HomeMy WebLinkAboutOrdinance 2096
ORDINANCE NO. 2096
-
WHEREAS, the City Council of North Richland Hills, Texas approved Ordinance No. 1745
as a Franchise Agreement with Laidlaw Waste Systems Inc. (CONTRACTOR) to provide
residential, commercial, and industrial garbage (solid waste) collection and disposal, and
recycling services; and .
WHEREAS, the City Council further amended Ordinance No. 1745 with Ordinance No.
1954 and Ordinance No. 2029; and
WHEREAS, the City Council finds it necessary to further amend Ordinance No. 1745 and
No. 1954 and to repeal Ordinance No. 2029; and
WHEREAS, Laidlaw Waste Systems has made application for adjustments to existing
residential and commercial front-load solid waste collection and disposal rates.
NOW THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
NORTH RICHLAND HILLS, TEXAS THAT:
1.
Ordinance No. 2029 passed on December 12, 1994, which adopted existing rates for
residential and commercial! industrial front-load container customers be and is hereby
repealed and replaced by Ordinance 2096 when it is passed and approved.
2.
The monthly solid waste charges to North Richland Hills residents and commercial!
industrial front-load customers shall be increased to the rates reflected in Attachments
A and B attached hereto and made apart hereof and adopted as part of this
Ordinance. These rates shall become effective February 1, 1996.
3.
This Ordinance is adopted as an amendment to Ordinance No. 1745 as previously
amended by Ordinance No. 1954. The terms of this Ordinance shall govern in
construing this Ordinance and Ordinance Nos. 1745 and 1954.
4.
Sections and sub-sections of Ordinance 1745 and 1954 are amended as follows:
SECTION 3 - Definitions This section of Ordinance No. 1745 is expanded to include
the following terms:
P. Base Rate: The total approved solid waste collection and disposal rates for
residential and commercial! industrial front-load customers, excluding sales taxes and
recycling fees.
Q. Operations Component: Defined as 70% of the Base Rate. This portion of the
Base Rate reflects the approximate portion of the total rate attributable to collection and
operational activities.
R. Disposal Component: Defined as 30% of the Base Rate. This portion of the Base
Rate reflects the approximate portion of the total rate attributable to disposal activities.
S. Rate Modification Date: The existing Base Rate will upon a timely request of the
CONTRACTOR, be reviewed and if appropriate, revised effective upon a date defined
as the Rate Modification Date. The Rate Modification Date is established as February
1st. In order for the City to consider a modification, the CONTRACTOR shall request a
review of the current Base Rate by November 15th preceding the Rate Modification
Date.
SECTION 6. Contractor's Duties and Obligations, Subsection H. Paragraphs 1 and 2
These Subsections of Ordinance No. 1745 (as further amended by Ordinance No.
1954) will be repealed and replaced as follows: CONTRACTOR shall provide free
pickup for City facilities. CONTRACTOR shall collect all items placed on the curb as
part of the regular waste collection cycle providing that: the items are acceptable for
landfill disposal, the items are containerized in a bag, in a box, or if tied and bundled
are fifty (50) Ibs. or less in weight. Brush and tree limbs must be tied in bundles not to
exceed four (4) feet in length and fifty (50) Ibs. in weight. This service includes
construction and fencing materials generated by the homeowner resulting from repair
and remodeling projects. The City shall have free dumping privileges during the term of
this agreement.
Bulky items, including stoves, furniture, hot water heaters, dishwashers, etc., when
placed on the curb, will be picked up as part of normal collections. Federal Law
prohibits the collection of refrigerator or freezer units unless certification is provided that
CFC's have been removed by a certified technician.
Other hazardous waste items that are not acceptable for landfill disposal include tires,
batteries, petroleum products, paints and other chemicals and solvents identified by the
U. S. Environmental Protection Agency.
2
SECTION 7. Charges. Subsection E. Revisions This Subsection of Ordinance
No. 1745 (as further amended by Ordinance No. 1954) is repealed and rßplaced as
follows:
CONTRACTOR shall maintain such residential and commercial rates as adopted in
Attachments A and B until January 31, 1997. On February 1, 1997 and on each
anniversary thereafter (the Rate Modification Date) the existing Base Rates may be
increased by a combination of calculated increases in the Operations and Disposal
Components of the Base Rate. If the CONTRACTOR desires a review of the existing
rates, CONTRACTOR shall submit to City in writing, its adjustments to the Base Rate
and the supporting data for the same period, on or before November 15th of each year,
beginning November 15, 1996.
For purposes of calculating the total rate increase, the Base Rate shall be divided into
an Operations Component and a Disposal Component. The Operation Component
shall equal 70% of the total Base Rate and the Disposal Component shall equal 30% of
the total Base Rate.
The Operations Component will be adjusted by a factor defined as 85% of the total
percent increase in the DFW Consumer Price Index (CPI). Data compiled in the
Bureau of Labor Statistics Southwestern Statistical Summary will be used to calculate
the CPI increase. The measured increase will span a twelve month period (beginning
September 1st and ending August 31st) immediately preceding the Rate Modification
Date.
The Disposal Component will be adjusted by a factor defined as the average percent
increase in the gate rate for compacted landfill material, as charged by a representative
sample of area landfills. The landfills used to determine the increase are identified in
Appendix C. The measured increase will span a twelve month period (beginning
November 1st and ending October 31st) immediately proceeding the Rate Modification
Date.
The specific rate calculation methodology is further illustrated by a hypothetical
example incorporated into this Ordinance as Attachment D.
Increases in the Base Rate calculated in accordance with the terms of this Ordinance
shall be granted in lieu of rate adjustments associated with specific regulatory
mandates or other specific operational cost increases. Every adjustment to the
CONTRACTOR charges or compensation established herein shall be cumulative and in
addition to other adjustments conferred herein.
3
PASSED AND APPROVED this 8th day of January, 1996.
ATTEST:
C\dJA~/-L/Lp~ ~
J"~ette Rewis - City Secretary
APPROVED:
~--~.iß~
Tommy Brown -~or
APPROVED AS TO FORM AND LEGALITY:
ex McEntire - Attorney for the Ci
4
Attachment A
Residential Garbage Rate Comparison
for the City of North Richland Hills
Base Garbage Fee $6.10 $6.56 $0.46 7.5%
Recycling Fee $1.69 $1.69 $0.00 0.0%
Sales Tax remitted to State $0.60 $0.64 $0.04 5.9%
Total $8.39 $8.89 $0.50 5.9%
Backdoor Garbage Service $9.63 $10.36 $0.73 7.6%
Recycling $1.91 $1.91 $0.00 0.0%
Sales Tax remitted to State $0.89 $0.95 $0.06 6.3%
Total $12.43 $13.22 $0.79 6.3%
Base Garbage Fee $6.10 $6.56 $0.46 7.5%
Recycling Fee $0.90 $0.90 $0.00 0.0%
Sales Tax remitted to State $0.54 $0.58 $0.04 6.6%
Total $7.54 $8.04 $0.50 6.6%
Backdoor Garbage Service $9.63 $10.36 $0.73 7.6%
Recycling $0.90 $0.90 $0.00 0.0%
Sales Tax remitted to State $0.82 $0.87 $0.06 6.9%
Total $11.35 $12.13 $0.79 6.9%
~---
utility\nrhllrat( c).\,¡
01/02/96
Attachment B
Commercial Front-Load Rate Comparison
for the City of North Richland Hills
7.6%
7.6%
7.6%
7.6%
7.6%
Pickups per week
4
Proposed
107.46
159.44
214.93
264.39
349.00
Current
99.87
148.17
199.74
245.71
324.34
7.6%
7.6%
7.6%
7.6%
7.6%
Pickups per week
3
Proposed
84.99
127.48
171.75
188.20
276.69
Current
78.98
118.47
159.61
174.90
257.14
7.6%
7.6%
7.6%
7.6%
7.6%
Pickups per week
2
Proposed
64.27
90.28
121.53
153.68
204.38
Current
59.73
83.90
112.94
142.82
189.94
7.6%
7.6%
7.6%
7.6%
7.6%
week
Proposed
40.03
56.55
76.57
88.52
116.26
Pickups per
1
Current
37.20
52.55
71.16
82.26
108.04
Size
2YO
3YO
4YO
6YO
8YO
7.6%
7.6%
7.6%
7.6%
7.6%
Pickups per week
Extra
Proposed
10.86
16.31
21.73
32.59
43.44
Current
10.09
15.16
20.19
30.29
40.37
7.6%
7.6%
7.6%
7.6%
7.6%
Pickups per week
6
Proposed
155.93
232.11
310.06
379.90
477.83
Current
144.91
215.71
288.15
353.05
444.06
7.6%
7.6%
7.6%
7.6%
7.6%
week
Proposed
131.68
193.14
261.62
333.57
405.51
Pickups per
5
Current
122.37
179.49
243.13
310.00
376.85
Size
2YO
3YO
4YO
6YO
8YO
garbage/analysis.wk4
ATTACHMENT C
Designated Area Landfills Used to Determine Increase in Average Gate Rate for
Compacted Landfill Material
The following area landfills will be used to determine the increase in the average
gate rate for compacted landfill material. This percent increase will provide the
index by which the Disposal Component of the Base Rate will be modified. The
increase in the average rates will be measured over a period spanning
November 1 st through October 31 st.
LANDFILL
Farmers Branch
DFW Lewisville
Turkey Creek
Sanfill
VMI Westside
ATTACHMENT 0 - MODIFICATION METHODOLOGY
GENERAL - Prior to each Rate Modification Date, CONTRACTOR may request that the
existing residential and commercial! industrial rates (the Base Rates) be reviewed for
modification. This process involves three basic steps:
I. Separate Existina Base Rate Into Operations and Disposal Components
Existing residential and commercial! residential front-load collection and disposal rates (the
Base Rates) shall be separated into an Operations Component and a Disposal Component
based upon a 70!30 ratio.
II. Modify Operations And Disposal Components
The Operations Component (70% of the Base Rate) will be adjusted to reflect increases
equal to 85% of the increase in the Consumer Price Index (CPI), while the Disposal
Component (30% of the Base Rate) will be adjusted to reflect increases in the average gate
rate for compacted materials charged by specific area landfills.
III. Combine Modified Operations And Disposal Components To Form New Base Rates
The modified Operations and Disposal Components will then be combined to produce the
new Residential and Commercial rates which will become effective on the next Rate
Modification Date.
CALCULATION METHODOLOGY - The calculation methodology can again, be illustrated in
three steps:
I. First, assuming the existing Base Rate to equal B1 then:
The current Operations Component ( 01 ) equals the current Base Rate times 70% or:
01 = .7B1
The current Disposal Component ( 01 ) equals the current Base Rate times 30% or:
01 = .3B1
II. Second, the current Operations Component times 85% of the percentage change in the
CPI equals the amount of the Operations Component modification. The amount of the
modification plus the existing Operations Component equals the new or modified
Operations Component or: 01 + [(01) (.85) (percent CPI change)] = 02; Where 01
represents the existing Operations Component and 02 equals the modified Operations
Component.
The current Disposal Component times the percent change in the average gate rate
charged by selected area landfills, equals the amount of the Disposal Component
modification. The amount of this modification plus the existing Disposal Component equals
the new or modified Disposal Component or: 01 + [(01) (percent average gate rate
change)] = 02; Where 01 represents the existing Disposal Component and 02 equals the
modified Disposal Component.
III. Third, the new Base Rate is calculated by combining the modified Operations and
Disposal Components or: B2 = 02 +02; where B2 = the new or modified Base Rate, 02 =
the new or modified Operations Component, and 02 = the new or modified Disposal
Component.
ATTACHMENT D (Cont.)
EXAMPLE: Hypothetical modification of residential Base Rate
Assume the following assumptions as given:
1. The existing Residential Base Rate = $10.00 per month.
2. The applicable CPI @ 09/01/9x = 100 and the applicable CPI @ 08/31/9y = 110
3. The average gate rate for compacted land fill material @ 11/01/9x = $6.00 and
the same rate @ 10/31/9y = $ 6.60
STEP 1 Seperate Existing Base Rate Into Operations and Disposal Components
Operations Calculation Disposal Calculation
Current Current
Base Base
Rate Rate
X X X X
70% 70% 30% 30%
= = = =
Beginning Operations Beginning Disposal
- Component $7.00~ Component $3.00 ~
STEP 2 Modify Operations and Disposal Components
Operations Modification
1 Beg. Operations Component
!Times 85%
§Times % Inc. in CPI (See a)
1= Modification
~Modification + Beg
~ Component = Ending
~ Component
Disposal Modification
$7.00IBeg. Disposal Component
85.00% !N/A
1 0.00% ~Times % Inc. in Compacted
1 Gate Rate (See b)
$0.601= Modification
~ Modification + Beg
~ Component = Ending
$7.60~ Component
$3.00 I
10.00% I
~.w;
$3.30~
STEP 3 Combine Modified Operations & Disposal Components To Form New Base Rates
Modified Operations Component
$7.60
+Modified Disposal Component
$3.30
= Modified Base Rate
$10.90
a) Calculation of CPI Increase
b) Calculation of Gate Rate Increase
Beg CPI
Ending CPI
% Increase
100 Beg Avg Gate Rate
110 Ending Avg Gate Rate
10.00% % Increase
$6.00
$6.60
10.00%