Item 9 - Resolution Establishing Special Permit Fee for Collection of Solid Waste
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AGENDA REPORT SUMMARY
TO: Honorable Mayor and Members of the City Council
FROM: James L. Bowersox, City Man~
INITIATED BY: John D. Fitch, Assistant City Manager &
James R. Williams, P.E., Director of Public Services
Annette R. Gonzalez, Sr. Management AnalysW&'
DATE: August 8, 1995
SUBJECT: Resolution Establishing Special Permit Fee for the Collection of Solid
Waste and Recyclables, and Rescinding Resolution No. 90-227.
ABSTRACT Chapter 8.68 of the Poway Municipal Code contains new provisions relating to the issuance of
special permits for the collection of solid waste and recyclables which may be granted by the City Manager
under certain circumstances to someone other than the City's exclusive franchisee. The fees for such special
_ permits shall be established by resolution of the City Council. The proposed resolution, Attachment 1,
establishes the following fees for the following categories of service provision: a) $50 for up to ten (10)
consecutive days of service provided during a one-year term for special pick-up service the franchisee cannot
render within two full working days; b) $500 plus $50 per commercial account for specialized service the
franchisee is not equipped or licensed to render, or has not subcontracted to render; c) an amount to be
determined by the City Manger for service the franchisee cannot render in an emergency; and d) 5% of gross
receipts received for that portion of the special permittee's contract with another governmental entity for service
rendered within the Poway City Limits. It is recommended that the City Council approve the attached resolution
and rescind Resolution No. 90-227.
ENVIRONMENTAL REVIEW This item is not subject to CEQA review,
FISCAL IMP ACT This action would result in increased revenues to the City for each special permit
issued. The revenue would be used to offset costs incurred by the City in carrying out state and local solid
waste regulations and diversion requirements.
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
Coast Waste Management, Poway Unified School District, Mashburn Waste and Recycling Services
I RECOMMENDATION It is recommended that the City Council adopt the proposed resolution that
establishes special permit fees for the collection of solid waste and recyclables, and rescind Resolution No.
90-227.
ACTION
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~ AGENDA REPORT
CITY OF POW A Y
TO: Honorable Mayor and Members of the City Council
FROM: James L. Bowersox, City M~
INITIATED BY: John D. Fitch, Assistant City Manager ~
James R. Williams, P.E., Director of Public Service
Annette R. Gonzalez, Sr. Management Analystf!((:J
DATE: August 8, I995
SUBJECT: Proposed Resolution Establishing Special Permit Fees for the
Collection of Solid Waste and Recyclables, and Rescinding Resolution
No. 90-227
BACKGROUND
On September 20, I 994, the Poway City Council awarded an exclusive franchise for the collection
of solid waste, recyclables, yard waste and other compostables to Mashburn Waste and Recycling
Services. On August 8,1995, the Poway City Council adopted Ordinance No. 448 which established
a new Chapter 8.68 of the Poway Municipal Code regulating solid waste, recyclables, yard waste,
and other compostable materials handling services. Chapter 8.68 of the Municipal Code contains
new provisions relating to the issuance of special permits for the collection of solid waste and
recyclables which may be granted by the City Manager under certain circumstances to someone
other than the City's exclusive franchisee. Pursuant to the ordinance, the fee for such special permits
shall be determined by resolution of the City Council.
FINDINGS
In instances where the franchisee, Mashburn Waste and Recycling Services, is unable to provide
service that is not defined in the franchise agreement as a special pick-up service within two full
working days from the date of the customer's request, the Director of Public Services reserves the
right to direct such customer to obtain such service from another provider. A possible situation
when the need arises to direct a customer to another provider may be one in which a customer
requests a debris bin for three (3) days, but Mashburn does not have one available within two days.
ACTION:
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August 8,1995
The Director of Public Services will then direct the customer to another provider. That provider is
then required to obtain a special pennit from the City in order to render services. The recommended
fee for the special permit is $50 for up to ten (10) consecutive days of service provided during the
one-year term of the special permit. An additional $50 fee is recommended for each additional ten
(10) days (or fraction thereof) provided during the one-year term.
In emergencies such as work stoppages, the breakdown of equipment, a natural disaster, or other
unforeseen or unpreventable circumstances, or when in the judgment of the City Manager the
preservation of the public health and safety justifies such action, the City Manager may issue a
special permit to one or more persons other than the franchisee to perform required services. The
Municipal Code allows the City Manager to establish the reasonable fees, charges and conditions
to be imposed, and it is recommended that the City Manager maintain the flexibility to make a
determination based on the nature and magnitude of a given emergency at that time.
If, at any time during the effective period of the exclusive franchise agreement, a commercial
customer of the franchisee requests a specialized collection and recycling service that the franchisee
is not equipped or licensed to provide, or for which the franchisee has not subcontracted to provide,
the Director of Public Services reserves the right to allow another provider to provide such collection
services until such time the franchisee is equipped and licensed to provide such service, or until such
time the franchisee has subcontracted with a suitably licensed provider to provide such service. That
provider is required to obtain a special permit before rendering service. The recommended fee for
the special permit is $500 plus $50 per commercial account. It should be pointed out that haulers
of medical waste and hazardous waste are exempt from the provisions of Chapter 8.68 of the
Municipal Code because the materials they handle pose a serious health and safety hazard if not
properly disposed, and these haulers are subject to more stringent permit requirements under County
and State Health and Safety Codes. This requirement pertains to a hauler who provides a service that
Mashburn does not presently provide such as the collection of food waste. If, in the future,
Mashburn has the capability of collecting food waste from commercial establishments, then the
special permittee would not be eligible to renew a special permit when it expires,
Other governmental agencies, including any school district, special district, or agency of county,
state, or federal govemment are not required to utilize the collection or transportation services of the
City's exclusive franchisee; however, another provider contracted by a govemmental agency to
provide such services is required to obtain a special permit in order to render service. The City is
authorized to collect a franchise fee for granting the right to collect solid waste, recyclables, yard
waste and other compostables within the City Limits. The City's franchisee, Mashburn Waste and
Recycling Services, is required to pay a franchise fee in the amount of five percent (5%) of gross
receipts for the right to provide daily service within the City of Po way. The franchise fee revenue
is used to offset the City's cost of providing public education on solid waste issues, the cost of
ensuring compliance with the solid waste ordinance, the cost of maintaining public streets and
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Resolution Establishin~ Special Permit Fees
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August 8, 1995
rights-of-way traversed by collection vehicles, and the administrative costs associated with fulfilling
AB 939 mandates. The contractor (in this situation) is also providing daily service within the City
of Po way, and similar costs are incurred by the City that are associated with this daily operation. For
these reasons the recommended fee for this special permit is five percent (5%) of the special
permittee's gross receipts for that portion of the contract with the governmental entity for services
rendered within the Poway City limits.
The Poway Unified School District is the only governmental agency at this time that utilizes the
transportation and collection services of a contractor other than the City's exclusive franchisee; that
contractor would therefore be subject to this fee.
ENVIRONMENTAL REVIEW
This action is not subject to CEQA review.
FISCAL IMPACT
Adoption of the proposed resolution would result in increased revenues to the City for each permit
issued. The revenue would be used to offset costs incurred by the City in canying out state and local
solid waste regulations and diversion requirements.
ADDITIONAL PUBLIC NOTIFICATION AND CORRESPONDENCE
Copies of the staff report and proposed resolution have been provided to Coast Waste Management,
Poway Unified School District, and Mashburn Waste and Recycling Services.
RECOMMENDATION
It is recommended that the City Council adopt the proposed resolution establishing special permit
fees for the collection of solid waste and recyclables, and Rescind Resolution No. 90-227.
Attachments: (I) Proposed Resolution
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RESOLUTION NO, 95-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF POW A Y,
CALIFORNIA ESTABLISHING SPECIAL PERMIT FEES FOR THE
COLLECTION OF SOLID WASTE AND RECYCLABLES,
AND RESCINDING RESOLUTION NO, 90-227
WHEREAS, Chapter 8.68 of the Poway Municipal Code states that no residential
occupant and commercial occupant shall enter into an agreement for residential solid waste
collection services or commercial solid waste collection services with a person other than the
franchisee having the exclusive franchise for collecting solid waste, recyclables, yard waste and
other compostables, except as otherwise specified; and
WHEREAS, Chapter 8.68 of the Poway Municipal Code further specifies that no person
shall provide any solid waste collection or transportation services for which a special permit is
required by the Poway Municipal Code without first obtaining a special permit; and
WHEREAS, the fee for such special permit shall be detennined by resolution of the City
- Council; and
WHEREAS, the fee established for each category of service provision delineated in
Section 8.68.540 of the Poway Municipal Code shall serve to offset the City's administrative
costs associated with:
. processing the permit application;
. ensuring compliance with all applicable provisions of the Poway
Municipal Code; -
. implementation of AB 939 mandates, including the compilation of
solid waste collection and diversion data from each category of
special permittee, and reporting of that data to the California
Integrated Waste Management Board; and
. providing educational materials and support regarding solid waste
management; and
WHEREAS, the fee established for each category of service provision delineated in
Section 8.68.540 of the Poway Municipal Code shall further serve to offset the City of Po way's
.- costs associated with the maintenance and repair of public streets and rights-of-way traversed by
the vehicles of each category of special permittee when perfonning operations in the Poway City
limits,
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Resolution No. 95-
Page 2
NOW, THEREFORE, BE IT RESOLVED, that:
Section]: Resolution No. 90-227 is hereby rescinded.
Section 2: The fee for a special permit to provide solid waste collection or transportation
services in the City of Poway shall be as follows:
a) The fee for a special permittee providing service pursuant to Section 8,68.420 of
the Poway Municipal Code shall be $50 for up to ten (] 0) consecutive days of
service provided during the one-year term. An additional $50 fee shall be
required for each additional period of special service of ten (10) days (or fraction
thereof).
b) The fee for a special permittee providing service pursuant to Section 8.68.430 of
the Poway Municipal Code shall be $500 plus $50 per commercial account per
year. The number of accounts shall be verified by the City at the beginning of
each permitted year.
c) The fee for a special permittee providing service pursuant to Section 8.68.440 of
the Poway Municipal Code shall be established by the City Manager at the time of
Issuance.
d) The fee for a special permittee providing service pursuant to Section 8.68.6]0 of
the Poway Municipal Code shall be five percent (5%) of gross receipts received
for that portion of the special permittee's contract which serves locations within
the Poway City limits. Payment shall be rendered to the City of Po way on a
quarterly basis during the one-year term of the special permit.
e) Special permits issued under b), c), and d) shall be reviewed on a fiscal year
basis.
PASSED, ADOPTED, and APPROVED by the City Council of the City of Po way,
California at a regular meeting thereof this 8 day of August, 1995.
Don Higginson, Mayor
ATTEST:
Marjorie K, Wahlsten, City Clerk
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August 8, 1995
Randy Williams, Director of Public Sen.'ices
CilY of Po\'.ay
Box 789
PUVoay, CA 92064
M: RESOLl'TION ESTABLISHING SPECIAL PERMIT FEE FOR COLLECTION OF
SOLID WASTE AND RECYCLABLES
Dear Randy:
While there may bl! a logical reason for implementing a fee for admmistering special PNmits for
solid waste and recycling collection. and Voe ditTer in the necessity of requiring ( ," a' ail th~
manner ,n Vohich the fee is being ba,ed on for the ?oway Unified School Disulcr vel...,
commerci~1 accounts in not fair in our opinion
Comm,rclal accounts are requireJ 10 pay S500 plus $50 per )'"ar. The ?oway School f"Jhuict is
no dlffer.;:n, than a commercial account. The District is billed as one account fur comnlcccial
rd.,se and recycling services with the services verified annually. Providing information regarding
Ih" tunna~es generattd in trash or recydables to meet the Stare reporting requirements can be
Plu'llh:J by Coast Waste Managemt"t as needed annually if reque5t~d from the Ol,trict
We ask the CoullciltO revie'" our request for the District to be charged uncler the S~I,lc '1l<mncr in
which a commercial busin;:" is charged
~full;'.
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Conrad B. Pawdski
PreSld,lItIG.;:n~ral Manager
cc.
Ron Wise. P<l"ay Unltied School D"trict
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AUG 8 1995 ITEM ::3;t": \.1
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