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Res 1787 - United Disposal Rate COUNCIL BILL NO. 2564 RESOLUTION NO. 1787 A RESOLUTION GRANTING UNITED DISPOSAL SERVICE, INC. AN ADJUSTED RATE SCHEDULE FOR PROVIDING SOLID WASTE SERVICE WITHIN THE CITY OF WOODBURN AND REPEALING RESOLUTION 1688. WHEREAS, Ordinance 1641 grants an exclusive franchise to United Disposal Services, Inc. ("United Disposal") to collect, transport, and convey solid waste in the City; and WHEREAS, the City Council previously adopted Resolution 1688 which established certain rates; and WHEREAS, United Disposal has requested an adjustment to its residential and commercial rates and has submitted satisfactory evidence to the City Council to justify the proposed rate schedule; NOW, THEREFORE, THE CITY OF WOODBURN RESOLVES AS FOLLOWS: Section 1. That the Council finds that the rates proposed by United Disposal are fair and appropriate under the existing franchise. In making this determination, the Council has considered the following factors pursuant to Section 13 of Ordinance 1641: (1) The cost of performing the service provided by the franchisee. (2) The anticipated increases in the cost of providing the service. (3) The need for equipment replacement and the need for additional equipment to meet service needs; compliance with federal, state and local law, ordinances and regulations; or technological change. (4) The investment of the franchisee and the value of its business and the necessity that the franchisee have a reasonable rate of return. (5) The rates in other cities for similar service. (6) The public interest by assuring reasonable rates to enable the franchisee to provide efficient and beneficial service to the residents and other users of the service. Page 1 - Council Bill No. 2564 Resolution No. 1787 Section 2. That the rate schedule affixed as Attachment "A" and by this reference incorporated herein, is approved. Section 3. The rate schedule approved in Section 2 of this resolution shall be effective May 1,2005. Section 4. Resolution 1 688 is repealed effective May 1, 2005. City Attorney Approved as to form: Passed by the Council Submitted to the Mayor Approved by the Mayor Ma rch 16, 2005 March 16. 2005 Filed in the Office of the Recorder March 16, 2005 ATTEST: /1 ~t,,-A Mary T nant City Recorder City of Woodburn, Oregon Page 2 - Council Bill No. 2564 Resolution No. 1787 Subject: Garbage rate increase request United Disposal Service ATTACHMENT I Page --L.. of ( To the Woodburn City Council United Disposal Service respectfully requests approval of an 8% overall rate increase for the City ofWoodbum The new rates would add approximately $1.00 to $2.00 per month to a residence depending on the size of the service package they have. The last rate increase for United Disposal was in 1999 and with the increased costs of wages, fuel, health insurance, tires, metal, property insurance, and replacement equipment we feel we have held a tight line on overall expenses. 8% over 6 years equates to 1.3% per year increase. The CPI is between 2 and 3% per year. I want to thank you for your consideration on this rate increase and I would be happy to answer any questions. Sincerely, ~M. SiglOIt1~ \..:JIVd'tls:,d 111, J.t . General Manager United Disposal Service ATTACHMENT ;;... Page -L.-. of 2[ = WOODBURN RATE SHEET -AREA 20 RESJDEN11AJ. RATES Line of business: 30 SIZE 20 pilon REGULAR NON-CURB HARDSHIP OWN CAN 38 pilon REGULAR NON-CURB HARDSHIP OWN CAN 811 pilon REGULAR NON-CURB HARDSHIP OWN CAN 10 pilon REGULAR NON-CURB HARDSHIP OWN CAN PKG PRICE Plck-up d...: MonfTueslWedfThur/Fri Included with Hl'Vlce weekly:Trash, Bin, 65 yard Every oth.. week: N/A NO ADD. YARD TRASH DEBRIS CART ADD. YARD CART On-call pick-up:$7.50 Sharps:$13.75 Recycle only: $4.30, Bin only Extra can/bag/box: $4.30 Request to change or switch container: $15.00 (after allowed one change @ n/c) Return fee:$1 0.00 Yard debris contaminated:$8.00 Senior discount upon approval: N/A Premium drive-in service (per cart): N/A Outstanding invoices older than 60 days are subject to a service interrupt fee of $25.00 A late fee of 18% per annum with a $5.00 monthly minimum will be charged for non-payment after 45 days from invoice date. MFCAp/JI" ~.IIDnMPwb (n.lJDnh() (4 or more adjoining units) SIZE PRICE 20 pilon 38 gallon 811 g8l10n 10 pilon revised 2/23/05 am ATTACHMENT .l. Page~ of '3 WOODBURN RATE SHEET -AREA 20 31 pilon 85 pilon 80 pilon RECYCLE CBB On-all YIU'd $9.75 *cardboard available with weekly service for NO CHARGE COMM. CART $15.00 $24.00 $33.80 EXTRA TRIP (EXT) $13.75 $16.00 $18.45 EACH Line of business: 10 ADDmONAL Request to change or switch container:$25.00 $10.30 Container re-delivery/re-start for non-pmt:$25.00 SIZE Recycle office waste (ROW):65G, no charge: SIZE ONE TWO THREE EXTRA (IGOR) XlWEEK XI WEEK XlWEEK TRIP (EXT) 1 yIU'd $76.40 $140.80 $205.40 $29.10 1.5 yIU'd $101.50 $187.70 $273.25 $35.40 2 yIU'd $130.50 $241 .30 $352.60 $42.60 3 yIU'd $195.75 $362.35 $528.80 $58.90 4 yIU'd $260.90 $482.55 $705.10 $75.20 5 yIU'd $326.20 $603.20 $881.40 $91.55 I yIU'd $391.40 $723.90 $1,057.50 $107.85 I yIU'd $521.85 $965.20 $1,410.20 $140.45 -EXTRA YARDAGE (EXY): $19.10 per yard *Compacted containers charged @ 2.5 X's loose rate *cardboard available with weekly service for NO CHARGE 1 yIU'd 1.5 yIU'd 2 yIU'd 3 yIU'd 4 yIU'd 5 yIU'd I yIU'd 8 yIU'd ..nclud_ $25.00 delivery fee revised 2/23/05 am ATTACHMENT ;2. Page +_ of 7 WOODBURN RATE SHEET-AREA 20 INDUSTR/AL.-DROP 80X RATES *AII boxes C.O.D Rent charge (*after 4 days): Day:$5.00 Month: $65.00 (infopro $152.08) *Compacted rates charged @ 2.5 X's loose rate Line of business: 20 Screen box, per haul: $10.00 Relocate, per box: $25.00 Overweight, per box: $75.00 Liner, per box: $32.00 OVER WEIGHT RATE SIZE TOTAL DELNERY HAUL DISPOSAL TAXlFRAN. *weight limit is 10 tons! FEE 20,00 pounds 10 GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK 20 yard* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK 30 yard* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK .to yard* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK revised 2/23/05 am WOODBURN RATE SHEET -AREA 20 RESJDENnAL. RAlES Line of business: 30 SIZE 20 Ion REGULAR NON-CURB HARDSHIP OWN CAN 31 Ion REGULAR NON-CURB HARDSHIP OWN CAN 81 pion REGULAR NON-CURB HARDSHIP OWN CAN to pion REGULAR NON-CURB HARDSHIP OWN CAN PKG PRICE Plck-up d...: MonrrueslWedrrhur/Fri Included with Rl'Vlce WMIdy:Trash, Bin, 65 yard Evwy other...: N/A NO ADD. YARD TRASH DEBRIS CART ADD. YARD CART YARD CART ONLY On-call pick-up:$7.00 Sharps:$12.75 Recycle only: $4.00 Extra can/bag/box: $4.00 (after allowed one change @ n/e) Request to change or switch container: $15.00 Container re-delivery due to non-payment: $15.00 Restart after non-payment: $10.00 ATTACHMENT '3 Page --L of ~ , Return fee:$10.00 Yard debris contaminated: N/A Senior discount upon approval: N/A Premium drive-in service (per cart): N/A AlFCAI*" ~HDilMPwb t--mJ/x) (4 or more adjoining units) SIZE 20 pilon 31_1on 81 pion to pion WOODBURN RATE SHEET-AREA 20 ATTACHMENT ? Page~ 01-3 35 pilon II pilon 10 pilon Own c.. CBB 0n-cId1 Ya $9.00 *cardboard available with weekly service for NO CHARGE co..... CART $13.85 $22.30 $31.30 EXTRA TRIP (EXT) $13.46 $15.58 $17.83 EACH ADDmONAL $9.55 Line of business: 10 Request to change or switch container:$25.00 Container re-clelivery due to non-pmt:$15.00 Restart after stopped for non-pmt: $10.00 SIZE Recycle office waste (ROW), no charge: Day: Tuesday SIZE ONE TWO THREE EXTRA (1--) XlWEEK XI WEEK XlWEEK TRIP (EXT) 1 yard $70.75 $130.35 $190.15 $27.69 1.1 yard $93.95 $173.80 $253.00 $33.49 2yn $120.80 $223.40 $326.45 $40.20 3yn $181.25 $335.50 $489.65 $55.31 4yn $241.60 $446.80 $652.85 $70.40 Iyn $302.05 $558.55 $816.10 $85.51 ern $362.40 $670.25 $979.20 $100.60 8yn $483.20 $893.70 $1,305.75 $130.80 .EXTRA YARDAGE (EXY): $17.70 *Compacted containers charoed @ 2.5 XiS loose rate *cardboard available with weekly service for NO CHARGE 1EiIR7RAR~ CONTAINERS SIZE TOTAL D..-. ____ EXTRA YARD 1m $35.50 $17.70 $17.70 1.5 yn $41.30 $23.50 $17.70 2 yard $48.00 $30.20 $17.70 3prd $69.05 $51.25 $17.70 4 yard $81.95 $64.15 $17.70 5yn $94.95 $77.15 $17.70 eyn $107.75 $89.95 $17.70 8ywd $138.60 $120.80 $17.70 *lnclud_ $17.80 delivery fee updated 1/18/05 am WOODBURN RATE SHEET-AREA 20 ATTACtiMENT .3 Page --L-. of '3 INDUS1RIAL.-DROP BOX RATES *AII boxes C.O.D Rent charge (*after 4 days): Day:$5.00 Month: $65.00 (infopro $152.08) *Compacted rates charged @ 2.5 X's loose rate Line of business: 20 Screen box, per haul: $10.00 Relocate, per box: $25.00 Overweight, per box: $75.00 Liner, per box: $25.00 SIZE TOTAL DELNERY HAUL DISPOSAL TAXlFRAN. *weight limit is 10 tons! FEE 20,00 pounds 10 Yard* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK 20 GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK 30 y8I'CI* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK 40 yerd* GARBAGE WOOD COMPOST CONCRETE/BRICK! DIRT METAL SHEETROCK OVER WEIGHT RATE 4 ATTACHMENT Page -L. of , CITY OF WOODBURN 2004 Actual 2005 Proforma REVENUE $ 2,837,656 $ 2,837,656 OPERATIONS COST WAGES 462,013 478,184 REPAIRS AND MAINT 212,609 220,050 VEHICLE OPS COST 93,699 107,754 EQUIP RENT 1,169 1,193 FACILITY OPS COST 75,210 76,714 SAFETY,INS,CLAIMS 59,009 60,190 TIPPING DISPOSAL 1,160,775 1,183,990 FRANCHISE FEES 87,524 87,524 OTHER OPS COST 5,501 5,611 2,157,509 2,221,210 SG&A COSTS SALARIES 68,972 71,386 RENT AND OFFICE EXP 29,325 29,912 TRAVEL AND ENTERTAINMENT 6,764 6,899 PROFESSIONAL FEES 159,203 162,387 BAD DEBT 9,218 9,403 OTHER EXP 33,003 33,663 DEPRECIATION 109,962 133,600 INTEREST 56,039 58,103 472,486 505,353 TOTAL EXPENSE 2,629,995 2,726,563 GROSS PROFIT 207,661 111,093 PROVISION FOR INCOME TAX 86,387 46,215 NET INCOME $ 121,274 $ 64,878 Net Income as a percentage of revenue 4.27% 2.29% ATTACHMENT Residential Rates Comparisonage -1.- of 02/2005 Update '5 I 2O-GAL GARBAGE 32-GAL GARBAGE 6O-GAL GARBAGE 9O-GAL GARBAGE DlSP AREA: 6O-GAL YD. DEBRIS 6O-GAL YD. DEBRIS 6O-GAL YD. DEBRIS 68-YD DEBRIS RATE ALBANY $11.75 $18.75 (9O-Ga1.) Com d 90- Yd Debris Bi- 9O-Yd Debris Bi-W $20.00 CLACKAMAS CO. Commingle PlIperlPlllaticlTln $18.70 $21.55 $29.30 $34.30 S ate Gins - CoIofa No Yd Debris No Yd Debris No Yd Debris No Yd Debris $70.96 CORVALLIS Commingled $12.00 (35-Ga1.) $16.50 (64-GaI.) $21.00 Gla.. - Colors 9O-Yd Debris BI 9O-Yd Debris BI 9O-Yd Debris BI $20.12 EUGENE $12.45 $2UO $36.70 Commin led No Yd Debris No Yd Debrla No Yd Debris ~.OO GLADSTONE Commingle PaperlPlllaticlT... $20.30 $27.60 $29.76 G1a.. - Colen 32-Yd Debris 6O-Yd. Debris 6O-Yd. DebrisW $70.96 GRESHAM $18.50 $25.50 $28.75 Com led 32-Yd Debris WkIy 32-Yd Debris WkIy Weekly Yd $70.96 HILLSBORO Commingle PaperlPlasIIc:mn $17.n (35-Ga1.) $26.65 Gla.. - Colen Yd Debris Yd Debris . 70.96 KEIZER Commingled Separate $15.93 $17.71 $24.19 GIassIBatterle8lOillPaint 6&- Yd Debris Bi- 6&- Yd Debris Bi-WIdr 6&- Yd Debris Bi-WIdy $67.45 MILWAUKE Commingle Paper $18.70 $21.55 $29.30 $34.30 Se rate Plastlc:lTlnfGlasa No Yd Debris Yd Wee Yd Yd $70.96 MOLALLA Commingle Paper $17.50 (35-0al.) $27 .00 $29.20 Plastk:lT"mlGla.. No Yd Debris No Yd Debris No Yd Debris $70.96 OREGON crrv Commingle PaperJPlasticlT1Il $21.25 (35 Gal.) 28.75 $31.00 GI.88 - Colors Yd Wee Yd W Yd $70.96 PORTLAND $16.10 $19.95 $24.65 $28.55 Comm led 32- Yd Debris 32-Yd Debris 32-Yd Debris 32-Yd Debris Bi-' $70.96 SALEM $17.09 $18.84 $25.19 (64-GaI.) $25.10 Commingled 9O-YdDebris 90- Yd Debris WkIy 9O-Yd Debris WIdy 9O-Yd Debris WkIy $67.45 SILVERTON $18.15 $19.50 (35-Ga1.) $23.40 (65-Gal) $25.10 (95 Gal.) Comm led 6&- Yd Debris WkIy 6&- Y d Debris WkIy 6&- Yd Debris WIlIJ 6&-Yd Debris WIdy $67.45 STAYTON $15.50 $18.50 $25.00 (64-GaI.) $28.00 Commin led Wee Yd W Yd W Yd Yd $67.45 TUALATIN $15.50 $18.45 $24.80 Comm led Wee Yd W Yd Wee Yd $70.96 WEST UNN Commingled $20.34 (35-Gal.) $32.55 $35.80 (95-GaI.) Se rate Gla88 - Colors 65-YdDebris 6&-YdDebri8 6&- Yd Debris $70.96 WlLSONVILLE $17.10 $18.45 $25.60 Comm d W Yd W Yd Wee Yd $70.96 WOODBURN Commingled $15.00 $19.15 $25.00 (65-GaI.) $31.00 rate Gla88 - Cotors 65-YdDebris 6&- Yd Debris 6&- Yd. Debris 6&- Yd Debris $67.45