17-187.02 Waste Management: 2019 Rate Schedule VIMA
WASTE MANAGEMENT
WASTE MANAGEMENT
November 25, 2019 11321 E Indiana Rd
Spokane Valley,WA 99206
City of Spokane Valley
Attn: City Clerk, Christine Bainbridge
cbainbridge@spokaneva lley.org
11707 East Sprague Avenue, Suite 106
Spokane Valley, Wa 99206
Re: 2019 Disposal Adjustment
Please find the enclosed 2019 rate schedule for Solid Waste collection services provided by
Waste Management to the residents and businesses of the City of Spokane Valley.
The disposal component of the rates is based upon the new Sunshine disposal rate of$103.14
per ton.
Please review this revised schedule and let me know of any discrepancies. Also, please note
that customers will be notified of this increase through a notice on their invoice that contains
the rate increase.
Waste Management looks forward to providing quality Solid Waste collection services to the
City of Spokane Valley in the years ahead.
Sincerely,
Cory Caldwell
Contract Compliance Administrator
Public Sector, Pacific Northwest
corycaldwell@wm.com
Waste Management
720 4th Ave, Suite 400
Kirkland, WA 98033
Tel 425 825 0069
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Attachment B-Initial Contract Rates
Spokane Valley
CPI% 2.39% CPI% 2.49%
12/1/2018 12/1/2019
Daily Monthly Delivery Haul Daily Monthly Delivery Haul
Service Level(based on pick ups) Rent Rent Charge' Charge* Rent Rent Charge' Charge*
All Sector Non-compacted 10 cubic yard Drop-box $ 2.75 $ 40.46 $ 52.76 $ 83.57 $ 2.81 $ 41.46 $ 54.07 $ 85.64
Drop-box Non-compacted 15 cubic yard Drop-box $ 3.76 $ 53.06 $ 52.76 $ 83.57 $ 3.85 $ 54.37 $ 54.07 $ 85.64
Collection Non-compacted 20 cubic yard Drop-box $ 4.77 $ 65.66 $ 52.76 $ 83.57 $ 4.88 $ 67.29 $ 54.07 $ 85.64
Non-compacted 25 cubic yard Drop-box $ 5.07 $ 69.13 $ 52.76 $ 83.57 $ 5.19 $ 70.84 $ 54.07 $ 85.64
Non-compacted 30 cubic yard Drop-box $ 5.36 $ 72.58 $ 52.76 $ 83.57 $ 5.49 $ 74.38 $ 54.07 $ 85.64
Non-compacted 40 cubic yard Drop-box $ 5.97 $ 88.33 $ 52.76 $ 83.57 $ 6.11 $ 90.52 $ 54.07 $ 85.64
Compacted 10 cubic yard Drop-box outside contract $ 52.76 $ 134.97 outside contract $ 54.07 $ 138.32
Compacted 20 cubic yard Drop-box outside contract $ 52.76 $ 134.97 outside contract $ 54.07 $ 138.32
Compacted 25 cubic yard Drop-box outside contract $ 52.76 $ 134.97 outside contract $ 54.07 $ 138.32
Compacted 30 cubic yard Drop-box outside contract $ 52.76 $ 134.97 outside contract $ 54.07 $ 138.32
Compacted 40 cubic yard Drop-box outside contract $ 52.76 $ 134.97 outside contract $ 54.07 $ 138.32
Drop-box Ancillary Fees Per Unit Per Unit
Multifamily Recycling Fee(per cubic yard of DB size' $ 5.73 $ 5.87
Return Trip(per event) $ 25.59 $ 26.22
Stand-by Time(per minute) $ 1.63 $ 1.67
Container cleaning(per yard of container size) $ 10.23 $ 10.48
Drop-box excess mileage(over 5 mi),per one-way mile $ 3.07 $ 3.14
Delivery Daily Monthly Haul Delivery Daily Monthly Haul
Service Level Fee Rental Rental Charge Fee Rental Rental Charge
Temporary Non-compacted 10 cubic yard Drop-box $ 52.76 $ 2.75 $ 40.46 $ 107.49 $ 54.07 $ 2.81 $ 41.46 $ 110.16
Containers Non-compacted 20 cubic yard Drop-box $ 52.76 $ 4.77 $ 65.66 $ 107.49 $ 54.07 $ 4.88 $ 67.29 $ 110.16
Non-compacted 30 cubic yard Drop-box $ 52.76 $ 5.36 $ 72.58 $ 107.49 $ 54.07 $ 5.49 $ 74.38 $ 110.16
Non-compacted 40 cubic yard Drop-box $ 52.76 $ 5.97 $ 88.33 $ 107.49 $ 54.07 $ 6.11 $ 90.52 $ 110.16
Hourly Rate Drop-box Truck+driver $ 76.81 $ 78.72
Additional Labor(per person) $ 30.66 $ 31.42
Extra Contaminated recycling material pick-up(per loose cubic yard of material collected); $ 10.23 $ 10.48
•The City's disposal fee as it exists on the date of execution or as thereafter modified shall be itemized separately on Customer invoices.The Contractor
shall charge Customers the actual disposal cost without mark-up.
'Charged only upon first delivery. Any empty and returns are charged Haul Charge.
'Per haul.
3 Flat Rate. No disposal fee added to charge.
Waste Management,Inc.
Consumer prke Index our CPI: The words"Consumer Price Index"or"CPI"means the Consumer Price
Index for All Items,December 1996®100 for All Urban Consumers(CPI-U), West Site Class SIG,as
published by the United States Department of Labor,Bureau of Labor Statistics. The Parties may refer to
the Bureau of Labor Statistics website or other official source to determine the applicable CPI Index.
4.3 Compensation Adjustments
4.3.1 Annual CPI Modification
The Contractor's collection service charges and miscellaneous fees and Contract options contained in •
Attachment B,excluding waste disposal fees,for each level of service shall increase or decrease each year
by 90%of the annual percentage change in the average CPI for the 12 month period July 1 through June
30 of the calendar year the acrustment becomes effective as compared to the CPI average for the preceding
12-month period and multiplying the result..by the then applicable servicercharges and miscellaneous
fees. Such i ncreases or decreases arc,considcrod,part of thia.,Contract that occur automst.icallyortanannual ,
'basis-uuntrshall`not requifesaiiiiionill"City''C6urictizaprcEvdt;.provnaeafsuch increases tedecreases are
subject to City review and verification as set forth b= i.w for the amount of such increase or decrease.
Adjustments to the Contractor's collection service charge shall be made,in units of one cent,(S0.01).
Fractions less than one cent(S0.01)shall not be considered when making adjustments.
Rates shall be adjusted annually,beginning December 1,2018.The Contractorshall submit in Writing and
electronic form to the City for review,and verification a Rate Adjustment Statement,calculating the new
rates for the next year, on or by Stptemb'er i'r of eadr,year, starting Septdtpl?er,1,2618.The City shall
review and provide comment as to any'errors With the ealeutations,by Septt'fliber 156 of eacli_year.lathe
event tbat,the,Contractor does not submit a Rate Adjustment Statement by September la,the City shall
calculate and unilaterally implement a rate adjuinnent based on the best available.information as of
September.1"of that year for the applicable period,and the Contractor shall lose the right to appeal this
action.
Absent City notification and subsequent remedy of errors,the new rates shall take effect.oa Discember 1"
of that year.Contractor shall notify Customers of the impending rate adjustment by October 15th,at least
45 days prior to the new rate going into effect Shoal¢ratepayers not receive notification October 15m,
due to missed deadlines by the Contractor,implementation ofthe new rates'shall be delayed by one month
without opporttmity..for recovery of lost revenue.An example of rate adjustments.due to Consumer Price
Index changes is provided is Attachment D. '
4.3.2 Changes Itt Disposal Proceaislag Sites
If the Contractor is required by the City or othergoverxunentai authority to use a Garbage disposal site other
than those being;used at the initiation of this Contract,•tire Contractor shall submit a detailed proposal,
including full disclosure of relevant cost impacts,for the adjestmcnt ofthe rates to reflect any additional
cost or savings to the Contractor.The Contractor'S rates pursuant to this Contract in such a case shrill be
adjusted so as to pass through any resulting additional costs incurred by or savings to the Contractor. The
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City and Contractor agree to negotiate in good faith and to make any changes to the rates to accomplish a
pass-through of any such costs or savings.
4.3.3 Other Modifications
Except as otherwise expressly provided for by this Contract,Contractor shall not adjust or modify the rates
charged to Customers above the rates set forth id Attac'litnent.f'due to employee wage increases,changes
in commodity prices for Recyclables,or other changes affecting the collection system.
In the event that unforeseen .temporary market failure prevents or precludes compliance with the
requirements of Section 3.1.10,the Contractor may request a temporary adjustment or other relief from the
requirements of that Section 3.1.10. The City may request any and all documentation and data reasonably
necessary to evaluate such request by the Contractor,and may retain,at its own expense,an independent
third party to audit and review such documentation and such request. If such third party is retained,the
City shall take reasonable steps,consistent with State Taw,to protect the confidential or proprietary nature
of any data or information supplied by the Contractor:
If an unforeseen market failure persists more than nine months,the Parties agree to engage in good faith
negotiations to deter tiine a mutually acceptable course of action,including but not limited to eliminating
the materials from the list of Recyctables, changing Customer preparation requirements,'or any othet
mu rally a_ereeable snlutionil„ .
The City.shall review the Contractor's request within 120 days of receipt. Upon the City's review of the
Contractor's request,the City shall approve or deny the request,at its sole discretion.