HomeMy WebLinkAboutAGENDA REPORT 2025 1015 CC SPC ITEM 09ACITY OF MOORPARK, CALIFORNIA
City Council Meeting
of October 15, 2025
ACTION ADOPTED RESOLUTION NO.
2025-4358. (ROLL CALL VOTE
UNANIMOUS)
BY A. Hurtado.
A. Consider Resolution Amending the Residential and Commercial Solid Waste
Collection Maximum Rates by 5%, Effective January 1, 2026, as Proposed by G.I.
Industries, Subject to the “Most Favored City” Rate Cap for Certain Services, and
Making a Determination of Exemption under the California Environmental Quality
Act. Staff Recommendation: Adopt Resolution No. 2025-4358, adopting the Solid
Waste Collection Maximum Rates to be effective January 1, 2026, and
superseding Resolution No. 2024-4283.
Item: 9.A.
MOORPARK CITY COUNCIL
AGENDA REPORT
TO: Honorable City Council
FROM: Roger Pichardo, Program Manager
DATE: 10/15/2025 Special Meeting
SUBJECT: Consider Resolution Amending the Residential and Commercial Solid
Waste Collection Maximum Rates by 5%, Effective January 1, 2026, as
Proposed by G.I. Industries, Subject to the “Most Favored City” Rate
Cap for Certain Services, and Making a Determination of Exemption
under the California Environmental Quality Act
BACKGROUND
The Solid Waste Division staff is responsible for administering the Solid Waste Franchise
Agreement (Agreement) for waste collection services, including trash, recyclables, green
waste, and organic materials for both residential and commercial premises with
G.I. Industries, an affiliated entity of Waste Management. A key part of staff’s role is
ensuring compliance with state regulations including, but not limited to AB 939, which
focuses on waste reduction and recycling and SB 1383, which targets the reduction of
organic waste and climate pollutant to help support California’s ambitious environmental
goals.
On December 4, 2024, the City Council approved an amended and restated Agreement
between the City and G.I. Industries, incorporating provisions that enable both parties to
implement SB 1383 regulatory requirements and ensure compliance with all other solid
waste regulations, along with additional updates.
On January 1, 2025, the Agreement went into effect, expanding solid waste services and
program options, adjusting the maximum solid waste collection rates to account for the
added services and programs, and extending the term of the Agreement through
December 2036.
DISCUSSION
The existing Agreement authorizes G.I. Industries to submit a request for rate adjustment
once per year, provided the increase does not exceed 5%. The request must be
Item: 9.A.
1
Honorable City Council
10/15/2025 Special Meeting
Page 2
submitted at least 90 days prior to the proposed effective date and must include the
proposed rate and supporting rate calculations and methodology, which is based on the
following:
(1) A Consumer Price Index (CPI), Los Angeles-Long Beach-Anaheim, based on
70% of the CPI yield for the 12-month annual period ending in August of each
year, and
(2) A Landfill Tipping Fee (LTF) component reflecting 30% change in the landfill
tipping fee compared to the prior year.
If the proposed calculated rate increase exceeds 5%, for example 6%, the excess amount
can be carried over to future year(s). That said, no single annual rate adjustment can
exceed 5%. Similarly, if a rate decrease is calculated but cannot be applied due to the
zero percent minimum, the unused decrease will be carried forward. For example, if a
(2%) adjustment is calculated in one year but not applied, and the following year yields a
proposed 5% increase, the prior decrease would offset the increase, resulting in a net
rate adjustment of 3%.
The rates for three-container cart service provided to single-family premises customers
(five Dwelling Units or less) is subject to a further rate cap referred to as the “Most
Favored City” provision of the Agreement, which caps those specific rates to not exceed
the comparable rates (net of franchise fees or other fees) for those services charged in
the City of Simi Valley. This means, for example, that the rates charged for that service
(net of franchise fees or other fees) in the current adjustment period may be limited to
between 2.08% to 3.23% rather than by a full 5%.
Request for Rate Adjustment
To effectuate a proposed rate adjustment for calendar year 2026, G.I. Industries must
submit a formal request to the City and receive City Council approval for the adjustment
to take effect on January 1, 2026.
On September 29, 2025, G.I. Industries emailed the City a correspondence dated
September 26, 2025, requesting a 5% adjustment to the residential and commercial solid
waste rates. The calculation methodology includes two components: CPI and LTF. The
CPI component yields 2.20% (70% of 3.14%), and the LTF component is 2.88%. Since
the total proposed 5.08% increase exceeds the 5% maximum allowed, the excess 0.08%
will be carried over to future year(s). A detailed breakdown is provided in Attachment 3
of this report.
Solid Waste Rate Comparison: Neighboring Municipalities
To place the residential maximum rate into context, staff conducted a survey of
neighboring municipalities single-family residential monthly rates for similar services, as
2
Honorable City Council
10/15/2025 Special Meeting
Page 3
illustrated below. Note that the cities of Thousand Oaks and Simi Valley rates are subject
to rate adjustments in the upcoming calendar year. Additionally, it should be noted that
the proposed maximum rate reflects the “Most Favored City” clause, ensuring that if
G.I. Industries offers a lower base rate (excluding unique fees and program costs specific
to the Moorpark Agreement) for three-container cart service to single-family customers in
Simi Valley, Moorpark’s base rate for those services will not exceed those charged in Simi
Valley.
Municipality Hauler Bundled Service Monthly Rate
Thousand Oaks Athens 64-Gallons $27.21
Simi Valley G.I. Industries 64-Gallons $28.95
Moorpark (rate) G.I. Industries 64-Gallons $33.58
Moorpark (2026) G.I. Industries 64-Gallons $34.38
Additionally, staff conducted a survey of the commercial monthly solid waste collection
rates for similar services in neighboring municipalities, as shown below.
Municipality Hauler
3 CY Trash
Service
1x per week
Rate for service
1xweek per week
Thousand Oaks Athens Includes one Recycle
and Green Waste Cart $195.50
Simi Valley G.I. Industries Includes one Recycle
and Green Waste Cart $171.31
Moorpark (rate) G.I. Industries Includes one Recycle
and Green Waste Cart $203.76
Moorpark (2026) G.I. Industries Includes one Recycle
and Green Waste Cart $213.95
The proposed rate adjustment for the single-family residential solid waste collection rates
is between 2.08% and 3.23% per the Most Favored City provision. The proposed rate
adjustment for the commercial solid collection rates calls for a 5% adjustment. If approved
by the City Council, the proposed residential and commercial solid waste collection rates
will become effective January 1, 2026.
ENVIRONMENTAL DETERMINATION
This action is exempt from the California Environmental Quality Act (CEQA) as it does
not constitute a project, as defined by Section 15378 of the State CEQA Guidelines.
Therefore, no environmental review is required.
3
Honorable City Council
10/15/2025 Special Meeting
Page 4
FISCAL IMPACT
The proposed increase in solid waste collection maximum rates will result in increased
revenues in the General Fund. As rates go up, the City will receive more in franchise fee
revenue. G.I. Industries pays the City a franchise fee of 12% on gross receipts from
residential services and 8% from commercial services within Moorpark.
COUNCIL GOAL COMPLIANCE
This action does not support a current strategic directive.
STAFF RECOMMENDATION (ROLL CALL VOTE REQUIRED)
Adopt Resolution No. 2025-____, adopting the Solid Waste Collection Maximum Rates
to be effective January 1, 2026, and superseding Resolution No. 2024-4283.
Attachment 1: Draft Resolution No. 2025-____
Attachment 2: Correspondence from G.I. Industries (Waste Management)
4
RESOLUTION NO. 2025-____
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF
MOORPARK, CALIFORNIA ADOPTING SOLID WASTE
COLLECTION MAXIMUM RATES TO BE EFFECTIVE
JANUARY 1, 2026, PURSUANT TO THE EXCLUSIVE
FRANCHISE AGREEMENT WITH G.I. INDUSTRIES, AND
SUPERSEDING RESOLUTION NO. 2024-4283
WHEREAS, the City of Moorpark (“City”) and G.I. Industries (“Contractor”) are
parties to a Solid Waste Collection Agreement (“Agreement”) which authorizes the
Contractor to submit requests for annual rate adjustments, provided such requests do not
exceed a five percent (5%) increase in any given year; and
WHEREAS, pursuant to the Agreement, rate adjustment requests must be
submitted to the City at least ninety (90) days prior to the proposed effective date and
must include the proposed rate supporting rate calculations and methodology; and
WHEREAS, the Agreement establishes that the annual rate adjustment calculation
shall consist of two components:
1. A Consumer Price Index (CPI) component, based on seventy percent (70%) of the
CPI yield for the Los Angeles–Long Beach–Anaheim region for the 12-month
period ending in August of each year; and
2. A Landfill Tipping Fee (LTF) component, based on thirty percent (30%) of the
percentage change in landfill tipping fees compared to the prior year; and
WHEREAS, if the calculated increase exceeds the five percent (5%) annual
maximum, any excess percentage shall be carried over to future year(s), and likewise, if
a rate decrease is calculated but not applied due to the zero percent (0%) minimum, the
unused decrease shall be carried forward; and
WHEREAS, on September 29, 2025, Contractor submitted a formal rate adjustment
request dated September 26, 2025, seeking a five percent (5%) adjustment to the
residential and commercial solid waste collection maximum rates, effective January 1,
2026; and
WHEREAS, the City has reviewed the supporting documentation provided by
Contractor, which includes a CPI component of 2.20% (70% of 3.14%) and a LTF
component of 2.88%, for a total calculated yield of 5.08%; and
WHEREAS, the total proposed rate adjustment exceeds the allowable five percent
(5%) limit by 0.08%, and this excess amount shall be carried over to future year(s); and
WHEREAS, pursuant to the “Most Favored City” clause contained in Section 5.4 of
the Agreement, the rates for single-family customers for the three-cart service cannot
exceed the comparable rates for that services provided by Contractor for the City of Simi
Valley; and
ATTACHMENT 2
5
Resolution No. 2025-____
Page 2
WHEREAS, pursuant to that provision, the rates for that service are capped at a
lower amount and will only increase by 2.08% to 3.23% rather than the full 5%.
NOW, THEREFORE, THE CITY COUNCIL OF THE CITY OF MOORPARK DOES
HEREBY RESOLVE AS FOLLOWS:
SECTION 1. The above recitals are true and correct and incorporated herein as if
set forth in full.
SECTION 2. The City Council concurs with the staff’s CEQA determinations set
forth in the above recitals.
SECTION 3. The City Council hereby approves a five percent (5%) rate adjustment
to the residential and commercial solid waste collection maximum rates for G.I. Industries,
effective January 1, 2026.
SECTION 4. The City Council further acknowledges that the excess calculated
amount of 0.08% shall be carried over to future year(s) consistent with the Agreement
provisions.
SECTION 5. Resolution No. 2024-4283 is hereby superseded in its entirety upon
the effective date of this Resolution.
SECTION 6. The City Council hereby authorizes the City Manager to do all things
necessary and proper to implement this resolution.
SECTION 7. The City Clerk shall certify to the adoption of this resolution and shall
cause a certified resolution to be filed in the book of original resolutions.
PASSED AND ADOPTED this 15th day of October, 2025.
________________________________
Chris R. Enegren, Mayor
ATTEST:
______________________________________
Ky Spangler, City Clerk
Attachment: Exhibit A – Rate Schedule
6
Resolution No. 2025-____
Page 3
EXHIBIT A
RATE SCHEDULE
City of Moorpark - Effective January 1, 2026
Rates are per month and invoiced by Contractor unless otherwise noted.
Service Rates
Residential Cart Services: In addition to the listed Refuse Cart size
serviced once per week, service includes one (1) 96-gallon Cart for Organic
Materials serviced once per week and one (1) 64-gallon Cart for Recyclable
Materials serviced once per week.
32-Gallon Cart Service $ 31.71
64-Gallon Cart Service $ 34.38
96-Gallon Cart Service $ 37.52
32-Gallon Cart Service Senior Rate $ 28.82
64-Gallon Cart Service Senior Rate $ 31.36
96-Gallon Cart Service Senior Rate $ 34.19
Additional Refuse Cart (Resi), Per Cart $ 14.13
Additional Recyclable Materials Cart (Resi), Per Cart $ 7.93
Additional Organic Waste Cart (Resi), Per Cart $ 10.05
Commercial & Multifamily Services: In addition to the listed Refuse
container size and service frequency, service includes one (1) 64-gallon
Cart for Organic Materials serviced once per week and one (1) 96-gallon
Cart for Recyclable Materials serviced once per week.
96-Gallon x1 Per Week $ 85.64
96-Gallon x2 Per Week $ 140.21
96-Gallon x3 Per Week $ 186.29
96-Gallon x4 Per Week $ 250.70
96-Gallon x5 Per Week $ 312.06
96-Gallon x6 Per Week $ 370.49
Non-Contracted 96-Gallon Extra Pickup $ 42.82
1.5-Cubic Yards x1 Per Week $ 191.80
1.5-Cubic Yards x2 Per Week $ 324.54
1.5-Cubic Yards x3 Per Week $ 457.24
1.5-Cubic Yards x4 Per Week $ 589.85
Non-Contracted 1.5-Cubic Yards Extra Pickup $ 81.25
Compacted 1.5-Cubic Yards Pickup $ 383.64
3-Cubic Yards x1 Per Week $ 213.95
3-Cubic Yards x2 Per Week $ 368.74
3-Cubic Yards x3 Per Week $ 525.49
3-Cubic Yards x4 Per Week $ 678.31
3-Cubic Yards x5 Per Week $ 833.13
3-Cubic Yards x6 Per Week $ 987.90
7
Resolution No. 2025-____
Page 4
Non-Contracted 3-Cubic Yards Extra Pickup $ 92.31
Compacted 3-Cubic Yards Pickup $ 427.85
4-Cubic Yards x1 Per Week $ 236.02
4-Cubic Yards x2 Per Week $ 412.83
4-Cubic Yards x3 Per Week $ 589.88
4-Cubic Yards x4 Per Week $ 766.77
4-Cubic Yards x5 Per Week $ 943.70
4-Cubic Yards x6 Per Week $ 1,120.67
Non-Contracted 4-Cubic Yards Extra Pickup $ 103.29
Compacted 4-Cubic Yards Pickup $ 472.05
Temporary Service:
3-Cubic Yard Temporary Refuse Bin Service includes delivery and removal,
Per Bin $ 176.71
3-Cubic Yard Temporary Refuse Bin Additional Pickup, Per Each $ 176.71
Commercial & Multifamily Recycling Bin Service:
Additional 96-Gallon x1 /week $ 20.44
96-Gallon x2 Per Week $ 41.30
96-Gallon x3 Per Week $ 61.95
96-Gallon x4 Per Week $ 82.39
96-Gallon x5 Per Week $ 102.99
96-Gallon x6 Per Week $ 123.57
1.5-Cubic Yards x1 Per Week $ 108.05
1.5-Cubic Yards x2 Per Week $ 216.20
1.5-Cubic Yards x3 Per Week $ 324.20
1.5-Cubic Yards x4 Per Week $ 432.40
1.5-Cubic Yards x5 Per Week $ 540.38
1.5-Cubic Yards x6 Per Week $ 648.50
1.5-Cubic Yards Extra Pickup $ 69.75
3-Cubic Yards x1 Per Week $ 155.19
3-Cubic Yards x2 Per Week $ 310.25
3-Cubic Yards x3 Per Week $ 465.54
3-Cubic Yards x4 Per Week $ 620.55
3-Cubic Yards x5 Per Week $ 775.85
3-Cubic Yards x6 Per Week $ 890.64
3-Cubic Yards Extra Pickup $ 98.57
4-Cubic Yards x1 Per Week $ 193.31
4-Cubic Yards x2 Per Week $ 386.67
4-Cubic Yards x3 Per Week $ 579.99
4-Cubic Yards x4 Per Week $ 773.38
4-Cubic Yards x5 Per Week $ 966.67
4-Cubic Yards x6 Per Week $ 1,128.44
4-Cubic Yards Extra Pickup $ 121.62
8
Resolution No. 2025-____
Page 5
Commercial & Multifamily Organic Waste Cart Service:
Additional 64g Cart x1 Per Week $ 79.76
64g Cart x2 Per Week $ 162.18
64g Cart x3 Per Week $ 243.29
64g Cart x4 Per Week $ 324.38
64g Cart x5 Per Week $ 381.77
Commercial & Multifamily Organic Bin Service:
1.5-Cubic Yards x1 Per Week $ 113.51
3-Cubic Yards x1 Per Week $ 163.01
3-Cubic Yards x2 Per Week $ 325.90
3-Cubic Yards x3 Per Week $ 489.02
3-Cubic Yards x4 Per Week $ 651.86
3-Cubic Yards x5 Per Week $ 814.99
4-Cubic Yards x1 Per Week $ 203.06
4-Cubic Yards x2 Per Week $ 406.19
4-Cubic Yards x3 Per Week $ 609.25
4-Cubic Yards x4 Per Week $ 812.43
4-Cubic Yards x5 Per Week $ 1,015.45
Roll Off Service (Per Pull): Haul Rates do not include disposal
charges
Roll Off Haul (Disposal/Processing Cost not included) $ 280.95
Compactor Haul Rate (Disposal/Processing Cost not included) $ 561.90
Roll Off Delivery Charge $ 99.75
Roll Off Trip/Relocation Charge $ 99.75
Other Services
"Hard to Service Fee" - Vehicle usage rate Case-By-Case
"Hard to Service Fee" - Bin moving rate Case-By-Case
Scout Service Case-By-Case
Special Bin Lids (Locking/CBL) one-time fee $ 42.39
Cleaning/Replacing Cart or Bin - One free per year $ 42.39
Returned Check $ 21.20
Credit Card Convenience Fee (Phone) $ 7.06
Late Fee $ 7.06
Extra Bag Pickup/Scheduled Day $ 4.76
Extra Cart Pick-up/Scheduled Day $ 7.87
Extra Cart Pick-up/Non-Scheduled Day $ 39.40
Residential Cart Re-Delivery Fee $ 39.30
Temporary Roll-Off Extra Day Fee (after 7 days) $ 14.23
Commercial Bin Trip Charge $ 51.10
Permanent Customer Rolloff Extra Day Fee (post 30 days, trash only) $ 14.27
Solid Waste Bin Locking/Unlocking Fee, per month $ 28.56
Commercial Overage Fee $ 71.54
Commercial Contamination Fee $ 86.87
9
Resolution No. 2025-____
Page 6
Redelivery and Reinstatement $ 38.40
Residential Service Level Changes per request $ 7.05
Move In/Move Out $ 23.57
Additional Bulky Item Pickup $ 34.11
Residential Contamination $ 40.88
Residential Overage $ 20.44
10
Denise Kane
September 26, 2025
l<oger Pichardo, 1-'rog ram Ma nag er
City of Moorpark
323 Science Dr" ve
Moorpark, CA 93.021
Re: 2026 Rate Adjustment Request
Dear Mr. Pichardo,
WM -G.I. Industries
l!~!: ·w _os r\ngP.le'.". /'.\•enu?.
Simi Val e•t, CA ~H:)65
In accordance with Section 5.3 of the Amended and Restated Franchise Agreement
between the City of Moorpark and G.I. Industries (WM), we respectfully request an annual
adjustment of service rates.
The Agreement's methodology reflects the annual percentage change in the Consumer Pr ice
Index (CPI) and changes in landfill tipping fees. Based on these factors, the calculated rate
adjustment for 2026 is as follows:
Weighted Percentage Change in CPI
Weighted Percentage Change in Tipping Fees
Total Calculated Adjustment
Total Annual Adjustment (subject to limitations)
Adjustment Carryover to Future Years
2.20%
2.88%
5.08%
5.00%
0.08%
In addition to the annual limitation on adjustments, applicable residential service rates are
also subject to the Agreement's "Most Favored City" clause. The supporting calculations tor
this request are attached tor your review. Upon approval. customers will be notified of the
adjustment to service rates. effective January 1, 2026.
In closing. WM is proud to serve the City of Moorpark. From helping meet regulations and
increasing material diversion to promoting env· ronmental stewardship through outreach and
education, we are cornrnitted to en ha nci ng the quality of life for residents and businesses.
We appreciate your favorable consideration of this request and look forward to discussing it
with you soon.
Kindest regards,
Denise Kane
Public Sector Solutions
ATTACHMENT 2
11