Title
Public Hearing to Consider Adoption of Resolution Establishing Integrated Waste Collection Ceiling Rates and Service Fees for Alameda County Industries, Inc. for Rate Period 19 (July 2020 to June 2021). (Public Works 0274)
Body
To: Honorable Mayor and Members of the City Council
EXECUTIVE SUMMARY
In 2002, the City of Alameda (City) entered into a Franchise Agreement (Agreement) with Alameda County Industries (ACI). Under the Agreement, ACI is responsible for managing and paying all costs and fees associated with the collection, processing, and disposal of integrated waste, and directly billing all residential and commercial customers for these services. The Alameda Municipal Code (AMC) specifies that the ceiling rates are to be set by the City Council at a public hearing.
Ceiling rates for the collection and processing of integrated waste are established to generate sufficient revenue to recover ACI's costs in its entirety, including fees paid to Waste Management at its transfer station. Consistent with the Agreement, ACI has submitted the required rate application, which has been reviewed, adjusted, and finalized to recommend the rates for Rate Period 19 (July 2020 to June 2021). The application resulted in an across-the-board 8.60% increase. Staff is recommending a 5.00% increase in rates, with the remaining 3.60% covered by one-time contributions from the City's rate stabilization fund balance and the balancing account.
BACKGROUND
On July 2, 2002, the City entered into an Agreement with ACI for the curbside collection of solid waste, the collection and processing of recyclable materials, and the collection of organic materials, collectively referred to as integrated waste. In April 2009, the term of the Agreement was extended to 2022. ACI is responsible for managing and paying all costs and fees associated with the collection, processing, and disposal of integrated waste, and directly billing all residential and commercial customers for thes...
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