Title
Consider a resolution authorizing the Mayor to execute an Amendment to Residential Services Rate for the refuse collection contract with Central Texas Refuse, Inc.
Body
In August of 2010, the City amended the City Ordinance regarding the implementation of a Comprehensive Solid Waste Management and Recycling Program for the citizens of Round Rock. In October of 2010, the City entered into an updated contract with Round Rock Refuse to perform solid waste and recycling collection and disposal services for the City. The City has successfully worked with Round Rock Refuse since 1987 for these services. The solid waste and recycling services that are performed by Round Rock Refuse continue to receive high ratings from our citizens during the survey that the City conducts biannually.
In January 2017, the City renewed Round Rock Refuse’s contract for an initial term of five years. At the end of the third calendar year of the initial five year term, and at the end of each calendar year thereafter, the term shall automatically renew such the balance of the term remains three years. For the initial year of the new agreement, the monthly Residential Services Rate was fixed at $14.51 per customer. At the end of each year, Round Rock Refuse may petition to the City for reasonable adjustments to the Residential Services Rate based on increases in fuel, landfill, and/or the Operations, Overhead, and Profit costs. In a letter dated December 1, 2017, Round Rock Refuse has petitioned for an increase in the Residential Services Rate from $14.51 to $15.86 per month to account for increases in all three components of the rate. Round Rock Refuse has only had one rate increase in the past four years.
This proposed rate would still be one of the lowest Residential Services Rates in the area.
If this contract amendment along with changes to the Solid Waste Ordinance are approved by Council, then the proposed new rate would go into effect starting February 1, 2018.
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