PISMO BEACH COUNCIL AGENDA REPORT

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Georgiana Harrington
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PISMO BEACH COUNCIL AGENDA REPORT SUBJECT/TITLE: A BRIEFING ON GREEN WASTE AND RELATED MATTERS BY SOUTH COUNTY SANITARY SERVICE RECOMMENDATIONS: That the City Council receive and review the

EXECUTIVE SUMMARY: In a letter (attached) dated September 20, 2010 to City Manager Kevin Rice, Tom Martin, General Manager of South County Sanitary Service, outlined South County s practices and

1 PISMO BEACH COUNCIL AGENDA REPORT SUBJECT/TITLE: A BRIEFING ON GREEN WASTE AND RELATED MATTERS BY SOUTH COUNTY SANITARY SERVICE RECOMMENDATIONS: That the City Council receive and review the information provided by South County Sanitary Service General Manager Tom Martin, and provide guidance as the Council deems appropriate. EXECUTIVE SUMMARY: In a letter (attached) dated September 20, 2010 to City Manager Kevin Rice, Tom Martin, General Manager of South County Sanitary Service, outlined South County s practices and recent developments with composting green waste at South County s Cold Canyon Landfill, including some options that would involve increased costs for South County. South County indicates it would need rate increases to cover such increased costs, and requested an opportunity to present information to - and receive guidance from - the City Council. The primary purpose of this Agenda Item is to provide South County Sanitary Service the requested opportunity. Background Information: The new fifteen-year Solid Waste Collection Franchise Agreement was approved by City Council Resolution No. R on June 3, 2008, and became effective July 1, In that Agreement, Section 8.3 on Rate Review, the second paragraph begins: If at any time during the term of this new Contract, the Contractor requests and is granted a rate increase by the City that when the new rate is compared to the rate at the Effective Date exceeds the cumulative cost of living increase from the Effective Date, the City shall have the option of terminating the Agreement Later in that paragraph it is noted that such option to terminate the Franchise Agreement would be available for nine months after such increase were granted. The attached Table of Consumer Price Index data shows that the CPI has decreased by 1.7% since the new Agreement became effective in July The composting of green waste and related matters at the Cold Canyon Landfill have been the subject of recent Agenda items at the September 8, 2010 Board Meeting of the Integrated Waste Management Authority, and at the November 4, 2010 meeting of the SLO County Planning Commission. Page 1

2 FISCAL IMPACT: No direct Fiscal Impact from receiving the information. A 4% increase in solid waste collection rates as mentioned in the attached letter from Mr. Martin, if formerly requested and approved, would amount to an increase of about $7 to $15 per year for most residential customers. For the City, which pays about $50,000 per year for Solid Waste Collection Services, a 4% increase would amount to about $2,000 per year. The $125,000 per year of Franchise fee payments received from South County would increase by about $5,000 per year. OPTIONS: After listening to and discussing the information presented by Mr. Martin, the City Council could provide guidance, ask for more information, or some of both, or neither. ATTACHMENTS: 1. Letter from Tom Martin, General Manager of South County Sanitary Service. 2. Table of Consumer Price Index Data 3. Solid Waste Collection Franchise Agreement effective since July 1, 2008 Prepared by: George Edes, Admin Services Dir. Meeting Date: November 16, 2010 City Manager Approval: Page 2

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5 U.S. Department of Labor Bureau of Labor Statistics - BLS Data Area: Consumer Price Index - All Urban Consumers Los Angeles-Riverside-Orange County, CA Item: All items Base Period: =100 Not Seasonally Adjusted Series Id: CUURA421SA0,CUUSA421SA0 Starting with January 2007, BLS has provided CPI data to three decimal places as shown below. Yea r Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annu al Per Cent Change for the 12 months through: Month: Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Page 5

6 % Consumer Price Index data for October 2010 are scheduled for release on Wednesday, November 17, % Page 6

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TENNESSEE S ECONOMY: Implications for Economic Development

TENNESSEE S ECONOMY: Implications for Economic Development William F. Fox, Director Center for Business and Economic Research The University of Tennessee, Knoxville August 2005 U.S. ECONOMY W.F. Fox, CBER,