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Home My WebLink AboutAgenda Item - 2025-11-04 - Number 08.1 - RES 25-45, 2026 Solid Waste and Recycling Rates 8.1 V o� 0 E 0 COUNCIL REPORT � — GREGO� Subject: Resolution 25-45, Approving the 2026 Solid Waste and Recycling Rates Meeting Date: November 4, 2025 Staff Member: Amanda Watson, Sustainability Program Manager Report Date: October 24, 2025 Department: City Manager's Office Action Required Advisory Board/Commission Recommendation ❑X Motion ❑ Approval ❑ Public Hearing ❑ Denial ❑ Ordinance ❑ None Forwarded ❑X Resolution ❑X Not Applicable ❑ Information Only Comments: ❑ Council Direction ❑ Consent Agenda Staff Recommendation: Adopt Resolution 25-45, approving 2026 rates for solid waste and recycling collection services provided by Republic Services. Recommended Language for Motion: Move to adopt Resolution 25-45, Approving 2026 Solid Waste and Recycling Collection Service Rates. Project/ Issue Relates To: Solid Waste Franchise; Sustainability Issue before Council (Highlight Policy Question): ❑Council Goals/Priorities ❑Adopted Master Plan(s) ❑X Not Applicable ISSUE BEFORE COUNCIL Adjustment of Republic Services' solid waste and recycling collection rates. BACKGROUND Garbage and recycling collection services in Lake Oswego are provided by Republic Services, operating under a 10-year exclusive franchise with the City of Lake Oswego (Ordinance No. 2901). As part of the City's regulation of solid waste collection, City Council is responsible for ensuring that rates are just, reasonable, and adequate to provide necessary public service. The Respect Trust. cam,.: 503-635-0215 380 A AVENUE PO BOX 369 LAKE OSWEGO, OR 97034 WWW.LAKEOSWEGO.CITY Page 2 City's 2022 franchise ordinance provides for an annual service rate adjustment to provide the franchisee with a target return of 10%, within an acceptable range of 8— 12%. The process for establishing service rates is outlined in Ordinance 2901, Subsection 8(ii)(b), and specifies: "In determining the appropriate rate to be charged by the Franchisee, the City Council shall consider: a. The cost of performing the service provided by the Franchisee, including any additional costs (or savings) resulting from recycling. b. Anticipated increases in the cost of providing the services. c. The need for equipment replacement and the need for additional equipment to meet service needs; compliance with federal, state and local law, ordinances and regulations; or technological change. d. The investment of the Franchisee and the value of its business and the necessity that the Franchisee have a reasonable rate of return or fair operating margin. e. Rates in other cities in this metropolitan area. f. Other factors deemed relevant by the City Council." At the October 7 City Council meeting, staff presented results from the annual financial review and analysis conducted by Bell &Associates and recommendations for updates to the 2026 solid waste collection service rates. Based on the review, staff recommended keeping the majority of service rates the same in 2026 (no general rate adjustment needed) and making a few targeted updates including changing the structure of bulky waste rates, limiting some additional fees for commercial customers, eliminating unneeded rates and fees, and adding in previously approved rates missing from the rate schedule. Based on City Council direction, Resolution 25-45 includes the following updates to 2026 rates: • Updates bulky waste fee schedule, adopting the same structure and rates as used in Washington County. • Limits Extra Yardage fee to apply only to garbage, not recycling containers. • Eliminates contamination fees for recycling containers (commercial service). • Removes Summary Billing Rates for cart service, which are no longer used. • Eliminates Reinstatement Fee, which is captured in Cart Redelivery Fee. • Adds in Lock Fee and Late Payment Fee that were missing from 2025 rate sheet. RECOMMENDATION Move to adopt Resolution 25-45, Approving 2026 Solid Waste and Recycling Collection Service Rates. ATTACHMENTS 1. Resolution 25-45 2. Exhibit A—2026 Republic Services Rate Schedule for Garbage, Recycling, Yard Debris, and Organics Collection Respect. Excellence. Trust. Service 503-635-0215 380 A AVENUE PO BOX 369 LAKE OSWEGO, OR 97034 WWW.LAKEOSWEGO.CITY ATTACHMENT 1 RESOLUTION 25-45 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LAKE OSWEGO APPROVING 2026 SOLID WASTE AND RECYCLING COLLECTION SERVICE RATES. WHEREAS, Ordinance 2901, adopted on October 18, 2022, grants Rossman Sanitary Services Inc., doing business as Allied Waste of Lake Oswego, now doing business as Republic Services of Lake Oswego ("Franchisee"), an exclusive franchise for solid waste collection services within the City limits, and reserves to City Council the right to establish and modify service rates charged by the Franchisee; and WHEREAS, Ordinance 2901 provides that rates shall be approved by the City Council by resolution, and that, in determining the appropriate rates, the City Council Shall Consider: 1. The cost of performing the service provided by the Franchisee, including any additional costs or savings) resulting from recycling; 2. Anticipated increases in the cost of providing the services; 3. The need for equipment replacement and the need for additional equipment to meet service needs; compliance with federal, state and local law, ordinances and regulations, or technological change; 4. The investment of the Franchisee and the value of its business and the necessity that the Franchisee have a reasonable rate of return or fair operating margin; 5. Rates in other cities in this metropolitan area; 6. Other factors deemed relevant by the City Council. WHEREAS, the City contracted with a rate consultant to review the Franchisee's 2024 Lake Oswego Annual Report, determine the need for an annual service rate adjustment, and make recommendations on adjustments as needed; and WHEREAS, the Franchisee submitted additional detailed cost and operational information to be considered in a report by the City's contracted rate consultant; and WHEREAS, upon reviewing the report of the City's contracted rate consultant and careful consideration of the interests of the public and the Franchisee, and receiving direction from the City Council, staff recommends a rate adjustment for the Franchisee per Exhibit A. NOW,THEREFORE, BE IT RESOLVED by the City Council of the City of Lake Oswego that: Section 1. Effective January 1, 2026 the rate schedule attached as Exhibit A is approved and adopted for the solid waste collection franchise pursuant to Ordinance 2901. Section 2. November 4, 2025. This Resolution shall take effect upon passage. Considered and enacted at the regular meeting of the City Council of the City of Lake Oswego on the 4th day of November, 2025. Resolution 25-45 Page 1 of 2 AYES: NOES: EXCUSED: ABSTAIN: Joseph M. Buck, Mayor ATTEST: Laural Hawkins, City Recorder APPROVED AS TO FORM: Ellen Osoinach, City Attorney Resolution 25-45 Page 2 of 2 EXHIBIT A O�vik EoJ' Nta U �� 0 OREGOx4 City of Lake Oswego Republic Services Rate Schedule for Garbage, Recycling, Yard Debris, and Organics Collection Effective January 1, 2026 ROLL CART SERVICE RATES Residential Single-Family Dwelling Garbage Cart Service Rate per Weekly pick up. Includes garbage cart, recycling cart, glass recycling bin, and Month mixed organics (yard debris +food waste) cart service. The garbage cart size determines the rate paid. 20 gallon $29.20 35 gallon $39.54 65 gallon $58.90 90 gallon $62.37 Up the Drive Rate— up to 50 feet' $10.83 Up the Drive Rate—for each additional 50 feet $1.17 'Up the Drive service is available free of charge to customers with disabilities. Multifamily and Commercial Cart Service Rate per Service includes trash, recycling, and food waste. Month 35 gallon $34.77 65 gallon $50.56 90 gallon $54.23 Alternative Collection Services and Miscellaneous Charges Rate 35 gallon Monthly Service (includes trash, recycling, and mixed organics) $23.05 35 gallon On Call Garbage Only (per each pick-up/service; minimum once every $14.84 2 months) 65 gallon Recycling Only (weekly with 65 gal. cart and bin) $8.73 65 gallon Mixed Organics Only (monthly fee; 1 month minimum service) $10.17 Additional 65 gallon Mixed Organics Roll Cart $7.75 Recycling & Mixed Organics Only (monthly fee; 1-month minimum service) $16.48 EXHIBIT A p�� City of Lake Oswego o Republic Services Rate Schedule U ...m. OREGo' Lost or Damaged Garbage Cart (new replacement cart) $79.93 Lost or Damaged Yard Debris Cart (new replacement cart) $79.93 Lost or Damaged Recycling Cart (new replacement cart) $79.93 Lost or Damaged Recycling Bin (new replacement cart) $13.52 Return-trip Fee same day $21.55 Return-trip Fee outside of normally scheduled route $34.68 Extra Can/Bag/Box (each) -Trash $8.67 Extra Can/Bag/Box (each) -Yard Debris $6.41 Contaminated Recycling Cart $15.85 Contaminated Yard Debris Cart $8.00 Gate or Enclosure Opening and Roll-out Container (monthly) $19.68 Roll Cart Washout/Exchange (one free per year) $36.87 Cart Redelivery Fee (when cart is picked up for stopped service and service is $36.63 restarted within 12 months) Late Payment Fee: Accounts that are 45 days past due from the billing date are subject to finance charges computed at 1.5% over the past due balance or a minimum of$5.00. Temporary Clean-Up Container Rate 3 yards maximum volume for 4 days of use Delivery & Removal of Container $140.50 Extra Dump $112.31 Daily Container Rental Charge Past 4 Days (per day) $21.78 COMMERCIAL CONTAINER SERVICE RATES Front Load Trash Container Service-Rate per Month2 Weekly Collection Frequency(#Collections Per Week) Container Size 1 2 3 4 5 6 1 yard3 $172.52 $307.51 $454.77 $602.15 $749.50 $896.87 Multiple $138.02 $246.01 $363.82 $481.72 $599.60 $717.50 1.33 yard3 $193.85 $373.15 $549.69 $734.76 $889.65 $1,045.33 Multiple $155.08 $298.52 $439.75 $587.81 $711.72 $836.28 1.5 yard3 $217.09 $420.83 $624.55 $828.29 $1,032.04 $1,235.83 Multiple $173.67 $336.66 $499.64 $662.63 $825.63 $988.66 2 EXHIBIT A 0`� N � City of Lake Oswego 0 Republic Services Rate Schedule U �� 0 OREGo . 2 yard $272.70 $532.02 $791.32 $1,050.66 $1,310.01 $1,569.32 Multiple $218.16 $425.62 $633.06 $840.53 $1,048.01 $1,255.46 3 yard $366.45 $711.45 $1,056.44 $1,401.43 $1,746.44 $2,091.41 Multiple $311.48 $604.73 $897.97 $1,191.22 $1,484.47 $1,777.70 4 yard $464.03 $906.55 $1,349.08 $1,790.93 $2,234.18 $2,676.70 Multiple $394.43 $770.57 $1,146.72 $1,522.29 $1,899.05 $2,275.20 6 yard $638.79 $1,182.76 $1,869.16 $2,343.67 $3,099.13 $3,504.63 Multiple $574.91 $1,064.48 $1,682.24 $2,109.30 $2,789.22 $3,154.17 8 yard $781.04 $1,538.53 $2,296.04 $3,053.55 $3,811.07 $4,568.59 Multiple $702.94 $1,384.68 $2,066.44 $2,748.20 $3,429.96 $4,111.73 2 Commercial container service includes garbage, recycling, and food waste collection. Per Resolution 22-27, all Lake Oswego School District facilities and private school facilities (grades 1— 12) receive a 50% discount on all regular collection services. 3As of September 1, 2015, 1-yard and 1.33-yard front load containers have not been available to new customers. Current customers with these containers will be allowed to continue service with them at the approved rates. Miscellaneous Charges Rate Compacted containers charged at 2.2x the loose rate. Extra Service/Trip on Container 33% of Monthly Rate Extra Yardage (garbage only- material beyond the capacity of the $36.01 container, charged per yard) _ Food Waste Frontload Container Contaminated Load Fee, per yard $12.50 Lock $29.92 Hourly Handling Fee (1 Truck+ 1 Driver): Charged for non-routine services $114.04 related to the collection of waste, such as wait times in excess of 15 minutes, enclosure cleanouts, or bulky waste pick-ups of extra-large items _that require additional personnel to handle safely. Late Payment Fee: Accounts that are 45 days past due from the billing date are subject to finance charges computed at 1.5% over the past due balance or a minimum of$5.00. 3 EXHIBIT A p�� City of Lake Oswego o Republic Services Rate Schedule U ...... OREGoC� INDUSTRIAL DROP BOX AND COMPACTOR SERVICE RATES Drop Box/Compactor Haul Rates. Disposal billed at 105% plus scale fee. Rate 10-29 yard Drop Box $180.00 30 yard Drop Box $180.00 40 yard Drop Box $180.00 Drop Box Delivery Fee $75.00 Relocate Drop Box (on site) $99.00 Dry Run $121.00 Compactor Rate $247.00 Additional Drop Box Fees Drop Box Rent Per Day (rent starts 48 hours after delivery)3 $12.00 Drop Box Rent Per Month $99.00 Lidded Box Rental (per month) $120.00 Over Weight Fee (per ton, if over 10 tons) $76.45 Liner $50.00 Washout Fee $35.94 Minimum Haul Fee (fee for less than 2 hauls per month) $25.00 Mileage Fee (after 20 miles)4 $4.70 Landfill Surcharges $48.00 3Rent charged is the lesser of the daily or monthly rent total. 4Mileage Fee is assessed for drop box/compacter hauls exceeding 20 miles from the point of collection to the disposal facility. 5Landfill Surcharge is for special waste that must be hauled directly to landfill or other disposal location instead of to the transfer station. Additional Recycling Services for Multi-Family Roll Off Compactor Customers Number of Units Rate per Unit 5-199 $3.33 200-299 $2.81 300-399 $2.54 400+ $2.46 4 EXHIBIT A 0�� F�s� City of Lake Oswego U 0 Republic Services Rate Schedule .1o~ OREGo� SUPPLEMENTAL SERVICE RATES Bulky Waste Collection Rates Type of Service Rate Extra-large items: (entertainment center, sectional couch, king size mattress $39.00 including box spring) _ Large Items: (recliner, dresser, couch, other size mattress including the box $27.00 spring) Medium Items: (desk, bookshelf, chair) $15.00 Small items: (pallet, end table, bicycle) $11.00 Appliance items—coolant containing: (freezer, refrigerator, portable air $26.00 conditioner) Appliance items: (BBQ grill, stove, washer, dryer) $16.00 Electronics: (television, laptop, printer) $10.00 Tire: (passenger vehicle, tire off the rim) $23.00 first tire, each additional is $15.00 Pick Up Fee * applies to each service request $16.00 Pick Up Fee is applied as a flat rate regardless of the number of items for disposal. Pick Up Fee is billed regardless of whether the item(s) are onsite at time of agreed upon pick up. Standard Call Back rates apply if the customer does not set out as directed. Hourly Handling Fee (1 Truck + 1 Driver): Charged for non-routine services $114.04 related to the collection of waste, such as wait times in excess of 15 minutes, enclosure cleanouts, or bulky waste pick-ups of extra-large items that require additional personnel to handle safely. Contact Republic Services to confirm schedule availability and pricing. Items not listed will be billed Standard Pick Up Fee and a Cost Per Item Rate based on the size/material type. 5