9/7/2023
1 RiversideCA.gov
1 RiversideCA.gov
SOLID WASTE SERVICES
PROPOSED FIVE YEAR RATE PLAN
Public Works Department
City Council
September 19, 2023
RiversideCA.gov
2 40
THE RATES PROCESS
Board of
Public
Utilities
June 12,
2023
City Council
June 27,
2023
Community
Meetings
July 31,2023
August 3, 2023
August 8, 2023
Board of Public
Utilities Public
Hearing and Rate
Consideration
August 28, 2023
City Council
Public Hearing
and Rate
Consideration
September 19,
2023
You Are Here!
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2 RiversideCA.gov
3 NEW FIVE-YEAR RESIDENTIAL RATE PLANSNEW FIVE-YEAR RESIDENTIAL RATE PLANS WATER: $0.15 per day
ELECTRIC: $0.21 per day
REFUSE: + $0.09 per day
$0.45 per day
or
$13.50 per 30-day month
Numbers shown are
average annual
increases
RiversideCA.gov
4 • On June 27, 2023, Council approved to set a public hearing for 6:15 pm on September 19, 2023
• The City organized three community meetings at the locations and dates listed below to provide more information:
• Monday,07/31/2023 at 6:30 pm, Orange Terrace Parkway
Ballroom, 20010 Orange Terrace Pkwy
• Thursday, 08/03/2023 at 6:30 pm, La Sierra Community/Senior Center Ballroom, 5215 La Sierra Ave
• Tuesday, 08/08/2023 at 6:30 pm, Bobby Bonds/Cesar Chavez Auditorium, 2060 University Ave.
BackgroundBACKGROUND
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3 RiversideCA.gov
5 PROPOSED SOLID WASTE RATE INCREASE
WHAT DOES THIS MEAN FOR OUR RESIDENTS?
Costs to increase $0.08-$0.09 per day
$2.42 - $2.75 per month
over a 5-year period
RiversideCA.gov
6 CALIFORNIA CITIES ARE INCREASING RATES
90% of cities
are considering
rate increases
The average
city is considering a
17.94% rate increase
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4 RiversideCA.gov
7 COMPARISON BY CITY
NOTE: Only 26% of agencies
surveyed include street
sweeping services in solid
waste rates – Riverside does.
Not all cities are yet
compliant with SB 1383.
RiversideCA.gov
8 WHAT WE DO
Serve 63,484 homes weekly.
Sweep 800+ miles of streets,
twice a month.
Ensure compliance with
State regulations
Provide community services
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5 RiversideCA.gov
9 ACCOMPLISHMENTS
674.6 Million pounds of
waste collected
4.8 Million pounds of street
debris swept
97.69 Million pounds of
green waste diverted from
landfills (up 8% from 2021)
26,662 calls for service
responded to in 2022
RiversideCA.gov
10 HISTORY OF RATE INCREASES
PERCENT INCREASEYEAR
0.00%2008/09
0.10%2009/10
1.00%2010/11
1.00%2011/12
1.00%2012/13
1.90%2013/14
1.10%2014/15
0.70%2015/16
2.00%2016/17
2.00%2017/18
9.80%2018/19
3.20%2019/20
7.70%2020/21
6.70%2021/22
4.70%2022/23
Rates
remained at
or below 2%
for 10 years
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11 $23
$26
$29
$32
$35
$38
FY1718
FY1819
FY1920
FY2021
FY2122
FY2223
FY2324
FY2425
FY2526
FY2627
FY2728
Millions
Revenue / Expenditure Comparison
(Adopted Rates)
ACTUAL EXPENDITURES PLUS ENCUMBRANCES ACTUALS REVENUE
PROJECTED EXPENDITURES PROJECTED REVENUE
Exhaust all reserves
by FY 26/27
Spend $31M more
than it earns by FY
27/28
Lose $4.4M each
year by FY 27/28
PROJECTED REVENUES & EXPENDITURES
If unchanged,
the fund will:
$4.4M
RiversideCA.gov
12 RISING COSTS OUTPACE EXISTING RATE PLAN
Inflation
4.70% 4.58%
8.60%
7.30%
0%
1%
2%
3%
4%
5%
6%
7%
8%
9%
10%
Consumer Price Index vs. City Rate Increases
City Rate Increase CPI Increase
2022 2023 Higher costs for disposal,
bins, vehicles, and repairs
Customers disposed of
12% more waste
throughout the pandemic
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7 RiversideCA.gov
13 THE WHY
• China no longer accepts
recycled goods
• Prior to China’s ban, the City made
money on recycling
• In FY 22/23, the City paid $2.3M to
recycle
• Recycling is mandatory in California
CHINA NATIONAL SWORD POLICY
RiversideCA.gov
14 THE WHY
• Senate Bill 1383 - California is the only State
to require:
a) Organics recycling for all waste
b) Edible food recovery programs
c) Food waste diversion programs
• FY22/23 - $2.9 Million in organics costs
• Additional staffing and software costs
CALIFORNIA SENATE BILL 1383 MANDATES
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15 THE WHY
OTHER STATE REGULATIONS
Tequesquite Landfill maintenance & reporting:
• $1.2M gas collection system and flare
• SC-AQMD Compliance
California Air Resources Board
Advanced Clean Fleet Regulation:
• 50% of new vehicles must be ZEV by Jan 2024
• 100% of new vehicles must be ZEV by 2027
RiversideCA.gov
16 UNDER-RESOURCED SERVICES
2,560 illegal dumps
cleaned last year
3,000-3,500 homes
delayed per day
Over 50% of fleet is
beyond its useful life
If one driver is out, over 1,000 homes may be delayed
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17 WHAT’S BEEN DONE TO KEEP RATES LOW
$1.3 Million
in Grant Funds
$2 Million used
from reserves EACH YEAR
since FY 18/19
$11 Million
in General Fund Subsidy
$23
$26
$29
$32
$35
$38
FY1718
FY1819
FY1920
FY2021
FY2122
FY2223
FY2324
FY2425
FY2526
FY2627
FY2728
Millions
Revenue / Expenditure Comparison
(Adopted Rates)
ACTUAL EXPENDITURES PLUS ENCUMBRANCES
ACTUALS REVENUE
PROJECTED EXPENDITURES
PROJECTED REVENUE
$4.4M
RiversideCA.gov
18 NEW PROJECTED REVENUES & EXPENDITURES
$21
$24
$27
$30
$33
$36
$39
FY1718
FY1819
FY1920
FY2021
FY2122
FY2223
FY2324
FY2425
FY2526
FY2627
FY2728
Millions
Revenue / Expenditure Comparison
ACTUAL EXPENDITURES PLUS ENCUMBRANCES
ACTUALS REVENUE
PROJECTED EXPENDITURES
PROJECTED REVENUE
New rates will:
Achieve fiscal sustainability
End General Fund subsidies
Provide Timely and
Consistent Service
$1.8M
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19 PROPOSED RATE INCREASE
Proposed Solid Waste Rates
Dollar
IncreaseRate IncreaseDate
$0.94 / Month2.92%November 2023
$2.60 / Month7.5%July 2024
$2.43 / Month6.5%July 2025
$2.58 / Month6.5%July 2026
$2.75 / Month6.5%July 2027
RiversideCA.gov
20 COMPARISON BY CITY
NOTE: Only 26% of agencies
surveyed include street
sweeping services in solid
waste rates – Riverside does.
Not all cities are yet
compliant with SB 1383.
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11 RiversideCA.gov
21 PROVIDING QUALITY SERVICE
Reduce
vehicle
downtime
Consistent
service
Boost
team
morale
• Purchased 19 new
vehicles for Solid Waste
• Regularly purchase new
vehicles
• Hire a 5-person relief crew
• Purchase new technology
including in-route
navigation
RiversideCA.gov
22 Strategic Priority 4 – Environmental Stewardship
Goal 4.4 – Implement measures and educate the community to responsibly manage goods, products, and services throughout their life cycle to achieve waste reduction outcomes.
Cross-Cutting Threads
STRATEGIC PLAN ALIGNMENT
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23 RECOMMENDATIONS
1. Conduct a public hearing to consider all oral
comments and written protests to the proposed rate
increase for residential and commercial refuse rates
through June 30, 2028; and,
2. If a majority protest does not exist, adopt a Resolution approving the residential rate structure from
November 1, 2023, through June 30, 2028.
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