Fee
$10,000.00
Time to Time
City Action
N/A
Pass Through
4
City Landfill Closure Fee
$60,000.00
Time to Time
City Action
N/A
Pass Through
6,9
TOTAL NET COST
Notes
1 Agreement should state mutually agreed upon Index if Index becomes unavailable
2 June to June change
3 Recycle Agreement with PRS renewable every 5 years with Base Market Value per mixed ton to provide for Rev sharing with City (reduction of operating costs).
4 Agreement should state initial rate, subject to change by City action
5 Exhibit of calculation to be made part of agreement
6 UWS requests new rate by Aug 15, City approves by Oct 15, Pub Notice given by Nov 1, Adjusted Rate goes into effect following January 1.
7 Agreement must provide for City Flow Control with language that directs flow to contractor facilities when available.
8 FOOD WASTE - UWS will implement a pilot and or full commercial food waste program in place by June 2013 provided proper permits can be obtained
Details still to be worked out.
9 Rate change is calced as follows: % annual adjustment X actual prior year (July to June) actual component cost = new funds needed / collection revenue
= % adjustment per rate. New cost adj dollars (fuel, disposal, city fees etc..) need to be adjusted for city fees - CPI adj does not.
RE- OPENER - the contract should have a mutual re- opener for other new items
Page 6 of 6
Ukiah Waste Solutions, Inc.
2016 Rate Schedule
RESIDENTIAL / COMMERCIAL
Residential Carts 1 -10 11 -20 21 -32 33 -68 69.95 Gallons
2016 Rates No Service Fee lx/WI lx /WK 1x /WK 1x /WK lx /WK
Roadside 4.80 4.80 10.12 18.17 42.93 60.48
Pack Out* 7.42 7.42 12.69 22.26 52.28 75.53
Remote" 14.84 14.84 20.11 29.68 59.70 82.95
• Pack Out service 0 limited to the elderly and disabled who apply directly through Ukiah Waste Solutions @ 707 -234 -6400.
•• The additional charges of Remote service may be required for certain areas with difficult access.
Commercial / Multi - Family Carts
2016 Rates
1 Can -lx/WK
1 Can - 2x /WK
1 Can - 3x /WK
2 Cans - 1x/W K
1 -10 11 -20 21 -32 33 -68 69 -95 Gallon
5.01 10.49 18.86 44.58 62.82
41.92 99.24 139.65
70.04 152.16 212.58
41.92 99.24 139.65
Commercial / Multi - Family Bins
Yards Number of pick -ups per week Extra
2016 Rates 1x /WK 2x /WK 3x/WK 4x /WK 5x /WK 6x /WK Pick -up
1.0 120.23 0.00 0.00 0.00 0.00 0.00 27.77
1.5 142.07 284.14 426.21 568.28 710.35 852.42 32.81
2.0 189.45 378.90 568.35 757.80 947.25 1,136.70 43.75
3.0 284.15 568.30 852.45 1,136.60 1,420.75 1,704.90 65.62
4.0 378.87 757.74 1,136.61 1,515.48 1,894.35 2,273.22 87.50
6.0 568.31 1,136.62 1,704.93 2,273.24 2,841.55 3,409.86 131.25
Clean -Up Bins and Boxes
3.0 Yd 3 day rental
15.0 Yd 7 day rental
20.0 Yd 7 day rental
30.0 Yd 7 day rental
Compactors
Misc Charges
Bulky Items (appliances, Lg Tires, Furniture etc..)
Tires - each - (Automotive or motorcycle)
Damage Cart Replacement
Additional Green Waste or R/C Cart
Extra Residential Pick -up
Extra Commercial Pick -up
Compactor Cleaning
Container Cleaning
Locking bin, one -time setup fee
Replacement Key
Contamination Fee
Returned Check Fee
Roll Off or Bin Extra Day Charge
Exchange Cart Size
Extra p/u calculated at 1 /wk divided by 4.33
Rate
1/1/2016
98.30
222.74
222.74
222.74
222.74
Rate
1/1/2016
24.72
5.21
67.28
6.63
6.46
12.05
290.05
104.41
33.07
11.60
33.12
35.00
12.05
24.83
Plus $81.20 per ton tip fee
Plus $81.20 per ton tip fee
Plus $81.20 per ton tip fee
Plus $81.20 per ton tip fee
Plus tip fee
Plus Materials
2
2
2
2
2
2
Table 24. Historical Consumer Price Index for All Urban Consumers (CPI -U): U. S. city average, all Items - Continued
(1982 -84 =100, unless otherwise noted)
Year J
Jan. F
Feb. M
Mar. A
Apr. M
May J
June J
July A
Aug. S
Sep. O
Oct. N
Nov. D
Dec.
1970 3
37.8 3
38.0 3
38.2 3
38.5 3
38.6 3
38.8 3
39.0 3
39.0 3
39.2 3
39.4 3
39.6 3
39.8
1971 3
39.8 3
39.9 4
40.0 4
40.1 4
40.3 4
40.6 4
40.7 4
40.8 4
40.8 4
40.9 4
40.9 4
41.1
1972 4
41.1 4
41.3 4
41.4 4
41.5 4
41.6 4
41.7 4
41.9 4
42.0 4
42.1 4
42.3 4
42.4 4
42.5
1973 4
42.6 4
42.9 4
43.3 4
43.6 4
43.9 4
442 4
44.3 4
45.1 4
45.2 4
45.6 4
45.9 4
46.2
1974 4
46.6 4
47.2 4
47.8 4
48.0 4
48.6 4
49.0 4
49.4 5
50.0 5
50.6 5
51.1 5
51.5 5
51.9
1975 5
52.1 5
52.5 5
52.7 5
52.9 5
53.2 5
53.6 5
54.2 5
54.3 5
54.6 5
54.9 5
55.3 5
55.5
1976 5
55.6 5
55.8 5
55.9 5
56.1 5
56.5 5
56.8 5
57.1 5
57.4 5
57.6 5
57.9 5
58.0 5
58.2
1977 5
58.5 5
59.1 5
59.5 6
60.0 6
60.3 6
60.7 6
61.0 6
61.2 6
61.4 6
61.6 6
61.9 6
62.1
1978 6
62.5 6
62.9 6
63.4 6
63.9 6
64.5 6
65.2 6
65.7 6
66.0 6
66.5 6
67.1 6
67.4 6
67.7
1979 6
68.3 6
69.1 6
69.8 7
70.6 7
71.5 7
72.3 7
73.1 7
73.8 7
74.6 7
75.2 7
75.9 7
76.7
1980 7
77.8 7
78.9 8
80.1 8
81.0 8
81.8 8
82.7 8
82.7 8
83.3 8
84.0 8
84.8 8
85.5 8
86.3
1981 8
87.0 8
87.9 8
88.5 8
89.1 8
89.8 9
90.6 9
91.6 9
92.3 9
93.2 9
93.4 9
93.7 9
94.0
1982 9
94.3 9
94.6 9
94.5 9
94.9 9
95.8 9
97.0 9
97.5 9
97.7 9
97.9 9
98.2 9
98.0 9
97.6
1983 9
97.8 9
97.9 9
97.9 9
96.6 9
99.2 9
99.5 9
99.9 1
100.2 1
100.7 1
101.0 1
101.2 1
101.3
1984 1
101.9 1
102.4 1
102.6 1
103.1 1
103.4 1
103.7 1
104.1 1
104.5 1
105.0 1
105.3 1
105.3 1
105.3
1985 1
105.5 1
106.0 1
106.4 1
106.9 1
107.3 1
107.6 1
107.8 1
108.0 1
108.3 1
108.7 1
109.0 1
109.3
1986 1
109.6 1
109.3 1
108.8 1
108.6 1
108.9 1
109.5 1
109.5 1
109.7 1
110.2 1
110.3 1
110.4 1
110.5
1987 1
111.2 1
111.6 1
112.1 1
112.7 1
113.1 1
113.5 1
113.8 1
114.4 1
115.0 1
115.3 1
115.4 1
115.4
1988 1
115.7 1
116.0 1
116.5 1
117.1 1
117.5 1
118.0 1
118.5 1
119.0 1
119.8 1
120.2 1
120.3 1
120.5
1 989 1
121.1 1
121.6 1
122.3 1
123.1 1
123.8 1
124.1 1
124.4 1
124.6 1
125.0 1
125.6 1
125.9 1
126.1
1990 1
127.4 1
128.0 1
128.7 1
128.9 1
129.2 1
129.9 1
130.4 1
131.6 1
132.7 1
133.5 1
133.8 1
133.8
1991 1
134.6 • 1
134.8 1
135.0 1
135.2 1
135.6 1
136.0 1
136.2 1
136.6 1
137.2 1
137.4 1
137.8 1
137.9
1992 1
138.1 1
138.6 1
139.3 1
139.5 1
139.7 1
140.2 1
140.5 1
140.9 1
141.3 1
141.8 1
142.0 1
141.9
1993 1
142.6 1
143.1 1
143.6 1
144.0 1
144.2 1
144.4 1
144.4 1
144.8 1
145.1 1
145.7 1
145.8 1
145.8
1994 1
146.2 1
146.7 1
147.2 1
147.4 1
147.5 1
148.0 1
148.4 1
149.0 1
149.4 1
149.5 1
149.7 1
149.7
995 1
150.3 1
150.9 1
151.4 1
151.9 1
152.2 1
152.5 1
152.5 1
152.9 1
153.2 1
153.7 1
153.6 1
153.5
996 1
154.4 1
154.9 1
155.7 1
156.3 1
156.6 1
156.7 1
157.0 1
157.3 1
157.8 1
158.3 1
158.6 1
158.6
997 1
159.1 1
159.6 1
160.0 1
160.2 1
160.1 1
160.3 1
160.5 1
160.8 1
161.2 1
161.6 1
161.6 1
161.3
998 1
161.6 1
161.9 1
162.2 1
162.5 1
162.8 1
163.0 1
163.2 1
163.4 1
163.6 1
164.0 1
164.0 1
163.9
999 1
164.3 1
164.5 1
165.0 1
166.2 1
166.2 1
166.2 1
166.7 1
167.1 1
167.9 1
168.2 1
168.3 1
168.3
See footnotes at end of table.
72 CPI Detailed Report -June 2015
California No 2 Diesel Retail Prices (Dollars per Gallon) Page 1 of 2
U.S. Energy Information
e 1 a Administration
PETROLEUM & OTHER LIQUIDS
OVERVIEW I DATA
ANALYSIS & PROJECTIONS
GLOSSARY, FAQS
Referring Pages:
• California Gasoline and Diesel Retail Prices
• Retail Prices for Diesel (On- Highway) - All Types
View History: 0 Weekly C Monthly 0 Annual
California No 2 Diesel Retail Prices
Dollars ocr 6211011
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Download Data (XLS File)
19'98
1998 2000 2002 2004 2006 2008
- California No 2 Diesel Retail Prices
eia1 Source: U.S. Energy Information Administration
Chart Tools
no analysis applied vI
2010
2012 2014
This series is available through the EIA open data API and can be downloaded to Excel or embedded as an interactive chart or map on your
website.
California No 2 Diesel Retail Prices (Dollars per Gallon)
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec
1995 1266 1.271 1.294 1.307 1.313 1.322
1996 1.322 1.277 1.276 1.529 1.615 1.529 1.471 1.440 1.467 1.486 1.471 1.433
1997 1.427 1.509 1.475 1.486 1.376 1.304 1.267 1.337 1.357 1.347 1.390 1.340
1998 1286 1.226 1.174 1.217 1.222 1.163 1.157 1.158 1.167 1.172 1.169 1.123
199 9 1.110 1.104 1.237 1.404 1.314 1.392 1.415 1.468 1.401 1.393 1.466 1.447
200 0 1.505 1.536 1.629 1.570 1.524 1.509 1.580 1.713 1.940 1.904 1.882 1.816
2001 1.659 1.618 1.593 1.610 1.609 1.612 1.561 1.514 1.651 1.475 1.384 1.270
200 2 1.269 1.289 1.394 1.444 1.411 1.427 1.428 1.484 1.597 1.557 1.532 1.524
200 3 1.579 1.725 1.818 1.650 1.543 1.581 1.635 1.725 1.656 1.622 1.639 1.681
2004 1.677 1.809 1.897 2.171 2.284 2.056 2.098 2.128 2.164 2.361 2.348 2.137
2005 2.059 2.244 2.455 2.590 2.450 2.469 2.578 2.945 3.125 3.160 2.668 2.504
2006 2.630 2.703 2.738 2.932 3.222 3.192 3.104 3.193 3.053 2.721 2.679 2.906
2007 2.803 2.886 2.885 2.985 2.964 3.019 3.123 3.049 3.024 3.267 3.608 3.475
2008 3.423 3.488 4.014 4265 4.673 4.968 4.965 4,542 4.087 3.568 2.832 2.345
2009 2.297 2.260 2.139 2.336 2.354 2.697 2.734 2.850 2.837 2.856 2.962 2.913
2010 2.997 2.938 3.058 3.206 3.205 3.102 3.124 3.164 3.144 3.214 3.305 3.408
2011 3.560 3.804 4.187 4,400 4.362 4.213 4.106 4.009 4.057 4.059 4.245 NA
2012 4.103 4.251 4.474 4.419 4.316 4.027 3.917 4.240 4.456 4.376 4.170 4.076
2013 4.083 4.325 4.245 4.134 4.040 4.023 4,068 4.138 4.209 4.134 4.048 4.073
2014 4.082 4.084 4.092 4.089 4.119 4.101 4.110 4.085 4.054 3.938 3.813 3.542
2015 3.212 3.110 3.182 3.098 3.254 3.192 3.115
http:// www. eia. gov/ dnav /pet/hist/LeafHandler.ashx ?n= PET &s =EMD EPD2D_PTE_SCA... 8/12/2015
require Company to adopt and implement various recycling, Solid Waste reduction, public
education and reporting programs for City and its residents, subject to City taking all actions
necessary to implement such programs and approving reasonable service rate increases needed,
if any, in connection therewith.
6. Rates.
6.1 Establishment of Rates. The service rates specified in Exhibit E to this
Agreement (the "Rates ") shall take effect on the Effective Date, subject to approval by the City
Council and compliance with the notice and hearing requirements in Article XIII.D of the
California Constitution and Government Code Sections 53750 et seq. (collectively, "Proposition
218 "). Such Rates shall be adjusted pursuant to Sections 6.2, 6.3, 6.4 and 6.5 below, subject to
compliance with the notice and public hearing requirements of Proposition 218 as provided in
such Sections. The parties' agreement to subject the Rates and certain adjustments thereto to the
notice and public hearing requirements of Proposition 218 is precautionary only and shall not be
deemed an admission that Proposition 218 applies to the Rates or such adjustments. Company
shall not charge any amount in excess of the approved Rates for services required by or
permitted under this Agreement.
6.2 Modification Based on Consumer Price Index, Fuel Index, Recycling Reduction
and Certain Pass - Through Costs.
(a) Adjustment Calculation. Each Rate shall be adjusted January 1st every
year, beginning January 1, 2013 ( "Rate Adjustment Date ") to reflect changes in the CPI, the Fuel
Index, the amount paid to Company by PRS for Recyclables and certain Pass - Through Costs by
a percentage determined in accordance with the Curbside Rate Calculation attached hereto as
Exhibit C (the "Calculation ").
(b) Definitions. For purposes of Rate adjustments pursuant to this Section 6.2
and the Calculation, the following terms shall have the following meanings.
(i) "Base Fuel Costs" means Company's actual costs for diesel and
other fuels used in performing services under this Agreement for the year ended December 31,
2010 or $200,641.15.
(ii) "Base Revenue" means Company's total revenue received from
Customers during the Comparison Year.
(iii) "Base Year" means the year ended June 30th one year prior to June
30th of the Comparison Year.
(iv) "Comparison Year" means the year ended June 30th immediately
prior to the relevant Rate Adjustment Date.
(v) "Commercial Oversight Fees" means the total amount of commercial
oversight fees, including any fees or charges adopted to replace or supplement such fees, paid by
Company to City in accordance with Section 4 and 6.6 during the Comparison Year.
(vi) "CPI" means the Consumer Price Index, All Urban Consumers,
U.S. City Average, All Items (1982- 1984 =100), published by the United States Department of
Labor, Bureau of Labor Statistics.
(vii) "Disposal Fees — Garbage" means the actual Disposal Costs paid by
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Company to SWS for Solid Waste delivered by Company to the Transfer Station during the
Comparison Year.
(viii) "Disposal Fees — Green Waste" means the actual Processing Costs
paid by Company to CCC, PRS or any other Authorized Facility for Green Waste delivered by
Company to the CCC facility, the PRS Facility or such Authorized Facility, respectively, during the
Comparison Year.
(ix) "Fuel Costs" means Company's actual costs for diesel and other
fuels used in performing services under this Agreement during the Comparison Year.
(x) "Fuel Index" means the California No.2 Diesel Retail Sales by all
Sellers (Dollars Per Gallon) published by the U. S. Energy Information Administration.
(xi) "Landfill Closure Costs" means the total amount of landfill closure
fees, including any fees or charges adopted to replace or supplement such fees, paid by Company
to City in accordance with Section 4 and 6.6 during the Comparison Year.
(xii) "Recycle Credit" means the product of (A) the average monthly
weighted average price (AMWAP) per ton PRS is required to pay to Company under the
Recycling Agreement for Source Separated Recyclables collected by Company curbside from
Residential Customers during the Comparison Year, but not less than $5.00, times (B) the total
tons of such Recyclables so delivered by Company to PRS and accepted by PRS during the
Comparison Year; provided, however, that if the amount of Recyclables rejected by PRS under
Section 2 of the Recycling Agreement averages over any consecutive six month period more
than 5% of the total Recyclables delivered to PRS ( "the Acceptable Rejection Rate "), the credit
shall include AMWAP, but not less than $5.00, times the tons of Recyclables rejected by PRS
for that same six month period in excess of the Acceptable Rejection Rate .
(xiii) "Total Costs" means all of Company's costs to provide Collection
services under this Agreement, including, without limitation, labor costs, vehicle and vehicle -
related costs, maintenance, insurance, and transportation costs, Fuel Costs and Pass - Through
Costs.
(c) Rules. For purposes of Rate adjustments pursuant to this Section 6.2 and
the Calculation, the following rules shall apply.
(i) "CPI Change" shall be calculated as one hundred percent (100 %)
of the percentage increase or decrease, if any, in the CPI during the Comparison Year, using the
CPI published for June of such Year as compared with the CPI published for June of the Base
Year.
(ii) "Fuel Index Change" shall be calculated as one hundred percent
(100 %) of the percentage increase or decrease, if any, in the Fuel Index from June of the Base
Year through June of the Comparison Year; provided, however, that, notwithstanding Section
6.2(b)(iii) above, "Base Year" for purposes of the Fuel Index Change shall mean the year ended
June 30, 2010; and, provided, further, that the Fuel Index Change adjustment (i.e., Fuel Index
Change multiplied by Base Fuel Cost) for any Rate Adjustment Date shall be calculated after
removal of such adjustment for the prior Rate Adjustment Date.
(iii) Each adjustment element in the first part of the Calculation will be
grossed up for the corresponding increase or decrease in Franchise Fees and Billing Fees (where
applicable) resulting from such adjustment, other than the CPI adjustment.
(iv) Rate adjustments for changes in Commercial Oversight Fees or
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Landfill Closure Costs that take effect on a date other than January 1St, as well as changes in
other Pass - Through Costs, will be determined under Section 6.3 below and not under this Section
6.2.
(d) Procedure. The procedure for Rate adjustments under this Section 6.2
shall be as follows:
(i) Not later than August 15th of each year, Company shall file with
the City Manager a written notice of intention to adjust each of the then current Rates effective
as of January 1st of the next year in accordance with Section 6.2(a) through (c) above.
(ii) Within sixty (60) days of the filing of the notice of intention, the
City Manager shall review the notice and either confirm that the proposed Rates are within the
limit of Section 6.2(a) though (c) above or establish by mutual agreement with Company any
necessary changes to the proposed Rates to make such confirmation.
(iii) Not later than October 20th, the City Manager shall inform the
City Council in writing of his or her determination regarding the proposed new Rates and the
City Council shall be entitled to review and confirm that the proposed Rates are within the limit
of Section 6.2 above or establish by mutual agreement with Company any necessary changes to
the proposed Rates to make such confirmation, not later than November 20th. Any new Rates
shall become effective on the following January 1st, provided that the Company and the City
shall give the respective Customers that each bills written notice of the new Rates not later than
December 1st.
(iv) In the event that the CPI or the Fuel Index described in Section
6.2(b) above shall be discontinued or materially modified during the term of this Agreement, the
parties shall together select a replacement index and /or otherwise change Section 6.2(b) above so
as to replicate, as nearly as possible, the mutual intention of the parties to rely on the results of
the relevant index described in Section 6.2(b) as in effect on the date hereof.
6.3 Modification Based on Changes in Pass - Through Costs. In addition to
adjustments under Section 6.2 above, each Rate shall be adjusted to reflect changes in Pass -
Through Costs that are not the subject of Rate adjustments pursuant to Section 6.2 above, as
follows. Using the section of the Calculation entitled "Revenue Base," each Rate shall be
increased by an amount equal to the increase in applicable Pass - Through Costs, and decreased by
an amount equal to the decrease in applicable Pass - Through Costs, in each case so as to cause all
the Rates to compensate for such change in Pass - Through Costs as of the date such change
becomes effective and either payable by or a benefit to Company, and taking into account the
increase or decrease in Franchise Fees and /or Billing Fees payable in respect of such change.
6.4 Five Year Review. Once every five (5) years (beginning no later than April 2,
2016 for purposes of adjusting the Rates effective January 1, 2017), City shall conduct a review
for the purpose of determining whether or not the automatic adjustments provided in Sections 6.2
and 6.5 have adequately adjusted the rates to cover the actual increase or decrease in the
Company's reasonable operating costs or have exceeded those costs and whether the Rates
remain fair to the ratepayer and the Company. Depending on the results of that review the City
may increase or decrease the rates. City shall complete each such review and adjustment, if any,
at least three months (3) prior to the beginning of such year (by September 30, 2016 in the case
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of the first such review), and Company shall cooperate with such review. In conducting each
such review, City shall consider the following information: financial records of Company
(including operating expenses and revenues and Disposal, Processing, Regulatory and other costs
of Company, and Company revenues), the factors described in Section 6.5 below, and rates
charged for comparable services in similar communities. Increases or decreases in the Rates
pursuant to this Section 6.4 shall be subject to the notice and public hearing requirements of
Proposition 218. The City may conduct such investigation as it deems necessary to perform this
review and Company shall cooperate with such investigation, which may include the City's
inspection and copying of Company records and Review and/or Audit of Company's financial
records by a City retained CPA, the costs of which shall be reimbursed to City from Base
Revenue but treated as a pass - through cost for rate setting purposes.
6.5 Modification Based on Extraordinary Items. In addition to adjustments under
Sections 6.2, 6.3 and 6.4 above, Company may request an increase in the Rates if Company's
costs increase or its revenues decrease solely as the result of extraordinary circumstances beyond
its control that could not have been reasonably anticipated by Company (such as a Change in
Law) and if the increase in costs or decrease in revenues unavoidably adversely affects
Company's opportunity to operate at a reasonable profit. Company shall have the burden of
producing evidence satisfactory to City demonstrating its need for a rate increase prior to the
regular Five Year Review pursuant to Section 6.4 above, including, but not limited to, reviewed
or audited financial statements of Company, if requested by City. The City Council shall
consider the request in good faith. Any such increase shall only be approved through the notice
and hearing requirements in Proposition 218.
6.6 Billing. Company shall bill directly for all Solid Waste, Recyclables and Green
and Food Waste Collection services provided herein to all Commercial and Institutional
Customers, and to those Multi- Family Residential Customers assigned by City to Company for
billing. Company and City shall regularly exchange billing Lists to avoid double billing and to
insure that Company is following the City's direction regarding its direct billing of Multi- Family
Residential Customers. City shall bill all Residential Customers (except those currently billed by
Company as approved by City) for all Solid Waste, Recyclables and Green and Food Waste
Collection services hereunder. Each Commercial or Institutional Customer will be billed for one
(1) month of service in advance upon commencement of service, and thereafter for one (1)
month of service in arrears. Interest of one percent (1 %) per month or the highest rate permitted
under applicable law, whichever is less, shall be applied to any past due amounts from all
Customers until paid in full. Amounts shall be past due if not paid within thirty (30) days of
billing. Company shall have the right to refuse service to any Customer that is more than sixty
(60) days delinquent on his, her or its account; provided, however, that if the City is forced to
take enforcement action against a Customer who has been refused service, Company shall pay
the City's costs to take such enforcement action as is necessary to protect public health and
safety. Company shall pay City three percent (3 %) of the amount billed by City to Residential
Customers as a billing fee. City shall pay to Company all amounts billed to Residential
Customers, less Billing Fees, Franchise Fees, commercial oversight fees and landfill closure
costs (in accordance with Section 4 above), and a delinquency allowance equal to one -half
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