Title
Environmental Management Department recommending the Board approve and authorize the Chair to sign Agreement 7977 with Clean Tahoe to provide litter abatement services in the Lake Tahoe Basin, with a not-to-exceed amount of $58,000 and retroactive to a term beginning July 1, 2023, and ending June 30, 2025.
FUNDING: County Service Area No. 10, Zone C Parcel Fees.
Body
DISCUSSION / BACKGROUND
Clean Tahoe began in 1988, and by 1989, began receiving parcel fees assessed on the County tax rolls in the South Lake Tahoe Basin in exchange for litter pick-up services. Currently, Clean Tahoe receives annually approximately $29,000 of the total CSA 10, Zone C parcel fees collected. In addition to parcel fees, and as authorized by Board Resolution No. 218-99, Clean Tahoe is also funded by a surcharge of fifteen cents ($0.15) per month on each refuse account serviced by South Tahoe Refuse, Inc. in the unincorporated area of the Lake Tahoe Basin.
Under a separate agreement, the City of South Lake Tahoe also funds and receives litter services from this program. In May 1992, the City of South Lake Tahoe and the County entered into a Joint Powers Agreement and a City/County Joint Board of Commissioners was appointed to oversee the program. In 1995, Clean Tahoe became a non-profit corporation overseen by a Board of Directors. On June 29, 1999, a formal written agreement documenting the expectations for Clean Tahoe in exchange for revenue provided by the County was executed. Under this Funding Agreement (Agreement) with Clean Tahoe, dated June 29, 1999, the County paid $21.00 per hour for 23 hours of service per week year-round.
Over the course of the following decade since the 1999 agreement, the costs to run the Clean Tahoe program increased. As a result, on June 19, 2012 (Legistar 12-0660, Item 3), the Board approved Agreement #245-F1311 with a three-year term, commencing July 1, 2012, that allowed for the increased hourly rate of $36.06 and reduced the hours to an average of eight hours of service per week between October 1 and March 31 each year and 18 hours of service per week between April 1 and September 30 each year. The increased hourly rate was offset by the decrease in hours worked, thereby keeping the program expenditures in line with available funding.
On June 26, 2018 (Legistar 18-0731 Item 42), the Board approved Agreement 3038 with a three-year term, commencing June 26, 2018, and terminating June 30, 2021. Minor changes were made to the agreement to clarify portions of the scope of work and update service locations along Highway 50. There was no change to the hourly rate or service hours under the new agreement.
On June 8, 2021 (Legistar 21-0668) the Board approved Amendment 1 to Agreement 3038, extending the contract term from June 30, 2021, to December 30, 2021. No changes to the hourly rate or service hours were proposed under this Amendment. The purpose of the Amendment was to allow sufficient time for Environmental Management, Clean Tahoe and South Tahoe Refuse to develop alternative contractual and funding strategies for the Clean Tahoe Program to increase their funding. Environmental Management was to return later in the year to propose alternative strategies and a new Agreement.
On May 10, 2022 (Legistar 22-0418) the Board approved Agreement 6449, extending the contract term from December 31, 2021, to June 30, 2023. Given the limited funding source for the Clean Tahoe program, the hours of service were reduced to no less than 240 hours of service between April 1st and September 30th, and no less than 192 hours of service between October 1st and March 31st. The fee structure has changed from an hourly rate to set fees for services provided. This allows Clean Tahoe to achieve cost savings while maintaining the level of service to the County.
This Agreement will cover the term from July 1, 2023 to June 30, 2025.
On June 13, 2023, the Board held the Fiscal Year 2023-24 Budget Hearing. During the discussion, the Board directed staff to consider the use of $29,000 in Transient Occupancy Tax (TOT) funding for Clean Tahoe in the Adopted Budget to mitigate the impacts of tourism in the Tahoe area, should funding be available following the close of FY 2022-23. Should sufficient excess TOT funding be available, the use of TOT for this purpose will be recommended to the Board with the forthcoming Adopted Budget changes.
ALTERNATIVES
The Board may choose to deny the approval of this Agreement. This would result in the inability of the County to provide this essential program in the South Lake Tahoe Basin. Further, Environmental Management does not have staffing or other funding sources available to warrant the addition of permanent staff to perform the services under this Agreement.
PRIOR BOARD ACTION
See Discussion/Background above.
OTHER DEPARTMENT / AGENCY INVOLVEMENT
County Counsel has approved the proposed Agreement.
CAO RECOMMENDATION
Approve as recommended.
FINANCIAL IMPACT
There is no change to Net County Costs associated with this Agreement. Funding is obtained through the annual collection of parcel fees.
CLERK OF THE BOARD FOLLOW UP ACTIONS
1) Clerk of the Board will obtain the Chair's signature on two (2) originals of the Agreement; and
2) Clerk of the Board will forward one (1) fully executed original Agreement to the Chief Administrative Office, Contracts and Procurement Unit, for further processing.
STRATEGIC PLAN COMPONENT
Healthy Communities, Good Governance
CONTACT
Jeffrey Warren, REHS, Director
Environmental Management Department