Item 4CCITY OF
SOUTHLAKE
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MEMORANDUM
(November 7, 2014)
To: Shana K. Yelverton, City Manager
From: Alison D. Ortowski, Assistant City Manager
Subject: Item 4C: Approve the amendment of Exhibit A of the Republic
Waste Services of Texas, Ltd. contract to allow the addition of
a commercial fee for excess additional yardage.
Action
Requested: City Council approval of Item 4C: Approve the amendment of
Exhibit A of the Republic Waste Services of Texas, Ltd. contract to
allow the addition of a commercial fee for excess additional
yardage.
Background
Information: On May 7, 2013, the City approved a non-exclusive contract and
franchise agreement to Republic Waste Services of Texas, Ltd., to
engage in the business of collecting and disposing of acceptable
waste, recyclables and construction debris within the corporate
limits of the City; which includes solid waste that is generated from
commercial properties. The term of the agreement between the
City and contractor is for a period of five years beginning October
1, 2013 and terminating September 30, 2018, with an option to
renew. The purpose of this item is to seek City Council approval of
the addition of a fee to Exhibit A of the contract with Republic
Waste Services of Texas, Ltd.
Republic has requested the addition of a $12.50 fee per additional
yard for commercial customers to be assessed for instances of
repeated excess overloading of containers. Their intent with the
fee is to encourage customers to `right -size' their container and / or
frequency of collection and reduce spillage and additional
collections related to undersized containers.
As an element of the current contract and franchise agreement,
the City Council sets and approves an annual rate schedule with
an effective date of October 1 of the given year, with the latest
"Exhibit A - Rate Schedule" effective on October 1, 2014. This
rate schedule is an inclusive part of the contract and franchise
agreement, and cannot be modified or amended without City
Council approval.
In recent weeks, representatives of Republic Services made it
known to the City that they have encountered a number of
commercial accounts that have repeated, excessive overloading of
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existing yardage on the commercial premises. In the attached
letter to the City dated November 5, 2014 from Republic Services,
the contractor states that in some instances, "businesses
consistently over load their dumpsters, which may lead to litter
problems, odor problems, and in isolated cases, vector and health
issues."
As part of the existing agreement between the City and Republic,
the contractor works at the request of the customer to identify the
appropriate commercial container that affords the capacity to
service a customer so as to prevent spillage, unsightly and
unsanitary conditions. Further, should such commercial spillage
continue to occur due to the inadequate size of the container, the
City shall require the commercial customer and Contractor to
increase the frequency of collection of the customer's waste, or
require the customer to utilize a commercial container with a larger
capacity, and Contractor shall be compensated for such additional
service. When commercial containers are overloaded, Republic
Services incurs additional costs to mitigate the additional waste.
As a result, the contractor has requested a modification to the rate
schedule of the agreement with the City to allow for an additional
yardage fee of $12.50 per yard (Exhibit A — Rate Schedule) to
accommodate the additional waste and encourage a customer to
`right -size' the container or increase frequency of waste
collections.
The essential elements of the program and implementation of the
fee will include the following:
• Contractor's commercial drivers identify locations where
dumpsters are consistently overloaded;
• Drivers take photographs of the overloaded containers and
forward to their supervisor;
• Supervisors review the photos and file for future reference;
• Commercial customer will be contacted and notified of the
ongoing issue;
• Reoccurrences of the identified commercial locations will be
assessed an additional yardage fee of $12.50 per yard, to be
included in the customer's next invoice.
Financial
Considerations: An adjustment in rates will change the franchise fees received by
the City. The City collects ten percent (10%) of the total monthly
dollar amount collected for residential and commercial / industrial
billing.
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Strategic Link:
The proposed contract amendment links to the City's Strategy
Map: "132 Collaborate with select partners to implement service
solutions".
Citizen Input/
Board Review:
N/A
Legal Review:
The proposed contract amendment has been reviewed and
approved by the City Attorney.
Alternatives:
1. Adopt proposed contract amendment as presented, with
an effective date of December 1, 2014
2. Adopt modified contract amendment and pursue negotiations
with Republic regarding fee
3. City denies approval of proposed contract amendment and
seeks alternatives from solid waste service provider
Supporting
Documents:
1. Proposed contract amendment (Exhibit A — Rate Sheet) for
Residential and Commercial Solid Waste Collection
2. Letter of request for Additional Yardage Fee from Republic
Services dated November 5, 2014
Staff
Recommendation: Staff recommends approval of Item 4C: Approval of the
amendment of Exhibit A of the Republic Waste Services of Texas,
Ltd. contract to allow the addition of a commercial fee for excess
additional yardage.
Staff Contact: Alison D. Ortowski, Assistant City Manager
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EXHIBIT "A"
RATE SHEET
Contract For Residential and Commercial Solid Waste and Recycling Collection
Between
The City of Southlake and Republic Waste Services of Texas, Ltd.
Excluding Fuel Surcharge (To be assessed based on Fuel Surcharge - Exhibit E)
Effective December 1, 2014
RESIDENTIAL RATES
Residential Curbside - 2 times per week $ 9.39
Residential Cart Recycling - 1 time per week $ 3.76
Total Residential $13.15
Additional Recycle Cart $ 1.00 per month each
Commercial Hand Load - 2 times per week
Commercial Recycle Cart Collection
Additional recycle carts
*Replacement of cart lid
*Replacement of cart wheel(s)
*Replacement of cart
$ 24.32 (4 bag limit per
collection)
$ 5.00 first cart
$ 2.00 each additional
cart
$ 10.00
$ 10.00
$ 50.00
* Charges for excessive occurrences as determined by Contractor and the City.
Brush Chipper Service
Brush or Bulk P/U (Excess)
COMMERCIAL FRONT LOAD RATES
$110.00 per hour (30
minute minimum)
$110.00 per hour (30
minute minimum)
Frequency of Collection
Size
1 x
week
2x
week
3x
week
4x
week
5x
week
6x
week
7x
week
Extra
2 YD
$65.45
$103.61
$141.76
$179.94
$216.27
$254.46
N/A
$32.71
3 YD
$81.77
$136.32
$192.65
$247.18
$303.53
$358.06
$462.49
$39.98
4 YD
$99.96
$165.40
$233.46
$298.09
$365.35
$430.78
$556.43
$47.26
6 YD
$152.67
$221.74
$308.96
$398.04
$487.12
$574.35
$779.81
$54.52
8 YD
$172.67
$283.55
$394.43
$503.47
$614.35
$725.20
$936.73
$63.62
6 YD
Recyc
$67.75
$123.18
$157.44
N/A
N/A
N/A
N/A
$29.89
8 YD
Recyc
$80.06
$137.95
$190.92
$252.50
$329.60
$412.00
N/A
$39.89
Miscellaneous Commercial Front Load Charges
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Containers with casters
Locks or gates
Roll out cont. with casters
Locking bar charge
Obstruction charge/Return trip
Delivery Fee
Additional Yardage Fee
Burned Container Fees
2 YD $ 53.49
4 YD $ 70.86
8 YD $100.29
COMMERCIAL ROLL OFF RATES
$15.38 per month
$ 1.47 per lift
$25.71 per month
$96.43 (installation) $6.38 (monthly fee)
$20.06 per trip
$50.00 per container
$12.50 per yard for excessive overloading
3 YD $ 61.52
6 YD $ 84.23
SIZE
TYPE
DELIVERY
RENTAL
PER DAY
RATE PER
HAUL
DEPOSIT
20 YD
OPEN
$112.91
$5.12
$407.78
$608.00
30 YD
OPEN
$112.91
$5.12
$447.90
$651.00
40 YD
OPEN
$112.91
$5.12
$528.10
$738.00
28 YD
PACKER
NEGO
NEGO
$568.21
NEGO
30 YD
PACKER
NEGO
NEGO
$568.21
NEGO
35 YD
PACKER
NEGO
NEGO
$601.64
NEGO
40 YD
PACKER
NEGO
NEGO
$601.64
NEGO
42 YD
PACKER
NEGO
NEGO
$601.64
NEGO
Miscellaneous Roll Off Charges
Trip/Dry Run Charge $79.90
Relocate Fee $50.00
Burned Container Fee
20 YD
$173.81
30 YD
$187.18
40 YD
$247.35
Packer
$334.26
Late and reinstatement fees for commercial and roll off customers.
Late Fees - The greater of $5.00 or 1.5% of customer's monthly invoice.
Reinstatement Fee - $35.00 per occurrence for customers who had their service
discontinued for non-payment.
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November 5, 2014
Ms. Alison Ortowski - Assistant Oty Manager
Oty of SDuthlake, Texas
1400 M ai n Street, 9aite 460
SDuthlake, TX76092
R-,: Additional Yardage Fee
Dear Ms. Ort owski ,
R-,public 9?rvices has recently implemented a new program in several North Texas cities that allows for
an additional fee to be assessed to commercial customers for excessive waste placed in and around
their containers. The purpose of the program isto ensure that businesses have the appropriate level of
service for the amount of waste being generated at their locations. In some instances, businesses
consistently over load their dumpsters, which may lead to litter problems, odor problems, and in
isolated cases, vector and health issues.
We are requesting a modification to the rate schedule of our agreement with the city to allow for the
additional yardage fee of $12.50 per yard.
The essential elements of the program are:
• Our commercial drivers identify locationswhere dumpsters are consistently
overloaded.
• Driverstake photographs of the overloaded containers and forward to their supervisor.
• Sipervisors review the photos and file for future reference.
• O.astomer is contacted and notified of the ongoing issue.
• R-,occurrences of the identified locations are assessed the additional yardage fee and
included in the customer's next invoice.
The current fee implemented in other area cities is $12.50 per additional yard as requested above. In
most instances, customers will contact us to arrange an increase their service or seek advice on how to
better manage their waste stream. We believe this is an effective tool in eliminating unsightly
conditions in the city and improving the overall appearance of the community.
Reese feel free to contact me with any questions you may have regarding our request.
9 ncerely,
V nce Hrabal
Municipal 9?rvi ces Manager
Fepubl i c 9?rvi ces