City to consider solid waste rate hikes

Market and inflationary forces beyond the city’s control are driving a request by the Sarasota Solid Waste Division for a rate increase for fiscal year 2024. 

During a May 9 workshop, city commissioners heard a request from department management for a 16.5% residential rate increase to offset rising costs in the commodities market for recyclables, increased tipping fees at county landfills, inflationary pressures and others.

If approved by commissioners during the coming budget cycle, it would be the first rate increase on trash collection fees since 2018.

At the workshop, Public Works Director Doug Jeffcoat and General Manager of Public Services Todd Kucharski highlighted ordinance changes they would seek in addition to the rate hikes, including bulk waste and improperly prepared waste issues, specifically whether those costs should be shared by the rate base or by the specific users of the services.

“We have the hauling contract that takes (solid waste) from our transfer station and delivers it to the landfill,” said Jeffcoat. “We’re looking at since the last time we had a rate increase, which was back in 2018, the landfill disposal cost is now $3.15 (per truckload) more. 

That’s just one of the cost pressures on the department. Since 2018, Recycling processing costs are up $16.63 per ton, yard waste processing up $7 per ton for waste in plastic bags and $12.75 not in plastic bags, and contract hauling cost to the county landfill in Nokomis is up $33.12 per truckload.

Other cost pressures include the department’s street sweeping program and declining shared revenues for recyclables market. The city received only two bids for a new street sweeping contract, the lowest from its current contractor at $141,893 per year, up 21% from the current contract of $116,860. The second bid was $216,000. 

While that cost goes up, because of a downturn in the market for recyclable materials, recycling revenues for the current fiscal year are estimated at $198,000, down more than 50% from $415,826 in fiscal 2022. No estimate is available for recycling revenue next fiscal year.

In addition to rising costs for container and equipment costs, increases in salary and benefits and general fund support services such as weekend downtown street cleaning, clearing homeless encampment debris and illegal dumping, means the result is a requested increase of $4.04 per month for residents to a new rate of $28.59.

Jeffcoat and Kucharski are also seeking policy changes for bulk and improperly prepared waste, specifically shifting the cost from the rate base to specific customers. Bulk waste left behind by renters, for example, is typically moved to the curb either by vacating renters or the property owners for a special pickup by the Solid Waste Division. The account holder — the renter — bears the cost obligation, but renters can be difficult to pursue once they’ve moved on. As a result, all customers currently pay for that service.

“Our biggest issue right now is that we don't really have a means and method of going after anybody once the account is closed,” Jeffcoat said. "The ordinance that we're going to be bringing to you proposes changing that responsibility to the property owner. This is a method for us to be able to collect those costs that we're taking on to pick this up.”

They also propose an ordinance to increase fees for improperly prepared waste to cover the operational costs of increased tipping fees and fuel. Any ordinance changes will require a public process.

“Anything that we do ordinance-wise will come through a public hearing,” said City Manger Marlon Brown. “We will have to go through that process and have public hearings to make these changes. The rate payers are paying the costs. When we bring this back, if it's the will of the commission to allow these situations that fall on the backs of every rate payer, then that would be a discussion.”