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Mr. Johnson reviewed the April Revenue Share reports from 2017 to 2021. He <br />explained the tonnage was very similar with very good collection and a good <br />recycling program. Staff did not see a huge fluctuation with that. What the City <br />has actually collected at $58/ton, 2021 was $5,700 and assuming the market is <br />exactly the same, when it is $75/ton the revenue share would go down to <br />approximately $1,400. <br />Mr. Johnson continued his presentation on City -owned carts versus contractor - <br />owned carts. <br />Member Joyce wondered about the 5.5 year versus 3.5. He asked if staff is leaning <br />toward 3.5 years in the contract or is it still a two percent increase for the additional <br />two years. <br />Mr. Johnson explained the contract is basically atwo percent increase per year from <br />2022 on. <br />Chair Wozniak thought Mr. Johnson pointed it out in his presentation, when talking <br />about those numbers, that that was the lowest cost in the base price proposal per <br />household. <br />Mr. Johnson indicated that was correct. He reviewed the 2021 recycling RFP <br />proposals with the Commission. <br />Chair Wozniak thought Mr. Johnson did an excellent job of compiling the <br />information and presenting the information to the Commission. He thought it was <br />nice in a way that there are only two vendors to reflect on because it makes the <br />discussion and decision a little more straight forward. <br />Member Cicha commented regarding the revenue sharing and did not think it would <br />be a good idea for a 5.5-year contract, given the volatility the City has been seeing. <br />He thought with the recent volatility, revenue sharing beyond 3.5 years would not <br />be a good idea. <br />Member Joyce echoed what Member Cicha stated and he thought the vendors were <br />doing a general cost of living increase. They are hoping it will go up and will keep <br />the base price low enough to entice and lock into 5.5 years because they are not <br />really showing what the market is going to do. He thought the shorter term would <br />be less risk for the City. <br />Chair Wozniak indicated the $75/ton processing fee is a big jump from the current <br />$58/ton and he did not see anything in the proposals to indicate that they have made <br />any massive expenditures in processing equipment to justify such a big raise in their <br />processing fee. He stated $75/ton gets very close to what it costs Washington and <br />Ramsey Counties to process trash at the resource recovery facility, which is in the <br />low 80's. He wanted the Commission to keep in mind that around $21/ton of that <br />Page 7 of 10 <br />