HomeMy WebLinkAboutEDCO Disposal Corporation - Rate Adjustment - Increase - 2005MEETING DATE
City of National City, California
COUNCIL AGENDA STATEMENT
June 21,2005
28
AGENDA ITEM NO.
ITEM TITLE
A Resolution to Approve a Rate Increase for Edco Disposal Corporation
PREPARED BY Jeff Servatius
EXPLANATION
DEPARTMENT Public Works EXT.4580
See Attached Report
L
C)Environmental Review X N/A
MIS Approval
Financial Statement Approved By:
The proposed rate increase will fall on all recipients of the trash service. Finance Director
A Franchise Fee of 9% will be paid to the City.
Account No.
STAFF RECOMMENDATION
Adopt the Resolution.
BOARD / COMMISSION RECOMMENDATION
N/A
C 9U-26
ATTACHMENTS ( Listed Below) Resolution No.
1. Resolution g rp L OpS- 3
2. EDCO letter of May 11, 2005
A-200 (Rev. 7/03)
RESOLUTION NO. 2005 —
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY
APPROVING A TRASH SERVICE RATE CHANGE
FOR EDCO DISPOSAL CORPORATION
WHEREAS, the last refuse service rate change for Edco Disposal
Corporation, the City's contract refuse hauler, was in July 2003; and
WHEREAS, the rate for waste disposal is estimated to increase from $34.60
per ton to $35.54 per ton, effective July 1, 2005; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of National City that the proposed refuse service rate schedule, a copy of which is
attached hereto as Exhibit "A" and incorporated herein by reference, is hereby approved,
effective July 1, 2005.
PASSED and ADOPTED this 21st day of June, 2005.
Nick lnzunza, Mayor
ATTEST:
Michael Della, City Clerk
APPROVED AS TO FORM:
George H. Eiser, III
City Attomey
NATIONAL CITY RATE SCHEDULE.
July 1, 2005
RUBBISH AND GARBAGE
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
1. RESIDENTIAL
Per month residential single family properties $15.33 $15.99
For the second and for each additional
residential unit. In multiple dwellings which
do not exceed four units $12.09 $12.61
2. TRAILER PARKS AND MOTELS
One time per week, per unit, per month $10.60 $11.06
3. APARTMENT HOUSES
One time per week, per unit, per month $10.77 $11.23
4. SENIOR CITIZEN RESIDENTIAL
Per month $12.26 $12.79
5. SILVER BAG SERVICE
Per month $2.04 $2.19
6. COMMERCIAL AND INDUSTRIAL ESTABLISHMENTS
Up to (2) 40 gallon containers
Or (1) 90 gallon automated cart
One time per week, per month $17.55 $18.72
Up to (4) 40 gallon containers
Or (2) 90 gallon automated cart
One time per week, per month $32.66 $34.83
Up to (6) 40 gallon containers
Or (3) 90 gallon automated cart
One time per week, per month
$41.98 $44.77
EXHIBIT "A"
Page 1 of 3
NATIONAL CITY RATE SCHEDULE
3uly 1, 2005
RUBBISH AND GARBAGE
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
Up to (8) 40 gallon containers
Or (4) 90 gallon automated cart
One time per week, per month $51.89 $55.34
Up to (10) 40 gallon containers
Or (5) 90 gallon automated cart
One time per week, per month $67.77 $72.28
Additional or unusual accumulation
of rubbish (per cubic yard)
BOX TYPE REFUSE SERVICE
COLLECTION NUMBER YARDS
FREQUENCY OF BINS PER MONTH
$17.55 $18.72
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
1 1 13 $92.78 $98.95
2 1 26 $156.62 $167.03
3 1 39 $220.46 $235.12
4 1 52 $286.18 $305.21
5 1 65 $351.89 $375.29
6 1 78 $417.61 $445.38
7 1 91 $483.33 $515.47
1 2 26 $158.50 $169.04
2 2 52 $284.30 $303.21
3 2 78 $410.10 $437.37
4 2 104 $534.02 $569.53
5 2 130 $657.94 $701.70
6 2 156 $781.87 $833.86
7 2 182 $905.78 $966.02
1 3 39 $224.21 $239.12
2 3 78 $408.23 $435.37
3 3 117 $592.23 $631.61
EXHIBIT "A"
Page 2 of 3
NATIONAL CITY RATE SCHEDULE
3uly 1, 2005
4 3 156 $774.35 $825.85
5 3 195 $956.49 $1,020.09
6 3 234 $1,138.61 $1,214.33
7 3 273 $1,320.74 $1,408.57
BOX TYPE REFUSE SERVICE
COLLECTION . NUMBER YARDS
FREQUENCY OF BINS PER MONTH
1
2
3
4
5
2
3
4
5
6
PROPOSED PROPOSED
MONTHLY MONTHLY
RATE RATE
4 52 $289.93 $309.21
4 104 $532.14 $567.53
4 156 $774.35 $825.85
4 208 $1,014.69 $1,082.16
4 260 $1,255.02 $1,338.48
4 312 $1,495.36 $1,594.80
4 364 $1,735.69 $1,851.11
5 65 $355.65 $379.30
5 130 $656.07 $699.70
5 195 $956.49 $1,020.09
5 260 $1,247.51 $1,330.47
5 325 $1,538.54 $1,640.85
5 390 $1,829.57 $1,951.23
5 455 $2,120.61 $2,261.63
1 6 78 $421.36 $449.38
2 6 156 $779.99 $831.86
3 6 234 $1,138.61 $1,214.33
4 6 312 $1,485.97 $1,584.79
5 6 390 $1,833.33 $1,955.25
6 6 468 $2,180.68 $2,325.70
7 6 546 $2,528.04 $2,696.16
EXHIBIT "A"
Page 3 of 3
REFUSE RATE RECOMMENDATION FOR FY-06
Basis:
The establishment of the rates for trash service is based upon estimated quantities of
various components, landfill and yardwaste quantities, recyclables sold and consumer
price index (CPI). For the Rate Review, the actual performance for 9 months (July -
March) is escalated to 12 months, and the actual total costs/price of budget items is
determined, and is compared to budgeted amounts. Overcollection/undercollection by
EDCO occurs unless our estimates are uncannily exact.
Overcollection/undercollection:
For the FY-05, we used the anticipated rate of $34.60 per ton in the rate calculations.
This rate was available to us because of a contract with the Regional Solid Waste
Authority (RSWA).
During FY-05 the curbside recycling programs, yardwaste and single stream netted
$43,000+ over our projections. EDCO hauled 3500± tons more trash than estimated,
resulting in an undercollection of $120,000+. The two programs combined gave us a
total of $77,000+ of undercollected fees that is owed to EDCO.
FY-06 Rate Factors:
We anticipate the Rate for FY-06 will increase to $35.54 per ton. We also calculate the
trash tonnage hauled to increase due to new housing being built in the city and for the
cost of yardwaste recycling to increase $1.00 per ton. EDCO is owed the $77,000+ from
the undercollection and by contract EDCO is entitled to this year's CPI increase of
3.7%.
In addition to the above rate factors, the contribution from EDCO to the City's Enterprise
Fund*, which for the past three years was set at $50,000, will need to be increased to
$180,000 to fund our programs. The Fund, which is used for rate stabilization, has
been living off of reserves and now an increase is needed.
* Enterprise Fund is funded by money collected by the contractor for the city from the
rate payers, it is used to pay for AB939 programs such as Household Hazardous
Waste collection and disposal and for city programs such as 98% of a street sweeper,
the Alpha Project and hazardous waste disposal collected from the public right- of -
way.
1
Recommendations:
• The Refuse Enterprise Fund contribution be increased to $180,000
• The contractor receive this year's 3.7% CPI increase
• The City Franchise Fee remain at 9%
• Increase the single family residential from $15.33 per month to $15.99 per month.
Senior residential from $12.26 to $12.79 per month. Commercial/Industrial for one
time a week pick-up of a 3 cubic yard bin to increase from $92.78 per month to
$98.95 per month, with added collections per week also being increased. Multi -
Family assessed per unit recycling fee be increased from $0.84 to $ 0.90 per month,
and the Silver Bags be raised from $2.04 to $2.19 per bag
Subscript
It should be noted that if approved, the single family rate history will be as follows;
FY-97 $14.36
FY-98, 99, 00, 01 $13.95
FY-02, 03 $13.95
FY-04, 05 $15.33
FY-06 proposed $15.99
IlE11:31C:10
A WASTE & RECYCLING COMPANY
6670 Federal Boulevard, Lemon Grove, California 91945 (619) 287-7555 Fax: (619) 287-5242
May 11, 2005
City of National City
1243 National City Boulevard
National City, CA 91950
Honorable Mayor and Members of the City Council:
EDCO has been pleased to serve as the waste collection and recycling service provider to
the City of National City for many years. We look forward to continuing to provide the
citizens and businesses with the highest -level of service.
The agreement between the City of National City and EDCO allows for periodic rate
adjustments based on the local consumer price index and a pass through of changes in
disposal fees. The calculation of our proposed adjustments is determined through a
detailed formula utilizing the following factors:
The Consumer Price Index (CPI) as published for the San Diego Region is 3.7%.
As a member of the Regional Solid Waste Authority (RSWA) National City's refuse
tipping fee will increase by $0.94 cents.
The green -waste tipping fee is projected to increase by $1.00.
Continued increased revenues from recycling has assisted in offsetting some of the above
factors
The following page gives an overview of the formulas and methodology for determining
the proposed rate structure. Should you have any questions please contact me at (619)
287-5696 ext 4204.
Sincerely,
John Snyder
General Manager
www.edcodisposal.com FAMILY OWNED & OPERATED
Printed on Recycled Paper
NATIONAL CITY RATE SCHEDULE.
July 1, 2005
RUBBISH AND GARBAGE
1. RESIDENTIAL
Per month residential single family properties
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
$15.33 $15.99
For the second and for each additional
residential unit in multiple dwellings which
do not exceed four units $12.09 $12.61
2. TRAILER PARKS AND MOTELS
One time per week, per unit, per month $10.60 $11.06
3. APARTMENT HOUSES
One time per week, per unit, per month $10.77 $11.23
4. SENIOR CITIZEN RESIDENTIAL
Per month $12.26 $12.79
5. SILVER BAG SERVICE
Per month $2.04 $2.19
6. COMMERCIAL AND INDUSTRIAL ESTABLISHMENTS
Up to (2) 40 gallon containers
Or (1) 90 gallon automated cart
One time per week, per month $17.55 $18.72
Up to (4) 40 gallon containers
Or (2) 90 gallon automated cart
One time per week, per month $32.66 $34.83
Up to (6) 40 gallon containers
Or (3) 90 gallon automated cart
One time per week, per month $41.98 $44.77
NATIONAL CITY RATE SCHEDULE
July 1, 2005
RUBBISH AND GARBAGE
Up to (8) 40 gallon containers
Or (4) 90 gallon automated cart
One time per week, per month
Up to (10) 40 gallon containers
Or (5) 90 gallon automated cart
One time per week, per month
Additional or unusual accumulation
of rubbish (per cubic yard)
BOX TYPE REFUSE SERVICE
COLLECTION NUMBER YARDS
FREQUENCY OF BINS PER MONTH
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
$51.89 $55.34
$67.77 $72.28
$17.55 $18.72
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
1 1 13 $92.78 $98.95
2 1 26 $156.62 $167.03
3 1 39 $220.46 $235.12
4 1 52 $286.18 $305.21
5 1 65 $351.89 $375.29
6 1 78 $417.61 $445.38
7 1 91 $483.33 $515.47
1 2 26 $158.50 $169.04
2 2 52 $284.30 $303.21
3 2 78 $410.10 $437.37
4 2 104 $534.02 $569.53
5 2 130 $657.94 $701.70
6 2 156 $781.87 $833.86
7 2 182 $905.78 $966.02
1 3 39 $224.21 $239.12
2 3 78 $408.23 $435.37
3 3 117 $592.23 $631.61
NATIONAL CITY RATE SCHEDULE
July 1, 2005
4 3 156 $774.35 $825.85
5 3 195 $956.49 $1,020.09
6 3 234 $1,138.61 $1,214.33
7 3 273 $1,320.74 $1,408.57
BOX TYPE REFUSE SERVICE
COLLECTION NUMBER YARDS
FREQUENCY OF BINS PER MONTH
PROPOSED PROPOSED
MONTHLY MONTHLY
RATE RATE
1 4 52 $289.93 $309.21
2 4 104 $532.14 $567.53
3 4 156 $774.35 $825.85
4 4 208 $1,014.69 $1,082.16
5 4 260 $1,255.02 $1,338.48
6 4 312 $1,495.36 $1,594.80
7 4 364 $1,735.69 $1,851.11
1 5 65 $355.65 $379.30
2 5 130 $656.07 $699.70
3 5 195 $956.49 $1,020.09
4 5 260 $1,247.51 $1,330.47
5 5 325 $1,538.54 $1,640.85
6 5 390 $1,829.57 $1,951.23
7 5 455 $2,120.61 $2,261.63
1 6 78 $421.36 $449.38
2 6 156 $779.99 $831.86
3 6 234 $1,138.61 $1,214.33
4 6 312 $1,485.97 $1,584.79
5 6 390 $1,833.33 $1,955.25
6 6 468 $2,180.68 $2,325.70
7 6 546 $2,528.04 $2,696.16
RESOLUTION NO. 2005 — 134
RESOLUTION OF THE CITY COUNCIL
OF THE CITY OF NATIONAL CITY
APPROVING A TRASH SERVICE RATE CHANGE
FOR EDCO DISPOSAL CORPORATION
WHEREAS, the last refuse service rate change for Edco Disposal
Corporation, the City's contract refuse hauler, was in July 2003; and
WHEREAS, the rate for waste disposal is estimated to increase from $34.60
per ton to $35.54 per ton, effective July 1, 2005; and
NOW, THEREFORE, BE IT RESOLVED by the City Council of the
City of National City that the proposed refuse service rate schedule, a copy of which is
attached hereto as Exhibit "A" and incorporated herein by reference, is hereby approved,
effective July 1, 2005.
PASSED and ADOPTED this 21st day of June, 2005.
ATTEST:
Miity Clerk
ael Della
C
APPROVED AS TO FORM:
George H. Eiser, III
City Attomey
a..
rat
Wei 400-
RT Inzunza, Mayor
NATIONAL CITY RATE SCHEDULE.
July 1, 2005
RUBBISH AND GARBAGE
1. RESIDENTIAL
Per month residential single family properties
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
$15.33 $15.99
For the second and for each additional
residential unit.in multiple dwellings which
do not exceed four units $12.09 $12.61
2. TRAILER PARKS AND MOTELS
One time per week, per unit, per month $10.60 $11.06
3. APARTMENT HOUSES
One time per week, per unit, per month $10.77 $11.23
4. SENIOR CITIZEN RESIDENTIAL
Per month $12.26 $12.79
5. SILVER BAG SERVICE
Per month
6. COMMERCIAL AND INDUSTRIAL ESTABLISHMENTS
$2.04 $2.19
Up to (2) 40 gallon containers
Or (1) 90 gallon automated cart
One time per week, per month $17.55 $18.72
Up to (4) 40 gallon containers
Or (2) 90 gallon automated cart
One time per week, per month $32.66 $34.83
Up to (6) 40 gallon containers
Or (3) 90 gallon automated cart
One time per week, per month $41.98 $44.77
EXHIBIT "A"
Page 1 of 3
NATIONAL CITY RATE SCHEDULE
July 1, 2005
RUBBISH AND GARBAGE
CURRENT PROPOSED
MONTHLY MONTHLY
RATE RATE
Up to (8) 40 gallon containers
Or (4) 90 gallon automated cart
One time per week, per month $51.89 $55.34
Up to (10) 40 gallon containers
Or (5) 90 gallon automated cart
One time per week, per month $67.77 $72.28
Additional or unusual accumulation
of rubbish (per cubic yard) $17.55 $18.72
CURRENT PROPOSED
MONTHLY MONTHLY
BOX TYPE REFUSE SERVICE RATE RATE
COLLECTION SIUMBER YARDS
FREQUENCY OF BINS PER MONTH
1 1 13 $92.78 $98.95
2 1 26 $156.62 $167.03
3 1 39 $220.46 $235.12
4 1 52 $286.18 $305.21
5 1 65 $351.89 $375.29
6 1 78 $417.61 $445.38
7 1 91 $483.33 $515.47
1 2 26 $158.50 $169.04
2 2 52 $28430 $303.21
3 2 78 $410.10 $437.37
4 2 104 $534.02 $569.53
5 2 130 $657.94 $701.70
6 2 156 $781.87 $833.86
7 2 182 $905.78 $966.02
1 3 39 $224.21 $239.12
2 3 78 $408.23 $435.37
3 3 117 $592.23 $631.61
PXHIBIT "A"
Page 2 of 3
NATIONAL CITY RATE SCHEDULE
3uly 1, 2005
4 3 156 $774.35 $825.85
5 3 195 $956.49 $1,020.09
6 3 234 $1,138.61 $1,214.33
7 3 273 $1,320.74 $1,408.57
BOX TYPE REFUSE SERVICE
COLLECTION NUMBER YARDS
FREQUENCY OF BINS PER MONTH
PROPOSED PROPOSED
MONTHLY MONTHLY
RATE RATE
1 4 52 $289.93 $309.21
2 4 104 $532.14 $567.53
3 4 156 $774.35 $825.85
4 4 208 $1,014.69 $1,082.16
5 4 260 $1,255.02 $1,338.48
6 4 312 $1,495.36 $1,594.80
7 4 364 $1,735.69 $1,851.11
1 5 65 $355.65 $379.30
2 5 130 $656.07 $699.70
3 5 195 $956.49 $1,020.09
4 5 260 $1,247.51 $1,330.47
5 5 325 $1,538.54 $1,640.85
6 5 390 $1,829.57 $1,951.23
7 5 455 $2,120.61 $2,261.63
1 6 78 $421.36 $449.38
2 6 156 $779.99 $831.86
3 6 234 $1,138.61 $1,214.33
4 6 312 $1,485.97 $1,584.79
5 6 390 $1,833.33 $1,955.25
6 ' 6 468 $2,180.68 $2,325.70
7 6 546 $2,528.04 $2,696.16
EXHIBIT "A"
Page 3 of 3
Passed and adopted by the Council of the City of National City, California, on June 21,
2005, by the following vote, to -wit:
Ayes: Councilmembers Inzunza, Morrison, Natividad, Parra, Zarate.
Nays: None.
Absent: None.
Abstain: None.
AUTHENTICATED BY:
NICK INZUNZA
Mayor of the City of National City, California
CI
h
rk of the City
o�
City National City, California
By:
Deputy
I HEREBY CERTIFY that the above and foregoing is a full, true and correct copy of
RESOLUTION NO. 2005-134 of the City of National City, California, passed and
adopted by the Council of said City on June 21, 2005.
City Clerk of the City of National City, California
By:
Deputy