HomeMy WebLinkAboutCC Resolution 14254 (MSS Rates 2017)RESOLUTION NO. 14254
RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN RAFAEL ESTABLISHING
MAXIMUM RATES COLLECTED BY MARIN SANITARY SERVICE FOR REFUSE AND
RECYCLABLE MATERIAL COLLECTION AND DISPOSAL SERVICES, TO BE
EFFECTIVE JANUARY 1, 2017
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 and a written second amendment dated November 14, 2012 (hereafter
the "Collection Agreement"); and,
WHEREAS, Section 3 (B) of the Collection Agreement provides for maximum rates
allowed to be collected by Marin Sanitary Service, to be amended from time to time by the
City Council; and,
WHEREAS, Exhibit "C" of the Collection Agreement provides for approved rate
schedules, as amended by the City Council from time to time, to be included as part of the
Collection Agreement; and,
WHEREAS, Marin Sanitary Service has submitted a rate application request using
the methodology outlined under Section 3 (A) of the Collection Agreement; and,
WHEREAS, the City of San Rafael has conducted a review of said rate application
and produced a report recommending rate and fee adjustments; 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: 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, to be effective January 1, 2017. Said "Exhibit C" shall be
incorporated as the revised Exhibit "C" to the Collection Agreement.
I, Esther C. Beirne, 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, December 19, 2016, by the following
vote, to wit:
AYES: Councilmembers: Bushey, Gamblin & Mayor Phillips
NOES: Councilmembers: None
ABSENT: Councilmembers: Colin and McCullough
ESTHER C. BEIRNE, City Clerk
City of San Rafael - Exhibit C
Refuse Collection Rates
Effective 1/01/2017: 5.71% Rate Increase
Residential Service (Bundled service includes 1 cart for garbage, 1 cart for organics and 1 split cart for recycling)
Weekly Service Rates 2017 Flat Rate 2017 Hill Rate
Monthly Rate (Billed Quarterly) Monthly Rate (Billed Quarterly)
120 gallon cart $30.44 $34.48
132 gallon cart $35.81 $40.57
164 gallon cart $71.63 $81.14
196 gallon cart
11 -ow income - 20 gal* cart
11 -ow income - 32 gal* cart
Low income - 64 gal* cart
Senior rate**
Additional Organics Cart Rental (35 or 64 gallon cart)
Additional Split Cart Rental (64 or 96 gallon cart)
*Must meet PG&E CARE program eligibility requirements
"Customers with these rates prior to 2005 will keep the existing rate type
Distance Charges
Distance 5'- 50'
Distance Over 50'
Additional Residential Service Fees per Occurrence
Cart Replacement Fee
Return Fees - Off day
Return Fees - Same day
Resume service/late fee
Compaction fee (cart)
Contamination (cart)
Overload (cart)
ICartExchange
Extra bag/can garbage
Extra bag/can yard waste
Steam Clean (cart)
Special Collection
Special handling
Bulky item fees per items
$107.44
$24.35
$28.61
$57.21
$25.29
$1.90
$1.90
No new customers will be added with this rate type.
Per cart, Each way
$4.65
$9.41
Not to exceed $90.00
$18.50
Enquire for prices
$6.00
$35.00
$10.00
$10.00
$10.00
$15.00
$10.00
$5.00
$15.00
$25.00
$20.00
$121.71
$27.59
$32.47
$64.95
$32.20
$1.90
$1.90
City of San Rafael - Exhibit C
Effective 1/01/2017: 5.71% Rate Increase
COMMERCIAL CARTS, BINS, ROLL -OFFS,
COMPACTORS
Collections per Week
Roll -off Compactor Tipping fee per ton
$98.19
Roll -off Compactor Hauling charge
$220.70
Roll -off Compactor Special handling
rates vary by job
Garbage
1
2
3
4
5
6
Additional one
at 30% discount on above
garbage rates
$1,548.57
$1,858.29
time empty
32 gallon
$35.57
$71.14
$106.71
$142.29
$177.86
$213.43
$8.21
164 gallon
$71.20
$142.39
$213.59
$284.78
$355.98
$427.17
$16.43
196 gallon
$106.77
$213.53
$320.30
$427.07
$533.84
$640.60
$24.64
11 yard
$231.19
$466.82
$706.88
$951.44
$1,200.39
$1,453.78
$53.35
12 yard
$339.91
$780.99
$1,184.80
$1,597.49
$2,019.06
$2,449.51
$86.26
13 yard
$442.45
$823.90
$1,255.89
$1,701.14
$2,159.76
$2,631.70
$105.87
14 yard
$631.19
$1,166.83
$1,776.83
$2,404.69
$2,879.70
$3,713.65
$154.97
15 yard
$682.78
$1,373.17
$2,093.16
$2,835.25
$3,599.64
$4,386.17
$165.22
16 yard
$810.58
$1,647.81
$2,511.78
$3,402.33
$4,319.52
$5,263.41
$188.32
110
$1,142.46
$2,337.99
$3,588.01
$4,890.67
$6,246.67
$7,655.94
$268.34
118
$2,051.99
$4,200.02
$6,443.98
$8,783.87
$11,219.74
$13,751.60
$483.04
120
$2,280.06
$4,666.67
$7,159.95
$9,759.83
$12,466.38
$15,279.53
$536.74
125
$3,189.43
$6,528.17
$9,623.73
$13,118.08
$16,755.93
$20,537.13
$670.89
*Sizes may not be available at all locations
depending on a variety of
factors including
safety, accessibility, and
efficiency.
Requests will be assessed and approved by Route Manager.
Garbage Compactors
Per Empty
Roll -off Compactor Tipping fee per ton
$98.19
Roll -off Compactor Hauling charge
$220.70
Roll -off Compactor Special handling
rates vary by job
Stationary Front Loader (Per compacted yard)
$85.28
$206.48
Collections per Week
Organics( F2E or Compost)
1 2 3 4 5 6
32 gallon
$15.70
$31.40
164 gallon
$31.40
$62.79
11 yard
$103.24
$206.48
12 yard
$206.48
$412.95
13 yard
$309.71
$619.43
*Roll -offs for organics available on request
at 30% discount on above
garbage rates
$47.09
$62.79
$78.49
$94.19
$94.19
$125.58
$157.03
$188.43
$309.71
$412.95
$516.19
$619.43
$619.43
$825.91
$1,032.38
$1,238.86
$929.14
$1,238.86
$1,548.57
$1,858.29
Additional one
time empty
$3.62
$7.25
$23.82
$47.65
$71.47
City of San Rafael - Exhibit C
Effective 1/01/2017: 5.71% Rate Increase
Additional Commercial Service Fees per
Fee
Occurrence
Cart Replacement Fee
$90.00
Bin Repair/Replacement Fee
Varies by size not to
exceed current
replacement value.
Return Fee - Cart -same day
$6.00
Return Fee - Cart -off day
$18.50
Return Fee - Bin
$30.00
Resume service/late fee
$35.00
Compaction fee (cart)
$10.00
Compaction fee (bin)
$37.00
Contamination (cart)
$10.00
Contamination (bin)
$37.00
Overload (cart)
$10.00
Overload (bin)
$37.00
Cart Exchange
$15.00
jBin Exchange
$93.00
Extra bag/can garbage
$10.00
1Extra bag/can yard waste
$5.00
Steam Clean (cart)
$15.00
Steam Clean (bin)
$93.00
Steam Clean (compactor/roll-off)
$200.00
1Lock Set-up Admin Fee
$20.00
j Lock/Key pad Fee
$5.00
Gate/Enclosure Fee
$20.00
Service Fee
Not to exceed
(Special
$125.00 per service
(Overweight Charge Per Ton (Comm'( boxes
exceeding 300lbs/yard)
$192.34
1Box Rental Fee
fee varies per size
Distance Charges Per cart/bin, Each way
Distance 5'- 50' $4.651
Distance Over 50' $9.4111
City of San Rafael - Exhibit C
Effective 1/01/2017: 5.71% Rate Increase
Multifamily Dwellings CARTS, BINS, ROLL -OFFS, COMPACTORS
Collections per Week
Garbage 1 2 3 4 5 6 Additional one
time empty
132 gallon
$35.81
$71.63
$107.44
$143.26
$179.07
$214.89
$8.26
164 gallon
$71.63
$143.26
$214.89
$286.52
$358.15
$429.77
$16.53
196 gallon
$107.44
$214.89
$322.33
$429.77
$537.22
$644.66
$24.79
132 gallon - hill
$40.57
$81.14
$121.71
$162.29
$202.86
$243.43
$9.36
164 gallon - hill
$81.15
$162.31
$243.46
$324.61
$405.77
$486.92
$18.73
196 gallon - hill
$121.73
$243.45
$365.18
$486.90
$608.63
$730.35
$28.09
11 yard
$222.78
$449.11
$679.03
$912.49
$1,149.49
$1,390.03
$51.41
12 yard
$361.90
$829.61
$1,255.78
$1,689.46
$2,130.80
$2,579.64
$83.51
13 yard
$471.10
$863.39
$1,312.13
$1,772.12
$2,243.54
$2,726.26
$108.71
14 yard
$672.05
$1,238.55
$1,880.42
$2,537.52
$3,150.95
$3,897.16
$155.09
15 yard
$726.97
$1,438.92
$2,186.77
$2,953.54
$3,739.23
$4,543.84
$167.76
16 yard
$852.02
$1,726.72
$2,624.15
$3,544.24
$4,487.07
$5,452.57
$196.62
110
See Commercial rates
118
See Commercial rates
120
See Commercial rates
125
See Commercial rates
*Sizes may not be available at all locations depending on a variety
of factors
including safety, accessibility,
and efficiency. Requests
will be
assessed and approved by Route Manaeer.
Recycling and Organics carts provided at no
additional charge.
Minimum service level is 32 gallons per unit or equivalent volume
Garbage Compactors
Per Empty
Roll -off Tipping fee per ton
$98.19
l Roll -off Special handling
Rates vary by job
Hauling charge
$220.70
Stationary Front Loader (Per compacted yard)
$85.28
City of San Rafael - Exhibit C
Effective 1/01/2017: 5.71% Rate Increase
Multifamily Dwellings CARTS, BINS, ROLL -OFFS, COMPACTORS
Additional MFD Service Fees per
Fee
occurance
Cart Replacement Fee
$90.00
Bin Repair/Replacement Fee
Varies by size not to
exceed current
replacement value.
Return Fee - Cart -same day
$6.00
Return Fee - Cart -off day
$18.50
Return Fee - Bin
$30.00
Resume service/late fee
$35.00
Compaction fee (cart)
$10.00
Compaction fee (bin)
$37.00
Contamination (cart)
$10.00
Contamination (bin)
$37.00
Overload (cart)
$10.00
Overload (bin)
$37.00
ICartExchange
$15.00
IBin Exchange
$93.00
Extra bag/can garbage
$10.00
Extra bag/can yard waste
$5.00
Extra bin empty
Varies depending
on bin size. Based
on monthly rate and
single empty.
ISteam Clean (cart)
$15.00
ISteam Clean (bin)
$93.00
ISteam Clean (compactor/roll-off)
$200.00
Lock Set-up Admin Fee
$20.00
Lock/Key pad Fee
$5.00
Gate/Enclosure Fee
$20.00
Service Fee
Not to exceed
(Special
$125.00 per service
(Overweight Charge Per Ton (Comm'( boxes
exceeding 300lbs/yard)
$192.34
(Box Rental Fee
Fee varies per size
Distance Charges
Per cart/bin, Each way
IDistance 5' - 50'
$4.65
IDistance Over 50'
$9.41
CITY OF SAN RAFAEL
NOTICE OF PUBLIC HEARING
The City Council of the City of San Rafael will hold a public hearing:
PURPOSE: Public Hearing: To consider a request by Marin Sanitary
Service for a rate increase for refuse collection and recycling
services and adoption of a Resolution amending the agreement
setting maximum rates for the year 2017.
DATE/TIME/PLACE: Monday, December 19, 2016, at 7:00 p.m.
City Hall Council Chambers, 1400 Fifth Avenue, San Rafael
WHAT WILL HAPPEN: You may comment on the proposed Resolution. The
City Council will consider all public testimony and will
then decide whether to approve the Resolution.
IF YOU CANNOT ATTEND: You may send a letter to Esther C. Beirne, City Clerk,
City of San Rafael, P.O. Box 151560, San Rafael, CA
94915-1560. You may also hand deliver a letter to the
City Clerk prior to the meeting or email
Esther.Beirnea,citvofsanrafael. ore.
FOR MORE INFORMATION: You may contact Cory Bytof, Sustainability and Volunteer
Program Coordinator, at (415) 485-3407. Office hours are
Monday through Friday, 8:30 a.m. to 5:00 p.m.
SAN RAFAEL CITY COUNCIL
/s/ ESTHER C. BEIRNE
ESTHER C. BEIRNE, City Clerk
(Please publish in the Marin Independent Journal on Wednesdav, December 9, 2016 and
Wednesday. December 16, 2016)
December 6, 2016 (Revised)
This report provided electronically to save environmental resources
201 N. Civic Drive, Suite 230
Walnut Creek, California 94596
Telephone: 925/977-6950
Fax: 925/977-6955
www.hfh-consultants.com
December 6, 2016
Sent via email
Ms. Cristine Alilovich
Assistant City Manager
City of San Rafael
1400 Fifth Avenue
San Rafael, CA 94919-1560
Mr. Pat Echols
Assistant Director
County of Marin
Department of Public Works
3501 Civic Center Drive, Suite 304
San Rafael, CA 94903
Ms. Susan McGuire
Administrative Services Manager
Las Gallinas Valley Sanitary District
300 Smith Ranch Road
San Rafael, CA 94903
Managing Tomorrow's Resources Today
Mr. Dan Schwarz
City Manager
City of Larkspur
400 Magnolia Avenue
Larkspur, CA 94939
Mr. Joe Chinn
Town Manager
Town of Ross
31 Sir Francis Drake Blvd
Ross, CA 94957
Reference Number: S3916
Subject: Review of Marin Sanitary Service's 2017 Rate Application
Dear Ms. McGuire, Ms. Alilovich, and Messrs. Schwarz, Chinn, and Echols:
Robert D. Hilton, CMC
John W. Farnkopf, PE
Laith B. Ezzet, CMC
Richard J. Simonson, CMC
Marva M. Sheehan, CPA
Robert C. Hilton, CMC
On August 5, 2016, Marin Sanitary Service (MSS) submitted its application for a 9.91% increase to its
solid waste rates, to be effective January 1, 2017. HF&H conducted a review of the application based on
the rate methodology agreed to between MSS and the cities of San Rafael and Larkspur, the Town of
Ross, the County of Marin, and the Las Gallinas Valley Sanitary District (LGVSD), collectively referred to
as the "Franchisors". We find that a 5.71% increase is appropriate. The following table summarizes, by
jurisdiction, the current and proposed 32 -gallon residential rates, the most common subscription level.
a- Managing Tomorrow's Resources Today
Marin Franchisors Group
December 6, 2016
Page 2 of 6
Table 1: Residential 32 -gallon Rate Summary
Findings and Recommendations
Upon receipt of the application, HF&H reviewed the documents for completeness and compliance with
the procedures agreed upon by MSS and the Franchisors and verified the mathematical accuracy and
logical consistency of the supporting schedules.
MSS application included an emergency request to recover a portion of losses it claimed to have
incurred due to a prolonged decline in the recycling commodity markets. MSS has agreed to remove this
request from the application pending a meet and confer process between it and the Franchisors. The
request amounted to approximately 1.42/ of the 9.91% requested.
Based on our review of the application, we determined that a net rate increase of 5.71% is appropriate
to compensate MSS for its projected expenses based on the agreed-upon procedures. We have
reviewed our findings with MSS, and they are in agreement with our proposed rate adjustment.
The approved rate setting methodology allows for certain expenses to be revised each year when more
accurate information is known. The difference between the original projections and the revised
projections are allowed to be included in the current year rate adjustment. The following table shows
the components of the rate increase based on adjustments related solely to the 2017 projections and
the adjustments related to revised projections from 2015 and 2016:
Current Rate
Proposed Rate
Jurisdiction
($/mo.)
($/mo.)
$ Difference
San Rafael
$33.88
$35.81
$1.93
Las Gallinas Valley Sanitary District
I $29.62
I $31.31
$1.69
Larkspur
$37.22
I $39.35
$2.13
Ross
$32.37
I $34.22
$1.85
County of Marin — RVSD-S*
$36.29
I $38.36
$2.07
County of Marin*
$35.78
$37.82
$2.04
County of Marin — RVSD-N* (Sleepy Hollow)
$39.54
$41.80
$2.26
County of Marin — RVSD-N* (oak Manor)
$38.29
$40.48
$2.19
* Final County Rates are to be determined
Findings and Recommendations
Upon receipt of the application, HF&H reviewed the documents for completeness and compliance with
the procedures agreed upon by MSS and the Franchisors and verified the mathematical accuracy and
logical consistency of the supporting schedules.
MSS application included an emergency request to recover a portion of losses it claimed to have
incurred due to a prolonged decline in the recycling commodity markets. MSS has agreed to remove this
request from the application pending a meet and confer process between it and the Franchisors. The
request amounted to approximately 1.42/ of the 9.91% requested.
Based on our review of the application, we determined that a net rate increase of 5.71% is appropriate
to compensate MSS for its projected expenses based on the agreed-upon procedures. We have
reviewed our findings with MSS, and they are in agreement with our proposed rate adjustment.
The approved rate setting methodology allows for certain expenses to be revised each year when more
accurate information is known. The difference between the original projections and the revised
projections are allowed to be included in the current year rate adjustment. The following table shows
the components of the rate increase based on adjustments related solely to the 2017 projections and
the adjustments related to revised projections from 2015 and 2016:
- Managing Tomorrow's Resources Today
Marin Franchisors Group
December 6, 2016
Page 3 of 6
Table 2: Rate Adjustment Factor Components
Rate Adjustment Factor Component Percentages
Adjustment
Adjustment
Factor
Factor
Category
Related to
Related to
Total
2015 and
2017
2016
Wages
0.55%
0.54%
1.09%
Benefits (including workers comp)
0.00%
(0.13%)
(0.13%)
Fuel & Oil
1.08%
(0.38%)
0.70%
Disposal
0.98%
0.05%
1.03%
Depreciation and Interest
0.00%
1.63%
1.63%
Maintenance
0.00%
0.11%
0.11%
Other Operating Costs(l)
0.33%
0.07%
0.40%
Subtotal Operations
2.94%
1.89%
4.83%
Revenue Shortfall Net of Franchise Fees
0.30%
0.58%
0.88%
Rate Adjustment Factor
3.24%
I 2.47%
5.71%
ill Includes profit and general & administrative costs (e.g., public education, customer service, etc.).
This lower -than -applied -for adjustment is based on several changes to MSS' rate calculation as
described in Section IV of the report and reflected in Table 4 and Attachment 2.
Summary of Significant Changes for 2017
2017 Rate Adjustment Components (5.71%)
Waees -1.09%
As shown in Table 2, the wages expense component contributed 1.09% to the overall recommended
5.71% rate adjustment. The increase in wages is due to applying the applicable CPI index to the 2016
approved wage base plus the addition of an accounting position that was approved in 2013 as part of
the operations improvement plan but remained unfilled until 2016.
Benefits - (0.13%1
As shown in Table 2, the benefits expense component favorably contributed 0.13% to the overall
recommended 5.71% rate adjustment. The decrease is attributable to a decrease in the 2017 premiums
for Workers Compensation insurance cost.
Ask
_Managing Tomorrow's Resources Today
Marin Franchisors Group
December 6,Z0lG
Page 4 of 6
As shown in Table 2, the fuel expense component contributed 0.70% to the overall recommended 5.71%
rate adjustment. The increase is attributable kzafavorable catch-up inthe Z016rate application that did
not repeat, to the same extent, in the 2017 rate application. An additional line item was also included in
Table 3 showing the year over year change in fuel expense that is attributable to the catch-up
Disposal —1.03%
As shown inTable 2, the disposal expense contributed 1.O3%tothe overall recommended 5.71% rate
adjustment. The increase isaresult ofthe annual change indisposal cost per ton (by the applicable CPI
or contract price) and a favorable disposal adjustment of $256,964 from the 2016 rate setting process
that isnot reoccurring inthe 2O17rate setting.
After submitting the 2017 Rate Application, MSS renegotiated its agreement with Redwood, and the
new agreement will hold the 2017 rate for MSW tothe same rate as 2016. This change has been
incorporated in the 2017 rate review and the recommended 5.71% percent adjustment.
Depreciation and Interest —1.63%
As shown in Table 2, the depredation expense component contributed 1.63% to the overall
recommended 5.71% rate adjustment. The increase is due to added depreciation and financing costs for
replacement vehicles, equipment, and building repairs.
Maintenance — 0.11%
As shown in Table Z, the maintenance expense component contributed 0.11% to the overall
recommended 5.71% rate adjustment. Maintenance costs had o slight increase year over year, primarily
related tothe change inCPL
Other Operating Costs — 0.40%
As shown in Table 2, the "other operating costs' component contributed 0.40% to the overall
recommended 5.71% rate adjustment. General and administrative (G&A) costs other than Marin County
JPA fees were increased bythe change in CPL G&A includes costs such as public outreach, professional
fees, and compute/ hardware/software. The Marin County JPA fees were adjusted to the actual charge
by the County which decreased from the prior year. Kq5S profit corresponds tothe overall change in
costs based on the operating ratio approved in the rate setting methodology.
-77
Managing Tomorrow's Resources Today
Marin Franchisors Group
December 6, 2016
Page 5 of 6
Revenue — 0.88%
As shown in Table 2, the revenue shortfall contributed 0.88% of the overall recommended 5.71% rate
adjustment. The revenue shortfall is due to the following:
A decrease of approximately $81,000, net of fees, due to a shortfall in the updated 2016
revenue projection compared to the projected revenue as part of the 2016 rate application
process; and,
A decrease of approximately $145,000 in non-regulated revenue due to favorable adjustments
in the prior rate application that are not repeating.
Table 3 further shows the rate components based on the change in expenses and net revenue between
the 2016 approved rate application and the 2017 proposed rate application.
Table 3: Comparison of 2016 Approved Expenses to 2017 Proposed Expenses
Category
2016 Approved 2017 Proposed Change Component
Rate Application Rate Application Percentage
Wages
$ 7,529,000
$ 7,816,029 $
287,029
1.09%
Benefits
4,544,157
4,508,989
(35,168.00)
(0.13%)
Fuel & Oil - Rate Year
809,721
707,744
(101,977)
(0.38%)
Less: Prior Year Catch-up
(412,119)
(125,421)
286,698
1.08%
Subtotal Fuel & Oil
397,602
582,323
184,721
0.70%
Disposal Fees
3,716,437
3,987,388
270,951
1.03%
Depreciation and Interest
2,641,020
3,069,678
428,658
1.63%
Maintenance Expense
1,828,346
1,857,599
29,253
0.11%
Other Operating Costs(l)
6,146,686
6,253,016
106,330
0.40%
Total Operating Expenses
26,803,248
28,075,022
1,271,774
5.53%
Net Revenues (at current rates)
26,785,133
26,558,909
226,224
0.88%
Rate Adjustment Factor
$
1,497,998
5.71%
i Includes profit and general & administrative costs (e.g., public education, customer service, etc.).
Reserves for Future Diversion Programs
During 2012, the Franchisors and MSS agreed to share the net revenues from the processing of
recyclable materials collected from the Franchisors customers, beginning with actual results in calendar
year 2011. It was agreed that the net revenues would be contributed to a reserve to fund one-time
costs of future diversion programs. As reflected in Table 4, the reserve amount decreased $344,392 for a
net negative of $364,217. The decrease in the reserve is due to an increase in processing costs per ton
($204.20 in 2015 vs. $201.30 in 2014, a 1.44% increase) and a decrease in commodity pricing per ton
($159.88 in 2015 vs. $185.97 in 2014, a 14.03% decrease).
== F= Managing Tomorrow's Resources Today
Marin Franchisors Group
December 6, 2016
Page 6 of 6
Table 4: Reserve for Future Diversion Programs
Net Addition
Based on (Reduction)
Rate Year Financial Year to Reserve
2013
2011
$ 232,707
2014
2012
(85,153)
2015
2013
(47,305)
2016
2014
(120,074)
2017
2015
(344,392)
Reserve Balance $ (364,217)
Under the terms of the agreement from 2012, if the net positive value in the reserve exceeds $250,000,
then the excess shall be used to offset one-time costs related to diversion programs approved by a
majority of the agencies comprising the Franchisors. if the net negative value in the reserve exceeds
$250,000, the Franchisors or the Contractor may request a review of the actual costs and revenues of
providing the service at which time the Franchisors and Contractor will begin a meet and confer process
to determine a reasonable remedy to the Contractor.
The reserve fund for 2017 exceeds a net negative value of $250,000 primarily due to a prolonged decline
in commodity prices and increasing processing costs that is expected to continue in the foreseeable
future; triggering the meet and confer process between the Franchisors and MSS.
We would like to express our appreciation to MSS' management and staff for their assistance. in
addition, we express our appreciation to each of you for your assistance and guidance during the course
of the review. Should you have any questions, please call Marva Sheehan at (925) 977-6961; or Scott
Holt at (925) 977-6967.
Sincerely,
HF&H CONSULTANTS, LLC
Marva M. Sheehan, CPA
Vice President
cc: Mr. Joe Garbarino Jr., Marin Sanitary Service
Ms. Patricia Garbarino, Marin Sanitary Service
Mr. Neil Roscoe, Marin Sanitary Service
Mr. Steve Devine, County of Marin
Mr. Cory Bytof, City of San Rafael
Scott Holt
Senior Associate
Franchisors of Marin Sanitary Service Table of Contents
Review of Marin Sanitary Service's 2017 Rate Application
TABLE OF CONTENTS
SECTION I. BACKGROUND.........................................................................................1
Description of Current Services . . .. ..... ..... .
11
SECTION II. RATE REVIEW APPROACH.................................................................... 2
Rate Adjustment Methodology—.... .......
2
HF&H Scope of Review . .. ...... .... .......... _..... _ ...... ..__...- ..... _........ ... . _. _ --2
Limitations. _. .. .. _ _... _ ....... .....4
SECTION III. MSS' PROJECTION METHODOLOGY (INDEX YEAR) .......................... 5
Current Operations .... ........
5
Profit ...............
MSS' Calculated Rate Adjustment Factor...... ........ ....... .......
6
SECTION IV. PROPOSED ADJUSTMENTS.................................................................7
Adjustments to 2617 Projected Expenses for Current Operations......
7
Adjustments to Projected revenue at Current Rates ..
9
Adjustments to Net Recyclable Revenue Reserve ......... ...... ..........
19
SECTION V. RATE ADJUSTMENT.............................................................................11
Rate Adjustment _ .... __ . _ _ _ .. - .
11
Survey of Comparable Rates
13
ATTACHMENTS
Attachment 1— Marin Sanitary Service Rate Application Summary
Attachment 2 — Adjusted Rate Application Summary
Attachment 3 — Rate Survey
Attachment 4— Chart of Residential 32 -Gallon Rates
Attachment 5 — Chart of Commercial 3 Cubic Yard Rates
HF&H Consultants, LLC i December 6, 2016
This Page Intentionally Left Blank
Franchisors of Marin Sanitary Service Section I. Background
Review of Marin Sanitary Service's 2017 Rate Application
SECTION I. BACKGROUND
r
Marin Sanitary Service (MSS) provides franchised refuse, recyclable materials, and organics collection
and processing services to the residents and businesses in the cities of San Rafael and Larkspur, the
Town of Ross, the County of Marin, and the Las Gallinas Valley Sanitary District (LGVSD), collectively
referred to as "Franchisors". In 2014, unincorporated areas of the County known as the Ross Valley
Sanitary District — North were added to the Franchisors. In addition, MSS and its non -franchised related
entities (Marin Recycling and Resource Recovery Association (MRRRA) and the Marin Resource Recovery
Center (MRRC) provide solid waste, recyclable materials, and organics collection and processing services
to the residents and businesses of the towns of San Anselmo and Fairfax. MSS also provides non-
franchised debris box, street sweeping, and document shredding services to residents and businesses
throughout the County of Marin that contract for their services.
MSS delivers refuse collected from waste generators within the Franchisors service area to the MSS
transfer station and then transports it to the Redwood Sanitary Landfill (Redwood), which is an
unrelated party. MSS delivers recyclable materials to the non -franchised MRRRA where materials are
processed and marketed. MSS delivers recyclable -rich loads of refuse (typically commercial) and
separated organics loads (collected from residents) along with public self -haul loads to the non-
franchised MRRC where recyclable materials are separated from the waste stream, processed, and
marketed. The MRRC delivers the residual waste to the MSS transfer station. This residual waste was
transferred to Keller Canyon Landfill through June 2016. MSS signed a new agreement with Potrero Hills
Landfill beginning July 2016 for disposal of the residual material. MSS delivers franchised organics to
the MRRC for processing before transferring to Redwood for composting.
In 2012, HF&H assisted the Franchisors in the negotiation of the revised Contractor's Revenue
Requirement and Rate Adjustment methodology. Significant revisions included documentation of:
1) procedures that had been agreed to by MSS and the Franchisors over the years but not documented;
2) related -party fees and future adjustment mechanisms; 3) additional reporting to be submitted with
the annual rate adjustment application; and, 4) procedures to develop a reserve for diversion programs
by sharing in MRRRA's net revenues (net recyclables processing revenues).
In early 2014, MSS began collection and processing for the Food -to -Energy program (F2E) by the
Franchisors. MSS is operating the program 6 days per week and averaging 7 to 8 tons per day from
approximately 166 customers currently participating in the program. Food waste is collected using a
specialized vehicle, processed on a dedicated sort line at MSS, and delivered to the Central Marin
Sanitary Agency (CMSA) for conversion to energy. MSS estimates 2,000 total tons diverted through this
program in 2016. Expectations for 2017 would increase the customer enrollment to 230 customers,
daily tonnage to 10 tons per day, and approximately 2,500 tons for the year.
HF&H Consultants, LLC 1 December 6, 2016
Franchisors of Marin Sanitary Service Section II. Rate Review Approach
Review of Marin Sanitary Service's 2017 Rate Application
Rate Adjustment Methodology
The Rate Adjustment Methodology was developed in cooperation with MSS, approved by the
Franchisors in 2001, and revised in 2012. The individual jurisdictions amended their agreements with
MSS to include this methodology as Exhibit B.1— Contractors Revenue Requirement and Rate. Section III
describes the methodology in more detail and findings from the application of the methodology to MSS'
2017 Rate Application.
The Franchisors engaged HF&H in August 2016 to perform a review of the Application in accordance
with the Rate Adjustment Methodology. The scope of this review is described in our engagement letter
dated July 19, 2016. These procedures included the following activities:
• Reviewing MSS management's actual and projection of collection and non -collection revenues
for the 12 -month periods ending December 31, 2015, and 2016.
• Comparing the results to MSS's audited financial statements for rate year 2015 and year-to-date
revenues for 2016 and requesting explanations for variances.
• Reviewing MSS' calculation of the three year trend in subscription levels to determine an
average surplus or shortfall in rate revenues. The average surplus or shortfall is used to forecast
gross rate revenues.
• Reviewing the appropriateness of MSS management's classification of expenses into the various
expense categories.
• Reviewing MSS management's calculation of rate year 2017 indexed expenses and comparing
them to the calculated expenses for 2016, established in our prior report, and the calculated
changes to the indices.
• Reviewing MSS management's projection of other expenses including:
o Workers' Compensation, which will be reviewed by determining if the base wages,
established as part of the prior year detail review, were properly multiplied by the
applicable premium rates from MSS' insurance carrier.
o Disposal Expense for residential and solid waste tons transferred at MSS' transfer station,
which will be reviewed by evaluating MSS' projection for 2017 disposal expense and MSS
adjustments for the previous projections for Rate Years 2015 and 2016 based on historical
trends, management's plans, and adjustment to the disposal rates.
o Commercial Mixed Waste Processing Expense for commercial tons processed at MSS'
processing facility, which will be reviewed by evaluating MSS' projection for 2017
commercial mixed waste processing and MSS' adjustments for the previous projections
for Rate Years 2015 and 2016 based on historical trends and management's plans. We will
verify that the processing rate per ton was calculated in accordance with the rate setting
methodology.
HF&H Consultants, LLC 2 December 6, 2016
Franchisors of Marin Sanitary Service Section H. Rate Review Approach
Review of Marin Sanitary Service's 2017 Rate Application
o Organics Processing Expense, which will be reviewed by evaluating MSS' projection for
2017 organics processing and MSS' adjustments for the previous projections for Rate
Years 2015 and 2016 based on historical trends and management's plans. We will verify
that the processing rate per ton was calculated in accordance with the rate -setting
methodology.
o The Transfer/Transport Adjustment for tons not affiliated with the Franchisors transferred
and transported through MSS' transfer station, which will be reviewed by evaluating MSS'
tonnage projection for 2017 and MSS' adjustments for the previous tonnage projections
for Rate Years 2015 and 2016 based on historical trends and management's plans. We will
verify that the Transfer/Transport Fee per ton was calculated in accordance with the rate
setting methodology.
o Fuel Expense, which will be reviewed by evaluating MSS' 2017 projection and the
adjustments for Rate Years 2015 and 2016. We will review MSS' calculations of the
average price per gallon for fuel and verify the use of the proper projected gallons.
o Depreciation/Lease Expense projections, which will be reviewed by evaluating the
reasonableness of MSS management's estimates for these expenses based on historical
trends and records and MSS management's plans. We will review MSS' adjustments to
previous year projections, if any.
o JPA Fees expense, which will be reviewed by analyzing documentation from the JPA and
MSS projections.
• Reviewing MSS' calculations of the following Pass-through Expenses and Other Revenue,
including:
o Interest Expense, which will be reviewed based on MSS' actual interest from its loan
amortization schedules for actual and projected capital expenditures.
o Franchise Fees, which will be reviewed based on each agency's appropriate rate and the
forecasted values.
o Other Agency Fees, which will be reviewed based on fees established by each agency and
forecasted values.
o Other Revenues, which will be reviewed based on revenues received by MSS from related
and third parties from the use of assets and services of employees where the costs are
paid by the rates from the Franchisors ratepayers.
• Reviewing MSS' calculation of the increase or decrease to the reserve for future diversion
programs is in accordance with the procedures developed in 2012.
• Reviewing the appropriateness of MSS management's allocation of revenues and expenses
among the Franchisors and the other service areas is in accordance with the procedures
developed in 2012.
• Meeting once with MSS management to review our adjustments to their calculated and
projected revenues and expenses and their allocation among the Franchisors. We will obtain
management's comments, review any additional material, and amend our adjustments, if
necessary.
HF&H Consultants, LLC 3 December 6, 2016
Franchisors of Marin Sanitary Service Section II. Rate Review Approach
Review of Marin Sanitary Service's 2017 Rate Application
Compiling rates currently in effect in other municipalities in Marin County, as well as
neighboring jurisdictions in other counties.
O Preparing a written report that documents our findings and recommendations.
Our review was substantially different in scope than an examination in accordance with Generally
Accepted Auditing Standards, the objective of which is the expression of an opinion regarding the
financial statements taken as a whole. Accordingly, we do not express such an opinion. However, Chiao
Smith McMullin + McGuire, An Accountancy Corporation, issued an unqualified opinion of MSS' 2015
financial statements. The unqualified opinion denotes that the financial statements of MSS were
presented fairly in all material respects.
Our conclusions are based in part on the review of MSS' projections of its financial results of operations.
Actual results of operations will usually differ from projections because events and circumstances
frequently do not occur as expected, and the difference may be significant.
HF&H Consultants, LLC 4 December 6, 2016
Franchisors of Marin Sanitary Service Section III. MSS' Projection Methodology (Index Year)
Review of Marin Sanitary Service's 2017 Rate Application
SECTION III. MSS' PROJECTION METHODOLOGY (INDEX YEAR)
Projected costs for 2017 are based on costs developed during the last detail review (2016). In projecting
the 2016 costs, MSS included the direct costs for the Franchisors garbage collection, the transfer station,
and recycling collection. Shop costs and administrative costs are allocated among the agencies served
by MSS using truck route hours and an average of projected revenue, annual customer counts, and
department's percentage of wages, respectively. Management salaries are allocated to departments
(MSS, IVIRRRA, MRRC, etc.) based upon actual time spent by management related to that department.
Expenses
MSS projected its 2017 expenses (less non -allowable costs such as: donations, fines for penalties, certain
attorney's fees, goodwill, etc.) for each expense category by:
• Basing wage and salary expenses on projected 2016 expenses increased by the percentage
change in the average annual San Francisco -Oakland -San Jose Metropolitan Area Consumer
Price Index (Urban Wage Earners; 1982-1984=100) for June 2015 and 2016;
• Basing benefits expense, excluding Workers' Compensation expense, on the projected 2016
benefits expense increased by the percentage change in the annual average Employment Cost
Index—Benefits (Private Industry Workers; 1982-1984=100) forJune 2015 and 2016;
• Calculating Worker's Compensation expense by multiplying the 2016 wage projection (Base Year
Revenue Requirement) by the applicable premium rates from the Contractor's insurance carrier
for 2017;
• Forecasting projected 2017 disposal expense using projected tons multiplied by the applicable
disposal/processing rate for 2017, plus adjustments for 2015 actual disposal expenses, and
estimated 2016 disposal expenses calculated based on actual 2015 results and year-to-date
2016 results;
• Forecasting projected 2017 fuel and oil expense as follows:
o Projected Year (2017) Fuel Expense — gallons established in the most recent detail year
review (2016) at the average price per gallon based on actual year to date purchases; plus,
o Current Year (2016) Expense Adjustment —gallons established in the most recent detail
year review (2016) at the average price per gallon based on actual year to date purchases
less the 2016 fuel expense established during the previous review; plus,
o Revised Prior Year (2015) Expense Adjustment — gallons established in the prior detail year
review (2013) at the average price per gallon based on actual fuel purchases for 2015 less
the 2015 fuel expense established during the previous review.
Forecasting projected 2017 equipment and vehicle maintenance expense was based on the
projected maintenance expense for 2016 increased by the percentage change in the annual
average Motor Vehicle Related Index (All Urban Consumers, U.S. City Average; 1982-1984=100)
for June 2015 and 2016;
HF&H Consultants, LLC 5 December 6, 2016
Franchisors ofMarin Sanitary Service �Section III. MSS(Index r)
Review ofMarin Sanitary Service's I017Rate Application
• Forecasting projected 2017 depreciation and lease expense based on K82Sa actual depredation
expense plus projected depreciation on anticipated purchases in the Rate Year (allocation of
depreciation of trucks to the Franchisors and other operations was based on truck usage);
• Forecasting projected 2017 JPA Fees based on tons collected for the Franchisors by MSS for the
period determined and rate established bythe JPA;
* Forecasting projected 2017 other operating / general and administrative expense based on
projected 2016 expense increased by the percentage change in the annual average San
Francisco'Oak|and-San]oye Metropolitan Area Consumer Price Index (AU Urban Wage Earners;
19D2'l984=IO0)for]une201Sand 2O16;and,
° Forecasting projected 2017 interest expense based on K8SS's actual interest from its loan
amortization schedules for actual and projected capital and adjusting ZO17for any projected
asset purchases from the prior rate year which were not purchased in projected time period.
Route Revenues
In order to mitigate significant differences in the forecasted and actual revenues received, a three year
trend in subscription levels is factored into the necessary rate adjustment. Actual revenue received
through June 2016 and projections for the remainder of the year were multiplied by the ave/age
percentage surplus or shortfall rate revenue for the 3 most recently completed rate years. MSS
calculated the 3 year average achievement percentage oflOO23%, meaning actual revenue received
has averaged lOO2lY6ofwhat was projected over the past three years.
K8S5 calculated its 2017 profit by applying the agreed-upon 90.5% pre -tam operating ratio to its 20I7
total projected expenses that are eligible for profit.
M,55',Calcudated Rate Adjustment Factor
MSS calculated the 2017 Rate Adjustment to be 991% increase, The Kate Adjustment Factor equals the
Total Contractor's Revenue Requirement for the coming Rate Year divided by the Gross Rate Revenues.
Gross Rate Revenues mean the statements of charges for services rendered by Contractor, to owners or
occupants of property, including residential and commercial premises, for the collection of materials
pursuant to the Agreement, net of reasonable allowance for uncollectible accounts, and adjusted for
the calculated three year revenue achievement.
HF&H Consultants, LLC 6 December 6, 2016
Franchisors of Marin Sanitary Service Section IV. Proposed Adjustments
Review of Marin Sanitary Service's 2017 Rate Application
SECTION IV. PROPOSED ADJUSTMENTS
This section provides a summary of the HF&H recommended adjusted revenue requirement. HF&H's
recommended projections for MSS' operations are shown in Table 5 below, and our recommended
adjustments to MSS' projections are discussed in more detail following the table.
Table 5: Summary of Adjustments
Recommended HF&H Adjusted
ill MSS application contained mathematical errorthat excluded Non -Regulated from the calulation of the Rate Adjustment
Factor. This correction changes the application to 9.85%
Wages
HF&H recommends reducing wages expense by $17,642 (Table 5, Line 1) to limit the wages for the
accounting position to the amount approved as part of the Operations Improvement Plan that remained
unfilled until 2016.
HF&H Consultants, LLC 7 December 6, 2016
MSS Application
Adjustments
Application
Expenses: Current MSS Operations
1
Wages
$7,833,671
($17,642)
$7,816,029
2
Benefits
4,611,956
(102,967)
4,508,989
3
Disposal Fees
4,165,918
(178,530)
3,987,388
4
Fuel & Oil
582,323
582,323
3
Maintenance Expense
1,857,599
1,857,599
6
Depreciation/ Leases
2,717,630
(77,342)
2,640,288
Other Operating/G&A
4,015,601
(388,920)
3,626,681
3
Total Operating Expenses
25,784,698
(765,401)
25,019,297
9
Operating Profit
2,706,681
(80,346)
2,626,335
10
Interest Expense
563,904
(134,514)
429,390
11
Total Expenses for Current Operations
29,055,283
(980,261)
28,075,022
12
Revenue Requirement for Current Services
$29,055,283
($980,261)
$28,075,022
Proiected Revenue (at current rates)
1
Route Revenues
30,296,164
147,270
30,443,434
1
Less: Franchise Fees
(3,014,319)
(15,106)
(3,029,425)
1:
Less: Street Sweeping
(72,000)
(24,000)
(96,000)
n6
Less: Refuse Vehicle Impact Fee
(938,457)
(938,457)
17
Add: Non -Regulated Revenues
179,357
-
179,357
13
Net Revenues (at current rates)
26,450,745
108,164
26,558,909
1 3
Total Surplus/ (Deficit) (Line 18 - Line 12)
($2,604,538)
$1,088,425
($1,516,112)
20
Rate Adjustment Factor (-Line 19 - Line 18)11
9.85%
5.71%
ill MSS application contained mathematical errorthat excluded Non -Regulated from the calulation of the Rate Adjustment
Factor. This correction changes the application to 9.85%
Wages
HF&H recommends reducing wages expense by $17,642 (Table 5, Line 1) to limit the wages for the
accounting position to the amount approved as part of the Operations Improvement Plan that remained
unfilled until 2016.
HF&H Consultants, LLC 7 December 6, 2016
Franchisors of Marin Sanitary Service Section IV. Proposed Adjustments
Review of Marin Sanitary Service's 2017 Rate Application
The cost for the position was initially included in the rates but has been an adjustment for the last two
rate reviews as the position remained unfilled. When the position was filled, it was at a higher amount
than approved and would have otherwise been in the rates had there not been adjustment during the
last review.
This proposed adjustment limits the expense to the amount approved by the Franchisors.
Benefits
HF&H recommends reducing benefits by a net of $102,967 due to the following (Table 5, Line 2):
• Increase benefits, other than workers' compensation, by $1,624. MSS application calculated
these costs based on an annual average change in the ECI instead of the year over year change
as prescribed by the agreement; and,
• Reduce workers' compensation by $90,655 due to an updated insurance quote that was lower
than MSS initially expected; and,
• Reduce benefits, other than workers' compensation, by $13,936 to limit the benefits for the
accounting position to the amount that was initially approved as part of the Operations
Improvement Plan.
Disposal Fees
HF&H recommends reducing disposal fees by $178,530 for the following (Table 5, Line 3):
• Reduce disposal by $27,901 for projected growth in F2E tonnage as the program adds new
customers and the second route; and,
• Reduce disposal by $14,252 to eliminate an extra scale charge and Non -Franchisor areas for
bulky waste and illegal dumping charges.
• Reduce disposal by $54,414 due to MSS renegotiating the disposal agreement at Redwood that
will keep the 2017 rate the same as the 2016 rate.
• Reduce disposal by $81,963 due to updated disposal projections resulting in a decrease in
projected tonnage for rate years 2016 and 2017. The application included projections through
June 2016 that were annualized through the end of the year and carried forward to 2017. MSS
revised the projections through September 2016 which resulted in a reduction to projected
2016 and 2017 tonnage.
HF&H reviewed and does not recommend an adjustment to MSS' projected 2017 fuel expense (Table 5,
Line 4).
Maintenance Expense
HF&H reviewed and does not recommend an adjustment to MSS' projected 2017 maintenance expense
(Table 5, Line 5).
HF&H Consultants, LLC 8 December 6, 2016
Franchisors of Marin Sanitary Service Section IV. Proposed Adjustments
Review of Marin Sanitary Service's 2017 Rate Application
Depreciation/ Leases
HF&H recommends reducing depreciation by $77,342 for the following (Table 5, Line 6):
• Reduce depreciation by $39,611 to allocate rolloff truck assets included in the Franchisors asset
base to other jurisdictions and the temporary department based on usage; and,
• Reduce depreciation by $9,647 to allocate capitalized repairs included in the Franchisors asset
to other jurisdictions based on usage; and,
• Reduce depreciation by $11,049 on projected capital additions due to a change in the expected
completion date of capitalized facility repairs; and,
• Reduce depreciation by $17,035 to eliminate CPCFA bond financing amortization expenses due
to MSS converting the bond to a conventional loan.
Other Operating/G&A
HF&H recommends reducing other operating / G&A by $388,920 for the following (Table 5, Line 7):
• Reduce other operating by $338,498 to remove MSS emergency funding request that added a
$20 per ton processing to offset declining commodity prices at the MRRRA; and,
• Reduce other operating by $50,422 to allocate the JPA fees to MSS non-regulated departments.
Operating Profit
HF&H recommends reducing MSS' projected operating profit by $71,742 (Table 5, Line 9), resulting from
the decreases in operating costs described above.
Interest Expense
HF&H recommends reducing MSS' projected interest expense by $134,514 due to the following (Table 5,
Line 10),
• Reduce interest expense by $102,047 for disallowed interest on MRRRA assets and capitalized
repairs included in new loans included in the rate application; and,
Reduce interest expense by $11,866 corresponding to changes in projected capital additions
along with disallowed interest on labor for a capitalized facility repair; and,
• Reduce interest expense by $20,601 to allocate interest on route and rolloff trucks included in
the Franchisors assets to other jurisdictions and the temporary department based on usage.
Adjustments to Projected Revenue at Current Rates
HF&H recommends increasing, revenue net of franchise and pass-through fees by $108,164 due to the
following (Table 5, Line 18):
HF&H Consultants, LLC 9 December 6, 2016
Franchisors of Mahn Sanitary Service Section Di
Proposed Adjustments
� � � �
Review cfMarin Sanitary Service's 2O17Rate Application
=
lincrease revenue by $28,312 to recalculate the 3 year average forecast achievement percentage
with the addition of KVSD'N in 2015. The forecast achievement increased from 100.23% to
l0O33Y&.
* Decrease revenue by$I4,0OUto add pass-through street sweeping fees for the RVSD-N that
�
Increase revenue by$1O3,85Zdue tu updated projections resulting in an increase toexpected
2016 revenue. The application included projections through June IO16that were annualized
through the end of the year and used to calculate the Rate Adjustment Factor for 2017. K8SS
revised the projections through October ZUl6which resulted in an increase in expected 2016
revenue compared towhen the application was originally submitted.
Adjustments to Net Recyclable Revenue Reserve
During 2012, the Franchisors and K4SS agreed to share the net revenues from the processing of
recyclable materials collected from the Franchisors customers beginning with actual results in calendar
year 2011. It was agreed that the net revenues would be contributed tna reserve tofund one-time
costs of future diversion programs. As reflected in Table 6, the reserve amount decreased $344,392 for a
net negative of $364,217. The decrease in the reserve is due to an increase in processing costs per ton
($2U4.IOinI015vs. $IOl.]0in 2014,a 1.44% increase) and adecrease incommodity pricing per ton
($l59.88inIO15vs. $185.97in2014,a14O3V6decreaxe).
Table 5:Reserve for Future Diversion Programs
Net Addition
Based on (Reduction)
Rate Year Financial Year to Reserve
2013
2011
$ 232,707
/014
2012
(85.153)
zozs
2013
<47'305>
2016
2014
(120'074)
2017
2015
(344,392)
Reserve Balance g (364,217)
Under the terms of the agreement from 2012, if the net positive value in the reserve exceeds $250,000,
then the excess shall be used to offset one-time costs related to diversion programs approved by
majority of the agencies comprising the Franchisors. If the net negative value in the reserve exceeds
5250,000, the Franchisors or the Contractor may request a review of the actual costs and revenues of
providing the sen/ice at which time the Franchisors and Contractor will begin a meet and confer process
tndetermine areasonable remedy tothe Contractor.
The reserve fund for 2017 exceeds a net negative value of $250,000 primarily due to a prolonged decline
in commodity prices and increasing processing costs that is expected to continue inthe foreseeable
future; triggering the meet and confer process between the Franchisors and IVISS.
HF&H Consultants, LILC 10 December 6, 2016
Franchisors of Marin Sanitary Service Section V. Rate Adjustment
Review of Marin Sanitary Service's 2017 Rate Application
SECTION V. RATE ADJUSTMENT
Based on a revenue requirement of $28,075,022 (Table 5, Line 12) and projected net revenues of
$26,558,909 (Table 5, Line 18) for the calendar year 2017 resulting from our recommended adjustments
to MSS' application, a 5.71% Rate Adjustment Factor has been calculated, effective January 1, 2017.
The approved rate setting methodology allows for certain expenses to be revised each year when more
accurate information is known. The difference between the original projections and the revised
projections are allowed to be included in the current year rate adjustment. Table 7 shows the
components of the rate increase based on adjustments related solely to the 2017 projections and the
adjustments related to revised projections from 2015 and 2016.
Table 7: Summary of Adjustments
Rate Adjustment Factor Component Percentages
Adjustment
Adjustment
Factor
Factor
Category
Related to
Related to
Total
2015 and
2017
2016
Wages
0.55%
0.54%
1.09%
Benefits (including workers comp)
0.00%
(0.13%)
(0.13%)
Fuel & Oil
1.08%
(0.38%)
0.70%
Disposal
0.98%
0.05%
1.03%
Depreciation and Interest
0.00%
1.63%
1.63%
Maintenance
0.00%
0.11%
0.11%
Other Operating Costs (1)
0.33%
0.07%
0.40%
Subtotal Operations
2.94%
1.89%
4.83%
Revenue Shortfall Net of Franchise Fees
0.30%
0.58%
0.88%
Rate Adjustment Factor
3.24%
2.47%
5.71%
(')Includes profit and general & administrative costs (e.g., public education, customer service, etc.).
This recommended rate increase of 5.71% includes components that result from revised projections
related to 2015 and 2016 as well as components that relate to the current application:
HF&H Consultants, LLC 11 December 6, 2016
Franchisors ofMarin Sanitary Service _ _ Section \iRate Adjustment
Review ofMarin Sanitary Service's 2O17Rate Application
• The prior year true -ups contribute an overall net increase of 3.24% to the total 5310 Kate
Adjustment Factor due tothe following:
o Anincrease in:
• Wages of 0.55% due to the addition of the final position included in the Operation
Improvement Plan that was previously unfilled. This was an approved expense in
prior applications but was disallowed in the prior year since it remained unfilled at
the time the application was finalized. MSS filled the position in 2016 resulting in an
additional expense inthe 2U17rate application.
" Fuel of 1.08Y6 due to a favorable adjustment of $412,119 in the 2016 rate setting
process that isnot repeating in2O17.
° Disposal of 0.98% due to a favorable adjustment of $256,964 in the prior rate year
that isnot repeating inZUl7.
° Other Operating Costs of 0.33% for the additional profit to MSS on the Wage, Fuel,
and Disposal adjustments relating tothe prior year.
" A Revenue Shortfall of 0.30% for a decrease in non-regulated revenue of $161,356
due toafavorable prior year adjustment that isnot repeating in2O17.
° The current year adjustments contribute an overall net increase of 2.47% to the current 5.71% Rate
Adjustment Factor due tothe following:
o Anincrease in:
° Wages of 0.54% due to the annual change in expense by the applicable Consumer
Price Index.
= Disposal of 0.05% due to the annual change in disposal cost per ton by the
applicable Consumer Price Index orcontract price.
After submitting the 2017 Rate Application, K85S renegotiated its agreement with
Redwood and the new agreement will hold the 2Ul7 rate for MSW <athe same rate
as 2016. This change has been incorporated in the 2017 Rate Adjustment Factor,
• Depreciation and interest of1.63Y6 due to additional depreciation and financing
costs for replacement vehicles and building repairs.
• Maintenance of 0.11% due to the annual change in expense by the applicable
Consumer Price Index.
" Other Operating Costs of 0.07Y6 due to the annual change in expense by the
applicable Consumer Price Index and the operator profit.
• A Revenue Shortfall of 0.58% due to a decrease in projected 2016 revenue from the
prior year rate application.
o An decrease in:
• Benefits of 0.13% due to lower Workers Compensation insurance premiums in 2017.
° Fuel of 0.38% due to projecting a continued decline in the fuel price per gallon.
HF&H Consultants, ILLC 12 December 6, 2016
Franchisors of Marin Sanitary Service Section V. Rate Adjustment
Review of Marin Sanitary Service's 2017 Rate Application
Attachment 3 shows the results of HF&H's survey of solid waste rates as of September 2016 for
jurisdictions located throughout the Bay Area. For the purpose of comparing the Franchisors rates to
other jurisdictions, we have applied a 5.71% rate adjustment to the current Franchisors rates.
The Franchisors residential rates for a 32 -gallon container (the most frequent residential service level)
will range from $31.31 (LGVSD) to $41.80 (RVSD-N, Sleepy Hollow). The survey shows the Franchisors
average residential rate for 32 -gallon service ($37.39 with RVSD-N included and $36.15 without) is
within the range when compared to other Marin County jurisdictions. Of the 10 other Marin County
jurisdictions, 5 of the jurisdictions' 32 -gallon container rates are higher than the Franchisors average and
5 jurisdictions are lower. Attachment 4 graphically compares the Franchisors residential rates for a 32 -
gallon container to one another as well as to the average of Marin County rates for similar service.
The Franchisors commercial rates for a 3 cubic yard bin serviced 1 time per week (the most requested
commercial service level) range from $439.39 (Town of Ross) to $658.47 (RVSD-N). The average rate for
the Franchisors is $518.85 with RVSD-N, and $472.31 without. The average rate is higher when
compared to the other three Marin County jurisdictions that have this level of service. Attachment 5
compares the Franchisors commercial rates for a 3 cubic yard bin serviced one time per week to the
average Marin County rate and all other jurisdictions' average rate for similar service levels.
As part of the 2014 consolidation of multiple agreements between the County and MSS, the County has
adopted a plan to unify rates for similar services throughout the MSS' County service area. This is a 5 -
year plan and the final 2017 rates are yet to be determined. For presentation in Attachments 4 and 5,
we have shown the average rates of MSS' County areas.
While the recommended rates compare favorably to those surveyed, we caution the Franchisors that
this survey is presented as an indication of the reasonableness of the resulting rates. They should not
draw conclusions from this information because rate comparisons are intrinsically difficult and often
misleading. This difficulty results from differences in issues such as:
1. The services provided;
2. The terrain in which the service is performed;
3. Disposal costs;
4. Rate structures; and,
5. Governmental fees (e.g., franchise fees, vehicle impact fees, etc.)
HF&H Consultants, LLC 13 December 6, 2016
Expense Allocation (Percentage of Foral Revenues)
Marin Sanitary Service
2017 Rate Application
43.9116 19.45%
Las Gallinas-
8. 68,16
Las Gallinas-
County
Exvenses: Current MSS Services
$ 1,229,990
San Rafael
City of S.R.
Rate Application Operating Expenses:
654,104
50,533
91,432
Wages
$ 7,833,671
$ 3,439,961
$ 1,523,460 $
Benefits
4,611,956
2,025,225
896,914
Disposal Fees
4,165,918
1,829,359
810,170
Fuel & Oil
582,323
255,713
113,248
Maintenance Expense
1,857,599
815,718
361,258
Depreciation/Leases
2,717,631
1,193,380
528,514
Other Operating/G&A
4,015,601
1,763,351
780,937
Total Operating Expenses
25,784,699
11,322,707
5,014,501
Larkspur
679,790
$ 1,229,990
400,216
724,138
361,510
654,104
50,533
91,432
161,199
291,668
235,830
426,704
348,466
630,502
2,237,544
4,048,538
29695 6.24%
County -
Ross RVSD-S
169,256
$ 488,975 $
99,647
287,877
90,010
260,035
12,582
36,348
40,136
115,951
58,718
169,634
86,762
250,652
557,111
1,609,472
1.27% 2.59% 100.00%
County - Franchisors'
County RVSD-N Total
99,097 $ 203,142 $ 7,833,671
58,342
119,597
4,611,956
52,700
108,030
4,165,918
7,366
15,101
582,323
23,499
48,171
1,857,600
34,378
70,473
2,717,631
50,798
104,132
4,015,600
326,180
668,646
25,784,699
Operating Profit 90,5% 2,706,681
1,188,571
526,384
234,880
424,985
58,481
168,950
34,240
70,189
2,706,680
Interest Expense 563,904
247,624
109,666
48,934
88,540
12,184
35,199
7,133
14,623
563,903
Revenue Requirement for Current Services $29,055,284
$ 12,758,902
$ 5,650,551
$ 2,521,358
$ 4,562,063 $
627,776
$ 1,813,621 $
367,553 $
753,458
$ 29,055,282
Revenues
Projected Revenue at Current Rates
13,156,272
5,828,338
2,304,363
5,014,673
656,515
2,060,300
419,148
856,556
30,296,165
Adjustment:
Adjusted Route Revenues
13,156,272
5,828,338
2,304,363
5,014,673
656,515
2,060,300
419,148
856,556
30,296,165
Less: Franchise Fees
(1,315,627)
(582,834)
(25,000)
(501,467)
(88,991)
(309,045)
(62,872)
(128,483)
(3,014,319)
Less: Street Sweeping
(48,000)
(24,000)
(72,000)
Less: Vehicle Impact Fee
(306,318)
(137,282)
(389,000)
(63,702)
-
(42,155)
(938,457)
Net Regulated Revenues
11,534,327
5,108,222
2,279,363
4,124,206
567,524
1,639,553
332,276
685,918
26,271,389
Non -Regulated Revenues
80,857
35,809
15,979
28,911
3,978
11,493
2,330
-
179,357
Adjusted Total Revenues (at Current Rates)
$ 11,615,184
$ 5,144,031
$ 2,295,342
$ 4,153,117 $
571,502
$ 1,651,046 $
334,606 $
685,918
$ 26,450,746
Revenue Surplus/(Shortfall) (Line 21 - Line 12)
$ (1,143,718)
$ (506,520)
$ (226,016)
$ (408,946) $
(56,274)
$ (162,575) $
(32,947) $
(67,540)
$ (2,604,536)
Rate Adjustment Factor (-Line 22 ' Line 21)
9.85%
9.85%
9.85%
9.85%
9.85%
9.85%
9.85%
9.85%
9.8
Attachment 2
Marin Sanitary Service
2017 Rate Application - HF&H Adjusted
Expense Allocation (Percentage of Total Revenues)
508,178
44.45%
19.35%
8.58%
15.54%
2.13%
6.19%
1.26%
190,845
83,084
36,862
Las Gallinas-
Las Gallinas-
26,568
5,413
County -
429,390
Exoenses: Current MSS Services
$ 5,432,328 $
San Rafael
City of S.R.
County
Larkspur
Ross
RVSD-S
County
Rate Application Operating Expenses:
5,828,338
2,304,363
5,014,673
656,515
2,060,300
419,148
856,556
30,296,165
Wages
$ 7,833,671
$ 3,481,726
$ 1,515,763
$ 672,501
$ 1,217,269 $
167,236
$ 484,701
$ 98,752 $
Benefits
4,611,956
2,049,814
892,382
395,925
716,649
98,457
285,360
58,139
Disposal Fees
4,165,918
1,851,569
806,077
357,633
647,339
88,935
257,762
52,516
Fuel & Oil
582,323
258,817
112,676
49,991
90,487
12,432
36,031
7,341
Maintenance Expense
1,857,599
825,622
359,433
159,470
288,651
39,657
114,937
23,417
Depreciation/Leases
2,717,630
1,207,868
525,843
233,302
422,291
58,017
168,151
34,259
Other Operating/G&A
4,015,601
1,784,760
776,992
344,729
623,982
85,726
248,461
50,621
HF&H 2017 Operating Expense Adjustments
(765,401)
(340,187)
(148,100)
(65,708)
(118,935)
(16,340)
(47,358)
(9,649)
Total Operating Expenses
25,019,297
11,119,989
4,841,066
2,147,843
3,887,733
534,120
1,548,045
315,396
Operating Profit 90.5% 2,626,335
Interest Expense 429,390
t Revenue Requirement for Current Services $ 28,075,022
Revenues
Projected Route Revenues at Current Rates
HF&H 2017 Revenue Adjustments
Adjusted Route Revenues
Less: Franchise Fees
Less: Street Sweeping
Less: Vehicle Impact Fee
Net Regulated Revenues
Non -Regulated Revenues
Adjusted Total Revenues (at Current Rates)
2.50% 100.00%
County - Franchisors'
RVSD-N Total
195,724 $ 7,833,672
115,229 4,611,955
104,085 4,165,916
14,549 582,324
45,412 1,857,599
67,900 2,717,631
100,329 4,015,600
(19,123) (765,400)
625,105 25,019,297
1,167,292
508,178
225,464
408,105
56,068
162,502
33,108
65,619
2,626,336
190,845
83,084
36,862
66,723
9,167
26,568
5,413
10,728
429,390
$12,478,126
$ 5,432,328 $
2,410,169
$ 4,362,561 $
599,355
$ 1,737,115 $
353,917 $
701,452
$28,075,023
13,156,272
5,828,338
2,304,363
5,014,673
656,515
2,060,300
419,148
856,556
30,296,165
100,663
34,164
652
3,074
(621)
4,416
2,976
1,946
147,270
13,256,935
5,862,502
2,305,015
5,017,747
655,894
2,064,716
422,124
858,502
30,443,435
(1,325,693)
(586,250)
(25,000)
(501,775)
(88,906)
(309,707)
(63,319)
(128,775)
(3,029,425)
(48,000)
(24,000)
(24,000)
(96,000)
(306,318)
(137,282)
-
(389,000)
-
(63,702)
-
(42,155)
(938,457)
11,624,924
5,138,970
2,280,015
4,126,972
566,988
1,643,307
334,805
663,572
26,379,553
179,357
-
-
-
-
-
-
-
179,357
$11,804,281 $ 5,138,970 $ 2,280,015 $ 4,126,972 $
Revenue Surplus/(Shortfall) (Line 22 - Line 13) $ (673,845) $ (293,358) $ (130,154) $ (235,589) $
Rate Adjustment Factor (-Line 23 _ Line 22) 5.71% 5.71% 5.71% 5.71%
566,988 $ 1,643,307 $
334,805 $
663,572
$ 26,558,910
(32,367) $ (93,808) $
(19,112) $
(37,880)
$ (1,516,113)
5.71% 5.71%
5.71%
5.71%
5.71%
Attachment 3
Bay Area Rate Survey
"OLSD L2 district doesn't provide recycling services to residents. Recycling are included in rate for -1 & L3
Res. Single -Family
Commercial
1YD Bin
1YD Bin
3YD Bin
3YD Bin
Jurisdiction
County
20 Gallon 30-35Gal.
60-64Gal. 90-96Gal.
ix/week
3x/week
ix/week
3x/week
City of Alameda
(Alameda
I $
30.65 $
38.68
$ 63.56 $
88.77 ( 5
147.36 $
450.90 $
442.08
$ 1,352.71
City of Albany
(Alameda
I $
36.88 1 $
41.31
$ 71.39 $
101.46 $
164.59 $
493.77 $
493.77
$ 1,481.31
City of Berkeley (District 1 & 2)
JAIameda
I $
24.50 I $
39.19
$ 78.33 $
117.45 $
155.96 5
439.44 $
431.62
$ 1,282.04
City of Berkeley (District 3)"
lAlameda
5
25.56 I $
40.80
$ 81.56 $
122.31 $
151.42 $
426.65 I $
419.05
5 1,244.70
City of Dublin
Alameda
'
N/A I $
23.14
$ 42.50 5
61.56 $
112.26 $
392.64 $
336.78
$ 1,066.20
City of Emeryville
Alameda
$
11.06 I $
18.31
$ 36.62 $
54.93 ( $
109.05 I $
327.15 I $
327.15
$ 981.45
City of Fremont
Alameda
I $
31.21 I $
31.89
$ 34.99 $
51.47 I $
93.09 I $
267.77 $
209.26
$ 616.25
City of Livermore
Alameda
$
25.46 $
34.81
$ 57.54 $
90 41 ( $
116.72 $
364.16 5
350.16
$ 1,115.62
City of Newark
Alameda
$
26.89 $
29.89
$ 52.94 $
75.97 $
121.12 I $
377.91 I $
320.45
$ 873.90
City of Oakland
Alameda
$
35.52 $
40.60
$ 73.16 $
110.96 $
208.19 $
624.53 $
495.79
$ 1,487.36
City of Piedmont'
Alameda
$
51.83 $
54.49
$ 64.21 $
75.86 $
171.06 ( $
482.54 (
NA
NA
City of Pleasanton
Alameda
N/A $
33.80
N/A $
45.48 $
168.23 ( $
440.27 $
480.43
$ 1,296.55
City of San Leandro
Alameda
$
22.84) 5
28.46
$ 47.37 $
66.26 $
124.78) $
377.23 ( $
377.23
$ 1,131.68
City of Union City
(Alameda
$
40.43 I $
47.39
$ 82.26 $
117.08 $
144.66 $
399,57 $
379.10
$ 1,033.18
Castro Valley Sanitary District
(Alameda
$
25.23' $
39.19
$ 67.96 $
96.79 $
278.00 I $
834.12 ( $
739.69
$ 2,072.81
Oro roma Sanitary District (Li)b 19
(Alameda
$
13.14 I $
21.64
$ 38.71 I $
55.74 $
133.79 $
312.01 $
326.33
$ 861.00
Oro Loma Sanitary District (1-2)"'
(Alameda
$
11.39 $
19.89
$ 36.96 $
53.99 $
133.79 $
312.01 $
326.33
$ 861.00
Oro ;oma Sanitary District (1-3)10
IAlameda
$
14.45 $
24.36
$ 44.06 I $
63.82 $
154.76 I $
360.95 $
377.55
$ 996.14
City of Richmond
(Contra Costa
$
27.42 5
33.32
5 63.39 I $
94.32 $
220.94 I $
558,96 $
501,75
$ 1,371.68
C,ty of San Pablo
Contra Costa
$
23.69 $
28.84
$ 55.95 I $
83.86 I $
219.89 ($
554.10 $
505.02
$ 1,379,20
City of EI Cerrito"'
Contra Costa
1 $
32.40 $
43.00
5 86.40 I
N/A I $
287.87 I $
799.37
N/A
N/A
C,ty of Hercules
(Contra Costa
I $
29.47 $
34.60
$ 61.01 I $
88.21 I $
249.76 ( $
625.90 $
568.13
$ 1,545.77
City of Pinole
(Contra Costa
I $
27.94 $
33-11
$ 58.91 I $
85.50 I $
247.85 $
626.97 $
572.72
$ 1,567.90
Unincorp: West Contra Costa
(Contra Costa
I $
25.72 $
31.40
$ 60.14 I $
89.59 I $
209.99 $
528.19 $
471.06
$ 1,281.87
Town of Fairfax
(Marin
I $
26.84 $
32.18
$ 64.36 ($
96.54 I $
189.20 $
448.10 $
443.55
$ 1,161.00
RVSD-N (Oak Manor)
(Marin
I $
25.18 $
40.48
$ 81.79 I $
123.82 I $
219.45 S
658.47 $
658.47
$ 1,975.46
RVSD-N (Sleepy Hollow)
(Marin
I $
25.99 $
41.80
$ 84.42 I $
127.81 I $
219.45 $
655.47 $
658.47
$ 1,975.46
Town of San Anselmo'
(Marin
I $
28.02 $
36.62
$ 73.30 I $
109.95 I
N/A
N/A $
601.01
$ 1,803.16
City of Belvederes'
IMarin
I $
37A2 $
46.25
$ 78.47 ( $
110.69 I $
205.43 $
567.46
N/A
N/A
City of Novato"
Marin
I $
12.09 5
19.33
$ 38.64 I $
57.98 (
N/A
N/A $
251.87
$ 624.95
West Marini
Marin
I $
17.87 $
27.09
$ 50.81 I $
81,23 I $
206.16 $
402.28 $
309.25
$ 701.50
City of Sausalito''
Marin
I
N/A $
38.90
$ 77.80 $
116.70) $
153.60 $
460.80
N/A
N/A
Tamalpais Community Services District'
Marin
(
N/A $
41.54
$ 62.72 N/A
I $
275.23 $
825.69
N/A
N/A
Town of Tiburon'''
Marin
I $
3459 $
39.02
$ 71.05 $
102.54 $
185.67 $
506.76
N/A
N/A
Town of Corte Madera'
Marin
I $
27.61 $
32.47
$ 65.11 $
97.75 I $
151.87 $
409.79
N/A
N/A
City of Mill Valley'
Marin
I $
37.39 $
41.23
$ 68.88 $
96.41 I $
182.64 $
491.52
N/A
N/A
City of San Rafael
Marin
I $
30.44 $
35.81
$ 71.63 $
107.44
N/A
N/A $
442.45
$ 1,232.37
Las Gallinas- County
Marin
I $
26.62 $
31.31
$ 62.62 $
93.93 $
224.16 $
673.00 $
453.55
$ 1,265.88
City of Larkspurs
Marin
$
33.45 $
39.35
$ 78.69 $
118.04 $
249.80 I $
749.17 $
501.67
$ 1,315.43
Town of Ross'
Marin
$
29.08 15
34.22
$ 68.44 5
102.65 N/A N/A
$
439.39
$ 1,318.04
County {RVSD-S)
Marin
$
23.17 I $
38.36
$ 79.81 $
124.47 $
320,78 $
813.28 $
496.10
$ 1,302.72
County- Marin Franchisors' Group'
Marin
$
22.84 I $
37.82
$ 78.72 15
122.76
N/A
N/A $
500.70
$ 1,307.42
City of Campbell
Santa Clara
$
19.78 15
25.80
$ 51.60 I $
77.41 $
128.98 $
390.65 $
257.97
$ 781.29
City of Cupertino'
Santa Clara
N/A I $
24.07
$ 48.14 I $
72.22 $
147.80 $
443.45 $
236.50
$ 709.49
City of Los Altos
(Santa Clara
$
30.03 15
32.34
$ 64.69 I $
97.03 $
126.90 $
380.72 $
380.71
$ 1,142.18
City of Monte Sereno'
(Santa Clara
$
22.57 I $
29.43
$ 58.86 I $
88.29 5
172.93 $
523.81 $
345.85
$ 1,047.63
City of Mountain View`
(Santa Clara
$
20.05 15
29.30
$ 58.60 I $
87.90 $
122.15 $
366.05 $
345.55
$ 996.15
City of Palo Alto
(Santa Clara
$
26.48 15
47.69
$ 95.38 I $
143.07 $
178.54 I $
549.36 $
437.20
$ 1,388.28
City of San Jose
(Santa Clara
N/A 15
32.07
$ 64.14 I $
96.21 5
171.67 15
491.59 $
239.73
$ 685.69
City of Santa Clara'
(Santa Clara
$
19.93 15
25.63
5 37.86 I $
50.09 15
78.69 I $
227.68 5
220.39
$ 625.52
City of Sunnyvale
(Santa Clara
I
N/A 15
38.23
$ 45.66
53.10 15
168.74 5
470.87 5
404,09
5 1,174.15
City of Saratoga'
(Santa Clara
I $
21.57 15
28.13
15
5 56.26 5
84.39 I S
184.91 5
560.37 5
369.83
$ 1,120.74
Town of Los Altos Hills
(Santa Clara
I $
28.84 I S
40.21
$ 80.44 I S
120.64 I $
101.25 $
158.44 5
213.23
$ 370.49
Town of Los Gatos-
(Santa Clara
I $
19.43 1 5
25.45
5 50.90 I $
76.35 I $
147.94 I $
448.17 $
295.87
$ 896.34
27.10 $
37.39
$ 75.76 $
115.12 $
246.73 $
710.48 5
518.55
$ 1,461.60
$
27.73 $
35.46
$ 65.11 $
96.64 $
193.73 $
514.05 $
401.42
$ 1,072.65
27.41 $
36.32
$ 69.85 $
105.34 $
214.11 $
589.60 $
479.71
$ 1,331.95
- _
$
26.40 $
34.15
$ 62.82 $
90.95 $
176.31 $
490.88 $
412.06
$ 1,170.04
$
27.60 $
36.15
$ 73.32 $
111.55 $
264.91 $
745.15 $
472.31
$ 1,290.31
" 1 cu yd containers not available. reflected
here are for 1.5 cu. yds.
' Rate for 2, & 3 30
gallon cans in
lieu of 60 and 90 gallon cans.
' City has wet/dry commercial collection- rates
shown are for wet commercial
materials
"Berkeley's District
3 pays a fire
surcharge on
residential
' Largest residential can Is 45 gallon
' One cubic yard bin
no onger offerred
to new
customers.
'Smallest Commercial Sin Is 2 yd.
tO Includes bin rental fee
'Largest commercial bin is 2 yards.
't City of San Jose does
not offer
20 gallon cart
"OLSD L2 district doesn't provide recycling services to residents. Recycling are included in rate for -1 & L3
Rates for Residential 30-35 Gallon Collection Service
Weekly Recycling and Weekly Organics
$45.00
Attachment 4
$40.00
$35.81 $39.35 $39.61
$34.22
$35.00_.— — —_ _ _.��
$31.31
$30.00
$25.00
c
0
i
a
$20.00
+n-
$15.00 -
$10.00 Marin Franchisors' Average: $36.06
All Jurisdiction Average: $34.15
Average of Other Marin County Jurisdictions: $35.46
$5.00
City of San Rafael Las Gallinas - County City of Larkspur Town of Ross County - (Average)
Jurisdiction
Rates for Commercial 3 Cubic Yard, 1 Time per Week Collection Service
Marin Franchisors' Average: $486.99
All Jurisdiction Average: $41- k)b $597.87
$600.00 --- Average of Other Marin County Jurisdictions: sl -,101-42
$501.67
$500.00 $453.55 $439.39
$442.45
$200.00
a
City of San Rafael Las Gallinas - County City of Larkspur
Jurisdiction
Town of Ross County - (Average)