TO: Mayor and Commission AGENDA DATE: 6/3/2024
FROM: Interim City Manager AGENDA ITEM: 7 - B
SUBJECT:
Title
Public Hearing - Resolution No. 2024-21, Establishing the Preliminary Annual Rate of Assessment for Solid Waste (Trash) Services for FY 2024/2025 - Julia Johnson, Deputy Finance Director (386) 878-8978.
Strategic Goal: Fiscal Issues
Body
LOCATION:
Citywide
COST:
N/A
SOURCE OF FUNDS:
N/A
ORIGINATING DEPARTMENT:
Finance Department
STAFF RECOMMENDATION PRESENTED BY:
Julia Johnson, Deputy Finance Director - Staff recommends that the Commission approve Resolution No. 2024-21, adopting an annual solid waste (trash) collection fee of $235.42 per Residential Unit.
POTENTIAL MOTION:
Recommendation
“I move to adopt Resolution No. 2024-21. The Interim City Manager has the authority to correct scrivener’s errors and the like.”
END
BACKGROUND:
Background
The Solid Waste (Trash) Collection System is based on operational and capital needs and is funded by fees levied to the property owners in the City. Section 54-56 of the Code of Ordinances requires that the City Commission adopt an Annual Rate Resolution during its budget adoption process for each fiscal year. The initial proceedings for adoption of an Annual Rate Resolution require the adoption of a Preliminary Rate Resolution.
The residential solid waste collection rates for FY 2024/2025 have been calculated based on the following criteria:
The Volusia County landfill cost increased as of October 1, 2023. The current rate for regular household garbage went from $34.00 per ton to $37.00 per ton, household yard waste and bulk items went from $23.00 per ton to $30.00 per ton.
The Consumer Price Index is adjusted annually based on the Sewer, Water, Trash index of the percentage change from April of the previous year to April of the current year.
The fuel adjustment component is adjusted annually based on the change in the average monthly pricing of diesel fuel for the last 12 months and the current pricing.
The result of those calculations has a 17.78% decrease in fuel component, 11% increase in disposal cost component and a 5.31% increase in the collection consumer price index component.
The annual solid waste assessment rate for FY 2024/2025 is proposed at $235.42 per Residential Unit, which is increased by $32.62 or 16.09% from the current fiscal year rate. This is the first rate increase the City has implemented in six years, which calculates to a 2.40% increase annually.
Approval of this item authorizes the necessary budget transfers to facilitate Commission approval and further authorizes the Interim City Manager to sign any documents necessary to further Commission approval of this item.
End