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HomeMy WebLinkAboutItem #10b Reso. Estab. New Rates for Commercial and Multifamily Solid Waste Services AGENDA ITEM COVER SHEET Meeting Date: September 19, 2006 Item # \O"B Reviewed By: ~ Department Director: . City Manager: ~./ /4 f____ Subject: Resolution Establishing New Rates For Commercial And Multi-Family Solid Waste Cc>llection And Disposal Services. Stephen C. Krug 6002 Contact Name: Contact Number: Background Summary: The City has reached the end of its agreement with the current franchisee whose previously contracted rates were within the rate structure set by Resolution No. 95-13. The two (2) year extension to the franchisee's contract allowed for renegotiation of rates to continue service and the updated rates are outside the current Resolution rate structure. The new rate structure requires a resolution increasing and establishing new rates for commercial and multi-family solid waste collection and disposal services retroactive to the beginning of the current billing period with an automatic fuel surcharge adjustment to said rates and the repeal of existing Resolution No. 95-13. Issue: The Honorable Mayor and City Commission to consider adopting a Resolution to establish updated rates for commercial and multi-family solid waste collection and disposal. Recommendations Staff respectfully requests the Honorable Mayor and City Commission to adopt a new Resolution increasing and establishing new rates for commercial and multi-family solid waste collection and disposal services retroactive to the beginning of the current billing period; providing for automatic fuel surcharge adjustments to said rates and repealing Resolution No. 95-13. Attachments: Resolution with Attachments. Financial Impact: Approval of the proposed resolution will increase the franchise customer collection rates yet the revenue from the franchise fee will be maintained at the current amount. Type of Item: D Public Hearing D Ordinance First Reading D Ordinance First Reading D Resolution D Commission Approval D Discussion & Direction For Clerk's DeDi Use: D Consent Agenda D Public Hearing ~ Regular Agenda D Original Document/Contract Attached for Execution by City Clerk D Original Document/Contract Held by Department for Execution Reviewed by City Attorney Reviewed by Finance Dept. Reviewed by ( ) IZJ N/A o N/A o N/A City Manager Robert Frank Commissioners Dannv Howell. District 1 Scott Anderson. District 2 Rustv Johnson. District 3 Nancv J. Parker. District 4 Mavor S. Scott Vandergrift STAFF REPORT TO: The Honorable Mayor and City Commissioners FROM: Stephen C. Krug, Director of Public Works DATE: September 19,2006 RE: Resolution Establishing New Rates For Commercial And Multi-Family Solid Waste Collection And Disposal Services ISSUE The Honorable Mayor and City Commission to consider adopting a Resolution to establish updated rates for commercial and multi-family solid waste collection and disposal. BACKGROUNDIDISCUSSION The City has reached the end of its agreement with the current franchisee whose previously contracted rates were within the rate structure set by Resolution No. 95-13. The two (2) year extension to the franchisee's contract allowed for renegotiation of rates to continue service and the updated rates are outside the current Resolution rate structure. The new rate structure requires a resolution increasing and establishing new rates for commercial and multi-family solid waste collection and disposal services retroactive to the beginning of the current billing period with an automatic fuel surcharge adjustment to said rates and the repeal of existing Resolution No. 95-13 The resolution rates will be adjusted automatically on an monthly basis for fuel surcharge. The monthly adjustment will allow the City to maintain aggressive rates at a lower overall fee for the consumer utilizing the servIces. RESOLUTION NO. A RESOLUTION OF THE CITY OF OCOEE, FLORIDA INCREASING AND ESTABLISHING NEW RATES FOR COMMERCIAL AND MULTI-FAMILY SOLID WASTE COLLECTION AND DISPOSAL SERVICES RETROACTIVE TO THE BEGINNING OF THE CURRENT BILLING PERIOD; PROVIDING FOR AUTOMATIC FUEL SURCHARGE ADJUSTMENTS TO SAID RATES; REPEALING RESOLUTION NO. 95-13 AND ALL RESOLUTIONS IN CONFLICT HEREWITH; PROVIDING FOR SEVERABILITY; PROVIDING FOR AN EFFECTIVE DATE. WHEREAS, the City Commission has previously adopted Resolution No. 95-13 establishing rates for commercial and multi-family solid waste collection and disposal services; and WHEREAS, Section 143-8(A) of the Ocoee City Code authorizes the City Commission to establish solid waste collection services rates by adoption of a resolution after an advertised public hearing preceded by at least seven days notice of the hearing and the proposed action; and WHEREAS, the City currently provides commercial and multi-family solid waste collection and disposal services through a franchisee which has been awarded an exclusive franchise for such purpose; and WHEREAS, the City's franchisee has requested that the City increase the rates charged for commercial and multi-family solid waste collection and disposal services in order to reflect the franchisee's increased costs of operation; and WHEREAS, the City Commission has agreed to such request subject to the adoption of this Resolution. ORLA_ 421818.1 NOW, THEREFORE, BE IT RESOLVED BY THE CITY COMMISSION OF THE CITY OF OCOEE, FLORIDA, AS FOLLOWS: SECTION 1. Authority. The City Commission of the City ofOcoee has the authority to adopt this Resolution pursuant to Article VIII of the Constitution of the State of Florida, Chapter 166, Florida Statutes, and Sections 143-8 (A) and 143-9 (B) ofthe Code of Ordinances of the City of Ocoee. SECTION 2. Repeal of Prior Resolution. Resolution No. 95-13 adopted September 5, 1995 is hereby repealed its entirety. SECTION 3. Establishment of New Rates. The Ocoee City Commission hereby establishes the following as the rates for commercial and multi-family solid waste collection and disposal services, such rates to be effective retroactive to the beginning of the billing period of the City's franchisee during which this Resolution is adopted: SEE EXHIBIT "A" A TT ACHED HERETO AND BY THIS REFERENCE MADE APART HEREOF. SECTION 4. Fuel Adjustment Surchar~e. The Ocoee City Commission hereby approves and establishes an automatic fuel adjustment surcharge to be added to the monthly charges for commercial and multi-family solid waste collection and disposal services as set forth in Section 3 above, such fuel adjustment surcharge to be calculated in accordance with the formula set forth in Exhibit "B" attached hereto and by this reference made apart hereof; provided, however, that no such fuel adjustment surcharges will be imposed prior to December 1, 2006. SECTION 5. Conflictin~ Resolutions. The provisions of resolutions or parts thereof which are inconsistent or in conflict with this Resolution are hereby repealed. ORLA_421818.1 -2- SECTION 6. Severability. If any section, subsection, sentence, clause, phrase or portion of this Resolution is for any reason held invalid or unconstitutional by any court of competent jurisdiction, such portion shall be deemed a separate, distinct and independent provision and such holding shall not affect the validity of the remaining portion hereto. SECTION 7. Effective Date. This Resolution shall become effective immediately upon passage and adoption. PASSED AND ADOPTED this _ day of September, 2006. APPROVED: ATTEST: CITY OF OCOEE, FLORIDA Beth Eikenberry, City Clerk S. Scott Vandergrift, Mayor (SEAL) ADVERTISED: September _, 2006 APPROVED BY THE OCOEE CITY COMMISSION AT A PUBLIC HEARING HOLD ON THE ABOVE DATE UNDER AGENDA ITEM NO. ORLA_421818.1 -3- FOR USE AND RELIANCE ONLY BY THE CITY OF OCOEE, FLORIDA; APPROVED AS TO FORM AND LEGALITY this _ day of September, 2006. FOLEY & LARDNER LLP By: City Attorney ORLA_421818.1 -4- EXHIBIT" A" MONTHL Y RATES AND OTHER CHARGES (A) MONTHL Y RATES FOR COMMERCIAL AND MULTI-FAMILY SOLID WASTE SERVICES. WEEKLY PICK-UP 2 CUBIC YARDS 3 CUBIC YARDS 4 CUBIC YARDS 1 time $ 41.57 $ 62.36 $ 83.14 2 times $ 83.14 $ 124.70 $ 166.27 3 times $ 124.70 $ 187.05 $ 249.41 4 times $ 166.27 $ 249.41 $ 332.54 5 times $ 207.84 $ 311.76 $ 415.68 6 times $ 249.41 $ 374.12 $ 498.82 1 time 2 times 3 times 4 times 5 times 6 times 6 CUBIC YARDS 8 CUBIC YARDS $ 124.70 $ 166.27 $ 249.41 $ 332.54 $ 374.11 $ 498.82 $ 498.82 $ 665.09 $ 623.52 $ 831.36 $ 748.22 $ 997.63 WEEKL Y PICK-UP EXTRA PICK-UPS: 2 cubic yards: 3 cubic yards: 4 cubic yards: 6 cubic yards: 8 cubic yards: $ $ $ $ $ per extra pick-up per week per extra pick-up per week per extra pick-up per week per extra pick-up per week per extra pick-up per week ABOVE PRICES INCLUDE FULL PRICE OF DUMPSTER RENTAL ORLA_ 421828.2 (B) ROLL-OFFS: Pricing for roll-offs: Open Top 20 cubic yard Open Top 30 cubic yard Open Top 40 cubic yard Compactor Any Size $ 130.00 per pull plus actual landfill disposal charges $ 130.00 per pull plus actual landfill disposal charges $ 130.00 per pull plus actual landfill disposal charges $ 130.00 per pull plus actual landfill disposal charges (C) OTHER CHARGES: Other charges for services to be provided under Agreement: If request by customer - any appropriate rental fees compactors, containers, etc. These rental charges to reflect amortized costs of equipment with a return on investment. The specific schedule for any such charges shall be subiect to the approval of the City. (D) CONSTRUCTION AND DEMOLITION DEBRIS FROM RESIDENTIAL BUILDING, ROOFING AND REMODELING: Construction and demolition debris from residential building, roofing and remodeling is NOT within the scope of the Agreement. 2 ORLA_ 421828.2 EXHIBIT "B" FUEL ADJUSTMENT SURCHARGE A fuel adjustment surcharge shall be applied to the franchise rates monthly based on a starting monthly average diesel fuel price of $2.85/gallon as of September 1,. The fuel adjustment will be based on the monthly diesel fuel price for the East Coast Lower Atlantic (P ADD 1 C) No 2 Diesel Retail Sales by All Sellers obtained from data published by the Energy Information Administration of the U.S. Department of Energy at the following website: http://tonto.eia.doe.g:ov /oog/info/ gdu/ gasdiesel.asp The surcharge applied each month will be based on the following price per gallon table. The surcharge will go to $0.00 once the average monthly rate goes to $2.85 / gal. PPG % 2.85 - 2.86 0.05 2.87 0.10 2.88 0.15 2.89 0.20 2.90 0.25 2.91 0.30 2.92 0.35 2.93 0.40 2.94 0.45 2.95 0.50 2.96 0.55 2.97 0.60 2.98 0.65 2.99 0.70 3.00 0.75 3.01 0.80 3.02 0.85 3.03 0.90 3.04 0.95 3.05 1.00 3.06 1.05 3.07 1.10 3.08 1.15 3.09 1.20 3.10 1.25 3.11 1.30 3.12 1.35 3.13 1.40 3.14 1.45 3.15 1.50 3.16 1.55 PPG % 3.17 1.60 3.18 1.65 3.19 1.70 3.20 1.75 3.21 1.80 3.22 1.85 3.23 1.90 3.24 1.95 3.25 2.00 3.26 2.05 3.27 2.10 3.28 2.15 3.29 2.20 3.30 2.25 3.31 2.30 3.32 2.35 3.33 2.40 3.34 2.45 3.35 2.50 3.36 2.55 3.37 2.60 3.38 2.65 3.39 2.70 3.40 2.75 3.41 2.80 3.42 2.85 3.43 2.90 3.44 2.95 3.45 3.00 3.46 3.05 3.47 3.10 3.48 3.15 PPG % 3.49 3.20 3.50 3.25 3.51 3.30 3.52 3.35 3.53 3.40 3.54 3.45 3.55 3.50 3.56 3.55 3.57 3.60 3.58 3.65 3.59 3.70 3.60 3.75 3.61 3.80 3.62 3.85 3.63 3.90 3.64 3.95 3.65 4.00 3.66 4.05 3.67 4.10 3.68 4.15 3.69 4.20 3.70 4.25 3.71 4.30 3.72 4.35 3.73 4.40 3.74 4.45 3.75 4.50 3.76 4.55 3.77 4.60 3.78 4.65 3.79 4.70 3.80 4.75 PPG = Price Per Gallon % = The percent adjustment to the rate. PPG % 3.81 4.80 3.82 4.85 3.83 4.90 3.84 4.95 3.85 5.00 3.86 5.05 3.87 5.10 3.88 5.15 3.89 5.20 3.90 5.25 3.91 5.30 3.92 5.35 3.93 5.40 3.94 5.45 3.95 5.50 3.96 5.55 3.97 5.60 3.98 5.65 3.99 5.70 4.00 5.75 4.01 5.80 4.02 5.85 4.03 5.90 4.04 5.95 4.05 6.00 4.06 6.05 4.07 6.10 4.08 6.15 4.09 6.20 4.10 6.25 4.11 6.30 4.12 6.35 PPG % 4.13 6.40 4.14 6.45 4.15 6.50 4.16 6.55 4.17 6.60 4.18 6.65 4.19 6.70 4.20 6.75 4.21 6.80 4.22 6.85 4.23 6.90 4.24 6.95 4.25 7.00 4.26 7.05 4.27 7.10 4.28 7.15 4.29 7.20 4.30 7.25 4.31 7.30 4.32 7.35 4.33 7.40 4.34 7.45 4.35 7.50 4.36 7.55 4.37 7.60 4.38 7.65 4.39 7.70 4.40 7.75 4.41 7.80 4.42 7.85 4.43 7.90 4.44 7.95 PPG % 4.45 8.00 4.46 8.05 4.47 8.10 4.48 8.15 4.49 8.20 4.50 8.25 4.51 8.30 4.52 8.35 4.53 8.40 4.54 8.45 4.55 8.50 4.56 8.55 4.57 8.60 4.58 8.65 4.59 8.70 4.60 8.75 4.61 8.80 4.62 8.85 4.63 8.90 4.64 8.95 4.65 9.00 4.66 9.05 4.67 9.10 4.68 9.15 4.69 9.20 4.70 9.25 4.71 9.30 4.72 9.35 4.73 9.40 4.74 9.45 4.75 9.50 4.76 9.55 PPG % 4.77 9.60 4.78 9.65 4.79 9.70 4.80 9.75 4.81 9.80 4.82 9.85 4.83 9.90 4.84 9.95 4.85 10.00 4.86 10.05 4.87 10.10 4.88 10.15 4.89 10.20 4.90 10.25 4.91 10.30 4.92 10.35 4.93 10.40 4.94 10.45 4.95 10.50 4.96 10.55 4.97 10.60 4.98 10.65 4.99 10.70 5.00 10.75 5.01 10.80 5.02 10.85 5.03 10.90 5.04 10.95 5.05 11.00 5.06 11.05 5.07 11.10 5.08 11.15 PPG % 5.09 11.20 5.10 11.25 5.11 11.30 5.12 11.35 5.13 11 .40 5.14 11 .45 5.15 11.50 5.16 11.55 5.17 11.60 5.18 11.65 5.19 11.70 5.20 11.75 5.21 11.80 5.22 11.85 5.23 11.90 5.24 11.95 5.25 12.00 5.26 12.05 5.27 12.10 5.28 12.15 5.29 12.20 5.30 12.25 5.31 12.30 5.32 12.35 5.33 12.40 5.34 12.45 5.35 12.50 5.36 12.55 5.37 12.60 5.38 12.65 5.39 12.70 5.40 12.75 o~,g? Copy of Public Hearing Advertisement Date Published 5\At\da ,S"ert. lO, t.Oo~ C\ asslfftds 01 \o.nio ,tN1N.t Advertisement Nona oHl/lIlJC IlEARlNG em IF lICOH Notice Is her-eby given pur- suant to Chapter 143-8.A of the Code of Ordinances of the City of Ocoee, Florida that the City Commission of' the City of Ocoee, Florida, at a session to beheld on September 19, 2006 at 7: 15 p.m., or as soon thereafter as practical, will hold a Public Hearing at Ocoee City Hall, 150 N. lakeshore Drive, Ocoee, Florida 34761' to consider the following Resolution: A RESOLUTION OF THE CITY OF OCoEE, FLORIDA, INCREASING AND ESTABLISHING NEW' RATES FOR COMMERCIAl. AND MULTI.FAMlLY SOLID WASTE COLLECTION AND DISPOSAL SERVICES RETROACTIVE TO THE IIEGINNING OF THE CUR- RENT BIWNG PERIOD; PROVIDING FOR AUTOMATIC FUEL SUR. CHARGE ADJUSTMENTS. TO SAID RATES; REPEAUNG RESOLUTION NO. 95.13 AND ALL RESOLUTIONS IN CoNFUCT HEREWITH; PRoVIO. ING FOR SEVERABILITY; PRoVID. ING FOR AN EFFECTIVE DATE. I nterested parties may ap- pear at the public hearing to be heard regarding the pro- posed Resolution, A COpy of the proposed Resolution, may be examined at Ocoee Clty.Hall, 150 N. lakeshare Drive, Ocoee, Florida be- tween the hours 018:00 a.m, and 5:00 p.m., Monday, through Fridav at the Citv Clerk's office. You are ad- vised that if any person de- cides to appeal any decision made with respect to any matter considered at such public hearing, he or she will need a record of the proceedings and for such purpose such person may need to ensure that a verba- tim record. of the proceed. ings is made, at their own expense; and which record includes the testimony and evidence on' which the ap. peal is based. Persons with disabilities needing ,assis- tance to participate in the public discussion should contact the City Clerk's of- fice 48 hours In advance of I the meettn. llt/~4(1) 905" 3105. , ',' Beth Elk-.,berry, City Clerk COR6976984 SEPT.IO,2006