Item 5 Additional Material posted 5-28-20M EMO RAN D LJ M City of Poway
ADDITIONAL MATERIALS
(Agenda Related Writings/Documents provided to City Council or Staff after distribution of the
Agenda Packet for the June 2, 2020 Council Meeting)
DATE:
TO:
FROM:
CONTACT:
May 28, 2020
Honorable Mayor and Members of the City Council
Faviola Medina, CMC
(858)668-4535 or fmedina@poway.org
SUBJECT: Item #5 -Resolution for Solid Waste/Recycling Collection Service Rate Increases
Attached please find correspondence received after the agenda posting deadline.
Reviewed/ Approved By:
Wendaserman
Assistant City Manager
Reviewed By:
Alan Fenstermacher
City Attorney
Approved By:
City Manager
1 of 2 June 2, 2020, Item #5
2 of 2June 2, 2020, Item #5May 28, 2020 Chris Hazeltine City Manager City of Poway 13325 Civic Center Drive Poway, CA 92064 Dear Chris -First, let me thank you and your staff for everything you're doing for the City and its residents under such trying circumstances. Participating in recent Council and Budget Committee meetings on line, and communications with Council members and staff, have all been very positive. I'm writing relative to the recent Prop 218 notice for trash rates. I am not protesting the rates, but I feel some comments about the Prop 218 notice are warranted. They are probably small in the whole scheme of things today, but thought I'd send them along. I have been in contact with Izzy Murguia, who has been very helpful. He has provided good information, but I felt I'd communicate with you as well. I have the following comments: 1. The Franchise Fee is shown as 10%, which may be technically correct based on the way it is worded and calculated in the Franchise Agreement. In reality, the fee, when calculated on top of the Service Fee and Disposal Tip Fee charged by EDCO, is 11.2%, with the City receiving that 11.2%. In essence, customers are paying a 10% Franchise Fee on the Franchise Fee. I feel it should be disclosed to the customers more transparently. 2. The new Organic Fee is only called out in the three pages of text, and is not reflected in the balded tables, which is where I expect your customer's eyes will be drawn. The $0.45/2.1% per month increase in regular trash rates (on the 95 gallon Residential Rate) is inconsequential compared to the added $3.68/16.2% Organic Fee increase which will occur in early 2021. (On the 35 gallon Residential Rate, the increase is a 23.3% increase). With this significant increase, I do not feel the Prop 218 discloses the Organic Fee effectively. The presentation slide to Council showed this far more directly, with a note specifically stating that the additional $3.68/month fee would be effective in early 2021. 3. There is no mention whether the Organic Fee is subject to the Franchise Fee, but since it cannot total more than the $3.68 in the notice, it's probably moot. I see that the information packet distributed for the June 2, 2020 Council Meeting lays out the $3.68 far more clearly, with no indication that a Franchise Fee would be applied in addition. In any event, it could have been stated more clearly in the Prop 218 notice. Thanks and regards, Dan Krall 14223 Primrose Court Poway, CA 92064 Received MAY 2 8 2020 etty of PoW8Y Ctty Mana98f'S ()ffiCe Cc. City Clerk Izzy Murguia