HomeMy WebLinkAboutItem 11 - Solid Waste Rate IncreaseMEMO TO:
FROM:
MEETING DATE:
SUBJECT:
RECOMMENDATION:
LAJ#1C1fJ63
SOLID WASTE FRANCHISE AGREEMENT RENEWAL AND
RATE INCREASE AMENDMENT
City Council consider adopting an ordinance amending Chapter 25, Utilities and
Services, Article 111, Solid Waste Disposal, Section 25-97, Service Rates — Schedules to
reflect adjustments to the commercial and residential solid waste and recycling collection
rates, and take any necessary action.
City Council granted Republic Services (dba Allied Waste Services of Fort Worth, LLC.)
and its predecessor companies a franchise agreement (Ordinance No. 95-35) to provide
solid waste and recycling services for both residential and commercial customers in
Grapevine on May 2, 1995.
Section 12 - Item 1 of the Franchise Agreement provides for the establishment of
residential and commercial rates on an annual basis prior to October 1. Republic has
requested a rate adjustment effective October 1, 2013.
The rate adjustment calculation is a fixed component of the agreement for both
commercial and residential collection. The base rate is divided into operational and
disposal components. The operational component represents 70% and the disposal
component represents 30% of the base rate. The operational component is adjusted
based on the Consumer Price Index (CPI -U) for the most recent 12 month period (March
2012 — March 2013). The disposal component is adjusted by the average increase in
disposal cost of five local landfill facilities.
The residential rate adjustment calculation is as follows:
CPI -U: 70% x 2.70% = 1.27% increase
Disposal Average: 30% x 4.76% = 1.43% increase
Total Rate Increase 2.70% increase
The total rate increase request is 2.70% for the residential and commercial solid waste
and 1.27% for recycling collection. The percentage increase represents a $0.29 monthly
increase for residential service from $12.22 to $12.51.
Staff recommends approval of the 2.70% rate increase.
ALLIED WASTE SERVICES
July 2G.2O13
Mr. Stan Laster
Director ofPublic Works
200 S. Main Street
Grapevine, Texas 76O51
Re: Annual Rate Increase 2O13
Dear Stan,
AlliedWaste/Republic Services would like toextend e Thank You for your business and appreciates the
opportunity to service the City of Grapevine.
Per our contract, Allied Waste/Republic Services respectfully submits for your review a new rate schedule
to become effective October 1. 2013. The contract allows for en annual rate adjustment calculation with
supporting CPI and landfill data, These rate calculations are shown on Exhibit "A" with attached Bureau of
Labor Statistics Data and Landfill Rate verified byboth parties,
�
CPI — Contract allows for an annual rate increase to be requested using the last 12 months CPI —
March 2012 — March 2013, per the attached documentation the 1,27% increase requested for the
past 12 months is calculated at 7096 of the CPI.
�
Landfill Increase — Contract language specifies five landfills to be utilized in configuring the landfill
disposal increase percentage to be requeated, the landfills have been contacted and 4 of the 5
have increased nates during the specified timeframe and the overall percentage increase is
1,4996.
w Total requested increase for 3O13 -2.7O96
Our request for the 2J096 is for residential tnaah, commercial and industrial with an increase to residential
recycling of 1.27%. Once you have had an opportunity to review this material, | will be happy to meet
with you to go over the contents in greater detail, if necessary.
Please do not hesitate to contact me at my office 817.953.7224 or my cell 817.657.3459 if you need any
additional information.
Sincerely,
Jeri =11
Municipal Services Manager
cc: Dewey Stof&sks, Environmental Services
6\00EUioitReeder Road
Fod YVodh'TX 76l|7
8l7,3327501 / FAX 8l7,8Jl
CC ITEM #11
CITY OF GRAPEVINE
EXHIBIT "A"
Consumer Price Index - Urban Wage Earners and Clerical Workers - DFW
TO AL INCREASE PROPOSED:
All Items
March, 2013 Index
216.465
March, 2012 Index
212.618
Change
3.847
% Change
1.81%
Cost Factor
70%
Net Increase
1.27%
TO AL INCREASE PROPOSED:
LANDFILL INCREASE
Gate Rate
March
2013
2012
$ Change
WMI Lewisville
$
9.20
$ 9.05
$
0.15
City of Dallas McCommas
$
21.50
$ 21.50
$
-
Turkey Creek (replaced b Itasca
$
33.02
$ 30.00
$
3.02
Farmers Branch -Camelot
$
28.90
$ 27.50
$
1.40
Arlington Landfill
$
52.00
$ 50.00
$
2.00
$
144.62
$ 138.05
$
6.57
Chane
4.76%
Cost Factor
30%
1.43%
TO AL INCREASE PROPOSED:
2.70
EXHIBIT "A"
March 2013 2012 $ Change
WMI Lewisville
All Items
March, 2013 Index
216.465
March, 2012 Index
212,618
Change
3.847
% Change
1.81%
Cost Factor
70%
Net Increase
1.27®/
March 2013 2012 $ Change
WMI Lewisville
$
9.20
$
9.05
$
0.15
Ciof Dallas McCommas
$
21.50
$
21.50
$
-
Turkey Creek (replaced by Itasca
$
33.02
$
30.00
$
3.02
Farmers Branch - Camelot
$
28.90
$
27.50
$
1.40
Arlington Landfill
$
52.00
$
50-00
$
2,00
$
1".62
$
138.05
$
6.57
Chane a =ne =
4.76%
1 Cost Factor
30%
L..II I I
ORDINANCE NO.
WHEREAS, on June 1, 1995,by passage of Ordinance No • •'
Grapevine, Texas granted Laidlawagreement to provi•-
for solid waste services for both residential and commercial customers for a ten (10) ye
•- •• d
on -p•-r 18,2001, by passage of Ordinance • it •
of Grapevine, Texas granted Laidlaw Waste Systems, Inc. an extension of the franchise
agreement to provide • • r waste services forboth residential-. • commercial
customers for one (1) additional five (5) year period, commencing on June 1, 2005; and
WHEREAS, Laidlaw Waste Systems, Inc. was renamed Trinity Waste Services,
Inc.; and
and WHEREAS, Trinity Waste Services, Inc. was renamed, Allied Waste Services Inc.;
TAEREAS, Section 12, Item 1 of the franchise agreement provides for the
establishment of residential and commercial rates on an annual basis prior to October 1 of
�tach year; •
WHEREAS, Republic Services (dba Allied Waste Services of Fort Worth, LLC) hal
-• -r a rate adjustment • be effective • October 1, 1 and
GRAPEVINE,NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY 01
TEXAS:
M6194,41 III III111f;'I Is 11M 00:1601 all
Section 2. That Chapter 25 Utilitiesand Services,Article III Solid Waste D••s.
--.-"�• �� - ed • , ." • •: - � " - • -ter • •
(a) Any houses, buildings or premises used for residential purposes, shall
have their garbage, trash and refuse removed at a monthly charge where
such collection and removal is not required in excess of twice each week,
and have its recyclable materials removed once per week with such rates
established annually by ordinance.
Monthly Charge
Single-family residential ............. ..................................................... $12.51
Single-family residence without city water service .................. ........... 12.51
Duplex................................................................................................ 25.02
Multifamily, per unit (without dumpster container) ............................. 12.51
Section 3. That Chapter 25 Utilities and Services, Article I I I Solid Waste Dispos
is hereby amended by amending Section 25-97(b), Subsections (1) through (6) to read
follows: I
"(1) Container rates:
a. Two -yard containers:
1 Dump per week .................................. ............................... $63.10
2 Dumps per week ............................... .......... ........ ....... ...... 106.35
3 Dumps per week .................................................................. 142.44
4 Dumps per week ................................. ................................ 200.28
5 Dumps per week .................................................................. 260.04
6 Dumps per week ..................................................... ...... ..... 300.78
Extrapickup .......................................... ............. ..................... 21.56
b. Three -yard container.3
1 Dump per week . ......................... ....................................... $71.74
2 Dumps per week ................ ................................................. 118.43
3 Dumps per week ........................................... .............. ....... 169.92
4 Dumps per week .............................................. ................... 226.04
5 Dumps per week ............................................. ................ ... 283.82
6 Dumps per week ..................................................... ............ 322.03
Extrapickup .............................................................................. 24.66
mz. -
1 Dump per week .................................................................. $91.03
2 Dumps per week .................................................................. 146.29
3 Dumps per week .................................................................. 204.85
4 Dumps per week .................................................................. 260.83
5 Dumps per week .................................................................. 318.30
6 Dumps per week ....................... .......................................... 348.29
Extrapickup .............................................................................. 27.76
ORD. NO. 2
EL..IIM I I
1 Dump per week .............................................. .................. $108.30
2 Dumps per week ..................................... ............................ 182.65
3 Dumps per week .................................................................. 256.57
4 Dumps per week .................. ............................................... 329.94
5 Dumps per week .................................................................. 413.73
6 Dumps per week ........................................ ........... ......... ... 479.02
7 Dumps per week ........................................ ....................... 558.85
Extrapickup .............................................................................. 30.82
1 Dump per week ....... ......................................................... $134.95
2 Dumps per week
.................................................................. 227.92
3 Dumps per week
.... ................................................... ......... 326.19
4 Dumps per week
.............. ..................... ............................. 416.97
5 Dumps per week
.................................................................. 509.08
6 Dumps per week
...... ........................................................... 580.11
7 Dumps per week
.................................................................. 676.79
Extrapickup ..............................................................................
33.90
•
2 Dumps per week ................................................................. $25.35
ExtraRoll -Carts ... ...................................................................... 5.33
1 Dump per week (not to exceed) ................ .................. ...... $15.75
ExtraRoll -Carts ...................................................................... $5.26
c. Six-yard recycle containers:
1 Dump per week ........................... ..................................... $67.40
1 Dump per week ..................................... __ ....................... $77.77
ORD. NO. 3
(4) Locks: One dollar and seventeen cents per lift.
Gates: One dollar and seventeen cents ($1.17) per lift
(5) Commercial hand -load, two (2) dumps per week: Twenty six dollars and
forty-three cents ($26.43) per month for a maximum for four (4) •. •,
containers. If more than four (4) thirty -gallon containers are necessary for
service, then customer will use commercial garbage container(s).
(6) Open top construction and demolition containers:
a. Delivery fee ..................................... ........................................... $ 99.87
b. Daily rental fee ..... ............................................... ......................... $4.24
c. Haul .......... .......... _ ..................................................................... $181.16
d. Disposal:
Loose ...................................................................... $6.01 /cubic yard
Compacted ............................ ............................... . $8.46/cubic yard
e. Deposit ................... ........ .......... ........................................... $291.59
Billing for open -top construction containers will be performed by the
contractor. The City will establish such rates annually by ordinance."
Section 4. That Chapter25 Utilities and Services, Article III Solid Waste Dispos
is hereby amended by amending Section 25-97(c), to read as follows: i
"(c) Collecting and removing of recyclables from multifamily (apartment) complexes
will be performed [by] contractor at least once each week. Every apartment
complex will be assessed a per unit monthly fee with such rates established
annually by ordinance.
Monthly apartment recycling fee ....... ................ ............................. $0.98"
Section 5. If any section, article, paragraph, sentence, clause, phrase or word in
this ordinance, or application thereto any person or circumstances is held invalid or
unconstitutional by a Court of competent jurisdiction, such holding shall not affect the
validity of the remaining portions of the ordinance; and the City Council hereby declares it
would have passed such remaining portions of the ordinance despite such invalidity, which
remaining portions shall remain in full force and effect.
Section 6. The fact that the present ordinances and regulations of the City of
Grapevine, Texas are inadequate to properly safeguard the health, safety, morals, peace
and general welfare of the inhabitants of the City of Grapevine, Texas, creates an
emergency for the immediate preservation of the public business, property, health, safety
?%1, Sexer?l weft:-ar#f tXe,#,L!!0c wLkir.X reltvires tX,.�t tXis#4iAi,.,?%ce-A, 2,11 �iec,#nme exectiYe
from and after the date of its passage, and it is accordingly so ordained,
Section 7. That the effective date of this rate adjustment will be October 1, 2013.
ORD. NO. 4
PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF
GRAPEVINE, TEXAS on this the 6th day of August, 2013.
ORD. NO. 5