BC 2012 07 02 Work Session - Laserfiche WebLink

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July 2, 2012 (Work Session) Page 1152 Solid Waste — Ordinance Acknowledging New Conditions of Existing Solid Waste Collection and Disposal Franchise Agreement with Republic Services, Inc. and Renewing the Franchise Agreement Through December 31, 2017 - First Reading Kevin Grant, Sustainability Manager, presented the following information related to a request to renew the Franchise Agreement with Republic Services, Inc.: the current Agreement expires on December 31, 2012 and provides Republic Services, Inc. exclusive rights and franchise to collect the solid waste from all residential units in the unincorporated sections of Cabarrus County and for the disposal of all solid waste generated from the City of Kannapolis and towns of Mt. Pleasant and Harrisburg; the Agreement may be renewed for one successive period of five years; the renewal of the Franchise Agreement also guarantees the County air space at the Speedway Landfill for the next five (5) years; and negotiations with Republic Services, Inc. have been ongoing for about a year. He also reviewed the following modifications to the current Agreement: • Collection of MSW (municipal solid waste) and bulk waste will occur one (1) time per week for $14.00 per home per month. (Current service level with a cost reduction of 68 cents per home.) • Collection of recycling (single stream) will occur every other week for $3.04 per home per month. (Service level change from the weekly collection of a small bin to an every other week collection using a 96- gallon roll -out cart. Cost reduction of $1.19 per home.) • Collection of yard waste will occur every other week, opposite the week for collection of recyclable materials, for $1.00 per home per month. (New service level in the unincorporated areas. This is an option for future years and will not likely be exercised in year one.) • Collection of bulk materials increased from 2 to 5 cubic yards with no increase in price. • Recyclable materials will be transported to Sonoco and the County will receive $10.00 per ton collected. This additional revenue is estimated to be at least $17,000.00 annually. • Republic will lower the disposal rate (tipping fee) by three (3) percent upon receipt of written confirmation of the franchise renewal and then decrease the rate an additional two (2) percent on January 1, 2013. • The annual CPI (Consumer Price Index) adjustment will be calculated at 75 percent of the CPI total percent change. Mr. Grant also reported Republic provides the following services at no charge to the County: provides roll -off containers at the C &D Landfill; waives tipping fees at the Speedway Landfill for municipal solid waste (MSW) brought to the C &D landfill by county subscribers or nonsubscribers; provides and empties five (5) cardboard dumpsters at the Kannapolis Recycling Convenience Center; and collects recycling at all County buildings. After reviewing the savings associated with the proposal, he recommended the County renew the franchise agreement with Republic Services. He also noted two (2) request for proposals would be required if the collection and disposal services were put out to bid. In accordance with NCGS 153A -46, Chairman Poole advised the ordinance approving the Franchise Agreement renewal must be adopted by the Board at two regular meetings. Chairman Poole noted the receipt of letters from other vendors requesting the services be put out to bid. A general discussion ensued with Mr. Grant and Mike Downs, County Manager, responding to question from the Board. Finance - Public Schools Salary Increase for FY 2013 - Update Chairman Poole advised the Governor vetoed the State budget; therefore there is nothing to discuss at this time. Designation of Voting Delegates to NCACC Annual Conference At the request of Chairman Poole, Commissioner Measmer agreed to serve as the voting delegate at the NCACC Annual Conference in August in Wake County. Approval of Regular Meeting Agenda The Board discussed the placement of items on the regular Agenda.