Item 06: Residential and Multifamily Customers of Municipal Solid Waste Programs

[COSM_Admin]

Consider approval of Ordinance 2022-75, on the second of two readings, amending the rates for both Residential and Multifamily Customers of Municipal Solid Waste Programs (currently known as Resource Recovery) in accordance with Section 66.028 of the San Marcos Code of Ordinances; including procedural provisions; and providing an effective date.

 

[JHughson]

Please insert the information sent to me upon my question from the last meeting as to how much of the fee charged to the user is actually required by our TDS contract and how much is our own administrative fee for the good programs we have. And list those programs supported by this fee such as the Hazardous Waste dropoff center. See email from Sunday for more info.

How much of the Easter Seals contract is from this fee and how much from the Community Enhancement Fee?

 

[COSM_Admin]

Response provided by Amy Thomaides, Community Enhancement Initiatives Manager:
Please insert the information sent to me upon my question from the last meeting as to how much of the fee charged to the user is actually required by our TDS contract and how much is our own administrative fee for the good programs we have.

Service- Residential Base Rate	2022​	2023​	Increase %​	Increase $​
TDS- Trash/Recycle/Green Waste	$25.03**​	$25.79***​	3%​	$0.76​
Green Guy Recycling	$0.98​	$1.00​	2.5%​	$0.02​
Easter Seals	$0.15​	$0.16​	3%​	$0.01​
Brush Drop Off	$0.30​	$0.31​	3%​	$0.01​
Admin Fee	$1.25​	$1.33​	6%​	$0.08​
Education	$0.20​	$0.21​	4%​	$0.01​
Total	$27.91​	$28.80​	3.2%​	$0.89​
	​	​	​	​
Service- Residential Larger Trash Cart	​	​	​	​
TDS- Trash/Recycle/Green Waste	$28.03​	$30.79​	9.8%​	$2.76​
Green Guy Recycling	$0.98​	$1.00​	2.5%​	$0.02​
Easter Seals	$0.15​	$0.16​	3%​	$0.01​
Brush Drop Off	$0.30​	$0.31​	3%​	$0.01​
Admin Fee	$1.25​	$1.33​	6%​	$0.08​
Education	$0.20​	$0.21​	4%​	$0.01​
Total	$30.91​	$33.80​	4.7%​	$2.89​
	​	​	​	​
Extra Carts	​	​	​	​
Trash	$7.34​	$10.27​	40%​	$2.93​
Recycle	$7.06​	$7.27​	3%​	$0.21​
Green Waste	$7.06​	$7.27​	3%​	$0.21​
	​	​	​	​
Service- Multifamily		​	​	​
Recycle	$5.91​	$6.09​	3%​	$0.18​
Green Guy Recycling	$0.98​	$1.00​	2.5%​	$0.02​
Easter Seals	$0.15​	$0.16​	3%​	$0.01​
Admin Fee	$1.25​	$1.33​	6%​	$0.08​
Education	$0.20​	$0.21​	4%​	$0.01​
Total	$8.49​	$8.79​	3.5%​	$0.30​
	​	​	​	​
Not in contracts	​	​	​	​
Surcharge *	​	$1.00​		$1.00​

* With the surcharge the overall increase for residential customers comes to $1.89, or 6.77%. The increase for multifamily would be $1.30, or 15.3%.
** includes $2.60 administrative fee that supports programs listed below
*** includes $2.68 administrative fee that supports programs listed below

Contract rate increase**

Contract	2022​	2023​	Increase %​	Increase $​
TDS - Residential	$22.43​	$23.11​	3%​	$0.68​
TDS - Multifamily	$5.35​	$5.51​	3%​	$0.16​
TDS- Extra Cart	$6.75​	$6.95​	3%​	$0.20​
TDS Proposed Surcharge	​	$1.00​	​	$1.00​
Green Guy Recycling	$0.81​	$0.83​	2.5%​	$0.02​

* With the surcharge the overall increase on TDS contract comes to $1.68, or 7.5%. The increase for multifamily would be $1.16, or 21.7%.
** the difference between the contract rate and the solid waste collection rate is an administrative fee that supports programs listed below

Easter Seals rate is estimated by the cost to service downtown and bus stop trash/recycle containers and divided by the estimated number of residents (single-family and multifamily).

Brush Drop Off rate is estimated by the cost to double grind the brush into mulch (which is available for residents to use) and staff for the second Saturday drop off days and divided by the estimated number of single-family residents.

TDS Surcharge request reasoning:

• Fuel costs have increased 77%
• Labor increased 8.3% (5.3% drivers; 10.8% diesel mechanics)
• Employee recruitment, training and retention increased 20.4%
• Assorted maintenance for equipment increased between 13.4%-31.5%

TDS waived the 2020 3% contract rate increase. In the contract, TDS can request a percent increase for landfill increase costs. TDS has never requested an increase in the 19 years of the contract.

And list those programs supported by this fee such as the Hazardous Waste dropoff center. See email from Sunday for more info.
The fee supports the following programs:
Currently: Personnel, HHW Drop Off, Bobcats Give Back, extra trash/recycle needs (including staff for Community Clean Ups), supplies for events; mailing service calendars, office supplies, intensive customer support of all our programs

Coming online: Prescription Drug Drop Off, Reuse Warehouse

How much of the Easter Seals contract is from this fee and how much from the Community Enhancement Fee?
Easter Seals contract:
Community Enhancement Fee: 36.18%
Resource Recovery: 3.95%
(a full breakdown of the contract is attached)

 

[COSM_Admin]

Attached is an additional chart prepared for the Mayor, with values completed by staff, presenting the current and proposed rates.