Loading...
01-07-2003 - Athens Services Trash Collection Multi-Family Rates InformationCity of West Covina Memorandum AGENDA ITEM NO- . -DATE January 7,_WII8 - Zo©� TO: Andrew G. Pasmant, City Manager and City Council FROM: Steven L. Samaniego, Director Environmental Management Department SUBJECT: ATHENS SERVICES TRASH COLLECTION MULTI -FAMILY RATES INFORMATION RECOMMENDATION: It is recommended that the City Council receive and file this report. DISCUSSION: Per Council's request at the November 19, 2002 City Council meeting, it was requested that the City Council be provided with previously distributed information. Attached is the information regarding Athens Services that was initially provided to every councilmember (Attachment 1). Also attached is a copy of a letter from Athens addressed to Council Member Shelley Sanderson which she provided to staff to share with the City Council (Attachment 11).. Staff is prepared, at Council's direction, to follow-up on any of the information provided FISCAL IMPACT: None. Steven L. Samaniego, Director Environmental Management Department SLS:mg Attachment I — Information provided to all Councilmembers Attachment II -. Athens' letter dated 9-20-02 Attachment 1 • City of West Covina WEST ON MEMORANDUM Environmental Management Department September 23, 2002 TO: Andrew. G. Pasmant, City Manager FROM: Steven L. Samaniego, Environmental Management Director SUBJECT: COUNCIL STAFF REPORTSIHISTORY OF ATHENS RATES Per Council Member request, attached are copies of Athens' Trash Collection Rates Schedules from 1990 to the present. Also included are the May 5,' 1992; June 16, 1992; and July 7, 1992 staff reports. Please call me on Extension 8411 if have any questions. SLS:mg Attachments W] City of West Covina Memorandum I TO FROM SUBJECT: City Manager and City Council Michael L. Miller Community Services Division Manager AGENDA ITEM NO. E-lb AUTOMATED RESIDENTIAL WASTE COLLECTIO'bATE May 5, 1992 SUMMARY: This is the proposal by West Covina Disposal to automate residential waste and yard waste collection in the City as requested by the City Council. The -Waste Management And Environmental Quality Commission voted to retain the current manual system, add a yard waste program and expand citywide the current curbside recycling program. On March 3, 1992, the City Council approved a revised franchise agreement with West Covina.. Pursuant to .this agreement, West Covina Disposal was to provide a proposal Ito automate residential waste collection if requested. by the City Council. On March 3, 1992 the City Council made such a request. On April 3, the West Covina Disposal submitted the proposal. On April 7, 1992 the City Council referred the proposal to the Waste Management and Environmental Quality Commission for review and recommendation. The City Council requested the report to return to them by May 5, . 1992 . On April 16, 1992, the Waste Management and Environmental Quality Commission held a public.hearing on .the proposal. Subsequently, the Commission held an adjourned meeting on April 27 in conjunction with the West Covina Forum. The resulting actions of the Commission were to recommend to the City Council retention of the current manual collection system, addition of an unlimited yard waste collection program and citywide expansion of the current pilot curbside recycling program using three stackable crates. The staff recommended then and now that the City Council approve West Covina Disposal's proposal - to automate residential waste collection in the City of West Covina at, the $12.79 per month rate. PROPOSAL The proposal -(Attachment A) is to provide each residence with two 90-gallon containers for automated waste collection service. One container would be designated for yard.waste only. The other for trash only. Each container would be serviced by a, truck that would pick up and empty the container through the.use of an articulated mechanical arm. The 'collected. yard waste is proposed to be sent to Spadra Landfill's yard waste alternate cover program and to a.composting facility. In the near term, an alternate cover .program may be established at the BKK Landfill. In either case this is a diversion credit of up to ten percent._ The collected trash will continue. to be deposited at the BKK Landfill. In the near term, it is planned to send this waste to a materials recovery facility (MRF). 'There the recyclables can be separated and only the remaining waste would be sent to a landfill. West Covina Disposal is to submit a MRF proposal by the first week of June, 1992. The monthly rate for the automated waste collection is.$12.79. This is the actual cost of the full. program proposed. by West Covina Disposal. -Unlike some other cities, the;City_is not underwriting any of the costs` for this program... To: City Manager and City Council May. 5, 1992 Automated.Residential Waste Collection Page 2 West Covina Disposal has offered an option'to hold the residential cost to $12.00per month. The balance of the funds needed for the program would be shifted to the commercial accounts., This would result in a 4 percent increase to the commercial service users. IMPLEMENTATION ISSUES In 1989, the automated waste collection issue was reviewed extensively. A list of the issues and some-discussion:of solutions are in Attachment B. Keep in mind the responses are for the "old" West Covina Disposal's proposal. Any responses to the issues need a response from today's West Covina Disposal. This list is provided to aid City Council review. During the Commission meetings and the Forum, several of the issues were further addressed. These issues and the responses are as follows: Size of Containers: Two 90-gallon containers, trash,. will meet the needs based on the experience of Storage of Containers: one for yard waste and one for of 90-95 percent of the residents other cities. City code requires waste containers to be kept in an area not visible to the street and not offensive to the neighbors "so -far as it is reasonably practicable to do so." Movement and Placement of Containers: Experience of other cities indicates containers can be handled reasonably well by residents. West Covina Disposal offered to provide a roll -out service free of charge to the severely handicapped. Experience of Other Cities: Claremont and Pasadena converted.from backyard pickup service to, automated curbside service at the front yard. Recent surveys of their customers indicates an 80-85 percent approval. of the automated residential collection system. This has been the experience of other cities in Los Angeles and Orange County, Conversion from Unlimited to Limited Waste'Dis o . p sal: Automated waste collection system will place a limitation on the amount of waste that can be thrown away in any one week. This will cause changes in buying and disposal habits. The limited waste volume is consistent with the goals of the City'siSource Reduction and Recycling Element. Use of Old Trash Cans: j A program could be implemented to collect and recycle the cans residents can not use in other ways. Other issues related to the proposal may be raised at the City Council meetling. West Covina Disposal representatives and/or staff will respond to these issues at that time., To: City Manager and City Council Automated Residential Waste Collection MONTHLY RATE May 5, 1992 Page 3 The proposed monthly rate of $12.79 is the full cost to implement the ,residential automated waste collection system. This amount includes City franchise fee. The, computation of the $3.41- incremental cost to implement an automated waste, collection system is shown in Attachment C. This computation includes.the..cost of trucks and containers and the labor savings., The Commission's recommendation has three components. The cost of these components are as follows: Current service cost $ 8.10 Purchase of new standard refuse .trucks with green waste collection system 3.71. (See Attachment D) Curbside Recycling with,one container for commingled recyclables 1.35 (See Attachment E) $13.16 City franchise fee 1.46 Total monthly fee $14.62 Please note that the curbside recycling cost only includes a single container for commingled recyclable, not the three stackable crates. If the three stackable crate system were deployed citywide, there would be an additional $200-250,000 cost to purchase containers. In addition, special trucks would have to be purchased at an -additional cost. RATE COMPARISONS Staff has compiled the monthly residential rates of cities in Los Angeles and Orange County (Attachment F). The monthly rates in Orange County range from $4 to $21.68 a month. The monthly rates for the Los Angeles County cities surveyed range from $8.83 to $25.78 a month. The most recent franchises that have included automated waste collection range from $10 to $14 per month. Any review of the attached list of rates also needs to consider the subsidy some cities have provided to the program. Quite often the cost of the containers have been funded by the city. In other cases, the collection trucks were purchased with public agency financed bonds since this has an interest rate lower than the commercial interest rate. PROGRAM AUDIT Article 6.3 of the Waste Collection Agreement allows the City to conduct an audit after receipt of the required annual reports from West Covina Disposal. The City may hire an .independent CPA mutually approved by the City .and West Covina Disposal. This audit is at the option,of.the City. The Waste Management and Environmental Quality Commission voted to request the City Council conduct an audit for whichever waste collection program is selected. This option will be brought to the attention of the City Council at the time West Covina Disposal's annual reports are submitted.. The City Council can then decide what course of action is needed. 0. To: City Manager and City Council Automated -Residential Waste Collection STAFF POSITION Staff is of the opinion that the cost of the service provided to the residents should be the monthly collection rate. Thus, staff recommends City Council's approval of the $12.7.9 per month rate. The automated waste collection system will reduce the number of trucks serving the residential community. The number of customers served by each truck increases by 50-60 percent. Thus there should be less air and street impacts by the trucks. Staff is of the opinion that the proposal deserves approval by the City Council. The, automated system sets the stage for the City to obtain maximum diversion of recyclables once the MRF is -in operation. In the short term, the City can obtain the maximum diversion of yard waste.. Both of these results will permit the City to attain the State -mandated goals of 25 percent and 50 percent diversion of waste by 1995 and 2000, respectively. Just as important is the cost containment that can be achieved by the automated waste collection proposal. Immediate diversion of yard waste will avoid the ever-increasing tipping 'fees at the landfill. It is expected further increases will come in the next six months.. In the longer term, the processing of the collected trash through a materials recovery facility will further reduce the wastes that will be subject to the higher costs of rail -haul disposal. In summary, staff. -is recommending approval of the proposal. RECOMMENDATION It is recommended the City Council approve West Covina Disposal's proposal to automate residential waste collection in the City of West Covina at the $12.79 per month rate. Michael L. Miller Community Services Division Manager MLM : f 1 R, TO FROM SUBJECT: City f o Cov ina vina Memorandum City Manager and City Council AGENDA Michael L. Miller Community Services Division Manager ITEM NO. E-la AUTOMATED RESIDENTIAL WASTE COLLECTION DATE June 16, 1992 SUMMARY: This. is a report on the negotiation of the monthly rate for West Covina Disposal to implement automated residential waste collection service.., On May 6, 1992, the proposal to automate residential waste collection was before the City Council. At that time the City Council voted to return the matter back to staff to attempt to negotiate a lower monthly rate from West Covina Disposal for the service. Staff has met with West Covina Disposal several times in the last few weeks. Staff has. also done other analysis of the costs, impacts and surveys of other cities. Based on this effort, staff recommends proceeding with the automation of our residential waste collection. The balance of this report discusses -the results of our review. Staff has attempted' to make valid comparisons and provide an overview of the impacts and issues, in the automated waste collection proposal. CURRENT SERVICE The current manual waste collection'system has a monthly rate of $9.14. In the'past West Covina Disposal enjoyed a favorable landfill tip fee at the BKK Landfill. This allowed West Covina Disposal to maintain the relatively.low monthly residential rate. At about the time of the negotiations to sell the waste collection business, BKK notified West Covina Disposal that this favorable rate would cease early this year. Today, other waste collection companies have a more favorable tip fee rate at the BKK Landfill. Recent discussions with BKK did not result in any change to a more favorable landfill tip fee for West Covina Disposal. Pursuant to the Franchise Agreement, West Covina Disposal may request a CPI 'increase by June 15 to be effective September 1, 1992. West Covina Disposal is also permitted to pass -through the landfill tip fee increases. This equates to 51(� per month per residence: Based on these factors, the current manual system could have a monthly rate of $9.95 by September 1, 1992'. Attachment A sets forth the computation of this rate. In the' previous reports to the. City Council, staff did not adequately explain the integration. of the costs for the proposed automated systems and the possible CPI increase and landfill tip fee pass -through. In the Attachment A, the franchise provisions have been followed to clearly show how these factors would be added to the proposed monthly rate.° All of the rates for the proposed options have all of these factors included to create a fair comparison. NEGOTIATIONS The results of the negotiations were mixed. The original proposal had r a monthly rate of $12.79. This did not include any CPI increase or the landfill tip fee pass -through. The results of the negotiations and resulting impacts are as follows: 1. West Covina Disposal agreed to absorb one-half of the cost of the new automated trucks. This is a loss of $167,000 annually to West Covina Disposal, but results is a 650 reduction in the monthly rate. 2.. West Covina Disposal agreed to finance the trucks over seven years instead of five years. This would have reduced the monthly rate by another 29G. However, West Covina Disposal has only been able to obtain a 5-year financing at 8.5% for the trucks and 8-year financing at 9% for the containers. Thus, the expected savings was not possible. 3 West Covina Disposal agreed to a monthly rate reduction of $1.10 for residents who want 60-gallon containers instead of 90-gallon containers. No agreement was reached on the cost of any additional container. Staff suggests for each additional container above the first two, the monthly charge could be an additional $2 per month. 4. West Covina Disposal agreed to request a reduced CPI increase in 1992. The Franchise Agreement allowed the CPI increase to be computed from January, 1989. This was the date of the last increase. If the two-year CPI was applied, it would have generated $134,160, and translate to 52C per month per residence. The use of only the last year's CPI of.3.6% results in a 224; per month increase to each residence. This would generate $56,760•for a savings to the community of $77,400. Other alternatives were discussed and rejected. These included: a. Phased -in rate structure (No phase -in schedule could be agreed to by both parties) b. Resident or City purchase of containers (City of Anaheim used Certificates of Participation to purchase the trucks and containers in their automated collection system.) c. Tax-exempt financing by the City .for the purchase of trucks and containers. (Upon further analysis the savings would. be minimal given the interest rate differential, the financing service costs and effort that would have to expended to obtain the financing in a less -than -favorable market.) d. Deletion of some community service benefits from the franchise agreement. (The $56,000 potential annual savings to the schools would result in a 210 decrease in the residential monthly rate. However,` the significance of this savings to the schools may be greater than the.savings to the residents. The other community services are quite desirable by the city.) e. .Single container service (A single container would be inadequate. for residential service.) f. Deletion of the AB 939 administration fee. (This is needed to fund the City's required .work without burdening the General Fund.) g. Capping the City's franchise tax. '(Funds will need to grow over time to adequately support General Fund expenditures.) Further negotiations resulted in another possible waste collection system. This alternative is as follows: One 90-gallon container with automated collection vehicle for trash only. • A manual yard waste collection system using residents' containers, "YARD WASTE ONLY" can labels and unlimited volume. 2 West Covina Disposal has presented a cost that includes two new components.. These are: • A rate reduction of 50C to account for the purchase of one less container for.the yard waste. • An estimated green waste landfill disposal savings that reflects the lower tip fee for yard waste. This will be adjusted each year based on actual experience and costs. The alternative addresses the expressed concerns about the ability of a single 90-gallon container holding the yard waste produced by our residents. This alternative will allow some cost contaminant through,automation of the trash pickup. OPERATION_ COSTS ANALYSIS Staff contracted with CMRR, Inc. to have them conduct an analysis of the West Covina Disposal operation costs and the automated waste collection proposal. Several issues were considered in this analysis. This included: 1. Comparison to other cities - The economic health of these companies is unknown. The services provided by these companies in comparison -to West Covina Disposal is also unknown. The services provided by West Covina Disposal are in Attachment B. The spread in the monthly rate was from $10.00 (larger firms).to $11.00 for smaller firms. The waste collection survey (Attachment C) is provided for your information. CMRR indicated direct comparisons are very difficult. 2. Landfill tip fee rate - The -more favorable landfill tip fee for West Covina Disposal was eliminated earlier this year. Some of the other cities' haulers have better rates than West Covina Disposal. This also affects comparisons to other.cities. 3. Financing of equipment - The possible'financing rates- for- trucks and. containers may differ from what is really available. Such is the case for West Covina Disposal's automated waste collection proposal. While a 7-10-year amortization schedule .is possible, the reality in this current economic market is a.5-8 year. financing plan. 4. Commercial rates - It is often the practice to "break even" .on the residential collection and make the profit fromthe commercial accounts. West Covina Disposals proposal does not place any additional burden'.on the commercial rates. A review of the West Covina Disposal rates indicates they are below the average for surrounding cities. If they were increased by 10%, some monthly rates would be above the average and some below. In any case the rates would.be comparable to surrounding cities.. CMRR did not indicate the West Covina Disposal.costs were.out of line for the industry. CMRR did indicate the proposed automated collection system -is unique. Some savings could be attained by not having an automated green waste collection. CMRR noted that it is very difficult to accurately examine a company's revenues and expenditures. However, CMRR would be able to note any costs or revenues that may be out of line with the industry's norms. CMRR agrees that in future years the automated waste' collection system will help to contain costs. The immediate diversion of yard waste alone will result in some savings in future costs. Instead of paying $15-20 per ton to dispose of .it at a landfill, it will cost $8-9 per ton to go to the composting facility. We will be able to determine the actual "savings" when West Covina Disposal either advises'City of future landfill tip fee pass -through rates 3 or asks for a rate increase. OMER.CONC Over the last several weeks the residents have expressed a variety of concerns about the automated waste collection and the size of containers. Past staff reports have addressed these comments. Staff is not going.to reiterate these points in this report. It should be noted that all of the same issues have been raised in other communities.that proposed to automate waste collection. In every community, once the system has been implemented, the residential customers become supporters of the system. Staff believes the'West Covina experience will be the same. AB 939 IMPLICATIONS In all of the discussions on this proposal, the City cannot lose sight of the implications the proposed automated waste collection system will have on our ability, to achieve AB 939 goals. The collection of:yard waste and diverting it to a composting facility will allow the City to achieve its 25% goal in short-order.' Certainly a manual yard waste system could be employed, however as noted in earlier, reports the manual system.would be more expensive and labor intensive. The collection of the mixed trash in the othercontainer would still permit processing at a MRF. Residents could still remove recyclables for their purposes. West Covina. Disposal has agreed to consider providing several drop-off bins for recyclables in the meantime to provide an outlet for these materials. This would be in addition to the .current donations to schools, churches, etc. and the buyback centers. Pursuant to the Franchise Agreement, West Covina Disposal is committed to working with the City to achieve AB 939 goals. "Given the full cooperation of the City, Contractor guarantees to the City that twenty-five percent (25%) of the City's waste stream shall be diverted annually from ultimate deposit in landfills or transformation facilities by January 1, 1995." If a fully automated waste collection system is -not approved by the City Council, West Covina Disposal should be directed to return with.a manual yard waste.collection system proposal and other -collection programs to allow the City to move toward our AB 939 goals. As noted in earlier reports, a manual trash collection/yard waste/curbside recycling system would be more expensive per month, less cost-effective and the diversion rate may not be as high in the long run. The lower diversion rate is because of the overall lower participation rate in the programs. The cost of these programs with the. same CPI and landf ill tip fee pass-throughs would be $15.57.per month as proposed by West Covina Disposal. OPTIONS The.City Council has -several options available to them. These options include: 1. Retention of the current manual system. 2..-Implement the proposed automated waste collection system in 1992. 3. Implement the Commission's 'recommended manual collection, unlimited .yard waste collection and expansion of the curbside recycling system Citywide. .4.. Consider implementation of automated waste collection in 1993 or 1994. 5. Consider implementing a single container for trash used with a manual system for yard waste. 4 Option 1 would mean West Covina Disposal would begin purchasing manual -type waste collection trucks to replace some existing trucks. The completion of this replacement program would take 2-3 years. This option does nothing to start the City toward our AB 939 goals. This will also inhibit any possible change to automated waste collection in the near term.,, Option 2 means West Covina Disposal would purchase automated waste collection trucks. This option takes a significant step toward our AB 939 goals.. Based on the figures we have today, the diversion of the'yard waste to a composting facility would allow the City to meet the 1995-goal of 25% of diversion. Option 3 involved the purchase of additional' trucks and 'containers for recycling. If this is the direction selected, West Covina Disposal proposes to use a single 18-gallon crate. This avoids the purchase of specialized 'trucks that could only be used with stackable.crates.. This may achieve a 3-4 percent diversion rate based on the experience of other cities. Option 4 would mean West Covina Disposal purchases some manual -type collection trucks now,. while ,the City Council .would reconsider automation in 1993.- This option"does not immediately help the City to meet AB 939 goals. It will allow us to move in that direction in 1993. The cost of the automated system will probably be .greater. The.:cost of the trucks and containers will probably increase. Option 5 was discussed earlier. It would be a partial move toward automation, address concerns expressed recently about. yard waste and retain the option to automate the yard waste collection if warranted in future: years. In the short term the yard waste diverted would move the City toward the 25% diversion goal. The .amount of diversion will depend upon the level of participation in the yard waste collection system. Other options available to the City Council include: 1. Adjust the commercial ratesWest Covina Disposal noted the City Council : il had the option to adjust the monthly rate of the commercial waste.service rate. A saving of 790 on the residential rate would result in an 8% increase'in the commercial rates. A reduction of one dollar„ in the residential monthly, rate would approximate a 10.2% increase in the commercial rates. 2. Charge for an additional container: it costs $1.10 Tess to service two 60-gallon containers versus two 90- gallon containers. If the rate is set at $2.00 for any additional. container, the., additional funds may underwrite overall service costs. .The actual amount will'yary with the number.of residences requiring the additional container(s). Annual rate reviews would be the. time to quantify the actual revenues and. expenditures. RELATED ISSUES Two issues related to the automated waste collection system have had agreement between West Covina Disposal and the City. These are: a.. A reduction of $.1.10 per month when .two 60-gallon containers are requested and used -by a resident. b., Severely handicapped roll -out service. Other issues'remain to be resolved include: 1.' Provision of drop-off bins on city -owned parking lots in City to permit residents to drop.off recyclables. 61 jo R 2. Each additional container, either 60-gallon or 90-gallon, would be an added monthly charge of $2. 3. West Covina Disposal suggests a $15 service charge fee when a resident converts from 90-gallon containers to 60-gallon containers. Perhaps the first change would be at.no cost. Each change thereafter would have the service charge applied. This would cause the residents to think seriously about any change in container size.. The recently, approved low-income senior citizen rate reduction would apply to a manual or automated system. The 25% rate reduction is the highest of any surveyed city. If the City Council decides to move forward on automated waste collection, the unresolved issues can be addressed. The complete Package would be reported to the City Council and acted upon. CONCLUSIONS Staff believes the movement to an automated waste collection 'system is best for West- Covina. The automated residential waste collection system: 1. Is the most cost-effective waste collection system in the long term. 2. Will result in the greatest short-term benefits toward meeting AB 939 diversion goals, as a result. of yard waste diversion. 3. Will set the City .up for a cost-effective means of achieving the 50% waste diversion through 100% participation and use of a MRF. 4. In every other city where implemented had the same initial fears and resistance over the change from a manual system. Based on staff's survey of these cities- once it's implemented, and people become familiar with the program, the systems have become widely accepted. Now is the time to make the change to an automated system. The incremental cost of converting from manual to automated later will likely not be less expensive in the future. In fact,'the cost of trucks will become more expensive. Finance costs could also increase. Overall the staff believes the automated rate offered by West Covina Disposal is competitive with other automated systems in the county. Staff believes the rates are reflective of. operational costs that are reasonable. Staff is satisfied the costs presented by West Covina Disposal are what it will take for them to provide the services to West Covina. All of the proposed systems have costs consistent with the norms for the industry. The City Council must decide which system is for West Covina. RECOMMENDATION: It is recommended the City Council approve a waste collection alternative that will be a step toward the AB 939 goals and is economically feasible and authorize its implementation... Michael L. Miller Community Services Division Manager MLM: f1 6 ATTACHMENT A MONTHLY RATE COMPUTATION AND COMPARISON AUTOMATED REFUSE AUTOMATED REFUSE & ORIGINAL PROPOSED COMMISSION MANUAL & GREEN WASTE MANUAL GREEN WASTE AUTOMATED RECOMMENDED RATE RATE RATE RATE RATE SASE MONTHLY RATE $8.10 $10.86 $10.86 $11.51 $11.51 �PI INCREASE 0.22 , 2 0.22 2 0.22 2 0.122 0. 22 2 LANDFILL TIP FEE PASS -THROUGH 0.51 0.51 0.5I. 0.51 0.51 =BSIDE/MANUAL GREEN WASTE 3 >YSTEMS 5.06 ZEDUCTION TO MANUAL GREEN WASTE (0.50) ESTIMATED GREEN WASTE LANDFILL 0.21 0.21 [0.211 a (0.21) ° SUBTOTAL $8.83 $11.38 $10.88 $12.03 $16:99 iONTHLY RATE WITH FRANCHISE TAX 9.81 12.64 12.09 13..37 18.88 INTEGRATED WASTE MANAGEMENT FEE 0.14 0.14 0.14 0.14 0.14 ;EPTEMBER 1, 1992 RATE $9.95 $12.78 $12.23: $13.51 $19.02 • Subject to City Council approval. If 2-year CPI is applied per Franchise Agreement, an added 70 would have been added. As proposed by West Covina Disposal. Applied to make rate comparisons equal. RATE CHANGE OPTIONS: • Elimination of the special rates for schools reduces the monthly rate by 214 • Adjustment of the commercial rates by 10� reduces the monthly rate by $1.0-0 SCHOOL DISTRICT RATE REDUCTION ANNUAL CLEAN-UP WEEK AB 939 PROGRAMS DEVELOPMENT (10) AB 939 REPORTING ASSISTANCE BULKY HOUSEHOLD ITEM PICKUP LOW-INCOME SENIOR CITIZEN RATE REDUCTION ATTACHMENT C _. ChTY.WASTE COLLECTION . BIIRQSY COLLECTION CONTIINER MONTHLY :: CITY ,:. SYSTEM::' SIZ88 RATE:' CIIRBBIDE Arcadia Automated 2-60's 9.91 Recycling 2-90's 11.55 Bradbury Automated 2-90's 10.38 No Claremont Automated 2-90's 10.70 Recycling Covina Manual N.A. 12.55 No E1 Monte Manual N.A. 11.84 Recycling Glendale Automated' 1-60 6.45 Recycling 1-100 10.10 Glendora Manual N.A'. 11.21 Pilot La Habra Heights Manual N.A. 14.50 No La Puente Manual N.A. 12.73 (City) No 15.33 (County) Recycling La Verne Manual N.A. 10.50 Recycling . Monrovia Automated 2-60's 12.38 Recycling 2-90's 14.04 Pasadena Automated 2-60's 19.01 Recycling 2-100's 25.78 Pomona Automated 2-60's 19.04 Recycling 2-90's 19.04 San Dimas Manual N.A. 11.39 Recycling Santa Monica Automated 2-60's 59.64 Recycling 2-90's 73.30 Torrance Automated 1-100 12.00 Recycling Walnut Manual N.A. 12.36 Recycling • City of West Covina Memorandum TO City Manager and City Council AGENDA FROM Michael L. Miller community'services Division Manager ITEM NO. E-ld SUBJECT: AUTOMATED RESIDENTIAL WASTE COLLECTIOrbATE 7-7.-92 SUMMARY: This is the Amendment to the Waste Collection Franchise Agreement implementing automated residential waste collection service pursuant to the City Council action of June 16, 1992 approving this service. On June. 16, 1992, the City Council approved the proposal of West Covina Disposal to implement an automated residential waste collection system for the City. A. number of deal points were made at the time of City Council's approval. Staff was directed to use these points to formulate an Amendment to the Waste Collection Franchise Agreement (Agreement). Attached is. the full Amendment for City Council's consideration. Staff is recommending the City Council approve this Amendment to the Agreement. DEAL POINTS Prior to City Council action to approve the implementation of the automated residential waste collection system, several deal points were set forth. These points were sent to the City Council in last week's weekly memorandum. The points included • provide two 90-gallon containers for trash.and yard waste per residence. • provide one free change in the size of.the containers. • after a set period of time, any subsequent change in container size will.be subject to a $15 service charge.. • residents will have their choice of 90-gallon or 60-gallon for either trash or yard waste. • the monthly rate for two 90-gallon containers will be $12.78 at the start of the program. • a $1.10.reduction in the monthly rate will be available to residents who reduce the size of their trash container from the 90-gallon.to 60-gallon size. • West Covina Disposal will compute the monthly rate reduction for any reduction in container size for yard waste. • there will be a $2.00 monthly charge for any additional container of any size for either trash or yard waste. • West Covina Disposal will provide free roll -out service for the severely disabled. • West Covina Disposal will compute a charge for a roll -out service for any others requesting the service and provide the cost to the City. • the pilot curbside recycling program will cease when the automated collection service begins. • City Council may consider an adjustment of commercial rates to offset any loss of revenues.in the residential program. These points were used by the staff to draft the Amendment to the Agreement. The practical steps needed to implement this program were included in the Amendment. The following narrative discusses the Amendment and how it implements the above deal points. This data and information was reviewed with West Covina Disposal. RATES. Container Size Reduction Rates West Covina Disposal computed the rate reduction related to the, reduction in the size of the containers. Their computations are shown in Attachment A. West Covina Disposal determined that the monthly rate reduction for using the smaller trash container will be $0.80 per month. They had agreed to the $1.10 rate reduction and will honor that commitment. The monthly rate reduction for downsizing a yard waste container was computed to be 140. The basis for this computation appears to be reasonable.. Staff supports this rate reduction level with the understanding that all of the special features and rates will be reviewed a year from now. At that time actual experience and costs may be more clearly defined. Additional Container Rate The charge for the additional container was computed by West Covina Disposal to be an added monthly charge of $3.75 for trash and $2.44 for yard waste. Their computations are shown in Attachment A. At the June 16 City Council meeting, West Covina Disposal stated the $2.00 rate was reasonable for an additional 60 or 90-gallon container for either trash or yard waste.- Staff was of the opinion this rate is reasonable if one considers: • the additional container will probably be requested in March or Aprilof 1993 and not be a big factor prior to reviewing their rates in 1993. • these containers would probably not be serviced every week. • it is not known how few or how many people.will opt for an added container. Based on staff s observations, there may not be.a large number of people. Based on further negotiations, agreement was achieved to have a rate of $2.75 in the Amendment. Roll -out Rate West Covina Disposal offered to compute the cost for the roll -out service rate for people other than the severely disabled. This computation is in Attachment B. A review of their computation indicates -the $10.00 charge per month is reasonable. Keep in mind that this "manual" service will require the driver of an "automated" collection vehicle to stop and roll out the containers. The time spent providing this service will reduce the available time to service homes. Thus, the number of homes served -on a route could be reduced. In addition, the time taken to provide this "manual" service should be borne by the customer receiving the service. This cost should not be supported by the other -residential customers no'- receiving the service. Based on the above, staff believes the $10.00 per month charge is appropriate.. Monthly Rate The monthly rate for two 90-gallon containers' will be $12.78. Adjustments will be made according to' the container size or services requested by the residential customer. 2 A monthly rate has been computed for condominiums whose units put out individual trash containers only. The $10.68 per month cost is calculated in Attachment C. The rate and single container service will only be available to condominiums- that use individual containers for each unit's trash. The rate calculation appears to be reasonable.. Chance in Container Size The Amendment contains provisions to allow one free change in any container size in the first 12 months of the collection program. After the first change or after 12 months of service, there will be a $15.00 service charge for any change in container sizes. This cost was agreed to at the June 16 City Council meeting. West Covina Disposal will provide information to the residents on the need for 90-gallon containers. They will be advised to use the system for several months to allow time for them to determine their seasonal needs before making a change in the container size. The customer will be advised of the free change _and the subsequent service charge. Pilot Recycling Program This program will cease operation when the automated system commences operation. West Covina Disposal will be spotting drop- off bins for. recycling in a few locations in. the City as specified in the Franchise Agreement. Other Amendment Provisions The Amendment contains the other provision necessary to carry out this program. This includes free roll -out service for the severely disabled, billing procedures and methods to address old containers. These provisions have agreement from West Covina.Disposal. Commercial Rates The City Council indicated they may want to consider an adjustment in the commercial rates to ,offset revenues in the residential system. West Covina Disposal has computed that the commercial rates may. be adjusted by 8.83 percent to in effect reduce the residential rate by 780. Staff surveyed surrounding cities to obtain their commercial rates and compare them to the proposed and adjusted west Covina Disposal commercial rates. This survey is in Attachment D. Attachment E places West Covina Disposal rates in the context of the survey.averages and range of rates. This comparison revealed that four of the proposed West Covina Disposal commercial rates would be above average while five of the rates would be below average. If these rates were adjusted, all of West Covina Disposal rates would be above average but all would be well below the upper rate listed for the survey. The adjustment of. the commercial rate is a City Council policy. Staff makes no recommendation. Staff does request the final commercial rates be determined prior to approval of the Amendment ' to the Franchise Agreement. SUMMARY: Staff believes the program and rates presented in the Amendment appropriately implement the agreed points from the June 16 City Council meeting. If this Amendment is approved, the automated waste collection system would commence operation November 1, 1992. Staff fully supports this Amendment and the program. RECOMMENDATION Staff recommends that City'Council proceed with the implementation of the approved Automated Residential Waste Collection program by approving Amendment No. 1 of the Franchise Agreement, between the City of West Covina and Arakelian Enterprises, Inc. dba West Covina Disposal. Michael L. Miller Community Services Division. Manager MLM : f 1 AMENDMENT NO. 1 TO THE AGREEMENT BETWEEN THE CITY OF WEST COVINA AND, ARAKELIAN ENTERPRISES, INC. DBA WEST COVINA DISPOSAL FOR THE COLLECTION OF SOLID WASTE, RECYCLABLES, YARD WASTES AND OTHER COMPOSTABLES WHEREAS, on March 3, 1992, the City of West Covina (City) entered into an Agreement with Arakelian Enterprises, Inc., dba West Covina Disposal (Contractor) to provide waste and recyclable collection in this City Agreement; and WHEREAS, the Contractor was required to submit a proposal to automate residential waste collection within thirty days of receiving a request from the City; and WHEREAS, a proposal to automate residential waste collection was submitted by Contractor to City April 1, 1992; and WHEREAS, the City Council at a number of public meeting considered the proposal and received public input; and WHEREAS, the City Council acted on June 16, 1992, to direct the Contractor to.implement an automated residential waste collection program; and WHEREAS, the City staff and Contractor were directed to prepare an amendment to the Waste Collection Agreement to implement the automated residential waste collection system pursuant to .the ,terms approved June 16, 1992. NOW, THEREFORE, the City and Contractor mutually agree as follows: SECTION 1. Section 5.3 of the Agreement is hereby amended by the addition of the following: An automated residential waste collection service shall be provided by the Contractor. The automated residential collection service shall commence November 1, 1992. Contractor shall provide to the City. by July 10, 1992, a revised implementation schedule. The components of this automated residential waste collection program are set forth in Section 5.15 of this Agreement. The schedule of rates for this program are set forth in Exhibit E as amended. SECTION 2. Section 5.9 of the Agreement is hereby amended to read as follows: A. Care of Private Property. Reasonable care shall be used by the Contractor's employees in handling all privately owned collection containers and enclosures, and all damage caused by the negligence or carelessness of the Contractor's ,employees shall be promptly adjusted with the: owner thereof. All collection containers after emptying. thereof by the Contracator's employees shall be returned to within five ( 5 ) feet of the location ' from which the same were picked up by the Contractor's employees, upright with lids properly secured. Contractors employees shall use all reasonable means to ensure containers are not deposited in any driveway, sidewalk, or street, except at the curb. Contractor shall ensure that its employees close all gates opened by them in making collections, unless otherwise directed by the customer, and avoid crossing landscaped areas and climbing or jumping over hedges and fences. City shall refer complaints about damage .to private property to' Contractor. Contractor shall repair all damage to private property caused by its employees. SECTION 3. Section 5.a of the Agreement is hereby amended a' follows: A., Residential. Contractor shall provide an automated waste collection system for trash and yard waste subject to the following terms: Contractor shall provide two 90-gallon containers to'each residential customer, one for solid waste and recyclables and. one for yard waste. Condominiums that use individual trash containers, for each unit will be provided one 60-gallon container for solid waste and recyclables. Within twelve months of the start of automated waste collection service, any resident may request in writing one change in the container size for either trash, yard waste or both without, any. charge. A second change in the first twelve months or any change in. container size after the twelfth month of the start of automated service will be subject to.a service charge as. specified in Exhibit "E" as amended. If both containers are changed at the, same time) there will only be one service charge. Contractor shall fulfill the request to change containers within one week of receipt of the written request unlesscircumstances beyond, Contractor's control prevent such a response. Additional containers of either 60-gallon or 90 gallon size shall be provided by the Contractor at the written request of the resident subject to the additional monthly rates specified in the Exhibit "E as amended. Contractor shall make the appropriate adjustments to the resident's account to reflect the change in container size prorating the billing to the first of the nearest month from the date the.request is received. Contractor shall collect any metal or plastic containers discarded and left for collection as trash by residential customers within the two weeks following the commencement of automated collection service at no additional charge. . Every attempt will be made to recycle collected containers. Any revenues from recycling shall be split 50/50 between the City and the Contractor.' 9. Contractor shall provide container roll -out service for severely disabled residents at no charge. The definition for this -paragraph shall be Paragraph 2 of Section 5.3 of the Agreement 10. Separate, from the roll -out service provided in Section 5.3, Contractor shall provide a roll -out service to any residential customer that requests such a service. Said service shall be subject to additional charge as.specified in -Exhibit "E", as amended. 11. If any container is not used by the customer in the manner specified by the automated waste collection program, the Contractor shall .use a bilingual (English, Spanish) red tag to advise the customer. SECTION 4. Section 7.1 is hereby amended to read as.follows: 7.1 Curbside and Office Paper Recycling Program City presently has, in place a,pilot.office paper recycling program. Contractor shall keep this program in place on the same terms and conditions until such time Contractor develops and City'Council approves an equivalent recycling program which may include a materials.recovery facility. -(hereinafter "MRF") as set out in Exhibit The current pilot curbside recycling program shall cease operation the week the automated residential waste collection system commences operation. Contractor shall collect all unwanted pilot curbside recycling containers in the week following the automated service. Contractor shall, as a part of the notification specified above, advise the customers they may retain or return the containers.` Containers that are returned shall be recycled. Any revenues from the recycling shall be paid to the City. SECTION 5. Exhibit "E" of the Agreement hereby is deleted in its entirety and replaced in its entirety by Exhibit "A" attached hereto. SECTION 6. All other provisions of the Agreement shall remain in full force and effect. DATED: DATED: CITY: ARAKELIAN ENTERPRISES, INC. Mayor DA WEST COVINA DISPOSAL BY: Ran Arakelialn, Jr. President BY: Michael Arakelian Vice -President ATTEST: BY: City Clerk EXHIBIT A , SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA Single Family Residential Monthly Rate on or after 11/1/92 Two 90-gallon containers $12-.78/month (one trash, one -yard waste) Two 60-gallon containers $11.54/month (one trash, one yard waste)' Reduce container size from $ 1.10/month 90-gallon to 60-gallon (trash only) rate reduction Reduced container size from $ .14/month 907gallon to 60-gallon (yard waste.only) Charge for.any additional container- $ 2.75/month (any size, either a trash only container or a yard waste only container) Service charge for change in container $15.00/4elivery size -after the -first 12 months of service Roll -out service for any resident except $10.-00/month severely disabled Roll. -out service for severely disabled No charge Condominium service $10.68 (one 60-gallon container, trash only) Special pickup of items separate from $ 3.25 for estimation and dissimilar to those items listed plus mutually agreed in -Section VI.of the Agreement upon rate Service requiring use of scout forklift, $30.00-Barrel (1 cu. 1 time per.week yard maximum) - $78.50.-Bin (1.5 cu. yd) $89.50-Bin (3 cu. yd) The monthly rates have been adjusted by $ and shall be.calculated into the commercial rates proposed by the Contractor. EXHIBIT A-1 SCHEDULE OF -MAXIMUM RATES TO BE CHARGED• AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY.OF WEST COVINA ADJUSTED RESIDENTIAL RATES Single Family Residential Monthly Rate.on or after 11/1192 Two 90-gallon containers .$12.00/month (one trash, one yard waste) r Two .60-gallon containers $10.76/month (one,trash,.one yard waste) Reduce container size from $ 1.10/month 90-gallon to 60-gallon (trash only) rate reduction Reduced container size from $ .14/month 90-gallon to 60-gallon (yard waste only) Charge for any additional container $ 2.75/month (any size, either a trash only container. or a yard waste only container) - Service charge for change in container $15.00/delivery size after the first 12 months of service Roll -out service for any resident except $10.00/month severely disabled Roll -out service for severely disabled No charge Condominiums & Apts..with curbside°`service $10.68 (one 60-gallon container, trash only) Special pickup of items separate from $ 3.74 for estimation and dissimilar to.those items listed plus mutually agreed in Section VI of the Agreement upon rate Service requiring use of scout forklift,. $32•.25-Barrel (1 cu. 1 time per week yard maximum) $83.86-Bin(1.5 cu.yd) $95..57-Bin (3 cu. yd) The monthly rates have been adjusted by $ and shall be calculated into the commercial rates proposed by the Contractor. Multi -Family Residential Apartments -or multiple units containing $ 7.98 per unit four or more dwelling units, twice weekly pick-up of rubbish at central location on premises - to be billed monthly and the total amount of the.monthly billing to be paid by owner. Additional pick-ups may be arranged. $ 3.98/unit per each (1/2 of $-6.75)* additional weekly pick-up Rental -of container $31.34 per container per month Commercial: Pick-ups Per Week 3 3 .4 5. 5 3 Yard Bin- $79.23 $119.43 $157.28 $180.93 $209.31 $2.43.61 1.5 Yard Bin $66.22 $100.52 $127.71 Hookup charge to reinstate collection services after termination for non-payment: $12.46 Additional Services 3 Yard Bin, 3 day rental $ 69.80 3 Yard Bin - 1 month service $118.40 - 1 x week curbside plus $8.83 pickup in yard Additional Dump ;, $ 33.02 Roll -offs, 5 day period .$314:05 per dump Additional days (Demurrage) $9.35.per day Extra maintenance of bins over $ 43.62 per bin and above contract Lock set up $ 26.79 07-Ju1-92 WIIT aNDa RATES 10:35 AM 1E RE -ALIGN NEr GROSS WIFM AU1CMh= .11.38 -0.71' 10.67 11.86 12.00 ISM-£NMX BIN }6.46 PER UM" 0.53 6.99 7.77 7.98 34 PUS RENIM ADD'L PI( .;; . '; . :. 3.Z.. . .3.49 3.88 . 3.98 3YD 1X 64.16 5.31 ' 69.47 77.19 79.23 3X . 127.36 10.54 137.90 153.22 157.28 4X 146.51 12.12 158.63 176.26 180.93 bx 6X . 197.27 . 16.32' 213.59 237.32 243.61 .1X 53.62 4.44 58.06 -64.51 66.22 2X 81.40 6.73 88.13 97.93 100.52 RF�Il�IS'rA1E 10.36 0.86 11.22 12.46 ESTDM.. 3.37 0.28 3.65 4.05 3 DAY . .:::: ., 58.02 '.`:` . 4.80.. 62.82 .. 69.80 1 IUD 98.42 ;' 8.14 ` 106.56 ` 118.40 . . 02 EXHIBIT E SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA Single Family Residential Monthly Rate on or after 1/1, 1990 For a regularly scheduled Single Family $9.00 Residence once weekly pick-up from street, curb, or alley any amount of properly bundled or contained combined residential combustible and non-combustible rubbish and wrapped garbage. Special pickup for up to 5 bags or cans, $9.00 curbside ,Special pickup of items separate from and dissimilar $3.25 for estimation plus mutually to those items listed in Section VI of the Agreement. agreed upon rate. Service requiring use of scout forklift, $30.00 - Barrel (1 cu. yard 1 time per week maximum) $78.50 - Bin (1-1/2 cu. yard) $89.50 - Bin (3 cu. yard) Multi -Family Residential Apartments or multiple units containing $6.75 per unit four or more dwelling units twice weekly pick-up of rubbish at central location on Premises --to be billed monthly and the total amount of the monthly billing to be' paid by owner. Additional pick-ups may be arranged. $3.37 per unit per each (1/2 of 6.75) additional weekly pick-up Rental of container $24.50 per container per month Commercial: Pick-ups Per Week 1 2 3 4 5 6 3 Yard B $67.00 $101.00 $133.00 $153.00 $177.00. $206.00 1-1/2 Yard Bin $56.00 $85.00 .$108.00 Hookup charge to reinstate collection services after termination for non- payment: $1Q.00. Additional Services 3 Yard Bin, 3 day rental $56.00 3 Yard Bin - 1 month service $95.00 1 x week curbside plus $7 pickup in yard. Additional dump $26.50 Roll -offs, 5 day period $240.00 per dump, Additional .days (Demurrage) $7.50 per .day Extra maintenance of bins over and $35.00 per bin above contract Lock set up $21.50 RESIDENTIAL INCREASE S&LE Current Rate . . . $ 9.14 City's Waste Management Fee . . . $ .14 $ 9.00 City Franchise Fee (10%) . . . . . $ .90 Net to West Covina Disposal $ 8.10 Landfill Base 25$ S 2.03 CPI Base S 6.07 NOTE: Example Only - Actual Landfill Percentage May Vary EXHIBIT A SCHEDULE OF MAXIMUM RATES TO BE .CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA Single Family Residential Two 90-gallon containers (one trash, one yard waste) One 60-gallon container for trash and one 90-gallon container for yard waste Charge for any additional container (any size, either a trash only container.or a yard waste only container) Service charge.for change in container size after the first 12-months of service Roll -out service for any resident except severely disabled Roll -out service for severely disabled Condominiums & Apts. with curbside service (one 60-gallon container, trash only) Special pickup of items separate from and dissimilar to those items listed in Section VI of the Agreement Service requiring use of scout forklift, 1 time per week esidential Apartments or multiple units containing four or more dwelling units, twice weekly pick-up of rubbish at central location on premises - to be billed monthly and the total amount of the monthly billing to be paid by owner. Additional pick-ups may be arranged (1/2 of $VP75�,$7.88 Rental of container C:FL/FILES/GARBCOLE.XBA/st Monthly- Rate on or After 11 / 1 / 92 $12.78/month $10.00/month $ 2.75/month $15.00/month $10.00/month No charge $10.00 $ 3.74 for estimation plus mutually agreed upon rate $32.25-Barrel (1 cu. yard maximum) $83.86-Bin (1.5 cu.yd) $95.57-Bin (3 cu. yd): $ 7.88 per unit $ 3.94/unit per each additional weekly pick-up $28.95 per container per month 5 Commercial• Pick-ups Per Week 1 2 3 4 5 6 3 Yard Bin $78.24 $117.94 $155.32 $178.67 .$206.70 $240.58 1.5 Yard Bin $65.39 $99.27 $126.13 Hookup charge to reinstate collection services after termination for non-payment: $11.51 Additional Services 3 Yard Bin, 3 day rental $ 68.93 $116.92 - 1 x week curbside 3 Yard Bin - 1 month service plus $8.83 pickup in yard Additional.Dump. $ 32.61 Roll -offs, 5 day period $310.13 per dump Additional days (Demurrage) $ 9.23 per day Extra maintenance of bins .$ 43.08 per bin over and above contact Lock set up $ 26.46 SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA STNGLB FAKILy Monthly rate on or after 10/1/93 2 - 90 Gal.. Automated $13.06 .1 -.60 Gal/ 1 - 90 Gal. 10.20 2.83 Additional Container 13.13 Extra Pick-up (90 Gal.) 10.28 Extra Pick-up (60 Gal.) 15.42 Change Container size 10.28 Rollout Service. 0 Severely Disabled io:2o Condo/Apts. 60 Gal. 3:81. Special Pickup Estimate Chg. Scout Service 1 cu. yd.. 33..06 1.5 cu. yd. 85.75 3 cu.., yd.. 97.70 MOLTI-BA=LY•- Per Unit 8.05 Additional Pickup 4.01 Bin Rental co�n[sRCIAL 29:76 3 Mi• yd- lx 79.05 2x 119.16 3x 156.92 Ax .180.52 5x 208.83 6X 243.08 1 5__Yd• lx 66.08 2x 100.30 3x •127.43 Hook-up charge to reinstate 11.72 ADMTIONAL SERVICES ' 3 yd. Bin/3 day rental 70.07 3' yd. Bin/.l mo. rental 1 Additional Dump 33.7 33.07 Rolloffs/5,day rental 312.41 -Additional days 9.40 Extra Maintenance of.Bins 4.3.84 . .Locking Lid Set Up 2 6.9.6 EXHIBIT A SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA single Family Monthly rate on or after 911194 Two.90-gallon containers $13.33 One 60-gallon container for a $10.42 trash and one 90-gallon container for yard waste. Additional container $ 2.•88 (90-gallon container.for trash is only available to the 90-gallon basic service. It is not available to the 60-4allon service. Either service may have additional container(s) for yard waste only.) Extra pick up 90 Gallon -container $13.32 60 gallon container $10.42 Service charge for change $15.63 of container Roll -out service for any $10.42 resident except severely disabled Roll -out service for -0- severely disabled Condominiums & Apts. with $10.42, curbside service (one 60-gallon trash container) Estimate for Special $ 3.89 Pickup Scout Service (1 time per week) 1 cubic yard $33.63 Bin (1.5 cu. yard) $87.48 Bin (3 cu. yd) $99.70 July 26, 1994 EXHIBIT A (continued) Multi -Family Residential Monthly rate on or after 911/94 Apartments or multiple units $ 8.22 per unit containing four or more dwelling units, twice weekly pick-up of rubbish at central location on premises - to be billed.monthly and the total amount of the monthly billing to be paid'by owner. Additional pick-ups $ 4.11 Bin rental $30.18 (one container per month) Commercial: 3 Yard Bin 1 time per week $ 81.17 2 times per week $122.34 3 times per week $161.12 4 times per week $185.34 5 times per week $214.41 6 times per week $249.56 1.5 Yard Bin 1 time per week $ 67.83 2 times per week $102.98 3 times per week $130.85 Reinstatement $ 11.97 Additional services 3 Yard Bin/3 day rental $ 71.62 3 Yard Bin/1 month rental $121.38 Additional Dump $ 33.87 Roll -off bin/5 day rental $321.47 (per dump) Additional days $ 9.60 (per day) Extra maintenance of bin $ 44.80 Locking lid set up $ 27.50 July 26,1994 EXHIBIT A SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED .FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA Single Family Monthly rate on or after 9/1/95 Two 90-gallon containers $13.52 . One 60-gallon container for $10.55 trash and one 90-gallon container for yard waste. Additional container $ 2.93 (90-gallon container for trash is only available to the 9.0-gallon basic service. It is not available to the 60-gallon service. Either service may have additional container(s) for yard waste only.) Extra pick up 90 Gallon container $13.56 60 gallon. container $10.61 Service charge for change $15.91 of container Roll -out service for any $10.61 resident.except severely disabled Roll -out service for -0- severely disabled Condominiums & Apts. with $10.55 curbside service (one 60-gallon trash container) Estimate for Special $ 3.96 Pickup Scout Service (1 time per week) 1 cubic yard $34.16 Bin (1.5'cu. yard) $88.73 Bin (3 cu. yd) $10.1.10 EXHIBIT A. (continued) Multi -Family Residential Monthly rate on or after 9/1/95 Apartments or multiple units $ 8.34 per unit containing four or more dwelling units, twice weekly pick-up of rubbish at.central location on premises - to be billed monthly and the total amount of the monthly billing to be paid by owner. Additional pick-ups $ 4..17 Bin rental $30.71 (one container per month) Commercial• 3 Yard Bin 1 time per week $ 82.25 2.times per week $123.99 3 times per week $163.30 4 times per week $187.84 5 times per week $217.30 6 times per week $25.2.94 1.5 Yard Bin 1 time per week $ 68.75 2 times per week $104.37 3 times per week $132.61 Reinstatement $ 12.18 Additional Services 3 Yard Bin/3.day rental $ 72.83 .3 Yard Bin/1 month rental $123.21 Additional Dump._ $ 34.39 Roll -off bin/5 day rental $325.29 (per dump) Additional days $ 9.77 (per day) Extra maintenance of bin $ 45.60 Locking lid set up $ 28.00 August 1, 1995 EX Mrr A OF MAXIMUM RATES TO BE CHARGEDAGE SCHEDULE AND COLLECTED FOR COLLECTION SERVICES OF OR RUBBISH IN THE CITY OF WEST COVINA Monthly Single amily_ " Two 90VIlon gainers tdtP OII Or 9/1/ $13.87 One W-gallon container for $10.84 trash and one 9pga110n container for yard waste. Additional container $ 2.99 (90VHon container for trash is only available to the 90V11on basic service. Its Either service may have additional container(s) for yard waste only.) Farts pick up . 90 Gallon container $13.82 60 goon container $10.82 Service charge for change $16.22 Of container Roll -out service for any $10.82 resident except severely disabled Roll -out service for severely disabled Zondominium & Apts. with $10.84 carbside service (one 60gallon trash con01W) Fgrin t for Special $ 4.03 Pickup Scour service (1 time per week) 1 cubic yard $34.94 Bin (1.5 cu. yard) $91.05 Bin (3 cu- yd) $103.77 - 1 PRUTrED ON RECYCLED PAPER 8 / 14 / 96 EXIIIBIT A Aparameots or multiple units $ 8.58 per unit cou&h g four or more dwaft units, twice weekly pick-up of rubbish at central location on premises - to be billed monthly and the total amount of the monthly billing to be paid by owner. Additional pick-ups $ 4.28 ` $31.31 Bin rental . (one container per month) 3 1 time per week $ 84.60 ; 2 times per week $127.52 3 times per week .$167.96 4 times per week $193.20 5 times per week $223.49 6 times per week $260.15 L5 Yard Bin 1 time per week $ 70.71 2 times per week $107.35 3 times per week $136.38 ReinsaftmeW $ 12.42 A .. Services 3 Yard Bin/3 day rental $ 74.44 3 Yard Bin/1 month rental $126.36 Additional Dump $ 35.23 Roll -off bin/5 day rental (per dump) $335.54 Additional days (per day) $ 9.96 F.=a maintenance of bin $ 46.52 Locking lid set up $ 28.56 • 2 PRINTED ON RECYCLED PAPER 8/14/96 ' EXHIBIT A SCHEDULE OF MAXIMUM RATES TO BE CHARGED AND COLLECTED FOR COLLECTION SERVICES OF GARBAGE OR RUBBISH IN THE CITY OF WEST COVINA Single Family Monthly rate on or after 9/1/97 Two 90-gallon containers $ 14.28 One 60-gallon container for $ 11.43 trash and one 90-gallon container for yard waste. Additional black trash container $ 3.99 (90-gallon container for trash is only available to the 90-gallon basic service. It is —Qallon not available to the 60 service. Additional green yard waste container. $ 3.99 Either service may have additional container(s) for yard waste only.) Extra pick up 90 Gallon container $ 13.82 60 Gallon container $ 10.82 Service charge for change $ 16.22 of container Roll -out service for any $ 10.82 resident except severely disabled Roll -out service for -0- severely disabled Condominiums & Apts. with $ 11.43 curbside service (one 60-gallon trash container) Estimate for Special $ 4.04 Pickup Scout Service (1 time per week) 1 cubic yard $ 35.65 Bin (1.5 cu.. yard) $ 94.84 Bin (3 cu. yd) $108.28 10n197 1 PRINTED ON RECYCLED PAPER L EXHIBIT A ` Multi -Family Residential Monthly rate on or after 9/1/97 Apartments or multiple units $ 9.03 per unit containing four or more dwelling units, twice weekly pick-up of rubbish at central location on premises - to be billed monthly and the total amount of the monthly billing to be paid by owner. Additional pick-ups $ 4.51 Bin rental $31.31 (one container per month) Commercial: 3 Yard Bin 1 time,per week $ 89.18 . 2 times per week $134.42 3 times per week $177.04 4 times per week $203.65 5 times per week $235.58 6 times per week $274.23 1.5 Yard Bin 1 time per week $ 74.53 2 times per week $113.16 3 times per week $143.76 Reinstatement . $ 12.45 Additional Services 3 Yard Bin/3 day rental $ 75.61 3 Yard Bin/1 month rental $130.93 Additional Dump $ 36.30 Roll -off bin/5 day rental (per dump) $359.90 Additional days (per day) $ 9.99 Extra maintenance of bin $ 46.63 Locking lid s9t up $ 28.63 10/7/97 2 PRINTED ON RECYCLED PAPER Cotlecrioo Pt+oassin= and aw Nu Fr AB 939 Taal , Haul'mt Transfer DWOW R= s shme 'Raw _ CAN 90190 9.86 3.97 2.32 16.15 1.37 0.14 17.66 CAN WM 7.24 3.97 2.32 13.53 1.07 0.14 14.74 :ONDO/AP'rS-60 GAL 7.24 3.97 232 13.53 1.07 0.14 14.74 SC01TT SERVICE 1 YD ' 29.06 6.56 2.75 37.37 3.48 0.14 40.99 1.5 YD 80.63 9.84 - 4.13 . 94.60 9.09 0.14 103.83 3 YD 85.92 19.68 L26 •. 113.86 •10.36 0.14 124.36 MULTI-FAXLY PER UMTT 534 3.35 1.74 . 10.63 0.84 0.30 :. ' 11.77 ADD'L?B= . 2.76 1.69 0.87 5.31 0.42 0.15 . In PLUS BW RENTAL 28.16 28.16 3.05 0.83 32.04 COMMERCIAL . 3YD 1X 66.29 25.70 9.26 100.25 8.24 2.86 111.35 2X 92.91 51.39 ' 16M 160.72 . 12.42 4.59 177.73 3X 116.% 77.09 24.79 218.83 16.36 6.23 241.42 4X 126.63 102.79 33.04 262.46 18.82 7.45 288.73 5X - 141.10 128.47 41.30 310.87 21.77 8.91 341.45 6X 161.66 154.17 4956 .365.39 25.34 10.35 401.08 1.SYD 1X 60.24 12.85 4.13 77.22 6.89 2.23 96.34 2X 87.98 25.70 8.26 121.94 10.46 3.51 135.91 3X 108.47 38.55 12.39 159.41 13.29 4.58 177.29 REINSTATE 11.50 11.50 1.24 12.74 ESTIMATE- 3.73 3.73 0.40 4.13 3YD TEMP 3 DAY 66.62 4.54 191 73.07 7.44 80.51 1 MO 106.96 19.69 8.26 134.90 12.64 147-% X DUMP 30.31 4.54 .191 36.76 3.52 40.28 ROLL -OFF S DAY 224.05 151.35 63.55 438.95 33.55 472.50 DEMURRAGE 9.22 9.22 1.00 10.22 X BIN MADTrENANCE 43.09 43.09 4.65 47.73 LOCK LID 26.44 26.44 2.96 29.30 AUTO CONTAMM CHANGE 14.99 14.98 1.62 16.60 EXTRA 90 GALLON-BLACX • 3.79 ' 3.79 0.30 4.09 EXTRA 90 GALLON -GREEN__ 3.79 3.79 0.30 EXTRA AUTO PICK-UP 90 GALLON 12.76•• 12.76 1.38 14.14 60 GALLON 999 9.99 1.08 11.07 ROLLOUT SERVICE 9.99 9.99 1.08 11.07 46 City of West Covina Schedule of Rates I Effective March 1, 2002 Collection Processing and and . Net Franchise AB 939 Total Rate Hauling Transfer Disposal Rate Fee Surcharge 2 Can 90/90 10.59 3.97 2.32 16.88 1.88 0.14 18.90 2 Can 60/90 7.85 3.97 2.32 14.14 1.57 , 0.14 15.85 2 Can 90/90 Sr Dsct 6.37 3.97 2.32 12.66 1.41 0.14 14.21 2 Can 60/90 Sr Dsct 4.32 3.97 2.32 10.61 1.18 0.14 11.93 Condo/Apts 60 Gal 7.85 3.97 2.32 14.14 1.57 0.14 15.85 Scout Service 1 Yd 29.75 6.56 2.75 39.06 4.34 0.14 43.54 1.5 Yd 84.92 9.84 4.13 98.89 10.99 0.14 110.02 3 Yd 91.08 19.68 8.26 119.02 13.22 0.14 132.38 Multi -Family Per Unit 6.02 3.35 1.74 11. I 1 1.23 0.33 12.67 Add'l Pickup 3.00. 1.68 0.87 5.55 0.62 0.16 6.33 Plus Bin Rental 29.44 0.00 0.00 29.44 3.27 0.87 - 33.58 Lark Ellen Village and Promenade Apartments - Same as Commercial Rates Commercial 3 Yd Ix 70.83 25.70 8.26 104.79 11.64. 3.09 119.52 2X 100.09 51.39 . 16.52 168.00 18.67 4.95 • 191.62'. 3X 126.87 77.09. 24.78 228.74 25.42 6.74 260.90 4X 138.52 102.79 33.04 274.35 30.48 8.08 312.91 5X 155.18 128.41 41.30 324.95 36.11 9.57 370.63 6X 178.21 154.17 49.56 381.94 42.44 11.25. 435.63 1.5 Yd X 63.74 12.85 4.13 80.72 8.97 2.38 92.07 2X 93.50 25.70 8.26 127.46 14.16 3.75 145.37 3X 115.69 38.55 12.39 166.63 18.51 4.91 190.05 " Reinstate " 12.02 12.02 1.34 13.36 Estimate 3.90 3.90 0.43 4.33 3 Yd Temp 3 Day 69.93 4.54" 1.91 76.38 8.49 84.87 1 Month 113.07 19.68 8.26 141.0.1 15.67 156.68, X Dump 31.98 4.54 1.91 .> 38.43 4.27 42.70 Roll Off 5 Day 243.93 151.35 63.55 458.83 50.98 509.81' Demurrage 9.64 9.64 1.07 10.71 X Bin Maintenance 45.03 45.03 5.00 50.03 Lock Lid 27.64 27.64 3.07 30.71 Auto Container Chng 15.66 15.66 1.74 17.40 Extra 90 Gal Black 3.96 3.96 0.44 4.40. Extra 90 Gal Green 3.96 3.96 0.44 4.40 Extra Auto Pickup 90 Gallon 13.34 13.34 1.48 14.8Z 60 Gallon 10.44 10.44 1.16 11.60` Roll -Out Service 10.44 10.44 1.16 11.60 4 .' ,. • . 1 . Exhibit E-2 . City of West Covina Schedule of Rates Effective. July 1, 2002 Collection Processing and and Net Franchise AB 939 Total Rate Hauling Transfer Disposal Rate Fee Surcharge 2 Can 90/90 10.68 4.00 2.32 .17.00 1.89 0.14 19.03 2 Can 60/90 7.91 4.00 2.32 14.23 1.58 0.14 15.95 2 Can 90/90 Sr Dsct 6.43 4.00 2.32 12.75 1.42 0.14 14.31 2 Can 60/90 Sr Dsct 4.35 4.00 2.32 10.67 1.19 0.14 12.00 Condo/Apts 60.Gal 7.91 4.00 2.32 14.23 1.58 0.14 15.95 Scout Service I Yd 29.99 6.62 2.75 39.36 4.37 0.14 43.87, 1.5 Yd 85.60 9.92 4.13 99.65 11.07 0.14 110.86 3 Yd 91.81 19.85 8.26 119.92 13.32 0.14 133.38 Multi -Family Per Unit 6.07 3.38 1.74 11.19 1.24 0.33 .12.76 Add'I Pickup 3.02 1.69 0.87 5.58 6.62 0.16 6.36 Plus Bin Rental 29.67 0.00 0.00 29.67 3.30 , 0.87 33.84 Lark Ellen Village and Promenade Apartments - Same as Commercial Rates Commercial 3 Yd IX 71.39 25.92 8.26 105.57 11.73 3.11 120.41- 2X 100.88 51.83 16.52 169.23 18.80 4.98 193.01 3X 127.87 :' 77.74. 24.78 230.39 25.60 6.78 262.77 4X 139.60 103.66 33.04 276.30 30.70 8.14 315.14 5X 156.38 129.56 41.30 327.24 36.36 9.64 ' 373.24 6X 179.59 155.48 49.56 384.63 42.74 11.33 438.70 1.5 Yd 1 X 64.25 12.96 4.13 81.34 9.04 2.40 92.78 2X 94.25 25.92 8.26 .128.43 14.27 3.78 146.48 3X 116.61 38.88 12.39 167.88 18.65 4.94 ' 191.47 Reinstate 12.12 12.12 1.35 13.47 Estimate 3.93 3.93 .044 4.37 3 Yd Temp 3 Day 70.50 4.58 1.91 76.99 8.55 85.54 1 Month 113.98 19.85 8.26 142.09 15.79 157.88 X Dump 32.23 4.58 1.91 38.72 4.30 43.02 Roll Off 5 Day 245.84 152.64 63.55 462.03 51.34 513.37 Demurrage 9.72 9.72 1.08 10.80 X Bin Maintenance 45.40 45.40 5.04 50.44 Lock Lid 27.86 27.86 3.10. 30.96 Auto Container Chng 15.79 15.79 1.75 17.54 Extra 90 Gal Black 3.99 3.99 0.44 4.43 Extra 90 Gal Green . 3.99 3.99 0.44. . 4.43 . ' Extra Auto Pickup 90 Gallon 13.45 13.45 1.49 14.94 60 Gallon 10.53 10.53 1.17. 11.70 Roll -Out Service 10.53 10.53 1.17 11.70 5 Attachment II -,Weeping. - 14048 Valley Rlvd, September 20, 2002 P.O. Hox 60009 City of Indusw, GA 91 716.000? 626 Via Facsimile and Mail Fax (626) 3336 )336--36636 Shelley Sanderson Council Member City of West Covina P.O.13ox 1440 West Covina, CA 91793 Dear Ms. Sanderson: Per our many discussions and at your request, the following is intended to review the truth about multi -family versos commercial bin pricing in West Covina: When we acquired the West Covina contract in 1992, the City and Athens negotiated significant improvements to the then existing agreement originally executed with the Thorsen family. Ultimately, we executed a modem agreement that has since been amended and restated one time back in May, 1999. • it has always been clear that multi -family pricing is on a per 111111, bin rental basis. Athens has always offered the City a change to a uniform commercial price schedule that would be revenue neutral. in fact, the City has shtrlied tills multiple times over the years. •. Fact, multi -family pricing is advantageous to the majority of users. At $12.76 per month per unit, $33.84 per bin serviced 2 times per week and 16.36 per unit for emrn days serviced, most multi -family complexes Pay less than contrnercial rates. 0 177 multi -family complexes out of a total of 231 complexes would have an increase in monthly rate for comparable commercial smice. "lhis equals 771/nor total multi -family customers!!! • Listed below are a few examples of unit versus commercial for comparisim: of Units Service Unit Price Commercial Price 10 1-3 cubic yard bin-2x.weckly $161.47 $193.01 15 2-3 cubic yard bin-2x weekly $2.59.12 $386.04 20 2-3 cubic yard bin-2x weekly $322.94 $386.04 44 4-3 cubic yard bin-2x weekly. $696.92 $772.06 80 8-3 cubic yard bin-2x weekly $1,291.52 - $1.544.13 Page 2 September 20.2002 • We do not charge multi -family complexes for specialized "scout service". This is where a small Mick (scout) goes onto premise and brings the bins to the street so . the large trash truck can dump the bin. The scout then returns tlje bins back on to the property. This is needed in some complexes due to configuration of the site and placement of bins. + By having multi -family rates with a built in two time a week pick-up, most complexes are assured of having adequate service for residents. In communities where we utilize commercial pricing, it is a continual struggle with absentee owners, home -owner association's and property, management companies to set a proper level of service as they constantly want below the regnired level of service. Thus code enforcement becomes anissue as trash enclosures are hearing fiill before we set the right level of service. Shelley, i hope this information is helpful to you. If you have any questions, I can, be reached on my direct line at (626) 855-7205, our general office number (626) 336-3636 or in the evenings and weekends in any home at (909) 868-0944. Sincerely, Dennis M. Chiappetta Chief Operating Officer DMC':bw se+derca�.hr(Qe�nj