Explanation
This legislation authorizes the Public Service Director to modify and increase an existing encumbrance established per Ordinance #0030-2003, passed January 13, 2003 to pay 2003 refuse tipping fees to the Solid Waste Authority of Central Ohio (SWACO) for the Refuse Collection Division. The original encumbrance was established in the amount of $10,858,000.00 based on estimated refuse tonnage. Actual and projected tonnage is very close to exceeding the estimate because of growth in the number of households collected and the wetter-than-normal weather, which tends to increase the amount of yard waste generated. Despite the existence of a separate yard waste collection (all of which is diverted from the Authority's landfill), some non-sanctioned yard waste finds it way into the regular waste stream and is delivered to the landfill. Actual annual tipping fees totaled $10,787,906.67 and $10,551,338.72 for 2001 and 2002, respectively. Through November, actual 2003 expenditures total $10,018,252.17. There is some concern that the existing $839,747.83 encumbrance balance will prove insufficient to pay the entire December invoice (the exact amount of which is not known at this time). Since partial payments are unacceptable and delayed payments incur an interest penalty, it is prudent to prepare for this possibility by increasing the amount of the encumbrance by $250,000.00.
Formal competitive bidding requirements must be waived because refuse disposal services other than those provided by SWACO are available in the marketplace, however the city is contractually obligated to tip at SWACO facilities. Tipping fee rates are determined by SWACO's established rate setting process. The city is represented on SWACO's board of directors.
Additional funding for tipping fees is available within the Special Income Tax Fund. This ordinance appropriates these funds as necessary.
Emergency action is requested to provide for full payment of all liabilities...
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