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City of <br />Elk <br />River <br />REQUEST FOR ACTION <br />TO <br />ITEM NUMBER <br />Mayor and City Council <br />6.4 <br />AGENDA SECTION <br />MEETING DATE <br />PREPARED BY <br />Work Session <br />July 9, 2012 <br />Rebecca Haug, Environmental <br />Administrator <br />ITEM DESCRIPTION <br />REVIEWED By <br />Residential Garbage and Recycling Contract Renewal <br />Cal Portner, City Administrator <br />Tim Simon, Finance Director <br />REVIEWED BY <br />Peter Beck, City Attorney <br />ACTION REQUESTED <br />Discuss extending the contracts with Allied Waste and Randy's Environmental Services, Inc., to continue <br />providing collection services to Elk River residents. <br />BACKGROUND /DISCUSSION <br />The City of Elk River has had an organized garbage collection program since 1991. In the beginning of <br />the program, the city was divided into four sections with four different haulers. Over the years, the <br />smaller haulers were bought out by Randy's Environmental Services, Inc., and Allied Waste. The city <br />currently has two collection districts serviced by these haulers. <br />The positives of having an organized collection include the ability to contract for a set price, control over <br />where the material is disposed of, less wear and tear on city streets with less truck traffic, and improved <br />safety with fewer trucks on the roads. <br />The contract with the current haulers is due to expire on December 31, 2012, and staff has worked with <br />the haulers to extend their contracts. <br />There are several proposed changes to the contract. The first is a term change from a five -year contract <br />to 10 -year contract with biennial review. The premise behind extending the term is the haulers are able to <br />keep rates lower and offer additional services. The contract does have language to terminate the <br />contracts if either party is not satisfied with the services. By continuing with the existing contracts, rates <br />are kept low and the residents will not have their services disrupted. <br />The second change is a switch from a dual stream recycling program to a single stream recycling program. <br />Currently, we require residents to separate paper products from plastic containers and place them in <br />paper bags in their green recycling bin. With a single sort system, the residents receive a 32- gallon <br />container similar in size to their trash container in which all recyclables can be placed for recycling. <br />Residents have requested this service for many years and in many communities single stream collection <br />has increased recycling immensely. The haulers requested a 10 -year contract to offset the investment in <br />new recycling containers. <br />P0WEREO AY <br />N:APublic Bodies \City Council \Council RCA \Agenda Packet \07 -09- 2012 \6.4 Garbage Contracts.docx A f U R <br />