SR-202-001 (70)
June 14, 2001 Santa Monica, CA
INFORMATION ITEM
TO: Mayor and City Council
FROM: City Staff
SUBJECT: Fiscal Year 01-02 EPWM Fee Increases
INTRODUCTION
This report discusses the proposed rate increases for Cemetery and Solid Waste
services.
BACKGROUND
Cemetery
Increases to cemetery fees are proposed for FY 01-02 to help maintain the financial
viability of the Cemetery. The new fees are consistent with prevailing rates at other
cemeteries in the region. Gravesite prices currently range $1,250 to $20,000. The
proposed increase is $1,350 to $25,000. Opening and closing fees currently are $500
and the proposed increase is $525. Marker setting fees are $200 currently, increasing
to $225. Beginning July 1, 2002, the fees will increase by the CPI. The CPI language
will allow staff to administratively adjust the fees annually similar to other city fees.
Solid Waste
A 10% rate increase is proposed for Solid Waste services. The Solid Waste Fund has
been operating with a minimal fund balance. Cost of vehicle maintenance and fuel have
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increased at a rate well above the overall rate of inflation for 2000-01. In addition, the
costs associated with purchase of alternatively fueled, automated equipment
necessitate higher contributions to the vehicle replacement fund than had previously
been the case. Finally, the Solid Waste Fund must contribute to capital improvements
to the Corporate City Yard.
The table below demonstrates the anticipated increase in vehicle costs.
Vehicle Cost
00-01 01-02 Difference %
Vehicle Fuels and lube 125,500 159,900 34,400 27
CNG Fuel 69,900 84,200 14,300 20
Vehicle Mgt Fund – 1,516,500 1,992,800 476,300 31
Maintenance
Total 1,711,900 2,236,900 525,000
While fuel costs continue to fluctuate, it is apparent that if they plateau, it will be at a
higher level than previously experienced. In regard to vehicle maintenance,
contemporary collection equipment is more complex than yesterday’s trash haulers.
The conversion to automated equipment has had significant benefits in regard to
enhanced safety and decreased Worker’s Compensation claims. It has also made
possible expansion of Solid Waste services to include co-mingled and green-waste
recycling without the addition of staff. Nevertheless, maintenance of the equipment
requires a higher allocation than has previously been the case.
In regard to purchase costs, during the period of establishment of the Vehicle
Management Program, the Solid Waster Fund has been paying directly for acquisition
of new automated vehicles while simultaneously paying into the Replacement Fund.
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When the fleet is changed out, the Solid Waste Fund will be responsible only for
ongoing annual amortization payments and there should be a consequent diminishment
of pressure on the 27 Fund.
As communities establish and categorize their fee structure in different ways, a straight-
line comparison is somewhat difficult. Nevertheless, a comparison of the proposed
Santa Monica rates to those in Beverly Hills, Culver City and Pasadena is provided
below. Also listed is an indication of the services provided by each jurisdiction.
SOLID WASTE RATE COMPARISON
Santa Monica Beverly Hills Culver City Pasadena*
Bi-Monthly Rate
Residential-Single $57.00
$67.33 $39.42 $47.46
Family
95 Gallon
Notes Per Lot - Property 95 Gallon
9000sqft Taxes
Commercial $149.00
$142.00 $174.50 $179.84
2 cuyd
Notes Franchise 3 cuyd 3 cuyd
Haulers
Solid Waste Services Variable
Variable Fixed Variable
Rate System by container
by lot size flat rate by container
size
size
Yes
Transfer Station Yes Yes No
Yes
Charge for Extra Pick-ups Yes Yes Yes
Yes
Yardwaste Collection Yes Yes Yes
Yes
Curbside Recycling Yes Yes Yes
Yes
HHW Drop-off No No No
Yes
Street Sweeping Yes Yes No
* Pasadena is located within 5 miles of their landfill and therefore no transfer station
costs are incurred
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Prepared by: Craig Perkins, Director of Environmental and Public Works Management
Nick Hare, Solid Waste Systems Superintendent
Jean Higbee, Utilities Billing Supervisor
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