HomeMy WebLinkAbout55A - RESO REFUSE SURCHARGEREQUEST FOR
COUNCIL ACTION
CITY COUNCIL MEETING DATE:
JANUARY 5, 2009
TITLE:
RESOLUTION MODIFYING THE REFUSE
PROGRAM SURCHARGE
F ,f ~~
CITY MANAGER
CLERK OF COUNCIL USE ONLY:
APPROVED
^ As Recommended
^ As Amended
^ Ordinance on 15' Reading
^ Ordinance on 2nd Reading
^ Implementing Resolution
^ Set Public Hearing For_
CONTINUED TO
FILE NUMBER
RECOMMENDED ACTION
~'/ Ado t a resolution modif in the Cit 's refuse
P y~ g y program surcharge on
business and apartment service.
DISCUSSION
Pursuant to the agreement with Waste Management, the City currently
receives a 15.8 percent surcharge on the business and apartment refuse
charges imposed by Waste Management to pay for the costs of administering
the refuse collection and recycling program and supporting the federal
clean water protection activities. Any change in this surcharge must be
established by Council resolution.
At this time, it is recommended that the surcharge be increased to 19.8
percent to offset increased administrative costs associated with the
refuse program. The cost of a commercial 3-yard bin, with once per week
pickup, will increase $5.39 per month for a total cost of $112.08 per
month. Fees in other cities currently range from $40.85 to $147.19 per
month.
ENVIRONMENTAL IMPACT
There is no environmental impact associated with this action.
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Resolution Modifying the
Refuse Program Surcharge
January 5, 2009
Page 2
FISCAL IMPACT
The increased surcharge on business and apartment refuse collection
services will generate approximately $300,000 in the current 08-09 fiscal
year and $1,500,000 in fiscal year 09-10 and each year thereafter. Funds
will be deposited in the program surcharge account (account no. 69-01-
5112) .
~~~
James G. Ross
Executive Director
Public Works Agency
APPROVED AS TO FUNDS AND ACCOUNTS:
(~~CC~Q L1~8- i~ ~~q~, f~
Francisco Gutierrez
Executive Director
Finance & Mgmt. Services Agency
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Iss12/15/08
RESOLUTION NO. 2009-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SANTA ANA
INCREASING THE AMOUNT OF THE SOLID WASTE PROGRAM
SURCHARGE ESTABLISHED PURSUANT TO SECTION 10 OF THE
THIRD AMENDED AND RESTATED AGREEMENT FOR THE
COLLECTION OF SOLID WASTE IN THE CITY OF SANTA ANA
BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF SANTA ANA AS
FOLLOWS:
Section 1. The City Council of the City of Santa Ana hereby finds, determines
and declares as follows:
A. The City of Santa Ana currently contracts with USA Waste of California
Inc. a Delaware corporation dba Waste Management of Orange County
("Contractor"), whereby Contractor is the exclusive provider for the
collection, transportation, and disposal of solid waste within the limits of
the City of Santa Ana.
B. Pursuant to the exclusive contract, the City currently receives a 15.8
percent surcharge from Contractor based upon its Gross Receipts. The
funds received pursuant to the surcharge are used in part to pay for the
costs of administering the refuse collection and recycling program and
supporting the federal clean water protection activities.
C. The cost to provide administration of the refuse and recycling program has
increased above the amounts currently collected pursuant to the program
surcharge. These increased costs to the City include but are not limited to
salaries of staff and fixed costs.
D. It is recommended that the surcharge on bin and roll-off container service
rates be increased 4 percent to support increased costs in administering
the refuse collection program.
Section 2. The City Council hereby increases the following refuse program
surcharge on bin services and roll-off services.
A. The refuse service surcharge increasing the amount of the solid waste
program surcharge established pursuant to section 10 of the Third Amended and
Restated Agreement for the Collection of Solid Waste in the City of Santa Ana is
hereby increased from 15.8 percent to 19.8 percent.
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B. The Contractor shall commence collecting this refuse program
surcharge effective January 1, 2009.
Section 3. This Resolution shall take effect immediately upon its adoption by
the City Council, and the Clerk of the Council shall attest to and certify the vote
adopting this Resolution.
ADOPTED this day of
2009.
Miguel A. Pulido
Mayor
APPROVED AS TO FORM:
JOSEPH W. FLETCHER
City Attorney
By:
Laura Sheedy
Assistant City Attorney
AYES: Councilmembers
NOES: Councilmembers
ABSTAIN: Councilmembers
NOT PRESENT: Councilmembers
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CERTIFICATE OF PUBLICATION AND ORIGINALITY
I, PATRICIA E. HEALY, Clerk of the Council, do hereby attest to and certify the
attached Resolution No. 2009-XXX to be the original resolution adopted by the
City Council of the City of Santa Ana on
Date:
Clerk of the Council
City of Santa Ana
ADOPTED this day of January, 2009.
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