CITY OF POMONA
COUNCIL REPORT
April 17, 2023
To: Honorable Mayor and Members of the City Council
From: James Makshanoff, City Manager
Submitted by: Rene Guerrero, Public Works Director
Subject: AUTHORIZE PRoposition 218 noticing for SOLID WASTE RATES AND SCHEDULE A PUBLIC HEARING Recommendation:
It is recommended that the City Council take the following actions:
Approve the Proposition 218 Notice containing new solid waste rates for single family residential customers and commercial/multi-family customers to be effective July 1, 2023; and Adopt the following resolution:
RESOLUTION NO. 2023-37 – A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POMONA, CALIFORNIA, DECLARING ITS INTENTION TO ADOPT INCREASED SOLID WASTE COLLECTION CHARGES, SETTING A PUBLIC HEARING FOR JUNE 5, 2023, AND DIRECTING STAFF TO PROVIDE NOTICE PURSUANT TO PROPOSITION 218 EXECUTIVE SUMMARY:
Approve the attached Proposition 218 notice (Attachment No. 1) and adopt recommended Resolution No. 2023-37 (Attachment No. 2) in order to move forward with adopting increased rate collection charges as outlined in the City’s exclusive franchise hauler agreement with Athens Services.
FISCAL IMPACT:
There is no fiscal impact associated with the recommended action except for the costs of issuing notices to property owners, which are minimal and covered by available solid waste funds. On December 5, 2022, the City of Pomona) City Council passed Ordinance 4323 approving an exclusive Agreement for the Provision of Commercial and Residential Garbage, Recyclable Materials, and Organic Waste Collection Services (Agreement) with Athens Services (Athens) to provide solid waste collection, recycling, composting and disposal services to properties in the City. The resulting agreement outlines residential and commercial/multifamily rates that are necessary in order to provide solid waste services to City of Pomona (City) residents, business owners, and multifamily owners, including new requirements and costs resulting from the passage of SB 1383. Should written protests be received from 50% plus 1of property owners in the City, the City would be forced to bear the costs of trash collection and comply with new requirements.
PREVIOUS RELATED ACTION:
On December 5, 2022, the City Council passed Ordinance 4323 approving an exclusive Agreement for the Provision of Commercial and Residential Garbage, Recyclable Materials, and Organic Waste Collection Services (Agreement) with Athens Services (Athens) to provide solid waste collection, recycling, composting and disposal services to properties in the City.
DISCUSSION/ANALYSIS:
On July 1, 2023, Athens will begin providing all solid waste collection services in the City and will start charging customers the rates included in the Council-approved Agreement. To approve the new solid waste rates, the City must follow Proposition 218 procedures. As such, the new rates will become effective following completion of City Council approval and the proceedings required under Article XIII D, Section 6 of the California Constitution, Proposition 218 process, and contingent upon the City not receiving a majority protest against the new rates as part of such proceedings.
The City has historically provided property owners with notice of changes to solid waste and utility rates in accordance with the requirements of Proposition 218. For solid waste rates, this involves providing written notice to property owners solid waste service customers with information about new rates, the reasons that new rates are needed, and the date, time and location of a public hearing for rate adoption. Those provided with notice may then protest the rates in writing in advance of the public hearing forty-five (45) days after providing notice, the City may conduct the public hearing, count written protests, and hear public comment regarding the new rates. If written protests are less than 50% plus 1 of properties in the City, the Council may approve the new rates. Services under the Agreement commence July 1, 2023, and Athens will begin billing customers at the rates in the Council-approved Agreement starting on that date. As per prior practice, the City is providing written notice to property owners To abide by the minimum 45-day written notice requirement to approve new rates, and to also meet the City’s obligations in the terms and conditions of the Agreement, notices must be mailed out to all customers no later than April 21, 2023 for a public hearing to be held on June 5, 2023 during the regularly scheduled City Council meeting. Following the public hearing, should there be no majority protest, the City may adopt a resolution approving new rates set forth in the new Agreement set to begin on July 1, 2023.
Beginning on July 1, 2024, and annually thereafter, new rates shall be calculated based on the percentage change in the Los Angeles-Long Beach-Anaheim Consumer Price Index (CPI) as reported by the Bureau of Labor Statistics between the preceding 12-month period ending December 31, and the prior preceding 12-month period ending December 31. New rates shall not increase more than 5% annually.
NEXT STEPS:
Provide staff with direction to initiate the Proposition 218 process. The City Council’s affirmative vote on this agenda item does not raise rates. The City Council hereby directs staff to proceed with the process of mailing the notice of the public hearing to consider adoption of the new rates.
Mail notices at least 45 days before the Public Hearing. A notice will be mailed to property owners describing the reasons for the new rates, the amount of the rates, the basis upon which the rates were calculated, the protest procedure, and the date, time and location of the public hearing. Any person who wishes to protest the adoption of the new rates must submit a written protest prior to the close of the public hearing (usually in the form of a letter).
Hold Public Hearing. On June 5, 2023 (not less than 45 days from mailing the notice), the City Council will hold a public hearing on the matter of the new rates. Following the public hearing, if a majority protest has not occurred, the City Council may adopt the new rates.
ATTACHMENT(S):
Attachment No. 1 – Notice of Public Hearing Regarding New Solid Waste Rates Attachment No. 2 – Resolution No. 2023-37
Prepared by:
_______________________
Rene Guerrero
Public Works Director
Authorize Proposition 218 Noticing for Solid Waste Rates and Schedule a Public Hearing