City Council Meeting Date: March 5, 2019
To: Mayor and City Council
City Administrator
From: Justin Wagner, Utilities Manager
David Bennett, P.E., Public Works Director/City Engineer
Title
Consider Motion to Extend Dick’s Sanitation, Inc. Waste Hauling Contract.
Body
Action Requested:
The Northfield City Council considers a Motion on terms of Dick’s Sanitation, Inc. Waste Hauling Contract Extension.
Summary Report:
On February 19, 2019, the City Council held a discussion on terms of a refuse contract extension with Dick’s Sanitation, Inc. (DSI). The current contract with DSI began in 2013 and expires March 31, 2019. Collection is for single family and multi-family/apartments up to six units.
New contract terms include the following items:
• Brush Collection costs per bundle. This service is to continue to be offered until the City exercises the option to initiate organic food/wet waste (OFWW) and yard waste for all residents.
• OFWW and yard waste collection - DSI has agreed to provide such service at costs listed in the contract amendment. Such services shall be provided at the costs if it is required of every resident to have OFWW and yard waste collection. The City will pay costs associated with disposal separately (could be implemented).
• Costs for some White Goods have changed.
• Proposed rates for collection of refuse, recycling and OFWW.
• DSI will offer pickup of 96 gallon recycling containers in addition to the 65 gallon option to all Northfield residents. Containers will be provided by DSI for Dakota County residents and by Rice County for Rice County residents.
• Annual waste audit will take place using one refuse truck’s load to determine what type of waste Northfield is producing.
• Contract extension will expire December 31, 2025.
• DSI will offer 20-gallon carts for weekly pickup of refuse and garbage in addition to the current 35, 64 and 96-gallon carts.
• DSI will provide carted yard waste for weekly pickup for the Spring to Fall season. There must be 200 residents signed up for this service for it to be provided.
The current contract allows for collection of the following:
• Garbage & Refuse (Weekly Collection 35 Gal, 65 Gal, 96 Gal Carts)
• Recyclable (Bi-Weekly Collection 64 Gal Cart)
• Organic Food/Wet Waste trial (could be implemented)
• Yard Waste & Brush Collection (April 1 - May 15 Spring & Oct 1 - Nov 15 Fall)
• Christmas Tree Collection
• White Goods and Electronics Collection
• Spring Clean-up Days - Two Saturdays
DSI currently provides the following contract programs:
• Enviro Education Center (website with waste disposal information)
• Schedule Reminder Center (Automated dialer reminds residents of holiday schedule)
• Reduction Tactics Initiative
• Paperless routing
• Alternative fleet fuels
• Paperless invoicing
• Enviro-fact reporting
• Treewards Program
• Hauler Scholars Program
• DSIcycleback Program - share portion of residential recycling reimbursement from Rice County
• DSI recycling roll-off - proceeds to local youth organizations
Two items to note are first, that the City’s current utility rates do not have a set rate for a 20-gallon cart. This rate would need to be developed. Secondly, the proposed tip fees for the Shakopee Mdewakanton Sioux Community Organics Recycling Center are as follows: 2019 - $36.05 per ton, 2020 - $37.13 per ton and 2021 - $38.24 per ton. Currently the City pays roughly $55 per ton to dispose of solid waste at Rice County Landfill.
Alternative Options:
If the City Council does not authorize staff to prepare a refuse contract extension with DSI, staff will have to seek proposals from multiple contractors for hauling its refuse; however, staff does not recommend this as the EQC discussed this option and favors the service that DSI provides and would like them to continue providing that service.
Financial Impacts:
The current contract is set to expire on March 31, 2019.