San Rafael City Council
November 4, 2024

____________________________________________________________________________________

FOR CITY CLERK ONLY
Council Meeting: _______________________
Disposition: ___________________________
Agenda Item No: 8.a
Meeting Date: November 4, 2024

SAN RAFAEL CITY COUNCIL AGENDA REPORT
Department: City Manager’s Office
Prepared by: Cory Bytof,
Sustainability Program Manager
City Manager Approval: __________
TOPIC: MARIN SANITARY SERVICE RATES AND AMENDMENTS FOR 2025 SUBJECT: RESOLUTIONS OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL:
1) APPROVING A FIFTH AMENDMENT OF THE AMENDMENT AND

RESTATEMENT OF THE COLLECTION AGREEMENT OF THE CITY OF
SAN RAFAEL WITH MARIN SANITARY SERVICE; 2) AUTHORIZING

MAXIMUM RATES COLLECTED BY MARIN SANITARY SERVICE FOR

REFUSE AND RECYCLABLE MATERIAL COLLECTION AND DISPOSAL
SERVICES TO BE EFFECTIVE JANUARY 1, 2025, AND ADOPTING A CITY

COST OF SOLID WASTE SERVICES FEE, REFUSE VEHICLE IMPACT

FEE, AND FRANCHISE FEE FOR THE USE OF CITY PROPERTY IN THE PROVISION OF SOLID WASTE RELATED SERVICES.

RECOMMENDATION:

1. Adopt a resolution approving a fifth amendment to the amendment and restatement of the collection agreement of the City of San Rafael with Marin Sanitary Service.

2. Adopt a resolution authorizing the maximum rates collected by Marin Sanitary Service for Refuse and Recyclable Material Collection and Disposal Services to be effective January 1, 2025, and adopting a City Cost of Solid Waste Services Fee, Refuse Vehicle Impact Fee, and Franchise Fee for the use of City property in the provision of solid waste related services.

EXECUTIVE SUMMARY:

This report addresses three subjects: 1) amendments to the City’s Franchise Agreement with Marin Sanitary Service, 2) a proposed new illegal dumping program, and 3) the rate adjustment proposal for 2025 for Marin Sanitary Service to provide refuse, recycling, and organic materials composting, hauling, and processing for customers in San Rafael. Amendments to the Franchise agreement include changes to the City’s fee calculations in accordance with a fee study the City conducted in 2023. Another change eliminates customer-owned carts to comply with Senate Bill (SB) 1383, the State law regulating organics recycling. A third change codifies the proposed illegal dumping program, including establishing bulky item collection at multifamily properties, a new Waste Management Coordinator position, and other activities related to outreach and enforcement.

SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 2
The proposed rate adjustment would allow Marin Sanitary Service to increase rates by up to a maximum of 5.24% over 2024 levels for all customers. Customers include residential homeowners, apartment owners, commercial property owners, and other businesses and tenants that pay solid waste bills. The proposed rate adjustment is based upon an independent third-party review of Marin Sanitary Service’s costs of providing the service by R3 Consulting Group, Inc. (R3) and a contractually agreed-upon rate-setting methodology with Marin Sanitary Service. It also includes new services and programs, including bulky item collection in multifamily dwellings, the establishment of a Waste Management Coordinator, and other items for the proposed illegal dumping program.

BACKGROUND:

Each year, the City Council holds a public hearing to authorize the maximum collection rates that Marin Sanitary Service can charge to customers in the City of San Rafael. These rates are based on a specific methodology in the City’s Franchise Agreement with Marin Sanitary Service. This methodology has been in effect since 2018 when the City entered into the Third Amendment to the Franchise Agreement.

Franchise Agreement, Franchise Fees, and Franchisors’ Group Article XI of the California Constitution and the California Public Resources Code allows cities to regulate refuse and recycling services. Marin Sanitary Service is the City’s sole provider of refuse hauling and recycling services and performs these services in many surrounding communities as well. These services are pursuant to a franchise agreement between the City and Marin Sanitary Service, which outlines the services that must be provided by the company and the methodology to set customer rates each year. The franchise agreement with Marin Sanitary Services includes a Franchise Fee, which recovers the City’s costs of providing solid waste-related services, including the negotiation and administration of the franchise agreement, as well as charges for the reasonable value of the use of City property for the provision of solid waste services.

Additionally, the franchise agreement includes a Refuse Vehicle Impact Fee to recover the costs of addressing the specific impacts of refuse vehicles on City streets and rights-of-way.

The City Council approved the Fourth Amendment to the current Franchise Agreement in December 2021. The Franchise Agreement, including all amendments, contains a rate-setting methodology based on the cost of service and primarily ties compensation to a common index:
the consumer price index (CPI) for water, sewer, and trash collection. It also includes a mechanism to capture recycling revenues intended to help offset the cost of processing. This methodology was developed to ensure accuracy and transparency while providing relatively stable and predictable rates and continued verifiable high levels of service, which continues to be the case.

All the jurisdictions in Marin that have similar franchise agreements with Marin Sanitary Service work together to share information and reduce costs. These include the Cities of San Rafael and Larkspur, the Towns of Ross, San Anselmo, and Fairfax, the Las Gallinas Valley Sanitary District, and the County of Marin. These seven agencies meet throughout the year to oversee the company’s operations and work together to conduct a single annual rate review analysis rather than each jurisdiction having to conduct and pay for a separate review, saving thousands of dollars annually.

New State Law
In 2016, recognizing the negative impacts of organic materials decomposing in landfills on climate change, the State of California started mandating that businesses with certain thresholds of refuse SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 3
disposal compost their organic materials. The most significant of these laws, SB 1383, requires all residents and businesses to divert their organic waste. SB 1383 also requires local governments to implement, monitor, and enforce participation in organic waste diversion programs. The California Department of Resources Recycling and Recovery (CalRecycle) is authorized to fine local governments that do not comply. The City of San Rafael signed an agreement with Zero Waste Marin to provide support to achieve compliance with SB 1383 and assess opportunities to create economies of scale working countywide to implement the law.

Nevertheless, the City’s requirements remain significant to comply with the law and provide regular, ongoing compliance activities and reporting throughout the year.

Marin Sanitary Service Programs and Services
Marin Sanitary Service provides residential, commercial, and multifamily refuse services, including garbage, recycling, and organics (food waste and green waste diversion) collection and processing. The company also provides garbage and recycling pickup for City facilities, public spaces, and all sidewalk receptacles downtown and throughout San Rafael.

Marin Sanitary Service is a key partner in achieving the City’s sustainability goals and the City’s and County’s zero waste goals. The company conducts most of the outreach for the City for the State’s Mandatory Commercial Recycling and Mandatory Composting laws (AB 341, AB 1826, and SB 1383), which place requirements on businesses to recycle and divert organic waste and require annual monitoring and notifications to non-compliant businesses. Marin Sanitary Service also has a robust community outreach and education program and conducts numerous programs and community offerings, including an annual free compost giveaway and customer education event. Their services, including the “Where Does it Go, Joe” recycling lookup feature, can be found on their website at MarinSanitaryService.com.

ANALYSIS:

A. Franchise Agreement Amendments
The City and Marin Sanitary Service have been working for several years, conducting research and pilot programs to understand and prevent illegal dumping. Much of the City’s illegal dumping activity centers around multifamily housing, and much of the material collected by the Public Works Department are bulky items set out by apartment dwellers and managers who have few options for disposal. After five years of study and pilots, staff are now proposing a comprehensive program to reduce illegal dumping in San Rafael. Approval of this proposal necessitates amendments to the Franchise Agreement to accommodate these new services. The proposed changes can be found in Attachment 2: Fifth Amendment to the Amendment and Restatement of Collection Agreement. Two other changes are being proposed to 1) accommodate SB 1383 requirements precluding customer-owned carts and 2) reflect changes to the franchise fees and vehicle road impact fees to align with the Fee Study completed and approved by the City Council in 2023.

Background: Illegal Dumping Program
In 2019, a cross-departmental Together San Rafael Team (“Team”) developed a 5-year plan to reduce illegal dumping by 50% by 2025. The Team has been using a human-centered design approach to understand community needs and perceptions, conduct learning pilots to identify root causes and develop evidence-based solutions. Over time, the Team was expanded to include Marin Sanitary Service, R3, Gigantic Idea Studios, the Mattress Recycling Council, Conservation Corps North Bay, City volunteers, and community members through Voces del Canal, Mujeres Empoderadas, and the Canal Community Resilience Council.

Part of this project’s early work was to better understand who is dumping, why, and what types of SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 4
materials are being dumped the most. The Team has identified three major types of dumping with the understanding that each type requires different solutions to achieve success:

1. Casual dumping is usually done by renters without access to free, on-site disposal and resort to setting things out on the curb.

2. Illicit dumping is usually done by folks who know it is illegal, have large amounts of items to dispose of, and seek out-of-the-way locations to dump.

3. Dumping related to homelessness is trash generated by unsheltered persons. It can also refer to housed persons leaving items for use by unsheltered persons.

This project is focused on the first two. However, the Team collaborated with the City’s Health and Safety Committee and other departments to assist with waste management related to homelessness.

In 2024, the Team conducted the following pilots and activities:
• 12 monthly bulky item drop-off days at Pickleweed Park targeting our neighborhoods with the most prevalent illegal dumping in the Canal and near downtown. • Additional “Hot Spot” campaigns focused on engagements, data analysis, mapping, and surveillance camera installations, with enforcement in locations where dumping is common.
• Mini-grants and commercial vouchers for businesses that experience dumping on their property.
• Exploration of different types of enforcement solutions and staffing, including placement of rotating surveillance cameras at hot spots.
• Continued tracking and validation of dumping data to measure pre- and post-intervention results (including types of material, amounts, and locations) and testing of new apps for tracking trash and dumping.
• Continued research into programs in other jurisdictions around the State to verify keys to success.
• Cost Projections of recommended solutions. Outputs can be found in Attachment 2 • Community presentations and engagements to elicit feedback, including to the Federation of San Rafael Neighborhoods, Voces del Canal, Zero Waste Marin, and the East San Rafael Working Group of the San Rafael Chamber of Commerce. • Presentations to department staff, including the City Attorney’s Office and the Streets Division of Public Works, to vet the recommendations and remove confirmation bias. • Presentations to the Statewide Illegal Dumping Taskforce and at the 4th Annual Illegal Dumping Conference in Oakland to elicit feedback and stress test the recommended suite of solutions.

Key Challenges and Insights:

The following are the major challenges identified during the pilot programs:
• Renters in multifamily dwellings have no easy, economical options for disposing of bulky items, unlike owners of single-family homes, who get two curbside pickups per year. Early in the pilot programs, community members and advocates pointed out that those with the most need have the least access to services.
• Community norms are hard to change, and the norm in areas with a lot of multifamily units is to “put items on the street, and the City picks it up.” There are currently few incentives for someone to go through the effort to bring these materials to Marin Sanitary Service when cost, transportation, and effort are minimized through simply doing what others in the neighborhood are doing.
• There is limited staff capacity for enforcement. Currently, two different codes apply, one SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 5
municipal and one penal, depending on the type and circumstances of dumping. The City’s Code Enforcement Division and the Police Department have very limited capacity to enforce. • There is limited staff capacity for outreach. Regular, ongoing outreach and education are necessary to change behaviors, and there is no entity, dedicated staff person, or program dedicated to this function.
• There is a lack of standardized cross-departmental coordination; the only coordination with Marin Sanitary Service is through the City’s Sustainability Division. This leads to extra work in all departments as complaints and work requests come through a variety of channels (i.e., SeeClickFix, Emails to the City Council/City Manager, etc.). In addition, it leaves City departments, service providers such as Conservation Corps North Bay and Zero Waste Marin, and property owners siloed, and sometimes working at cross-purposes when more collaboration is needed. Ideally, engagement and enforcement efforts are well coordinated and tracked over time to ensure follow-through and that the right tool is used for the right situation.
• Data is lacking and hard to get. The only reliable data is overall tonnage. It is very challenging for the Department of Public Works to collect spatial and time-dependent data due to the demands of the job of collecting dumped items in a timely fashion, often on busy streets with limited visibility. New tools are needed to get data to show progress and identify location-based causes and solutions.

Two of the most promising pilots were focused on equitable access to bulky item disposal by tenants and apartment managers: bulky item drop-off events and on-call, on-site collection at multifamily complexes. Currently, limited options exist for them to dispose of items such as mattresses and dressers. Whereas residents in single-family homes can schedule a no-cost pickup of bulky items curbside twice a year from Marin Sanitary Service, occupants of multifamily dwellings must either contract with a junk hauler or take them to the dump and incur a fee to dispose of them. However, research also revealed that simply providing the service was not enough: other mechanisms needed to be in place to support and compel individuals to utilize the service.

This and other research led to a critical finding throughout these last several years of investigation; success only happens when all three of the following interventions occur:

1. Equitable access to disposal options,

2. Targeted and visible enforcement, and

3. Creative and continuous community engagement and outreach Finally, the current system lacks a system or point of contact for dumping complaints, abatement, and enforcement. Though illegal dumping comprises 25% of all See-Click-Fix service requests – twice the number of the next highest request type – the City has no coordinated system to address it. The community and City staff must interact with different departments in different situations.

For example, dumping on private property is a penal code violation and requires a police report.

Dumping on public right of way is a civil code violation enforced by Code Enforcement but sent to Public Works for abatement. Resources are slim, and no budgetary or programmatic landing place exists for this issue, unlike road repair or tree maintenance. Consequently, extra effort and staff time are needed to identify and apply the correct interventions.

Final Recommendations: Illegal Dumping Program
Staff spent the last year analyzing the most ideal combination and level of programming to achieve a systemic and sustainable response that results in a significant and measurable reduction in illegal dumping. This analysis also looked at cost implications and potential funding sources for a variety of scenarios while providing equitable services to all residents.

SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 6
The Together San Rafael Team has developed a final set of recommendations in conjunction with our community partners, consultant team, and Marin Sanitary Service. This was reviewed by an ad hoc subcommittee of the City Council comprised of Mayor Kate Colin and Councilmember Maribeth Bushey on October 15, 2024. These recommendations continue many of the activities piloted over the past several years with adjustments based on what was learned during implementation. These recommendations make up the proposal included in the amendment to the Franchise Agreement and are listed below.
• Provide curbside bulky item collection at multifamily properties, along with alternative methods of collection to match circumstances, such as roll-off debris boxes or vouchers for owners and managers who have different needs. This is the most significant change and provides the baseline level of service necessary to prevent and reduce illegal dumping.
• Create and hire a Waste Management Coordinator who serves as the single point of contact and coordinator for illegal dumping, SB 1383 compliance, and other waste-related activities. This coordinator would also serve as a code enforcement officer as well to conduct enforcement in addition to outreach and engagement. This position is the other necessary component to ensure all other elements of the proposal are carried out and evolve as the programs are implemented and data comes in. • Conduct robust multifamily outreach to change norms and behaviors over time. This would include a variety of methods, such as designing and posting information in laundry rooms, targeted mailings and social media posts, and site visits, as well as feedback loops to continually improve and adjust using iterative design concepts. • Conduct code enforcement for dumping in adjacent right of way at multifamily complexes. Changing norms will require more than offering services when placing things on the street is easy. Most of the time warnings suffice to nudge people to comply. • Continue the monthly Bulky Item Drop-off Days at Pickleweed Park. The Canal Neighborhood is one of the densest neighborhoods in the Bay Area outside of downtown San Francisco, and these events have been very successful in helping alleviate the tremendous need. Over time, the hope is to reduce or end these events as multifamily curbside service becomes well-utilized.
• Test a data collection app and develop a robust data platform to fill the gaps in spatial and time-dependent data. This will be necessary to show progress and develop meaningful hot spot campaigns.
• Conduct annual Hot Spot Campaigns to further comprehensive location-based interventions. Targeted campaigns allow for community-member engagement and volunteerism, one-on-one engagement with apartment managers targeted enforcement with temporary surveillance camera installations, and technical assistance for nonstandard circumstances and challenges. • Continue and expand Crime Prevention Through Environmental Design (CPTED) Mini-grants for businesses that experience dumping on their properties. CPTED interventions such as lighting, fencing, surveillance cameras, and signage have been shown to significantly reduce illegal activities on private property. This demonstrates our commitment to local businesses impacted by dumping.
• Review and revise City codes and adjust fine amounts over time to provide more effective enforcement tools. This may include best practices from other jurisdictions, amendments to the City’s Master Fee Schedule, or adjustments to minimum service levels, among other things.

Other Proposed Changes to the Franchise Agreement
When the Franchise Agreement is amended for specific purposes, the City and Marin Sanitary Service seek to amend other portions to accommodate other priorities, much like the Department SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 7
of Public Works coordinates with utilities when they do major road work. Last year, the City conducted a Franchise Fee Study to align with new legal determinations resulting from a California Supreme Court ruling on franchise fees. To better align with the court ruling, the City Attorney’s Office recommends amending the franchise fee to comport with the study completed last year and be calculated based on cost of service rather than a flat rate. This amendment is included in Attachment 3, along with the City Council Resolution. This allows the City to set the franchise fee at an amount equal to or less than $1,474,000, which is the reasonable market value of the City property used for solid waste-related services, as determined by negotiations between MSS and the City. Staff are recommending that the City set the franchise fee at $1,216,000 pursuant to the amount justified by the Franchise Fee Study.

Finally, SB 1383 requires that all carts and cans serviced by waste haulers be color-coded and include signage that complies with the law and the three refuse and recycling streams: black for landfill, green for organics, and blue and brown for dual-stream recycling. This change to the agreement would prohibit customer-owned carts from complying with the law. Marin Sanitary Service will conduct robust outreach to customers to make them aware of the change. The company will provide extra organics and recycling carts to accommodate customers with a need for extra service. This includes increasing the compost bin size options to the largest size: 96- gallon carts. Attachment 5 details the plan for transitioning away from customer-owned carts, including timeline and customer alternatives. This change has already happened in other neighboring jurisdictions, including San Anselmo and Fairfax.

B. Proposed Maximum Rate Adjustment for 2024
History of Rate Adjustments
The five-year rate increase history for San Rafael averages 5.22%, with a range of 2.39% to

7.15%. Last year’s adjustment was 6.22% and included an Illegal Dumping Pilot, which staff proposes to replace with permanent programs to address illegal dumping and other waste-related issues of priority to the City Council and the community. Many factors contribute to the fluctuation in rates for refuse haulers, including a growing amount of solid waste, recycling, and organic (compostable) materials generated by residents and businesses, the costs of processing recyclables and organic materials, changes in the value of recyclable materials, landfill fees, increasing costs of labor and insurance, and changes in State laws and other government fees.

Rate Review and Adjustment
Attachment 3 is the independent third-party analysis and report of Marin Sanitary Service’s 2025 Rate Application conducted by R3 Consulting Group, Inc. San Rafael’s calculated rate adjustment is 5.24%. As shown in the report, Collector Operations comprised the largest portion of the increase to the base rate adjustment, which was calculated using the Consumer Price Index (CPI) for Water, Sewer, and Trash Collection. Much of this increase is attributed to and closely tracks current inflation levels.

A second significant impact on the rates this year is a one-time reduction in the fees to Zero Waste Marin. Zero Waste Marin secured grant funding through an agreement with the City of San Rafael and all other member agencies to apply as one entity and use those funds to accomplish work typically conducted using hauler and landfill fees in 2025. Zero Waste Marin reduced fees in proportion to the grant they received. Two other reductions to the rate adjustment are due to the recyclable materials revenues being better than expected this year and a slight increase in business revenue, resulting in a benefit to the rate calculation for 2025. The full list of adjustments to the rates can be found in Table 1 in Attachment 4.

The full cost of the Illegal Dumping Program is included in the adjustment and makes up 2.32% of the overall 5.24% adjustment for 2025. Marin Sanitary Service proposed a phased-in approach SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 8
to the bulky item service for multifamily dwellings to allow for anticipated uptake over time and to allow for increases in staffing and vehicles to accommodate the increase in program usage. With this approach, the City will not overfund the program in year one. Similarly, outreach will be phased in, starting with apartment owners and property managers of multi-family housing.

Therefore, overall program costs are spread over three years and would result in additional costs in 2026 and 2027, as shown in the budget table at the end of Exhibit A in Attachment 2. This would result in modest, less than 1% adjustments related to this program in both years, which will be included in future rate applications.

Conclusion
R3 reviewed the application and all relevant documents and financial schedules with Marin Sanitary Service, including the proposed Illegal Dumping Program. The full schedule of rate adjustment line items can be found on page 1 of Attachment 3: Review of Marin Sanitary Service’s 2025 Rate Application. Staff reviewed the proposed rate adjustment and programs with an ad hoc City Council subcommittee of Mayor Colin and Councilmember Bushey on October 15, 2024.

Staff recommends the City County authorize the maximum amount to be collected in 2025 with a rate adjustment of 5.24%.

This rate adjustment would result in an overall increase of $2.79 per month for a residential 32- gallon landfill cart, which is the most common cart size, for a total monthly fee of $56.10. For a common commercial size, there would be an overall increase of $34.51 per month for a three cubic yard bin, for a monthly total of $693.10. Recycling is included in all accounts, and customers can reduce their regular landfill container size or pickup schedule, resulting in a lower rate of recycling and reducing overall waste generation. Organics recycling is also provided, which is included in the residential rates and is offered at approximately 60% of the cost of landfill service for the commercial composting program.

R3 conducted a survey of solid waste rates throughout Marin as part of the rate review, which is included on the last page of the report. It summarizes the survey data for residential 30-35 gallon can weekly service with curbside recycling and organics pickup. However, note that the proposed 2025 rates are not yet available for other jurisdictions. This summary compares proposed San Rafael 2025 base rates to other jurisdictions’ 2024 actual rates, which will likely also increase.

This comparison shows that San Rafael’s rates are slightly lower than most other Marin jurisdictions. However, jurisdictions often provide different services and service levels, so these are not necessarily equal comparisons. San Rafael’s rates have traditionally been comparable to those in other Bay Area jurisdictions while often providing more services.

As in previous years, the authorized maximum rate adjustment shall be applied uniformly to all residential, multifamily, and commercial service accounts. The actual maximum rates for all services are provided in Attachment 2 as Exhibit C - Schedule of Rates.

COMMUNITY OUTREACH:

Notice of the public hearing was published twice in the Marin Independent Journal (Attachment 6) and emailed to all names of interested parties on file with the City Clerk and City Manager’s Office, which includes residents, the San Rafael Chamber of Commerce, and the Marin Builders Association, among others. Information on the maximum annual rate that MSS may collect has been available at the City Clerk’s office during the ten days prior to the public hearing. The proposed rate information was also provided directly to the San Rafael Chamber of Commerce, the Business Improvement District, the Marin Builder’s Association, and other interested parties.

The illegal dumping program was developed with extensive community engagement with various resident and business entities, as referenced on pages 3 and 4 of this report.

SAN RAFAEL CITY COUNCIL AGENDA REPORT / Page: 9
FISCAL IMPACT:

If approved by the City Council, the maximum rates would be authorized for all customer types and service options and satisfy the City’s contractual obligations to meet the MSS revenue requirements to cover costs for San Rafael refuse and recycling services, including franchise fees. The cost-of-service fee of $1,945,401 and the franchise fee of $1,216,000 would be deposited into the City’s General Fund. All costs for solid waste-related services would be paid for out of the General Fund. Refuse vehicle impact fees of $1,480,601 would continue to be deposited into the City’s Gas Tax Fund, and all road maintenance expenses related to the impacts of refuse vehicles, are paid for out of that same fund. Exhibit C to the resolution contains the complete maximum rate request.

OPTIONS:

The City Council has the following options to consider on this matter:

1. Adopt the resolutions.

2. Adopt the resolutions with modifications.

3. Do not adopt the resolutions at this time and direct staff to come back with more information.

RECOMMENDED ACTION:

1. Adopt a resolution approving a fifth amendment to the amendment and restatement of the collection agreement of the City of San Rafael with Marin Sanitary Service.

2. Adopt a resolution authorizing the maximum rates collected by Marin Sanitary Service for Refuse and Recyclable Material Collection and Disposal Services to be effective January 1, 2025, and adopting a City Cost of Solid Waste Services Fee, Refuse Vehicle Impact Fee, and Franchise Fee for the use of City property in the provision of solid waste related services.

ATTACHMENTS:

Attachment 1: Resolution Approving the Fifth Amendment to the Amendment and Restatement of Franchise Agreement with Marin Sanitary Service
Attachment 2: Fifth Amendment to the Amendment and Restatement of Franchise Agreement with Marin Sanitary Service, including Exhibit A: Description of Services Attachment 3: Resolution Authorizing Rates with Franchise Fee Study (marked as Exhibit A), Cost of Service, Vehicle Impact, and Franchise Fees (marked as Exhibit B), and Rate Schedule (marked as Exhibit C)
Attachment 4: R3 Review of MSS Rate Application
Attachment 5: Customer Owned Can Memo
Attachment 6: Public Hearing Notice
RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL

APPROVING AN AMENDMENT TO THE AMENDMENT AND RESTATEMENT

OF COLLECTION AGREEMENT OF THE CITY OF SAN RAFAEL WITH MARIN

SANITARY SERVICE
WHEREAS, the City of San Rafael and Marin Sanitary Service have entered into a written Amendment and Restatement of Collection Agreement (“Restated Agreement”) dated September 4, 2001; and
WHEREAS, the City of San Rafael and Marin Sanitary Service amended this agreement on March 1, 2005 with the Amendment to Refuse and Recycling Collection Agreement; and WHEREAS, the City of San Rafael and Marin Sanitary Service further amended this agreement on October 1, 2012 with the Second Amendment to Amendment and Restatement of Collection Agreement; and
WHEREAS, the City of San Rafael and Marin Sanitary Service further amended this agreement on December 17, 2018 with the Third Amendment to Amendment and Restatement of Collection Agreement; and
WHEREAS, the City of San Rafael and Marin Sanitary Service further amended this agreement on December 6, 2021 with the Fourth Amendment to Amendment and Restatement of Collection Agreement (the Restated Agreement and all amendments to the Restated Agreement are collectively referred to herein as the “Franchise Agreement”); and WHEREAS, the City of San Rafael and Marin Sanitary Service now desire changes to the Franchise Agreement to update Marin Sanitary Service services to provide additional services for bulky item collection and illegal dumping prevention as well as to update the City fees and franchise fees; and
WHEREAS, the City of San Rafael has determined that such adjustments are proper, in the best interest of all citizens, and will promote public health, safety and welfare; and WHEREAS, on November 4, 2024 the City Council held a duly noticed public hearing to consider the rate application request and receive public testimony thereon; and, WHEREAS, the City Council has reviewed and duly considered the Staff Report, and documents and other oral and written evidence presented at the hearing;

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN RAFAEL DOES RESOLVE, DETERMINE AS FOLLOWS:
1) The City Manager is authorized to execute the Fifth Amendment to the Amendment and Restatement of Collection Agreement of the City of San Rafael with Marin Sanitary Service, attached to the staff report accompanying this resolution as Attachment 2.

I, Lindsay Lara, Clerk of the City of San Rafael, hereby certify that the foregoing Resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of the City of San Rafael, held on Monday, the 4th day of November 2024, by the following vote, to wit:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:
__________________________
LINDSAY LARA, City Clerk

FIFTH AMENDMENT TO THE

AMENDMENT AND RESTATEMENT OF COLLECTION AGREEMENT

OF THE CITY OF SAN RAFAEL WITH MARIN SANITARY SERVICE

THIS FIFTH AMENDMENT to the Amendment and Restatement of Collection Agreement of the City of San Rafael (City) with Marin Sanitary Service (Company) is made and entered into this __ day of November, 2024.

WHEREAS, the City and Company entered into a written agreement on September 4, 2001, as amended on March 1, 2005, November 14, 2012, December 17, 2018, and December 6, 2021 (together the “Agreement”) pursuant to which the Company renders Solid Waste, Recyclable Material and Green Waste collection, processing and disposal services to businesses, residents and government institutions in the City; and
WHEREAS, since 2018, the City has implemented strategies through an Illegal Dumping Pilot Program to improve the condition and safety of public areas, collaborating with City departments, Company, contractors, and the community to address illegal dumping; and WHEREAS, by utilizing data-driven analysis and innovative approaches, the City and Company have identified effective services to improve illegal dumping outcomes and now seek to establish a formal program of service, which includes bulky item collection at multifamily residential properties, further solidifying their commitment to maintain well-kept and secure public spaces; and WHEREAS, the City and Company now desire to add an ongoing Illegal Dumping Prevention Program to the suite of services provided by the Company; and
WHEREAS, a change in compensation to the Company is necessary and warranted to compensate the Company for provision of the Illegal Dumping Prevention Program; and WHEREAS, the City and Company have met in good faith to develop the terms, conditions, and compensation for provision of the Illegal Dumping Prevention Program; and WHEREAS, a key component of the Illegal Dumping Prevention Program is the establishment of a new position, which the City will employ on behalf of Company, to oversee waste management and the Illegal Dumping Prevention Program; and
WHEREAS, the Company has requested adjustments to terms of services to protect worker health and safety by requiring the use of Company provided containers for general solid waste collection; and WHEREAS, the City and Company have negotiated and agree to revisions in definitions, terms and conditions regarding fees paid by Company to City.

NOW THEREFORE, it is mutually agreed as follows:

1. Section 1. Definitions, shall be amended to add:
“Illegal Dumping Prevention Program” means a comprehensive suite of services designed to address illegal dumping across the City through equitable access to disposal options,

FIFTH AMENDMENT TO THE

AMENDMENT AND RESTATEMENT OF COLLECTION AGREEMENT

OF THE CITY OF SAN RAFAEL WITH MARIN SANITARY SERVICE

targeted outreach and engagement, and robust enforcement strategies. The program emphasizes collaboration between City departments, the Company, and community partners to maintain clean, safe public spaces while providing practical, accessible waste management solutions.

2. Section 3. Services, Rate Setting and Rates, Equipment, shall be amended to add:
(B) Exhibit C sets forth the current, maximum schedule of rates for services. The City Council may authorize amendments to Exhibit C, from time to time, in accordance with the parties’ agreed upon rate setting methodology set forth in Exhibit B. (E) Compensation Adjustment for New Programs:
(1) 2025 Adjustment to Compensation for New Programs. Company’s compensation via Collector Operations (as per Exhibit B Section III.A) shall be adjusted by $571,291 (not inclusive of profit margin or franchise fee) effective January 1, 2025 to compensate the Company for the first of a three-year phase-in period implementing the Illegal Dumping Prevention Program. (2) 2026 Adjustment to Compensation for New Programs. Company’s compensation via Collector Operations (as per Exhibit B Section III.A) shall be adjusted by $162,078 (not inclusive of profit margin or franchise fee) effective January 1, 2026 to compensate the Company for the second of a three-year phase-in period implementing the Illegal Dumping Prevention Program. (3) 2027 Adjustment to Compensation for New Programs. Company’s compensation via Collector Operations (as per Exhibit B Section III.A) shall be adjusted by $167,750 (not inclusive of profit margin or franchise fee) effective January 1, 2027 to compensate the Company for the third and final year of a three-year phase-in period implementing the Illegal Dumping Prevention Program.
(4) Company shall provide all elements of the Illegal Dumping Prevention Program in all subsequent years without further adjustment to compensation beyond those stated above.

3. Section 11. Franchise Fee, shall be replaced in its entirety as follows:

Company shall pay to the City a Cost of Service Fee, Vehicle Impact Fee, Franchise Fee and other fees, as determined by the Parties or the City Council, to compensate the City for its solid waste-related costs, the impacts to City property, and the value of the Company’s use of City property for solid waste related services. The fees are set forth in Exhibit B (Collector’s Rate Revenue Requirement and Rate Adjustment).

4. Exhibit A - Description of Services, is replaced in its entirety as attached hereto.

FIFTH AMENDMENT TO THE

AMENDMENT AND RESTATEMENT OF COLLECTION AGREEMENT

OF THE CITY OF SAN RAFAEL WITH MARIN SANITARY SERVICE

5. Exhibit B – Collector’s Rate Revenue Requirement and Rate Adjustment, is amended as follows:

Section II. B.6.d. Forecasted Other Agency Fees Expense, is replaced in its entirety as follows: “The City Council may establish and impose, by ordinance or resolution, fees or charges for benefits conferred, privileges granted, or services or products provided to Company, or for the City’s reasonable regulatory costs, related to or involving Company’s responsibilities under this Agreement, including, without limitation, the responsibilities set forth in Exhibit A. ”
Section II.B.9. Forecasted Franchise Fees Expense, is replaced in its entirety as follows:
“City and Company agree that Company will pay City a franchise fee for the value of City property used by Company to provide solid waste-related services. The Franchise Fee for use of City property shall be in an amount determined by the parties to reflect the reasonable value of City property used in Company’s provision of solid waste-related services and for Company’s purposes and/or responsibilities under this agreement. The Franchise Fee shall not exceed the reasonable market value of the City property. For calendar year 2025 the parties have determined, based on available data, that the value of the City property used by Company for the provision of solid waste-related services shall not exceed $1,474,000. The parties further agree that the reasonable market value of the City property will increase annually in proportion to the annual percentage change in the Consumer Price Index for All Urban Consumers (CPI-U) for the San Francisco Bay Area (U.S. Bureau of Labor Statistics series ID: CUURS49BSA0). City may set the franchise fee, by ordinance or resolution, at any amount equal to or less than the reasonable market value of the City property, as determined by the parties and set forth in this agreement.”
Section III.F. Franchise Fees, is revised as follows: “The Forecasted Franchise Fees category for the Rate Year shall be determined in accordance with Section II.B.9 above.” Section III.G. Other Agency Fees, is revised as follows: “The Forecasted Other Agency Fees category for the Rate Year shall be determined in accordance with Section II.B.6.d above.”

6. City and Company agree and acknowledge that, except as explicitly modified by this Amendment, the Agreement remains in full force and effect.

FIFTH AMENDMENT TO THE

AMENDMENT AND RESTATEMENT OF COLLECTION AGREEMENT

OF THE CITY OF SAN RAFAEL WITH MARIN SANITARY SERVICE

IN WITNESS WHEREOF, the parties hereto have executed this Second Amendment the day and year first above written.

Date (month, day and year) Date (month, day and year)
Marin Sanitary Service City of San Rafael
By: By:

President City Manager
By: By:

Secretary City Clerk
APPROVED AS TO FORM:

By:

City Attorney
Exhibit A: Description of Services
1 | Page
Updated 10-22-2024
I. GENERAL
Company’s Responsibilities Under Agreement:

Company’s responsibilities under this Agreement broadly include collection and removal of solid waste in the City. This includes solid waste materials that are not set out for proper collection and removal by Company’s customers and which contribute to litter and illegal dumping and thus the need for street sweeping, removal of waste from catch basins, and illegal dumping prevention programs and services. Company authorizes City to provide all street sweeping and catch basin waste removal programs and services and agrees to compensate the City for provision of those services and illegal dumping prevention programs (as provided in this Agreement) via payment of the City fees set by the City pursuant to Section II.B.6.d of Exhibit B to this Agreement.

Illegal Dumping Prevention Program:

COMPANY shall make efforts to reduce illegal dumping by providing equitable and comprehensive disposal options, as well as support for enhanced community outreach, engagement, and stronger enforcement, led by a full-time Waste Management Coordinator, employed by the City on the Company’s behalf. The Illegal Dumping Prevention Program (IDP) is a collaborative initiative involving City departments, COMPANY, and community partners, aimed at ensuring cleaner public spaces and improved waste management for all residents.

As part of the IDP, COMPANY shall compensate CITY for the Waste Management Coordinator, with an annual cost of $165,000 in 2025, adjusted annually by CPI. COMPANY will pay 1/12th of this amount on the 15th of each month.

Additionally, COMPANY shall compensate CITY or pay directly $129,140 in 2025 for additional outreach, education, and enforcement services materials, also adjusted by CPI annually over time.

COMPANY will pay 1/12th of this amount on the 15th of each month.

COMPANY shall also provide support for up to 12 annual Debris Box Day events (or up to 24 provided City authorizes additional compensation) per year.

City reserves right to enact reduction in program compensation if performance does not meet expected outcomes. Program specifics are further described in Section III of this Exhibit A.

Exhibit A: Description of Services
2 | Page
Updated 10-22-2024
COMPANY shall track and report to CITY all instances of the following, on a quarterly basis:

A. Roll-off containers (pertaining to IDP program) delivered to Multi-family dwellings, including date of delivery and pick up, address of complex, and tonnage collected.

B. On-call bulky item pick-ups at Multi-family dwellings by date and address/unit number and quantity of items collected.

C. Bulky waste coupons used by Multi-family dwellings by date and address/unit number and quantity of items collected.

D. Debris Box Day Events by date, number of containers delivered, and tonnage collected.

E. City disposal of illegal dumping debris at Marin Resource Recovery Center.

Recyclable Materials Processing Facility:

COMPANY shall continue to provide full service processing, marketing and sale of Recyclable Materials collected by the COMPANY within the CITY at the Recyclable Materials processing facility located at 535 Jacoby Street in San Rafael (the “Marin Recycling Center”), which is operated by the COMPANY’S affiliated company, Marin Recycling & Resource Recovery Association. COMPANY and CITY agree that the charges for rate revenues for Recyclable Materials processing to be billed by the COMPANY as described in Exhibit B are predicated on the COMPANY continuing to process Recyclable Materials at the Marin Recycling Center. Under no circumstances may the COMPANY cease processing of the CITY’S Recyclable Materials at the Marin Recycling facility without prior approval of the CITY. The COMPANY may temporarily ship Recyclable Materials to other processing facilities at its discretion as needed while repairs or upgrades are made to the Marin Recycling facility, but any such temporary shipment of Recyclable Materials is at the COMPANY’S sole expense and risk without any change in the rate revenues and charges for Recyclable Materials processing via either an Indexed Year approach or a Base Year approach.

Education, Outreach, Technical Assistance, Monitoring, Compliance Services:

COMPANY shall continue to provide CITY with outreach, education, technical assistance, monitoring and compliance services to residents, multi-family dwellings and commercial businesses. The CITY and COMPANY intend for these services to: provide information to customers regarding the services offered by the COMPANY as provided for via the Agreement; encourage, incentivize and maximize participation in recycling and organics collection programs, and; implement the requirements of state Exhibit A: Description of Services
3 | Page
Updated 10-22-2024
laws AB 341, AB 1826, SB 1383, and any other solid waste, recycling and organics state law requirements applicable to CITY and/or COMPANY. The CITY and COMPANY further intend to define specific and quantifiable performance targets and reporting requirements for these services so that the CITY and COMPANY can accurately and consistently evaluate and monitor progress towards landfill diversion goals and state laws. To that end, the CITY and COMPANY agree to develop mutually agreeable quantitative performance targets and reporting requirements for these services by June 30, 2019. These will supplement other reporting and performance requirements in the Agreement and are not intended to change or replace them in any way.

Marin Sanitary Service (COMPANY) shall provide Collection services using modern automated and semi- automated equipment with the COMPANY’s name and telephone number clearly visible from the outside of the vehicle or equipment.

COMPANY shall provide Carts or bins to Residential, Multifamily, and Commercial Customers that are clearly labeled for their allowable contents, with solid waste, recyclable or compostable materials. All containers provided by the COMPANY are the property of the COMPANY.

Company to provide customer billing and payment options including automatic billing, credit card billing, and online payments.

II. RESIDENTIAL SERVICE (THREE OR FEWER UNITS IN A

SINGLE STRUCTURE)
Solid Waste
COMPANY shall provide automated or semi-automated tipper Carts in 20-, 32-, 64-, and 96-gallon capacities to be placed at the curb or COMPANY-designated location for one time per week Collection at the rates and fees listed in Exhibit C. Carts should be placed at the designated Collection location by 6:00 am the day of service. Lids of carts must close. Customers may place additional bags not to exceed 32 gallons in size and 60 pounds by weight for a fee as listed in Exhibit C. Items placed outside the Cart or overflowing Carts will incur an additional charge as listed in Exhibit C. Carts are the property of the COMPANY. COMPANY will determine the appropriate Collection location. Solid Waste placed in COMPANY-provided Carts or at the curb for Collection is the property of COMPANY.

Low-income rates are available for customers who meet the PG&E CARE Program qualifications.

Exhibit A: Description of Services
4 | Page
Updated 10-22-2024
Recyclable Materials
As part of the Residential Customer rates, COMPANY shall provide all Residential Customers with one (1) 64-gallon Split cart for Recyclable Materials with one side for paper and fiber products, and one side for acceptable glass, metal and plastic excluding polystyrene, plastic bags and compostable plastics. Acceptable materials may change depending on the markets. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). Cardboard must be broken down small enough to easily slide out of the cart. Large cardboard boxes may also be broken down and tied into 24” x 24” bundles and left beside the Recycling container. Carts must be placed at the curb or, upon approval of COMPANY, the designated Collection location next to their Solid Waste container for one time per week Collection by 6:00 am the day of service. All Residential Customers must be offered Recyclable Materials Collection services. Additional split carts are available for a nominal monthly fee as listed in Exhibit C.

Recyclable Materials placed in COMPANY-provided Carts or at the curb for Collection are the property of COMPANY, and the theft thereof is a crime.

Compostable (Organic) Materials
As part of the Residential Customer rates, COMPANY shall provide each Residential Customer with two (2) 32, 64, or 96-gallon Compostable Materials Cart to be placed at the curb or COMPANYapproved designated Collection location next to their Solid Waste container for one time per week Collection by 6:00 am the day of service. All Residential Customers must be offered Compostable Materials Collection for the collection of accepted Yard Trimmings, Food Waste and Food Soiled Papers in the same Container. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). Only COMPANY provided tipper carts will be allowed for the weekly collection of compostable materials. Up to four (4) additional Compostable Materials Carts beyond the first two (2) shall be provided to a Residential Customer upon request, at a cost specified in Exhibit C. Compostable Materials placed in COMPANY-provided Carts or at the curb for Collection are the property of COMPANY.

Additional Services

CLEAN-UP PROGRAMS
COMPANY shall provide Residential Customers with two (2) scheduled Clean-up Collection events per calendar year for extra Solid Waste, Recyclable Materials, and/or Compostable Materials at no Exhibit A: Description of Services
5 | Page
Updated 10-22-2024
additional cost to the Customers provided that COMPANY’s costs for such events shall constitute costs of operation included in the rate base and compensated for through the rates. COMPANY shall also provide all Residential Customers with two (2) on-call pickups of Bulky Items per calendar year on their regularly scheduled Collection day, upon Customer request. COMPANY will also provide on-call Bulky Item pickups beyond two (2) per Residential Customer per calendar year for an additional fee as listed in Exhibit C. These Bulky Items may be Collected in non-compaction vehicles, or in compaction vehicles if the materials are not compacted, and taken to the Designated Processing Facility for sorting.

COMPANY shall schedule Clean-up Collection events in such a manner that all Residential Customers shall receive Clean-up Collection services on their regularly scheduled Collection day. Extra Solid Waste, and/or Recyclable Materials can also be Collected for a fee as listed in Exhibit C in customer provided bags, not to exceed 32 gallons in size and 60 pounds by weight, when placed next to the regular container on Collection day. If an Operations Manager determines it is safe to collect overweight or oversized items, an additional fee will be charged as listed in Exhibit C to cover the cost of extra labor and/or equipment.

Semi-Annual Scheduled Clean-Up Service Guidelines
For each Clean-up Collection event, each Customer shall be permitted to place up to two (2) cubic yards (equivalent to fourteen (14) standard 32-gallon bags) of Solid Waste, Recyclable Materials and/or Compostable Materials for Collection by COMPANY at no charge. In the event Customer places more than two (2) cubic yards of materials for Collection, COMPANY shall charge the Customer for additional Collection services as listed in Exhibit C.

COMPANY shall require Customers to adhere to the following guidelines:

A. No Bulky Items will be collected.

B. No rocks, cement, dirt or Hazardous Waste shall be accepted.

C. Materials shall be placed in disposable bags/containers, cardboard boxes or customer owned 32-gallon cans or bags. COMPANY will only empty customer owned cans that are not more than 32 gallons in volume and are less than 60 pounds in weight. Recyclables Exhibit A: Description of Services
6 | Page
Updated 10-22-2024
and/or yard waste should be placed in paper bags or cardboard boxes to ensure they are recycled.

D. Discarded materials to be Collected in the Clean-up event shall be placed at the designated Collection location by the Generator by 6:00 a.m. on the pickup day to ensure Collection, but in no case shall be placed more than twenty-four (24) hours prior to the pick-up day.

On-Call Bulky Item Service Guidelines:

Each Residential Customer may call prior to their regular Collection day and schedule two (2) collections of up to two Bulky Items each per calendar year.

COMPANY shall require Customers to adhere to the following guidelines:

A. Customer must call in at least 24 hours on a regular business day (excluding weekends and holidays) prior to their regular Collection day to have Bulky Items collected and give the approximate size and weight of the Item so appropriate truck, equipment and number of drivers can be determined.

B. No more than two (2) Bulky Items will be collected.

C. Any Bulky Item that is over 60 pounds, greater than 6 feet in length, or that cannot be collected safely by one driver-operator, will be charged an additional special handling fee as set forth in Exhibit C.

COMPANY may provide on-call Bulky Item pickups beyond two (2) per Residential Customer per calendar year for an additional fee as listed in Exhibit C. These Bulky Items will be Collected in noncompaction vehicles and taken to the Designated Processing Facility for sorting.

Holiday trees will be Collected curbside on the regularly-scheduled pickup day during a two- (2) week period beginning on the Monday following the first Saturday after January 1. If trees are greater than six (6) feet in length, they must be cut in half. All metal stands, plastic tree bags, ornaments, and decorations of any sort must be removed. Flocked trees will not be accepted.

Exhibit A: Description of Services
7 | Page
Updated 10-22-2024
III. MULTI-FAMILY SERVICE (4 OR MORE SERVICE UNITS)
Solid Waste
COMPANY shall provide semi-automated or automated tipper Carts in 32-, 64-, and 96-gallon capacities to be placed for Collection at the curb or, upon approval of COMPANY, the designated Collection location.

COMPANY will also provide Bins with 1-6, 10-, or 18-cubic yard capacities for large volumes of material.

COMPANY will determine the size and type of container depending on materials generated, recycled and diverted, safety, collection vehicle and service location. Service levels shall range from one time per week to six times per week but should be adequate for the volume of material generated. Lids of containers must close and should not be overflowing. Extra fees may be incurred for extra bags or overloaded bins as listed in Exhibit C. Each Multi-Family Customer must maintain a 32 gallon per living unit equivalency minimum service level, which the COMPANY may reduce based on actual waste reduction and diversion results. COMPANY retains approval of all service locations for carts not at the curb and for bins.

COMPANY shall also service Customer-owned compactor units for the fees as listed in Exhibit C. For safety and equipment purposes, COMPANY retains right of approval as to the type of compactor to be serviced and the service location.

Recyclable Materials
COMPANY shall provide all Multi-Family Customers with unlimited collection of acceptable glass, metal and plastic excluding polystyrene, plastic bags and compostable plastics. Acceptable materials may change depending on the markets. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). These materials will be collected in Company provided 32 or 64-gallon colorcoded tipper carts: blue for paper and paper-fiber products, and brown for accepted commingled glass, metal and plastics. Collection is available from one time per week to six times per week. Cardboard placed in carts must be broken down small enough to easily slide out of the cart. Large cardboard boxes may also be broken down and tied into 24” x 24” bundles and left beside the Recycling container. 1-2 cubic yard rear loading bins are available for large amounts of cardboard collection with COMPANY’s approval of size and location. COMPANY will evaluate the appropriate container sizes on an individual customer basis. Pickups can be scheduled from one time per week to six times per week. Recyclable Materials placed in COMPANY-provided containers or at the curb for Collection are the property of the COMPANY.

Exhibit A: Description of Services
8 | Page
Updated 10-22-2024
Compostable (Organic) Materials
COMPANY will provide post-consumer Compostable Materials collection at all Multi-Family Dwellings and that parallel the Single-Family Residential program. Customers will be provided up to four (4) 32- or 64- gallon tipper green carts for the collection of accepted Yard Trimmings, Food Waste and Food Soiled Paper in the same Container. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). Additional carts beyond four may be rented at a nominal monthly fee as listed in Exhibit C.

In addition, Multi-Family tenants may receive kitchen pails at no additional cost to the tenant or property manager for the collection of compostable materials after participating in a COMPANY provided training.

Additional Services
COMPANY is to perform a visual waste audit at least one time per year for each Multi-Family account to provide an estimate of the amount of Recyclable Materials and Compostable Materials still in the Solid Waste container to help guide the Customer in service changes to increase diversion.

COMPANY will provide services to comply with all state laws regarding recycling and organics diversion.

On-site Collection of solid Waste, recyclable materials and compostable materials carts not at the curb— excluding the services listed in the following section—is available for an extra charge as set forth in Exhibit C.

CLEAN-UP PROGRAMS
COMPANY shall provide Multi-Family Customers with two (2) scheduled collection events per calendar year of up to two (2) Bulky Items or the equivalent of up to two (2) cubic yards per unit of Extra Solid Waste, Recyclable Materials, and/or Compostable Materials per unit, for all units served by the account, during two (2) scheduled collection events per calendar year, at no additional cost to the Customers provided that COMPANY’s costs for such events shall constitute costs of operation included in the rate base and compensated for through the rates. These two scheduled collection events per calendar year shall consist of some combination of the services described in the subsequent subsection, “Bulky Item Service Guidelines”.

Bulky Item Service Guidelines:

Exhibit A: Description of Services
9 | Page
Updated 10-22-2024
Each Multi-Family Customer is entitled to one or a combination of the following services, based on the discretion of the property manager, not exceeding a total equivalent of 2 cubic yards per unit, twice per calendar year:

1. Roll-off Dumpster Service shall be made available to properties according to the following terms:

A. Property managers may select a service equivalent to up to 2 cubic yards per unit.

B. The property manager shall designate the location for the placement of the roll-off dumpster on the property.

C. Excess Solid Waste, Recyclable Materials, Organic Materials, and bulky items are accepted for disposal.

2. On-Call Bulky Item Collection service shall be made available to properties according to the following terms:

A. Customers are entitled to up to two bulky item collections per year on a per-unit basis.

B. Each collection shall include up to two bulky items per unit or the equivalent of up to 2 cubic yards per unit.

C. Should residents require disposal of more than two items or 2 cubic yards per unit, they may pay the special collection fees applicable to single-family residents under the current program.

Payment for additional items must be made in advance by the customer.

3. Coupon for Drop-Off at Material Recovery and Recycling Center (MRRC) shall be made available to MFD customers according to the following terms:

A. Customers may receive up to two coupons per unit for drop-off at the MRRC.

B. Each coupon entitles the drop-off of up to 2 cubic yards per unit.

C. Customers or property managers are responsible for the transportation of items to the MRRC.

Combination of Services:

Should a combination of roll-off and on-call or coupon services be used, the total cubic yardage shall be deducted from additional service options. For example:

Exhibit A: Description of Services
10 | Page
Updated 10-22-2024
A. If a property manager utilizes the roll-off dumpster service at the beginning of the year, they may request a second collection on a per-unit basis or redeem one coupon later in the year.

B. If a property manager utilizes an on-call bulky item collection for 50% of the units, they may order a roll-off dumpster for the equivalent volume of the remaining units.

Special pickups of Bulky Items and Excess Solid Waste beyond the two standard pickups of up to two (2) cubic yards per Multi-Family Customer per calendar year may be requested by Multi-Family Customers for additional fees as listed in Exhibit C, provided that such a request may only be made by the bill payer (Property Manager or Owner) and not by the occupant of an individual unit. If an individual occupant pays his or her own collection service bill, only then will they be allowed to schedule special pick-ups. COMPANY may provide fee estimates to Customer while scheduling the pickup. These Bulky Items may be Collected in non-compaction vehicles, or in compaction vehicles if the materials are not compacted, and taken to the Designated Processing Site for sorting resulting in greater re-use and recycling. Extra material can be Collected for a fee as listed in Exhibit C in customer provided bags not greater than 32 gallons in size and 60 pounds by weight when placed next to the regular container on Collection day.

COMPANY will collaborate with CITY to implement up to 12 Debris Box Day events (or up to 24 provided City authorizes additional compensation) throughout the year as designated by the CITY. Specifically, COMPANY will furnish debris box rental and Bulky Waste Disposal for each event at the service level necessary to ensure sufficient capacity throughout the duration of each event.

IV. COMMERCIAL SERVICE
Solid Waste
COMPANY shall provide semi-automated or automated tipper Carts in 32-, 64-, and 96-gallon capacities to be placed for Collection at the curb or, upon approval of COMPANY, the designated Collection location.

COMPANY will also provide Bins with 1-6, 10-, or 18-cubic yard capacities for large volumes of material.

COMPANY will determine the size and type of container depending on materials generated, recycled and diverted, safety, collection vehicle and service location. Service levels shall range from one time per week to six times per week. Each Commercial Customer must subscribe to a level of service that is adequate for the volume of material generated. Lids of containers must close and should not be overflowing. Extra fees may be incurred for extra bags or overloaded bins as listed in Exhibit C. COMPANY retains approval of all service locations for carts not at the curb and for bins. COMPANY shall also service Customer-owned Exhibit A: Description of Services
11 | Page
Updated 10-22-2024
compactor units for the fees as listed in Exhibit C. For safety and equipment purposes, COMPANY retains right of approval as to the type of compactor to be serviced and service location.

Recyclable Materials
COMPANY shall provide all Commercial Customers with unlimited collection of acceptable glass, metal and plastic bottles, jugs and containers excluding polystyrene, plastic bags and compostable plastics.

Acceptable materials may change depending on the markets. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). These materials will be collected in Company provided 32 or 64-gallon tipper carts color-coded carts: blue for paper and paper-fiber products, and brown for accepted commingled glass, metal and plastics. Collection is available from one time per week to six times per week. Cardboard placed in carts must be broken down small enough to easily slide out of the cart. Large cardboard boxes may also be broken down and tied into 24” x 24” bundles and left beside the Recycling container. 1-2 cubic yard rear loading bins are available for large amounts of cardboard collection with COMPANY’s approval of size and location. COMPANY will evaluate the appropriate container sizes on an individual customer basis. Pickups can be scheduled from one time per week to six times per week. Recyclable Materials placed in COMPANY-provided containers or at the curb for Collection are the property of the COMPANY.

Compostable (Organic) Materials
Two options are available for Commercial Business for collection of Organic materials. Both programs are offered at a discounted rate to commercial customers as listed in Exhibit C.

Commercial Composting
COMPANY will provide post-consumer Compostable Materials collection at Commercial Businesses that would parallel the Single-Family Residential program. Customers will be provided 32- or 64-gallon tipper green carts for the collection of accepted Yard Trimmings, Food Waste and Food Soiled Papers in the same Container. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). By special request and upon approval of the Company, 1-2 cubic yard bins may be available. Monthly collection fees are listed in Exhibit C.

Exhibit A: Description of Services
12 | Page
Updated 10-22-2024
Commercial Food to Energy (F2E) program in partnership with Central Marin Sanitation Agency COMPANY will provide restaurants, grocery stores, cafeterias, and other similar businesses with 32 and/or 64-gallon tipper dark green carts for the collection of a subset of Food Waste consisting of fruits, vegetables, meats, dairy, fish, breads, pastas and other food scraps. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). This pre-consumer Food will be anaerobically digested for energy production at Central Marin Sanitation Agency. Monthly collection fees for this service are set forth in Exhibit C.

Additional Services
COMPANY is to perform a visual waste audit at least one time per year for each Commercial Business account to provide an estimate of the amount of Recyclable Materials and Compostable Materials still in the Solid Waste container to help guide the Customer in service changes to increase diversion.

COMPANY will provide services to comply with all state laws regarding recycling and organics diversion.

On-site Collection of Solid Waste, Recyclable Materials and compostable Materials Carts not at the curb is available for an extra charge as set forth in Exhibit C.

Special pickups of large, hard to handle or bulky items may be requested for an additional fee as listed in Exhibit C. Estimates can be provided. These bulky items will be collected in non-compaction vehicles and taken to the Marin Recycling Center for sorting resulting in greater re-use and recycling. Extra material can be collected for a fee as listed in Exhibit C in cans or bags not greater than 32 gallons in size or 60 pounds by weight when placed next to the regular container on collection day.

V. MUNICIPAL SERVICES
COMPANY shall provide service to each CITY facility and those CITY-owned cans in public areas and parks based upon mutually agreed upon parameters by CITY and COMPANY. These services shall constitute costs of operation included in the rate base and compensated for through the rates of all Residential, Commercial and Multi-Family Customers.

Solid Waste
COMPANY shall provide semi-automated or automated tipper Carts in 32-, 64-, and 96-gallon capacities to be placed for Collection at the curb or, upon approval of COMPANY, the designated Collection location.

COMPANY will also provide Bins with 1-6, 10-, or 18-cubic yard capacities for large volumes of material.

Exhibit A: Description of Services
13 | Page
Updated 10-22-2024
COMPANY will determine the size and type of container depending on materials generated, recycled and diverted, safety, collection vehicle and service location. Service levels shall range from one time per week to six times per week. Each CITY facility must subscribe to a level of service that is adequate for the volume of material generated. Lids of containers must close and should not be overflowing. COMPANY retains approval of all service locations for carts not at the curb and bins. For safety and equipment purposes, COMPANY retains right of approval as to the type of compactor to be serviced and service location.

Recyclable Materials
COMPANY shall provide all CITY facilities with unlimited collection of acceptable glass, metal and plastic excluding polystyrene, plastic bags and compostable plastics. Acceptable materials may change depending on the markets. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). These materials will be collected in Company provided 32 or 64-gallon tipper carts color-coded carts: blue for paper and paper-fiber products, and brown for accepted commingled glass, metal and plastics. Collection is available from one time per week to six times per week. Cardboard placed in carts must be broken down small enough to easily slide out of the cart. Large cardboard boxes may also be broken down and tied into 24” x 24” bundles and left beside the Recycling container. 1-2 cubic yard rear loading bins are available for large amounts of cardboard collection with COMPANY’s approval of size and location. COMPANY will evaluate the appropriate container sizes on an individual customer basis. Pickups can be scheduled from one time per week to six times per week. Recyclable Materials placed in COMPANY-provided containers or at the curb for Collection are the property of the COMPANY.

Compostable (Organic) Materials
Two options are available for CITY facilities for collection of Organic materials.

Composting
COMPANY will provide post-consumer Compostable Materials collection at CITY facilities that would parallel the Single-Family Residential program. Facilities will be provided 32- or 64-gallon tipper green carts for the collection of accepted Yard Trimmings, Food Waste and Food Soiled Papers in the same Container. A full list of accepted materials is available on the COMPANY’s website (marinsanitaryservice.com). By special request and upon approval of the Company, 1-2 cubic yard bins may be available.

Exhibit A: Description of Services
14 | Page
Updated 10-22-2024
Food to Energy (F2E) program in partnership with Central Marin Sanitation Agency COMPANY will provide CITY facilities with cafeterias or other similar food service facilities with 32 and/or 64-gallon tipper dark green carts for the collection of a subset of Food Waste consisting of fruits, vegetables, meats, dairy, fish, breads, pastas and other food scraps. A full list of materials accepted is available on the website. This pre-consumer Food will be anaerobically digested for energy production at Central Marin Sanitation Agency.

Additional Services
Special pickups of Bulky Items may be requested. These Bulky Items may be Collected in non-compaction vehicles, or in compaction vehicles if the materials are not compacted, and sorted at the Marin Recycling Center for greater re-use and Recycling.

COMPANY shall Collect Discarded Materials from all street-side public litter and Recycling containers based upon mutually agreed upon parameters by CITY and COMPANY. CITY shall be responsible for maintaining such containers.

COMPANY shall provide the occasional on-call pick-up of illegally dumped Discarded Materials at CITY’s request. COMPANY shall provide such service within twenty-four (24) hours of such request, provided that the CITY authorizes or directs the service so that all costs incurred by COMPANY in providing the service shall constitute costs of operations included in the rate base and compensated for through the rates.

COMPANY will collaborate with the CITY on two community events throughout the year as designated by the CITY. COMPANY will furnish, at no cost to the promoters, as needed up to ten (10), 3 cubic yard debris boxes (or the equivalent). These debris boxes are to be used solely for solid waste, organics and recycling generated by the events.

Services Subject to Change
Services provided by COMPANY are subject to “Change in Scope” as defined and described in Exhibit B to the Agreement. CITY and COMPANY shall meet and confer to establish any such change in scope. Agreed upon changes of scope shall be effective irrespective of whether this Exhibit A – Description of Services is subsequently amended to reflect such Changes in Scope.

Exhibit A: Description of Services
15 | Page
Updated 10-22-2024
Exhibit A: Description of Services
16 | Page
Updated 10-22-2024
Appendix 1. Illegal Dumping Program Budget Summary
1 RESOLUTION NO.

A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL

AUTHORIZING MAXIMUM RATES COLLECTED BY MARIN SANITARY SERVICE

FOR REFUSE AND RECYCLABLE MATERIAL COLLECTION AND DISPOSAL SERVICES TO BE EFFECTIVE JANUARY 1, 2025, AND ADOPTING A CITY COST

OF SOLID WASTE SERVICES FEE, REFUSE VEHICLE IMPACT FEE, AND

FRANCHISE FEE FOR THE USE OF CITY PROPERTY IN THE PROVISION OF SOLID WASTE RELATED SERVICES.

WHEREAS, the City of San Rafael and Marin Sanitary Service have entered into an “Amendment and Restatement of Collection Agreement of the City of San Rafael and Marin Sanitary Service,” dated September 4, 2001 and amended by a written first amendment dated March 1, 2005, a written second amendment dated November 14, 2012, a written third amendment dated February 25, 2019, a written fourth amendment approved by the City Council on December 6, 2021, and a written fifth amendment approved by the City Council on November 4, 2024 (hereafter the “Franchise Agreement”); and
WHEREAS, Section 3 (B) of the Franchise Agreement provides for maximum rates allowed to be collected by Marin Sanitary Service, to be authorized from time to time by the City Council; and
WHEREAS, Exhibit "C" of the Franchise Agreement provides rate schedules, to be authorized by the City Council; and
WHEREAS, Marin Sanitary Service has submitted a rate application request for 2025 using the methodology outlined under Section 3 (A) of the Franchise Agreement; and WHEREAS, the City of San Rafael has conducted a review of said rate application based on a formula determined by Marin Sanitary Service’s actual cost of service and produced a report concurring with Marin Sanitary Service’s rate and fee adjustments; and WHEREAS, Section II(B)(6)(d) of Exhibit B of the Franchise Agreement authorizes the City to establish and impose fees or charges for benefits conferred, privileges granted, or services or products provided to the Company, or for the City’s reasonable regulatory costs, related to or involving Marin Sanitary Services’ responsibilities under the Franchise Agreement; and WHEREAS, Section II(B)(9) of Exhibit B of the Franchise Agreement authorizes the City to set a franchise fee at any amount equal to or less than the reasonable market value of the City property, as determined by the parties and set forth in the Franchise Agreement, used by Marin Sanitary Services, for solid waste-related services; and WHEREAS, R3 Consulting Group produced a Solid Waste Franchise Fee Study Report, dated December 6, 2023 (“Franchise Fee Study” attached hereto as Exhibit A), which determined 2 the reasonable fees the City could impose, pursuant to Article XIII C, Section 1 of the California Constitution, to recover its costs of providing specific benefits or privileges, services, and/or products to Marin Sanitary Service for the provision of solid waste-related services, the fees the City could charge to recover its reasonable regulatory costs related to solid waste services, and the reasonable value of City property used by Marin Sanitary Service in its provision of solid wasterelated services; and WHEREAS, The City Council accepted and adopted the Franchise Fee Study, attached hereto as Exhibit A, and found and determined that the City’s franchise fees and Refuse Vehicle Impact Fees complied with Article XIII C of the California Constitution and were justified by the City’s costs of providing solid waste-related services, reasonable charges for the use of City property for solid waste services, and the City’s costs of addressing the impacts of solid waste refuse vehicles, when it adopted Resolution No. 15265 on December 18, 2023; and WHEREAS, the City of San Rafael previously adopted a resolution amending the Master Fee Schedule to increase the Refuse Vehicle Impact Fee in order to pay for the increased costs of addressing the impacts of refuse vehicles on City streets; and WHEREAS, the City desires to adopt a Cost of Service Fee, an updated Refuse Vehicle Impact Fee, and an updated Franchise Fee, pursuant to the Franchise Agreement and in amounts that are justified by the Franchise Fee Study; and
WHEREAS, the Cost of Service Fee does not exceed the City’s reasonable costs for providing services or products, and/or the City’s reasonable regulatory costs, related to Marin Sanitary Services’ provision of solid waste-related services; and WHEREAS, the Refuse Vehicle Impact Fee does not exceed the City’s reasonable costs of addressing the refuse vehicle impacts caused by Marin Sanitary Services in its provision of solid waste-related services; and
WHEREAS, the Franchise Fee does not exceed the fair market value of the City property used by Marin Sanitary Services in the provision of solid waste-related services, as negotiated by the parties and demonstrated by the Franchise Fee Study; and WHEREAS, the rates for solid waste service are set and imposed by Marin Sanitary Service and the City’s Cost of Service Fee, Refuse Vehicle Impact Fee, and Franchise Fee are set by the Franchise Agreement and are the exclusive obligation of Marin Sanitary Service. By adopting this resolution, the City does not intend to impose any rates, fees, or charges on solid waste customers.

However, to the extent that the adoption of this resolution results in the City’s imposition of any fees, rates, or charges, on solid waste customers, for services or facilities in connection with a solid waste 3 system, including the franchise fees or the Refuse Vehicle Impact Fees, those charges are adopted pursuant to California Health and Safety Code section 5471; and WHEREAS, on November 4, 2024, the City Council held a duly noticed public hearing to consider the rate application request and receive public testimony thereon; and WHEREAS, the City of San Rafael has determined that such rate and fee adjustments are proper, in the best interest of all citizens, and will promote public health, safety and welfare.

NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF SAN RAFAEL DOES RESOLVE, DETERMINE AND ORDER AS FOLLOWS:

Section 1. Pursuant to California Environmental Quality Act (CEQA) Guidelines Section 15378(b)(4), this action is not a project under CEQA because the City’s rate approval relates to the funding mechanism of on-going solid waste collection services, which does not involve any commitment to any specific project which may result in a potentially significant physical impact on the environment.

Section 2. The City adopts the Cost of Service Fee, Refuse Vehicle Impact Fee, and Franchise Fee set forth in Exhibit B, attached hereto and incorporated herein. The fees set forth in Exhibit B shall be incorporated into the Master Fee Schedule and are intended to supersede and replace any previously adopted fees.

Section 3. The schedule of maximum rates and fees attached hereto as Exhibit C and incorporated herein by reference, is hereby approved to be collected by Marin Sanitary Service for refuse and recyclable material collection and disposal services, at an increased rate of 5.24% over 2024 rates, to be effective January 1, 2025. Said “Exhibit C” shall be incorporated as the revised Exhibit "C" to the Franchise Agreement.

Section 4. To the extent the provisions of this resolution conflict with any prior resolutions, the provisions of this resolution shall control.

I, Lindsay Lara, City Clerk of the City of San Rafael, hereby certify that the foregoing Resolution was duly and regularly introduced and adopted at a regular meeting of the City Council of the City of San Rafael, held on Monday, the 4th of November 2024, by the following vote, to wit:

AYES: Councilmembers:

NOES: Councilmembers:

ABSENT: Councilmembers:
4 __________________________
LINDSAY LARA, City Clerk
1512 Eureka Road, Suite 220, Roseville, CA 95661 | p 916.782.7821 | f 916.782.7824 | www.r3cgi.com December 6, 2023
Ms. Cristine Alilovich
City Manager
City of San Rafael
submitted via email: [email protected] SUBJECT: Solid Waste Franchise Fee Study Report
Dear Ms. Alilovich,
R3 Consulting Group, Inc. (R3) is pleased to submit the attached Report of Solid Waste Franchise Fee Study (Study) to the City of San Rafael (City). This Report presents our analytical methodology, results and findings, and recommendations regarding the solid waste Franchise Fee and Vehicle Impact Fee paid by the City’s contracted solid waste collection service provider, Marin Sanitary Service (Contractor), per the Refuse and Recyclable Material Collection and Disposal Services Agreement (Agreement) between the City and the Contractor. The purpose of this Study was to comprehensively analyze and calculate the following:

City’s Costs: The annual costs to the City for performing its management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system.

Property Use Charges: The annual use charge to the Contractor for its special and lasting access to use government property in the public right-of-way for placement of solid waste containers and collection of the solid waste contents.

Pavement Impacts: The annualized costs for pavement repair, maintenance and rehabilitation resulting from the unique impacts to City street pavement caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service.

We then compared the calculated values for each component to the annual Franchise Fee and Vehicle Impact Fee paid by the Contractor to the City per the Agreement. We found that the City’s current and projected Franchise Fee revenues are less than the sum of the City’s Costs and government Property Use Charges calculated in this Study. We also found that the City’s current Vehicle Impact Fee is less than the costs for Pavement Impacts calculated in this Study. Based on these results, we conclude that the City’s fee amounts are not more than necessary to cover the City’s reasonable costs in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way.

We appreciate the opportunity to be of service to the City. If you have any questions regarding this Report or need additional information, please contact me.

Sincerely,

Garth Schultz | Principal
R3 Consulting Group, Inc.
510.292.0853 | [email protected]
r) ~ CONSULTING GROUP, INC.

K___...-1 RESOURCES· RESPECT· RESPONSIBILITY
>>
»
»

TABLE OF CONTENTS
City of San Rafael | Solid Waste Franchise Fee Study Report toc - i

1. Executive Summary
page 1

2. Methodology and Calculations
page 4

3. Findings and Conclusions
page 19

4. Recommendations
page 20

1. Executive Summary
City of San Rafael | Solid Waste Franchise Fee Study Report 1 of 20 Background
The City’s Agreement with the Contractor is for the collection, processing, and disposal of solid waste from covered waste generators in the City. The Agreement provides the Contractor with the exclusive right to provide critical aspects of the City’s sanitation system including solid waste collection and the other services and programs included in the Agreement. The Agreement specifies that the Contractor will charge solid waste service subscribers, with the Contractor billing and collecting revenues from subscribers and the City authorizing the maximum rates that the Contractor may charge pursuant to the rate adjustment methodology included in the Agreement.

Per the Agreement, the Contractor pays the City a Franchise Fee to cover the costs incurred by the City in managing, administering, enforcing, and supplementing the services provided in the Agreement, as well as the reasonable charge for the use of the public right-of-way for the special and lasting access to use it for set-out and collection of solid waste containers. The Agreement also provides that the Contractor pays the City a Vehicle Impact Fee to cover the proportionate costs of the unique impacts to pavement caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service.

Purpose
The purpose of this Study is to prove that the Franchise Fee and Vehicle Impact Fee paid by the Contractor to the City are exempt from consideration as taxes per Article XIII C, Section 1(e) of the California Constitution (“Proposition 26”) and are not higher than necessary to cover the City’s reasonable costs plus the reasonable value of the Contractor’s use of the public right-ofway. There are three primary exceptions to the Proposition 26 definition of tax that are relevant to this Study:

Exception 1: “A charge imposed for a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege.” Exception 2: “A charge imposed for a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product.” Exception 4: “A charge imposed for entrance to or use of local government property, or the purchase, rental, or lease of local government property.” The Franchise Fee is a legal fee with two components. The first component includes the City’s reasonable and proportionate costs (City’s Costs) and is a legal fee per Exception 2. The second component includes the reasonable and proportionate and reasonable charges for the Contractor’s use of the public right-of-way (Property Use Charges) and is a legal fee per Exception 4. The Vehicle Impact Fee includes the City’s reasonable and proportionate costs associated with pavement impacts (Pavement Impacts) and is a legal fee per Exception 1.

Methodology and Findings
To complete this Study, R3 reviewed and analyzed information provided by the City and the Contractor pertaining to the City’s Costs, Property Use Charges, and impacts on pavement.

Using that information, we then calculated the reasonable and proportionate amounts necessary to cover the City’s costs, including staffing and other costs, use of government property in the ))
))
))
Executive Summary
City of San Rafael | Solid Waste Franchise Fee Study Report 2 of 20 public right-of-way, and pavement repair, maintenance, and rehabilitation costs caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service. All calculated amounts in this Study are in current Fiscal Year (FY) 2023-24 dollars and are rounded to the nearest $1,000.

City’s Costs
The annual costs to the City for management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system includes: staffing salary and benefits, contracted services, capital and equipment depreciation, operations and maintenance, supplies, and overhead for distributed costs including but not limited to property, utilities, insurance, human resources, payroll administration, accounts payable and receivable, and other finance functions. Staffing costs are calculated based on estimated time allocations (based on historical experience) and other costs are calculated based on estimated share allocations associated with the sanitation system, with distributed overhead applied to both.

The calculation results are $1,513,000 in staffing costs and $391,000 in other costs for annual proportionate City’s Costs totaling $1,904,000.

Property Use Charges
The annual charge to the Contractor for use of government property in the public right-of-way is calculated as a function of estimates for the number of solid waste accounts setting out solid waste collection containers in the right-of-way, the set-out area used, the amount of time it is used, and the reasonable market value for the per square foot use of the public right-of-way.

The calculation result for the use of the public right-of-way is a proportionate annual total Property Use Charge of $1,173,000.

Pavement Impacts
The annualized costs for pavement repair, maintenance and rehabilitation is calculated based on the proportionate impact to pavement from solid waste collection vehicles compared to other sources of impacts. This calculation accounts for the City’s annual repair costs, five-year projections for capital improvement costs, and five-year projections for growth in deferred maintenance. The calculation also accounts for the high loading and slow speed impacts on pavement associated with solid waste collection vehicles.

The calculation result for the proportionate Pavement Impacts caused by Contractor’s solid waste collection vehicles during the course of providing sanitation service is an annualized total repair, maintenance, and rehabilitation cost of $1,838,000.

Conclusions
Franchise Fee
The FY 2022-23 Franchise Fee paid Contractor to the City was $2,757,168 and the projection for FY 2023-24 is $2,929,000. The sum of FY 2023-24 annual City’s Costs and amounts for Property Use Charges calculated in this Study is $3,077,000 which is $148,000 (5%) higher than the projected FY 2023-24 Franchise Fee payments.
))
))
))
Executive Summary
City of San Rafael | Solid Waste Franchise Fee Study Report 3 of 20 The amount of the Franchise Fee is therefore not more than necessary to cover the City’s reasonable costs incurred in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way.

Vehicle Impact Fee
The Vehicle Impact Fee paid to the City annually is $1,480,600. The amount of Pavement Impacts calculated in this Study is $1,868,000 which is $387,400 (26%) higher than the Vehicle Impact Fee.

The amount of Vehicle Impact Fee is therefore not more than necessary to cover the City’s reasonable costs incurred for repair, maintenance, and rehabilitation of pavement made necessary by the impacts of Contractor’s solid waste collection vehicles used in providing sanitation services in the City.

Reasonableness of Estimates and Assumptions
In performing calculations, it was necessary to estimate certain values for which information could not be attained, and for which reasonable ranges exist. Where assumptions were necessary for completing calculations, our objective was to apply assumptions on the lower end of the reasonable range.

Had we used other higher assumptions, the results of this Study would have been higher calculated Franchise Fee and Vehicle Impact Fee amounts. Therefore, we conclude that the calculated fee amounts are not higher than necessary to cover the City’s reasonable costs plus the reasonable value of the Contractor’s use of the public right-of-way.

Limitations
This Study relies on information provided by the City and the Contractor, which we have reviewed and analyzed for reasonableness and accuracy but did not independently audit or verify.

As stated above, it was necessary to estimate certain values for which information could not be attained, and for which reasonable ranges are known to exist. Though, changes to estimates and other underlying assumptions may materially change the calculations, we have elected to apply estimates on the low end of reasonable ranges, thus minimizing the potential that changes in calculations would result in different findings. We have reviewed all estimates and assumptions with City staff and legal counsel and have mutual concurrence on applicability and reasonableness of all such values in this Study.

Finally, the methodology employed by this Study calculates the reasonable values for the Franchise Fee and Vehicle Impact Fee within the context of current laws, regulations, and court rulings. Changes in the legal framework may require revisions to the methodology and findings contained in this Study.
))
))

2. Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 4 of 20 City’s Costs
Methodology
R3 reviewed and analyzed information provided by the City pertaining to the General Fund costs incurred for management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system. These costs include any may not be limited to:

Staffing costs, including salaries and benefits.

Contracted services.

Capital and equipment depreciation.

Capital and equipment operations and maintenance.

Supplies and materials.

Overhead for distributed costs such as property, utilities, insurance, human resources, payroll administration, accounts payable and receivable, and other finance functions.

Using the total annual salary, benefit and other cost information provided by the City we estimated the proportion of costs associated with management and administration of the agreement and the sanitation system. We then calculated the proportionate totals and categorized them by the functions listed in the sections below.

Variables, Estimates and Assumptions
Staffing Costs
Variables associated with salaries and benefits include the allocation of time that positions are dedicated to management and administration of the Agreement and the sanitation system (including time supervising others with primary responsibility for these duties), the amount by which funding of salaries and benefits is paid by the General Fund, and the applicable amount of General Fund overhead. The estimated time allocation by position category used in this Study (and based on historical experience) is shown in Table 1, below, along with the explanation for the allocation values.

Table 1 – Allocations of Staffing Time by Position
Positions Time
Allocation Explanation
City Manager, Assistant City Manager, City
Attorney, Assistant City Attorney, City Clerk,
Deputy City Clerk, Public Works Director, Deputy
Public Works Director, Management Analyst,
Operations and Maintenance Manager, Sr. Code
Enforcement Supervisor, Code Enforcement
Supervisor, Police Lieutenant, Police Sergeant
(2), Police Officer.

4.9%
Calculated allocation based on
the percentage of City’s Costs
plus Property Use Charges plus
Pavement Impacts divided by FY
2023-24 General Fund Budget.

Code Enforcement Official I and II. 10%
Estimated allocation based on
solid waste code enforcement
obligations.
))
))
))
))
))
))
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 5 of 20 Positions Time
Allocation Explanation
Sustainability Program Manager. 25%
Estimated allocation based on job
duties for management and
administration of the Agreement
and the sanitation system.

Public Works Maintenance Crews responsible for
Street Sweeping, Catch Basin Waste Removal,
and Illegal Dumping Clean-up.
80%
Estimated allocation based on
proportion of waste generation in
City.

R3 verified with City staff that the salaries and benefits included in this Study are paid by the General Fund – any non-General Fund portions of positions included in Table 1 have been excluded from the calculations. A General Fund overhead rate of 10.6% (provided by the City’s Finance Director) is also applied to the total allocated costs.

Other Costs
Variables associated with the City’s other (i.e., non-salary and benefit) costs include the proportionate allocation of those costs that are for management and administration of the Agreement and the sanitation system, the amount by which these costs are paid by the General Fund, and the applicable amount of General Fund overhead. The estimated time allocation by cost category used in this Study is shown in Table 2, below, along with the explanation for the allocation values.

Table 2 –Allocations of Other Costs by Category
Cost Category Cost
Allocation Explanation
Public Works Maintenance Crews responsible for
Street Sweeping, Catch Basin Waste Removal,
and Illegal Dumping Clean-up.
80%
Estimated allocation based on
proportion of waste generation in
City.

Consulting costs for direct management and
administration of Agreement and sanitation
system.
100%
All these costs are directly
associated with management and
administration of the Agreement
and the sanitation system.

R3 verified with City staff that the other costs included in this Study are paid by the General Fund – any non-General Fund portions of these costs as included in Table 2 have been excluded from the calculations. A General Fund overhead rate of 10.6% (provided by the City’s Finance Director) is also applied to the total allocated costs.

Analysis
Direct Management and Administration
This category includes City staffing and consulting costs for direct management and administration of the Agreement and the sanitation system. Staffing costs include allocated costs for the City’s Public Works Director, Deputy Public Works Director, Sustainably Program Manager, Management Analyst, and Operations and Maintenance Manager, for a calculated $116,000 in annual staffing costs. Other costs include solid waste consulting services provided Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 6 of 20 by R3, for $7,000 in annualized consulting costs. The total calculated cost for this category is $123,000.

Indirect Management and Administration
This category includes City staffing costs for indirect management and administration, including supervision of those responsible for direct management and administration of the Agreement and the sanitation system and associated responsibilities. Allocated costs for the City Manager, Assistant City Manager, City Attorney, Assistant City Attorney, City Clerk, and Deputy City Clerk are calculated for total annual costs in this category of $111,000.

CalRecycle and SB 1383 Compliance
This category would include City staff costs and other costs for various activities associated with the City’s need to implement Senate Bill 1383 (Short-Lived Climate Pollutants Act) as well as annual reporting to the State agency, CalRecycle. No costs for these activities are included in this Study as these costs are not funded by the City’s General Fund.

Code Enforcement
This category includes City staffing costs for enforcing the solid waste provisions of the City’s Municipal Code, which includes illegal solid waste accumulations, illegal dumping, littering, improper waste collection setouts, nuisances, and the associated investigations, warnings, notices of violation, and administration of penalties. Staffing costs include allocated costs for the City’s Code Enforcement Supervisors and Officials and Police Officer, Sergeants, and Lieutenant for calculated total annual costs in this category of $107,000.

Street Sweeping
When the Contractor or individual waste generators do not properly manage the collection of solid waste, that mismanaged solid waste tends to end up in the public right-of-way and on streets, where it must be removed by the City. Street sweeping captures solid waste that ends up in public streets because of improper collection. Most if not all of the solid waste that ends up in the streets is generated by properties that receive solid waste collection services from the Contractor.

For the purposes of this Study, we do not assume that all mismanaged solid waste that ends up on the City’s streets is generated by properties receiving solid waste services. Rather, because there is the possibility that some solid waste collected by street sweeping operations was originally generated by other sources, this Study estimates that only 80% of the solid waste collected by street sweepers was generated by properties receiving solid waste services. This assumption is consistent with other studies conducted by R3 (for the cities of Garden Grove and San Bruno) wherein street sweeping activities were allocated between 77.4% and 90% to the sanitation system.

This category includes City staffing, capital equipment, and operations and maintenance costs for the City’s street sweeping operations. Allocated staffing costs for the Public Works maintenance crews are calculated to be $229,000 annually. The allocated and annualized costs for capital equipment and operations and maintenance costs are calculated to be $57,000 annually, for a calculated total in this category of $286,000.

Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 7 of 20 Catch Basin Waste Removal
As with street sweeping, solid waste that is not properly managed by waste generators or the Contractor, and not otherwise captured by street sweeping operations, accumulates in catch basins and other trash capture devices in the City’s storm drain system. As with the street sweeping category, we do not assume that all mismanaged solid waste that ends up in catch basins or trash capture devices is generated by properties that receive solid waste services; the 80% estimate used for street sweeping costs is also applied here, and for the same reasons.

This category includes City staffing, capital equipment, and operations and maintenance costs for the City’s catch basin waste removal operations. Allocated staffing costs for the Public Works maintenance crews are calculated to be $844,000 annually. The allocated and annualized costs for capital equipment and operations and maintenance costs are calculated to be $136,000 annually, for a calculated total in this category of $980,000.

Illegal Dumping Clean-up
The City’s Public Works maintenance crews also clean up solid waste materials that are illegally dumped throughout the City. As with street sweeping and catch basin waste removal, an 80% waste generation allocation is applied.

This category includes City staffing costs for illegal dumping clean-up as well as costs for outside contractors and service providers for clean-up of un-housed encampments. Allocated staffing costs for the Public Works maintenance crews are calculated to be $106,000 annually.

The allocated costs for clean-up of un-housed encampments along with the allocated costs for equipment maintenance and fuel are calculated to be $191,000 annually, and the for a calculated total in this category of $297,000.

Public Waste Containers
This category would include City staff costs and other costs for collection of waste deposited in public waste containers in the public right-of-way and other public locations in the City. No costs for these activities were identified by the City and thus none of the costs associated with category are included in this Study.

Waste Collection at City Events
This category would include City staff costs and other costs for collection of waste generated and disposed of at City public events. No costs for these activities were identified by the City and thus none of the costs associated with category are included in this Study.

Tree Trimming for Vehicle Access to Public Right-of-Way This category would include City staff costs and other costs for trimming of the City’s street trees to provide safe clearance for collection vehicles to collect solid waste from the public rightof-way. No costs for these activities were identified by the City and thus none of the costs associated with category are included in this Study.

Annual Total of City’s Costs
Table 3, following page, shows the total of the City’s Costs for management and administration of the Agreement and the sanitation system as calculated in this Study, by category.

Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 8 of 20 Table 3 – Annual City’s Costs by Category and in Total
Category Staffing Costs Other Costs Total
Direct Management
and Administration $116,000 $7,000 $123,000
Indirect Management
and Administration $111,000 N/A $111,000
Code Enforcement $107,000 N/A $107,000
Street Sweeping $229,000 $57,000 $286,000
Catch Basin Waste
Removal $844,000 $136,000 $980,000
Illegal Dumping Cleanup $106,000 $191,000 $297,000
Total Annual City’s
Costs $1,513,000 $391,000 $1,904,000
Property Use Charges
Methodology
R3 reviewed and analyzed information provided by the City and the Contractor pertaining to Property Use Charges for Contractor’s use of the public right-of-way for collection of solid waste collection containers. When then calculated the annual Property Use Charges based on:

The setout area used for collection of solid waste containers (in square feet).

The amount of time that the area is used.

The reasonable market value for use of the public right-of-way (in dollars per square foot).

The number of solid waste subscribers setting out collection containers in the public right-ofway.

Using these values, we calculated the reasonable market value for the Contractor’s use of government property in the City.

Variables, Estimates and Assumptions
Setout Area
Standard residential solid waste collection setouts include three solid waste collection containers, usually carts with wheels and lids, with one each for garbage, recycling, and organics waste streams. The setout area needed for placement of these containers is inclusive ))
))
))
))
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 9 of 20 of the width of each container (typically two feet) as well as minimum required space between the containers and other objects such as cars (minimum of one feet). The set-out area also takes up available parking space and is thus assumed to extend six feet out from the curb. It should be noted that the Contractor’s service guide shows two feet between containers and five feet between containers and other objects, which requires a much larger area than the amounts estimated in this Study. Thus, our estimated average setout area is likely low, and is therefore conservative. Taken altogether, the area for residential setouts is calculated as three containers that are each two feet wide, plus one foot between each container and other objects, for a total area ten feet wide times six feet in depth. The result is 60 square feet of setout area used for collection of solid waste containers in residential areas.

The amount of area used for commercial setouts (in this Study, use of the term commercial also always includes multi-family) can vary widely, as there is no standard commercial subscription size profile – each commercial solid waste subscriber can select from a range of container sizes, with most of them being larger than the containers used in residential areas. Given this complexity, this Study assumes that the average commercial setout area is twice that of the residential setout area, for 120 square feet. This estimate is likely lower than the average setout area needed in commercial areas and is therefore conservative.

Setout Time Usage
Standard residential solid waste collection is performed once weekly. Most residential containers are set out the evening prior to collection and are removed from the public right-ofway the following afternoon. Thus, for the purposes of this Study, we assume that collection containers are in the public right-of-way for an average of 18 hours per day, one day per week, which amounts to approximately 10.71% of the time (18 hours divided by 24 per day divided by 7 days per week).

Commercial solid waste subscription setout times can vary widely – just as there is no standard commercial subscription size profile, likewise there is no standard collection frequency.

Commercial solid waste subscribers can select collection frequency between once and six times per week, and with different frequencies for different waste streams. Given this complexity, this Study assumes that the average commercial collection frequently is twice weekly, for 12.42% of the time. As with the setout area, this estimate is likely lower than the average commercial collection frequency and is therefore conservative.

Reasonable Market Value for Use of Public Right-of-Way
The City’s “Streatery” Program established a use charge for the use of the public-right-of way of $3,600 annually. That amount is for the use of an area equivalent to one parking space, which the typical parking space being 24 feet wide by 8 feet deep for an area of 192 square feet. Therefore, the City’s established annual use charge for the use of the public right-of-way is $3,600 divided by 192, for a resultant $18.75 per square foot.

Other cities in the Bay Area have also established use charges for use of the public right-of-way, like the City’s program. Other Marin County communities including Fairfax, Larkspur, and San Anselmo also have similar use charges, as do other communities including Healdsburg, Oakland, Torrance, and Windsor. The minimum annual use charge per square foot in these communities is $5.21 (Fairfax and Oakland) and the largest is $30.00 (Windsor). The average annual per square foot use charge, including the City, is $15.67. To be conservative in our calculations, we use the average annual value of $15.67 per square foot rather than the higher City-specific value of $18.75.

Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 10 of 20 Number of Subscriptions Setting Out Containers
The Contractor reports that there are 12,385 residential and 2,529 commercial solid waste service subscribers in the City. However, not all subscribers set out their containers in the public right-of-way for collection all the time. To account for non-setouts (either because subscribers don’t have waste materials to set out or because they receive on-premises service) we assume that only 90% of residential solid waste subscribers set out containers on a regular basis, for a resulting total of 11,146 average residential setouts. It is also understood that most commercial subscribers do not set out containers in the public right-of-way, and therefore we conservatively assume that only 5% of commercial subscribers set out containers on a regular basis, for a resulting total of 126 average commercial setouts.

Analysis and Total Annual Property Use Charges
Calculating the total annual Property Use Charges using the variables, estimates and assumptions from the prior section is a function of multiplication, as shown in Table 4, below.

Table 4 – Calculation of Total Annual Property Use Charges Variable Category Residential Commercial
Grand Total Annual
Property Use Charge
Setout Area 60 SF 120 SF
Setout Time Usage 10.71% 21.42%
Annual Use Charge $15.67 per SF $15.67 per SF
Number of Setouts 11,146 126
Total Annual Property
Use Charges $1,122,000 $51,000 $1,173,000
Pavement Impacts
Methodology
R3 reviewed and analyzed information provided by the City pertaining to Pavement Impacts from the Contractors solid waste collection vehicles. We then calculated estimates of the proportionate share of the average annual pavement repair, maintenance and rehabilitation costs associated with solid waste collection vehicles based on the proportionate impact to pavement from solid waste collection vehicle compared to other sources of impacts.

The calculation accounts for the City’s annual repair costs, five-year projections for capital improvement costs, and five-year projections for annualized growth in deferred maintenance. The calculation also accounts for the high loading and slow speed impacts on pavement associated with solid waste collection vehicles. The calculation proportionately allocates the average annual pavement management costs to solid waste vehicles based on:

The equivalent single-axle load and proportionate impacts from speed for those vehicles compared to other vehicles.

The number of vehicle trips on City streets.
))
))
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 11 of 20 The proportion of vehicle trips that are made by trucks versus automobiles.1 Variables, Estimates and Assumptions
The weight, loading, slow speed, and frequent stops that characterize solid waste collection vehicle operations impose unique and quantifiable impacts on the City’s street pavement. It is important to understand that, while calculation of vehicle impacts to pavement can be precise for individual vehicles, out of necessity we made certain assumptions about overall blended pavement impacts associated with several categories of vehicle types for the purposes of this Study. This is because we sought to calculate estimated impacts to all street pavement in the City, covering all vehicle uses, and precise traffic information at that scale is not currently available. Thus, we make informed assumptions regarding several variables necessary for this Study.

For each of these variables, there is a range of potentially reasonable values that may be used.

We have selected values at the low end of the reasonable range to present findings that conservatively calculate estimated values of the pavement impacts associated with the Contractor’s solid waste collection vehicles during the course of providing sanitation service.

Assumptions used are described in the following subsections, which reference sources supporting the summary provided here. We must note that changes in assumptions may result in material changes in calculation results and findings.

Factors Impacting Pavement Conditions
Street pavement repair, maintenance and rehabilitation needs and their resulting costs are affected by several factors including vehicle usage and trench cuts and subsurface activities related to underground utilities. Environmental conditions such as light and water also contribute to pavement repair, maintenance and rehabilitation needs in combination with the primary impacts from vehicles, trench cuts, and subsurface activities. This Study only focuses on the impacts to street pavement from vehicles, and the proportion of those impacts that are attributable to the Contractor’s solid waste collection vehicles as they perform sanitation service.

City’s Costs for Pavement Repair, Maintenance and Rehabilitation The City regularly projects its costs for repair, maintenance and rehabilitation of pavement resulting from degradation due to use. These projections, and the basis for them, are documented in Pavement Management Technical Assistance Program (P-TAP) reports which the City commissions with engineering consultants.2 Per the City’s April 26, 2023, P-TAP report, the City’s projected average annual pavement maintenance and rehabilitation costs from 2023 through 2027 for its entire street network, are approximately $4.2 million. Also, per the P-TAP, deferred 1 Our analysis accounts for the distribution of vehicles among the 13 Federal Highway Administration vehicle classifications, which include passenger cars, SUVs/pick-ups, buses, and multiple truck and truck/trailer axle combinations.
2 The City’s current P-TAP report dated April 26, 2023, was prepared by Adhara Systems, Inc., a consulting firm with expertise in pavement engineering. Broadly speaking, a P-TAP is designed to provide objective information and useful data for analysis so that managers can make more consistent, cost-effective, and defensible decisions related to the preservation of a pavement network.
))
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 12 of 20 pavement maintenance on the City’s streets3 (which is the result of degrading pavement conditions associated with the impacts of vehicles) is projected to increase by $15.3 million between 2023 and 2027.
4 Axle Loading
Our methodology for calculating the proportionate amount of pavement maintenance and rehabilitation impacts for the Contractor’s vehicles is grounded in the fact that all vehicles, including solid waste collection vehicles, degrade pavement during use. Measurement of that impact – also known as “vehicle loading” – can be estimated, quantified, and expressed as an Equivalent Single Axle Load (ESAL), which is a function of the vehicle’s weight and the distribution of that weight over the vehicle’s axles. It is important to note that heavier vehicles have more impacts on pavement and have a higher vehicle loading ESAL value. It is also important to note that ESAL values are associated with vehicle loading only, and not the speed of the vehicle; it is therefore assumed that relative ESAL values between vehicle types are based on vehicles travelling at the same rate of speed.

For this analysis, R3 used the vehicle categories and average ESAL values shown in Table 5, below. Table 5 explains and cites supporting information for how the ESAL for each vehicle type was determined.

Table 5 – ESAL Value Assumptions by Vehicle Type
Vehicle Type ESAL
Value Source
Automobiles (Passenger Cars) 0.0008
AASHTO (American Association of State Highway and
Transportation Officials) Design Guide with ESALs by
Vehicle Type (Attachment 1)
Average of All Other Trucks5 0.0171
Calculated Value Using AASHTO Design Guide with
ESALs by Vehicle Type (Attachment 1), Federal Highway
Administration ESALs by Vehicle Type (Attachment 2),
Comparative Traffic Counts (Attachment 3)
Solid Waste Vehicle (Garbage) 1.0000
Calculated Values by Type (Attachment 4) Using Example
Axle Weights (Attachment 5) and AASHTO Axle Load
Equivalency Factors (Attachment 6)
Solid Waste Vehicle (Organics) 1.0000
Solid Waste Vehicle (Recycling) 0.7500
Given the assumed ESAL values in Table 5, a solid waste vehicle collecting garbage has 1,250 times the impact of an automobile. We are aware of other research concluding that the impacts 3 Deferred maintenance is planned maintenance that gets delayed and backlogged because of a lack of funding.

Deferred maintenance costs remain on the books until they are funded and the work is completed and recategorized in the City’s P-TAP.
4 Our analysis assumes funding based on the City’s budgeted pavement maintenance costs as presented in the PTAP under Scenario 2 “Maintaining PCI 62”. 5 “All other trucks” means all vehicles with high loading and impact on street pavement other than solid waste vehicles.

Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 13 of 20 of solid waste collection vehicles may be as high as 8,000-9,000 times the impact of passenger cars; thus, our assumed ESAL of “1” for garbage collection vehicles is on the low end of the reasonable range of ESALs for such vehicles.

Speed Impact
Impacts to flexible pavements (which are typical for residential streets) are also influenced by vehicle speeds, with impacts being exponentially higher when a load carrying vehicle is moving at a very slow speed.6 This is demonstrated in Chart 1, below.

Chart 1 – Exponential Relationship Between Speed and Pavement Impacts Unlike typical traffic on residential streets, which tends to travel at or near the posted speed limit (25 miles per hour [mph] in the City), solid waste vehicles slow and stop for collection in front of each household, averaging approximately 4 mph to 8 mph.7 At these low speeds, and as shown in Chart 1, vehicles have approximately 2.2 to 2.6 times the impact to the pavement than they would travelling only at the 25 mph speed limit.

In this Study we conservatively assume that solid waste vehicles in the City may be travelling at a faster 10 mph average speed, and we thus assume that the relative impact of speed is a factor of 2, not the higher 2.2 to 2.6 factors corresponding with slower speeds as noted above. We apply this speed factor of 2 as a multiplier to the ESAL loading for solid waste collection vehicles in our analysis of impacts to residential streets only; the factor is not applied to the ESAL loading for arterial and collector streets, as those streets are not typically comprised of flexible pavements, solid waste collection vehicles stop less frequently on those streets (and thus have a higher average speed).

Vehicle Passes Per Day
By estimating the number and type of vehicles (i.e., solid waste collection vehicles, automobiles, and all other trucks) that travel on a street, and the average pavement impacts (measured in 6 Effect of truck speed on the response of flexible pavement systems to traffic loading; International Journal of Pavement Engineering, July 2020; Michael R. S. Mshali and Wynand JvdM. Steyn. 7 Real-world activity, fuel use, and emissions of heavy-duty compressed natural gas refuse trucks; Science of the Total Environment 761, 2021; Gurdas S. Sandhu, H. Christopher Frey, Shannon Bartelt-Hunt, Elizabeth Jones.

0.00 0.50

1.00 1.50

2.00 2.50

3.00 3.50
0 2 4 6 8 10 12 14 16 18 20 22 24 26
Relative Impact
Average Speed (MPH)
T
r
·······e. ..
········e. ..
••••••••••••••
········• .......
•• •• ........................................ .

I
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 14 of 20 ESAL loading) associated with each vehicle type (described in the prior subsection), the total impacts that the pavement will experience can be estimated in a mathematical calculation. Our analysis makes informed assumptions about the number of vehicle passes (meaning trips down streets) by type for the two major types of streets identified by the City in its P-TAP. Those two types of streets are: high traffic volume streets (namely arterial and collector streets) and low traffic volume streets (residential streets). Specific data for the City relating to the number of vehicle passes per day and the proportion of those passes that are comprised of trucks was not available for this Study.

For the low traffic residential streets, we used an estimate of 1,500 vehicle passes per day, which is larger than the 750 passes per day previously estimated by the City in the 2020 Vehicle Impact Fee Study. Using the higher figure of 1,500 passes per day reduces the proportionate impact from the Contractor’s solid waste collection vehicles and is thus more conservative than the calculation using 750 passes per day. We also estimated that 5% of residential traffic trips were made by trucks, and that value is higher than the 2% used in the prior study. While the prior 2% figure was validated by City Engineer, for the purposes of this study we use the higher 5% because it is more conversative than the 2% figure in that it also reduces the proportionate impacts from the Contractor’s solid waste collection vehicles.

For arterial and collector streets, we used an estimate of 15,000 passes per day, which is the same value used in the prior study. For the percentage of those trips that are trucks, we used a calculated value based on comparative traffic counts from the City of Torrance in 2023 (Attachment 3) and which is the same dataset that we used to estimate the average ESAL for “All other trucks” in Table 5. Attachment 3 calculates the average daily traffic counts for all vehicles on commercial streets in that city, with 87.7% of the average daily traffic count being comprised of passenger cars and motorcycles and the remaining 12.3% being comprised of trucks. For the purposes of this Study, we have assumed an even higher percentage of arterial and collector street traffic being trucks, at 15% of the average daily traffic. As with the prior assumptions, this value is conservative in that it returns a low proportionate value for the impacts to streets from the Contractor’s solid waste vehicles. Table 6, below, is a summary of the average daily vehicles passes and the percentage that are trucks assumptions used in this Study.

Table 6 – Vehicle Passes Per Day by Street Type
Street Type Vehicle Passes Per Day Percentage of Vehicle Passes That Are Trucks
Residential 1,500 5%
Arterial and Collector 15,000 15%
Vehicle Passes By Vehicle Type
The variables described in the prior subsection provide the overall number of vehicle passes per day, and the percentage of those passes that are trucks. To isolate the vehicle loading impacts to pavement associated with solid waste collection vehicles we need to determine the number of passes that those vehicles make per day. This is a relatively simple calculation based on the weekly schedule of collections for solid waste collection services. For the low traffic residential streets, solid waste collection operations are on a weekly schedule. Since weekly collections are on both sides of the street, each street is driven twice (once in each direction) by a minimum of Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 15 of 20 one of each type of solid waste collection vehicle. For the purposes of this Study, we assume that each solid waste collection and vehicle makes two passes per week, or 0.286 passes per day on residential streets. This value does not account for the fact that some streets are driven on during non-route days so that collection vehicles can access streets on a given route, meaning that the actual average passes per week in the City must be higher than stated above.

Using the lower passes per week is conservative in that it returns a lower result for the street impacts from the Contractor’s solid waste vehicles. For the high traffic arterial and collector streets, which are primarily commercial, the schedule for solid waste collection can vary. Solid waste collection services may be provided up to five or six times a week for larger waste generators and may be as low as weekly for smaller generators. Additionally, because solid waste generators in commercial areas are not all on the same collection schedules as residential accounts are, vehicles in commercial areas pass over the same streets multiple times to serve accounts with different collection schedules.

For the purposes of this Study, for arterial and collector streets, we assume that solid waste collection vehicles collecting garbage for landfill disposal pass over each street two times per day (once in each direction), while solid waste collection vehicles for organics and recycling pass over each street once per day (one half in each direction). Total passes for organics and recycling collection vehicles are less because it is generally the case that service levels for garbage are at least twice those of the corresponding organics or recycling service level. As with the number of passes on residential streets, this value does not account for the fact that some streets are driven on during non-route days so that collection vehicles can access streets on a given route, meaning that the actual average passes per week in the City must be higher than stated above. Using the lower passes per week is conservative in that it returns a lower result for the pavement impacts from the Contractor’s solid waste vehicles.

The number of passes per day for the remaining vehicle types – automobiles and other trucks – are simply calculated as a function of the total number of daily passes, the total number of those that are trucks (based on the percentages discussed in the prior section), and the number of passes for solid waste collection vehicles. For example, for the City’s residential streets, given the assumed 1,500 passes per day and 5% (75) of those being trucks, there are 1,425 automobile passes per day (1,500 x 95%). With three types of solid waste collection vehicles each passing 0.286 times per day (as described above), the total passes per day are 0.857 (3 x

0.286). The number of passes for all other trucks is 74.143 (150 minus 0.857). Table 7, below, provides a summary of vehicle passes per day by street type.

Table 7 – Vehicle Passes Per Day by Vehicle Type and Street Type Vehicle Type Residential Streets Arterial and Collector Streets Automobiles (Passenger Cars) 1,425.000 12,750.000
Average of All Other Trucks 74.143 2,247.143
Solid Waste Vehicle (Garbage) 0.286 1.429
Solid Waste Vehicle (Organics) 0.286 0.714
Solid Waste Vehicle (Recycling) 0.286 0.714
Total 1,500 15,000
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 16 of 20 Percentage of Streets by Type
A final variable that needs to be addressed in the percentage of streets by type. This information is included in the City’s P-TAP, including the relative area by street type, as shown in Table 8, below.

Table 8 – Percentage of Streets by Type
Street Type Area (Square Yards) Percentage of Area
Residential 1,740,000 58.5%
Arterial 666,700 22.4%
Collector 568,000 19.1%
Total 2,974,700 100%
Analysis
Percentage Impact for Solid Waste and Street Sweeping Vehicles by Street Type With the variables for ESAL by vehicle type, the multiplication factor for the relative impacts of speed for solid waste collection vehicles on residential streets, and the number of passes by vehicle type established, we then calculate the relative percentage impact associated with each vehicle type. This is calculated as a function of ESAL multiplied by speed factor (residential streets only) multiplied by the number of weekly passes, multiplied by ESAL, with the product being the total vehicle loading pavement impact by vehicle type per week. Totaling the weekly total vehicle loading by vehicle types yields the total estimated loading experienced by each street type (residential vs. arterial and collector). From there, we calculate the percentage contribution to total vehicle loading for solid waste collection vehicles, which is the total weekly ESAL loading associated with solid waste collection vehicles divided by the total ESAL loading for the street.

Table 9, below, and Table 10, on the following page, show these calculations and the results.

Table 9 – Calculation of Solid Waste Pavement Impacts – Residential Streets

A B C D E F
Vehicle Type
Average
ESAL /
Vehicle
(Per Table
5)
Relative
Impact
from
Speed
Passes /
Day /
Vehicle
Type
(Per Table
7)
Passes /
Week /
Vehicle
Type
(C x 7)
Total
Weekly
ESAL
Loading
(A x B x D)
Percent of
Total
ESAL
Loading
(E / 27.85)
Automobiles 0.0008 1x 1,425.000 9,975 7.98 28.65%
All Other Trucks 0.0171 1x 74.143 519 8.87 31.86%
Garbage Vehicles 1.0000 2x 0.286 2 4.00 14.36%
Organic Material Vehicles 1.0000 2x 0.286 2 4.00 14.36% Recycling Vehicles 0.7500 2x 0.286 2 3.00 10.77%
Total 1,500 10,500 27.85 100%
Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 17 of 20 As shown in Table 9, for the City’s residential streets we calculated the percentage impacts for solid waste vehicles to be 39.49% of total impacts to residential street pavement (14.36% times 2 plus 10.77%)
Table 10 – Calculation of Solid Waste Vehicle Impacts – Arterial and Collector Streets

A B C E F
Vehicle Type
Average
ESAL /
Vehicle
(Per Table 5)
Passes /
Day /
Vehicle Type
(Per Table 7)
Passes /
Week /
Vehicle Type
(B x 7)
Total Weekly
ESAL
Loading
(A x C)
Percent of
Total ESAL
Loading
(E / 359.13)
Automobiles 0.0008 12,750.000 89,250 71.40 19.88%
All Other Trucks 0.0171 2,247.143 15,730 268.98 74.90%
Garbage Vehicles 1.0000 1.429 10 10.00 2.78%
Organic Material Vehicles 1.0000 0.714 5 5.00 1.39%
Recycling Vehicles 0.7500 0.714 5 3.75 1.04%
Total 15,000 105,000 359.13 100%
For the City’s arterial and collector streets, Table 10 calculates the percentage impact from solid waste vehicles to be 5.22% of the total impacts (2.78% plus 1.39% plus 1.04%).

Average Annual Pavement Expenses
Per the P-TAP report, the City is projected to spend $4.2 million per year on pavement repair, maintenance, and rehabilitation. Additionally, the City spends approximately $187,000 annually for spot repair work not included in the P-TAP. Therefore, the total annual estimated City costs for pavement repair are $4,387,000.

Average Annualized Deferred Maintenance
In addition to contributing to annual pavement maintenance and rehabilitation costs, solid waste vehicles also contribute to deferred maintenance. The P-TAP report projects that deferred maintenance will increase by $15.3 million from 2023 to 2027, which is $3,830,500 annually.

Reduction for Pavement Subsurface Impacts
Expenditures for pavement maintenance repair impacts to pavement caused by vehicles, trench cutting and subsurface activities, as well as the environmental impacts associated with those same sources of primary impacts. We roughly estimate the impacts of trench cutting and subsurface activities on the City’s streets to be 10% of all pavement repair, maintenance, and rehabilitation costs. This leaves 90% of the average annual pavement management costs and average annualized deferred maintenance needs associated with vehicle impacts. This is demonstrated in Table 11, on the following page.

Methodology and Calculations
City of San Rafael | Solid Waste Franchise Fee Study Report 18 of 20 Table 11 – Average Annual Pavement Impacts from Vehicles Category Amount of Impacts
from All Sources
Reduction for
Subsurface Activities
Amount of Pavement
Impacts from
Vehicles
Average Annual
Pavement Expenses $4,387,000 -10% $3,948,000
Average Annualized
Deferred Maintenance $3,830,000 -10% $3,447,000
Total $8,217,000 -10% $7,395,000
Table 12 shows the breakdown of the average annual pavement impacts from all vehicles by street type, using the total from Table 11 above.

Table 12 –Total Pavement Impacts from Vehicles by Street Type Variable Residential Arterial and Collector Total
Percentage of Streets
by Type (From Table 8) 58.5% 41.5% 100%
Annual Pavement
Impacts from
Vehicles
$4,326,000 $3,069,000 $7,395,000
Total Annual Pavement Impacts
Calculating the total annual Pavement Impacts using the variables, estimates and assumptions from the prior section is a function of multiplication, as shown in Table 13, below.

Table 13 – Calculation of Total Pavement Impacts from Contractor’s Vehicles Variables Residential Arterial and Collector
Grand Total
Annual Pavement
Impacts from Vehicles
(From Table 12)
$4,326,000 $3,069,000
Percentage Impacts
from Contractor’s
Vehicles (From Tables 9
and 10)

39.49% 5.22%
Total $1,708,000 $160,000 $1,868,000

3. Findings and Conclusions
City of San Rafael | Solid Waste Franchise Fee Study Report 19 of 20 Franchise Fee
The FY 2022-23 Franchise Fee paid to the City was $2,757,168 and the projection for FY 2023-24 is $2,929,000.

R3 calculated reasonable estimates of the City’s Costs and Property Use Charges based on actual and estimated cost information provided by the City, and with reasonable and conversative assumptions for estimated values.

The sum of FY 2023-24 annual City’s Costs ($1,904,000) and Property Use Charges ($1,173,000) amounts calculated in this Study is $3,077,000.

The calculated amounts bear a reasonable relationship to the Contractor’s burdens on the City resulting from the management and administration of the Agreement and the sanitation system, and the reasonable value of the Contractor’s use of the public right-of-way. The City’s Costs have been reviewed and confirmed by City staff as being representative of the actual time and costs incurred for these activities. Amounts of Property Use Charges are proportionately allocated to the Contractor with due recognition of the realities of the Contractor’s operations.

The amounts calculated in this Study are $148,000 (5%) higher than the projected FY 2023- 24 Franchise Fee payments. It is highly unlikely, given the justification provided herein, that FY 2023-24 Franchise Fee payments will exceed the amounts calculated in this Study.

The projected FY 2023-24 Franchise Fee is less than would be justified by the calculations in this Study.

The Franchise Fee therefore is not more than necessary to cover the City’s reasonable costs incurred in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way.

Vehicle Impact Fee
The Vehicle Impact Fee paid to the City annually is $1,480,600.

R3 calculated reasonable estimates of the Pavement Impacts from Contractor’s solid waste collection vehicles based on quantifiable impacts from such vehicles.

The amount of Pavement Impacts calculated in this Study is $1,868,000.

The amount calculated Pavement Impacts bear a reasonable relationship to the Contractor’s burdens on the City resulting from the pavement impacts caused by Contractor’s solid waste collection vehicles. Calculations of Pavement Impacts have been proportionately allocated to the Contractor with due recognition of the impacts from loading, speed, number of trips, and other causes of pavement repair, maintenance, and rehabilitation needs.

The amounts calculated in this Study are $387,400 (26%) higher than the Vehicle Impact Fee.

The Vehicle Impact Fee is less than would be justified by the calculations in this Study.

The Vehicle Impact Fee there is not more than necessary to cover the City’s reasonable costs incurred for repair, maintenance, and rehabilitation of pavement. ))
))
))
))
))
))
))
))
))
))
))
))
))
))

4. Recommendations
City of San Rafael | Solid Waste Franchise Fee Study Report 20 of 20 Annual Adjustments
All values calculated in this Study are in current FY 2023-24 dollars. Given that the City’s Costs, Property Use Charges, and Pavement Impacts will all tend to change over time in response to changing staffing, benefits, and other costs, it would be appropriate for the City to implement an annual adjustment to the Franchise Fee and Vehicle Impact Fee.

We recommend that the City consider including an automatic annual adjustment that would change the fees in proportion to the percentage change in the Consumer Price Index (CPI).

We recommend the CPI for All Urban Consumers (CPI-U) for the San Francisco Bay Area (U.S. Bureau of Labor Statistics series ID: CUURS49BSA0).

Sources and Uses Accounting
Currently, the City’s Costs and Property Use Charges are not tied to Franchise Fee revenues in the City’s accounting system. The City could implement project code accounting and/or enterprise fund accounting for the Franchise Fee to better track source revenues and their uses.

In either case, allocated and/or direct staffing and other costs could be tied to source revenues, while the Property Use Charges could be transferred out for general use.

We recommend that the City consider implementing sources and uses accounting practices for Franchise Fee revenues, City’s Costs, and Property Use Charges. 8 Periodic Recalculation
Over time, the City’s Costs associated with the Agreement and the sanitation system, the value of Property Use Charges for use of the public right-of-way, and the annualized costs associated with Pavement Impacts from the Contractor’s solid waste collection vehicles may change in ways that vary from the annual change in the CPI. Additionally, changes in City policies, programs, procedures, organization, geopolitical boundaries, laws, regulations, court rulings, and/or other factors may also trigger a need for recalculating fees.

We recommend that the City consider updating this Study periodically (e.g., every five years) or more frequently if needed to recalculate fees in response to other factors. 8 The Vehicle Impact Fee is recorded as revenue in the Gas Tax fund, from which pavement repair, maintenance and rehabilitation costs are paid.
))
))
))
Attachment 1 City of San Rafael Franchise Fee Study 12-4-2023 Appendix D D-25
Tobie D.21. Worksheet for Calculating 18-kip Equivalent Single Axle Load (ESAL) Applications Location ____ E_xam_.;;..p_le_l ___ _ Analysis Period = __ 2_0 __ Years 911 Assumed SN or D = _ _ __ _
Current Growth Design E.S.A.L. pesign
Traffic Factors Traffic Factor E.S.A.L.

Vehicle Types (A) (B) (C) (D) (E)
2%
Passenger Cars 5,925 24.30 52,551,787 .0008 42,041
Buses 35 24.30 310,433 .6806 211,280
Panel and Pickup Trucks 1,135 24.30 10,066,882 .0122 122,816 Other 2-Axle/4-Tire Trucks 3 24.30 26,609 .0052 138
2-Axle/6-Tire Trucks 372 24.30 3,299,454 .1890 623,597
3 or More Axle Trucks 34 24.30 301,563 .1303 39,294
All Single Unit Trucks
3 Axle Tractor Semi-Trailers 19 24.30 168,521 .8646 145,703 4 Axle Tractor Semi-Trailers 49 24.30 434,606 .6560 285,101 5 + Axle Tractor Semi-Trailers 1,880 24.30 16,674,660 2.3719 39,550,626 All Tractor Semi-Trailers
5 Axle Double Trailers 103 24.30 913,559 2.3187 2,118,268 6 + Axle Double Trailers 0 24.30
All Double Trailer Combos
3 Axle Truck-Trailers 208 24.30 1,844,856 .0152 28,042
4 Axle Truck-Trailers 305 24.30 2,705,198 .0152 41,119
5 + Axle Truck-Trailers 125 24.30 1,108,688 .5317 589,489 All Truck-Trailer Combos
All Vehicles 10,193 90,406,816 Design 43,772,314 E.S.A.L.

Attachment 2 City of San Rafael Franchise Fee Study 12-4-2023 FHWA Truck Classes
Class Type I EALF
1 Motorcycles negligible
2 Passenger Cars negligible
3 Other Two-Axle, Four-Tire Single Unit Vehicles negligible 4 Buses 0.57
5 Two-Axle, Six-Tire, Single Unit Trucks 0.26
6 Three-Axle Single Unit Trucks 0.42
7 Four or More Axle Single Unit Trucks 0.42
8 Four or Less Axle Single Trailer Trucks 0.30
9 Five-Axle Single Trailer Trucks 1.20
10 Six or More Axle Single Trailer Trucks 0.93
11 Five or Less Axle Multi-Trailer Trucks 0.82
12 Six-Axle Multi-Trailer Trucks 1.06
13 Seven or More Axle Multi-Trailer Trucks 1.39
Attachment 2 City of San Rafael Franchise Fee Study 12-4-2023 FHW A s 13 ehicle Category Clas ification
Motorcycles Four or more
1----- ----------------- axle, single unit
Class l
Passenger cars
Class 3
Four tire,
single unit
Class 4
Buses
Class 5
Two axle, six
tire, single unit
Class 6
Three axle,
single unit
t--------------
1----- ------
t--------------
-
Class 8
Four or less axle,
s in g I e trailer
Class 9
5-Axle tractor
s emit ra ii er
Class 10
Six or more axle,
s in g I e trailer
Class 11
Five or less axle,
multi trailer
Class 11
1-----------Six axle, multitrailer
Class 13
Seven or more
axle. multi-trailer
ource: Federal Highway Admini tration (TMG 2013).
lllt-llllllt
IIIIJlllllla

2..
1 2
3 4
5 6
9 10
13 14
17 18
28 29
30 31
32 33
34 35
36 37
39 40
41 42
43 44
46 47
49 50
52 53
57 58
61 62
63 64
66 67
69 70
71 72
74 75
87 88
90 91
94 95
98 99
111
112
114
132
133
134
135
136
137
138
139
147
148
149
150
151
152

A B C D E F GH I J K LMNOPQRST U
Street Name From Location To Location Class 1 Class 2 Class 3 Class 4 Class 5 Class 6 Class 7 Class 8 Class 9 Class 10 Class 11 Class 12 Class 13 Torrance Blvd Victor St Anza Ave 29796 04/2018 1262 50% 79 26526 2054 152 866 67 5 21 26 0 0 00 29796 0% 89% 7% 1% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Torrance Blvd Madrona Ave Maple Ave 32572 04/2018 1486 51% 45 28713 2362 159 1166 61 16 26 24 0 0 00 32572 0% 88% 7% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Torrance Blvd Arlington Ave Cabrillo Ave 29267 05/2018 1203 50% 62 26131 1574 111 625 505 49 53 48 5 32 40 32 29267 0% 89% 5% 0% 2% 2% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Redondo Beach BlvArtesia Blvd 32648 04/2018 1318 50% 61 29104 2563 110 726 37 5 14 28 0 0 00 32648 0% 89% 8% 0% 2% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Artesia Blvd 182nd St 33944 04/2018 1475 54% 62 29796 2588 122 1258 69 7 18 24 0 0 00 33944 0% 88% 8% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd 182nd St 190th St 54327 04/2018 2186 52% 55 47269 4235 113 2415 47 5 99 89 0 0 00 54327 0% 87% 8% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd 190th St Del Amo Blvd 49516 04/2018 1931 51% 49 42896 3828 108 2162 128 0 123 222 0 0 00 49516 0% 87% 8% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Del Amo Blvd Dominguez St 47718 04/2018 2074 53% 54 41416 3749 125 2165 36 0 62 111 0 0 00 47718 0% 87% 8% 0% 5% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Torrance Blvd El Dorado St 45215 04/2018 1835 52% 59 39890 3489 87 1465 27 4 102 92 0 0 00 45215 0% 88% 8% 0% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Carson St Sepulveda Blvd 44936 04/2018 1770 51% 61 38281 4119 97 2043 80 8 130 117 0 0 00 44936 0% 85% 9% 0% 5% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Sepulveda Blvd 235th St 50785 04/2018 2004 51% 46 43831 4455 120 1949 65 1 118 200 0 0 00 50785 0% 86% 9% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Lomita Blvd Skypark Dr 41290 04/2018 1846 55% 62 35390 3650 122 1761 51 7 130 117 0 0 00 41290 0% 86% 9% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Crenshaw Blvd Pacific Coast Hwy South City Limit 33219 04/2018 1546 55% 91 28665 3297 56 1049 40 0 6 15 0 0 00 33219 0% 86% 10% 0% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Del Amo Blvd Victor St Anza Ave 21330 04/2018 1040 56% 80 18735 1880 47 545 20 8 11 4 0 0 00 21330 0% 88% 9% 0% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Del Amo Blvd Maple Ave Crenshaw Blvd 28001 04/2018 1336 57% 48 23933 2202 176 1386 73 22 100 51 10 0 0 0 28001 0% 85% 8% 1% 5% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Artesia Blvd Hawthorne Blvd Prairie Ave 34571 05/2018 1270 50% 122 30839 1595 233 711 635 158 22 111 25 14 50 56 34571 0% 89% 5% 1% 2% 2% 0% 0% 0% 0% 0% 0% 0% 100%
Artesia Blvd Ainsworth Ave Yukon Ave 32714 06/2018 1592 66% 149 27864 2889 79 1836 16 0 9 2 0 0 00 32844 0% 85% 9% 0% 6% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Artesia Blvd Crenshaw Blvd Van Ness Ave 32897 05/2018 1366 59% 535 28709 1571 110 903 601 192 35 103 22 28 104 74 32987 2% 87% 5% 0% 3% 2% 1% 0% 0% 0% 0% 0% 0% 100%
Redondo Beach BlvHawthorne Blvd Prairie Ave 24076 06/2018 8963 56% 20 21007 1944 111 950 21 7 8 8 0 0 00 24076 0% 87% 8% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Redondo Beach BlvPrairie Ave Yukon Ave 32187 05/2018 1334 54% 33 29927 1279 120 402 261 22 47 22 2 32 23 17 32187 0% 93% 4% 0% 1% 1% 0% 0% 0% 0% 0% 0% 0% 100%
Redondo Beach BlvCrenshaw Blvd Van Ness Ave 31183 06/2018 1485 59% 48 27555 2483 111 864 36 3 15 68 0 0 00 31183 0% 88% 8% 0% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Hawthorne Blvd Pacific Coast Hwy South City Limit 35335 06/2018 1634 61% 45 30266 2981 116 1201 120 26 164 311 2 103 0 0 35335 0% 86% 8% 0% 3% 0% 0% 0% 1% 0% 0% 0% 0% 100%
Sepulveda Blvd Palos Verdes Blvd Anza Ave 25198 05/2018 1142 58% 67 22574 1546 50 525 329 41 13 18 3 11 12 9 25198 0% 90% 6% 0% 2% 1% 0% 0% 0% 0% 0% 0% 0% 100%
Sepulveda Blvd Madrona Ave Maple Ave 45820 04/2018 2109 58% 79 41604 2602 140 1362 18 3 6 2 4 0 00 45820 0% 91% 6% 0% 3% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Sepulveda Blvd Arlington Ave Cabrillo Ave 48933 04/2018 2339 64% 47 43059 3813 116 1845 33 2 8 10 0 0 00 48933 0% 88% 8% 0% 4% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Palos Verdes Blvd Sepulveda Blvd Prospect Ave 15126 06/2018 798 57% 13 12696 1614 9 761 16 3 11 3 0 0 00 15126 0% 84% 11% 0% 5% 0% 0% 0% 0% 0% 0% 0% 0% 100%
Palos Verdes Blvd Catalina Ave Calle Miramar 27158 04/2018 1304 61% 49 23375 2580 52 1067 15 0 6 14 0 0 00 27158 Class 1 Class 2 Class 3 Class 4 Class 5 Class 6 Class 7 Class 8 Class 9 Class 10 Class 11 Class 12 Class 13 TOTALS 2121 840051 72942 2952 34008 3407 594 1357 1840 73 220 229 188 959982 PERCENTAGES OF TOTAL 0.2% 87.5% 7.6% 0.3% 3.5% 0.4% 0.1% 0.1% 0.2% 0.0% 0.0% 0.0% 0.0% 100%

PERCENT OF TRAFFIC
FOR "ALL OTHER
TRUCKS"

12.27%

ESAL SOURCE
Load Factor 0.0008 - 0.0122 0.5700 0.2600 0.4200 0.4200 0.3000 1.2000 0.9300 0.8200 1.0600 1.3900 Weighted Load Factor 0.0007 - 0.0009 0.0018 0.0092 0.0015 0.0003 0.0004 0.0023 0.0001 0.0002 0.0003 0.0003

TOTAL WEIGHTED ESAL
FOR "ALL OTHER
TRUCKS"
Other Truck Weighted Load Factor 0.0018 0.0092 0.0015 0.0003 0.0004 0.0023 0.0001 0.0002 0.0003 0.0003 0.0009 0.0171 AASHTO Federal Highway Administration
CALCULATION OF WEIGHTED ESAL FOR "ALL OTHER TRUCKS"
ADT (or AADT) by Vehicle Classification
HPMS Traffic Data Sought - City of Torrance 5/19/2023
Section Identification Current Traffic Data ADT (or AADT) by Vehicle Classification ADT
Month & Year
of Traffic
Count
(MM/YYYY)
Peak
Hour
Volume
D Factor
https://r3cgi.sharepoint.com/Shared Documents/R3 Shared/+Projects/2023 FRANCHISE FEE STUDIES/Anaheim/+ Expert Witness Files/REPORT ATTACHMENTS/3 - Attachment Z - All Other Truck Average ESAL / Torrance Data Attachment 3 City of San Rafael Franchise Fee Study 12-4-2023 -
-
-
-
-
- I I I I I - I I I I I I - I I I I I I -
-
- I -
-
- I -
-
ESAL Calc

RESIDENTIAL ESAL CALCS

SOLID WASTE

MODEL AXLE WEIGHT DISTRIBUTIONS
Front 50% Front 35.8% Front 43%
Rear 50% Rear 64.2% Rear 57%

MODEL AXLE WEIGHTS
Empty Payload
Total Weight 32,620 Total Weight 48,700 Total Weight 40,660 Front 16,276 Front 17,420 Front 16,848
Rear 16,344 Rear 31,280 Rear 23,812
48,700 32,620 40,660 16,080

8.04 DETERMINE SAE OF SOLID WASTE VEHICLES
Gross Axle
Weight Single Axle Double Axle Triple Axle

0.010 0.001 0.0003 6,000

0.034 0.003 0.001 8,000

0.088 0.007 0.002 10,000
Empty 0.189 0.014 0.003 12,000
Single Front Double Rear 0.360 0.027 0.006 14,000
weight 16,276 weight 16,344 16,000 0.623 0.047 0.011
SAE 0.675 SAE 0.052 Total SAE= 0.727 18,000 1.000 0.077 0.017 20,000 1.510 0.121 0.027
Full 22,000 2.180 0.180 0.04
Single Front Double Rear 3.030 0.260 0.057 24,000
weight 17,420 weight 31,280 26,000 4.090 0.364 0.08
SAE 0.891 SAE 0.771 Total SAE= 1.662 28,000 5.390 0.495 0.109 30,000 6.970 0.658 0.145
Average = 1.195 32,000 8.880 0.857 0.191
34,000 11.180 1.095 0.246
Half Full 13.930 1.380 0.313 36,000
Single Front Double Rear 17.200 1.700 0.393 38,000
weight 16,848 weight 23,812 40,000 21.080 2.080 0.487
SAE 0.783 SAE 0.252 Total SAE = 1.035 42,000 25.640 2.510 0.597

RESIDENTIAL ESAL CALCS

RECYCLABLES

MODEL AXLE WEIGHT DISTRIBUTIONS
Front 50% Front 41.5% Front 46%
Rear 50% Rear 58.5% Rear 54%

MODEL AXLE WEIGHTS
Empty Payload
Total Weight 32,620 Total Weight 40,640 Total Weight 36,630 Front 16,276 Front 16,847 Front 16,561
Rear 16,344 Rear 23,793 Rear 20,069
40,640 32,620 36,630 8,020

4.01 SAE Equivalents
Empty Full (Average Payload) Half Full
Full (Average Payload) Half Full
Empty Full (Average Payload) Half Full
Full (Average Payload) Half Full
https://r3cgi.sharepoint.com/Shared Documents/R3 Shared/+Projects/2023 FRANCHISE FEE STUDIES/Anaheim/+ Expert Witness Files/REPORT ATTACHMENTS/4 - Refuse Vehicle ESAL calcs / ESAL Calc
Attachment 4 City of San Rafael Franchise Fee Study 12-4-2023 I I
I I
I
I I
ESAL Calc

DETERMINE SAE OF RECYCLING VEHICLES
Gross Axle
Weight Single Axle Double Axle Triple Axle

0.010 0.001 0.0003 6,000

0.034 0.003 0.001 8,000

0.088 0.007 0.002 10,000
Empty 0.189 0.014 0.003 12,000
Single Front Double Rear 0.360 0.027 0.006 14,000
weight 16,276 weight 16,344 16,000 0.623 0.047 0.011
SAE 0.675 SAE 0.052 Total SAE= 0.727 18,000 1.000 0.077 0.017 20,000 1.510 0.121 0.027
Full 22,000 2.180 0.180 0.04
Single Front Double Rear 3.030 0.260 0.057 24,000
weight 16,847 weight 23,793 26,000 4.090 0.364 0.08
SAE 0.783 SAE 0.252 Total SAE= 1.034 28,000 5.390 0.495 0.109 30,000 6.970 0.658 0.145
Average = 0.881 32,000 8.880 0.857 0.191
34,000 11.180 1.095 0.246
Half Full 13.930 1.380 0.313 36,000
Single Front Double Rear 17.200 1.700 0.393 38,000
weight 16,561 weight 20,069 40,000 21.080 2.080 0.487
SAE 0.729 SAE 0.056 Total SAE = 0.784 42,000 25.640 2.510 0.597

RESIDENTIAL ESAL CALCS

GREEN WASTE

MODEL AXLE WEIGHT DISTRIBUTIONS
Front 50% Front 35.8% Front 43%
Rear 50% Rear 64.2% Rear 57%

MODEL AXLE WEIGHTS
Empty Payload
Total Weight 32,620 Total Weight 47,100 Total Weight 39,860 Front 16,276 Front 17,306 Front 16,791
Rear 16,344 Rear 29,794 Rear 23,069
47,100 32,620 39,860 14,480

8.04 DETERMINE SAE OF YARD WASTE VEHICLES
Gross Axle
Weight Single Axle Double Axle Triple Axle

0.010 0.001 0.0003 6,000

0.034 0.003 0.001 8,000

0.088 0.007 0.002 10,000
Empty 0.189 0.014 0.003 12,000
Single Front Double Rear 0.360 0.027 0.006 14,000
weight 16,276 weight 16,344 16,000 0.623 0.047 0.011
SAE 0.675 SAE 0.052 Total SAE= 0.727 18,000 1.000 0.077 0.017 20,000 1.510 0.121 0.027
Full 22,000 2.180 0.180 0.04
Single Front Double Rear 3.030 0.260 0.057 24,000
weight 17,306 weight 29,794 26,000 4.090 0.364 0.08
SAE 0.869 SAE 0.641 Total SAE= 1.510 28,000 5.390 0.495 0.109 30,000 6.970 0.658 0.145
Average = 1.119 32,000 8.880 0.857 0.191
SAE Equivalents
SAE Equivalents
Empty Full (Average Payload) Half Full
Full (Average Payload) Half Full
https://r3cgi.sharepoint.com/Shared Documents/R3 Shared/+Projects/2023 FRANCHISE FEE STUDIES/Anaheim/+ Expert Witness Files/REPORT ATTACHMENTS/4 - Refuse Vehicle ESAL calcs / ESAL Calc
Attachment 4 City of San Rafael Franchise Fee Study 12-4-2023 I I
I I
I
I I
I I
I I
I I
ESAL Calc

11.180 1.095 0.246 34,000
Half Full 13.930 1.380 0.313 36,000
Single Front Double Rear 17.200 1.700 0.393 38,000
weight 16,791 weight 23,069 40,000 21.080 2.080 0.487
SAE 0.772 SAE 0.223 Total SAE = 0.995 42,000 25.640 2.510 0.597 https://r3cgi.sharepoint.com/Shared Documents/R3 Shared/+Projects/2023 FRANCHISE FEE STUDIES/Anaheim/+ Expert Witness Files/REPORT ATTACHMENTS/4 - Refuse Vehicle ESAL calcs / ESAL Cal
Attachment 4 City of San Rafael Franchise Fee Study 12-4-2023 Attachment 5
City of San Rafael Franchise Fee Study 12-4-2023 • • •
!:l·l6SSIS.JNEQBM6.llilli
MAKE: 4wev,~
MODEL: cee
WHEELBASE:-~-
USABLE C/T~l 84
---17-l'a.r------~I
noo
-
EB MODEL: ~&.....z,:-===-.c.-
CAPACI -M',___ ..

PAYLOAD: /. #/YO.

PAYLOAD C/G
~
\ t::_/L ~ 0
_ __ (,...A.L
~ l~~
A'l+-l
.,,.

A=
51; C,00 /U IJ-';4-
J::e_.J.,. ,8v:Jp:a.
f,.

U. U{~~ -1 E
A \J\IS~ 1cfn,\
i-----~WB=Zoq1----~
C c f"i ft.e.J/"4 CHASSIS-· -- -
BODY - ~ ·.:__
LIFT AXLE . _;_ -
TARE - -· - ...:.__

PAYLOAD-- -

LIFT AXLE UP -

LIFT AXLE DOWN'-
GAWR-· .

FRONT
f3(l)0
7 721)
PUSHER
-
----
~-__ ·--r===----......ji--ii-----1 TOLERANCES UNl.£SS OTHEn""SE SPECIF1E01
N O Tl CE 01"1SION
Thl11 print la lh• properly of lit• 4 2 C
HEIL Co, end I• recallable ol any 1--....1
time. It muel not tie coplad or CODE
...

I'
--------1.:..---1---i' UNEAR .JO( • :t ,08
-------+----+---l .xxx .. :t .030
,
----'---1----1----1 '
ANQA.AR • * 1"
u1111d detrimentally lo the Inter- M 11101• of lhe HEIL Cc,.

DAID 07 /18 94 SCAlL: N/ A
, ______ .w,-.s __ __.__oA_TE___._1::_co_N_o.,L._ _______ _ TANDEM
,5.s/Jo
crogo
/4~0
2048D
5~

TAG ' TOTAL
/¢.:za
l6&a:>
• 3/«JO
ZoooO
.Sloe>o
. THE W~Ol1 CO.
llll£:

DRAIWII O\';
JHB

CHATTANOOGA, TN

WEIGHT DISTRIBUTION
FRONT. LOADER
PMT No.
701A7539
'Tl
• ID
l:f
N
0 0
I\)
0 w
..
:c
0 C
lll
cf
0 :J
A'.)
QI
ct
....

ID
a. °' II
-"' I\)
w
I
(X)
(II
(II
I
OJ
w
-"'
0 ,,
.
w
Attachment 5 City of Anaheim Sanitation Utility Pavement Impact Study ....
....
(SJ
....

I
m
1/)
....
'st
0 u
f---
z: I...J
E:

Q_
H
=> 0
w
g:
([
ll.
([
~
....
....
(\J
....

Q_
,
144
27 YO LEACH CtJRBTa«R, RJlL. EJECT, 0:F SET ARM CN WHITE EXPEDIT0R C.G. l.OAO
8 1-- ---- 03--- ------·r--1:le----------
c.o. e..-n eoov
l---------,eo---------+-- -1 1---~--------t--·~1---.....,..-----------:---~ J-----------:----r------211--------------,-1 209-----------, ~--------------350
.FA(.t4f f!EAn TOTM..

CHASS[S 10.HZ 6417 16759
OOOY 5290 OOJO IJ.520
LOAO 766 192.J4. ioooo
tOf;t'- 16JOO JJ6-~I YXJ19 ..

IA~
IO,o42 6,417 lb,'7 5q
5, 2c;o 15,0:iC l°?, ~2,.0
'76(; 19,2..'1°3 -z..c,cco
lb, ?q<t> ~~.6'61 50,079
;/
·c
--
'.,..
-
--
-
c::-=
.,, -~ -= -..
-- ...
--
.. It .. ,.

Attachment 6 City of San Rafael Franchise Fee Study 12-4-2023

PUBLISHED BY THE

AMERICAN ASSOCIATION OF STATE HIGHWAY AND TRANSPORTATION OFFICIALS Attachment 6 City of San Rafael Franchise Fee Study 12-4-2023 D-6 Design of Pa1·e,.

Table D.4. Axle Load Equivalency Factors for Flexible Pavements,i._8jngle Axles and p1 .Axle Load Pavement Structural Number (SN)
(kips) 1 2 3 4
2 .0004 .0004 .0003 .0002 .0002
4 .003 .004 .004 .003 02_
6 .011 .017 .017 .013 .0lOv'
8 .032 .047 .051 .041 .034
IO .078 .102 .118 .102 .088
12 .168 . 198 .229 .213 .189
14 .328 .358 .399 .388 .360
16 .591 .613 .646 .645 .623
18 1.00 1.00 1.00 1.00 1.00
20 1.61 1.57 1.49 1.47 l 1.51
22 2.48 2.38 2.17 2.09 2. 18
24 3.69 3.49 3.09 2.89 3.03
26 5.33 4.99 4.31 3.91 4.09
28 7.49 6.98 5.90 5.21 5.39
30 10.3 9.5 7.9 6.8 7.0
32 13.9 12.8 10.5 8.8 8.9
34 18.4 16.9 13.7 11.3 11.2
36 24.0 22.0 17.7 14.4 13.9
38 30.9 28.3 22.6 18.1 , 17.2
40 39.3 35.9 28.5 22.5 21.1
42 49.3 45.0 35.6 27.8 _25.6
44 - 6T_f ___ 55.9 44.0 34.0 31.0
46 75.5 68.8 54.0 41.4 37.2
48 92.2 83.9 65.7 50.1 44.5
50 112. 102. 79. 60. 53.

Attachment 6 City of San Rafael Franchise Fee Study 12-4-2023 D-7
.. D.S. Axle Load Equivalency Factors for Flexible Pavements, Tandem les and Pt of 2.5 Pavement Structural Number (SN)
1 2 3 4 s 6
.0001 .0001 .0001 .0000 .0000 .0000
.0005 .0005 .0004 .0003 .0003 .0002
.002 .002 .002 .001 001 ✓ .001
.004 .006 .005 .004 .003 .003
.008 .013 .011 .009 .007 .006
.015 .024 .023 .018 .014 .013
.026 .041 .042 .033 .027 .024
.044 .065 .070 .057 .047 .043
.070 .097 .109 .092 .077 .070
.107 .141 .162 .141 .121 .llO
.160 .198 .229 .207 .180 .166
.231 .273 .3 15 .292 .260 .242
.327 .370 .420 .401 .364 .342
.451 .493 .548 .534 .495 .470
.611 .648 .703 .695 .658 .633
.813 .843 .889 .887 .857 .834

1.06 1.08 1.11 1.11 1.09 1.08

1.38 1.38 1.38 1.38 1.38 1.38

1.75 1.73 1.69 1.68 1.70 1.73

2.21 2.16 2.06 2.03 ' 2.08 2. 14

2.76 2.67 2.49 2.43 2.51 2.61

3.4 1 3.27 2.99 2.88 3.00 3.16

4.18 3.98 3.58 3.40 3.55 3.79

5.08 4.80 4.25 3.98 4.17 4.49

6.12 5.76 5.03 4.64 4.86 5.28

7.33 6.87 5.93 5.38 5.63 6.17

8.72 8.14 6.95 6.22 6.47 7.15

10.3 9.6 8.1 7.2 7.4 8.2

12.1 11.3 9.4 8.2 8.4 9.4

14.2 13.1 10.9 9.4 9.6 10.7

16.5 15.3 12.6 10.7 10.8 12.1

19.1 17.6 14.5 12.2 12.2 13.7

22.1 20.3 16.6 13.8 13.7 15.4

25.3 23.3 18.9 15.6 15.4 17.2

29.0 26.6 21.5 17.6 17.2 19.2

33.0 30.3 24.4 19.8 19.2 21.3

37.5 34.4 27.6 22.2 21.3 23.6

42.5 38.9 31.1 24.8 23.7 26.1

48.0 43.9 35.0 27.8 26.2 28.8

54.0 49.4 39.2 30.9 29.0 31.7

60.6 55.4 43.9 34.4 32.0 34.8

67.8 61.9 49.0 38.2 35.3 38. I

75.7 69.1 54.5 42.3 38.8 41.7

84.3 76.9 60.6 46.8 42.6 45.6

93.7 85.4 67.1 51.7 46.8 49.7
Exhibit B - Cost of Service Fee, Refuse Vehicle Impact Fee, and Franchise Fee The City adopts the Cost of Service Fee, Refuse Vehicle Impact Fee, and Franchise Fee set forth below. Amounts shown are annual calendar year figures effective January 1, 2025 through December 31, 2025.

Cost of Service Fee - $1,945,401
Refuse Vehicle Impact Fee - $1,480,601
Franchise Fee - $1,216,000
Effective January 1, 2026, and annually every January 1st thereafter, the Cost of Service Fee and the Franchise Fee shall be adjusted in proportion to the annual percentage change in the Consumer Price Index for All Urban Consumers (CPI-U) for the San Francisco Bay Area (U.S. Bureau of Labor Statistics series ID: CUURS49BSA0). The Vehicle Impact Fee is not subject to annual adjustment.

CITY OF SAN RAFAEL

EXHIBIT C - SCHEDULE OF RATES

RESIDENTIAL REFUSE COLLECTION RATES
Rate increase: 5.24%
Effective date: 01/01/2025
Weekly Service Rates (Billed Quarterly)
Monthly Rate Quarterly Rate Monthly Rate Quarterly Rate 20 gallon cart $47.69 $143.07 $54.00 $162.00
32 gallon cart $56.10 $168.30 $63.55 $190.65
64 gallon cart $112.20 $336.60 $127.10 $381.30
96 gallon cart $168.30 $504.90 $190.65 $571.95
Low income - 20 gal* cart $38.15 $114.45 $43.20 $129.60 Low income - 32 gal* cart $44.88 $134.64 $50.84 $152.52 Low income - 64 gal* cart $89.76 $269.28 $101.68 $305.04 Low income - 96 gal* cart $134.64 $403.92 $152.52 $457.56 Senior rate**Discontinued $39.60 $118.80 $50.43 $151.29 Additional Organics Cart Rental $3.00 $9.00 $3.00 $9.00 (35 or 64 gallon cart)
Additional Split Cart Rental $3.00 $9.00 $3.00 $9.00
(64 or 96 gallon cart)
Additional Monthly Charges Monthly Fee Quarterly Fee
(per cart, each way)
Distance 0' - 50' $7.27 $21.81
Distance Over 50' $14.74 $44.22
Additional Service Fees per Occurrence Fee
Return Fees - Off day $25.00
Return Fees - Same day $10.00
Resume Service/Late Fee $35.00
Contamination (cart) any size cart $30.00
Overload/Overweight (cart) $25.00
Extra bag garbage $15.00
Extra bag yard waste $10.00
Steam Clean (cart) $15.00
Special Collection $35.00
Special Handling (Bulky items) $30.00
Bulky item fees per item Fees Vary
Cart Strap Set-up Admin Fee $25.00
20 Gal Cart Replacement Fee $55.00
32 Gal Cart Replacement Fee $60.00
64 Gal Cart Replacement Fee $65.00
96 Gal Cart Replacement Fee $75.00
64 Gal Split Cart Replacement Fee $90.00
96 Gal Split Cart Replacement Fee $100.00
*Must meet PG&E CARE program eligibility requirements.
**Customers with these rates prior to 2005 will keep the existing rate type. No new customers will be added with this rate type.

ONE TIME SERVICE FEES REOCCURING CHARGES
Residential Service (Bundled service includes 1 landfill (garbage) cart, 1 organics cart, & 1 recycling split cart ) Flat rate Hill Rate
NOTE: We may not be able to accommodate any collection requests NOT at the curb due to a variety of factors including safety, accessibility, and efficiency. Requests to be assessed and approved by Route Manager.

CITY OF SAN RAFAEL

EXHIBIT C - SCHEDULE OF RATES

COMMERCIAL REFUSE MONTHLY COLLECTION RATES
Rate increase: 5.24%
Effective date: 01/01/2025

COMMERCIAL CARTS, BINS, ROLL-OFFS
Garbage 1 2 3 4 5 6
20 gallon cart* $47.69 $95.38 $143.07 $190.76 $238.45 $286.14 $11.01 32 gallon cart $55.72 $111.44 $167.16 $222.88 $278.60 $334.32 $12.86 64 gallon cart $111.44 $222.88 $334.32 $445.76 $557.20 $668.64 $25.72 96 gallon cart $167.16 $334.32 $501.48 $668.64 $835.80 $1,002.96 $38.58 1 yard bin $362.16 $731.28 $1,107.34 $1,490.46 $1,880.43 $2,277.35 $83.58 2 yard bin $532.49 $1,223.43 $1,856.00 $2,502.48 $3,162.89 $3,837.21 $122.88 3 yard bin $693.10 $1,290.65 $1,967.38 $2,664.85 $3,383.30 $4,122.60 $159.95 4 yard bin $988.77 $1,827.85 $2,783.44 $3,766.97 $4,511.10 $5,817.49 $228.18 5 yard bin $1,069.58 $2,151.10 $3,278.97 $4,441.45 $5,638.89 $6,871.00 $246.83 6 yard bin $1,269.78 $2,581.32 $3,934.73 $5,329.80 $6,766.61 $8,245.22 $293.03 10 yard roll-off $1,789.69 $3,662.49 $5,620.67 $7,661.30 $9,785.51 $11,993.15 $413.01 18 yard roll-off $3,214.47 $6,579.40 $10,094.58 $13,760.08 $17,575.90 $21,542.11 $741.80 20 yard roll-off $3,571.75 $7,310.42 $11,216.17 $15,288.94 $19,528.78 $23,935.63 $824.25 25 yard roll-off $4,996.30 $10,226.48 $15,075.71 $20,549.69 $26,248.43 $32,171.73 $1,152.99 Organics (F2E or Compost) 1 23456
Additional One
Time Empty/On
Call
32 gallon $23.11 $46.22 $69.33 $92.44 $115.55 $138.66 $5.33 64 gallon $46.22 $92.44 $138.66 $184.88 $231.10 $277.32 $10.67 1 yard $161.72 $323.44 $485.16 $646.88 $808.60 $970.32 $37.32 2 yard $323.44 $646.88 $970.32 $1,293.76 $1,617.20 $1,940.64 $74.64 3 yard $485.16 $970.32 $1,455.48 $1,940.64 $2,425.80 $2,910.96 $111.96 10 yard roll-off $1,252.78 $2,505.56 $3,758.34 $5,011.12 $6,263.90 $7,516.68 $289.10 18 yard roll-off $2,255.00 $4,510.00 $6,765.00 $9,020.00 $11,275.00 $13,530.00 $520.38 20 yard roll-off $2,505.56 $5,011.12 $7,516.68 $10,022.24 $12,527.80 $15,033.36 $578.21 25 yard roll-off $3,131.95 $6,263.90 $9,395.85 $12,527.80 $15,659.75 $18,791.70 $722.76 Garbage Compactors (Per empty)
Roll-off Compactor Tipping fee per ton $153.82 Roll-off Compactor Hauling charge $345.73 Stationary FL (Per Compacted Yard) $133.58 Roll-off Compactor Special handling Rates Vary Service Fee Details
Lock $25.00 Monthly fee per collection and commodity
Box rental Fees Vary Minimum Bimonthly fee
Minimum Load ML Fees Vary
Distance < 50ft $7.27 Monthly fee per cart, each way
Distance > 50ft $14.74 Monthly fee per cart, each way
On Call rate only available with approval from Route Manager Commercial Service Fees Fee
Return Fee - BIN $75.00
Return Fee - CART -same day $10.00
Return Fee - CART -off day $25.00
Late Fee/Resume Service Fee $35.00
Contamination (BIN) $50.00
Contamination (CART) $30.00
Overload/Compaction (BIN) $60.00
Overload/Compaction (CART) $25.00
Additional Empty/Bag Garbage $15.00
Additional Empty BIN Fees vary
Extra Bag Yard Waste $15.00
Steam Clean (1-6 yard BIN) $95.00
Steam Clean (CART) $15.00
Steam Clean (COMPACTOR/ROLL-OFF) $225.00
Lock Set-up Admin Fee $25.00
Lock Single Use Fee $5.00
Lock Purchase Fee $20.00
Lock Bar Bin Set-up Fee $75.00
Overweight Charge Per Ton* $205.00
20 Gal Cart Replacement Fee $55.00
32 Gal Cart Replacement Fee $60.00
64 Gal Cart Replacement Fee $65.00
96 Gal Cart Replacement Fee $75.00
64 Gal Split Cart Replacement Fee $90.00
96 Gal Split Cart Replacement Fee $100.00
Bin Repair/Replacement Fee** Fees vary
*(Boxes exceeding 300lbs/yard)
**Fees vary by size up to $1,200, not to exceed current replacement value.

NOTE: All container types and sizes may not be available at all locations depending on a variety of factors including safety, accessibility, and efficiency. Requests to be assessed and approved by Route Manager.

ONE TIME SERVICE FEES REOCCURING CHARGES
Collections per Week
Monthly fee
Additional One
Time Empty/On
Call
Other Charges
* Customers must have a sufficient level of service for the volume of material generated. Requests for 20gal carts require assessment and approval of a Route Manager.

CITY OF SAN RAFAEL

EXHIBIT C - SCHEDULE OF RATES

MULTI-FAMILY DWELLING REFUSE MONTHLY COLLECTION RATES
Rate increase: 5.24%
Effective date: 01/01/2025

MFD CARTS, BINS, ROLL-OFFS
Garbage 1 23456
20 gallon cart* $47.69 $95.38 $143.07 $190.76 $238.45 $286.14 $11.01 32 gallon cart $56.10 $112.20 $168.30 $224.40 $280.50 $336.60 $12.95 64 gallon cart $112.20 $224.40 $336.60 $448.80 $561.00 $673.20 $25.89 96 gallon cart $168.30 $336.60 $504.90 $673.20 $841.50 $1,009.80 $38.84 32 gallon - hill $63.55 $127.10 $190.65 $254.20 $317.75 $381.30 $14.67 64 gallon - hill $127.10 $254.20 $381.30 $508.40 $635.50 $762.60 $29.33 96 gallon - hill $190.65 $381.30 $571.95 $762.60 $953.25 $1,143.90 $44.00 1 yard bin $348.99 $703.53 $1,063.71 $1,429.43 $1,800.69 $2,177.49 $80.54 2 yard bin $532.49 $1,220.62 $1,847.65 $2,485.76 $3,135.07 $3,795.47 $122.88 3 yard bin $693.10 $1,270.28 $1,930.51 $2,607.42 $3,301.00 $4,011.23 $159.95 4 yard bin $988.77 $1,822.30 $2,766.69 $3,733.54 $4,636.04 $5,733.94 $228.18 5 yard bin $1,069.58 $2,117.14 $3,217.45 $4,345.58 $5,501.60 $6,685.46 $246.83 6 yard bin $1,253.58 $2,540.59 $3,860.94 $5,214.72 $6,601.92 $8,022.49 $289.29 10 yard roll-off $1,789.69 $3,662.49 $5,620.67 $7,661.30 $9,785.51 $11,993.15 $413.01 18 yard roll-off $3,214.47 $6,579.40 $10,094.58 $13,760.08 $17,575.90 $21,542.11 $741.80 20 yard roll-off $3,571.75 $7,310.42 $11,216.17 $15,288.94 $19,528.78 $23,935.63 $824.25 25 yard roll-off $4,996.30 $10,226.48 $15,075.71 $20,549.69 $26,248.43 $32,171.73 $1,152.99 Organics 1 23456
Additional One
Time Empty/ on
Call
Additional Organics Cart Rental $3.00 $6.00 $9.00 $12.00 $15.00 $18.00 NA (35 gallon cart) after 4 TOTAL carts per cart per
month
Additional Organics Cart Rental $3.00 $6.00 $9.00 $12.00 $15.00 $18.00 NA (64 gallon cart) after 4 TOTAL carts per cart per
month.
1 yard $161.72 $323.44 $485.16 $646.88 $808.60 $970.32 $37.32 2 yard $323.44 $646.88 $970.32 $1,293.76 $1,617.20 $1,940.64 $74.64 3 yard $485.16 $970.32 $1,455.48 $1,940.64 $2,425.80 $2,910.96 $111.96 Garbage Compactors (Per empty)
Roll-off Compactor Tipping fee per ton $153.82 Roll-off Compactor Hauling charge $345.73 Stationary FL (Per Compacted Yard) $133.58 Roll-off Compactor Special handling Rates Vary Service Fee Details
Lock $25.00 Monthly fee per collection and commodity
Box rental Fees Vary Minimum Bimonthly fee
Minimum Load ML Fees Vary
Distance < 50ft $7.27 Monthly fee per cart, each way
Distance > 50ft $14.74 Monthly fee per cart, each way
On Call rate only available with approval from Route Manager MFD One Time Service Fees Fee
Return Fee - BIN $75.00
Return Fee - CART -same day $10.00
Return Fee - CART -off day $25.00
Late Fee/Resume Service Fee $35.00
Contamination (BIN) Per Yard $50.00
Contamination (CART) $30.00
Overload/Compaction (BIN) $60.00
Overload/Compaction (CART) $25.00
Additional Empty/Bag Garbage $15.00
Extra Bag Yard Waste $10.00
Additional Empty Garbage Fees vary
Steam Clean (BIN) $95.00
Steam Clean (CART) $15.00
Steam Clean (COMPACTOR/ROLL-OFF) $225.00
Lock Set-up Admin Fee $25.00
Lock Single Use Fee $5.00
Lock Purchase Fee $20.00
Lock Bar Bin Set-up Fee $75.00
Overweight Charge Per Ton* $205.00
20 Gal Cart Replacement Fee $55.00
32 Gal Cart Replacement Fee $60.00
64 Gal Cart Replacement Fee $65.00
96 Gal Cart Replacement Fee $75.00
64 Gal Split Cart Replacement Fee $90.00
96 Gal Split Cart Replacement Fee $100.00
Bin Repair/Replacement Fee** Fees vary by size
up to $1,200
*(Boxes exceeding 300lbs/yard)
**Fees vary by size not to exceed current replacement value.

NOTE: All container types and sizes may not be available depending on a variety of factors including safety, accessibility, and efficiency. Requests to be assessed and approved by Route Manager.

NOTE: Minimum service level is 32 gallons per unit or equivalent volume. Decrease to 20 gallon per unit is subject to company review and approval.

NOTE: Up to four (4) Organics carts provided at no additional charge. Additional carts may be rented for a nominal monthly fee.

REOCCURING CHARGES
Collections per Week Additional One
Time Empty/On
Call
Other Charges

ONE TIME SERVICE FEES
Monthly fee

FINAL REPORT
City of San Rafael
Submitted electronically on October 22, 2020
submitted electronically: October 21, 2024
Review of Marin Sanitary Service’s
2025 Rate Application
450 14th Street, Suite 350, Oakland, CA 94612 | p 916.782.7821 | f 916.782.7824 | www.r3cgi.com October 21, 2024
John Stefanski
Assistant City Manager
City of San Rafael
1400 Fifth Avenue
San Rafael, CA 94919
submitted via email: [email protected] SUBJECT: Final Report – Review of Marin Sanitary Service’s 2025 Rate Application Dear Mr. Stefanski,
R3 Consulting Group, Inc. (R3) is pleased to submit this report detailing the results of our review of Marin Sanitary Service’s (MSS’s) 2025 rate application for the City of San Rafael.

This review was conducted pursuant to R3’s engagement with the seven agencies (Agencies) served by MSS, including the City of San Rafael, City of Larkspur, County of Marin, Las Gallinas Valley Sanitary District, Town of Ross, Town of Fairfax, and the Town of San Anselmo.

This report summarizes results from our review of MSS’s 2025 indexed rate application per the streamlined rate setting methodology established in 2019. The methodology is described in the amended Exhibit B to the Franchise Agreement that the City holds with MSS. * * * * *
We appreciate the opportunity to be of service to the City. Should you have any questions regarding this report or need any additional information, please do not hesitate to reach out directly.

Sincerely,
Jim Howison | Sr. Managing Consultant
R3 Consulting Group, Inc.
925.768.7244 | [email protected]

1. FINDINGS
City of San Rafael | Review of MSS’s 2025 Rate Application Page 1 of 4 Executive Summary
On August 30, 2024, MSS submitted its application for an increase to its solid waste rates, to be effective January 1, 2025. This is an indexed year rate adjustment, which primarily projects compensation due to MSS based on the applicable Water-Sewer-Trash CPI Index (WST). Based on our review of the rate application, R3 concurs with MSS’s calculated 2025 rate revenue requirement of $31,895,957, which is $1,587,765 higher than the 2024 rate revenue requirement of $30,308,192. The corresponding adjustment to the City’s solid waste rates for 2025 is 5.24%, based on January 1, 2025 effective date.

Table 1: 2025 Rate Adjustment Summary
2024 2025 Dollar
Change
Percentage
Change
Adjustment
to Rates
Collector Operations 18,249,610 19,086,959 837,349 4.59% 2.76% Garbage Landfilling and Organics
Processing 2,975,895 3,182,484 206,589 6.94% 0.68%
State Compliance Database
Subscription (4,197) 0 4,197 -100.00% 0.01%
SB 1383 Compliance 223,017 224,558 1,541 0.69% 0.01%
San Rafael Illegal Dumping
Program 123,400 571,291 447,891 362.96% 1.48%
Profit Calculation 2,264,015 2,421,219 157,204 6.94% 0.52% Recyclable Materials Processing 749,801 660,900 (88,901) -11.86% -0.29% Interest 415,019 434,061 19,042 4.59% 0.06%
Zero Waste Marin Fees 394,265 287,781 (106,484) -27.01% -0.35% Cost of Service and Franchise
Fees 2,995,369 3,161,401 166,032 5.54% 0.55%
Vehicle Impact Fee 1,480,601 1,480,601 0 0.00% 0.00%
Annual Rate Revenue
Reconciliation 354,503 281,947 (72,556) -20.47% -0.24%
Recycling Property Insurance 86,894 102,755 15,861 18.25% 0.05% Total Annual Rate Revenue
Requirement $30,308,192 $31,895,957 $1,587,765 5.24% 5.24% City of San Rafael | Review of MSS’s 2025 Rate Application Page 2 of 4 2025 Rate Adjustment Details
Collector Operations
Collector Operations compensates MSS for labor, benefits, general and administrative, depreciation and lease, maintenance, fuel and oil. Per Exhibit B, compensation for Collector Operations is adjusted using the CPI index for Water and Sewer and Trash Collection. R3 used publicly available Bureau of Labor Statistics data to verify the calculated increase of 4.59% to Collector Operations. Per Exhibit B, the rate adjustment is subject to a 2.5% minimum and a 5% maximum rate cap for MSS’s collection operations.

The result is $19,086,959 in Collector Operations for the City of San Rafael in 2025, which is an increase of $837,349 compared to 2024.

Garbage and Organics Tipping Fees
Garbage Landfilling and Organics Processing tipping fee projections are calculated using actual tonnages collected from January 1 through June 30, 2024, which are then annualized to project total 2024 tonnages. Those tonnages are then multiplied by the projected 2025 tipping fees calculated in accordance with Exhibit B. This is based on the actual per ton tipping fees for each waste stream category, or if unavailable, projected tipping fees are calculated using the current year per ton tipping fees escalated by the change in WST— subject to a minimum increase of 2.5% and a maximum increase of

5.0%.

R3 reviewed MSS’s projected 2024 tons and the 2025 per ton tipping fees for residential garbage, residential green waste/organics, commercial garbage, commercial mixed waste for processing, commercial food scraps, and MSS-served Agencies’ waste delivered to MSS. Per Exhibit B, R3 confirmed that MSS materially correctly projected tons by category using annualized actual tons for the first six months of the current rate year and, as actual tipping fees are unavailable, applied the 4.59% WST adjustment to project 2025 per ton tip fees. The result is $3,182,484 in Garbage and Organics Tipping fees for the City in 2025, which is an increase $206,589 compared to 2024.

Database Subscription for Compliance with State Law
The rate setting methodology allows for the recovery of additional revenues associated with costs for changes in law and/or new State mandates. For increased operating expenses due to State Laws, including AB 1826 and SB 1383, MSS has included in its rate application a line item for a compliance database. Zero Waste Marin has assumed responsibility for the tracking and reporting of materials. In 2024, MSS discontinued its subscription to Recyclist and received a refund of $4,197. For 2025,there is no remaining portion of the agency’s refund.

Compliance with SB 1383
MSS is requesting continued revenue in association with SB 1383 with the goal of increasing compliance with the State of California’s organics state mandate(s). The company will continue to provide compliance monitoring and inspection services, contamination monitoring, outreach and education, and reporting functions on behalf of the City. The total 2025 revenue recovery for these new SB 1383 compliance measures for MSS is $224,558, for an increase of $1,541 or 0.69% from 2024.

Illegal Dumping Program Funding
Since 2020, the City has been piloting and testing programs to reduce and abate incidences of illegal dumping in the City, in partnership with MSS and others. In 2024, the City allocated $123,400 for the illegal dumping pilot program. For 2025, City staff recommends increasing the budget by $478,291 (to $571,291 which will be incorporated into Collector Operations) due to the expansion of the program.

City of San Rafael | Review of MSS’s 2025 Rate Application Page 3 of 4 Profit Calculation
R3 reviewed the calculation of MSS’s profit, which is a function of total allowable operating expenses ($23,065,292 for the City) divided by the contractually set operating ratio of 90.5% and subtracting the same sum, rounded to the nearest dollar. MSS’s actual profit achievement will vary depending on the company’s real revenues and expenses; as such, profit is not guaranteed. The result is $2,421,219 in Calculated Profit for the City in 2025, which is an increase of $157,204 compared to 2024. The increase is due to increases in allowable operating expenses, which were described in the previous sections of this report.

Recyclable Materials Processing
A net recyclable materials processing cost is calculated each year to share the risks and rewards of changing recycling markets between rate payers and MSS. Per Exhibit B, the Recyclable Materials Processing cost is escalated by the annual change in the WST and that amount is then divided by the number of all tons of recyclable materials processed at Marin Recycling Center from July 1 of the prior rate year through June 30 of the current rate year.

The recyclable materials revenue amount is calculated based on 90% of the total revenue received by the Marin Recycling Center for recyclable materials, which is then divided by the number recyclable material tons processed at Marin Recycling Center. The calculation does not include income or tons from recyclable materials processed for third parties or agencies that were not customers of MSS or the Marin Recycling Center as of December 31, 2018. For Rate Year 2025, the resulting Net Recyclable Materials Processing Cost Per Ton is $73.58, a decrease of $5.29 from the 2024 value of $78.87. The result is $660,900 in Recyclable Materials Processing costs for the City in 2025, which is a decrease of $88,901.

Interest
Interest is based on MSS’s actual interest from its loan amortization schedules for actual and projected capital expenditures for services under the Agreement as of the last base year review in 2019. This is increased in the same manner as Collector Operations, as described above, via WST annually.

The result is $434,061 in interest for the City in 2025, which is an increase of $19,042 compared to 2024.

Zero Waste Marin Fees
Zero Waste Marin Fees are set as a pass-through as government fees and, per Exhibit B to the agreements, changes in such fees result in appropriate adjustments to rates to compensate MSS for increases or decreases in such fees. Zero Waste Marin fees included in the annual indexed rate applications for the MSS service area are set to be equal to the current Zero Waste Marin Fee assessments for the current fiscal year, with 100% of the MSS hauler fees passed through to the MSS Agencies, and with none of the MSS Transfer Station fees passed through to the MSS Agencies. The result is $287,781 in Zero Waste Marin Fees for the City in 2025, which is a decrease of $106,484 compared to 2024. The decrease is due to grant funding obtained by Zero Waste Marin which is offsetting the need for fees in 2025.

Cost of Service and Franchise Fee
The City’s Cost of Service Fee is set by the City to cost the City’s costs associated with management and administration of the Agreement with MSS and the solid waste utility. The Franchise Fee is established via agreement of the City and MSS and for the value of City property used by MSS in collection operations. Taken together, the Cost of Service Fee and Franchise Fee amount to $3,161,401 in in 2025.

Vehicle Impact Fee
MSS pays the City a $1,480,601 Vehicle Impact Fee to cover the cost of road impacts from MSS’s solid waste collection vehicles, which is set by the City.

City of San Rafael | Review of MSS’s 2025 Rate Application Page 4 of 4 Annual Rate Revenue Reconciliation
The Rate Revenue Reconciliation item is to reconcile the projected rate revenue from the 2023 rate adjustment to the actual revenue collected through rates charged during the 2022 rate year. MSS experienced a shortfall of $281,947 in 2023 billed revenues in the City compared to the 2023 revenue requirement. That amount is therefore included in the 2025 rate application.

Recycling Property Insurance
Property insurance for recycling processing facilities has gone up across the country due to due to fire risks from lithium batteries. MSS has had no such claims but has received rate increases based on its risk profile. MSS has previously and separately briefed the Agencies on this item, and R3 is aware of the market circumstances surrounding it. R3 finds that this extraordinary item is supported and reasonable.

The result is $660,900 in Recycling Property Insurance for the City in 2025, which is an increase of $15,861 compared to 2024.

Survey of Comparable Rates
Figure 1 illustrates R3's survey of solid waste rates as of October 2024 for agencies located throughout Marin County. These survey results are presented as an indication of the reasonableness of the resulting rates for 2025. For comparison purposes, agencies serviced by Marin Sanitary Services (MSS) are designated in green and represent the proposed pricing for 32-gallon cart, including the current rate increase. Other, non-MSS service agencies are designated in blue and are current rates, though rate increases are expected for 2025 as well. The average cost for the 30–35-gallon cart for non-MSS service agencies is represented by the grey line is $57.18. The 32-gallon cart is projected to cost $56.10 per month for the flat regions of the City. The 2025 Hill Rate for the 32-gallon cart is projected at $63.55 per month. The City’s commercial rates for a 3-cubic yard bin serviced one time per week will be $693.10 compared to $658.59 the previous year.

Figure 1: Comparison of MSS’s 2025 Rates to Other Marin County Agencies $57.18
$-
$10
$20
$30
$40
$50
$60
$70
$80
$90

Customer Owned Cart Implementation Plan
Messaging Plan

Type Description Delivery Date
Website updated Rationale and details on program change December 2024(once approved) Postcard mailed Rationale for program change January 2025 Email campaign Program change details January 2025
Social Media
Campaign
Program change details January-February 2025
Cart hanger Reminder that own cans will no longer be
accepted after March 1, 2025, for
customers who put out extra cans/bags.

January 2025
Cart hanger Explanation of why cart/bags were not
collected
March 1, 2025 forward
Elimination of Customer-Owned Cans Roll-Out

1. Beginning January 1, 2025
a. Residential customers will be educated on the new program rules which go into effect March 1, 2025.
b. Customers may call in for one (1) additional bundled cart or to exchange to a larger cart, at no charge.
c. Customers may rent up to four additional organics carts for a total of 6 organics carts. d. Program basics:
i. Owner organics cans will continue to be collected until February 28, 2025 ii. ALL customers who set out owner cans will have a cart hanger left with information on the new program EVERY TIME THE OWNER CANS ARE EMPTIED in January and February 2025.

1. The following documentation will be collected from January 1-February 28, 2025 every time a customer sets out owner cans:
a. Date
b. Customer Name
c. Customer Address
d. Number of owner cans set out

2. Effective March 1, 2025

1. No customer owned carts or extra bags will be allowed for service

2. MSS will remove and recycle any personal cans at the customer’s request through May 1, 2025 at no additional cost.

CITY OF SAN RAFAEL

NOTICE OF PUBLIC HEARING BEFORE THE SAN RAFAEL CITY COUNCIL You are invited to attend the City Council hearing on the following: consideration of (1) amendments to the City’s franchise agreement with Marin Sanitary Service; (2) authorization of maximum rates allowed by Marin Sanitary Service for refuse and recycling collection and adoption of City fees imposed on Marin Sanitary Service related to their provision of solid waste services.

DATE/TIME: Monday, November 4, at 6:00 p.m.

LOCATION: City Council Chambers, City Hall, 1400 Fifth Avenue, San Rafael, CA 94901 PURPOSE:

1. To consider amendments to the franchise agreement with Marin Sanitary Service to include a new illegal dumping program, to require use of Marin Sanitary Service carts for refuse service, and to change how franchise fees are calculated.

2. To consider a request by Marin Sanitary Service for a rate increase of 5.24% for refuse and recycling collection and services and to consider adopting a Resolution authorizing maximum rates to be charged by Marin Sanitary Service for the year 2025 and adopting City fees to be imposed on Marin Sanitary Service for the City’s costs of providing services and/or benefits related to solid waste services and for the value of property used by Marin Sanitary Service in the provision of solid waste-related services.

WHAT WILL HAPPEN:

Staff will provide a presentation, members of the public can provide comments/questions, and the City Council will consider all public testimony, deliberate, and determine how to proceed with the recommendation provided by staff.

IF YOU CANNOT ATTEND:

You may submit comments regarding the proposed item by 4:00 p.m. the day of the hearing to Lindsay Lara, City Clerk, City of San Rafael, 1400 Fifth Avenue, San Rafael, CA 94901, or by email to [email protected]. You can also hand deliver a letter prior to the public hearing. The City Clerk’s office will forward your comments to the City Council and publish correspondence received to the agenda online. Comments received after 4:00 p.m. will be forwarded to the City Council and posted online the following day.

FOR MORE INFORMATION:

For additional information regarding the above, you may contact Cory Bytof, Sustainability Program Manager for the City of San Rafael at (415) 485-3407 or [email protected]. Office hours are MondayFriday, 8:30 AM to 5:00 PM. You can also view the staff report after 4:00 p.m. on the Friday before the meeting at https://www.cityofsanrafael.org/city-council-meetings/ /s/ Lindsay Lara
Lindsay Lara
City Clerk
City of San Rafael
To be published in the Marin IJ twice: October 25th and October 30th