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REQUEST FOR <br />COUNCIL ACTION <br />CITY COUNCIL MEETING DATE: <br />JANUARY 17, 2006 <br />TITLE: <br />AMENDED AGREEMENT WITH WASTE <br />MANAGEMENT INC. FOR REFUSE <br />COLLECTION AND RECYCLING <br />KrI.VMMr-NUCU Al.I 1UN <br />CLERK OF COUNCIL USE ONLY: <br />APPROVED <br />❑ As Recommended <br />❑ As Amended <br />❑ Ordinance on 15f Reading <br />❑ Ordinance on 2nd Reading <br />❑ Implementing Resolution <br />❑ Set Public Hearing For_ <br />CONTINUED TO <br />FILE NUMBER <br />Approve and authorize the City Manager and the Clerk of the Council to <br />execute an amended agreement with Waste Management Inc. for collection <br />and recycling of the City's solid waste. <br />DISCUSSION <br />In 1996 the City entered into an exclusive agreement with Waste <br />Management Inc. to collect and recycle the City's residential, commercial <br />and industrial waste. With that agreement the City implemented the <br />three -cart curbside program, the wet/dry commercial program and the <br />sorted industrial waste programs that are currently in place. That <br />agreement has been amended to provide alley and parkway clean-up. <br />The proposed amended agreement will incorporate the additional services <br />to the City into one agreement and extend the term of the agreement <br />through the year 2018. In exchange, the City will receive $1,000,000 in <br />fiscal year 05-06 and $500,000 in each of the remaining years of the <br />agreement. These payments will not affect customer rates. <br />Customer rates will continue to be competitive. In 2004 Santa Ana's <br />curbside rates were mid range and commercial rates were in the lower one- <br />third of the rates in the County. Currently, these rates may be <br />increased each year by 7.5%. With the proposed amended agreement the <br />rates can only be increased each year by 5 percent. <br />Under the proposed amended agreement Waste Management will continue to <br />utilize the trucks purchased by the City in 1996 and will begin replacing <br />them in 2006 with low emission vehicles. In addition, collection of <br />televisions, computers and monitors will be included with the City's <br />large item pickup service for curbside customers. <br />25A-1 <br />