To: Honorable Mayor and Members of City Council
From: Phil Brun, Utilities Director
Prepared By: Kevin Miller, Materials Diversion Administrator
TITLE:
Title
Solid Waste Rates Low-Income Assistance Program
LABEL
LABEL
RECOMMENDED ACTION:
Recommendation
Adopt a resolution adjusting solid waste and recycling collection rate revenue and establishing a new program to provide financial assistance to low-income residential solid waste and recycling customers.
Body
DISCUSSION:
On July 23, 2019, Council adopted solid waste and recycling collection rates from August 1, 2019 through December 31, 2022. The adopted rates are projected to generate additional revenue than the adopted FY2019/20 and FY2020/21 budget and as such a budget adjustment is necessary.
Staff is also proposing a program to assist low and fixed income customers with their solid waste and recycling bills. In order for the City to comply with the requirements of State law regarding the use of revenue generated from solid waste and recycling rates, the City may not use revenue from one set of customers to pay or subsidize the costs of other (low-income) customers. However, the City is authorized to use a non-rate based revenue sources to pay the costs of the low-income assistance program. Staff has identified revenue from sales of recyclable materials as the best non-rate collection rate revenue source within the City's Solid Waste and Materials Diversion Enterprise Fund (Solid Waste Fund). During the recent solid waste rate-setting process, $150,000 for FY2019/20, $154,500 for FY2020/21 and $159,000 for FY2021/22 was factored into the proposed rate adjustments (which has since been approved by Council Resolution 2019-082). This level of funding will allow for $10 per month ($120 per year) of assistance for up to 1,250 qualifying households per year.
The new low-income assistance program for solid waste service customers is modeled on the City's "RateShare" program established for w...
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