RESOLUTION NO.
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF RIVERSIDE, CALIFORNIA: (1) RECORDING RECEIPT OF WRITTEN PROTESTS TO PROPOSED FY 2023/24 – 2027/28 RATE INCREASE FOR RESIDENTIAL SOLID WASTE COLLECTION SERVICES; (2) APPROVING THE FY 2023/24 – 2027/28 RATE INCREASE FOR RESIDENTIAL SOLID WASTE COLLECTION SERVICES, EFFECTIVE NOVEMBER 1, 2023.
WHEREAS, the City of Riverside (“City”) by and through its Public Works Department (“Department”) is obligated to (1) provide its citizens with reliable and equitably priced commercial and residential solid waste collection services and (2) operate its solid waste collection division in an efficient and economical manner; and WHEREAS, the Department is responsible for operating the solid waste collection division in such a manner that revenues from the collection of solid waste shall at least equal the costs of operation, including all maintenance and operations administrative and general, debt service, capital improvements, tax-related payments and other costs incurred in complying with prudent business practices; and WHEREAS, Section 6.04.170 of the Riverside Municipal Code provides that the City Council of the City of Riverside shall, by resolution, fix and, from time to time, amend the charges to be made and paid for the collection of solid waste including: residential collection and certain charges associated with automated solid waste collection, including recyclable materials and green waste, commercial and industrial collection, and for the temporary bin and roll-off container service; and WHEREAS, on September 15, 2020, the City Council adopted Resolution No. 23623, setting the 2020-2025 maximum residential and commercial solid waste collection rates; and WHEREAS, the current five-year solid waste rate plan is being outpaced by the acceleration of inflation in the general economy; and WHEREAS, the City of Riverside’s solid waste services face other challenges such as the rising cost of processing recycling and organics, operational cost increases not covered by CPI (higher costs of refuse bins, vehicles, maintenance, and repairs), staffing needs, such as relief drivers needed to minimize overtime, aging and outdated technology, and software needs to comply with State requirements, and aging equipment and vehicles in need of replacement.
WHEREAS, on June 27, 2023, the City Council received a report from Public Works staff on the current financial challenges and a proposed five-year rate plan for residential solid waste collection services; and WHEREAS, staff has developed a proposed rate plan for residential solid waste hauling to ensure the City can provide sufficient service and meet State mandates; and Residential Solid Waste Services
WHEREAS, on September 15, 2020, Council approved the current rate structure for residential solid waste services. The solid waste program provides an array of services to encourage recycling, to discourage illegal dumping, and to keep Riverside clean and beautiful; and WHEREAS, the current structure utilizes both City staff and contract services from Athens Services to provide residential disposal of regular trash, recyclables and green waste. City crews currently service 60% of the residential customers (42,323 customers), and Athens Services currently services 40% of the customers (21,161 customers). The contract with Athens Services expires on June 30, 2038, with an optional extension through June 30, 2043, and includes an annual increase based on CPI; and WHEREAS, the residential rate structure includes an equitable share of the cost for services also funded by the commercial customers, including the County disposal fee, the Materials Recovery Facility (“MRF”) processing fee, the City landfill closure fee, AB939 fee, street sweeping costs, City operational and administrative costs and a franchise fee relative to the Athens contract; and WHEREAS, the disposal (landfill) fee is set each year by the County of Riverside under the terms of the City’s agreement with the County. Additional increases are dependent on final County of Riverside numbers to be released in May 2024 and annually thereafter; and WHEREAS, the MRF processing fee for Refuse/Trash is established under a separate agreement between the City of Riverside and the Agua Mansa Transfer MRF, LLC, with Burrtec Waste Industries serving as the operator of the Agua Mansa Transfer Station; and WHEREAS, the City Service Fee includes the current fees for landfill closure, AB939 requirements, street sweeping and administrative costs which are all administered by Public Works and budgeted within the Refuse Fund. Detailed descriptions for the various cost components within this fee are as follows:
Landfill Closure Cost
The landfill closure fee is necessary to fund the continued costs of post-closure remediation activity at the Tequesquite Landfill, and is based on actual landfill maintenance costs. These costs include required air quality and water quality testing and maintenance of the methane gas collection system and landfill cover. b. City Administrative Cost
This component covers the cost of administering the commercial refuse program. Costs include staff time allocated to commercial contract management, customer service, field support, outreach, and education, as well as staff time dedicated to enforcement and implementation of new State mandated organics recycling programs. c. AB939 Cost
The AB939 fee is collected to meet mandated diversion requirements set by the California Department of Resources and Recycling (Cal Recycle). Funds are used to support various recycling programs such as Clean Up Riverside’s (“CUR”) programming, which includes promotion of recycling. d. Street Sweeping Cost
This component supports a portion of the cost of street sweeping associated with the collection and disposal of debris, trash and other organic material in streets and gutters. The balance of the street sweeping cost is funded by commercial customers, National Pollutant Discharge Elimination System (“NPDES”) Storm Drain Funds, and parking citation revenue; and WHEREAS, the proposed FY 2023/24 – 2027/28 structure continues the annual rate adjustments in order to maintain existing and required services. The proposed rate structure for residential solid waste collection services for November 1, 2023 through June 30, 2028 would use November 1, 2023 as the base year and will be adjusted administratively on July 1, 2024, and annually thereafter, according to the schedule in Exhibit “B”; and WHEREAS, the proposed rate increase is more particularly described in a table attached hereto as Exhibit “B” and incorporated herein by this reference; and Notice
WHEREAS, Proposition 218 (Cal. Const., Art. XIII D, sec. 6) requires that the City provide notice to ratepayers of any new or increased solid waste charges as property-related fees, and a mechanism for rejecting such fees through a “majority protest.” The City must then conduct a public hearing at the date, time, and location specified in the notice, and the date cannot be less than 45 days after the notices have been mailed. At the hearing, the City must consider all written protests against the new/increased charge. The City may adopt the new charges, unless it receives written protests from a majority (50% plus 1) of the ratepayers. Upon conclusion of the hearing, any written protests received must be tallied to determine whether a “majority protest” has occurred. If a majority protest does not occur, the City can then proceed with imposition of the new/increased fee or charge; and WHEREAS, on July 27, 2023, the City mailed written notices to all record owners directly liable to pay for such residential solid waste collection services, including both property owners and ratepayers, of the City’s intent to hold a public hearing on September 19, 2023, at 6:15 p.m. before the City Council of the City of Riverside at Riverside City Hall in the Art Pick Council Chambers located at 3900 Main Street, Riverside, to consider adopting the proposed 2023-2028 residential solid waste collection rates; and WHEREAS, the City organized three community meetings at the locations and dates listed below to provide more information:
Monday, 7/31,2023 at 6:30 pm, Orange Terrace Parkway Ballroom, 20010 Orange Terrace Pkwy.
Thursday, 8/3/2023 at 6:30pm, La Sierra Community/Senior Center Ballroom, 5215 La Sierra Ave.
Tuesday, 8/8/2023 at 6:30pm, Bobby Bonds/Cesar Chavez Auditorium, 2060 University Ave.
WHEREAS, such notice provided that the basis and reasons for these adjustments are to enable the City, through its Public Works Department, to provide quality residential solid waste services in several ways, such as addressing the rising cost of processing recycling and organics, meeting operational cost increases not covered by CPI (higher costs of refuse bins, vehicles, maintenance, and repairs), adding five relief drivers to increase staffing coverage to minimize overtime, addressing technology, and software needs to comply with State requirements, adding two Environmental Compliance Inspectors to assist with refuse mandate compliance, and providing additional funding for maintenance and repair of the Tesquesquite Landfill Flare Station; and WHEREAS, the notice further provided that at the time of the public hearing, the City Council of the City of Riverside will hear and consider all written comments, protests, and objections concerning these matters and will consider and may adopt the specified rates; and WHEREAS, notice of the public hearing was also duly published in The Press Enterprise on August 31, 2023 and September 7, 2023; and WHEREAS, a public hearing was commenced by the City Council on the proposed 2023-2028 Residential Solid Waste Rates on September 19, 2023, at 6:15 p.m., at the Art Pick Council Chamber, located at City Hall, 3900 Main Street, Riverside, the City Council of the City of Riverside to receive and consider the staff report, cost analysis, and oral and written comments, protests and/or other objections from the public to the FY 2023/24 – 2027/28 Residential Solid Waste Rates, and after receipt and consideration thereof the City Council concluded the public hearing; and WHEREAS, at the time of the public hearing, _______ verified written protests and/or objections concerning these matters were received; and WHEREAS, at the time of the public hearing, the City had 63,484 residential solid waste customers, with the number comprising a majority of such customers being __________, and thus did not receive a majority protest to the proposed FY 2023/24 – 2027/28 Residential Solid Waste rates; and WHEREAS, the City Council intends to adopt and establish the proposed FY 2023/24 – 2027/28 Residential Solid Waste Rates.
NOW, THEREFORE, BE IT RESOLVED by the City Council of the City of Riverside, California, on the basis of the cost analyses and staff reports and the other evidence submitted by Public Works at the June 27, 2023 and September 19, 2023 City Council meetings, as follows:
Section 1: The foregoing recitals are true and correct and are adopted and incorporated herein by reference as findings of fact.
Section 2: On the basis of the staff cost analysis and report and the other evidence submitted by the Public Works Department during the City Council’s September 19, 2023 public hearing, the City Council hereby finds and determines that the increased rates, set forth in the rate schedule attached hereto as Exhibit A, and incorporated herein by this reference, are for the purposes of (1) meeting operating expenses, including employee wage and fringe benefits, (2) purchasing or leasing supplies, equipment or materials, (3) meeting financial reserve needs and requirements, (4) implementing and maintaining state mandated organics recycling and recycling programs, and/or (5) obtaining funds for capital projects necessary to maintain service within existing service areas and further finds and determines that the increased rates do not exceed the reasonable costs incurred by the City in the provisions of these services and are exempt from the provisions of the California Environmental Quality Act (California Public Resources Code Section 21000 et seq.) under Public Resources Code Section 21080(b)(8).
Section 3: The FY 2023/24 – 2027/28 Residential Solid Waste Rates are exempt from the voter approval requirements of Proposition 26 as adopted by voters on November 2, 2010 because the rates are imposed for a specific government service provided directly to the ratepayer that is not provided to those not charged and which does not exceed the reasonable costs to the local government of providing the service.
Section 4: That a majority of the record owners directly liable to pay such rates, including property owners and ratepayers, did not provide written comments, objections or protests to the proposed rate adjustments to commercial and residential solid waste collection services.
Section 5: The rate adjustments for residential solid waste collection services, attached hereto as Exhibits A, are hereby approved and established as the maximum residential solid waste collection services rates to be charged.
Section 6: The rates, fees and charges set forth in this resolution shall be operative beginning November 1, 2023.
Section 7: This resolution applies only to residential solid waste collection services and in no way impacts the approved rate plan for Maximum Commercial Solid Waste Services adopted in Resolution No. 23623, which shall remain in effect. The Residential rates adopted herein, shall be in lieu of those approved in Resolution No. 23623 and not in addition to.
ADOPTED by the City Council this _________ day of September, 2023. ___________________________
Mayor of the City of Riverside
Attest:
_____________________________
City Clerk of the City of Riverside
I, Donesia Gause, City Clerk of the City of Riverside, California, hereby certify that the foregoing resolution was duly and regularly introduced and adopted at a meeting of the City Council of said City at its meeting held on the _________day of September, 2023, by the following vote, to wit:
Ayes:
Noes:
Absent:
Abstain:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Riverside, California, this ________ day of September, 2023. _________________________________
City Clerk of the City of Riverside
FILENAME \p \\Rc-citylaw\cycom\WPDOCS\D001\P035\00729210.DOC 23-0935 RMS
EXHIBIT “A”
MAXIMUM RESIDENTIAL SOLID WASTE COLLECTION SERVICES
NOVEMBER 1, 2023 TO JUNE 30, 2028 (PER MONTH)
Future Proposed Increases & Effective Dates*
ServiceCurrentNovember 1, 2023July 1, 2024July 1, 2025July 1, 2026July 1, 2027Standard Curbside/Disabled$33.78$34.72$37.32$39.75$42.33$45.08Mobilehome/Apt$19.27$19.81$21.30$22.68$24.15$25.72Driveway$46.32$47.61$51.18$54.51$58.05$61.82Backyard$55.57$57.13$61.41$65.40$69.65$74.18Condo/Townhouse$20.85$21.42$23.03$24.53$26.12$27.82Extra Container (Brown – Trash)$14.38$14.78$15.89$16.92$18.02$19.19Extra Container (Green – Yardwaste)$6.59$6.77$7.28$7.75$8.25$8.79Extra Container (Blue – Recycling)$2.62$2.69$2.89$3.08$3.28$3.49 PAGE
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MACROBUTTON None FirmName1_1 , MACROBUTTON None FirmLegalStatus1_1 CITY ATTORNEY’S OFFICE
3750 UNIVERSITY AVE. #250
RIVERSIDE, CA 92501
(951) 826-5567