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CC PACKET 07082014
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CC PACKET 07082014
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7/7/2014 7:44:29 AM
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7/2/2014 1:53:53 PM
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City Council
Meeting Date
7/8/2014
Meeting Type
Regular
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Council Agenda/Packets
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City Code Chapter Amendment
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Wn <br />It. ANALYSIS <br />A. Benefits of Organized Collection <br />The City is generally aware of the benefits of organized collection and has explored the <br />issue for some time, as discussed in the June 30 Memo. These benefits were validated, and a <br />number of other benefits became apparent, during the course of the 60 -day negotiation period. <br />The Organized Collection Statute is a consumer -driven statute. The 60 -day negotiation <br />period required by the Statute authorizes cities to negotiate with their licensed collectors of solid <br />waste to adopt practices that are in the best interests of individual city residents and the city as <br />a whole. It is well-established and well-documented that rates charged for the collection of solid <br />waste and related services in an "open hauling system," such as is the case for the City <br />currently, can vary from customer to customer. Moreover, licensed collectors have the ability to <br />raise rates over time and impose additional fees and surcharges beyond the base price for <br />services. Within an open hauling system, individual customers will likely have a difficult time <br />negotiating with their service provider because customers acting alone do not possess the <br />bargaining power that the City has, especially as authorized by the Statute. Moreover, many <br />individual customers likely do not have the time and energy to perform such negotiations, or <br />perhaps even the knowledge that the opportunity exists (assuming the opportunity actually <br />does). The Organized Collection Statute empowers a city and its licensed collectors to come to <br />the table and create a plan that not only addresses a city's identified priorities, but also helps <br />ensure equitable and competitive pricing, adequate delivery of service, accountability, and <br />general consumer protection. <br />More generally, organized collection allows cities and their licensed collectors to work <br />together to accomplish priorities that are directly aligned with the best interests of a city's <br />residents and a city as a whole. City Staff continues to agree that organized collection provides <br />a positive opportunity for the City to work in harmony with its Haulers to fulfill objectives in a <br />number of important areas. <br />B. City Priorities <br />A primary goal of the Proposal, as required by the Statute, is to include identified City <br />priorities. The City provided a list of 16 Priorities to the Haulers at the start of the 60 -day <br />negotiation period, and the Haulers were asked to devise a proposal that meets each of these. <br />The Priorities reflect long-standing City objectives and encompass a variety of areas of concern. <br />Any one Priority is not intended to have weight over another, although as a practical matter, <br />individual residents may have stronger interests in certain Priorities. <br />The City additionally provided draft specifications to the Haulers at the time it distributed <br />the Priorities. The draft specifications themselves addressed the Priorities to a certain degree, <br />although some specifications were revised or deleted from the final Draft Agreement submitted <br />on June 30. The Haulers specifically requested deletion of provisions concerning services <br />provided for city -owned buildings and special events. The Haulers stated that these items were <br />too difficult practically to work under a consortium system and were better suited for a <br />competitive procurement process. <br />The Haulers did not add anything new to the specifications in comparison to what the <br />City initially provided, other than adding provisions detailing responsibilities associated with <br />billing, and making minor clarifications to service methods. The Haulers' revisions to the <br />2 <br />
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