FY 2020-21 Solid Waste Rates Adjustment

The City Council has scheduled a Public Hearing on Tuesday, June 16, 2020 at 7:00 p.m. in the Council Chambers, located in City Hall at 401 East Chapman Avenue, Placentia, CA 92870 to consider adopting a resolution for the proposed solid waste rates for Fiscal Year (FY) 2020-21. On Friday, May 1st, a notice was mailed to all single-family residential customers in Placentia accordingly with Proposition 218 and Article XIIID of the California Constitution. A copy of the notification can be found here. The Proposition 218 process ensures that the public is notified of certain types of create increase and provides an opportunity to protest rate changes.  This public hearing is subject to being held electronically or by teleconference if required or permitted by national, state and/or local orders as a result of the COVID-19 public health emergency crisis. In this event, information will be provided on the City’s website, social media pages and posted outside City Hall.

Sí habla español y tiene preguntas sobre este mensaje, favor de comunicarse con Elsa Robinson al (714) 993 - 8189 o por correo electrónico en erobinson@placentia.org.

Overview

The City has a franchise agreement (Agreement) with Republic Services (Republic) to provide refuse, recycling, and green waste collection for all City residents and commercial businesses, which is effective July 20, 2010 and expires on November 19, 2037. Residential accounts are billed and collected by the City via an annual property tax assessment. Commercial business accounts and any additional services are serviced and billed directly by Republic on a monthly basis. The amount Republic charges to provide these services in the City is pursuant to the terms of the Agreement. The Agreement with Republic allows for adjustments based on costs associated with collection, handling and disposal of solid waste. The agreement allows for annual increases in the Los Angeles-Long Beach-Anaheim area Consumer Price Index (CPI) and increases in solid waste disposal fees under the Waste Disposal Agreement with the County of Orange. The annual increases are effective July 1 of each calendar year. 

Proposed Rates for FY 2020-21

For FY 2020-21, the current rates for solid waste services are proposed to increase pursuant to the formula in the Agreement which includes adjustments to reflect changes: (1) the Consumer Price Index, (2) landfill tipping fees and (3) extraordinary or unexpected costs. The change in CPI from January 2019 to January 2020 was 3.1% and the increase of the disposal fees charge by the county increased by 1.76%. In addition, the proposed rate adjustment to residential rates includes an increase for composting residential green waste to remain in compliance with state law. 

The State of California has established a variety of mandates (Assembly Bills 939, 341, 1826, among others) requiring all jurisdictions (i.e., responsible cities, counties, and regional agencies) in the State to comply with measures to manage and control solid waste generation. Included in these mandates are requirements to divert a minimum of 50% of waste from landfills and to implement recycling programming. One of the newest State mandates, Assembly Bill 1594 (AB 1594), went into effect on January 1, 2020. AB 1594 eliminates diversion credit for green waste that was previously sent to County landfills as alternative daily cover (cover material place on the surface of the landfill) and reclassifies it as waste disposal for purposes of measuring a jurisdiction’s compliance with State mandates. In addition, the County can no longer accept green waste at no charge. The current and future mandates are not funded by the State, so they must be funded through solid waste rates.

As part of the solution to for compliance under the new restrictions of AB 1594, residential green waste is now being composted by at a third-parity compost facility, which has increased the costs for processing residential green waste. The proposed residential rate increase includes a fee of $1.09/month per household for the cost to compost green waste from January 1, 2020 to June 30, 2020; and a fee of $2.18 per household to continue composting green waste from July 1, 2020 – June 30, 2021.

How will the proposed rate adjustments affect my bill?

The following tables show the current proposed FY 2020-21 solid waste collection service rates for the common levels of service for residential and commercial customers. If approve the rates would be in effect July 1, 2020 through June 30, 2021. 

Single-Family Residential Rate for Standard 3-Cart Service 

Proposed Monthly Rate Effective 
July 1, 2020
Proposed Annual AssessmentCurrent Monthly RateCurrent Annual AssessmentRate Change per Month/Year
$29.63$355.36$25.54$306.48$4.09/$49.08
Calculation for Proposed Rate
Rate Component
Amount 
Base Service Fee$22.26
Green Waste Composting Fee
 (July 2020 - June 2021)
$2.18
CPI Adjustment of 3.1%
(January 2020 over January 2019)
$0.75
Green Waste Composting Fee
(January 2020 - June 2020)
$1.09
Current Landfill Disposal Fee$3.28
Landfill Disposal Fee Adjustment of 1.76%$0.06
Proposed Rate$29.63


Commercial Waste Rates  (1 pickup/week)

Waste RateProposed Monthly Rate Effective  
July 1, 2020  
Current
Monthly Rate 
Rate Change per Month 
3-Yard Trash Container$182.51$177.18$5..33
3-Yard Recycle Container $156.02$151.18$4.66
Calculation for Proposed Rate
Rate Component3-Yard Trash Container3-Yard Recycle
Base Service Fee$151.18$151.18
CPI Adjustment of 3.1% 
(January 2020 over January 2019)
$4.65$4.65
Current Landfill Disposal Fee$26.00N/A
Landfill Disposal Fee Adjustment of 1.76%$0.46N/A
Organics Recycling Component Adjustment of 0.12%$0.22$0.22
Proposed Rate$182.51$156.02

To view the complete proposed rate schedule for FY 2020-21, please click here

If I opposed the rate increases, what is the process for submitting a Written Protest?

If you are a property owner and received a notice by mail, you may file a written protest against the proposed rate increases. Although the City Council will consider all comments, State law provides that only written protests from property owners may be counted to determine whether a majority protest to the proposed increase exists. In order to file a protest, you must submit it per the Prop 218 rules outlined in the notice sent on May 1, 2020 and summarized below. Property owners wishing to protest the solid waste rate increases may mail or deliver written protests to City Clerk, 401 East Chapman Avenue, Placentia, CA 92870. If written protests again the rate increase are submitted on behalf of more than 50% of the affected properties, the proposed solid waste rate increases will not be adopted. Written protests must be received prior to the close of the Public Hearing on June 16, 2020 and may be only submitted by one person per parcel.

Protests must be made in writing and must state the following:

  • Identify the property owner
  • Identify the property (by address and/or Accessor’s Parcel Number)
  • Include the signature of the property owner

Who do I contact for questions or additional information?

The City is committed to fully explaining the proposed rate increases and complexities of the trash disposal, recycling, and related State mandated regulations to the public. The solid waste service program is managed by the Public Works Department. A staff member on the City’s team is available to answer your questions via email or a phone call. Please contact Elsa Robinson, Management Analyst at erobinson@placentia.org or (714) 993-8189.

 Additional Resources