1. Utilities Department June 26, 2007 Mandatory Refuse & Recycling Collection Services Tentative 2008 MSTU

2. BCC approval no later than July 15 th annually –Hauler Compensation –Tentative MSTU Final MSTU and hauler compensation rate adoption at first Budget Public Hearing in September Tentative 2008 MSTU

3. Program History –Began in 1985 –Four year term contracts; funded by MSTU –Annual review of haulers financials with no clear method to verify whether additional compensation was warranted –Level of compensation was the same for all districts, although density and demographics were different Tentative 2008 MSTU

4. Program History –Rates competitively bid by zone in 2002; seven year Franchise Agreements –5 zones of approximately equal size; each hauler limited to a maximum of two zones –Objective approach to calculating annual compensation by zone for collection services using the Consumer Price Index Tentative 2008 MSTU

5. Program History –Zones awarded to: Waste Management Incorporated (2) Republic Waste Services (2) Veolia Waste Services (1) –MSTU reduced from $154.02 to $146.06 per household per year Tentative 2008 MSTU

7. MSTU –Components Hauler Compensation Disposal Administrative Costs Tentative 2008 MSTU

8. Hauler Compensation: 2-1-1 Service Zone 2007 2008 Variance 1$ 76.63$ 78.88 +$2.25 2$110.15$113.37 +$3.22 3$113.22 $116.53 +$3.31 4$102.80$105.81 +$3.01 5$111.75 $115.02 +$3.27 Avg$103.64$106.82 +$3.18 Tentative 2008 MSTU

9. Disposal Per Household –Waste Generation Study –Adjusted disposal component 2007 2008 Variance Tons 1.65 1.65 0.00 Cost $49.81 $49.81 $0.00

10. Tentative 2008 MSTU Administrative Costs 20072008 Variance $7.65$8.01 $0.36

11. Program Cost Summary 2008 Collection $106.82 Disposal $ 49.81 Admin $ 8.01 Total Cost $164.64 Tentative 2008 MSTU

12. Program Cost Comparison 2007 2008 Variance Collection $103.64 $106.82 +$3.18 Disposal $ 49.81 $ 49.81 $0.00 Admin $ 7.65 $ 8.01 +$0.36 Total $161.10 $164.64 +$3.54 Fuel $ 6.47 $ 0.00 - $6.47 Total $167.57 $164.64 - $2.93 Tentative 2008 MSTU

13. Used program cash balances to offset increases as long as possible MSTU CostSubsidy 2002$146.06 $147.41 $1.35 2003 $146.06 $147.68 $1.62 2004 $146.06$151.46 $5.40 2005 $148.06 $149.70 $1.64 2006 $153.00$151.10 $0.00 2007$167.57$167.57 $0.00 2008$167.57$164.64 $0.00 Tentative 2008 MSTU

14. Considerations –The existing MSTU of $167.57 exceeds 2008 projected costs of $164.64 by $2.93 –The current Hauler contracts expire December 2008 and will be rebid –New contracts will go in effect January 2009 –Reserves should be maintained to mitigate costs related to the new program Tentative 2008 MSTU

15. Recommendation –Adopt the existing MSTU amount of $167.57 per household per year for program year 2008 Tentative 2008 MSTU

17. Residential Collection Program Rate Comparison - Palm Beach County$481.00 - Seminole County$189.00 - Brevard County$174.82 - Lake County$174.00 - Hillsborough County$170.59 -Orange County (Proposed)$167.57

18. Tentative 2008 MSTU Residential Collection Program Rate Comparison - Ocoee$228.00 - Apopka$192.00 - Winter Garden$192.00 - Winter Park$177.36 - Orlando$176.52 - Orange County (Proposed)$167.57

19. Tentative 2008 MSTU

20. Tentative MSTU: $167.57 per household per year Hauler Compensation: Zone 2007 1$ 78.88 2$113.37 3$116.53 4$105.81 5$115.02 Avg $106.82 Tentative 2008 MSTU

21. Requested Action –Establish tentative Mandatory Refuse and Recycling program MSTU at $167.57 –Set annual rate of compensation to the haulers as presented today Tentative 2008 MSTU

22. Utilities Department June 26, 2007 Mandatory Refuse & Recycling Collection Services Tentative 2008 MSTU