HomeMy WebLinkAboutOrd 1284 - Residential Solid Waste Collection - Tax Roll BillingCITY OF PALM DESERT
SPECIAL PROGRAMS DEPARTMENT
STAFF REPORT
REQUEST: APPROVE IMPLEMENTATION OF TAX ROLL BILLING FOR
RESIDENTIAL SOLID WASTE COLLECTION AND AMENDMENT TO
PALM DESERT MUNICIPAL CODE SECTION 8.16
SUBMITTED BY: Frankie Riddle, Director of Special Programs
DATE: April 23, 2015
CONTENTS: Amended Ordinance
Ordinance No.1284
Recommendation
By Minute Motion:
1. Approve implementation of tax roll billing for residential solid waste collection and
filing with the County of Riverside Assessor's Office; and
2. Approve amendment to Palm Desert Municipal Code Section 8.16.
Discussion
On Thursday, April 9, 2015, City Council conducted a Study Session to review the City's
Integrated Solid Waste Management Franchise Agreement with Burrtec Waste and
Recycling Services, LLC. At the meeting, along with Residential Tax Roll Billing, the
following items were discussed and will be brought forward to City Council for consideration
at either the May 28 and/or June 11 meeting(s):
TERMS AND PRODUCER PRICE INDEX:
- Current Franchise Agreement term expires May 31, 2015
- Agreement: Existing one four (4) year extension term to May 31, 2019
- Negotiated: Additional four (4) term to May 31, 2023
- Total eight years will provide Burrtec financing options for a new fleet of trucks
• Burrtec to hold Producer Price Index (PPI) Increase for three (3) years for
COMMERCIAL ONLY - Commencing in 2015
• FEES AND PROGRAMS - IMPLEMENTATION TIME TABLE:
- Residential Tax Roll Billing - 2015
New Recycle Fee Based on Nexus Study - 2016
New Vehicle Impact Fee Based on Road Maintenance & Refuse/Recycle
Vehicle Impact Study - 2016
Food Waste/Organics Recycle Program - AB 1826 - 2016
STAFF REPORT
APPROVE IMPLEMENTATION OF TAX ROLL BILLING FOR RESIDENTIAL SOLID
WASTE COLLECTION AND AMENDMENT TO PALM DESERT MUNICIPAL CODE
SECTION 8.16
APRIL 23, 2015
PAGE 2
Ordinance No. 1284
With regard to transitioning from Burrtec's current direct bill system to Residential (non -
master billed) Tax Roll Billing, Burrtec has agreed to pay $1.06 per customer to the City for
the implementation of tax roll billing and the proposed fund allocation is as follows:
$0.73 applied to Recycle Fund
• $0.33 applied to General Fund
Note: The proposed 10% discount is based on an estimate of the haulers savings as a
result of bad debt, labor, and mail costs, and other miscellaneous costs. Also, this 10% is
consistent with Master Billed Account savings.
The first step in this process requires an amendment to the Palm Desert Municipal Code.
As such, Staff recommends approval of Residential Tax Roll Billing and amendment to
Palm Desert Municipal Code Section 8.16.
Fiscal Analysis
Approval of Residential Tax Roll Billing will result in $1.06 per customer paid to the City.
The funds will be allocated to the Recycle Fund in the amount of $0.73 and the General
Fund in the amount of $0.33. The approximate annual income generated is $175,000.
Submitted By:
Frankie ft4dle
Director of Special Programs
Reviewed:
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Rudy ffbosta
Assistant City Manager
Paul Gibson
Director of Finance
Approval:
n M. Wohlmuth
Manager
NOTICE OF PUBLIC HEARING
CONCERNING THE ADOPTION OF AN ORDINANCE
AUTHORIZING THE COLLECTION OF SINGLE-FAMILY
RESIDENTIAL SOLID WASTE, GREEN WASTE AND RECYCLING
SERVICE FEES ON THE TAX ROLL
NOTICE IS HEREBY GIVEN that the City Council of the City of Palm Desert
(the "City") will conduct a Public I-learing on April 23, 2015, at 4:00 p.m., in the City
Council Chambers in the Civic Center, located at 73510 Fred Waring Drive, Palm
Desert, California 92260, or as soon thereafter as the matter may be heard, to consider the
adoption of an ordinance authorizing the City to collect residential solid waste, recycling,
and green waste service fees ("Refuse Fees") on the Tax Roll in the same manner as
property taxes.
The City has an exclusive franchise agreement with Burrtec Waste and Recycling Services,
LLC ("Burrtec") for the collection and handling of solid waste, recycling, green waste
("Refuse") within the City. All property within the City is required to subscribe to Refuse
collection and handling services provided by Burrtec. Currently, City ordinances require that
persons occupying or owning residential property pay Refuse Fees for Refuse services.
Burrtec currently bills quarterly for these services.
In order to reduce costs and provide more efficient service, as of July 1, 2015, the City
intends to adopt an ordinance requiring the property owner of record of any single-family
residential parcel to be responsible for payment of Refuse Fees, and authorizing the City to
collect such Refuse Fees on the property tax roll in the same manner as property taxes.
If approved by City Council, collection of such Refuse Fees will commence after August
2015. If adopted, the ordinance will authorize the tax collector to include the amount of the
Refuse Fees on bills for taxes levied against the respective single-family residential lots and
parcels of land within the City. All laws applicable to the levy, collection, and enforcement
of general taxes of the City, including, but not limited to, those pertaining to the matters of
delinquency, correction, cancellation, refund, and redemption, shall be applicable to the
Refuse Fees.
Ra e . Klassen, City rk
City of Palm Desert
April 6, 2015
ORDINANCE NO. 1284
AN ORDINANCE OF THE CITY OF PALM DESERT,
CALIFORNIA, AMENDING CHAPTER 8.16, SOLID WASTE,
SECTIONS 8.16.010 AND ADDING 8.16.110 OF THE PALM
DESERT MUNICIPAL CODE.
WHEREAS, pursuant to Government Code of the State of California and Ordinance No. 84
adopted August 28, 1975, the City of Palm Desert established rates and fees for garbage and rubbish
collection and disposal services thereof; and
WHEREAS, the City entered into a Franchise Agreement with a waste hauler to collect and
dispose of trash, recyclables, green waste, and other materials as authorized therein; and
WHEREAS, the City imposed fees on property owners for the service provided the waste hauler
("Refuse Fees"); and
WHEREAS, under Section 2.13 of the Franchise Agreement waste hauler has the option to
request Tax Roll Billing and has requested said option be implemented; and
WHEREAS, the City of Palm Desert is proposing to amend the Palm Desert Municipal Code to
allow for Tax Roll Billing, as defined herein, through the County Tax Assessor's Office.
NOW, THEREFORE, the City Council of the City of Palm Desert, California, DOES
HEREBY ORDAIN as follows:
Section 1. Title 8 ("Solid Waste") of the Palm Desert Municipal Code is amended by
revising Chapter 8.16 and Sections 8.16.010, 8.16.020, 8.16.080, 8.16.090, and 8.16.100 to read as
follows:
Chapter 8.16 SOLID WASTE
8.16.010 DEFINITIONS (NEW SECTION)
A. "County" means Riverside County.
B. "Tax Roll Billing" means the collection of single-family residential Refuse
Fees, and any associated penalties and interest, on "Tax Roll.
C. "Refuse Fees" means solid waste, recyclables, green waste, and other fees
associated with proper disposal of solid municipal waste.
D. "Record Owner" means the owner of a parcel whose name and address
appear on the last equalized secured property tax assessment roll, or in the case of any public
entity, the State of California, or the United States, means the representative of that public entity
at the address of that entity known to the agency.
E. "Refuse" means solid waste, recycling, and green waste.
ORDINANCE NO. 1284
F.
collected by the County.
8.16.110
"Tax Roll" means the assessment roll upon which general taxes of the City are
TAX ROLL BILLING (NEW SECTION)
A. Exclusive Franchise. The City has an exclusive franchise agreement with
a waste hauler for the collection and handling of Refuse within the City. All property within the
City is required to subscribe to Refuse collection and handling services provided by the franchise
waste hauler.
B. Record Owner. Effective July 1, 2015, all Refuse service accounts for
single-family residential property shall be established and held in the legal Record Owner's
name. The Record Owner shall be responsible for the payment of Refuse Fees for his or her
parcel.
C. Refuse Service Fees. The City may use Tax Roll Billing to collect the
Refuse Fees imposed on the parcel of the Record Owner of a single-family residential property.
D. Refuse Fees When Due. Refuse Fees imposed on single-family parcels pursuant
to this chapter shall be deemed delinquent if not paid within sixty (60) days of the date they are due to be
paid to the County. All other Refuse Fees shall be deemed delinquent if not paid within thirty (30) days
following the billing statement date.
E. Penalty. A penalty in an amount not to exceed ten percent (10%) of the Refuse
Fees which are delinquent shall be imposed upon the Record Owner or the person holding the Refuse
service account with the City of a parcel as to which Refuse Fees are delinquent, if not paid in the time
and manner prescribed, and in addition may provide for a penalty not to exceed 1 and one-half percent per
month for nonpayment of the Refuse Fees and basic penalty.
F. Remedies. Any remedies for the collection and enforcement of Refuse Fees,
rates or other charges are cumulative and the City may pursue remedies alternatively or consecutively or
authorize the County to undertake action(s).
G. Exception. Vacant Premises. These requirements shall not apply to any
residential premises at which all dwelling unit or units is/are vacant (e.g. new developments) until such
time as the dwelling(s) is first occupied.
H. Vacation Stop Service. The Record Owner of a single-family residential
property may request that service be stopped at the parcel for a minimum/maximum of 30 consecutive
days or as otherwise approved. The service shall be stopped only during the period in which the premises
are vacated. Any person seeking to avail him or herself of the exception provided herein shall bear the
burden of providing reasonable evidence to the City or authorized representative, pursuant to such
regulations or guidelines as the City Manager is hereby authorized to develop, demonstrating the premises
was vacant for the period in question. At such time as the property is reoccupied a restart fee will apply
in addition to Refuse Fees.
I. Waiver Request. Verification of Vacancy. The Record Owner requesting that
service be temporarily stopped shall complete a verification of vacancy form and submit the form and any
documentation as required by the City to the City's authorized waste hauler for review and approval.
J. Restart Fee. The Record Owner of a parcel where Refuse service has been
stopped shall pay the City a restart fee to resume service.
ORDINANCE NO. 1284
Section 2. The City Clerk is directed to certify to the passage and adoption of this ordinance
and to cause this ordinance to be posted or published as required by law.
PASSED, APPROVED AND ADOPTED at a regular meeting of the City Council of the City of
Palm Desert, California, on the 23 day of April, 2015, by the following roll call vote:
AYES:
NOES:
ABSENT:
ABSTAIN:
SUSAN MARIE WEBER, MAYOR
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RACHELLE KLASSEN, CITY CLERK