AGENDA TITLE:
title
Public Hearing to Consider Resolution Adopting Pre-Approved, Proposition 218 Consumer Price Index-Based Annual Adjustment to Rates for Solid Waste Collection (PW)
end
MEETING DATE:
March 18, 2026
PREPARED BY:
Interim Public Works Director
recommendation
RECOMMENDED ACTION:
Public Hearing to Consider Resolution Adopting Pre-Approved, Proposition 218 Consumer Price Index-Based Annual Adjustment to Rates for Solid Waste Collection.
body
BACKGROUND INFORMATION:
The franchise agreement with Central Valley Waste Services (doing business as WM) allows rates for solid waste collection to be adjusted annually, on April 1st. Sections 10b and 10d of the franchise agreement allows Central Valley Waste Services the option to adjust rates equal to 80 percent of the annual change in the Consumer Price Index (CPI) for all Urban Consumers for San Francisco-Oakland-Hayward, California Area, plus an additional adjustment for unexpected increases impacting the cost of services, such as increases government taxes or fees, landfill fees, fuel and energy costs, or changes in applicable laws.
Central Valley Waste Services is requesting to increase rates by 1.742 percent. This proposed increase is based on 80 percent of the CPI change, which was 2.178 percent.
For most residential customers, the rate increase will be $0.08 to $0.12 per month. The effective date of the proposed rates is April 1, 2026. The complete schedule of proposed rate changes is shown in Exhibit A.
FISCAL IMPACT:
Franchise and billing fees paid to the City will increase by approximately $7,200 annually.
FUNDING AVAILABLE:
Not Applicable.