Item Coversheet

Item Number 16.

  

City Council 
Staff Report


Subject:

Intent to Amend the Solid Waste Collection Service Rates Within  the City of Rocklin and Setting a Public Hearing Thereon



Date:May 12, 2020


Submitted By:Justin Nartker, Public Services Director


Department:Public Services

Staff Recommendation:

Adopt a Resolution of the City Council of the City of Rocklin of Intent to Amend the Solid Waste Collection Service Rates Within the Incorporated Limits of the City of Rocklin, and Setting a Public Hearing Thereon.


BACKGROUND:

Recology Auburn Placer has a Franchise Agreement for Solid Waste Handling Services with the City that allows for a yearly Cost of Living Adjustment (Reso. No. 2009-81).  Section 4.5 of the Franchise Agreement provides for the Council to approve COLA increases. Recology approached the City with a request for a Cost of Living Adjustment (C.O.L.A.) that consists of a Cost of Living Increase and the pass through of the Landfill Rate increase for a total average increase of 4.42%.

 

Recology has been Rocklin’s solid waste provider since 1979.  They operate under a franchise agreement originally granted by the City in 1979 and extended in 1999.  In 2009 Recology was granted a new and revised franchise agreement in which they may apply for a yearly C.O.L.A. rate adjustment.  There are procedures necessary for a solid waste fee increase in order to comply with Proposition 218.   Refuse collection services are not subject to voter approval, but are subject to the notice, hearing and majority protest procedures set forth in the California Constitution Article XIIID, section 6(a).  Typically, a hearing has been held on an annual basis resulting in a small increase to rates for the Rocklin residents.

 

Recology Auburn Placer rates compare favorably with neighboring communities in our region, especially when considering the expanded service Rocklin residents receive.  Beyond the normal weekly trash service, Rocklin residents receive green waste pickup; street sweeping; curbside e-waste recycling; Spring cleanup; cardboard recycling and dead animal pickup; all at no additional cost to their monthly rate.

 

Collection Rate Table - Past Years

 

Year

Date

Reso

COLA %

Ave %

32Gallon Rate

2019

04/23/2019

2019-81

3%

1.89%

13.86

2018

-

-

0%

0%

13.61

2017

08/08/2017

2017-183

2.40%

1.45%

13.61

2016

-

-

0%

0%

13.43

2015

-

-

0%

0%

13.43

2014

07/22/2014

2014-167

1%

0.60%

13.43

2013

07/23/2013

2013-171

1%

0.60%

13.41

2012

03/13/2012

2012-50

4%

2.34

13.33

 

 

Collection Rate Table - Current Year

 

 

Container

Base Rate (Monthly)

Disposal

Franchise Fee

Total

+ or -

Current Rate

1 - 32 Gallon Can

7.24

5.23

1.39

13.86

 

Proposed Rate*

 

7.49

5.54

1.45

14.48

+0.62

Current Rate

Toter Total

12.48

10.47

2.55

25.50

 

Proposed Rate*

 

12.91

11.07

2.66

26.64

+1.14

Current Rate

Unlimited Toter

17.09

13.46

3.39

33.94

 

Proposed Rate*

 

17.68

14.24

3.55

35.47

+1.53

Current Rate

Sr. Unlimited Toter

9.00

13.46

2.50

24.96

 

Proposed Rate*

 

9.31

14.24

2.62

26.17

+1.21

Current Rate

1 Yd - 1 x Week

62.95

22.43

9.48

94.87

 

Proposed Rate*

 

65.12

23.73

9.87

98.72

+3.85

Current Rate

1 Yd - 4 x Week

186.85

89.70

30.73

307.28

 

Proposed Rate*

 

193.29

94.90

32.02

320.21

+12.93

Current Rate

4 Yd - 1 x Week

186.85

89.70

30.73

307.28

 

Proposed Rate*

 

193.29

94.90

32.02

320.21

+12.93

 

* Cost projections are based on the overall 4.42% adjustment which includes the Cost of Living Increase and the landfill rate increase identified in the Disposal portion of the fee.  Rates provided above are a sampling of the multiple rates provided within the Franchise Agreement.


Fiscal Impact:

This will impact the average end user approximately 4.42% over their current monthly service bill and has no direct impact to the City.


ATTACHMENTS:
Description
Resolution A
Resolution A - Exhibit A
The ACM/CFO has reviewed this staff report and certifies that budgeted funds are available, unless a budget amendment is being requested as part of this action item.