On April 28, 2017, the Governor signed Senate Bill (SB) 11, which is known as the Road Repair and Accountability Act of 2017. The primary focus of these funds is to address basic road maintenance, rehabilitation, and critical safety needs on both the state highways and local streets and road systems. City of Modesto received $4,121,766 in Fiscal Year (FY) 20-21, $4,415,700 in FY 21-22, $4,888,093 in FY 22-23, and is estimated to have received, as of May 20, 2024, $5,312,910 in FY 23-24. For FY 24-25 the City is projected to receive $5,672,650 for the program.
DISCUSSION:
The objective of the local streets and roads program is to address deferred maintenance on the local streets and roads system. Prior to receiving an apportionment of Road Maintenance and Rehabilitation Account (RMRA) funds from the Controller in a fiscal year, the City must submit to the California Transportation Commission (CTC) a list of proposed projects (Attachment A). In the attachment “Streets Project Area Map & Segment list”, the fiscal year projects are identified for RMRA funding along with neighborhoods that will receive treatment to their streets.
Projects listed in Attachment A result in the following life-cycle benefits:
Slurry seal projects that include crack seal and asphalt repairs will result in a five to seven-year life extension to existing pavement. Slurry seals have the added benefits of hardening existing asphalt, being effectively used in areas with high oxidation, sealing minor surface cracks and voids, retarding surface raveling, delineating different pavement surface areas and improving surface friction characteristics with proper aggregate.
Traffic signal and street light maintenance will result in a ten-year extension. Traffic sign and striping maintenance will result in a five-year life extension.
FISCAL IMPACT:
The City of Modesto estimates receiving apportionment of Road Repair and Accountability Act funding for FY 2024-25 in an amount approximating $5,672,650. Estimated total costs for SB1 funded Streets and Traffic Engineering & Operations projects for FY 2024-2025 amount to approximately $5,888,194 (total includes 5% increases in CPI, fuel index and labor & material costs). In addition, the City has carryover SB1 funds from prior years that will be used to fund the amount over the estimated apportionment for FY 2024-25.
RECOMMENDED COMMITTEE ACTION:
Staff Recommendations:
Motion recommending the project list to be funded with Road Repair and Accountability Act tax proceeds in an amount up to $5,888,194 and forwarding to Council for approval. 1 Senate Bill 1 – Road Repair and Accountability Act of 2017 - http://rebuildingca.ca.gov/ #14..
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Finance Committee, June 24, 2024
Senate Bill 1 Projects Proposed for Fiscal Year 2024-2025
Approved by:
Bill Sandhu, Public Works Director
Joseph P. Lopez, City Manager
Attachments:
1. Attachment A – Streets & Traffic FY 24-25 Proposed Projects
2. Streets – Project Area Maps & Slurry and Paving Street segment lists
3. Electrical - Traffic Signal Maps
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City of Modesto, Streets/Traffic Engineering & Operations Divisions FY24/25 SB1 Project List
Project Type Project Name Total Project Cost Estimated Project Start Date
Estimated Project
Completion Date Useful Life Locations Community BenefitSummary Slurry Seal Ttype 2 Surry, Crack
Seal, Asphalt repairs) Slurry Seal $2,337,405 July 1, 2024 June 30.2025 5-7 years Various (mapprovided) This project will include:
Pavement improvement
(existing), Striping
Installation (existing
Safety)
Street Rehabilitation Road Maintenance
and Rehabilitation $1,116,939 July 1, 2024 June 30.2025 10-20 years Various (mapprovided) This Project will include:
Pavement improvement
(Existing), Sidewalk
and/or Crosswalk
Rehab/Repair (Existing),
Paving and ADA Curb
Ramp Rehab/Repair
(Existing)
Traffic Signal & Street Lighting
Maintenance
Traffic Signal &
Street Lighting
Maintenance
$838,850 July 1, 2024 June 30, 2025 10 Years Various Locations Public Safety; Signal and
Street lighting
maintenance within City
limits
Street Lighting Maintenance
(HVC)
High Voltage
Conversion $645,000 July 1. 2024 June 30.2025 10 Years Various Locations Public Safety; Street
lighting maintenance
within City Limits
Traffic Signal Maintenance
Replacement of
Vehicle Detection in
various locations
$200,000 July 1, 2024 June 30, 2025 10-15 years 9 Signals in various locations
Public Safety; Signal
Maintenance
Traffic Sign & Striping
Maintenance
FY 24-25 Traffic Sign
& Striping
Maintenance
$750,000 July 1, 2024 June 30, 2025 5-7 years Various Locations Public Safety; Striping
and Sign maintenance
within City limits
Total FY 24/25 $5,888,194
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CITY OF MODESTO
COMMITTEE AGENDA REPORT
DATE OF MEETING:
June 24, 2024
Date: June 4, 2024
TO: Finance Committee
Nick Bavaro, Chair
Rosa Escutia-Braaton, Vice-Chair
David Wright, Member
THROUGH: Joseph P. Lopez, City Manager
FROM: Bill Sandhu, Public Works Director
SUBJECT: Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
CONTACT: Myriah Hill, Solid Waste Supervisor
[email protected], 209-577-5495
DESCRIPTION:
Consider the Solid Waste Rate Adjustment to the Maximum Rate Schedule for City Solid Waste Collection Services provided by the Solid Waste Haulers, to become effective September 1, 2024, and rescinding Resolution No. 2023-312 for the July 1, 2023, annual rate adjustment; approving a Fuel Rate Adjustment to the Maximum Rate Schedule for City Solid Waste Collection Services provided by the haulers to become effective September 1, 2024; and approving the update to the Schedule of Cash Security Deposits and Fees for Self-Haul Residents and Businesses, rescinding Resolution No. 2022-471 and forwarding to Council for approval. (Funding Sources: General Fund, Solid Waste Fund, Geer Road Landfill Fund, Carpenter Road Landfill Fund, Green Waste Fund, Compost Facility Improvements Fund, Streets Fund)
STRATEGIC PLAN ELEMENT:
The recommended action supports the City’s Strategic Plan Area of Focus: Quality of Life, “Engage partners across the community to ensure the safety, resilience, and attractiveness of Modesto”, Goal A: “Improve community safety and quality of life through a combination of prevention and intervention efforts that address safety and its underlying issues”, Strategy 6:
Motivate and encourage staff and community members to identify and mitigate blight issues; and Goal B: “Increase pride in Modesto’s diverse neighborhoods and business districts through beautification efforts and by investing in community assets and amenities”, Strategy 3: Evaluate current waste removal and city beautification policies and procedures. #15..
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
BACKGROUND:
Modesto has contracts with two private sector companies to collect residential, commercial, and industrial garbage, organics, and recyclables in the City. The City does not set the actual rate the collection companies can charge to pick up the solid waste. Instead, the City sets the maximum rate that the collection companies can charge for each type of service. Per the Service Agreement with the solid waste collection companies, if deemed necessary by the City Council, rate adjustments shall be made to become effective on or near July 1 of each year. A computer modeling formula is used to analyze audited financial data submitted by solid waste collection companies. The maximum rate that the collection companies may charge for each service is then based on the lowest cost hauler’s rates. These maximum rates can also be reviewed and changed when costs increase or decrease.
On February 24, 1998, by Resolution 1998-113, Council approved the establishment of a schedule of cash security deposits to be charged to residents and businesses for self-haul of solid waste in the City of Modesto. The security deposit is placed in trust with the Finance Department and held until the customer resumes garbage service, or no longer holds interest in the property for which the self-haul was requested. On December 6, 2022, by Resolution 2022- 471, Council approved a new self-haul rate structure that included fees to support the City’s state-mandated programs and updated rates.
On June 27, 2006, by Resolution 2006-410, Council approved routine quarterly adjustments as needed of the maximum rates attributed to the cost of fuel. This was due to the fluctuations in the cost of diesel fuel, which is a significant cost factor for the haulers. The methodology approved by the Council uses the average diesel fuel prices from the Department of Energy/Energy Information Agency (DOE/EIA)1 for a prior quarter to set the fuel component for a subsequent quarter. The rate gets adjusted accordingly whether fuel goes up or down.
On June 27, 2023, by Resolution No. 2023-314, Council approved an agreement with HF&H Consultants LLC. to conduct an audit and performance review of the Haulers, to analyze the current rate setting methodology and test it for validity, as well as develop a new rate setting methodology. HF&H has completed the first phase of their review and provided a report of their findings. They will begin developing a new rate methodology in phase two. In the meantime, City staff have determined the lowest cost hauler based on the haulers’ financials from Fiscal Year (FY) 22/23 and recommend adjusting fees consistent with HF&H’s recommendations in phase one.
DISCUSSION:
The following adjustments are being proposed for residential, commercial, and industrial solid waste collection based on analysis of FY 22/23 financial reports from the haulers.
1. Base Rate
The base rate is compiled through analysis of the cost of service from the last complete FY, in this case FY 22/23. City staff review applicable expenses from each hauler, then determine the lowest cost hauler for residential, commercial, and industrial services. The lowest cost hauler’s cost per customer determines the base rate. Additional fees for services not included in the financials from FY 22/23, for special programs, or for additional City services are layered on the base rate.
1 http://www.eia.gov/dnav/pet/pet_pri_gnd_dcus_sca_m.htm #15..
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
2. Green Waste Fee
The Green Waste Fee provides funding to the City’s Green Waste Division for street or alley collection of large green waste. To keep enterprise revenues in line with the increases in expenses, staff reviewed the Bureau of Labor Statistics Consumer Price Index - West Region (CPI) adjustment ending in February 2024 and applied a CPI adjustment of 3.2%. This coincides with the City’s Compost Facility rate increase of
3.2% in May 2024, where the waste collected by the Green Wast Division is processed.
3. Organic Waste Pre-Processing
The organic waste pre-processing was added as a haulers’ fee to account for the additional costs required to clean incoming organic material before delivering to Compost. SB 1383 requires less than 1% contamination, thus the haulers needed to devote additional resources not included in their previous years’ financial statements to the task. Beginning July 1, 2022, the haulers received this fee and began pre-processing organic waste; thus, the base rate includes the cost of this service since it based on FY 22/23. Analysis from HF&H recommended the removal of this fee when the base rate is updated to avoid double-charging.
4. SB 1383 Collection Fee
The SB 1383 Collection Fee was added January 1, 2023, to account for the additional cost to the haulers of providing curbside recycling collection. The hauler financials from FY 22/23 include six months of this service (from January to June 2023) so roughly half of the cost of this service has been incorporated into the base rate. As a result, this rate can be reduced from half from $5.40 to $2.70 per residential customer per month.
5. Fuel Rate Adjustment (requires a separate resolution) Fuel rates are developed by first calculating a fuel factor, which determines how much fuel is used per customer on average based on the hauler financials for FY 22/23. This factor is used for all fuel adjustments during FY 24/25. For residential customers, a fuel factor is 0.24 gallons of diesel fuel per resident per month was used; for commercial customers, a fuel factor of 0.066 gallons of diesel fuel per cubic yard was used. Then the average diesel fuel rate between January and March 2024 is used to determine if there is a difference in the cost of fuel in FY 22/23 and the current cost of fuel. The fuel adjustment results in a reduction of $0.11 for the residential accounts and a reduction of $0.13 for the commercial accounts.
6. Self-Haul Rate Adjustment (requires a separate resolution) Staff has reviewed the security deposit schedule and recommends updating it to bring the deposit in-line with the current maximum rate structure approved annually by Council. The schedule sets the deposit for residential self-haul to be 60 months multiplied by the current maximum monthly rate at the time of approval and set the deposit for commercial self-haul to be (Maximum Rate 1 Cubic Yard) x (Number of Cubic Yards in Bin(s)) x (Number of Pick-Ups Per Week) 12 x 9.9%. The schedule also establishes an annual Assembly Bill 939 fee of 9.9% for both residential and commercial self-haulers.
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
FISCAL IMPACT:
The fiscal impact related to the necessary proposed adjustments for residential, commercial, and industrial solid waste collection services are as follows:
Residential Maximum Rate Recommendation
The City has a 3-container collection system: a 96-gallon container for garbage collected weekly, 96-gallon container for organics collected weekly, and a 96-gallon container for recycling collected bi-weekly.
Residential
Rate
Effective
8/1/23
Recommended
Rate Effective
9/1/2024
Difference
Base Rate $ 35.72 $ 39.04 $ 3.32
Carpenter Road Landfill ¹ $ 0.70 $ 0.70 $ -
City SB 1383 Implementation ¹ $ 1.05 $ 1.05 $ -
Compost Facility Improvements ¹ $ 1.70 $ 1.70 $ -
Geer Road Landfill ¹ $ 0.81 $ 0.81 $ -
Green Waste ¹ $ 5.27 $ 5.44 $ 0.17
Organic Waste Pre-Processing $ 1.72 $ - $ (1.72)
Recycling Fees ¹ $ 0.46 $ 0.46 $ -
SB 1383 Collection Fee $ 5.40 $ 2.70 $ (2.70)
Weekly Organics Collection $ 3.14 $ 3.14 $ -
Fuel Adjustment- Jan-Mar 2024 $ 0.04 $ (0.11) N/A
Total $ 56.01 $ 54.93 $ (1.08)
¹ - City Fees
City staff analyzed hauler financials from FY 22/23 and determined the base rate per household per month would increase by $3.32. The Green Waste Fee will increase by $0.17 reflecting a
3.2% CPI increase. The Organic Waste Pre-Processing Fee will be removed, lowering the total rate by $1.72. The SB 1383 Collection Fee will be reduced by half, lowering the rate by $2.70.
Based on the average diesel fuel prices for January through March 2024 a fuel rate adjustment of ($0.11) will be applied to residential accounts.
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
Commercial Maximum Rate Recommendation
The City allows garbage and organics containers from two yards to six yards collected once to six times per week. Recycling is provided as a 96-gallon container. The City sets a maximum monthly rate for a single yard collected once per week.
Commercial
Rate
Effective
8/1/23
Recommended
Rate Effective
9/1/2024
Difference
Base Rate $ 43.57 $ 53.16 $ 9.59
Carpenter Road Landfill ¹ $ 0.95 $ 0.95 $ -
City SB 1383 Implementation ¹ $ 1.90 $ 1.90 $ -
Compost Facility Improvements ¹ $ 3.08 $ 3.08 $ -
Geer Road Landfill ¹ $ 0.95 $ 0.95 $ -
Green Waste ¹ $ 10.70 $ 11.04 $ 0.34
Litter Abatement ¹ $ 0.59 $ 0.59 $ -
Organic Waste Pre-Processing $ 3.11 $ - $ (3.11)
Recycling Fees ¹ $ 0.63 $ 0.63 $ -
Fuel Adjustment- Jan-Mar 2024 $ 0.08 $ (0.13) N/A
Total $ 65.56 $ 72.17 $ 6.61
¹ - City Fees
City staff analyzed hauler financials from FY 22/23 and determined the base rate per yard per collection would increase by $9.59 The Green Waste Fee will increase by $0.34 reflecting a
3.2% CPI increase. The Organic Waste Pre-Processing Fee will be removed, lowering the total rate by $3.11. Based on the average diesel fuel prices for January through March 2024 a fuel rate adjustment of ($0.13) will be applied to commercial accounts.
Commercial front loader compactors typically contain three times the amount of solid waste as a regular commercial bin. The maximum rates are therefore based on a multiple of three times the rate of a commercial bin maximum rate.
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
Industrial Drop Box/Roll-Off Compactors Maximum Rate Recommendation The maximum rates for industrial drop boxes and roll-off compactors are set for the pick-up charge and daily rental rate only. The actual disposal charge is negotiated directly between the solid waste company and the customer. These services are open to competition between the two authorized collection companies in the City.
Industrial
Rate
Effective
8/1/23
Recommended
Rate Effective
9/1/2024
Difference
Base Rate $ 396.81 $ 421.10 $ 24.29
Carpenter Road Landfill ¹ $ 29.77 $ 29.77 $ -
Geer Road Landfill ¹ $ 29.77 $ 29.77 $ -
Green Waste ¹ ² $ 17.97 $ 18.55 $ 0.58
Recycling Fees ¹ $ 19.71 $ 19.71 $ -
Fuel Adjustment- Jan-Mar 2024 ³ $ - $ - N/A
Total $ 494.03 $ 518.90 $ 24.87
¹ - City Fees; ² - Industrial accounts charged by ton; ³ - Industrial accounts are charged fuel in the delivery and pickup fee
City staff analyzed hauler financials from FY 22/23 and determined the base rate would increase by $24.29. The Green Waste Fee will increase by $0.58 reflecting a 3.2% CPI increase.
Self-Haul Rate Adjustment Recommendation
Self-haul rates are being adjusted to reflect the above recommended rates for residential (cart) service and commercial (bin) service. A deposit is placed in trust with the City Finance Department and held until the customer resumes solid waste services or no longer holds interest in the property for which self-haul was established. The Annual Assembly Bill 939 Fee is distributed between Streets and General Fund.
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Finance Committee, June 24, 2024
Annual Adjustment to Maximum Rate Schedule for Solid Waste Collection Services
RECOMMENDED COMMITTEE ACTION:
Staff Recommendations:
Motion recommending the Annual Rate Adjustment to the Maximum Rate Schedule for City Solid Waste Collection Services provided by the Solid Waste Haulers, for a decrease of $1.08 per month for residential services, an increase of $6.61 per cubic yard for commercial services, and an increase of $24.87 per pull for industrial services, to become effective September 1, 2024 and rescinding Resolution No. 2022-276 for the July 1, 2022 annual rate adjustment, and forwarding to Council for approval.
Motion recommending a Fuel Rate Adjustment to the Maximum Rate Schedule for City Solid Waste Collection Services provided by the haulers, for a reduction of $0.11 per month for residential services, and a reduction of $0.13 per cubic yard for commercial services, to become effective September 1, 2024, and forwarding to Council for approval.
Motion recommending the update to the Schedule of Cash Security Deposits and Fees for SelfHaul Residents and Businesses in accordance with Assembly Bill 939, and rescinding Resolution No. 2022-471 and forwarding to Council for approval.
Approved by:
Bill Sandhu, Public Works Director
Joseph P. Lopez, City Manager
Attachments:
1. Attachment A: Maximum Charges for Solid Waste Service – September 1, 2024
2. Attachment B: Schedule of Cash Security Deposits and Fees for Self-Haul Residents and Businesses
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ATTACHMENT A
MAXIMUM CHARGES FOR SOLID WASTE SERVICE – SEPTEMBER 1, 2024 RESIDENTIAL CONTAINERS - Maximum Monthly Rate
Standard container service includes the following:
1 container each for garbage and organics picked up weekly, 1 container for recycling picked up bi-weekly
2 bulky item collections per year by appointment
City tree maintenance; collection & composting of green waste and forestry materials Removal of illegally dumped items in streets and alleys Drop off program for household hazardous waste
Base Rate $ 39.04
Fuel Adjustment - $ 0.11
Weekly Organics Collection $ 3.14
Green Waste $ 5.44
Geer Road Landfill $ 0.81
Compost Facility Improvements $ 1.70
SB 1383 Collection Fee $ 2.70
City Implementation $ 1.05
Recycling Fees $ 0.46
Carpenter Road Landfill $ 0.70
Maximum Monthly Rate $ 54.93
Additional Garbage Container - $15.23 each per month picked up weekly Additional Organics Container Weekly - $15.23 each per month picked up weekly Additional Organics Container Bi-Weekly - $9.50 each per month picked up bi-weekly Additional Recycling Container - $9.50 each per month picked up bi-weekly *Containers must be placed in a location set forth in Section 5-5.121 of the MMC. #15..
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COMMERCIAL AND MULTIFAMILY CONTAINERS - Maximum Monthly Rate Weekly rental for Containers shall not exceed the rate for 1 pick-up per week for each size container.
Bin Maximum Rates
Number of Collections Per Week
Container Size 1 2 3 4 5 6
1 CY $72.17 $144.34 $216.51 $288.68 $360.85 $433.02
2 CY $144.34 $288.68 $433.02 $577.36 $721.70 $866.04
3 CY $216.51 $433.02 $649.53 $866.04 $1,082.55 $1,299.06 4 CY $288.68 $577.36 $866.04 $1,154.72 $1,443.40 $1,732.08 5 CY $360.85 $721.70 $1,082.55 $1,443.40 $1,804.25 $2,165.10 6 CY $433.02 $866.04 $1,299.06 $1,732.08 $2,165.10 $2,598.12 96 Gallon Cart Maximum Rates
Material Type Number of Collection Per Week
1 2 3 4 5
Recycling/Organics $25.00 $50.00 $75.00 $100.00 $125.00 Base Rate $ 53.16
*Fuel Rate Adjustment - $ 0.13
Green Waste $ 11.04
Geer Road Landfill $ 0.95
Compost Facility Improvements $ 3.08
Litter Abatement $ 0.59
City Implementation $ 1.90
Recycling Fees $ 0.63
Carpenter Road Landfill $ 0.95
Maximum Rate 1 Cubic Yard $ 72.17
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*Residential and Commercial Fuel Component Adjustments - The fuel component is set annually as part of the base cost. It is reviewed quarterly and adjustments shall be made as needed. The adjustment shall be based on the average price of fuel from January 1, 2024 to March 31, 2024. Average prices shall be determined based on published prices for California from the Department of Energy, Energy Information Agency and a fuel factor based on the haulers’ audited financials at annual rate review each year.
DROP BOX CONTAINERS – Maximum Rate Per Pick-Up
Actual disposal charges are paid and negotiated directly between the customer and the solid waste company. The solid waste company will provide up to 40CY Drop Box containers for stated charges subject only to load limit of transfer vehicle.
An AB 939 Green Waste Diversion Fee of $18.55 per ton is added to the disposal charges.
Base Rate $ 421.10
Geer Road Landfill $ 29.77
Carpenter Road Landfill $ 29.77
Recycling Fees $ 19.71
Maximum Rate Per Pick Up $500.35
Rental Fees
$0.85 per day up to 7-day maximum rental
$3.00 per day for boxes kept 7 or more days without servicing $10.00 per day for boxes kept 21 or more days without servicing #15..
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COMPACTORS – Maximum Monthly Rate
Compactor Rates
Container NUMBER OF COLLECTIONS PER WEEK
Size 1 2 3 4 5 6
3 CY $649.53 $1,299.06 $1,948.59 $2,598.12 $3,247.65 $3,897.18 4 CY $866.04 $1,732.08 $2,598.12 $3,464.16 $4,330.20 $5,196.24 6 CY $1,299.06 $2,598.12 $3,897.18 $5,196.24 $6,495.30 $7,794.36 Other Compactor Fees
Hospital Waste Compactors $265.00 per pick-up
Washing Compactor $30.00
Disposal Charge Actual charge to be paid by customer
AB939 Green Waste Diversion Fee $18.55 per ton
EXTRA PICKUPS
Standard containers or equivalent $3.50 plus $2.30/container Detachable containers $12.00 plus $4.15/cubic yard
SPECIAL SERVICE CONDITIONS
In situations where none of the above maximum rates reasonably apply, the cost of service is to be negotiated between the solid waste company and the customer.
COMMERCIAL CONTAINER ONLY–Replacement and Cleaning Services 1 CY 1½ CY 2 CY 3 CY 4 CY 5 CY 6 CY
$10.12 $11.00 $12.10 $15.40 $20.24 $25.08 $29.92
NOTATION: Pursuant to Section 11-6.15(b)(2) of the Modesto Municipal Code, the solid waste company may require a deposit equivalent to two months service charge from customers prior to beginning service. The deposit will be credited back to the customer after 18 months under specified conditions.
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3 ATTACHMENT B
SCHEDULE OF CASH SECURITY DEPOSITS AND FEES FOR
SELF-HAUL RESIDENTS AND BUSINESSES – SEPTEMBER 1, 2024
Pursuant to the Modesto Municipal Code, Section 5-5.130, any person, other than a collector who has an agreement with the City, who wishes to remove and dispose of waste created or produced on premises they occupy or control must first provide a cash security deposit to the City. Such deposits shall be based on the following criteria:
Applications must be renewed every three (3) years.
A security deposit shall be made for each separate residential dwelling, multifamily, or business location owned or controlled by a non-customer.
For any residential, multifamily, or commercial property that is currently served by an authorized collector, the City shall contact the collector and determine the existing service level being provided. The City shall require a cash security deposit based on the formula noted and defined below based on the service level.
For any residential, multifamily, or commercial property that is not currently serviced by an authorized collector, the City shall consult with the authorized collector assigned to the service address and determine an appropriate service level. The City shall require a cash security deposit based on the formula noted and defined below.
DEPOSIT
RESIDENTIAL OR COMMERCIAL – CART SERVICE
a. For any residential, multifamily, or commercial property that is, or would be served by carts, the cash security deposit shall be equal to:
60 months x $54.93 (Maximum Monthly Rate)
RESIDENTIAL OR COMMERCIAL- BIN SERVICE
b. For any multifamily, or commercial property that is, or would be served by bins, the cash security deposit shall be equal to:
$5,000 (Base Deposit) x Multiplier = Cash Security Deposit a. Multiplier: Total number of cubic yards in bin(s) times the number of collections per week
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4 ANNUAL AB 939 FEE
RESIDENTIAL OR COMMERCIAL – CART SERVICE
Those residential, multifamily, or commercial properties participating in the Self-Haul program will be required to pay to the City of Modesto an annual AB939 Fee of 9.9% of the annual garbage rate.
a. The formula for any residential, multifamily, or commercial property that is, or would be served by carts, the annual AB939 fee will be equal to:
$54.93 (Maximum Monthly Rate) x 12 months x 9.9%
RESIDENTIAL OR COMMERCIAL- BIN SERVICE
a. The formula for any multifamily, or commercial property that is, or would be served by bin, the annual AB939 fee will be equal to:
$72.17 (Maximum Rate 1 cubic yard) x (Number of cubic yards in bin(s)) x (number of pick-ups per week) x (12 months) x 9.9%
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