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HomeMy WebLinkAboutReso 70-15 Gabage & Recycle Fees RESOLUTION NO. 70 - 15 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN APPROVING AND ESTABLISHING THE COLLECTION OF MINIMUM RESIDENTIAL GARBAGE AND RECYCLING SERVICE FEES FOR FISCAL YEAR 2015- 2016 WHEREAS, the City of Dublin is mandated by the State of California, under AB 939 and SB 1016, to reduce the amount of solid waste going into the landfill; and WHEREAS, through the Mandatory Garbage Subscription Ordinance and other means, the City of Dublin is taking a proactive stance to meet the State Mandated Goals; and WHEREAS, the goal of the Mandatory Garbage Subscription Ordinance is to protect the health and welfare of the community, to provide recycling services to all residential property owners, and to equally share the costs of these programs by mandating that every residence contributes towards the cost of the service made available; and WHEREAS, minimum service includes service described in the current Agreement with the franchised waste hauler, Amador Valley Industries (AVI); and WHEREAS, in accordance with California Constitution Article XIII C (Proposition 218) Section 6 (2), the City provided written notice to all affected property owners on March 18, 2005 prior to adopting the Fiscal Year 2005-2006 rate structure which included a provision for future increases based on changes in specified indices as outlined in the agreement with AVI; and WHEREAS, the City Council has considered this action as part of a noticed public hearing on May 19, 2015; and WHEREAS, on June 20, 2012, the Alameda County Waste Management Authority (ACWMA) adopted Resolution #WMA 2012-06 creating a Benchmark Information Service Fee (FEE), which is designed to generate revenue to be used to provide residents with generalized programmatic solid waste data to determine how well their recycling efforts compare vis-à-vis their neighbors; and WHEREAS, the City of Dublin contends that the ACWMA does not have the legal authority to require that the City and its hauler collect the FEE on behalf of the ACWMA; and WHEREAS, the ACWMA believes that it does have the legal authority to require that the City and its hauler collect the FEE; and WHEREAS, in order to avoid litigation, the City agreed, in exchange for certain commitments from ACWMA, to collect the FEE from Fiscal Year 2013-2014 through Fiscal Year 2015-2016; and WHEREAS, following a noticed public hearing held May 19, 2015, the City desires to include the FEE within the assessment for minimal residential service rates for Fiscal Year 2015-2016; and Page 1 of 2 NOW, THEREFORE, BE IT RESOLVED that, the City Council of the City of Dublin does hereby approve and establish the collection of minimum residential services fees by the City on the property tax bill as shown in Exhibit A, which is attached hereto and hereby incorporated by reference. BE IT FURTHER RESOLVED that City Staff are hereby authorized to undertake all administrative tasks to implement the assessments, including, but not limited to an agreement with Alameda County for collection, which may provide payment to Alameda County of its reasonable costs of collection not to exceed 1.7% of the total amount levied. PASSED, APPROVED AND ADOPTED this 19th day of May, 2015, by the following vote: AYES: Councilmembers Biddle, Gupta, Hart, Wehrenberg, and Mayor Haubert NOES: None ABSENT: None ABSTAIN: None f./4 kj,it Mayor ATTEST: City Clerk Reso 70-15,Adopted 5-19-15, Item 6.2 Page 2 of 2 City of Dublin RESIDENTIAL MINIMUM GARBAGE / RECYCLING SERVICES (Collected With Residential Property Tax Bills) Basis of Fees The City has negotiated a multi-year agreement with Amador Valley Industries (AVI) requiring a rate adjustment to the residential minimum garbage/recycling services collected with the property tax bills. The current annual fee of $253.20 per year will increase $11.52 for a total of $264.72 for Fiscal Year 2015-2016. The annual assessment equates to a monthly increase of $0.96, from $21.10 to $22.06. The Agreement with the AVI provides for annual adjustments to the rates based upon annual changes in five separate indices, three of which are maintained by the Bureau of Labor Statistics (Refuse Rate Index), plus pass-through disposal costs. The five indices account for cost changes in the following categories: growth in services; labor; vehicle replacement; vehicle maintenance; and all other costs. In order to determine the fee, the City estimates the total revenue required to pay AVI for the Minimum Service to all residential units that are eligible to use the service, according to the terms of the agreement. The specific factors considered in this calculation include the following components: the residential rate for Minimum Service; estimated number of housing units affected by the fee; costs associated with the collection of the fee as part of the Property Tax Bill; estimated delinquencies; estimated revenues from late payments and interest earnings; and funds available from collections in a prior year. Additionally, the fee includes an amount assessed on all ratepayers within the City of Dublin by the Alameda County Waste Management Authority for its Benchmark Information Services Annual Report in the amount of $1.74 for Fiscal Year 2015-2016. The City is required to pass this amount through to ratepayers within the City of Dublin, unless they have opted out of the fee as reported to the City by the Alameda County Waste Management Authority. Thus, the total assessed amount for Fiscal Year 2015- 2016 will be $266.46, or a monthly amount of $22.21, unless the individual parcel has opted out of the Benchmark Information Services Fee, in which case: the annual assessment will be $264.72. Affected Parcels Chapter 5.32 of the Dublin Municipal Code requires the protection of the health, safety, and welfare of the community by requiring that all parcels obtain minimum weekly garbage service. Residential housing units are billed for the cost of Minimum Garbage Service, which is included with the annual property tax bill. This fee only applies to residential units which have individual garbage containers and are not serviced by central bins. This does include duplexes and other attached housing types, which receive individual service. Households subject to this fee, which only receive Minimum Service, will not be billed by the Garbage Company. Amador Valley industries will bill customers each quarter for Exhibit A additional services, if a household selects weekly garbage collection of a container larger than the 32-gallon container included in the Minimum Service Level. Services Provided By the Fee Minimum service includes weekly curbside collection of: one 32 gallon garbage container; up to two 96 gallon organic waste carts; up to two 96 gallon recycling carts; used oil and filters; an annual household hazardous waste drop off event; and three on- call bulky waste pick-ups per year. Amount of the Fee The annual amount of the assessment includes the cost of collection as well as the cost of services over the entire year. The City makes the payment to Amador Valley Industries based upon the current rate allowed for Minimum Residential Service. TYPE OF HOUSING UNIT ANNUAL FEE Each Single Family Residence $ 266.46 Each Condominium /Townhouse Unit $ 266.46 Each Duplex (2 Units) $ 532.92 Each Duplex (5 or More Units) $266.46 times the number of units