Title
Consider/Discuss/Act on a Resolution Authorizing Staff to Act on the Solid Waste Agreement with Progressive Waste Solutions of Texas Inc.
Summary
MEETING DATE: March 3, 2015
DEPARTMENT: Financial Services
CONTACT: Rodney Rhoades, Chief Financial Officer
RECOMMENDED CITY COUNCIL ACTION: Approve Resolution increasing the FY15 Consumer Price Index (CPI) and continuing the recycling charge.
ITEM SUMMARY:
· Provides for the FY15 CPI increase per the contract.
· Provides for the continuation of the recycling fee at a rate of $0.71 cents as demonstrated by Progressive Waste Solutions per the contract.
BACKGROUND INFORMATION:
· The City of McKinney and Progressive (formerly IESI) entered into an agreement in 1996 for solid waste collections. This agreement was amended in 2005 to include recycling services.
· The contract allows an annual CPI increase. This was requested during June of 2014, at which time a solid waste audit was done by staff. The audit resulted in 1 finding mentioned in the financial summary below.
· Progressive Waste Solutions has demonstrated the need for both the continuation of the recycling fee and for the CPI increase.
· These adjustments will have no impact on the FY15 solid waste charges for residential or commercial customers.
FINANCIAL SUMMARY:
· An audit of Progressive's billing system resulted in a one-time payment of $97,174.32 from Progressive to the City. This audit had no effect on the monthly billings of the City's residential or commercial customers.
BOARD OR COMMISSION RECOMMENDATION: N/A