State Mandated Solid Waste Rate Adjustment
Introducing Adjusted Rates to Fund New State-Required Services
The City of Orange has among the lowest rates in the County. A franchise agreement with CR&R Environmental Services Inc. has been in place since 2009 and was negotiated to ensure that the City would remain in the lowest third of comparable rates. A rate comparison of cities within the County can be seen here. On December 10, 2019, the City Council approved a new agreement between the City of Orange and CR&R Incorporated, the city’s trash hauler (technically trash, recycling material, yard waste, street sweeping services and new organics recycling), The new agreement expands the scope of services that CR&R is providing for the City to address significant new increases in state mandates and regulations regarding disposal of various types of waste. We have embedded the staff presentation and Council vote below (it runs for 25 minutes).
California’s solid waste (trash) legislation requires the City of Orange to introduce new solid waste services to remain in compliance with state law. Through recent legislation (including State Assembly Bill 341, State Assembly Bill 1826, State Assembly Bill 1594, and State Senate Bill 1383), the state has increased recycling requirements for recyclables and organics. The current and future mandates are not funded by the State, so they must be funded through solid waste rates. City Staff presented a report to the City Council on October 8, 2019 that summarized these challenges and the City Staff’s recommendation to address the mandates in the most cost effective way possible. We have embedded that presentation here below (it runs for 32 minutes).
The initial adjusted rates went into effect for ratepayers on January 1, 2020. Each year, the residential and commercial rates will be automatically adjusted on July 1 over a period not to exceed five years using a formula that adjusts for cost of operations.
As part of the rate increase process, the City mailed a 218 notification to all ratepayers (the current recipient of the trash bill) in the City. A copy of the notification can be found here. The 218 process ensures that the public is notified of certain types of rate increases and provides an opportunity to protest rate changes. The method to protest was outlined in the mailer. In response to this mailer, only six protests were submitted, and only one member of the public spoke in opposition at the December 10, 2020, Council meeting
The City of Orange is dedicated to keeping its solid waste collection rates as low as possible while also complying with State mandates. City Staff’s recommendation to outsource compliance risks and services to CR&R reflected the most cost-effective methodology to achieve the goals. The City charges residents no more than the cost of providing solid waste and related services (as required by Proposition 218) and only increases rates when operating costs rise.
The City of Orange is committed to fully explaining the complexities of trash disposal, recycling and related State mandated regulations to the public. The solid waste services program is managed by the Public Works Department. A staff member on the City’s team is available to answer your questions through a visit to City Hall, email or a phone call. Please contact Josh Soliz, Public Works Administrative Manager at (714) 744-5525.