Title
Amending section 220.05 of the Legislative Code, to set rates for base level garbage service to be effective January 1, 2021 and changing the rate calculation from a rate that includes taxes to a rate that excludes taxes.
Body
SECTION 1
WHEREAS, the City of Saint Paul has a Residential Coordinated Trash Collection program; and
WHEREAS, the program is governed by a contract between the City and St. Paul Haulers, LLC, a limited liability company, comprised of members who are residential solid waste collectors licensed to do business in the City; and
WHEREAS, pursuant to the contract, the City Council adopted rates for base level garbage service that were effective beginning on October 1, 2018; and
WHEREAS, section three (3) of the contract provides that the rates for Trash Collection Costs and Disposal Costs shall be adjusted annually; the contract requires the City Council to approve any required price adjustments; and
WHEREAS, the most recent annual rate adjustment was approved by the Council on November 13, 2019 for rates effective January 1, 2020 through December 31, 2020; and
WHEREAS, section 3.1.3 of the contract provides that the non-fuel portion of the Trash Collection Costs shall be subject to an increase equal to the increase of the Consumer Price Index for All Urban Consumers for the Midwest Region - All Items Less Energy (CPI-U) for the previous twelve-month period; this is a required price adjustment; and
WHEREAS, according to the United States Department of Labor, Bureau of Labor Statistics, the percent change in the CPI-U for the period of July 2019 to June 2020 was 1.5 percent; and
WHEREAS, section 3.1.5 of the contract provides that the Disposal Cost shall be adjusted annually based on the changes to the hauler ‘net contracted rate’ for disposal costs at the trash disposal facility and the actual average tonnages collected in the prior 12 months; this is a required price adjustment; and
WHEREAS, the ‘net contracted rate’ for disposal costs at the trash disposal facility was increased to $84 per ton; the actual average tonnage collected in the prior 12 months was 58,214.15 tons; and
WHEREAS, the contract does not contain any other required price adjustments that effect the 2021 base level garbage service rates; and
WHEREAS, there are State and County taxes on residential solid waste in addition to base rates set by the City as provided in the Contract; and
WHEREAS, the Ramsey County Environmental Charge (CEC) is a percentage of the cost of service and must appear as a separate line item on a bill, and Ramsey County’s CEC rate is 28% for residential customers; and
WHEREAS, the Minnesota’s Solid Waste Management Tax is a percentage of the cost of service and must appear as a separate line item on a bill, and Minnesota’s Solid Waste Management Tax rate is 9.75% for residential customers; and
WHEREAS, each Hauler will add CEC and Minnesota Solid Waste Management Tax to the base level garbage service rates established by this ordinance; now therefore be it
RESOLVED, that the Council of the City of Saint Paul does hereby ordain:
SECTION 2
The Saint Paul Legislative Code section 220.05 is hereby amended to read as follows:
Sec. 220.05. - Base level service and additional service options.
a. Base level service: Each RDU shall be charged one hundred (100) percent of the fixed costs and one hundred (100) percent of the variable costs for services. Base level service includes pickup of trash in one (1) of the service levels listed below and one (1) free cart change per year. The base level service includes pickup of two (2) bulky waste items and one (1) holiday tree for RDUs who choose a small trash cart, and three (3) bulky waste items and one (1) holiday tree for RDUs who choose a medium or large trash cart. The rates for additional service options shall be adopted by the council by resolution. Beginning January 1, 20202021, the cost per month, which includes excluding state and county tax, shall be as follows for base level services:
1. Small trash cart every other week:..19.20 14.33
2. Small trash cart every week:....22.4316.70
3. Medium trash cart every week:.....31.0322.95
4. Large trash cart every week:.....33.1524.49
b. Additional service options:
1. An RDU shall pay an additional fee for the disposal of overflow trash bags. An RDU may be charged for an overflow trash bag if its trash cart is not fully closed. An RDU is not required to notify the designated hauler for collection of overflow trash bags.
2. An RDU shall pay an additional fee for a yard waste subscription and must contact the designated hauler to arrange service. The designated hauler shall provide the subscribing RDU a yard waste cart. The subscription entitles an RDU to weekly collection of the contents of the yard waste cart and up to eight (8) compostable bags or yard waste bundles each week of the yard waste season for no additional fee.
3. An RDU who does not purchase a yard waste subscription may set out yard waste in compostable bags or in yard waste bundles for a per bag or per bundle fee. An RDU must provide at least forty-eight (48) hours' advance notice to the designated hauler in order for yard waste to be collected on the yard waste collection day.
4. An RDU shall pay an additional fee for all bulky items not included in the base level services.
5. An RDU may apply to the designated hauler for free walk-up service if all occupants residing at the RDU are physically unable to place trash at the collection location. An RDU who is not eligible for free walk-up service may apply to the designated hauler to receive walk-up service for a fee; there shall be an additional fee for any non- eligible RDU whose collection location is more than one hundred (100) feet from the public roadway.
6. An RDU, who fails to comply with set-out requirements, who requests the designated hauler to return to pick up trash or yard waste or requests off day service pickup from the designated hauler may receive such service for aan additional fee.
7. Each RDU is entitled to receive one (1) cart change per year for no fee. Generally, a cart change occurs when an RDU changes the base service level. If an RDU receives a second cart change in any calendar year, the RDU shall be charged a fee for that change. Replacement of a lost, stolen, or damaged cart due to misuse or neglect by the RDU shall be considered a cart change.
SECTION 3
This Ordinance shall take effect and be in force on January 1, 2021.