HomeMy WebLinkAboutSupplemental Communication - Study Session Item #2- PowerPoiREFUSE FRANCHISE REVIEW UPDATE
7/17/17
On May 15th the City Council
formed an Ad Hoc Council
Committee to review the City's
Refuse Franchise agreement with
Republic Services
This presentation is a 60-day
update
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The City Attorney and City Manager
reviewed and reported to the Ad -hoc
Committee on multiple sections of the
agreement, including:
Term —
15 year agreement with automatic annual
extension
3-year notice of termination
Termination triggers the remaining contract term
Compensation to Rainbow
Residential
Billed to customer by City
Subject to Prop. 218
Adjusted annually weighted formula
Commercial
Billed direct to customer by Rainbow
Adjusted annually weighted formula
Compensation to City from Rainbow
Commercial Franchise Fee - 5% of
commercial gross receipts ($900,000/year)
Transfer Station Host Fee —2% of paid
transfer station receipts paid monthly to offset
street infrastructure repairs ($500,000/year)
Annual reimbursement to offset PW
Scavenging Enforcement staff ($88,000/year)
NPDES/Water Quality Annual grant
($173, 500/year)
Other Points
Use of Alternative Fuel Collection Vehicles
Materials Recovery Facility
Residential use charged and collected by City
Commercial use charged and collected by
Rainbow
Waste diversion compliance and warranty
Other Services
City receives free solid waste and recycling
services provided at municipal facilities
subject to a maximum dollar allowance
Allowance adjusts annually with commercial
rates
Central Park cans
o Commercial bins at all facilities
o Downtown sidewalk container service,
including selected bus stops
Items to Consider in Future Negotiation
Term — length and renewal
Transfer Station User Fee
Rate Formula and Monthly Compensation
calculation
Franchise Fee
Items to Consider in Future Negotiation
Performance measures and customer
service standards — review and define
Public Education and Outreach — review and
define responsibilities
Clarify Responsibilities in Franchise
Questions?