HomeMy WebLinkAbout11/20/2007, PH3 - SAN LUIS GARBAGE COMPANY INTERIM YEAR SOLID WASTE RATE ADJUSTMENT APPLICATION. council /I-A0- 07
j agcnaa RepoRt �N
C I T Y OF SAN LU IS O B I S P O
FROM: John Moss, Utilities Director
Prepared By: Ron Munds, Utilities Conse 'on Coordinatoq
SUBJECT: SAN LUIS GARBAGE COMPANY INTERIM YEAR SOLID WASTE
RATE ADJUSTMENT APPLICATION.
CAO RECOMMENDATION
Adopt a resolution increasing solid waste rates by 1.96% for interim year 2008 to become
effective on January 1, 2008.
DISCUSSION
Background
On October 15, 2007 San Luis Garbage Company (SLG) submitted to the City interim year solid
waste rate adjustment applications (Attachment 2) for the year 2008 along with the other required
submittals. The City's Rate Setting Manual for Setting Integrated Solid Waste Rates, adopted by
the Council in 1994, provides a process and schedule for rate application review and binds the
contractor and the City to a method of determining revenue adequacy. Under this methodology,
base year applications are prepared every third year, which for the current cycle was 2007. Base
year applications.require a detailed submittal and review of past, current and future operating
expenses. Less detailed interim year applications, such as the one presented in this report, are
required in year two and three of the cycle, and are intended to adjust only for the prior year's
cost-of-living increase, and any changes to the estimated landfill tipping costs.
Key Factors in 2008 Application
Tipping fees
The change between the 2007 tipping fees and the estimated 2008 tipping fees (which is a pass
through cost) decreases by about $35,000.00. The decrease can be attributed to a decrease in
commercial garbage going to the landfill.
Consumer Price Index (CPI)
The figure used to factor inflation into increases in solid waste rates is the Consumer Price Index
for Urban Consumers. The previous twelve month CPI is used to determine the weighted
average change in controllable costs in the rate adjustment application being considered. The
CPI from September 2007 to September 2008 of 2.8% is used for the 2008 application.
Council Agenda Report—Solid Waste Rate Adjustment
Page 2
Other Factors—Pass Through Costs
Pass through costs, such as the AB 939 fee and franchise fee which are based on a percentage of
gross revenue, represent a small percentage of the recommended rate increase.
Staff analysis has determined that the adoption of the 2008 rates as recommended will ensure
SLG the necessary operating revenues, including profit, within the prescribed levels set by the
solid waste rate setting policies.
New SLO County Integrated Waste Management Authority (IWMA)Fee
On September 12, 2007, the IW IA Board voted unanimously to implement a new fee, effective
January 1, 2008, on all solid waste and recycling collection service in the county. The purpose of
the fee is to help offset the rising cost associated with the household hazardous waste facilities
located throughout the county. Historically, the IWMA has been funded through a $3.00 per ton
tipping fee collected at the areas three landfills. For the past several years the IWMA has
experienced a decline in revenues because more waste is being recycled and less is being buried
at the landfills. This situation has created budgetary problems for the organization. Additional
information is provided in Attachment 3, a letter from the IWMA which explains the budget
situation and the fee. State law and the Joint Powers Agreement the City entered into to create
the IWMA grants them authority to assess the fee. Approval by the City Council is not needed or
required. The fee is $0.30 per month per residential customer and 2% of the gross revenue
collected from commercial customers. The amount will be identified on the customer's bill as a
separate IWMA fee, and is not included in the rate increase identified above.
Survey of Solid Waste Services and Rates—Other Cities
As part of the rate setting process, SLG is required to conduct and report the results of a survey
of residential and non-residential solid waste rates in communities similar in size and location to
the City of San Luis Obispo. The purpose of the survey is to benchmark rates proposed by SLG
against other cities to determine if the rates are reasonable. Attachment 4 shows the results of the
survey and the survey forms submitted by SLG.
It is important to note that there are many variables that make up the solid waste rates in different
communities. The variables include franchise fees, AB 939 fees, tipping fees and levels of
service (i.e. curbside recycling, green waste collection, etc.). Because of the variability of
factors, it is difficult to compare rates from other jurisdictions on an "apples to apples" basis.
Taking this information into account, the survey indicates that the current rates charged by SLG
are in the mid-range of cost when compared to other local jurisdictions.. When compared to
comparable agencies located in other areas of the state, SLG's rates are significantly less. Based
on the overall comparison, the rates charged by SLG seem to be reasonable. In the City the
services reflected in the rates include weekly-automated refuse collection (at a prescribed level),
curbside recycling service (64 gallon container provided) and curbside green waste recycling (96
gallon container provided). Rates are set according to the level of refuse service requested by the
customer.
3
Council Agenda Report—Solid Waste Rate Adjustment
Page 3
FISCAL IMPACT
The proposed single family residential rates are as follows:
Residential Solid Waste Services/Rates (not including the IWMA Fee)
Service Level Current Proposed
Service Rate Service Rate
Mini-can $7.10/month $7.24/month
(19 gallon)
Economy $11.36/month $11.58/month
(32 gallon waste wheeler)
Standard $22.72/month $23.16/month
(64 gaHon waste wheeler)
Premium $34.08/month $34.75/month
(96 gallon waste wheeler)
Commercial Solid Waste Services
As identified in Exhibit A to Attachment 1.
ATTACHMENTS
1. Resolution and Exhibit A -Rate Schedule for Integrated Solid Waste Activities
2. 2008 Interim Year Rate Application
3. IWMA Letter and Resolution
4. Survey of Other Cities - Solid Waste Rate
3_2
Attachment 1
RESOLUTION NO. (2007 SERIES)
A RESOLUTION OF THE COUNCIL
OF THE CITY OF SAN LUIS OBISPO
ESTABLISHING INTEGRATED SOLID WASTE RATES
WHEREAS, on June 21, 1994, the City Council of the City of San Luis Obispo approved
the Rate Setting Manual Process and Methodology Manual for Integrated Solid Waste
Management Rates; and
WHEREAS, a review of San Luis Garbage Company's 2008 interim year solid waste rate
application has been completed in accordance with the adopted solid waste rate setting policies.
NOW,THEREFORE, BE IT RESOLVED by the Council of the City of San Luis Obispo
as follows:
SECTION 1. Resolution No. 9877 (2007 series) is hereby rescinded as of 11:59 p.m.,
December 31, 2007.
SECTION 2. The rates set forth in Exhibit A shall be effective January 1, 2008.
On motion of seconded by
and on the following roll call vote:
AYES:
NOES:
ABSENT:
The foregoing Resolution was adopted on this day of 12007.
ATTEST: Mayor David F. Romero
City Clerk Audrey Hooper
APPROVED AS TO FORM:
ty Mey Jonathan Lowell
CITY OF SAN LUIS OBISPO EXHIBIT A
1.96%AVERAGE ACROSS THE BOARD INCREASE
FOR INTEGRATED SOLID WASTE ACTIVITIES
EFFECTIVE 1-1-2008
MULTI-UNIT RESIDENTIAL DUMPSTER CONTAINERS(PER MONTH)
Size of COLLECTIONS PER WEEK
container
cubicYards) 1 2 3 4 5 6 7
1 $ 83.61 $ 121.77 $ 159.88 $ 198.03 $ 236.17 $ 274.27 $ 312.42
1.5 $ 96.81 $ 149.61 $ 202.421 $ 255.21 $ 308.02 $ 360.81 $ 413.63
2 $ 110.00 $ 176.01 $ 242.01 $ 308.01 $ 374.02 $ 440.00 $ 506.00
3 $ 136.39 $ 228.82 $ 321.21 $ 413.63 $ 506.03 $ 598.44 $ 690.85
4 $ 162.80 $ 283.08 $ 403.38 $ 523.66 $ 643.94 $ 764.24 $ 884.54
6 1 $ 215.58 $ 390.14 $ 564.71 1 $ 739.26 $ 913.84 $ 1,088.38 $ 1,262.95
The rates shown above include the monthly container rental fee and are the same for bins
and garwoods,when volume is identical.
COMMERCIAL GARBAGE CANS(PER MONTH)
number COLLECTIONS PER WEEK
of
cans 1 2 3 4 5 6 7
1 $ 20.54 $ 32.25 $ 44.00 $ 55.72 $ 67.45 $ 79.17 $ 90.89
2 $ 26.40 $ 41.08 $ 55.74 $ 70.40 $ 85.10 $ 99.75 $ 114.41
3 $ 32.27 $ 49.90 $ 67.49 $ 85.13 $ 102.71 $ 120.32 $ 137.94
4 $ 38.15 $ 58.69 $ 79.21 $ 99.76 $ 120.30 $ 140.85 $ 161.37
5 $ 44.02 $ 67.48 $ 90.95 $ 114.41 $ 137.90 $ 161.35 $ 184.82
6 $ 49.90 $ 76.28 $ 102.67 $ 129.08 $ 155.46 $ 181.88 $ 208.26
7 $ 55.75 $ 85.12 $ 114.42 $ 143.77 $ 173.11 $ 202.45 $ 231.78
8 $ 61.63 $ 93.92 $ 126.20 $ 158.46 $ 190.76 $ 223.04 $ 255.31
9 $ 67.491 $ 102.70 $ 137.92 $ 173.12 $ 208.32 1 $ 243.531 $ 278.74
Maximum volume and weight per garbage can:35 allons and 80 pounds
Additional charge per can per collection: $ 6.31
Sunday service $ 51.35 per month in addition to garbage service monthly cost
Proposed Rate Schedule for Integrated Solid Waste Services effective 1-1-2008
3��
OCHIBIT
CITY OF SAN LUIS OBISPO
COMMERCIAL 96 GALLON WASTE WHEELER CONTAINERS PER MONTH
number COLLECTIONS PER WEEK
of
containers 1 2 3 4 5 6 7
1 $ 36.61 $ 58.621 $ 80.63 $ 102.63 $ 124.66 $ 146.64 $ 168.67
2 $ 60.02 $ 92.26 S 124.53 $ 156.79 $ 189.06 $ 221.31 $ 253.61
3 $ 83.42 $ 125.94 S 168.48 $ 211.02 $ 253.56 $ 296.07 $ 338.61
4 $ 106.81 $ 159.61 S 212.43 $ 265.22 $ 318.03 $ 370.81 $ 423.65
5 $ 130.21 $ 193.31 $ 256.36 $ 319.45 $ 382.51 $ 445:59 $ 508.66
6 $ 153.62 $ 226.97 S 300.31 $ 373.64 $ 446.98 $ 520.36 $ 593.67
7 $ 177.03 $ 260.64 $ 344.25 $ 427.86 $ 511.48 $ 595.09 $ 678.70
8 $ 200.43 $ 294.32 $ 388.18 $ 482.07 $ 575.95 $ 669.84 $ 763.71
9 $ 223.84 $ 327.97 $ 432.12 $ 536.25 $ 640.39 $ 744.52 $ 848.64
COMMERCIAL DUMPSTER CONTAINERS PER MONTH
Size of
container COLLECTIONS PER WEEK
cubicyards) 1 2 3 4 5 6 7
1 $ 73.34 $ 102.67 $ 132.02 1 $ 161.35 $ 190.67 $ 220.02 $ 249.37
1.5 $ 82.14 $ 120.26 $ 158.39 $ 196.54 $ 234.67 $ 272.81 $ 310.95
2 $ 90.94 $ 136.40 $ 181.90 $ 227.37 $ 272.84 $ 318.31 $ 363.79
3 $ 108.54 $ 171.60 $ 234.67 $ 297.74 $ 360.81 $ 423.89 $ 486.97
4 $ 126.12 $ 208.27 $ 290.39 $ 372.56 $ 454.68 $ 536.82 $ 618.98
6 $ 161.32 $ 277.21 $ 393.10 $ 508.99 $ 624.88 $ 740.76 $ 856.67
8 $ 196.51 $ 346.14 $ 495.76 $ 645.39 $ 795.01 $ 944.64 $ 1,094.27
The rates shown above include the monthly container rental fee and are the same for bins
and garwoods,when volume is identical.
Sunday service S 51.35 per month in addition to garbage service monthly cost
UNSCHEDULED EXTRA COLLECTIONS FOR
COMMERCIAL CUSTOMERS AND
MULTI-UNIT RESIDENTIAL DUMPSTER CUSTOMERS
$ 33.75 1 cubic yard(minimum charge)
$ 44.01 2 cubic yards
$ 54.28 3 cubic yards
$ 64.54 4 cubic yards
Proposed Rate Schedule for Integrated Solid Waste Services effective 1-1-2008
3-`-t'
=xHiB'T tl -
CITY OF SAN LUIS OBISPO
SINGLE FAMILY and MULTI-UNIT RESIDENTIAL(4 units or less)
VOLUME-BASED RATES DESIGNED
AUTOMATED SERVICE MANUAL SERVICE
(detemined by city staff)
MINI-CAN SERVICE
$ 7.24 1 per month for one 19 gallon wastewheeler container collected once each week
ECONOMY RATE
$ 11.58 per month for one 32 gallon wastewheeler container collected once each week
STANDARD RATE
$ 23.16 per month for one 64 gallon wastewheeler container collected once each week
PREMIUM RATE
$ 34.74 per month for one 96 gallon wastewheeler container collected once each week $ 56.86
PREMIUM PLUS RATE
$ 10.55 per month for additional 32 gallon wastewheeler container collected once each week $ 17.27
$ 21.12 per month for additional 64 gallon wastewheeler container collected once each week $ 34.55
$ 31.68 per month for additional 96 gallon wastewheeler container collected once each week $ 51.84
per month for vacation (less 17.8%disposal)
SERVICE-AWAY FROM THE STREET CURB
$ 7.90 additional per month per can or container
LATE MAKEUP COLLECTIONS WITH GARBAGE TRUCK(phone call required)
$ 11.75 per trip plus charges identified above for any extra containers or equivalent volume
$ 5.80 additional charge per 33 gallon can or equivalent volume per collection
EXTRA COLLECTIONS WITH PICKUP OR FLATBED TRUCK hone call required)
$ 17.62 per trip plus:
$ 5.80 per garbage can or equivalent volume(amounts over six cans by quotation)
$ 4.39 per white good article(once a month,residential customers only)
$ 4.39 per piece of Iumiture(residential customers only)
$ 4.39 per mattress or boxs rin residential customers only)
Proposed Rate Schedule for Integrated Solid Waste Services effective 1-1-2008
r EXHIBIT ,
CITY OF SAN LUIS OBISPO
RATE SCHEDULE
FOR COMMERCIAL RECYCLING ACTIVITIES
COMMINGLED RECYCLING COLLECTION
COMMERCIAL DUMPSTER CONTAINERS(PER MONTH)
Size of
container COLLECTIONS PER WEEK
cubic anis 1 2 3 4 5 6 7
1 INCLUDED $ 25.66 $ 33.00 $ 40.34 $ 47.67 $ 55.02 1 $ 62.33
1.5 INCLUDED $ 30.07 $ 39.59 $ 49.12 $ 58.66 $ 68.191 $ 77.74
2 INCLUDED $ 34.10 $ 45.46 $ 56.84 $ 68.20 $ 79.58 $ 90.95
3 INCLUDED $ 42.90 $ 58.66 $ 74.44_ $ 90.20 $ 105.98 $ 121.74
4 INCLUDED $ 52.09 $ 72.61 $ 93.13 $ 113.67 $ 134.22 $ 154.73
6 INCLUDED $ 69.30 $ 98.28 $ 127.26 $ 156.24 $ 185.18 $ 214.17
8 INCLUDED $ 86.52 $ 123.96 $ 161.35 $ 198.75 $ 236.18 $ 273.57
The rates shown above include the monthly container rental fee and are the same for bins
and garwoods,when volume is identical.
WHITE OFFICE PAPER COLLECTION
White office paper can be commingled with other recycling in your blue waste wheeler.
In office collection of white/colored paper is available at $ 49.62 per hour
POLYSTYRENE'COLLECTION
Polystyrene is no longer collected for recycling. It should be thrown away as trash.
However rigid#6 is recyclable(plastic beer cups,clear plastic wine glasses,etc.)
Proposed Rate Schedule for Integrated Solid Waste Services effective 1-1-2008
1
Attachment 2
City of San Luis Obispo
Interim Year Rate Adjustment Application
Ttey,u�te�i<ncrsase
1. Rate Increase Requested
hate.......5heuk
Current Increased Adjustment New
Rate Schedule Rate Rate (a) Rate
Single Family Residential
2. Mini-Can Service $7.10 $7.24
3. Economy Service $11.36 $11.58 $11.58
4. Standard Service $22.72 $23.16 1 6
5. Premium Service $34.08 $34.75 $0.01 $34.74
5.b. Multiunit Residential and Non-resin Rate increases of 1.96%
will be applied to all noes in each structure
with each rate rounded up to the nearest$0.01
To the best of my knowledge,the data and information in this application is complete,accurate,and consistent with the instructions
provided by the City of San Luis Obispo.
Name:TOM MARTIN Title: Controller
Signature: Date: 10/17/07
Fiscal Year. 1-1-2008 to 12-31-2008 Pg 1 of 2
3--9
ATTACHMENT 2
City of San Luis Obispo - OCTOBER 2007
Interim Year Rate Adjustment Application
Financial Information
5ect11en.T base Ycsr gists:: .. .
Base Year Controllable Costs
6. Total Allowable Costs $5,132,458
7. Plus Allowable Operating Profit $386,314
S. Plus Lease Payments to Affiliated Companies $0
9. Equals Total Controllable costs $5,518,772 79.1
Base Year Pass Through Costs
10. Tipping Fees $1,334429
11. Plus AB 939 and Regulatory Fees $128,000
12. Equals Total Pass Through Costs $1,462,429 20.9%
13. Base Year Revenue Requirements(less Franchise Fee) $6,981,2011
ut fasts....:.
Change in Controllable Cost
14. Historical Percentage Change in Consumer Price Index 2.8%
Change in Pass Through Cost
15. Interim 2007 Tipping Fees $1,334,429
16. Plus Interim 2007 AB939 Fees $128,000
17. Equals Total Base Year Pass Through Costs $1,462,429
18 Projected Interim Year 2008 Tipping Fees $1,299,025
19. Projected Interim Year 2008 AB939 Fees $131,840
20. Equals Total Projected Interim Year Pass Through costs $1,430 865
21. Projected Percentage Change in Pass Through Costs
Seco ::Til-Catcat[utw Of +erceatatkgc to Rues
Weighted Change in Controllable Costs
22. Controllable Costs as a Percent of Base Year Revenue Requirement 79.1
23. Multiplie Percent change in CPI 2,g%
24. Equals Weighted Percent Change in Controllable Costs
Weighted Change in Pass Through Costs
25. Pass Through Costs as a Percent of Base Yr Revenue Requirements
26. Multiplie Percent Change in Pass Through Costs
27. Equals Weighted Percent Change in Pass Through Costs
Total Change
28. Total Percent Change in Cost(Line 24+Line 27+Line 28)
29. Divided Adjustment for Franchise Fee(1-6.0 percent)
30. Equals Percent change in Existing Rates
Fiscal Year. 1-1-2008 to 12-31-2008 Page 2 of 2
3 - 10
Bureau of Labor Statistics Data_ Page 1 of 1
ATTACHMENT 2 -
�� .,., U.S. Department
of Labor
Bureau of Labor
Statistics
�•r
Bureau of Labor Statistics Data
www.bls.9ov❑ Advanced Search I A-2 Index
BLS Home I Programs&Surveys ( Get Detailed Statistics ( Glossary What's New I Find It! In DOL
Change
Output From: 1997 To: 2007 11]
Options:
r include graphs NEWT More Formatting Options,y►
Data extracted on: October 17, 2007 (7:05:58 PM)
Consumer.Price Index - All Urban Consumers
12 Months Percent Change
Series Id: CUUROOOOSAO
Not Seasonally Adjusted
Area: U.S. city average
Item: All items
Base Period: " 1982-84=100
Year Sep
1997 2.2
1998 1.5-
1999 2.6
2000115
2001 2.6
2002 1.5
2003 2.3
2004 2.5
20054.7
2006 2.1
2007 2.8
Frequently Asked Questions I Freedom of Information Act i Customer Survey
Privacy &Security Statement I Linking to Our Site I Accessibility
U.S. Bureau of Labor Statistics Phone: (202)691-5200
Postal Square Building Do you have a Data question?
2 Massachusetts Ave., NE Do you have a Technical (web)question?
Washington, DC 20212-0001 Do you have Other comments?
http://data.bls.gov/PDQ/servlet/SurveyOutputServlet 10/17/2007
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Attachment 3
_........ . .. ..... .. .....,.. --- _.. .... ..... _.._... . .. .
San Luis Obispo County
Integrated Waste Management Authority
JWMA BOARD MEMBERS
Jerry Lenthall. President
San Luis Obispo County : September 18,2007
Christine Mulholland. Vice President
City of San Luis Obispo
Ed Arnold. : City of San Luis Obispo
City of Arroyo Grande Mr.Ken Hampian,City Manager
990 Palm Street
Ellen Beraud. : San Luis Obispo, CA.93401-3249
City of Atascadero
Gwdt Ashton.
Subject: Solid Waste Management Fee
City of Grover Beach
D /r�ampian:
Melody DeMeritt.
City of Morro Bay At the IWMA Board Meeting on September 12,the IWMA.Board voted
unanimously to implement an AB 939 fee on all solid waste and recycling
John Harron, collection service. Effective January 1 2008 any Company com an which has a
City of Paso Robles �' �
solid waste and recycling franchise agreement will collect from residential
'red Ehring. customers a fee of 30 cents per month and from commercial customers a
City of Pismo Beach ; fee equal to 2 percent of the monthly bill. The company will pay this fee
to the IWMA. For more details on this fee and when payment is due,
Luis
b i po Count please see the attached resolution.
San Luis Obispo County :
Bruce Gibson, Background
San Luis Obispo County ; For the last several years,IWMA expenses have exceeded IWMA
revenues. The IWMA.has used its surplus to offset the shortfall,but the
Ham owtt. :
San Luis Obispo County surplus is essentially gone.
;
Jim Patterson. : The primary source of revenue for the IWMA is a$3.00 per ton surcharge
San Luis Obispo County on garbage disposed of at the local landfills. This surcharge was
implemented in 1991 and has not changed for the last 16 years. With the
Dave Brooks, : reduction in the amount of waste being landfilled,the revenue has
Authorized Districts
decreased.
Bill Worrell, Manager
Carolyn Goodrich, Secretary '
Peter Cron. Staff Analyst Since 1997,the IWMA has built anoperates erates five household hazardous
Raymond A. Biering. Counsel : waste facilities. Each year the amount of household hazardous waste has
increased and currently exceeds 600,000 pounds per year. This year more
San Luis Obissppo,, CCA 93401
8Street than 50 percent of the IWMA's revenue will be needed to offset the cost of
A �
operating the household hazardous waste program. The cost to operate
805/782.8530 : this program was not anticipated when the tip fee surcharge was
FAX 805/782-8529 established in 1991.
E-mail: iwma@iwma.com
Recycling, Compost Zd Haz.
Waste Info. 800/400-0811
School Programs Information ;
805/782-8424
®Printed on 10096 ngyckd(10096 pasr.consumer)paper
3 - fes
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_ N
............ .. -..... ......,....-......,
ATTAcHMEMT 3
City of San Luis Obispo
September 18,2007
Page 2
Beginning with our March Board Meeting,the IWMA Board looked at six alternatives to either
increase revenues or decrease expenses. Based on the review of the alternatives,the Board
approved the above-mentioned fee increase.
Necessary Action
The AB 939 fee is effective on January 1,2008: The IWMA considers this fee a pass through
cost in that neither the jurisdiction nor the company will receive any financial gain. Based on
your specific franchise agreement,you may or may not.need to take a formal action to implement
this increase as a pass through. If your attorney has any questions regarding your specific
situation,please feel free to contact IWMA's attorney,Ray Biering(543-0990).
As part of our outreach,the IWMA will also be working with the solid waste and recycling
companies to ensure a smooth implementation of the AB 939 fee. If you have any questions or
need any assistance,please call me(782-8530).
Sincerely,
�
William A. Worrell
Manager
Attachment: Resolution 07-03(c)
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r
ATTACHMENT 3
RESOLUTION NO. 07-03 (c)
RESOLUTION OF THE SAN LUIS OBISPO COUNTY
INTEGRATED WASTE MANAGEMENT AUTHORITY
ADOPTING A.SOLID WASTE MANAGEMENT FEE
WHEREAS,this Resolution provides the revenue to fund the reasonable and necessary
costs incurred by the San Luis Obispo County Integrated Waste Management Authority(IWMA)
in the preparation,maintenance, adoption and implementation of the Countywide Integrated
Waste Management Plan mandated by Section 40000 et seq. of the Public Resources Code,
which includes,but isnot limited to,providing IWMA staff, operation of the County level of the
State's Disposal Reporting System, operating the Household Hazardous Waste Facilities and
other functions included in the adopted FY 07-08 budget; and
WHEREAS, Sections 41901 and 41902 of the Public Resources Code authorize the
establishment and collection of a fee in order to fund the reasonable and necessary costs incurred
by the IWMA in the preparation,maintenance,adoption and implementation of the Countywide
Integrated Waste Management Plan mandated by Section 40000 et seq.of the Public Resources
Code; and
WHEREAS,Section 5.2 of the IWMA Joint Powers Agreement granted the IWMA such
powers that each Member could exercise separately, and
WHEREAS,this Resolution imposes a solid waste management fee on any Company
which has an agreement with a governmental entity to collect garbage in San Luis Obispo
County;
WHEREAS, this Resolution imposes a solid waste management fee on any Company
which possesses a permit issued by the County of San Luis Obispo, Division of Environmental
Health pursuant to County Code Chapter 8.12.501.
NOW,THEREFORE,BE IT RESOLVED,that the San Luis Obispo County Integrated
Waste Management Authority:
1. Payment of Fees.
Effective January 1, 2008, any company that has an agreement with a governmental entity
(including the County of San Luis Obispo, an incorporated city, or a district empowered to
regulate or provide for solid waste collection)to exclusively collect garbage iin San Luis Obispo
County,or possesses a permit issued by the County of San Luis Obispo,Division of
Environmental Health pursuant to County Code Chapter 8.12:501, shall be liable for the payment
of the applicable solid waste management fee.
The solid waste management fee shall become due and payable on the 15th day of each month
for the solid waste disposed of during the preceding month. Fees shall be deemed delinquent 30
days after they are due and payable and shall be subject to the late-payment provisions set forth
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ATTACHMENT 3
herein.
Fees shall be made payable to the"San Luis Obispo County Integrated Waste Management
Authority" and transmitted to the San Luis Obispo County Integrated Waste Management
Authority, 870 Osos Street, San Luis Obispo, CA 93401, or at such address as the authority may
designate.Payment of fees shall be accompanied by 1)a statement from the company specifying
the gross revenue collected during the preceding month;and 2)a form to be provided by the
IWMA Manager to each hauler which includes the certification.
No acceptance of any payment shall be construed as an accord that the amount is in fact the
correct amount,nor shall acceptance of payment be construed as a release of any claim the
IWMA may have for further or additional sums payable under the provisions of this Resolution.
All amounts shall be subject to audit,which if adverse to hauler with respect to any
underpayment, shall be charged to hauler in addition to any interest owed as a late fee or interest
as a delinquent payment.
2. Calculation of Solid Waste Management Fee.
For companies with an agreement with a governmental entity for the collection of solid waste,
recyclables or greenwaste,the solid waste management fee shall be calculated as followed: (1)
the solid waste management fee shall be 2% of the gross revenue collected from commercial
customers and(2)the solid waste management fee shall be $0.30 per month per residential
account for those residential accounts which are charged less than$50 per month. For residential
accounts that pay more than$50 per month the solid waste management fee shall be 2% of the
gross revenue collected. The gross revenue collection amount which is used to determine the
amount of franchise fee required to be paid under the franchise agreement shall also be used to
determine the solid waste management fee.
Any company that possesses a permit issued by the County of San Luis Obispo,Division of
Environmental Health pursuant to County Code Chapter 8.12.501 and does not pay a fee for
customers under the above paragraph,shall pay a solid waste management fee that is 2% of the
gross revenue collected from its customers which are located within San Luis Obispo County and
the incorporated cities. Cross revenue shall include,but not be limited to, the cost charged to
customers for items such as delivery,roll-off box rental,hauling service and disposal/recycling of
the removed material.
3. Record Retention and Access to Records.
Each company shall maintain records,information, and documentation that.substantiate the gross
revenue collected during each calendar month. The records,information,and documentation
shall include the procedures the company used to determine and measure the gross revenue
collection and number of residential accounts. The company shall maintain such records,
information,and documentation for a period of three years from the date such revenue was
collected. Upon receipt of a minimum of three business days'written notice from the IWMA
Manager, a company shall provide the IWMA Manager with access for inspection and copying of
all records, information,or documentation.
10/1012007 WED 12: 57 FAX 805 782 8529 --- R Munds SLO City 2006/006
ATTACH.FILENT 3
4. Delinquent Solid Waste Management Fees.
In the event that any payment is not received within thirty(3 0)days after it is due,the hauler
shall pay interest on the outstanding balance at the rate of one and one-half percent(I.5%)per
month from the date of owner's failure to pay.
PASSED AND ADOPTED,this 12 day of September 2007,by the following roll call vote:
AYES Achadjian,Ashton,Berand,Brooks,DeMeritt, Ehring,Gibson,Hamon,
Mulholland, Ovitt,Patterson,Lenthall
NOES: None
ABSTAIN: None
ABSENT: Arnold
J4
Je#Lent 1 , President
ATTEST:
William A. Worrell,Manager
APPROVED AS TO FORM AND LEGAL EFFECT:
Raymo A.Biering Counsel
11/06/2007 09:47 8055430620 SAN LUIS GARBAGE PAGE 01
Attachment 4
SOLID WASTE FEE SURVEY
Section lantroduction
1. Name of City/County Paso Robles Atascadero Ni mo
2. Contact Person Jed Donna Did
3. Title of Contact Person Operations Manager Customer Service Rep Office Manager
4. Telephone Number 805-238-2381 805.468-3836 805-489-4246
5. Date Contacted 11/1/2007 11/1/2007 11/2/2007
Section 11—General information
6. Are residential curbside
collection and disposal Private Private Private
services provided by the
municipality or private
contractor?
7. Is a franchise for refuse
coliectlon granted to the Yes Yes. Yes
hauler?
8. is a franchise for recyclable
material collection granted Yes Yes Yes
to the hauler?
9. Is there a franchise fee? 10% 5%
If so,how much is it?
10. What Is the franchise
hauler's disposal cost per $38.85 $39.90
ton?
11. Who bills the customer? Private Private Private
Section III—Restdentlal Service
12. Are residential rates
regulated? YES YES Yes
13. What Is the monthly charge 1 can $24.25 $18.65 $15.00
for residential service? 2 can $32.15 $33.00 $21.49
3 can $35.80 $42.70 $28.16
14. What Is the charge for None $5.85 $4.18
additional cans?
11/0612007 09:47 8055430620 SAN LUIS GARBAGE PAGE 02
r
ATTACHMENT 4
SOLID WASTE FEE SURVEY
Section 111—Residential Service continued
15. Is there a separate Charge Included
for yard waste collection? No Included
16. Are there any citywide 1 drop off at Garbage Last Saturday of Yes 2 times a year
cleanup days provided at Company yard April and October
no additional charge by
the hauler?
17. Does your community have
a curbside recycling yes Yes Yes
program?
18. Is there an additional charge
to residents for this program. Included Included Included
or is it included in the monthly
charge for solid waste
collection?
19. if separate,what is the
charge?
Section IV--Non Residential Service
20. Are non-residential rates
regulated? es Yes Yes
21. Provide the monthly fee for
the following services,
assuming pick up is one
time per week:
1 cubic yard $79.36 $57.50
1.5 cubic yards $90.07 $68.66
2 cubic yards $105.96 $7428
3 cubic yards $137.73 $88.29
4 cubic yards 1$201,21 $127.52
6 cubic yards I None None None
22. Effective period of
rates quoted 11/1/2007 11/1/2007 11/1/2007
23. Is the downtown area
allowed to put Out bags or cans as extras [None
are they required to have
cans or totem?
3 - Ig
11/06/2007 09:47 8055430620 SAN LUIS GARBAGE PAGE 03
ATTACHMENT 4
SOLID WASTE FEE SURVEY
Section 14ntroductlon
1. Name of City/County Oxnard Monterey Grover Beach
2, Contact Person Trin Tom Did1
3. Title of Contact Person Onerations Mana er office Manager
4. Telephone Number 805-385-8060 888-678-8798 489.4246
5. Date Contacted 1.1/111007 11/1/2007 11/1/2007
Section II—General Information
6. Are residential curbside
collection and disposal Muni ' all Private Private
services provided by the
municipality or private
contractor?
T. is a franchise for refuse
collection granted to the NO Yes Yes
hauler?
8. Is a franchise for recyclable
material collection granted NO Yes Yes
to the hauter9
9. Is there a franchise fee? 10%
If so,how much Is It?
10. What is the franchise $43.00
hawees disposal cost per
ton?
11. Who bills the customer? Municipality Private Private
Section III—Residential Service
12. Are residential rates
regulated? YES YES Yes
13. What is the monthly charge 1 can 95 gal split for recycle $13.33
for residential service? 2 can and trash 40gal$15.92 $18.03
3 can 95gal split$25.37 $22.71
14. What is the charge for
additional cans? $10.00 1$1'5.92 1$4.16
11/06/2007 09:47 6055430620 SAN LUIS GARBAGE PAGE 04
ATTACHMENT 4
SOLID WASTE FEE SURVEY
Section 91--Residential Service contlnued
15. Is there a separate charge No
for yard waste collection? No 110 al No
16. Are there any citywide Yes 3 times per year 5 ftmZe per year
cleanup days provided at neighborhood service
no additional charge by 30 yd drop box
the hauler9
17. Does your community have
a curbside recycling yes Yes Yes
program?
16. is there an additional charge
to residents for this program, Included Included Included
or Is it included in the monthly
charge for solid waste
collection?
19. If separate,what Is the
charge?
Section IV—Non Realdential Service
20. Are non-residential rates
regulated? es Yes Yes
21. Provide the monthly fee for
the following services,
assuming pick up is one
time per week:
1 cubic yard none None $62.30
1.5 cubic yards none None $71.89
2 cubic yards $112.57 $124.75 $81.48
3 cubic yards none $187.29 $97.45
4 cubic yards $197.64 $230.60 $126.21
6 cubic yards I none $312.27 None
22. Effective period of
rates quoted 11/1/2007 11/1/2007 11/1!2007
23. Is the downtown area
allowed to put out bags or cans cans
are they required to have
cans ortoters?
J �<JV