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HomeMy WebLinkAbout17-089.13 Waste Management of Washington - 2025 B&O Tax Surcharge RevisionFOURTH AMENDMENT TO THE FIRST AMENDED AND RESTATED COMPREHENSIVE GARBAGE, RECYCLABLES, AND COMPOSTABLES COLLECTION CONTRACT BETWEEN THE CITY OF SPOKANE VALLEY AND WASTE MANAGEMENT OF WASHINGTON, INC. ("WM") (the "Parties") Spokane Valley Contract #17-089.13 RECITALS WHEREAS, the Parties are parties to the First Amended and Restated Comprehensive Garbage, Recyclables, and Compostables Collection Contract with an Effective Date of April 1, 2018, and a termination date of March 31, 2028, as amended on July23, 2020, November 13, 2024, and November 5, 2025, (the "Contract"); and WHEREAS, the Washington State Legislature passed HB 2081, which amended RCW 82.04.290; and WHEREAS, pursuant to HB 2081 Part II, Surcharges on High Grossing Businesses and Financial Institutions, beginning January 1, 2026, an additional B&O Tax shall be imposed upon qualifying businesses in Washington with at least $250 million in Washington taxable income per calendar year. The tax is 0.5 percent of the businesses' annual Washington taxable income in excess of $250 million and is in addition to the standard B&O Tax imposed on the income. This surcharge expires December 31, 2029; and WHEREAS, pursuant to Section 4.3.4.1 of the Contract, Contractor may seek to adjust rates to address changes in costs in excess of $5,000 annually that are due to changes in City, County, State, or Federal taxes; and WHEREAS, the Parties desire to amend the Contract to adjust rates to account for the additional B&O Tax until the expiration, reduction, or termination of HB 2081 Part II; and WHEREAS, the new rates will become effective as of January 1, 2026. AGREEMENT NOW THEREFORE, for good and valuable consideration, the legal sufficiency of which is hereby acknowledged, City and the Contractor mutually agree as follows: Original Contract Provisions: The Parties agree to continue to abide by those terms and conditions of the Contract and any amendments thereto which are not specifically modified by this Amendment. All capitalized terms not defined herein shall have the meanings set forth in the Contract. 2. Amendment Provisions: The Contract is subject to the following amended provisions. All such amended provisions are hereby incorporated by reference herein and shall control over any conflicting provisions of the Contract, including any previous amendments thereto. Spokane Valley Contract #17-089.13 Page 1 of 6 (a) Attachment B — Contractor Rates. Attachment B — Contractor Rates is hereby deleted in its entirety and replaced with the attached Exhibit A, which reflects the B&O Tax surcharge increase imposed by the Washington State Legislature pursuant to HB 2081 Part II. Such rates shall be effective as of January 1, 2026. The Parties agree to adjust the rates, in accordance with the provisions of Section 4.3.4.1, upon the reduction, expiration, or termination, if any, of the B&O Tax surcharge. (b) Counterparts; Signatures. This Amendment may be signed in counterparts, each of which shall be deemed an original, but all of which shall constitute one and the same agreement. Signatures transmitted electronically shall be deemed valid execution of this Amendment and binding on the Parties. IN WITNESS WHEREOF, the Parties have executed this Amendment to the Contract this 611h Day of January, 2026. Each person signing this Amendment represents and warrants that he or she has been duly authorized to enter into this Amendment by the Party on whose behalf it is indicated that the person is signing. CITY OF SPOKANE VALLEY: CONTRACTOR: By: f��— By: ohn Hohman J on S. Rose City Manager Waste Management of Washington, Inc. Its: President ATTEST: I MaA PattersoA, City Clerk APPROVED AS TO FORM: By: ` 00!ce of the ity Attorney Spokane Valley Contract #17-089.13 Page 2 of 6 EXHIBIT A Attachment B: Contractor Rates for WM with B&O Surcharge Tax Effective as of January 1, 2026 Does not include State Refuse Tax City of Spokane Valley B&OSurcharge City Fee% 12.5% B&O%Chg 0.320% B&O Disposal %Chg 0.320% B&O % 2.42°% Service Level *A Recycle Collection Fee is embedded as part of the total monthly rate. This fee will be excluded from the State Solid Waste Tax and will adjust annually as part of the annual CPI adjustment. Disposal Fee Recycle Collection Fee Garbage Collection Fee Total Service Fee City Fee Total Fee* Monthly* One 35 gallon Garbage Cart $ 1.62 $ 7.52 $ 5.37 $ 14.51 $ 1.85 $ 16.36 Weekly* One 10/13 gallon Micro-Can/Cart $ 1.77 Residential One 20-gallon Garbage Cart $ 3.60 Curbside 135-gallon Garbage Cart $ 5.79 Garbage 1 45-gallon Garbage Cart $ 8.18 Service 164-gallon Garbage Cart $ 11.66 Includes 196-gallon Garbage Cart $ 17.53 Recycling Add4onal35 Gallon Carts (weeklysvc) $ 5.79 1 Extras (32 gallon equivalent) $ 1.30 $ 7.52 $ 8.05 $ 17.34 $ 2.22 $ 19.56 $ 7.52 $ 7.38 $ 18.50 $ 2.37 $ 20.87 $ 7.52 $ 8.89 $ 22.20 $ 2.85 $ 25.05 $ 7.52 $ 11.16 $ 26.86 $ 3.44 $ 30.30 $ 7.52 $ 11.64 $ 30.82 $ 3.94 $ 34.76 $ 7.52 $ 14.40 $ 39.45 $ 5.05 $ 44.50 1$ 2.72 $ 8.51 $ 1.09 $ 9.60 $ 3.88 $ 5.18 $ 0.67 $ 5.85 Yard Debris Subscription Yard Debris Service -20-gallon Cart $ 8.75 $ 1.12 $ 9.87 Curbside Service Subscription Yard Debris Service-32/35-gallon Cart $ 9.44 $ 1.21 $ 10.65 Subscription Yard Debris Service -64-gallon Cart $ 11.16 $ 1.43 $ 12.59 Subscription Yard Debris Service -96-gallon Cart $ 12.89 $ 1.65 $ 14.54 Extra Yard Debris (32 gallon bag/bundle/can) $ 3.85 $ 0.49 $ 4.34 Additional Yard Debris Cart - Any Size $ 7.79 $ 0.99 $ 8.78 Miscellaneous Fees Return Trip $ 7.79 $ 0.99 $ 8.78 Recycling Only (no garbage service) $ 11.23 $ 1.43 $ 12.66 Additional Recycling Cart $ 2.23 $ 0.29 $ 0.62 $ 2.52 $ 5.51 Oversize Container (per unit) $ 4.89 Carry Out5to25feet(peroccurrance) $ 0.62 $ 0.08 $ 0.70 Carry out over 25 feet (per occurrance) $ 0.34 Distance Drive In: Over 125' and less than 250' (per occurrence) $ 2.19 $ 0.04 $ 0.28 $ 0.38 $ 2.47 Distance Drive In: Over 250' and less than 1/10 mile (per $ 2.85 occurrence) $ 0.37 $ 3.22 Distance Drive In: each 1/10 mile over 1/10 mile (per $ 4.27 occurrence) $ 0.54 $ 4.81 Roll -out Charge, per 25 ft, per cart, per time $ 3.85 $ 0.49 $ 4.34 Drive-in Charge, per month $ 7.79 $ 0.99 $ 8.78 Overweight/Oversize container (per p/u) $ 3.85 $ 0.49 $ 4.34 Redelivery of one or more containers $ 13.02 $ 1.67 $ 14.69 Cart Cleaning (per cart per cleaning) $ 13.02 $ 1.67 $ 14.69 On -Call Bulky Waste Collection Non-CFC Containing Large Appliances ("white goods"), per item $ 26.10 $ 3.34 $ 29.44 Refrigerators/Freezers/Air Conditioners per item 1 1 1$ 39.18 $ 5.02 $ 44.20 Sofas, Chairs, per item $ 2.54 1 1$ 23.59 $ 26.13 $ 3.35 $ 29.48 Mattresses, Boxsprings, per item $ 3.88 1 1$ 22.33 $ 26.21 $ 3.36 $ 29.57 Extra Service Additional service on a non-scheduled pickup day requiring a specialty dispatched driver. Rate is calculated bydividing monthly service rate by number of pickups in a month (4.333) plus return trip fee. Extra Lift: Additional service on scheduled pickup day while driver is on site. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333). Spokane Valley Contract #17-089.13 Page 3 of 6 Service Level Fee Dis;8.18 Garbage Collection Fee Total Service Fee City Fee Totalfee Weekly One 20-gallon Garbage Cart $ $ 12.88 $ 16.48 $ 2.11 $ 18.59 Commercial Can and Cart 135-gallon Garbage Cart $ $ 13.75 $ 19.54 $ 2.50 $ 22.04 145-gallon Garbage Cart $ $ 15.49 I $ 23.67 $ 3.03 14i 26.70 164-gallon Garbage Cart $ 11.66 $ 16.08 $ 27.74 $ 3.55 $ 31.29 196-gallon Garbage Cart $ 17.53 $ 18.05 $ 35.58 $ 4.56 $ 40.14 Extras (32-gallon equivalent) $ 1.30 $ 3.88 $ 5.18 $ 0.67 $ 5.85 Ancillary Fees: Weekly96-gal Cart Yard Debris/Foodwasteservice $ 12.01 $ 1.54 $ 13.55 Extra Yard Debris (32 gallon bag/bundle/can) $ 3.85 $ 0.49 $ 4.34 Return Trip $ 7.79 $ 0.99 $ 8.78 Roll -out Charge, per addtn'l 25 ft, per cart, per p/u $ 1.89 $ 0.25 $ 2.14 Oversize Container (per unit) $ 4.89 $ 0.62 $ 5.51 Carry Out 5 to 25 feet (per occurrence) $ 0.62 $ 0.08 $ 0.70 Carry Out over 25 feet (per occurrence) $ 0.34 $ 0.04 $ 0.38 Distance Drive In: Over 125' and less than 250' (per occurrence) $ 2.19 $ 0.28 $ 2.47 Distance Drive In: Over 250' and less than 1/10 mile (per $ 2.85 occurrence) $ 0.37 $ 3.22 Distance Drive In: each 1/10 mile over 1/10 mile (per $ 4,27 occurrence) $ 0.54 $ 4.81 Redelivery of containers $ 13.02 $ 1.67 $ 14.69 Cart Cleaning (per cart per cleaning) $ 13.02 $ 1.67 $ 14.69 Weekly 1 Cubic Yard Container, 1 pickup/EOW week Commercial 1 Cubic Yard Container, 1 pickup/week Detachable 1.5 Cubic Yard Container, 1 pickup/EOW week Container 1.5 Cubic Yard Container, 1 pickup/week (compacted) 2 Cubic Yard Container, 1 pickup/EOW week 2 Cubic Yard Container, 1 pickup/week 3 Cubic Yard Container, 1 pickup/EOW week 3 Cubic Yard Container, 1 pickup/week 4 Cubic Yard Container, 1 pickup/EOW week $ 47.46 $ 29.21 $ 76.67 $ 9.81 $ 86.48 $ 94.97 $ 58.46 $ 153.43 $ 19.64 $ 173.07 $ 71.21 $ 39.09 $ 110.30 $ 14.12 $ 124.42 $ 142.51 $ 78.25 $28.27 $ 249.03 $ 94.99 $18.07 $ 159.15 $ 190.04 $ 92.27 $ 282.31 $ 36.14 $ 318.45 $ 142.51 $ 58.27 $ 200.78 $ 25.71 $ 226.49 $ 285.09 $ 116.59 $ 401.68 $ 51.43 $ 453.11 $ 190.04 $ 63.49 $ 253.53 $ 32.46 $ 285.99 4 Cubic Yard Container, 1 pickup/week $ 380.14 $ 127.07 $ 507.21 $ 64.93 $ 572.14 6 Cubic Yard Container, 1 pickup/EOW week $ 285.09 $ 75.15 $ 360.24 $ 46.12 $ 406.36 6 Cubic Yard Container, 1 pickup/week $ 570.25 $ 150.35 $ 720.60 $ 92.26 $ 812.86 Service Level Commercial 1 Cubic Yard, 1 pickup/EOW week Detachable 1 Cubic Yard, 1 pickup/week Container 1 Cubic Yard, 2 pickups/week (loose) 1 Cubic Yard, 3 pickups/week 1 Cubic Yard, 4 pickups/week 1 Cubic Yard, 5 pickups/week 1.5 Cubic Yard, 1 pickup/EOWweek Disposal Garbage Fee Collection $ 15.79 $ 25.40 Total Service Fee $ 41.19 City Fee $ 5.27 Totalfee $ 46.46 $ 31.62 $ 50.85 $ 82.47 $ 10.56 $ 93.03 $ 63.31 $ 101.77 $ 165.08 $ 21.14 $ 186.22 $ 94.99 $ 152.70 $ 247.69 $ 31.71 $ 279.40 $ 126.67 $ 203.60 $ 330.27 $ 42.28 $ 372.55 $ 158.35 $ 254.54 $ 412.89 $ 52.86 $ 465.75 $ 23.69 $ 34.00 $ 57.69 $ 7.38 $ 65.07 1.5 Cubic Yard, 1 pickup/week $ 47.46 $ 68.06 $ 115.52 $ 14.79 $ 130.31 1.5 Cubic Yard, 2 pickups/week $ 94.99 $ 136.19 $ 231.18 $ 29.60 $ 260.78 1.5 Cubic Yard, 3 pickups/week $ 142.53 $ 204.27 $ 346.80 $ 44.40 $ 391.20 1.5 Cubic Yard, 4 pickups/week $ 190.05 $ 272.40 $ 462.45 $ 59.21 $ 521.66 1.5 Cubic Yard, 5 pickups/week $ 237.57 $ 340.52 $ 578.09 $ 74.01 $ 652.10 2 Cubic Yard, 1 pickup/EOW week $ 31.62 $ 40.10 $ 71.72 $ 9.19 $ 80.91 2 Cubic Yard, 1 pickups/week $ 63.31 $ 80.22 $ 143.53 $ 18.37 $ 161.90 2 Cubic Yard, 2 pickups/week $ 126.67 $ 160.50 $ 287.17 $ 36.77 $ 323.94 2 Cubic Yard, 3 pickups/week $ 190.05 $ 240.80 $ 430.85 $ 55.16 $ 486.01 2 Cubic Yard, 4 pickups/week $ 253.41 $ 321.09 $ 574.50 $ 73.55 $ 648.05 2 Cubic Yard, 5 pickups/week $ 316.80 $ 401.38 $ 718.18 $ 91.94 $ 810.12 Extra Service: Additional service on a non-scheduled pickup day requiring a specially dispatched driver. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333) plus return trip fee. Extra Lift: Additional service on scheduled pickup daywhile driver is on site. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333). Spokane Valley Contract #17-089.13 Page 4 of 6 Service Level Commercial 3 Cubic Yard, 1 pickup/EOW week Detachable 3 Cubic Yard, 1 pickup/week Disposal Garbage Fee Collection Total Service Fee City Fee Totalfee $ 47.46 $ 50.66 $ 98.12 $ 12.57 $ 110.69 $ 94.99 $ 101.38 $ 196.37 $ 25.14 $ 221.51 Container (loose) 3 Cubic Yard, 2 pickups/week $ 190.05 $ 202.78 $ 392.83 $ 50.29 $ 443.12 3 Cubic Yard, 3 pickups/week $ 285.11 $ 304.22 $ 589.33 $ 75.45 $ 664.78 3 Cubic Yard, 4 pickups/week $ 380.17 $ 405.64 $ 785.81 $ 100.61 $ 886.42 3 Cubic Yard, 5 pickups/week $ 475.23 $ 507.07 $ 982.30 $ 125.76 $ 1,108.06 4 Cubic Yard, 1 pickup/EOW week $ 63.31 $ 55.21 $ 118.52 $ 15.18 $ 133.70 4 Cubic Yard, 1 pickup/week $ 126.67 $ 110.47 $ 237.14 $ 30.36 $ 267.50 4 Cubic Yard, 2 pickups/week $ 253.41 $ 221.06 $ 474.47 $ 60.75 $ 535.22 4 Cubic Yard, 3 pickups/week $ 380.17 $ 331.60 $ 711.77 $ 91.12 $ 802.89 4 Cubic Yard, 4 pickups/week $ 506.91 $ 442.16 $ 949.07 $ 121.50 $ 1,070.57 4 Cubic Yard, 5 pickups/week $ 633.66 $ 552.72 $ 1,186.38 $ 151.89 $ 1,338.27 6 Cubic Yard, 1 pickup/EOW week $ 94.99 $ 65.36 $ 160.35 $ 20.53 $ 180.88 6 Cubic Yard, 1 pickup/week $ 190.05 $ 130.74 $ 320.79 $ 41.07 $ 361.86 6 Cubic Yard, 2 pickups/week $ 380.17 $ 261.56 $ 641.73 $ 82.16 $ 723.89 6 Cubic Yard, 3 pickups/week $ 570.30 $ 392.33 $ 962.63 $ 123.24 $ 1,085.87 6 Cubic Yard, 4 pickups/week $ 760.39 $ 523.15 $ 1,283.54 $ 164.32 $ 1,447.86 6 Cubic Yard, 5 pickups/week $ 950.53 $ 653.99 $ 1,604.52 $ 205.42 $ 1,809.94 8 Cubic Yard, 1 pickup/EOW week $ 126.66 $ 65.99 $ 192.65 $ 24.66 $ 217.31 8 Cubic Yard, 1 pickup/week $ 253.41 $ 132.03 $ 506.91 $ 264.09 $ 385.44 11 49.35 $ 434.79 8 Cubic Yard, 2 pickups/week $ 771.00 $ 98.71 $ 869.71 8 Cubic Yard, 3 pickups/week $ 760.39 $ 396.13 $ 1,156.52 $ 148.07 $ 1,304.59 8 Cubic Yard, 4 pickups/week $ 1,013.92 $ 528.21 $ 1,542.13 $ 197.43 $ 1,739.56 8 Cubic Yard, 5 pickups/week $ 1,267.41 $ 660.26 $ 1,927.67 $ 246.79 $ 2,174.46 Extra loose cubic yard in container, per pickup $ 7.26 $ 5.99 $ 13.25 $ 1.70 $ 14.95 Extra loose cubic yard on ground, per pickup $ 7.26 $ 19.08 $ 26.34 $ 3.37 $ 29.71 Detachable Container Ancillary Fees (per occurance): Multifamily Recycling Fee (per cubic yard per pick up) $ 1.63 $ 0.20 $ 1.83 Compactor Connect/DisconnectService $ 33.00 $ 4.23 $ 37.23 Gate Service (per occurrence) $ 15.41 $ 1.98 $ 17.39 Lock/UnlockService (per occurrence) $ 15.41 $ 1.98 $ 17.39 Roll Out Fees (per occurrence) $ 2.97 $ 0.38 $ 3.35 Roll Out Fees (per occurrence) - Ea. Add'l5 ft. over 25 ft. $ 0.67 $ 0.08 $ 0.75 Stand-by Time (per minute) $ 2.02 $ 0.26 $ 2.28 Container Cleaning (per yard of container size) $ 13.02 $ 1.67 $ 14.69 Redelivery of Containers $ 26.10 $ 3.34 $ 29.44 Return Trip $ 13.02 $ 1.67 $ 14.69 Extra Service: Additional service on a non-scheduled pickup day requiring a specially dispatched driver. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333) plus return trip fee. Extra Li • Additional service on scheduled pickup day while driver is on site. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333). Spokane Valley Contract #17-089.13 Page 5 of 6 Service Level Disposal Fee Garbage Collection Total Service Fee City Fee Total fee Temporary 2 Yard detachable Container, per pick up $ 14.57 $ 23.08 $ 37.65 $ 4.82 $ 42.47 Collection 4 Yard detachable container, per pick up $ 29.19 $ 31.84 $ 61.03 $ 7.81 $ 68.84 Hauling 6 Yard detachable container, per pick up $ 43.80 $ 37.66 $ 81.46 $ 10.43 $ 91.89 8 Yard detachable container, per pick up $ 58.43 $ 38.04 1$ 96.47 $ 12.35 $ 108.82 Delivery Fee Daily Rental City Fee Total Fee Temporary 2 Yard detachable container 1.75 $ 0,23 $ 1.95 Collection 4 Yard detachable container $ 2.86 $ 0.37 $ 3,23 Container 6 Yard detachable container oil$ $ 3.16 $ 0.41 $ 3.57 Rental and 8 Yard detachable container $ 3.83 $ 0.49 $ 4.32 Delivery Delivery Fee (all sizes) $ 67.35 $ 8,62 $ 75.97 Per Day City Fee Total Fee Event Services Delivery, provision, collection of a set of 2 carts (Garbage+Recy) $ 32.62 $ 4.18 3 36.80 Per Hour City Fee Per Hour Hourly Rates Rear/Side-toad packer+ driver $ 98.08 $ 12.56 $ 110.64 Front -load packer + driver $ 98.08 $ 12.56 $ 110.64 Drop -box Truck+driver $ 98,08 $ 12.56 $ 110,64 Additional Labor (per person) $ 39.11 $ 5.01 $ 44.12 Extra Lift: Additional service on scheduled pickup daywhile driver is on site. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333). Extra Service: Additional service on a non-scheduted pickup day requiring a specially dispatched driver. Rate is calculated by dividing monthly service rate by number of pickups in a month (4.333) plus return trip fee. Spokane Valley Contract #17-089.13 Page 6 of 6 A (J/tLt CERTIFICATE OF LIABILITY INSURANCE 7HiS CERTIFICATE tS ISBULD AS A MAI ILH Of WOO MATION ONLY AND CONFERS NO MGHTS UPON THE CERTIFICATE HOLDER. IMS "CERTIFICATE DOES NOT A€fOWATIVE:Y OR NEGATIVELY AMEND, EX7ENO OR ALTER THE COVERAGE AFFORDED BY THE POLIMES BELOW, TKS CERTIFICATE OF INSURANCE DOES N07 CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSUREPASI. AUtHOFNIED REPRESENTATIVE OR PRODUCER. A4D TIE CERTIFICATE HOLDEFL IMPORTAM7., N the corlifleAts W.fd;r +s w, A Df k) 1 .1 _ Po is as) must hove A . provislons or he endoraBd. If SUBROGATION IS WAIVED, subject to the teens and eondll\ons of the poilsy, Certain poiwas may roWre an andorsemsrt- A statertlanr on this COMIC*%does not ulnla tights to the certificste holdor in uatu of such eftdorow"nds) PRODuceh ESM HAME1 Agri ai%i 1RFrY1[et 'wvtorNwt. Inc. Daliat Tx tltfica 500i Ly nIon E lohnsan ireewAr i411[ 1SOO raj. tiG6> l!A-J:ti a1 eoc ICI cloy AOD11Ebs rWI1Iss Ti i}244 usA M"fft' 0*00190I0C{yVF411,A0E PAC • aWUAta ""1114A. irDllshore Uieaalty Insurance tanroaa+y IS44S w'asts M►ft"a""T. Inc. AM all affiliated, Belated A Subsidiary COIeWn i es 1i00 [ap+tai. sake 3000 raaston rx 77001 USA 11914LBM 11MIMM C. srsURERD - I� uofP E ntimocrf: JIve7Ja ♦.+i n:, ""I-11UN MUMMtt1- 1HtS '0 Belt Y 11U(r IkfLMMIE5CW sN8 LI D i M I+AVE Y.L.LI, IL, xAA£(] tU i 1'.G 14;0{t;U N0tr t, FM ri ti(;�' PE►111 Y'IOCATED. NOTWITHSTANDNGANY RE0UVWMFVT, TERN S}R+COKOITIOIN OF ANY CONTRACTOR OTHER 0QCLrfcr,- ore rtESoECT TO %w4H t�t15 CERTIFiCATF MAY BE ISSUED OR MAY PER-41N, THE WSURANCE AVFQRaaE` BY T±%E ptiAICIES (IESCR'BED HERE r, sc 4 1SJFC.T Tl At � TH; TE1a,JS, EXCLUtiCWS A (X-M-'TtDNS OF GLGH IY? 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