Item 9AItem 9A: Renewal of the solid waste services contract with Republic Waste Services including proposed amendments
Jim Blagg
Contract History
Contract Approved: March 22, 2007
Term: 18 months
Termination: October 31, 2008
Renewal Options:
18 months
5 years
Performance Measures
Need for Amendments
Initial term of contract expires 10/31/08
Residential Load
Projected: 32 lbs / person
Actual: 42 lbs / person
Additional 20 tons / collection day from Southlake
Additional $86,000 / year in disposal expense
Residential Labor Expense
Additional load = $131,000 additional labor expense
Fuel Costs
$2.50 / gallon at start of service
$4.45 as of June 11, 2008
Additional $195,000 per year
Proposed Amendments - Overview
Rate schedule adjustment
Commercial recycling
Contract extension options
Proposed Amendments
Rate schedule
*CPI Increase shall not be greater than 6% or less than 3%
**Effective October-08: Percentage increase determined by rate schedule
exhibit
Residential Changes
*Waste stream reduction = lower negotiated increase 10/09
Grass clipping ban
Require landscapers to haul off yard waste
Promote leaf recycling program
Commercial Changes
Commercial Comparison
Commercial Comparison – Other Republic Customers
Commercial Average Rate per cubic yard of collection
Fuel Surcharge - Example
Proposed Amendments
Commercial Recycling Service
Proposed Amendments
3. Extension
5 year extension: October 2008
5 year extension based on performance: October 2013
Options
Adopt amendments as proposed
Adopt modified amendments and Republic gives 180 day notice
City gives 180 day notice & rebids solid waste service
Questions?
Jim Blagg