HomeMy WebLinkAboutOrdinances (O-98-1091)-03/17/1998
ORDINANCE 0-98-1091
AN ORDINANCE AMENDING ORDINANCE 0-95-984 EXHIBIT A, SECTION 3.2 AND
ATTACHMENT A, OF THE FRANCHISE FOR THE COLLECTION AND DISPOSAL OF
GARBAGE, TRASH AND RECYCLING MATERIALS WITHIN THE CITY OF
COLLEYVILLE, INCREASING THE RATES FOR COLLECTION OF RESIDENTIAL AND
COMMERCIAL GARBAGE SERVICE.
WHEREAS, the City Council deems it in the best interest of the City to amend the
franchise for the collection and disposal of garbage, trash and recycling materials within
the City by increasing the rates for residential and commercial garbage service.
NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OF THE CITY OF
COLLEYVILLE, TEXAS AS FOLLOWS:
Sec. 1 THAT Laidlaw Waste Systems, Inc., D.B.A. Trinity Waste Systems, is hereby
granted an increase in residential and commercial garbage collection rates
as follows:
(1) $7.48 per month per Residential Customer for twice a week
collection other than recyclable materials.
ATTACHMENT A
Rates quoted do not include the state sales tax.
COMMERCIAL SERVICE CHARGES:
To provide commercial hand-load service.
CHARGES:
Number of Baas
Contractor
Monthly
Compensation
10.42
15.64
Number of Weekly
Collections
1-6
1-6
1
2
To provide commercial front-load service by size and number of pickups per week as
stated below, at a cost stated per month.
Size 1x 2x 3x 4x 5x 6x extra
2 yd 40.85 64.68 88.51 112.35 135.03 158.88 20.43
3 yd 51.06 85.11 120.28 154.33 189.51 223.55 24.96
Ordinance 0-98-1091
Page 2 of 2
Size 1x 2x 3x 4x 5x 6x extra
4 yd 62.41 103.27 145.25 186.11 228.10 268.95 29.51
6yd 85.11 138.44 192.91 248.52 304.12 358.59 34.04
8yd 107.80 177.04 246.24 314.34 383.55 452.79 39.72
AND IT IS SO ORDERED
TheN\:~s~\-\-reading and
of (( , 1998.
public hearing conducted on
the
Jr2
day
The seco'ld reading and public hearing conducted on the 111/, day
of MA~(!Jf ,1998. APPROVED BY CITY COUNCIL 0 N 3/17/98. VETOED
BY MAYOR NEWTON.
ATTEST:
CITY OF COLLEYVILLE
Jean Harris, CMC
City Secretary
Richard Newton
Mayor
APPROVED AS TO FORM AND LEGALITY:
Ross T. Foster
City Attorney
Memorandum To:
Jean Harris, City Secretary
John Grace, Don Butler, Jack Martin, Donna Arp, Steve Helling,
City Councilmembers
<'"
Richard Newton, Mayor '/~
From:
OECEIWEfrn
.11 _ l!dJ
Date:
March 23, 1998
Subject:
Veto of Ordinance 0-98-1091
em IECRETAAY'I
OFFICE
I have decided to veto Ordinance 0-98-1091 because it is not in the best interests of
Colleyville citizens based on an objective analysis of the facts. Laidlaw Waste Systems Inc,
D.B.A Trinity Waste Systems has provided Colleyville with excellent garbage service for
a number of years and is a good business partner for our city. In order for Trinity Waste
Systems to continue to provide Colleyville with excellent service, it is in Colleyville's best
interest for Trinity Waste Systems to be a profitable company,
Trinity Waste Systems requested a 5% rate increase because the landfill disposal rates they
are charged by the City of Farmers Branch have increased over the last two years,
However, Trinity Waste Systems has been able to compensate for these and other cost
increases through good management practices and acquisitions to the degree that they
have substantially increased their profitability over the last several years, Trinity Waste
Systems is at no business risk if this requested rate increase isn't approved. In addition, if
the rate increase were approved, the additional revenue extracted from Colleyville citizens
would simply further increase the already growing profits of Trinity Waste Systems.
The garbage collection rates charged to Colleyville are the highest of all the surrounding
cities by Colleyville's accounting, or second highest by Trinity Waste Systems accounting.
Either way, there is no dispute that Colleyville currently pays either the highest or second
highest garbage rate collection fees of any comparable city, Trinity Waste Systems
accounts for this based on the fact that Colleyville's ratio of commercial to residential
garbage customers is lower than the surrounding cities, and that commercial rates tend to
subsidize residential rates. Therefore, Colleyville's rate structure has to be higher than
other cities to offset the fact that Colleyville has fewer commercial garbage customers,
However, Colleyville's ratio of commercial to residential customers has only increased
since the beginning of the Trinity Waste Systems contract Even without granting this rate
increase, Colleyville's rates will continue to be the highest of any surrounding city,
In summary:
1) Trinity Waste Systems has the right to ask Colleyville for a rate increase, but
Colleyville has no obligation to grant one.
2) Trinity Waste Systems profitability has continued to increase over the last several
years, even with the land fill disposal cost increases they have suffered,
3) Colleyville already pays the highest garbage collection rates of any surrounding
city, and the ratio of commercial to residential customers in Colleyville continues
to increase.
4) There has been no change in the business situation Trinity Waste Systems faces
since it won Colleyville's business by lowest bid in May 1995, other than the land
fill cost increases that Trinity Waste Systems have been able to offset by good
business practices.
Based on these facts, it would not be in the best interest of Colleyville citizens to grant the
Trinity Waste Systems rate increase, There is no reason why Trinity Waste Systems
should not continue to provide Colleyville with the existing high level of customer service
at the existing rate structure, Granting the rate increase would be a detriment to
Colleyville commercial and residential customers and a benefit to Trinity Waste Systems,