TO: Mayor and Commissioners
FROM: Laura Thezine, Acting Finance Director
THROUGH: Chief Neal de Jesus, Interim City Manager
DATE: September 26, 2017
Title
ORDINANCE NO. 29-17: SANITATION RATES FOR FY2018 (SECOND READING)
Body
Recommended Action:
Recommendation
Motion to consider an amendment to the City Code of Ordinances, Chapter 51, "GARBAGE AND TRASH", Section 51.70, "REGULAR CHARGES LEVIED", to provide for new residential and commercial collection service rates for fiscal year 2018.
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Background:
Sanitation service in the City is provided under terms of the Exclusive Franchise Agreement between City of Delray Beach, Florida and Southern Waste Systems, LLC for the Collection of Solid Waste and Recyclable Materials (Agreement). This agreement was assigned to Waste Management Inc. December 14, 2015, as a result of their acquisition of Southern Waste Systems, LLC. Section 38.3 of the Agreement, "CPI Adjustments to Collection Component of Rates", requires annual rate increases based on an inflation index.
Consistent with this provision, this ordinance is before Commission for the first reading to amend Chapter 51, "GARBAGE AND TRASH", of the Code of Ordinances by modifying Section 51.70, "REGULAR CHARGES LEVIED", to provide for increased residential and commercial collection service rates for Fiscal Year 2018. Residential garbage, recycling, yard trash, bulk trash and commercial fees are being amended as per below:
1) Residential customer rates are increased by 2.80% due to a corresponding increase in the Consumer Price Index (CPI).
2) Commercial customer rates are increased by the same CPI increase of 2.80%.
City Attorney Review:
Approved as to form and legal sufficiency.
Finance Department Review:
Finance recommends approval.
Funding Source:
N/A
Timing of Request:
Timely approval will permit necessary preparation for rates to become effective October 1, 2017.