COUNCIL AGENDA ITEM
SUBJECT:
title
City Council to Provide Staff Direction on Cost Saving Scenarios for Solid Waste Operations
body
DEPARTMENT: Environmental Services
SUMMARY: On November 15, 2019, a workshop was held to provide Council with various options to identify possible changes to the solid waste operations in order to ensure a sustainable utility. Raftelis Consultants evaluated various scenarios and made a presentation. After discussion, staff was instructed to bring three options to the next Council meeting. Staff is requesting Council to choose which option to move forward with in order to secure equipment for the selected scenario. Options are as follows:
Scenario Alternatives:
|
|
Scenario A |
Scenario B |
Scenario C |
|
Trucks |
25 CY |
25 CY |
25 CY |
|
|
Rear Loader |
Semi-Auto |
Automated |
|
Pickups/Week |
2 |
1 |
1 |
|
Cans Provided by City |
No |
Yes* |
Yes* |
|
|
|
*Resident choice of 64 or 96 gallon roller cart |
|
|
Proposed Rates |
Proposed Rates** |
Proposed Rates** |
|
Year |
Collection / Recycle |
Collection / Recycle |
Collection / Recycle |
|
2020 |
$29.04 / $4.31 |
$29.04 / $4.31 |
$29.04 / $4.31 |
|
2021 |
$29.91 / $4.31 |
$29.04 / $4.31 |
$29.04 / $4.31 |
|
2022 |
$30.81 / $4.31 |
$29.04 / $4.31 |
$29.04 / $4.31 |
|
2023 |
$31.73 / $4.42 |
$29.04 / $4.42 |
$29.04 / $4.42 |
|
2024 |
$32.68 / $4.53 |
$29.04 / $4.53 |
$29.04 / $4.53 |
**While Scenarios B and C both result in 0% projected rate increases for the forecast window it should be noted that Scenario C also results in higher overall annual net cash flows and thus has the potential for future rate decreases. However, rate decreases can only be determined once transition in operations has occurred and actual operating costs are known.
BUDGETED ITEM: ☐ Yes ☐ No ☒ Not Applicable
BUDGET AMENDMENT REQUIRED: ☐ Yes ☐ No ☒ Not Applicable
RECOMMENDED ACTION: Staff is requesting Council select a Scenario.