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HomeMy WebLinkAboutItem 13 Discussion and Direction on Ocoee Solid Waste Franchise City of Ocoee ▪ 1 N. Bluford Avenue ▪ Ocoee, Florida 34761 Phone: (407) 905-3100 ▪ www.ocoee.org STAFF REPORT Meeting Date: June 16, 2026 Item #: 13 Contact Name: Department Director: Stephen Krug Contact Number: City Manager: Craig Shadrix Subject: Discussion and Direction on Ocoee Solid Waste Franchise. (Public Works Director Krüg) Background Summary: The City entered into a seven (7) year Solid Waste Franchise contract that includes both commercial and residential services in 2020 with Waste Connections. The current Franchise period expires on April 6, 2027. The Franchise includes an optional three (3) year extension and requires Waste Connections to notify the City by July 1, 2026, of their intent to extend the contract. Waste Connections has notified the City they are not willing to extend the contract at the current rates which were established before the pandemic. Waste Connections has offered updated pricing to maintain the current service levels which are in line or below Central Florida market costs. Based on recent rate studies and bids in the immediate region, negotiating with Waste Connections on the offered pricing would avoid the increased costs of a new bid. In addition to determining if the City pursues negotiated or bid pricing, the subject of continuing curbside collection of recycling will need to be addressed. Public Works Director Krug will present a summary of regional solid waste costs and review the proposed fees offered by Waste Connections. The City's current annual Non-ad-valorem residential fee is $344.42. Maintaining current service levels would require an $18.00 increase to $362.42 annually. Removing curbside recycling would allow the City to maintain the current $344.42 fee with an annual Consumer Price Index increase. Issue: Should the Honorable Mayor and City Commission; 1) negotiate updated pricing on the Solid Waste Franchise, and 2) continue residential curbside recycling collection? Recommendations: Staff recommends the Honorable Mayor and City Commission provide direction for the City Manager and Staff to negotiate pricing and contract extension with the current Solid Waste Franchisee and provide direction on curbside recycling. Attachments: 1. Waste Connections June 1, 2026 Solid Waste Franchise City of Ocoee ▪ 1 N. Bluford Avenue ▪ Ocoee, Florida 34761 Phone: (407) 905-3100 ▪ www.ocoee.org Financial Impacts: Financial impact will be determined following Commission direction. Type of Item: Regular