Ordinance No. 2020-11-9: To repeal in its entirety Ordinance No. 2016-10-7, codified as Section 18-34 of Article II, Commercial Container Rates, of Chapter 18, Solid Waste, of the Code of Ordinances of the City of Plano, Texas and enacting this new Section 18-34 of Article II, Commercial Container Rates, of Chapter 18, Solid Waste, of the Code of Ordinances of the City of Plano, establishing a revised schedule of rates and charges for solid waste disposal and collection applicable to commercial accounts; providing a repealer clause, a severability clause, a publication clause and an effective date. Adopted

In December 2017, the City of Plano entered into a ten-year contract with Republic Services to collect solid waste from commercial and multifamily properties.  The contract allows annual rate increases based on the Bureau of Labor Statistics Consumer Price Index for Water and Sewer and Trash Collection Services. The contract also stipulates the rate increases can be no greater than 3% for the first five years and no greater than 4% for the remaining contract period.

Over the past year, Consumer Price Index for Water and Sewer and Trash Collection Services increased by 3.4%.  Because the first year of the contract was in 2017, the contractual cap limits the rate increase at 3%. 

The contract requires Republic Services to pay a 7.5% franchise fee to the City of Plano. The increase in revenue received by the City resulting from the proposed increase in the commercial/multi-family collection rates is dependent on the gross amount collected by Republic Services.  Based on the franchise fee collected during FY 19-20, the increase in the amount received by the City will be approximately $50,000.

Approval of this agenda item supports the City's Strategic Plan Critical Success Factor of Excellent, Innovative, and Accountable City Government. 

The contract requires Republic Services to pay a 7.5% franchise fee to the City of Plano. The increase in revenue received by the City resulting from the proposed increase in the commercial/multi-family collection rates is dependent on the gross amount collected by Republic Services.  Based on the franchise fee collected during FY 19-20, the increase in the amount received by the City will be approximately $50,000.

Approval of this agenda item supports the City's Strategic Plan Critical Success Factor of Excellent, Innovative, and Accountable City Government.