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HomeMy WebLinkAboutItem 13 - Solid Waste MEMO TO: HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL FROM: BRUNO RUMBELOW, CITY MANAGER ''- MEETING DATE: SEPTEMBER 4, 2012 SUBJECT: SOLID WASTE AND RECYCLING CPI-U RATE ADJUSTMENT RECOMMENDATION: City Council consider adopting an ordinance adjusting the current commercial and residential solid waste and recycling collection rates for Allied Waste Services based on the Consumer Price Index increase and take any necessary action. BACKGROUND: City Council granted Allied Waste Services (Allied) 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. Allied has submitted a rate adjustment effective October 1, 2012. Allied did not submit a rate adjustment in 2011. 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 (April 1 — March 30). The disposal component is adjusted by the average increase in disposal cost of five local landfills. There is no disposal increase in this submittal. The residential rate adjustment calculation is as follows: CPI-U: 70% x 2.73% = 1.91% Disposal Average: 30% x 0% = 0% Total Rate Increase: 1.91% increase The total rate increase is 1.91% for the residential and commercial solid waste and recycling collection. This percentage increase represents a $0.17 monthly increase for residential service from $11.09 to $11.26. This rate increase is independent of any cost increase that may arise from recycling conversion to wheeled carts if approved in the future. Staff recommends approval of the 1.91% rate increase. CITY OF GRAPEVINE EXHIBIT "A" CPI- INCREASE - CUMMA316SA0 Consumer Price Index-Urban Waae Earners and Clerical Workers-DI-W All Items March, 2012 Index 212.618 March,2011 Index 206.967 Change 5.651 %Change 2.73% Cost Factor 70% Net increase 1.91% INCREASE LANDFILL Gate Rate March 2012 2011 $Change WMl Lewisville $ 8.95 $ 8.95 $ - City of Dallas McCommas $ 21.50 $ 21.50 $ - Turkey Creek(replaced by Itasc $ 24.50 $ 24.50 $ - Farmers Branch-Camelot $ 26.50 1 26.50 $ - Arlin tan Landfill $ 50.00 $ 50.00 $ - $ 131.45 $ 131.45 $ - %Change 0.00% Cost Factor 30% 0.00% TOTAL INCREASE PROPOSED: 1.91%6 ORDINANCE NO. AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS AMENDING THE GRAPEVINE CODE OF ORDINANCES, CHAPTER 25 UTILITIES AND SERVICES, ARTICLE III SOLID WASTE DISPOSAL, SECTION 25-97 SERVICE RATES--SCHEDULES; PROVIDING A SEVERABILITY CLAUSE; DECLARING AN EMERGENCY AND PROVIDING AN EFFECTIVE DATE WHEREAS, on June 1, 1995, by passage of Ordinance No. 95-35 the City of Grapevine, Texas granted Laidlaw Waste Systems, Inc. a franchise agreement to provide solid waste services for both residential and commercial customers for a ten (10) year period; and WHEREAS, on September 18, 2001, by passage of Ordinance No.2001-67 the City of Grapevine, Texas granted Laidlaw Waste Systems, Inc. an extension of the franchise agreement to provide solid waste services for both residential and 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 WHEREAS, Trinity Waste Services, Inc. was renamed, Allied Waste Services Inc.; and WHEREAS,Allied Waste Services Inc.was renamed,Allied Waste Services of Fort Worth, LLC.; and WHEREAS, on July 20, 2010, by passage of Ordinance No. 2010-30 the City of Grapevine, Texas granted Allied Waste Services of Fort Worth, LLC. an extension of the franchise agreement to provide solid waste services for both residential and commercial customers for one (1)additional five (5)year period, commencing on August 1, 2010; and WHEREAS, 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 each year; and WHEREAS, Allied Waste Services of Fort Worth LLC., has requested a rate adjustment to be effective on October 1, 2012; and WHEREAS, the City Council desires to increase the rates for collecting and removing garbage, recycling, refuse and trash and other solid waste by amending Chapter 25 Utilities and Services, Article III, Solid Waste Disposal, Section 25-97 of the Code of Ordinances of the City of Grapevine, Texas. NOW,THEREFORE, BE IT ORDAINED BYTHE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS: Section 1. That the above premises are found to be true and correct and are incorporated into the body of this ordinance as if copied in their entirety. Section 2. That Chapter 25 Utilities and Services, Article III, Solid Waste Disposal, is hereby amended by amending Section 25-97(a) in its entirety to read as follows: "Sec. 25-97. Service rates-schedules. (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 ...................................................................$ 11.26 Single-family residence without city water service...............................11.26 Duplex.................................................................................................22.52 Multifamily, per unit (without dumpster container)............................. 11.26" Section 3. That Chapter 25 Utilities and Services, Article III, Solid Waste Disposal, is hereby amended by amending Section 25-97(b), Subsections(1)through (6)to read as follows: °(1) Container rates: a. Two-yard containers: 1 Dump per week ..................................................................$ 61.44 2 Dumps per week..................................................................103.55 3 Dumps per week..................................................................138.70 4 Dumps per week..................................................................195.01 5 Dumps per week..................................................................253.20 6 Dumps per week..................................................................292.87 Extrapickup..............................................................................20.99 b. Three-yard containers: 1 Dump per week ..................................................................$ 69.85 2 Dumps per week..................................................................11 5.32 3 Dumps per week..................................................................165.45 4 Dumps per week..................................................................220.10 ORD. NO. 2 5 Dumps per week..................................................................276.36 6 Dumps per week..................................................................313.56 Extrapickup..............................................................................24.01 c. Four-yard containers: 1 Dump per week ..................................................................$ 88.64 2 Dumps per week..................................................................142.44 3 Dumps per week..................................................................199.46 4 Dumps per week..................................................................253.97 5 Dumps per week..................................................................309.93 6 Dumps per week..................................................................339.13 Extrapickup..............................................................................27.03 . Six-yard containers: Dumpper week ................................................................$ 105.45 2 Dumps per week..................................................................177.85 3 Dumps per week..................................................................249.82 4 Dumps per week..................................................................321.27 5 Dumps per week..................................................................402.85 6 Dumps per week..................................................................466.43 Extrapickup..............................................................................30.01 e. Eight-yard containers: Dumpper week ................................................................$ 131.40 2 Dumps per week..................................................................221.93 3 Dumps per week..................................................................317.61 4 Dumps per week..................................................................406.01 5 Dumps per week..................................................................495.70 6 Dumps per week..................................................................564.86 Extrapickup..............................................................................33.01 (2) Recycling Containers: a. Cardboard only containers: 1 Dump per week (not to exceed)..........................................$ 36.64 b. Roll-Cart Recycle containers: 1 Dump per week ..................................................................$ 15.55 Extra roll-carts.............................................................................5.19 c. Roll-Cart recycle containers (Main Street): ORD. NO. 3 2 Dumps per week.................................................................$ 24.68 Extra roll-carts.............................................................................5.19 CartPurchase.............................................................................9.43 d. Six-yard recycle containers: 1 Dump per week ..................................................................$ 67.40 e. Eight-yard recycle containers: Dumpper week ..................................................................$ 77.77 (3) Casters: Six dollars and forty-nine cents ($6.49) per month additional. (4) Locks: One dollar and fourteen cents ($1.14) per lift. Gates: One dollar and fourteen cents ($1.14) per lift (5) Commercial hand-load, two (2) dumps per week: Twenty-five dollars and seventy-four cents ($25.74) per month for a maximum for four (4) thirty- gallon containers. If more than four(4)thirty-gallon containers are necessary for service, then customer will use commercial garbage container(s). (6) Open top construction and demolition containers: a. Delivery fee .................................................................................$ 97.24 b. Daily rental fee ..............................................................................$ 4.13 c. Haul ...........................................................................................$ 176.40 d. Disposal: Loose..................................................................... $ 5.851cubic yard Compacted ............................................................ $ 8.79/cubic yard e. Deposit......................................................................................$ 283.92 f. Billing for open-top construction contaihers will be performed by the contractor. The City will establish such rates annually by ordinance." Section 4. That Chapter 25 Utilities and Services,Article III Solid Waste Disposal is amended by amending Section 25-97(c), to read as follows: "(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...$ 0.97" ORD. NO. 4 Section 5. That 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. That the effective date of this rate adjustment will be October 1,2012. Section 7. That 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 and general welfare of the public which requires that this ordinance shall become effective from and after the date of its passage, and it is accordingly so ordained. PASSED AND APPROVED BY THE CITY COUNCIL OF THE CITY OF GRAPEVINE, TEXAS on this the 4th day of September, 2012. APPROVED: ATTEST: APPROVED AS TO FORM: ORD. NO. 5