Title
HEARING - Community Development Agency, Environmental Management Division, recommending the Board conduct a public hearing to consider adopting and authorizing the Chair to sign Resolution 203-2016 adjusting the solid waste collection rates for South Tahoe Refuse Co., Inc., Area B, by 4%, to become effective January 1, 2017. (Est. Time: 15 Min.)
FUNDING: N/A - Collection Rate Funding.
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DEPARTMENT RECOMMENDATION
Community Development Agency, Environmental Management Division (EMD), finds a four percent (4%) increase to the existing rates to be appropriate and recommends the Board adopt Resolution 203-2016 adjusting the solid waste collection rates for South Tahoe Refuse Co., Inc., Area B, effective January 1, 2017.
DISCUSSION / BACKGROUND
On December 2, 2014 (Item 29), the Board:
1) Adopted Resolution 227-2014 authorizing the consolidation of the American River Disposal Service (ARD) Franchise Agreement into the South Tahoe Refuse (STR) Franchise Agreement;
2) Authorized the Chair to sign the First Amendment to the STR Franchise Agreement consolidating ARD into STR’s Agreement; and
3) Adopted Resolution 228-2014 authorizing the rate increase of 4% for ARD, now referred to as Area B of the STR Franchise Agreement (Area B), to become effective January 1, 2015.
The First Amendment to the STR Franchise Agreement also authorized a series of two additional 4% increases in Area B, to become effective January 1, 2016, and January 1, 2017.
On December 15, 2015 (Item 33), the Board adopted Resolution 209-2015 authorizing the first 4% rate increase to become effective January 1, 2016.
On October 28, 2016, EMD received an email from STR requesting the second 4% increase to become effective January 1, 2017. EMD has approved STR’s written notification to each Area B ratepayer. The table below provides a comparison of rates for either a thirty-two gallon can (32 Gal Can) or thirty-five gallon cart (35 Gal Cart) for each Franchise effective January 1, 2017.
Franchise Rates Effective 1/1/17 Residential Can/Cart
South Tahoe Refuse, Area B $15.14 32 Gal Can
South Tahoe Refuse, Area A $30.47 32 Gal Can
Tahoe Truckee Sierra Disposal $26.19 32 Gal Can
El Dorado Disposal, Area A $22.89 35 Gal Cart
El Dorado Disposal, Area B $21.62 35 Gal Cart
El Dorado Disposal, Area C $21.79 35 Gal Cart
The hearing to adopt the proposed collection rate adjustments has been duly noticed in accordance with Section 66016 of the California Government Code. Notice is scheduled for publication in the Tahoe Tribune on November 25, 2016, and December 2, 2016 (Attachment 4C).
ALTERNATIVES
N/A
OTHER DEPARTMENT / AGENCY INVOLVEMENT
N/A
CAO RECOMMENDATION
Approve the Department's recommendation.
FINANCIAL IMPACT
The County Franchise Fee will remain at 5%. However, as rates are incrementally increased, the County will see a slight increase in franchise fee revenue.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) Clerk of the Board with obtain the Chair’s signature on the adopted Resolution.
2) Clerk of the Board will forward a copy of the executed Resolution to EMD.
STRATEGIC PLAN COMPONENT
N/A
CONTACT
Greg Stanton, REHS, Director
Community Development Agency
Environmental Management Division