HomeMy WebLinkAboutIR 6965 INFORMAL REPORT TO CITY COUNCIL MEMBERS No. 6965
N,,P T I A'o
y0E40RT� To the Mayor and Members of the City Council August 23, 1984
�rEXP�t Subject: PROPOSED RATE ADJUSTMENTS FOR RESIDENTIAL AND COMMERCIAL
"T' REFUSE COLLECTION SERVICE
The following information is provided relative to City Council requests
for alternatives which the Council might wish to consider which could
have the effect of reducing the required residential rate increase from
$1.00 per month to 50� per month.
A ccmbination of the alternatives listed below could have the effect of
replacing the $718,176 to offset a 50� reduction in the residential
rate.
° Contract out District #5 (savings of $103,275);
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° Contract out District #9 (savings of $127,576);
° Delete contingency engineering funds (savings of $25,000) ;
° Defer fencing for Northeast Landfill (savings of $25,000);
° Defer updating of three collection vehicles with hydraulic lifts
(savings of $56,500);
° Delete funding for an additional collection vehicle (savings of
$80,000); and,
° Decrease the administrative services fee payment to the General
Fund (savings of $301,676) .
As mentioned in Informal Report No. 6963, several important factors
would need to be considered before making the decision to contract out
more districts. First there is no way to be sure of the cost savings to
be derived from contracting; bids would need to be solicited and
reviewed before an accurate estimate could be made. Second, personnel
displacement considerations would also need to be weighed. Finally, the
advisability of contracting a larger portion of the City to private
contractors should be evaluated.
A factor associated with the alternative to decrease the administrative
services fee payment to the General Fund by $301,676 is the effect on
the tax rate. An increase of .0026 in the tax rate would be necessary
to support a decreased payment to the General Fund.
If additional information concerning the Solid Waste Fund is necessary,
it will be furnished upon request.
Bert �rert
City Manager
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ISSUED BY THE CITY MANAGER FORT WORTH, TEXAS -