17 Staff Report - West Valley Solid Waste Management Authority Boardpw N of MEETING DATE: 8/7/06
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_ ITEM NO. A
COUNCIL AGENDA REPORT
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DATE: July 27, 2006
TO: MAYOR AND TOWN COUNCIL
FROM: DEBRA J. FIGONE, TOWN MANAGER
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD
PROCESS FOR SETTING RATES EFFECTIVE MARCH 1, 2007
RECOMMENDATION:
Council discussion and authorization regarding West Valley Solid Waste Management Authority
Board process for setting rates effective March 1, 2007.
BACKGROUND:
Collection Contract
The Town contracts for solid waste collection and disposal services through the West Valley Solid
Waste Management Authority,(Authority), a joint powers entity consisting of the following four
member agencies: Town of Los Gatos, City of Campbell, City of Monte Sereno, and City of
Saratoga. The Authority Board of Directors includes one Council representative from each agency;
Council member Glickman is the Los Gatos Board member, and Council member Wasserman is the
alternate. Authority staff services are provided by Hilton, Farnkopf and Hobson.
The collection services contracts that the Authorityholds with Green ValleyDisposal Company will
terminate on February 28, 2007. As Council has discussed at previous meetings, the Authority has
executed a contract with West Valley Collection and Recycling (VV-VCR) for services to begin March
1, 2007. WVCR is a joint venture of Green Waste Recovery and Green Team of San Jose (dba of
Waste Connections, Inc.). Its parent company is the sixth largest solid waste company, and currently
provides service to San Jose, San Luis Obispo, Woodside, and several other Northern California
jurisdictions.
PREPARED BY:
N:\CSD\TCRPTS\200E
Reviewed by:
Regina Ai er, Community Services Director
'TS\SWM Rates 2007.wpd
Assistant Town Manager Town Attorney
Clerk Administrator Finance Community Development
Revised: 8/1/06 4:25 pm
Reformatted: 5/30/02
PAGE 2
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007.
July 27, 2006
Since the collection vehicles will be operated and serviced out of the Green Team of San Jose's yard,
it is important to note that this operation has an existing labor agreement. For drivers, helpers, and
mechanics, there is a labor agreement with Sanitary Drivers and Helpers Union, Local 3 50, the same
union that has a contract with Green Valley Disposal Company. Green Team has entered into a
Memorandum of Understanding with Local 350 that will allow WVCR to hire displaced Green
Valley employees based on their seniority status.
Recyclables processing will be performed at the GreenTeam Material Recovery Facility, which has
an existing labor agreement for sorters, equipment operators, and mechanics, with Northern
California Carpenters Union, Local 262.
A summary of the services to be provided by WVCR is attached (Attachment 1). This summary
includes information about the cart sizes available for trash, recyclables, and yard waste collection.
A portion of a draft public information piece developed by WVCR is also attached (Attachment 2),
which lists the dimensions of the different cart sizes.
Legal Requirements
The California Public Resources Code, section 40002, requires and authorizes local agencies to make
adequate provision for solid waste handling.
DISCUSSION:
Report Purpose
The purpose of this report is to provide Council with information about the Authority's process for
setting collection service rates to be effective March 1, 2007 through June 30, 2008, and to ask
Council to authorize its Authority representative to approve the proposed rates. The Authority is
scheduled to adopt rates at its August 24 meeting. This early timeline is necessary in order to
provide enough time for WVCR to prepare and mail public outreach materials, which will include
rate information, and to order the appropriate number of carts in time for the new. service start-up
on March 1, 2007.
Please note that WVCR will be providing all residential collection services with wheeled carts,
rather than in 32-gallon cans. For the purposes of comparison, the existing 1-can service will be
equal to a 35-gallon cart, the 2-can service will be equal to a 64-gallon cart, and the 3-can service
will be equal to a 96-gallon cart. These are the cart sizes offered by the manufacturer that WVCR
has selected. Commercial collection will continue to be provided through wheeled carts and front-
end loader bins.
Rate History
The current franchise agreements (with Green Valley Disposal Company) were executed in 1997.
The service rates then in place were adopted as the initial rates under these agreements. At that time,
the rate structure (the relationship among the various can and cart rates) differed among the
PAGE 3
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Authority member agencies and was, in some cases, internally inconsistent. The rate structure had
been developed and modified over many years. The franchise agreements called for these rates to
be adjusted annually by a percentage of the annual Consumer Price Index, and its motor fuel index.
The new service contract provides an opportunity for the Authority to revise the rate structure to re-
establish rational relationships among the rates in order to encourage efficient use of the services,
source reduction and recycling, and consistency among the Authority member agencies' rate policies.
The assumptions and policies discussed below are intended to help the Authority to achieve these
goals.
Basic Rate Setting Assumptions
Initial Rates. As part of the competitive procurement process, WVCR submitted a proposal to
perform the services required by the Authority for a first-year cost (including profit) of $15,689,517.
This cost includes the basic services (garbage, recycling, and green waste collection) and extra
services (e.g., holiday tree collection, permanent e-waste drop-off site, city-wide clean-ups)
requested by the Authority Board. This is known as the company's revenue requirement: the amount
of revenue required to compensate WVCR for its services.
Under the terms of the contract, WVCR has the right to collect rates for the services provided to its
customers. The Authority establishes and adjusts those rates on an annual basis in accordance with
the methodology described in the contract. The contract specifies that the Authority and VV-VCR
agree that the initial rates (the subject of this report) will be sufficient to generate the revenue
required for the first sixteen months of the contract. The contract further specifies that "rates shall
be fixed and shall not be increased to reflect decreases in revenues below those anticipated by the
Authority and Company, nor decreased to reflect increases in revenues above those anticipated by
the Authority and Company." Because there is no recourse under the contract for actual revenues
being different from those expected when the rates are set, it is critical that the Authority and W V CR
agree on both the initial rates and the underlying assumptions used to compute them.
Census. The rates are computed based on the average number of customers by service level reported
by Green Valley Disposal Company for July through December 2005, the latest census data
available. The census data has been fairly consistent for several years; therefore, it is believed that
this time period is reasonable to use in setting rates.
Residential Migration. With the introduction of new services (e.g., a 20-gallon cart, commingled
recycling collection), it is likely that some residential customers will decrease their level of service,
such as moving from three 32-gallon cans to a 64-gallon cart. While it is impossible to accurately
predict the number of customers who will change their service, it is estimated that 5% of the
residential customers at each level of service will elect to reduce their service to the next lower level
of service.
i
PAGE 4
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Allocation of the Revenue Requirement among Member Agencies. WVCR's proposal did not, and
was not required to, allocate the revenue requirement among the Authority's member agencies;
rather, it was given as a lump sum of $15,689,517, as noted above. To calculate the initial rates for
each jurisdiction, this total revenue requirement was allocated by service type (residential,
commercial, debris box) based on the number of customers in each agency. And, because.hard-to-
serve customers are more costly to service, the number of hard-to=serve customers was weighted by
a factor of 1:6 in determining the number of customersin each agency (more information about hard-
to-serve customers follows on this page).
Standard Rate Policies
As a general industry practice, the rate that is set for any given level of service (e.g., collection of
a 64-gallon cart once per week) is reflective of the cost to provide that service, as well as reflecting
the rate policies of the jurisdiction. For example, consider a jurisdiction that wants to encourage
residents to throw away less trash, in order to encourage recycling, and another jurisdiction that
wants to encourage residents to throw away more trash, in order to combat litter. These two
jurisdictions would likely have different approaches to how they priced a particular level of service.
The proposed rates reflect several rate policies. Many of the assumptions are intended to
standardize, to the extent possible, the rate structure across all Authority member agencies. This
does not mean, however, that the rates will be the same for similar services across the agencies, due
to other factors such as the number of commercial accounts or the number of hard-to-serve
customers. A brief description of each of these factors follows:
Residential Cart Size Factor. Currently, Los Gatos and Campbell charge more per can for the second
and subsequent cans at each residential account; Monte Sereno and Saratoga do not. The extra
charge is intended to provide a financial incentive for customers to subscribe to the lowest level of
garbage service possible, thereby encouraging recycling. However, the amount of the extra charge
is not the same between the agencies.
The Authority Executive Director recommends that the cart size factor be standardized at 1, meaning
that the 64-gallon cart rate would be exactly two times the 3 5-gallon cart rate, and the 96-gallon cart
rate would be exactly three times the 35-gallon cart rate. This rate structure is consistent with the
current structure used in Monte Sereno and Saratoga. The per-can/cart rate would continue to
provide an incentive to encourage residents to recycle as much as possible and to reduce their
garbage service.
Residential Rec. clip Facto actor. Currently, the recycling portion of customers' rates does not vary in
all agencies proportionate to the number of cans of garbage service subscribed to. The Authority
Executive Director recommends that the residential recycling factor be standardized at 1, meaning
that the recycling component of the rate for subscribers to 64-gallon garbage service would be
exactly two times the recycling component of the rate for subscribers to 35-gallon garbage service.
PAGE 5
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Residential Hard-to-Serve Factor. All of the Authority member agencies have a hard-to-serve rate,
except for Campbell. Hard-to-serve accounts are defined as those that require service by a special,
smaller capacity vehicle due to access constraints such as narrow, hilly, or winding streets or alleys;
or low-hanging tree limbs or utility wires. The current hard-to-serve premium varies among the
member agencies, ranging from 50% to 80%. Between 4% and 6% of residential accounts are
defined as hard-to-serve.
The Authority Executive Director recommends that the hard-to-serve premium be standardized at
60%, the average of the current premiums. This means, for example, that a hard-to.-serve customer
subscribing to a 35-gallon cart would pay 1.6 times the rate for a regular 35-gallon cart.
Other Residential Factors. Some of the member agencies have unique rate categories, which will
be continued in the new rate structure. For example, Los Gatos has a low income rate, which will
be continued in the new rate structure as the "lifeline" rate. Households eligible for other utility
subsidy programs, such as PG&E's CARE program and AT&T's Lifeline service, would be eligible
for the lifeline rate, which provides 35-gallon service at the 20-gallon rate.
Commercial Subsidy. To some extent, commercial service subsidizes residential service in.each of
the Authority member agencies except for Monte Sereno, which has virtually no commercial
accounts. This is a common practice in residential rate setting. The amount of the current subsidy
likely varies among the jurisdictions, but the exact amount is unknown, as Green Valley Disposal
Company was not required to report the cost of service by service type. Campbell has the largest
commercial base, followed by Los Gatos, with Saratoga a distant third.
The commercial subsidy for the new rate structure has been determined independently for each
member agency. During this process, the goal was to achieve some parity between the residential
and commercial rates in all four jurisdictions. In addition, the rates were compared to rates for other
Santa Clara County jurisdictions to ensure that the rates were within the range of local rates.
Commercial Bin Size Factor. The current commercial rates have, in most of the member agencies,
inconsistent relationships between bins of different sizes. In some cases, larger bins have a lower
rate per cubic yard of service than smaller bins. In other cases, even within a single jurisdiction,
larger bins have a larger rate per cubic yard of service than smaller bins. The current rate structure
was "rolled forward" in 1997 from the previous contract and any rational basis for the rates appears
to have been lost.
The Authority Executive Director recommends that the commercial rates be standardized on a per-
yard basis, such that a 6-yard customer would pay twice what a 3-yard customer would pay, for
example. Because there is not currently a rational relationship among the various bin sizes in the
rate structure, standardizing the bin factor results in rate adjustments that vary from slight decreases
to fairly significant increases in some cases.
PAGE 6
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Commercial Collection Frequency Factor. The current commercial rates have, in most of the
member agencies, inconsistent relationships among different collection frequencies. In some cases,
bins collected multiple times per week have a lower per pick-up rate than bins collected once a week.
In other cases, even within a single jurisdiction, bins collected multiple times per week have a higher
per pick-up rate than bins collected once a week.
The Authority Executive Director recommends that a premium of 2% be set on collections picked
up more than once per week. This will provide a small financial incentive for customers to utilize
the most efficient service, while not overly penalizing those customers, such as restaurants and
grocery stores, which require more frequent collection due to the nature of their discards, or due to
the size of their bin enclosure.
Debris Box Density Factor. The current rates recognize that compactor debris boxes weigh more
per cubic yard than loose debris boxes, due to the mechanical compaction of the waste material,
resulting in a greater disposal charge at the landfill. However, the relationship between loose and
compacted debris box rates is not consistent among the Authority member agencies. The Authority
Executive Director recommends that the compactor debris boxes be priced at 2.0 times the loose
debris box rate per cubic yard. This factor is based on a study that was done for the City of
Sunnyvale and discussions with WVCR.
Because there is not currently a consistent relationship among the various box sizes, standardizing
the box density factor results in rate adjustments that vary from some rate decreases to some fairly
significant rate increases.
Fees and Surcharges
The Authority member agencies set individual fees and surcharges, which impact their rate payers
on an per-agency basis.
Franchise Fees. Currently, all four member agencies collect a 10% franchise fee on the solid waste
(garbage) component of the monthly service rate. Franchise fees are not, collected on the recycling
and green waste fees included in the monthly rates. These services are currently provided under
separate contracts.
The new rates will include a continuation of the 10% franchise fee, but under the new, single
contract for services, the franchise fee will be applied to the entire rate, including recycling and green
waste services. This will result in greater franchise fee revenues (the franchise fee that Los Gatos
receives is a General Fund revenue) for each of the member agencies, as shown in the following
table:
PAGE 7
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Projected Franchise Fee Revenue
Agency
FY 2005/06
FY 2007/08
Los Gatos
$4505000
$557,000
Campbell
$507,000
$697,000
Monte Sereno
$39,000
$46,000
Saratoga
$298,000
$447;000
Agency Surcharges. The current surcharges of each Authority member agency have been verified
by staff of each member agency. The proposed rates reflect the current surcharges. In Los Gatos,
the proposed rates include the existing Solid Waste Management Fee of $330,000. This revenue is
used to pay for a variety of solid waste-related activities including staff time to participate in the
Authority, to coordinate public education campaigns throughout the year, and to perform trash
collection in Town parks and other public.areas. It also funds Los Gatos's portion of Santa Clara
County's Household Hazardous Waste program, which allows Los Gatos residents to dispose oftheir
household hazardous wastes for no charge, through an appointment at a certified drop-off center.
The amount of the fee will be unchanged from the current year. This revenue is received in a special
fund; it is not a General Fund revenue.
The Authority is currently studying a vehicle impact fee that would be collected from WVCR for
maintenance and repair of streets damaged by the heavy collection vehicles. The rate impact will
be dependent upon the amount of the surcharge and the method of allocating the fee across the
customer base. Based on preliminary information from the study consultant, Los Gatos has included
a fee of $120,000 as a placeholder in the proposed rates, and Campbell has included a fee of
$150,000. The study is scheduled for completion in September 2006.
Proposed Rates
As mentioned above, a full rate schedule for all four member agencies will be adopted by the
Authority at its August 24 meeting. Following is a table of representative rates for Los Gatos, for
the most popular service categories, which include all of the factors discussed above. Please note
that these are the rates as currently proposed, and may be adjusted slightly before adoption by the
Authority, based on discussion between the Authority and WVCR and any change to agency
surcharges. Each of the rates shown is per month. The residential rates include trash, recyclables,
and yard waste collection; the commercial rates include trash and recyclables collection; and the
debris box rates include trash collection.
PAGE 8
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Service
Current
Monthly Rate
Proposed
Monthly Rate
Change
RESIDENTIAL
20 gallons
$11.26
$13.78
22.4%
35 gallons- - - -
$16:90
$18.27 - -
&1%
64 gallons
$35.47
$36.54
3.0%
COMMERCIAL
1.5 yards/l pickup
$101.93
$106.03
4.0%
2 yards/l pickup
$144.11
$141.3 8
-1.9%
3 yards/l pickup
$236.84
$212.07
-10.5%
DEBRIS BOX
20 yards
$386.17
$469.22
21.5%
40 yards
$611.44
$644.75
5.4%
12 yard compactor
$321.81
$504.33
56.7%
Proposed Rates Comparison .
One measure of the reasonableness of the proposed rates is to compare them to rates for similar
service in other jurisdictions. This is challenging, since rate policies vary from jurisdiction to
jurisdiction and can have a significant impact on the rates charged. For example, the rates in the City
of Santa Clara are subsidized from the City's General Fund. Nevertheless, the following table
compares selected proposed rates for each Authority member agency to the high, median, and low
rates for jurisdictions in Santa Clara County. Please note that the proposed Authority rates have not
been adopted, and member agencies may make changes that will affect the rates shown. Each of the
rates shown is per month.
Agency
Residential
Commercial
Debris Box
35 gallons
64 gallons
96 gallons
3 yards
18 yards
Los Gatos
$18.27
$36.54
$54.81
$212.07
$469.22
Campbell
$17.89
$35.78
$53.68
$189.27
$302.94
Monte Sereno
$21.66
$43.33
$64.99
$244.82
$386.00
Saratoga
$19.91
$39.82
$59.73.
$264.74
$470.21
SCC High
$27.62
$52.25
$76.87
$313.70
$535.29
PAGE 9
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST .
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
Agency
Residential
Commercial
Debris Box
35 gallons
64 gallons
96 gallons
3 yards
18 yards
SCC Median
$20.27
$37.62
$57.97
$216.66
$434.03
SCC Low
$13.25
$21.14
$29.03
$143.27
$347.07
Option: Balancing Account
Council member Glickman has asked Town staff to provide an analysis of a balancing account
option; or, what would happen if rates were set high enough initially that they would not require
adjustment for a number of years. This did occur under the contract with Green Valley, although it
was the result of very specific circumstances, -rather than an adopted rate policy.
As noted earlier, the Authority has an annual revenue requirement: an amount that it must guarantee
to WVCR. Under the service contract with WVCR, this amount will be adjusted annually based on
changes to the CPI. Rates are generally set in order that in any given year, they generate exactly
enough revenue to meet the revenue requirement. The balancing account option would require Los.
Gatos to project how much the revenue requirement will likely be for a number of years, based on
assumptions about how CPI will change, and set rates high enough that they will generate enough
revenue to meet this multi-year revenue requirement over the number of years. Essentially,. the
amount paid by ratepayers that is in excess of the revenue requirement would be paid by the
collection company to a "balancing account" held by the Town, which would then pay out funds to
the collection company when the amount paid by ratepayers was below the revenue requirement.
Following is a comparison of selected residential rates that would be set for the initial period, with
the assumption that they would not be adjusted for two, four, or seven years (the length of the initial
contract with WVCR). Each of the rates shown is per month.
Residential
Service
Current
Rate
Proposed
Rate
2-Year
Rate.
4-Year
Rate
7-Year
Rate
20 gallons
$11.26
$13.78
$14.66
$15.60
$17.13
35 gallons
$16.90
$18.27
$19.41
$20.64
$22.65
64 gallons
$35.47
$36.54
$38.83
$41.28
$45.29
96 gallons
$54.05
$54.81
$58.24
$61.92
$67.94
The benefit of this approach is that ratepayers would know what their monthly collection service rate
would be for a number of years in the future.
The Authority Executive Director recommends against the. balancing account option. There are a
number of considerations that outweigh the benefit of predictability that the balancing account option
PAGE 10
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE MARCH 1, 2007
July 27, 2006
offers, as follows:
The balancing account option forces current ratepayers to subsidize the rates of future
ratepayers. In essence, future ratepayers would enjoy lower rates than they might have
otherwise because past ratepayers paid an inflated rate.
- - - - -Ratepayers-in March 2007 -would face--a-greater- rate increase under this option than they
- - - -
would under the proposed rate structure. The greatest number of residential customers
subscribe to a single can service; this rate will increase 8.1% under the proposed rates.
Under the balancing account option, this rate would increase from 14.9% to 34.0%. .
► Opportunities to change the Franchise Fee and Surcharge would no longer be annual, but
limited to the years that rates are adjusted.
► The signed contract with WVCR does not include a provision for a balancing account, and
therefore there are no procedures in place at this point. Institution of this option would
require the agreement of WVCR.
► The greater the number of years that rates are not adjusted, the greater the chance is that the
eventual adjustment will be a large increase. The revenue requirement formula takes into
account factors such as the Consumer Price Index, and its motor fuel index. These factors
can be volatile, and difficult to predict accurately. into the future.
► Greater than projected changes in the number of persons subscribing to each level of service
may also be a factor; if the census declines and revenue falls short of what was anticipated,
a "catch-up" adjustment may be necessary.
► The balancing account option does not further the Authority's stated goal of greater
consistency between member agency rates. As none of the other Authority member agencies
have expressed a desire to adopt a balancing account, it would instead take Los Gatos further
away from consistency with the other member agencies.
► There would be administrative issues for the Town to track the balancing account funds. The
existing balancing account with Green Valley Disposal Company has required a great deal
of administrative oversight to verify the correct calculation of the amount owed to or from
the account.
Council may consider this option for the current rate period, or it may choose to revisit the issue at
the time of the next rate adjustment in 2008.
CONCLUSION:
The Authority Board will consider the proposed rate structure at its August 24 meeting. The rates
considered by the Board at that time will be essentially those described to Council in this report, but
PAGE 11
MAYOR AND TOWN COUNCIL
SUBJECT: COUNCIL DISCUSSION AND AUTHORIZATION REGARDING WEST
VALLEY SOLID WASTE MANAGEMENT AUTHORITY BOARD PROCESS
FOR SETTING RATES EFFECTIVE. MARCH 1, 2007
July 27, 2006
there may be minor.changes resulting from discussion between the Authority and WVCR. For
example, a final report on the vehicle impact fee will be provided to the Authority in September.
Staff recommends that Council authorize its Authority Board representative, Council member Steve
Glickman, to approve the proposed collection rates to be effective March 1, 2007. The meeting will
be advertised on the Town's website and in the local press.
Once rates are approved by the Authority, WVCR will mail information to all residential customers,
and ask them to identify their requested level of service.
ENVIRONMENTAL ASSESSMENT:
The recommended action is not a project defined under CEQA, and no fiu-ther action is required.
FISCAL IMPACT:
The final rates adopted by the Authority will affect the franchise fee. revenue received by the Town..
It is estimated that this revenue will increase from approximately $450,000 to $560,000 annually.
This is a General Fund revenue.
Attachments:
1. Summary of Solid Waste Services
2. Cart Sizes schematic
Distribution:
Scott Hobson, Executive Director, West Valley Solid Waste Management Authority
Paul Nelson, General Manager, West Valley Collection and Recycling
Marva Sheehan, Hilton Farnkopf & Hobson
Lauren Mende Tacke, Recycling Coordinator
Jennifer Miller, Administrative Analyst
i
Attachment 1
West Valley Solid Waste Management Authority
Summary of Solid Waste Services
Provided by:
West Valley Collection and Recycling, LLC
Effective March 1, 2007
- - - -Service - -
- -Current - -
- - New- -
Residential Solid Waste
Weekly, customer-provided
Weekly, automated
container, "backyard" at
collection, Company-
additional expense
provided cart, curbside
(except for disabled)
Cart sizes available: 20, 35,
65 and 95 gallon (or similar
size)
Residential Recyclables
Weekly, company-provided
Weekly, automated
bins, curbside
collection, Company-
provided cart, curbside
(except for disabled)
All materials will be placed
into one cart (single-stream)
Cart sizes available: 35, 65
and 95 gallon (or similar
size)
Recyclable Materials
• Newspaper
• Newsprint
Collected Curbside
. Mixed paper
• Mixed paper
• Glass containers
! Glass containers
• Aluminum beverage
• Aluminum beverage
containers
containers
• Steel ("tin") cans
• Small scrap and cast
• Bimetal containers;
aluminum
• Small scrap metal;
• Steel including "tin"
• Plastic bottles
cans
(numbers 1-7)
• Bi-metal containers
• Milk and juice
• Mixed plastics (#1-
cartons with gabled
7; including
top; aseptic cartons;
containers made of
Service
Current
New
Recyclable Materials
• Expanded
3DPE, LDPE, PET
Collected Curbside (con't)
polystyrene
or PVC)
• Household dry cell
• Textiles
batteries;
• Aseptic containers
• plastic film;
• Polystyrene
• Used oil and used
• Plastic film
oil filters.
• Used Oil and used
oil containers
Residential Green Waste
Weekly, customer container
Weekly, automated
or company provided cart,
collection, Company-
_.__curbside,._unlimited volume
.___provided_cart,. curbside _
(except for disabled)
Cart sizes available: 35, 65
and 95 gallon (or similar
size)
Customer may request up to
3 - 95 gallon carts at no
additional charge
Clean-ups
One curbside event
One curbside event
annually
annually
Los Gatos has two annual
curbside events
E-waste, Batteries, Oil and
Household batteries, oil and
Collected curbside during
Water Based Paint
oil filters collected curbside
the annual clean-up event
Collection
with recyclables
May be dropped off at the
Green Team of San Jose's
MRF at 625 Charles Street
in San Jose
Multi-family Solid Waste
Weekly, customer-provided
Weekly, Company-provided
(Five-plex or larger)
can or Company-provided
cart or bin
bin
Multi-family Recyclables
Weekly, Company-provided
Weekly, Company-provided
(Five-plex or larger)
carts and bins
cart or bin (recycling cart
with 6 yard, solid waste bin)
Commercial Solid Waste
Weekly, Company-provided
Weekly, Company-provided
carts and bins
carts and bins
N:\CSD\SWM\wvCR\wVCR Summary Services.doc
27„
20 - 0
45"
41„ ;Permanent
Insert
39" 39"
Y _ l
I
T r
----65-galw®ns---- 35-gallons 20-gallons-
Dimensions are approximate
Mark your cart selections on the card at the back of this brochure and return it no later than Xxxxxx=xx, 2006.
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