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<br /> <br /> STAFF REPORT <br /> <br /> <br />TO: Mayor Fischer and Members of City Council <br /> <br />FROM: Chris Heineman, City Administrator <br /> Laura Linehan, Community Relations Manager <br /> <br />DATE: December 4, 2024 <br /> <br />RE: Organized Collection RFP Update <br /> <br />ACTIONS TO BE CONSIDERED: <br />Staff and the City Council subcommittee on organized collection will provide an update on the <br />Organized Collection Request for Proposal process and recommended next steps for the City <br />Council to consider. <br /> <br />BACKGROUND: <br />History of Organized Collection <br />In reviewing historical records, it appears Ordinance No. 429, passed on January 24, 1996, <br />established organized collection within the City of Little Canada. In reviewing records dating <br />back to 2006, the City of Little Canada has utilized three waste haulers to provide organized <br />collection for the city. Since 2006, there have been several renewals and agreements, including <br />the most recent three-year extension for 2022, 2023, and 2024 with Republic Services, Waste <br />Management, and Gene’s Disposal. <br /> <br />Prior to the most recent three-year extension, staff met with the existing haulers (Republic <br />Services, Waste Management, and Gene’s Disposal) to review and share concerns regarding the <br />existing service levels provided, as well as discuss proposed rates. Additionally, the City Council <br />Organized Collection Subcommittee was established to review those proposals and concerns. <br /> <br />At that time, the consortium of haulers for the City of Little Canada submitted an initial proposal <br />for a 3.5% Annual Price Adjustment which would result in a rate increase of 17.5% over the next <br />five years. The City Council Subcommittee directed staff to negotiate with the consortium to <br />reach a lower rate. The Subcommittee felt that unless a better option was provided, the city may <br />be forced to issue a Request for Proposals (RFP) for a single-hauler contract. <br /> <br />City staff contacted the consortium representatives and the haulers responded with a 2% annual <br />price adjustment for a 3-year term (2022-2024). They consortium of haulers also proposed to <br />include a clause to extend the contract an additional two years upon mutual agreement. The City <br />Council agreed that the proposal, which totaled a 6% cumulative increase over the three years. <br /> <br />At the July 10 City Council workshop, staff presented an overview of an analysis of organized <br />collection from communities that provide organized collection for single haulers, as well as <br />articulated some of the benefits of a single hauler. <br /> <br />At the September 25 City Council meeting, the City Council approved the issuance of the <br />Request for Proposals, with an upcoming deadline of November 21 at 4:30 PM.