Bill 2010-67

BILL SUMMARY
BILL NO: 2010-67
SPONSOR: Councilwoman Carroll
SUBJECT: Authorizing the Mayor and City Clerk to Execute an Amendment to the Solid
Waste and Recyclable Materials Collection and Removal Contract.
DATE INTRODUCED: September 20, 2010
Summary: This ordinance authorizes an amendment to the current trash contract which will reduce fees paid to the City but will preserve the current base rate paid by residents.
Background Information: Following approximately nine months of study and publicdiscussion, including an open bidding process, the City entered into a contract with Republic Waste Services to provide trash service to the residents of the citizens of the city. When the bid process was conducted the City estimated that their were approximately 14,000 single family residences in Jefferson City. After the first ten months of the contract
it appears that there are only 12,600 homes in Jefferson City. This has resulted in aconsiderable loss in revenue to Republic. Republic alleges, though the City denies, thatthis is a breech of the contract. Without either side admitting any wrongdoing, the parties have agreed to resolve this dispute by reducing the fees paid by Republic to the City. This
compromise will preserve the current base rate paid by Jefferson City citizens.
Fiscal Information: The City will relinquish up to $320,000 in fees which otherwise would have been paid. However, but for this agreement, fees to individual customers would have been increased by approximately $2.11 per month, or a total cost to citizens of $319,000.
Origin of Request: Litigation
Department Responsible: Law
Person Responsible: Charles Lansford and Nathan Nickolaus
Staff Recommendation: Approve