FY 2020-21 Rate Adjustment

Overview: The City has a franchise agreement with EDCO Waste & Recycling Services (EDCO) to provide trash, recycling, and green waste collection. The franchise agreement with EDCO allows for an annual rate adjustment, effective July 1 annually. The franchise agreement allows for annual increases in the San Diego-Carlsbad area Consumer Price Index (CPI) and increases in solid waste disposal fees under the Regional Solid Waste Association (RSWA) Agreement.[1] The CPI increased 1.93 percent from the second half of 2018 to the second half of 2019, and the disposal fee increased 2.59 percent, or $45.54 per ton.

In addition, this proposed rate adjustment expands the scope of services that EDCO is providing. California’s solid waste (trash) legislation requires the City to introduce organic waste recycling services to remain in compliance with state law. Through recent legislation (including State Assembly Bill 1826, State Assembly Bill 1594, and State Senate Bill 1383), the state has increased recycling requirements for organics. The current and future mandates are not funded by the State, so they must be funded through solid waste rates. As part of the solution for compliance, the proposed rate adjustment consists of a plan to convert the existing residential green waste collection service to a fully commingled organic collection program that would cost an additional $3.68 per month for the current single-family residential rate beginning in early 2021.

How will the proposed rate adjustments affect my bill? The following tables show the current and proposed FY 2020-21 monthly solid waste collection service rates for the three most common levels of service. If approved, the rates would be in effect July 1, 2020 through June 30, 2021. The commingled organic recycling fee would go into effect in early 2021. 

Commercial organic rates will vary depending on the size of the carts/bins and frequency of service, but for the more common service levels, the initial organic collection rates are listed in the table below:

What are the various components of my monthly service rate?  The City’s residential collection service rates are comprised of four components:

• Service fee – this fee relates to the collection and transportation of waste, which includes things like the cost of trucks, maintenance, fuel, labor, insurance etc.
• Disposal fee – this fee, also known as “tipping fees” are costs that waste haulers pay to deposit waste at a transfer station, landfill, or processing facility.
• AB 939 fee – this fee is to fund recycling and solid waste diversion programs, such as funding the Household Hazardous Waste Facility.
• Franchise fee – this fee is collected by EDCO and passed through to the City. This is a source of revenue to the City to help pay costs associated with managing the franchise agreement and offset costs of infrastructure damage caused by commercial vehicles. The franchise fee for trash collection in Poway is 10% of the total rate charged by EDCO.

How will my service be affected?  Currently, the City has a two-cart automated configuration for trash and recycling collection. Green waste collection is manually collected. Poway residents would be provided with up to three commingled organics/green waste cart for all organic waste, including pre-and post-consumer food scraps, as well as yard trimmings. The addition of commingled organics/green waste carts would result in a three-cart automated configuration for the City.

EDCO will also be providing each Poway resident with a kitchen caddie for the convenient collection of food scraps in the kitchen of your home, this kitchen caddie is dishwasher safe, as well as odor and bug resistant. This kitchen caddie can easily be stored under the sink or on your kitchen counter, when your kitchen caddie is full you will simply empty it into your commingled organics/green waste cart and it will be serviced on your collection day.

The City is dedicated to keeping its solid waste collection rates as low as possible while also complying with State mandates. City staff’s recommendation to implement a 3-cart configuration reflected the most efficient and cost-effective methodology to achieve compliance.

Proposition 218 and Public Noticing Requirements: As part of the rate increase process, the City mailed a Proposition 218 notification to all ratepayers (the current recipient of the trash bill or property owner) in the City. A copy of the notification can be found here. The Proposition 218 process ensures that the public is notified of certain types of rate increases and provides an opportunity to protest rate changes. A public hearing is scheduled for June 2, 2020 at 7 p.m, at the Poway Council Chamber located at 13325 Civic Center Drive, Poway, CA 92064 to consider written protests against the proposed rate increases.  Proposition 218 letters may be submitted in the Utility Payments drop box at City Hall (parking lot). 

Sample Protest Letter

Informational Meetings: In efforts to educate the public on the impending organics recycling program and existing state mandates, the City held an Organics Recycling Workshop on January 21, 2020, to discuss key solid waste legislation and an overview of steps to be taken to implement an organics recycling program. City staff also presented a report on April 7, 2020 presenting the proposed 2020-21 rate adjustments and recommending the organics/green waste commingled cart to comply with SB 1383. Links to the reports are provided below for additional information.

January 21, 2020 City Council Report

April 7, 2020 City Council Report

Community Workshop:  The City held a community workshop focused on residential service on February 11, 2020, to discuss key solid waste legislation and an overview of steps to be taken to implement an organics recycling program. If you were unable to attend the SB 1383 workshop, you can click on the links below and listen to representatives from CalRecycle, EDCO, and the San Diego Food System Alliance explain how SB 1383 will change the way we manage our organic waste.

CalRecycle PowerPoint Presentation

Audio Presentation - CalRecycle 

EDCO PowerPoint Presentation

Audio Presentation - EDCO 

San Diego Food System Alliance PowerPoint Presentation

Audio Presentation - SDFSA 

If you have questions:  The City 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 via email or a phone call. Please contact Izzy Murguia, Senior Management Analyst at (858) 668-4728.

[1] The Regional Solid Waste Association (RSWA) is a Joint Powers Agency (JPA) comprised of the cities of Del Mar, Encinitas, Escondido, National City, Poway, Solana Beach and Vista. The primary purpose of the RSWA is to provide stable, long-term, environmentally responsible, cost effective options for all aspects of solid waste disposal including recyclables and hazardous waste.