Resolution 2006-24RESOLUTION NO. 2006-24
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
GILROY SETTING MAXIMUM CHARGES FOR THE
COLLECTION OF GARBAGE, RUBBISH, REFUSE AND
RECYCLABLE MATERIALS
WHEREAS, Chapter 12 of the Gilroy City Code provides that the City of Gilroy ( "City ")
may contract for the collection, removal and transportation of garbage, rubbish, refuse and
recyclable materials in the City; and
WHEREAS, the City and South Valley Disposal & Recycling, Inc., are currently parties
to an Agreement Between the City of Gilroy and South Valley Disposal & Recycling, Inc.
(SVDR), dated September 2, 1997, ( "Franchise Agreement "), and as amended on July 6, 1999,
and June 19, 2000, by which the City granted to SVDR the franchise to collect, transport and
dispose of garbage, rubbish, refuse and recyclable materials produced within the city limits for
the benefit and in the interest of the health, safety and welfare of its citizens; and
WHEREAS, the Franchise Agreement provides that after the third year of the Franchise
Agreement, the rates and charges set forth in the Agreement shall be subject to adjustments
which correspond to increases or decreases in price indexes in accordance with the terms and
conditions set forth in Exhibit "J" of the Franchise Agreement; and
WHEREAS, the documentation for this rate adjustment is set forth in the City Staff
report dated March 29, 2006, and the letter from SVDR dated February 16, 2006, attached hereto
as Exhibit "A" and incorporated by this reference.
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Gilroy
hereby adopts the maximum charges and rates for collection of garbage, rubbish, refuse and
1LACI688337.1
01- 032906 - 04706083
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Resolution 2006 -24
recyclable materials as adjusted in accordance with the terms and conditions set forth in Exhibit
"J" of the Franchise Agreement, such charges and rates are set forth in Exhibit `B" attached
hereto and incorporated herein by this reference, to become effective on July 1, 2006.
PASSED AND ADOPTED this 3rd day of April, 2006 by the following vote:
AYES: COUNCILMEMBERS: ARELLANO, BRACCO, CORREA, GARTMAN,
VALIQUETTE, VELASCO, and PINHEIRO
NOES: COUNCILMEMBERS: NONE
ABSENT: COUNCILMEMBERS: NONE
ATTEST:
Rhonda Pellin, City Clerk
IAC1688337.1
01- 032906 - 04706083
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APPROVED:
ert Pinheiro, Mayor
Resolution 2006 -24
M
People • Service • Environment
February 16, 2006 SOUTH VALLEY DISPOSAL & RECYCLING, INC.
City of Gilroy
Mr. Jay Baksa
City Administrator
7351 Rosanna Street
Gilroy, CA 95020
Re: July 2006 Rate Adjustment
Dear Mr. Baksa:
EXHIBIT A
As outlined in Exhibit "J" section A thru E of the September 7, 1997 franchise agreement, we
submit our request for 1.81% adjustment to the collection rates effective July 1, 2006. Attached
are the following exhibits:
Exhibit 1 - CPI Calculation
CPI calculation using the formula described in Exhibit "J" of the franchise agreement for the
Consumer Price Index and the Motor Fuel Index.
Exhibit 2A — CPI Documentation
A print out from the U.S. Department of Labor - Bureau of Labor Statistics displaying the
required values of the CPI calculation.
Exhibit 2B — Motor Fuel Index Documentation
A print out from the U.S. Department of Labor - Bureau of Labor Statistics displaying the
required values of the MFI calculation.
Exhibit 3 — Rate Schedule
This table applies the combined CPI factor to the current rates and calculates the adjusted rates
for July 1, 2006.
Should you have any questions or need additional information, please call me at (408) 847 -5700.
Sincerely
Phil Couchee
General Manager
1351 PACHECO PASS HWY • GILROY, CA 95020 -9579 • TELEPHONE (408) 842 -3358 • FAX (408) 842 -5664
Proud To Be Employee Owned
PRINTED ON RECYCLED PAPER
SOUTH VALLEY DISPOSAL AND RECYCLING, INC.
CITY OF GILROY
RATE ADJUSTMENT
EFFECTIVE JULY 1, 2006
CPI RATE ADJUSTMENT
Formula outlined in Exhibit "J" Section A thru E of the X (1) - X (1 -2)
September 2, 1997 Franchise Agreement. X (1 -2)
Consumer Price Index Values
X (1) = December, 2005 = 203.4
X (1 -2) = December, 2004 = 199.5
CPI = 203.4 -199.5
199.5
CPI = 1.95%
70% of CPI = 1.37%
Motor Fuel Index Values
X (1) = December, 2005 = 170.4
X (1 -2) = December, 2004 = 163.3
MFI = 170.4 -163.3
163.3
MFI = 4.35%
10% of MFI = 0.44%
Grand Total Rate Increase Percentage:
1.81
FY2006- Rate - Incr.xls Exhibit 1 2/16/2006 12:17 PM
Bureau of Labor Statistics Data
Page 1 of 1
U.S. Department of Labor
Bureau of Labor Statistics
44", Bureau of Labor Statistics Data
WWW.b1s.gov Search I A -Z Index
BLS Home I Programs & Surveys ( Get Detailed Statistics I Glossary What's New Find It! In DOL
Data extracted on: February 08, 2006 (04:07 PM)
Consumer Price Index -All Urban Consumers
Series Catalog:
Series ID : cuura422sa0
Not Seasonally Adjusted
Area : San Francisco - Oakland -San Jose, CA
Item : All items
Base Period : 1982 -84 =100
Data:
Year fan I Feb Mar Apr May aun 7u1 Aug Sep Oct Nov Dec Ann
2003 197.7 197.3 196.3 196.3 196.3 195.3 196.4
2004 198.1 198.3 199.0 198.7 200.3 199.5 198.8
2005 201.2 202.5 201.2 203.0 205.9 203.4 202.7
2006 No data available for this year.
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Privacy & Security Statement I Linking to Our Site I Accessibility
U.S. Bureau of Labor Statistics
Postal Square Building
2 Massachusetts Ave., NE
Washington, DC 20212 -0001
wwwdo.. L...gov
Phone: (202) 691 -5200
Fax -on- demand: (202) 691 -6325
Data questions: blsdata staff @bls.goy
Technical (web) questions: webmaste...r. @bls.,gov
Other comments: feedback @bls.gov_
http : / /data.bls.gov /cgi- bin/srgate 2/8/2006
Bureau of Labor Statistics Data
Page 1 of 1
U.S. Department of Labor
-r¢ Bureau of Labor Statistics
Bureau of Labor Statistics Data
WWW.b1S.gov Search I A -Z Index
BLS Home 1 Programs & Surveys ( Get Detailed Statistics Glossary What's New Find It! In DOL
Data extracted on: February 08, 2006 (04:08 PM)
Consumer Price Index -AII Urban Consumers
Series Catalog:
Series ID : cuura422setb
Not Seasonally Adjusted
Area : San Francisco - Oakland -San Jose, CA
Item : Motor fuel
Base Period : 1982 -84 =100
Data:
1yearll Jan I Feb
2003 131.3 146.1
Mar Apr May Jun Jul Aug Sep Oct Nov Dec Anr
163.6 160.8 146.4 140.6 143.3 147.1 159.8 142.4 131.4 126.0 144.
2004
128.5 142.3 161.1 163.7
172.3 175.2 168.3
161.0
160.9
178.8
178.7
163.3
162.8
2005
148.7
156.8
175.2
199.4
194.9
183.9
196.0
207.6
227.5
223.7
196.2
170.4
190.0
I2006IIND data available for this
vea r.
Back. to_TOp.
Frequently Asked Questions I Freedom of Information_ Act I Customer.._Suli
Privacy & Security Statement I Linking to Our Site I Accessibility
U.S. Bureau of Labor Statistics
Postal Square Building
2 Massachusetts Ave., NE
Washington, DC 20212 -0001
www.dol.gov
Phone: (202) 691 -5200
Fax -on- demand: (202) 691 -6325
Data questions: bisdata_staff6bis_gov_
Technical (web) questions: webmaster0his.gov
Other comments: feedback *bis.00v
http : / /data.bls.gov /cgi- bin/srgate 2/8/2006
S(._ H VALLEY DISPOSAL AND RECYCL_,dG, INC.
CITY OF GILROY
RATES EFFECTIVE JULY 1, 2006
HilliSide
1 -Can
Current
Add
New
DESCRIPTION
Rates
1.81%
Rates
3 -Cans
51.15
0.93
52.08
9. Residential Customers and Mu /ti- Family
Can Customers
(Including
Rec
1 -Can
22.79
0.41
23.20
2 -Cans
32.69
0.59
33.28
3 -Cans
42.86
0.78
43.64
4 -Cans
54.83
0.99
55.82
Each Additional Can
11.95
0.22
12.17
Extra Can /Bag Tag
4.79
0.09
4.88
Bulky Item Pickup (Plus Disposal Cost)
14.35
0.26
14.61
Toter Subscription Changes
11.95
0.22
12.17
Low Income Senior
822.49
14.89
837.38
1 -Can
19.19
0.35
19.54
2 -Cans
27.30
0.49
27.79
3 -Cans
35.73
0.65
36.38
4 -Cans
44.18
0.80
44.98
HilliSide
1 -Can
27.52
0.50
28.02
2 -Cans
39.20
0.71
39.91
3 -Cans
51.15
0.93
52.08
4 -Cans
63.14
1.14
64.28
2. Multi Family Bin Customer Recycling
Per Unit Charge 1.80 0.03 1.83
For recycling service only
(option to choose Commercial Service)
3. commercial and Multi Family Bin Customer
ORefuseJ
1 -Can
22.79
0.41
23.20
2 -Cans
34.48
0.62
35.10
3 -Cans
46.47
0.84
47.31
4 -Cans
58.42
1.06
59.48
Each Additional Can
12.94
0.23
13.17
4. Commercial Front Loader service Rates
2 Yard F/L (1x /wk)
152.69
2.76
155.45
2 Yard F/L (2x /wk)
286.65
5.19
291.84
2 Yard F/L (3x /wk)
420.60
7.61
428.21
2 Yard F/L (4x /wk)
554.59
10.04
564.63
2 Yard F/L (5x /wk)
688.54
12.46
701.00
2 Yard F/L (6x /wk)
822.49
14.89
837.38
2 Yard F/L (on call)
99.40
1.80
101.20
3 Yard F/L (1x /wk)
220.04
3.98
224.02
3 Yard F/L (2x /wk)
414.67
7.51
422.18
FY2006- Rate- Incr.xls Exhibit 3 2/16/2006 12:18 PM
SOUTH VALLEY DISPOSAL AND RECYCLING, INC.
CITY OF GILROY
RATES EFFECTIVE JULY 1, 2006
FY2006- Rate- Incr.xls Exhibit 3 3/29/2006 10:08 AM
Current
Add
New
DESCRIPTION
Rates
1.81%
Rates
3 Yard F/L (3x/wk)
609.28
11.03
620.31
3 Yard F/L (4x /wk)
803.90
14.55
818.45
3 Yard F/L (5x /wk)
998.52
18.07
1,016.59
3 Yard F/L (6x /wk)
1,193.13
21.60
1,214.73
3 Yard F/L (on call)
141.72
2.57
144.29
4 Yard F/L (1x /wk)
295.15
5.34
300.49
4 Yard F/L (2x/wk)
558.34
10.11
568.45
4 Yard F/L (3x /wk)
821.53
14.87
836.40
4 Yard F/L (4x /wk)
1,084.73
19.63
1,104.36
4 Yard F/L (5x /wk)
1,347.93
24.40
1,372.33
4 Yard F/L (6x /wk)
1,611.12
29.16
1,640.28
4 Yard F/L (on call)
196.85
3:56
200.41
6 Yard F/L (1x /wk)
429.82
7.78
437.60
6 Yard F/L (2x /wk)
817.37
14.79
832.16
6 Yard F/L (3x /wk)
1,204.93
21.81
1,226.74
6 Yard F/L (4x /wk)
1,592.48
28.82
1,621.30
6 Yard F/L (5x /wk)
1,980.03
35.84
2,015.87
6 Yard F/L (6x /wk)
2,367.57
42.85
2,410.42
6 Yard F/L (on call)
269.89
4.89
274.78
Front Loader Special (per cubic yard)
16.41
0.30
16.71
S. Comoactor service
Front Loader (per cubic yard)
35.07
0.63
35.70
3 -yd F/L compactor (1x /wk)
456.79
8.27
465.06
3 -yd F/L compactor (2x/wk)
912.58
16.52
929.10
3 -yd F/L compactor (3x /wk)
1,368.37
24.77
1,393.14
6. Debris Box Rates
20 Cubic Yard Debris Box,
371.64
6.73
378.37
Per ton charge (over 3 tons)
71.77
1.30
73.07
40 Cubic Yard Debris Box,
619.32
11.21
630.53
Per ton charge (over 6 tons)
71.77
1.30
73.07
Debris Box Compactors
35.07
0.63
35.70
(per cubic yard of capacity)
20 Cubic Yard Debris Box (recyclable)
230.20
4.17
234.37
40 Cubic Yard Debris Box (recyclable)
407.38
7.37
414.75
7. Additional Street sweeain i
M -F 8:00am- 5:00pm (Per Hour)
88.21
1.60
89.81
Sat -Sun 8:00am- 5:00pm -Per Hr +4hr Minimum
147.03
2.66
149.69
FY2006- Rate- Incr.xls Exhibit 3 3/29/2006 10:08 AM
I, RHONDA PELLIN, City Clerk of the City of Gilroy, do hereby certify that the attached
Resolution No. 2006 -24 is an original resolution, or true and correct copy of a city resolution,
duly adopted by the Council of the City of Gilroy at a regular meeting of said Council held on the
3rd day of April, 2006, at which meeting a quorum was present.
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the Official Seal of
the City of Gilroy this 13th day of April, 2006.
City Clerk of the City of Gilroy
(Seal)