2009-06-23_PWETC_AgendaPacket - Laserfiche WebLink

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The City would negotiate for a menu of services and you would be able to select from that menu just as you do now. Most residents do not pick a garbage hauler based on the services they provide. Ina 2002 survey 32% of residents said they picked their hauler because it offered a low introductory rate, and 29% picked their hauler because it was the same as their neighbors. When residents were asked to rank the importance of various garbage collection issues, 46% ranked lower cost as the most important followed by 25% who ranked ability to choose your own hauler as most important. And 25% said choosing your own hauler was the least important to them of the five issues (lower cost, high level of customer service, ability to choose hauler, guarantee garbage is taken to a recovery facility, reduce truck traffic). 5) I can get lower rates/better service by negotiating on my own. Typically that's not true. Haulers will offer teaser rates that get customers to switch. But those rates go up over time. Plus haulers are free to add or increase fuel surcharges and other fees at any time. A survey of rates in our neighboring cities with organized collection show that they all have lower rates than what haulers offer to residents of Roseville. Ina 2002 survey 53% of residents said they would want Roseville to limit the number of haulers if the City could negotiate lower rates. Haulers have also unilaterally begun adding on to their bills items such as Fuel Surcharges and Cart Retrieval Fees. If the City were to negotiate rates, then fees could only be added by mutual agreement. 6) Is any plan set in stone, or how could changes be made? Haulers sign a contract with the City which is typically for three years. The City can make changes to the contract when rebidding or negotiating an extension. 7) Market forces are the most effective way to solve problems. Market forces currently in place have not given Roseville residents the lowest rates or the widest array of possible services. A public/private partnership leverages the unique strengths of the haulers and the City to provide for efficient and effective service. 8) My hauler has to directly compete for my business which makes them more responsive to my needs. Most residents pay little attention to their garbage service, so they make few demands of their hauler. As a result we see things such as a "Cart Retrieval Fee" that appeared in small print on one company's bills. The language also said that merely by paying the bill, the customer was giving consent to pay the fee which could be imposed in the future. A number of customers that paid the