Revised 10/2021 8/3/2022 11:41 AM
For information regarding this Agenda please contact:
Olivia Nashed
City Clerk
Telephone: (209) 333-6702
A. Call to Order / Roll Call
B. Topics
B-1 Receive Information on Senate Bill 1383 Implementation and Direction on Waste Management Contract Extension and Rate Structure (PW)
C. Comments by Public on Non-Agenda Items
THE TIME ALLOWED PER NON -AGENDA ITEM FOR COMMENTS MADE BY THE PUBLIC IS LIMITED TO FIVE MINUTES.
Public comment may only be made on matters within the Lodi City Council's jurisdiction (Government Code Section 54954.3, Lodi City Council Protocol Manual Section 6.3l). The Council cannot take action or deliberate on items that are not on this agenda unless there is an emergency and the need t o take action on that emergency arose after this agenda was posted (Government Code Section 54954.2(b)(2)). All other items may only be referred for review to staff or placement on a future Council agenda.
If you wish to address the Council, please refer to the Notice at the beginning of this agenda. Individuals are limited to one appearance during this section of the Agenda.
D. Adjournment
Pursuant to Section 54954.2(a) of the Government Code of the State of California, this agenda was posted at least 72 hours in advance of the scheduled meeting at a public place freely accessible to the public 24 hours a day.
______________________________
Olivia Nashed
City Clerk
LODI CITY COUNCIL
Carnegie Forum
305 West Pine Street, Lodi
Notice Regarding Public Comments
Public Comment may be submitted in the following ways:
• In-person – The Carnegie Forum is open to the public in accordance with CDPH and CalOSHA guidelines.
• Zoom Webinar
Meeting ID: 872 2014 2274
Passcode: 401448
Phone number: +1 720 07 2699 or +1 253 215 8782
Link:
https://us06web.zoom.us/j/87220142274?pwd=dzYySXc2bTkvZ0ZFdlpMTkRZdW9XZz09 • Email – [email protected]
Received no later than 4:30 p.m. on the business day prior to the meeting. • Mail – City Clerk’s Office, P.O. Box 3006, Lodi, CA 95241 • Hand delivered to: City Clerk’s Office, 221 W. Pine Street, Lodi, CA 95240
AGENDA – Shirtsleeve Session
Date: August 9, 2022
Time: 7:00 a.m.
All staff reports or other written documentation relating to each item of business referred to on the agenda are on file in the Office of the City Clerk, located at 221 W. Pine Street, Lodi, and are available for public inspection. Agendas and staff reports are also posted on the City’s website at www.lodi.gov . If requested, the agenda shall be made available in appropriate alternative formats to persons with a disability, as required by Section 202 of the Americans with Disabilities Act of 1990 (42 U.S.C. Sec. 12132), and the federal rules and regulations adopted in implementation thereof. To make a request for disability-related modification or accommodation contact the City Clerk’s Office as soon as possible and at leas t 72 hours prior to the meeting date. Language interpreter requests must be received at least 72 hours in advance of the meeting to help ensure availability. Contact Olivia Nashed at (209) 333- 6702. Solicitudes de interpretación de idiomas deben ser recibi das por lo menos con 72 horas de anticipación a la reunión para ayudar a asegurar la disponibilidad. Llame a Olivia Nashed (209) 333-6702.
Meetings of the Lodi City Council are telecast on SJTV, Channel 26. The City of Lodi provides live and archived webcasts of regular City Council meetings. The webcasts can be found on the City's website at www.lodi.gov by clicking the meeting webcasts link.
Members of the public may view and listen to the open session of this teleconference meeting at www.facebook.com/CityofLodi/ or https://us06web.zoom.us/j/87220142274?pwd=dzYySXc2bTkvZ0ZFdlpMTkRZdW9XZz09.
AGENDA ITEM B-01
COUNCIL COMMUNICATION
APPROVED: ________________________________
Stephen Schwabauer, City Manager
\\cvcfilv02\pubwks$\WP\COUNCIL\2022\CCSB1383 SS 080922.docx 8/2/2022 AGENDA TITLE: Receive Information on Senate Bill 1383 Implementation and Direction on Waste Management Contract Extension and Rate Structure
MEETING DATE: August 9, 2022
PREPARED BY: Public Works Director
RECOMMENDED ACTION: Receive information on Senate Bill 1383 implementation and direction on Waste Management contract extension and rate structure.
BACKGROUND INFORMATION: CalRecycle has adopted regulations consistent with the mandates associated with Senate Bill 1383. The mandates are designed to achieve the organic waste reduction goals established in Section 39730.6 of the Health and Safety Code through a 50 percent reduction in the level of statewide disposal of organic waste from the 2014 level by 2020; and a 75 percent reduction in the level of statewide disposal of organic waste from the 2014 level by 2025.
The City is required to comply with these regulations to assist the State in achieving the organic waste reduction levels outlined above. The main requirements resulting from the regulations include the adoption of an enforcement ordinance, implementation of mandatory residential and commercial food waste collection, and education and outreach. Jurisdictions are required to implement SB 1383 by January 1, 2022. At the February 16, 2022 meeting Council adopted the Notice of Intent to Comply (NOIC). By filing the NOIC, CalRecycle is authorized to waive civil penalties until January 1, 2023 if a jurisdiction intends to comply with the SB1383 requirements.
Staff is currently working with Waste Management to provide substantial outreach to our customers regarding organics recycling requirements with residential organics recycling service to commence by January 1, 2023.
Staff is also working with Waste Management on a proposed contract extension that will incorporate the new SB 1383 requirements.
Waste Management will be presenting information on the changes and proposed changes to the current solid waste contract with the City as well as the new rates proposed to cover the cost to implement all the requirements of SB 1383.
FISCAL IMPACT: Not applicable
FUNDING AVAILABLE: Not applicable
________________________________________
C harles E. Swimley, Jr.
Public Works Director
The City of
Lodi
WM Contract Extension 2023
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM2
Contract T erms
• Current term: 4/1/2002 – 12/31/2023
• Upcoming term: 1/1/2023 – 12/31/2030
• WM option: 1/1/2031 – 12/31/2035 (new)
New State Regulation SB 1383
• City and WM agree to exercise option early
• New services and processes to meet City’s requirements for SB 1383
OVERVIEW
THE CITY OF LODI – WM CONTRACT EXTENSION
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM3
New City Benefits
• SB 1383 Compliance Services added
• Funding for additional city staff $125,000 annually
• Increased Street Maintenance fee $330,000 annually
• New Downtown Maintenance fee $100,000 annually
• Administrative Payment $250,000 annually, 2023 - 2027 WM Changes
• Residential overage/contamination fee beginning in 2024 to reduce overfilled carts and recycling/organics contamination
• Restructuring of residential rates for reduction in overfilled carts, increased diversion, and resident affordability
• Annual rate adjustment mechanism changing from 80% of CPI-All Items San Francisco, Oakland, Hayward to 100% CPI- Water, Sewer, Trash index • Truck-life extended from 8 years to 10 years for services in Lodi Continued Services
• City Street Sweeping disposal at no charge
• Annual neighborhood curbside cleanup
• Free City Facility waste/recyclingcollection of up to 30 locations • Four annual e-waste and universal waste recycling events / One annual HHW event for the public at Transfer Station
• Illegal dumping cleanup available up to 35 times per year • Compressed Natural Gas vehicles
CONTINUED AND NEW CITY PROGRAMS
THE CITY OF LODI – WM CONTRACT EXTENSION
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM4
SB 1383 ORGANICS SERVICES
• Service changes: weekly organics collection for residential and commercial customers (currently recycling/green collected every-other-week on alternating weeks) Jan 2023
• Container changes: new carts with green bodies and color -compliant lids • Cart labels: provides additional education on acceptable materials • Additional education and outreach
• Additional reporting and route audit support
• Enforcement and monitoring support
• Funding for city staff to manage programs and provide outreach within the city through contract term
Education Campaign Began 2021
• Bill Inserts, postcards and printed materials
• Social Media Digital Ads
• Lodi Grape Line bus ads (Q4)
PROPOSED CONTRACT UPDA TES
THE CITY OF LODI – WM CONTRACT EXTENSION
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM5
SB 1383 CONT AMINA TION MONITORING & ROUTE AUDITS
THE CITY OF LODI – WM CONTRACT EXTENSION
Audit Requirements
• Ability to audit organic and recycling materials each and every collection service
• Continuous customer feedback promotes the right
behavior
Residential Route Auditing, Contamination Monitoring Compliance Smart TruckTM technology meets:
Education & Outreach
• Proactive electronic communication
• Photograph provides educationalcomponent
Compliance Recordkeeping & Reporting
• Enhances reporting capabilities to meet jurisdictional reporting requirements
Timeline:
January 1, 2023 Monitoring & notices begin
January 1, 2024 Contamination & overage
charge begins
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM6
Goal – T o provide a rate
structure that encourages
appropriate service level based
on need instead of rate
affordability
• Current rate structure ranges from $20 - $100 / month depending on the size of the cart, encouraging residents to select service by budget instead of how much service they need • Overfilled carts are unsightly, create litter, and increase service cost • Restructured rates result in reduction of contamination in recycling and organics carts • Adequate service will improve overall diversion to meet state goals • Encouraging proper sorting and usage of 3 stream collection system • Minimizes opportunities for overage and contamination warnings/charges • Rate options include keeping reduced rates for seniors
RESIDENTIAL RA TE STRUCTURE
THE CITY OF LODI – WM CONTRACT EXTENSION
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM7
THE CITY OF LODI – WM CONTRACT EXTENSION
RESIDENTIAL RA TE STRUCTURE
Cart Size Customers % Mix Rate Cost/Gal Annual Tons
20 gal 3,598 18% $25.82 $1.29 1,684
35 gal 10,603 52% $35.60 $1.02 7,237
64 gal 5,634 28% $51.06 $0.80 5,812
96 gal 580 3% $105.37 $1.10 825
To t a l s 20,415 100% $1.01 15,558
Rate Structure with Senior Discount and Affordability Model #1 Cart Size Customers % Mix Rate Cost/Gal Annual
Tons**
% Rate
Change
Senior rate
35 gal
3,062 *15% $25.82 $0.74 2,146 0.0%
35 gal 2,042 10% $35.60 $1.02 1,375 0.0%
64 gal 7,145 35% $44.00 $0.69 7,728 - 13.8%
96 gal 8,166 40% $44.00 $0.46 1 1,414 - 58.2%
To t a l s 20,415 100% $0.64 22,663
Rates with $5 increase for SB 1383 services
Annual gallons: 44,684,692
*Max of 15% mix for senior rate. **Annual increase in gallons: 29,148,197 Cart Size Customers % Mix Rate Cost/Gal Annual Tons
20 gal 3,598 18% $20.82 $1.04 1,684
35 gal 10,603 52% $30.60 $0.87 7,237
64 gal 5,634 28% $46.06 $0.72 5,812
96 gal 580 3% $100.37 $1.05 825
To t a l s 20,415 100% $0.92 15,558
Current Residential Rates
Annual gallons: 44,684,692
Rate Structure with Senior Discount and Affordability Model #2 Cart Size Customers % Mix Rate Cost/Gal Annual
Tons**
% Rate
Change
Senior rate
35 gal
3,062 *15%
$25.82 $0.74 2,146 0.0%
35 gal 3,062 15% $43.00 $1.23 2,062 20.8%
64 gal 7,145 35% $43.00 $0.67 7,728 - 15.8%
96 gal 7,145 35% $43.00 $0.45 9,987 - 59.2%
To t a l s 20,415 100% $0.69 21,923
*Max of 15% mix for senior rate. **Annual increase in gallons: 25,910,378 CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM8
MUL TI-F AMIL Y TENANT RA TES
THE CITY OF LODI – WM CONTRACT EXTENSION
CURRENT
• Duplex, MFD and mobile homes are currently charged -$1 the 35 gal cart rate, $28.59 per month
• Several large MFD complexes in Lodi require service levels that exceed the total collected by tenants
• Past approach for bridging the gap of has been to bill property owners the remaining balance of the service rate
UPDA TED RA TES
• Proposed update to rate sheets to give city utility billing department the ability to charge MFD tenants the equivalent gallon rate for the services provided to the property.
Size Equivalent Monthly Rate*
35 GALLON REFUSE EQUIVALENT TBD
64 GALLON REFUSE EQUIVALENT TBD
96 GALLON REFUSE EQUIVALENT TBD
*Rate will reflect residential rate structure chosen by council
OVERAGE/CONT AMINA TION
• Owners are currently billed for overage and contamination incidents • Change: Three warnings and then automatically upsized to avoid overage charges • Change: Tenants billed for overage and contamination incidents
EXAMPLE
4 - 4 YARD FEL 4X WK $5,433.68
81 tenants billed @ $28.59 $2,315.79
Underbilled monthly $3,117.89
Right-sizing efforts are underway to ensure that properties have the corrected level of service. In January, billing will be updated to bill tenants the equivalent rate to meet the full cost of service.
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM9
How Lodi Customers Rate WM: “Julio is my collection person. He is professional, friendly and informed and really helpful. I have health issues and his attitude really helps.” “V ery dependable and reliable.”
“I had the most pleasant experience with customer service as they resolved an issue with miscommunication that resulted from our trash not being picked up. Everything was resolved efficiently and quickly . “The drivers are very friendly! Always waving hello to me when I’m backing out of my garage to go to work!”
Customer service survey results June 2022 for Residential customers in the City of Lodi. Customers rank on a scale of 1-
10. Scores of 9-10 are considered “promoters” who would recommend this service to others.
CONTINUOUSPERFORMANCE: June 2022 Survey Results
THE CITY OF LODI – WM CONTRACT EXTENSION
8.95 Consistency
& Reliability
8.10 Ease of Scheduling
8.54 Satisfaction with
WasteCollection Services
9.19 Clear
Communication
9.03 Driver
Behavior
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM10
Public Hearing notices No later than August 19th
Conduct Public Hearing October 5th (tentatively)
Contract Extension October 5th after public hearing
Contract and Rates Effective Date January 1st, 2023
NEXT STEPS
THE CITY OF LODI – WM CONTRACT EXTENSION
CONFIDENTIAL AND PROPRIETARY INFORMATION OF WM
Thank you.
11 Presented By:
V anessa Barberis Brad Cea
Waste Management / Central V alley Waste Waste Management Northern Ca/Nv (209) 323-0257 (480) 440-3884
[email protected] [email protected]