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ARDEN HILLS CITY COUNCIL WORK SESSION—AUGUST 17, 2020 4 <br /> Councilmember Scott asked if they needed to temporarily escalate someone to do higher level <br /> work, who could set those controls and said he felt the finding wasn't bad based on the size of our <br /> city. <br /> Finance Director Bauman said she sets those access controls. <br /> Mr. Nielsen said he was comfortable with that. <br /> Mr. Nielsen clarified that when they are issuing the audit standards it is an internal control <br /> observation. There are no instances of non-compliance with any of the audit testing. <br /> Mayor Grant reviewed the direction to proceed with additional training for the accounting <br /> analyst, they do not want the City Administrator to go back to a Finance capacity although there <br /> may be some items he could help with, and to try to get to significant deficiency if possible. He <br /> asked to have the item put on a tickler file for the beginning of next year for review. <br /> B. Recycling Contract Discussion <br /> Community Development Manager/City Planner Mrosla explained that Staff is looking for <br /> Council direction in regard to either extending the current contract with Republic Services or start <br /> the RFP process to select a new recycling provider. Republic Services has been the city's <br /> recycling hauler since 2015. The existing contract is very favorable for the city and was set to <br /> expire in May 2020. However, the existing contract has a clause that states the city has the sole <br /> discretion to elect to extend the contract annually or in five year increments. At its November 12, <br /> 2019 meeting, the City Council extended the current contract one year or until May 4, 2021. The <br /> current contract may be extended four more times. Staff is recommending extending the current <br /> contract with Republic Services for another year or from May 3, 2021, to May 2, 2022. Staff is <br /> proposing this extension because it would be difficult to secure a similar contract due to the <br /> unstable recycling markets. The proposed one year extension will continue to utilize the existing <br /> terms, conditions and fee structure as previously approved. Under the current contract, any rate <br /> increase shall not exceed three percent. The estimated contract rate based on a maximum three (3) <br /> percent increase will be $102,000 for 2021. <br /> Community Development Manager/City Planner Mrosla said the options are: would the <br /> Council want to continue to utilize the current contract with Republic Services for another year, <br /> that would not change the current existing terms and conditions, or should the City go out for an <br /> RFP. <br /> Councilmembers Scott, McClung, Holden and Mayor Grant were in favor of a one year <br /> extension. <br /> Councilmember Holden wondered why they didn't extend it for another three years. <br /> Community Development Manager/City Planner Mrosla said the contract allows for a five <br /> year increment or one year. Since they did one year last year, they can only annually increase it <br /> going forward. But he can ask Republic Services if they will extend it an additional three years. <br />