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Exhibit 2-3 of Goodhue (Rura of Red Wing (Run non Falls** dential City Rates it County Rates 2007/2008 Survey of Monthly Rates for Residential Waste Collection Services in Goodhue County Hauler City/Hauler Contract Small I Vol. Medium Vol. Large Vol. Recycling Rate Total Cost Range (SW tax+ Recycling) P.I.G. No? N/A $12.15 N/A N/A $13.24 WMI No $12.50 $14.25 $17.25 Service Not Provided $18.71-$23.93 WMI No $12.50 $14.25 $17.25 Service Not Provided $18.71-$23.93 WMI No $15.00 $17.00 $20.00 Paid by City Contract $16.46*-$21.95 Veolia No $19.00 $20.00 $22.00 Service Not Provided $20.85-$24.15 Veolia No $24.00 $25.00 1 $27.00 1 Service Not Provided $26.34-$29.63 Lake City Lake City Disposal Yes 1 $7.85 1 $9.75 1 $11.65 1 $2.15 1 $10.77-$14.94 City of Goodhue*** Gibson Yes 1 $13.50 1 $13.50 1 $13.50 1 $3.00 1 $16.50 Zumbrota WMI Yes 1 $12.84 1 $14.19 1 $15.73 1 No Charge for Service $14.09-$17.26 Kenyon Grose Yes I N/A 1 $14.50 1 $20.30 1 $4.00 $19.91-$26.28 lCity of Red Winq**** I City of Red Winq I City Service 1 $8.27 1 $16.53 1 $24.80 1 $4.00 1 $13.07-$31.22 1 *Billing Statement Does Not Indicate Whether Recycling is Included or Available and Does Not Apply the T9.75 % MN SW tax required by state law. **Cost of Recycling is Not included in Cost Range, City of Cannon Falls Pays for Residential Recycling Services Through a Separate Contract. ***SW Mgt Tax is Paid by the City of Goodhue and Included in the Price, Residents Provide Their Own Waste Container, Rate is Independent of Volume. ****City Does Not Offer 32 Gallon or 64 Gallon Option, Rate is Extrapolated from Cost of 48 Gallon and 96 Gallon Containers Rates i.e.Cost/Gallon, Rates Include City Service Charge 2.5.1.4 Rate Summary When comparing rates from one community and system type to another, it is important to identify variables and try to account for them. Potential variables include differences in service levels, distances to disposal locations and the corresponding tipping fees, surcharges, etc. The comparisons cited made efforts to control the variables or identify them and make adjustments. Also, variables such as identified in the Attorney General Report where organized cities that only negotiate contract extensions have higher rates can also cause discrepancies. Nevertheless, the rates charged in open systems are typically higher than in organized systems. This is a natural occurrence due to the difference in efficiencies and the potential for rate increases periodically without much scrutiny by individual customers. Additional rate information is provided as part of the municipal survey in later report sections. 2.5.2 Volume Based Pricing and Waste Generation There is a great deal of information related to the affect of volume -based rates (also called pay - as -you -throw, unit -based pricing, and variable rate pricing). Changing from one flat rate for all service levels to volume -based rates (e.g., significantly increasing rates going from 30 to 60 and 90 gallon carts or bag systems) has been credited with a significant increase in recycling and landfill reductions in many communities. Organized systems can provide public entities with greater control over rate structures and therefore provide increased influence in managing wastes via reduction and recycling. Even so, municipal regulation of private contracted hauler rates via licensing can also provide more aggressive rates for volume -based rates. For example, the 36 •Foth Infrastructure & Environment, LLC R - Analysis of Waste Collection Service Arrangements.doc June 2009