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<br />7C <br />Curbside Service Page 4 <br />Since solid waste collection under the new contract will be automated, residents will <br />need to place their carts containing solid waste at the curb - as they presently do with <br />recycling and organics. About 6.30k of residential customers have their solid waste <br />collected at the side-yard. Under the new contract those residents desiring to maintain <br />side-yard service (other than those individuals who are physically unable to take their <br />containers to the curb) will need to pay an additional fee for this service. <br /> <br />This matter has been discussed with the Council Solid Waste Committee which directed <br />staff to begin advising residents of this forthcoming change and to ask these residents <br />to begin voluntarily placing their garbage cans at the curb. This notice (attachment <br />seven) was distributed to all residents through their utility bill beginning July 6, 2009. <br /> <br />Next Steps <br />Upon adoption of the attached resolution authorizing the City Manager to execute a <br />contract with Recology, staff will work collaboratively with Recology and the SBWMA to <br />ensure that the public education and outreach effort is designed to address the unique <br />requirements of City residents and businesses. Staff will also work closely with both the <br />current service provider and Recology to ensure a smooth transition to the new <br />services. The City Council will be provided updates as we progress with rebuilding the <br />new Shoreway facility and the extensive planning efforts required to transition to the <br />new services in 2011. In addition, staff will also provide periodic updates on the <br />progress with planning the transition and the details of when and how our residents and <br />businesses will be introduced to the new services (see attachment six -Implementation <br />Schedule ). <br /> <br />ALTERNATIVES <br />The Council could elect to disregard this recommendation and direct staff to identify <br />another collection company to pick-up solid waste, recyclables, and organics from <br />residents and businesses in the City. Doing so would contradict the action Council took <br />on September 8, 2008 when the Council unanimously accepted the SBWMA's <br />recommendation to select Recology as the City's new collection contractor and to <br />commence negotiations with Recology that would result in this franchise agreement <br />being brought to Council for approval. The terms of an agreement with a collection <br />company other than Recology would likely be less favorable to the City and the <br />ratepayers if the surrounding jurisdictions proceed with Recology due to the economies <br />of scale that result from one waste hauler serving the broader area. <br /> <br />FISCAL IMPACT <br />There is no fiscal impact on the City's general fund due to the execution of a contract <br />with Recology. The cost to provide the services covered in the Franchise Agreement will <br />be paid for through rates charged to residents and businesses that receive the services. <br /> <br />Preliminary indications are that collection rates will increase 9.2% under Allied in 2010 <br />and that rates will be unchanged when Recology takes over in 2011. This estimate, <br />which includes all costs including collection and disposal, is very preliminary and will <br />likely change before it is finalized in late 2010. This compares very favorably to the <br />estimated rate impact range of 5.770k to 13.25% that was presented to Council on <br />September 10, 2007 when Council approved the draft RFP I contract terms, and scope <br />of services for collection services. <br />