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City of San Leandro <br />Meeting Date: May 16, 2022 <br />Staff Report <br />Agenda Section:File Number:22-334 CONSENT CALENDAR <br />Agenda Number:9.g. <br />TO:City Council <br />FROM:Fran Robustelli <br />City Manager <br />BY:Debbie Pollart <br />Public Works Director <br />FINANCE REVIEW:Susan Hsieh <br />Finance Director <br />TITLE:Resolution to Approve and Authorize the City Manager to Execute a Fourteenth <br />Letter Amendment of the Franchise Agreement for Solid Waste, Recyclables, <br />and Green Waste Services between the City of San Leandro and Alameda <br />County Industries, Inc <br />SUMMARY AND RECOMMENDATIONS <br />Staff recommends that the City Council approve and authorize the City Manager to execute a <br />letter amendment to the Franchise Agreement for Solid Waste, Recyclables, and Green Waste <br />Services (“Franchise Agreement”) between the City of San Leandro and Alameda County <br />Industries, Inc. (“ACI”). <br />The letter amendment would authorize ACI to increase rates by .8% to implement education, <br />outreach and reporting requirements as required by SB1383, California’s Short-Lived Climate <br />Pollutant Reduction Strategy. The .8% increase is considered a special rate request and would <br />be added to the contractually allowed annual rate increase of 4.89%. If the Fourteenth Letter <br />Amendment is approved the total rate increase effective July 1, 2022 would be 5.69%. <br />In addition to the rate request, the amendment includes language modifying the definition of <br />“multi-family” in compliance with state regulations, clarifies point of pickup locations, and reduces <br />the rate change notification requirement to 30-days. <br />BACKGROUND <br />The City of San Leandro entered into a Franchise Agreement with ACI for Solid Waste, <br />Recyclables, and Green Waste Services on February 1, 2000. It will expire in January 2025. The <br />Franchise Agreement allows for a rate adjustment July 1 of each year, based on the Consumer <br />Price Index for the San Francisco Bay area, as well as a rate analysis every five years. <br />Amendment 10 to the Franchise Agreement (as attached), approved on July 20, 2009, changed <br />the annual rate adjustment process to a Refuse Rate Index (RRI). That revised methodology was <br />Page 1 City of San Leandro Printed on 5/11/2022