CITY COUNCIL AGENDA ITEM
Memo Date: February 17, 2021
Agenda Date: February 23, 2021
Prepared By: Bryant Smith III, P.E., CFM, Public Works Director/City Engineer
Through: Bryant Smith III, P.E., CFM, Public Works Director/City Engineer
Requested Action:
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City staff is seeking approval to enter into a new solid waste franchise agreement with Waste Management Inc. of Florida for solid waste services for customers within the incorporated City of Cocoa.
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BACKGROUND:
The City of Cocoa currently provides solid waste services through an existing franchise agreement (agreement) with Waste Management Inc. of Florida (Waste Management). The current agreement began in 2006 and was renewed for its first renewal in 2011 and final five-year renewal in 2016. The expiration date of this agreement is September 30, 2021.
The existing agreement provides the following services:
• Residential and Multiple Dwelling Unit collection and disposal services
o Household Trash and Garbage twice a week (Monday & Thursday or Tuesday & Friday)
o Single Stream Recycling once per week (Thursday or Tuesday)
o Vegetative Waste once per week (Friday or Monday)
o Bulk Trash and Vegetative Waste as requested by the account holder
o “Back-Door” service for medically disabled customers
• Commercial Collection and Disposal Services
o Commercial Trash and Garbage twice per week
o At an additional fee: Vegetative Waste and Recycling
• City Controlled Property Collection
o Trash and Garbage twice a week
o Single Stream Recycling once per week
o Vegetative Waste once per week
o Bulk Trash and Vegetative Waste as needed
• Dumpster Service
o Various Size and Frequency Collection determined by the Waste Management and Account Holder
o Roll-off/Open Top Container Pull
o Compactor Pulls
The new agreement will mirror the current services being provided in the existing agreement. Waste Management has proposed a negotiated residential rate meeting the objectives set forth at the January 19, 2021, Council Priorities Workshop.
As part of the continued negotiations, the following items will be included in the new agreement
• A third solid waste route taking place on Wednesdays and Saturdays will be included for residential service. This will change pickup days for some existing customers.
• Waste Management will have the ability to charge non-compliant businesses with overloaded dumpsters an extra pickup fee after two overages are recorded in a calendar year.
• The basis for Consumer Price Index (CPI) adjustments will be adjusted from the All Urban CPI plus Fuel/Oil Index to the Garbage and Trash (G&T) Index with a 3% maximum adjustment per calendar year. The G&T Index has trended between approximately 1.5% and 5% over the last five years.
• The originally proposed commercial auto-cart (garbage can) rate was comparable to the County and other Cities in Brevard; however, it would have represented a significant percentage increase to the current rate. The City has successfully reduced the originally proposed commercial auto-cart rate down 22% from the initial proposal.
• The agreement will be for a seven-year base term with future extensions to be negotiated upon mutual agreement of each party.
Upon approval of entering into a new franchise agreement with Waste Management, an agenda item will brought back to Council that will provide the negotiated rates and include the above changes in the terms.
STRATEGIC PLAN CONNECTION:
Improve the City’s Image through the removal of unsightly graffiti and waste accumulation.
BUDGETARY IMPACT:
Budgeted N/A
If not budgeted, is amendment/transfer attached? N/A
PREVIOUS ACTION:
City Council directed staff to continue negotiations for a two-week period with Waste Management for solid waste services at the February 9, 2021 City Council Meeting.
RECOMMENDED MOTION:
Recommendation
City staff is seeking approval to enter into a new solid waste franchise agreement with Waste Management Inc. of Florida for solid waste services for customers within the incorporated City of Cocoa.