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HomeMy WebLinkAboutItem No. 08 2021 Annual Consumer Price Index Increase CR&RCity of Lake Elsinore LW811-Si no 130 South Main Street Lake Elsinore, CA 92530 www.lake - elsinore.org Ne °— IKikr- ' City Council Agenda Report File Number: ID# 21 -204 Agenda Date: 6/8/2021 Version: 1 Status: Approval Final In Control: City Council / Successor Aqency File Type: Council Consent Calendar Agenda Number: 8) 2021 Annual Consumer Price Index Increase For Refuse Collection Services Provided CR &R Receive and file the report. City of Lake Elsinore Page 1 Printed on 61312021 CITY OF LASE Co LSIN0P,,E DREAM EXTKEME, REPORT TO CITY COUNCIL To: Honorable Mayor and Members of the City Council From: Jason Simpson, City Manager Prepared By: Remon Habib, City Engineer Date: June 8, 2021 Subject: 2021 Annual Consumer Price Index Increase For Refuse Collection Services Provided by CR &R Recommendation Receive and File the 2021 Annual Consumer Price Index Increase For Refuse Collection Services Provided by CR &R. Background CR &R, Incorporated holds an exclusive franchise in the City of Lake Elsinore to collect and dispose of refuse and to collect and process recyclables in the City. The franchise contract specifies that rates be adjusted annually to reflect changes in the Consumer Price Index (CPI) and any increases in the Riverside County Landfill Fees. The current monthly residential rate is $27.30, which includes the Landfill Fee of $3.78. Discussion City staff has been notified that the County of Riverside Waste Management Department will be requesting an increase to the landfill rates this year of 2.25 %, increasing the landfill fees from $31.99 to $32.71 per ton. The CR &R requested an increase in service rates is based on the data supplied by the Bureau of Labor Statistics for the 12 months ending March 31, 2021, in which the Consumer Price Index (CPI) for the Los Angeles, Riverside, and Orange County area increased by 3.05 %. The proposed rates for the fiscal year 2021 -2022 reflect the new rate table for "Bundled Commercial Services "; CalRecycle is encouraging all cities to adopt this standard to prepare for the implementation of SB 1383. The bundled rate includes, as a standard service level, a 64- gallon cart for organics, a 96- gallon cart for recycling, and the customer's choice for trash service. Due to the CIP increase and continued ongoing impacts of the import recycling ban, a monthly rate adjustment of $0.68 per home will become effective. The monthly residential rate will go from $27.30 per month to $27.98 per month. The new enclosed rate sheets also reflect the increased cost of State Compliance for both standard and organic mandatory commercial recycling programs. Annual Consumer Price Index Increase for Refuse Collection Services June 08, 2021 Page 2 Therefore, commercial rates did see an additional adjustment this year to meet the ongoing State Mandated commercial recycling program compliance requirements. The new rates are reflected in Exhibit "B" titled Exhibit "C" Schedule of Rates and will become effective July 01, 2021. Fiscal Impact This rate adjustment will result in a slight increase in franchise revenues to the City. Exhibits A - 2021 Price Adjustment B — 2021 Schedule of Rates- Exhibit "C" MFq&,mM environmenlol services May 18, 2021 Ms. Nicole Mc Calmont Engineering Department City of Lake Elsinore 130 S. Main Street Lake Elsinore, Ca. 92590 Re: Annual Rate Adjustment Dear Nicole, Pursuant to our current Solid Waste and Recycling Services Agreement with the City of Lake Elsinore, CR &R Incorporated (CR &R) respectfully submits the attached information which outlines our Annual Rate Adjustment request for fiscal year 2021 -2022. As you are aware, our current agreement stipulates the conditions upon which our rates may be adjusted on an annual basis. Per the agreement, these rates shall be adjusted each July 1st to reflect the changes in various applicable indices. In reviewing the data from the Bureau of Labor Statistics (BLS) for March 2020 through March 2021, the CPI has increased by 3.05 %. In addition, the County of Riverside's Waste Management Department has indicated that they will adjust their landfill disposal rate by 2.25% from $31.99 per ton to $32.71 per ton. These standard adjustments would be effective July 1, 2021. All other rates would be adjusted per our contractual requirements. The new enclosed rate sheets also reflect a new rate table for "Bundled Commercial Services ". Cal Recycle is encouraging all cities to adopt these bundled rates in order to provide commercial customers with a rate for trash, recycling and organics services all in one service. The bundled rate includes, as a standard service level, a 64- gallon cart for organics, a 96- gallon cart for recycling and the customer's choice for trash service. There is no change to the individual rates themselves, this only creates a simpler bundled service rate. All of these new rates would become effective July 1, 2021. We also wanted to take this opportunity to mention that our proposed rates for fiscal year 2021- 2022 do not consider any potential rate increases that may be required because of the implementation of new SB 1383 regulations. As you know, SB 1383 regulations go into effect January 1, 2022 and they carry a significant amount of additional regulatory requirements with regards to the collection and processing of organic materials. All California jurisdictions are required to comply with these new regulations or face potential fines. Although CR &R does not intend to pass on any additional costs related to the implementation of SB 1383 at this time, we are in the process of hiring an individual to help us manage the process as we begin to plan for rollouts in 2022. The total additional costs of personnel and programs will be discussed with the City as we analyze the amount of additional resources we will need for new State requirements crrwasteservices.com the fvice a[ a grew -per gerkarafion -ia. such as route audits, material sampling and a significant amount of additional reporting. We expect to know exactly what those costs will be for your July 2022 rate adjustments. We strongly encourage the City to review the SIB 1383 requirements and get familiar with them since they will impact every business and residential customer in your City. As you know, our staff can help provide guidance on this important issue. Please let us know if we can be of any assistance. We sincerely appreciate our long- standing relationship with the City of Lake Elsinore as well as the opportunity that we have had to be of service to your residents and businesses. It has truly been, and continues to be, a privilege to be of service to your City. Please do not hesitate to call if you have any questions regarding the attached schedules. We look forward to any further assistance that we can provide. Respectfully, J. Alex Braicovich Senior Regional Vice President CR &R Incorporated 2021 PRICE ADJUSTMENT EXHIBIT "C" Schedule of Rates (effective July 1, 2021, unless otherwise noted) Fully automated single family residential refuse collection, recycling, composting, transfer and disposal: Monthly Rate: (includes Extraordinary Recycling Fee) $ 27.98 * Fully automated single family residential additional refuse collection, recycling and composting container: Monthly Rate: $ 13.56 Single family residential additional bulky item pick up: Per Pick Up (above the minimum of two per calendar year): $ 13.60 -Senior Citizens 65 and older and Active Military Personnel deployed into a conflict zone are entitled to a 10% discount. Residential Organics Rates Rate per Home $ 2.11 Additional Food Scrap Pail $ 7.59 Residential Cart Setup Fee $ 22.46 Residential Delinquency Processing Fee $ 43.50 Commercial, industrial, and multi - family residential refuse monthly bin rates (one 3 cubic yard bin) with the following pick ups per week: I x week $ 208.94 2 x week $ 376.38 3 x week $ 563.86 4 x week $ 751.25 5 x week $ 938.65 6 x week $ 1.126.07 Commercial, industrial, and multi - family residential refuse monthly bin rates (one 1 -1/2 cubic yard bin) with the following pick ups per week: Additional Pickup Bin - Refuse Bin Additional Pickup Bin - Recycling Bin 1 x week $ 158.34 2 x week $ 299.46 3 x week $ 448.77 4 x week $ 598.05 5 x week $ 747.31 6 x week $ 896.83 $ $ 102.61 $ 79.33 Commercial, industrial, and multi - family residential recycling monthly bin rates (one 96 gallon cart) with the following pick ups per week: 1 x week $ 57.42 Commercial, industrial, and multi - family residential recycling monthly bin rates (one 3 cubic yard bin) with the following pick ups per week: 1 x week $ 102.66 2 x week $ 201.60 3 x week $ 300.93 4 x week $ 400.28 5 x week $ 499.63 Recycle Bin Contamination Fee, per occurrence $ 51.95 Recycle Cart Contamination Fee, per occurrence $ 51.95 Temporary 3 cubic yard bin rate: $ 146.79 per bin EXHIBIT "C" Schedule of Rates (effective July 1, 2021, unless otherwise noted) Redeliver and reinstatement rate: $ 53.50 per occurrence EXHIBIT "C" Organic AD Rates Anaerobic Digester Rate Per Ton Additional pickup organic cart $ 81.55 $ 39.48 Commercial, industrial, and multi - family residential organic monthly bin rates (one 2 cubic yard bin) with the following pick ups per week: 1 x week Schedule of Rates 201.89 2 x week (effective July 1, 2021, unless otherwise noted) 40 cubic yard roll -off bin rate: $ 382.03 + MRF /landfill fees 10 cubic yard roll- off/lowboy bin rate: $ 382.03 + MRF /landfill fees Compactorrolloff $ 448.40 + MRF/landfill fees Delivery Fee $ 80.28 Relocation Fee $ 80.28 False Run fee $ 80.28 Rental Fee Over 7 Days $ 10.47 Com Bin and RO Setup Fee $ 50.47 Convert to Locking Bin Fee $ 66.39 Delivery Fee $ 55.49 Bulky Item Fee $ 36.40 Commercial Overload Fee $ 52.99 Organic AD Rates Anaerobic Digester Rate Per Ton Additional pickup organic cart $ 81.55 $ 39.48 Commercial, industrial, and multi - family residential organic monthly bin rates (one 2 cubic yard bin) with the following pick ups per week: 1 x week $ 201.89 2 x week $ 390.65 3 x week $ 585.79 4 x week $ 780.91 5 x week $ 976.00 6xweek $ 1,171.30 Commercial, industrial, and multi - family residential organic monthly bin rates (64- gallon cart) with the following pick ups per week: I x week $ 53.41 2 x week $ 106.83 3 x week $ 160.27 4 x week $ 213.69 5 x week $ 267.12 6 x week $ 320.54 Organics Contamination Fee - cart service, per occurrence $ 39.49 Organics Contamination Fee - bin service, per occurrence $ 98.71 Bundled Commercial Compliance Rates 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 1/Week $ 319.77 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 2/Week $ 598.05 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 3/Week $ 896.39 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 4/Week $ 1,194.62 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 5/Week $ 1,492.87 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 6/Week $ 1,791.13 Wi Ow z� t- J 7 wo Ya 5� LL O 6 T r H N U n moWmO v W�oNmmaN NSW inmw Wo rN mr ooarvNNe mmmmNr m{m�ry amrN�m vnoom "� a m$mNm m m m N � M N r N 4 m S r O N m� 0 0 0 0� mmo O 1` m N mmaromm N Q N 0 N M N N p� O S S S9 0 `p'N mP CJ tmV NMNn O)r N P N n m O OI •n N maP f Q C n wwwwwHH www ww wwwwwww wwwwwH wwwwww wwwww w wwwww w �m N om Wm raWmr nmo�ym Woa SN m mNrom L �d' mN m mO mma O1n PmN m W nma p m r m m N� YN] n W � � N O h r 0 P m N t0 N N OO OI N CWI O aVq o U LL w w w w w w w w w w w w w w w w N w w w w w w w w w a n m O W m r O O m m m n n a n m r O m N O O N a O N m O N m N ry 0 m l0 m m e m O m n n N IG 9 N W m m N^ Cl n N N N OI t7 p p 0 0 0 m W m m N O m N OI y m Cl O N D! 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L om a OO�Nt7dN10 Y u rn b L w U v v v ami u a a 3 X X X x X X p x x LL � N N d w t0 c �m5 mUm P i OtL 4L U O Sc ry E L `o E E QUU 0 W U Lm n 0 U E E U 9 m e a yywww a m v v w u m m m m m m N yyN yyN yyN yyW N 0 0 0 0 0 LL LL LL 1°L LL LL pO yO O pO O yO N fp N f0 IdC NyT d ttrc��� E E E E E E E E E E E E E 0000Up OU Qbi q N OI Q Q c 2 c c E E E E E E E 0 0 0 0 0 0 U U U U U U O��oo❑ >TT >YY NNNNmm U.S, BUREAU OF LABOR STATISTICS Databases, Tables & Calculators by Subject Change Output Options: :rom:l 2011 v 70:12021 v `9 -Iincludegrapns©ircluceannualav ages More FormattingOntionsm$ip Data ext:-act2d om,4.36. 2_.29:1,.4:47:33 P10 "'' [PI forAll Urban Consumers (CPI -U) Series Id: CUUR549A5AK2 Not Scmona'ly Adjusted Series Title: all items less shelter in Los Angeles -Lor.; beach- Anaheim, CA, all urbanc0nsumers, rot seasonally adjusted Area: Los Angeles -Long Beach- AnaWni,CA Item: All items less shelter Base Period: 1982 -84 =100 Download: E3• xlae Year Jan Feb_ Mar Apr May Jun Jul Aug FSep Oct Nov Dec Annual HALF; HALF2 2011 9. + 2 210.x,64 214.028 li 215.498 215.467 213.808 212 202 212.976 214 564 211.597, 211.215 212.3.13 213.28 213.088 213.483 2012 219. 7.12 215304 21 158 6 215.468 218.457 210,.7.10 211:.127 218.077 219.094 221.751 215.300 215.928 217.70; 217,158 213.223 2013 218.5221 220.919 221.001 21.4 "a2 214521 219.075 218.59; 218.636 213.9.13 21'.128 217.4 "04 217.333 219.054 219.753 213 -355 2414 -.._ - -- 218 -614 219.973 221.974 221.692 222.926 222.9,12 222.330 221.8 ,11 221.49E 220.815 218.208 215.134 22(),745 221.353 220.137 2015 214533 21:.371 20.281 218.8513' 222.010 2 0.+569 222.521 221.135 214.652 20.771 219.2.47 213.173 21`..352 218.621 220.083 20167 220.010 21.387 21`'•558 220.292 221.281 ,.21.134 220.438 21.575 211.670 220.640 218.881 218.445 218.944 220.279 219.504 220 314. 221.651 222.476 223.272 223.918 223.265 223536 223.663 224.951 %25 -155 225.SD3 225.322 223.541 222.488 224 -644 1018 - _..- - -- 227.716. 229.357 229.855 230.208 230.818 229.915 230:187 230.417 231.225 233.375 231.865 230.045 230.450 j 223.655 231.245 2019'231.460 231141, 232.5,16 235.395 235.110 234.840 234.410 234.213 235.978 235.399 236.218 234.011 234.609 233.593 2235.624 2020 236. 640 237.•101 234.475 232 -812 233.474 235.405 237.153 237.676 23 7.055 237.989 238. 544 237.923 236.437 235.151 237.723 - _ 2021' 238.459 239.730 241.621 12 -Month Percent Change Series Id: CLLRS49ASAOL2 NOtScawnd.l'. Adjusted Series Title: All items less she',ter in Los Angeles -Long Beach- Anaheim. CA. all urban consumer, rot seasonally ad;us_ed Area: Los Angeles -Lang Beach- Anahelln, CA Item: All items lcss shelter Base Period: 1082 -84 =100 Download: O' xlax Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual HALF1 HALF2 2011 2 -� 3 -•i 13 4,7 1.4 1.1 3.1 35 4.6 4.0 4.4 2.8 3.8 3.9 3.7 2012 2 -7 2 -5 2,2 1.4 1.4 1.4 1.8 2.4 2.1 3.3 1.9 1.7 2.1 1.9 2.2 2013 1.8 2.3 1.0 06 05 1.1 1.1 0.3 -01 -1.2 -0.4 0.7 0.6 1.2 0.1 2014 0.0 -0.4 0.4 1.0 1.6 1.8 1.7 15 1.2 0.8 03 -0.6 0.8 0.7 0.8 2� 015 -1.9 -1.6 -1.2 -1.3 0.4 -1.0 0.1 -0.3 -0 -8 -0.� 0 -5 ;.-.5 -0.6 1.2 0.0 2016 2.6 1.4 0.1 0.7. -0.3 0,2 -0.9 -0.7 0.0 0.•1 -0.2 0.1 0.3 0.8 -0.2 f 2017 1,.1 1.0 1.3 1.41 1 -2 1.0 1.•1 1.- 2.4 2.1 3.0 31 1.7 1.0' 2.3 2010 3 -4 3.5 3 -3 3.1 3.1 3.0 3.1 3.0 2.8 3.5 2.8 2.1 3.1 3.2 2.9 2019 1.6 0. 3 1.2 1.3 23 2.1 1.3 1.7 2.1 22 19 1.7 1.8 1,7 1.9 20201 2.3 2.7 0.8 -1.1 -09 0.2 1.0 1.5 0.5 -01 1.0 1.7 0.8 03 0.9 1 2021 0.7 1.0 3.0 �s• RIVERSIDE COUNTY �13PARTMENT Ot. aclis Hans SV Kernkamp, General Manager -Chief Engineer DATE: February 22, 2021 TO: Waste Haulers FROM: Sandra Green — Assistant General Manager; Riverside County Department of Waste Rescu RE: Disposal Fee Increase — FY 2021/2022 The Riverside County Department of Waste Resources (Department) is responsible for assuring that there is, and will be in the future, sufficient and accessible landfill space to properly serve the population of the County in its disposal needs. To fulfill this mandate, the Department continually maintains and expands County landfill sites, and encourages, supports and develops recycling programs that minimize the dependence on landfill disposal facilities. Due to sustained increases in system -wide labor expenses, capital improvement costs, regulatory compliance costs and closed site maintenance, an increase in disposal rates is essential to allow for continued and improved services. This letter serves as a notice that subject to approval by the Riverside County Board of Supervisors, direct haul rates will increase in FY 21/22 by the Consumer Price Index (CPI), which is 2.25% for calendar year 2020. If approved, the new rates will become effective for tomrage deliveries starting on July 1, 2021. Long -temi Waste Delivery Agreement (WDA) rates will be adjusted as outlined in each agreement. Processed green waste used as erosion control at the landfills will continue to be charged at the $10 per ton rate for (lie foreseeable future, as it provides a beneficial use to the landfill system. Thank you for your past cooperation and support. SG:sg cc: Keith Jones, LEA DOGS GENERAL - 0270922- ,4- Nolice ,, Haulers 779 22 1431011'edo ids Sued s Alureno Pulley. C:1 92553 - (951) 4U6 -3200 • 1 ox (951) 486 3205 e Iox ()5 1) 06 3230 WMV, rcivusle. ory BA ,� I'rinR•d nn rreydeJ pu per 2021 PRICE ADJUSTMENT EXHIBIT "C" Schedule of Rates (effective July 1, 2021, unless otherwise noted) Fully automated single family residential refuse collection, recycling, composting, transfer and disposal: Monthly Rate: (includes Extraordinary Recycling Fee) $ 27.98 * Fully automated single family residential additional refuse collection, recycling and composting container: Monthly Rate: $ 13.56 Single family residential additional bulky item pick up: Per Pick Up (above the minimum of two per calendar year): $ 13.60 -Senior Citizens 65 and older and Active Military Personnel deployed into a conflict zone are entitled to a 10% discount. Residential Organics Rates Rate per Home $ 2.11 Additional Food Scrap Pail $ 7.59 Residential Cart Setup Fee $ 22.46 Residential Delinquency Processing Fee $ 43.50 Commercial, industrial, and multi - family residential refuse monthly bin rates (one 3 cubic yard bin) with the following pick ups per week: I x week $ 208.94 2 x week $ 376.38 3 x week $ 563.86 4 x week $ 751.25 5 x week $ 938.65 6 x week $ 1.126.07 Commercial, industrial, and multi - family residential refuse monthly bin rates (one 1 -1/2 cubic yard bin) with the following pick ups per week: Additional Pickup Bin - Refuse Bin Additional Pickup Bin - Recycling Bin 1 x week $ 158.34 2 x week $ 299.46 3 x week $ 448.77 4 x week $ 598.05 5 x week $ 747.31 6 x week $ 896.83 $ $ 102.61 $ 79.33 Commercial, industrial, and multi - family residential recycling monthly bin rates (one 96 gallon cart) with the following pick ups per week: 1 x week $ 57.42 Commercial, industrial, and multi - family residential recycling monthly bin rates (one 3 cubic yard bin) with the following pick ups per week: 1 x week $ 102.66 2 x week $ 201.60 3 x week $ 300.93 4 x week $ 400.28 5 x week $ 499.63 Recycle Bin Contamination Fee, per occurrence $ 51.95 Recycle Cart Contamination Fee, per occurrence $ 51.95 Temporary 3 cubic yard bin rate: $ 146.79 per bin EXHIBIT "C" Schedule of Rates (effective July 1, 2021, unless otherwise noted) Redeliver and reinstatement rate: $ 53.50 per occurrence EXHIBIT "C" Organic AD Rates Anaerobic Digester Rate Per Ton Additional pickup organic cart $ 81.55 $ 39.48 Commercial, industrial, and multi - family residential organic monthly bin rates (one 2 cubic yard bin) with the following pick ups per week: 1 x week Schedule of Rates 201.89 2 x week (effective July 1, 2021, unless otherwise noted) 40 cubic yard roll -off bin rate: $ 382.03 + MRF /landfill fees 10 cubic yard roll- off/lowboy bin rate: $ 382.03 + MRF /landfill fees Compactorrolloff $ 448.40 + MRF/landfill fees Delivery Fee $ 80.28 Relocation Fee $ 80.28 False Run fee $ 80.28 Rental Fee Over 7 Days $ 10.47 Com Bin and RO Setup Fee $ 50.47 Convert to Locking Bin Fee $ 66.39 Delivery Fee $ 55.49 Bulky Item Fee $ 36.40 Commercial Overload Fee $ 52.99 Organic AD Rates Anaerobic Digester Rate Per Ton Additional pickup organic cart $ 81.55 $ 39.48 Commercial, industrial, and multi - family residential organic monthly bin rates (one 2 cubic yard bin) with the following pick ups per week: 1 x week $ 201.89 2 x week $ 390.65 3 x week $ 585.79 4 x week $ 780.91 5 x week $ 976.00 6xweek $ 1,171.30 Commercial, industrial, and multi - family residential organic monthly bin rates (64- gallon cart) with the following pick ups per week: I x week $ 53.41 2 x week $ 106.83 3 x week $ 160.27 4 x week $ 213.69 5 x week $ 267.12 6 x week $ 320.54 Organics Contamination Fee - cart service, per occurrence $ 39.49 Organics Contamination Fee - bin service, per occurrence $ 98.71 Bundled Commercial Compliance Rates 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 1/Week $ 319.77 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 2/Week $ 598.05 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 3/Week $ 896.39 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 4/Week $ 1,194.62 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 5/Week $ 1,492.87 3 YD Comm Bin, 96G Comm Recy, 64G Foodwaste 6/Week $ 1,791.13