HomeMy WebLinkAboutAgenda Report - July 6, 1983 (46)AL
LODI SANITARY CITY DISPOSAL CO., INC.
FORECASTED STATEMENT OF INCOME
Twelve Months Ending March 31,1984
Actual
Year Ended Forecasted
3/31/82 Adjustments FYE 3/31/84
OTHER EXPENSES:
Advertising $ 2,228 $ 11 (5) $ 2,239
Auto Expense 7,165 35 (5) 7,200
Accounting and Legal 20,144 101 (5) 20,245
Amortization 119 - 119
6ussiness Promo. 19,150 96 (5) 19,246
City Franchise Fee 223,629 - 223,629
N-preciation 3,774 1,641 (9) 5,415
Dues and Subscriptions 2,724 14 (5) 2,738
Transfer station fees 260,171 (7,598)(10) 252,573
Equipment Leases 8,324 42 (5) 8,366
Employee Group Insurance 7,340 (4,068)(3) 3,272
Interest 89,289 (25,560)(11) 63,729
Office Supplies and Expense 17,980 90 (5) 18,070
Officers Life Insurance 31,476 (31,47 6)(12) -
Payroll Taxes 7,154 (1,032)(4) 6,122"
Salaries - Office 56,162 2,920 (2) 59,082
Salaries - Officers 50,729 895 (11) 51,624
Taxes and Licenses 4,104 21 (5) 4,125
Telephone 3,844 19 5) :,863
Utilities 13,628 68 (5) 13,696
Workers Compensation Insurance 3,981 (3,666)(6) 315
Sub Contract Hauling 38,014 190 (5) 38,204
TOTAL $ 871 �$67�,257) $ 803,872
See Accompanying Summary of Significant Forecast Assumptions and
Summary of Significant Accounting Policies.
TO THE CITY COUNCK
FROM THE CITY MANAGER'S OFFICE
COUNCIL C011' MUNICAT"N
For Rate Increase
DATE
JUNE 30, 1983
On Tuesday afternoon, June 21, 1983, I received a request
':rom Sanitary City Disposal Company, Inc. to increase all
residential and.commercial rates by 12.0%.
I met with Mr. David Vaccarezza and his accountant,
Marshall Peters, to review his request. His request is
based upon an agreed-upon formula which basically allows
Sanitary City to recapture their projected costs, plus 6%.
Their proposal includes new pieces of equipment and
additional staff. I have not had sufficient time to
carefully analyze these management decisions. According
to Mr. Vaccarezza, there will be a payoff on these
investments in lower potential costs in the future.
Their operating budget is 8.7% greater than last year's.
To this must be added $12,539 for fuel adjustment charges.
However, based upon the projections made by Mr.
Vaccarezza, including the additional staff and equipment,
a 10.0% rate adjustment is appropriate.
Council should understand there was insufficient time to
make an in depth study of the operations including the
appropriateness of the amount of equ.Lptaent, charges for
transfer station, inter -company charges and the like.
ments
Q;�" I- ljkY''""-
Y L. GLENN
Assistant City Manager
mil
.�0
ORDINANCE NO.
AN ORDINANCE AMENDING SECTION 11-3 OF THE
CITY CODE OF THE CITY OF LODI, EN`rITLED
"COLLECTION RATES FOR GARBAGE SERVICES".
The City Council of the City of Lodi does ordain as
follows:
E
Section 1.. Section 11-3 of the City Code of the City of
Lodi is hereby repealed and re-enacted to read in full as
follows:
Section 11-3. Collection Rates..
The monthly rates to be charged for garbage
collection service shall be as follows:
A. For any private dwelling house or residence, the
rate for one weekly garbage collection shall be:
(1) For the first container of thirty gallons or
less and not to exceed sixty pounds, Four Dollars
and Forty Five Cents ($4.45)
f
(2) For each additional container of thirty
gallons or less and not to exceed sixty pounds,
Two Dollars and Fifteen Cents ($2.15)
B. Owners of flats, apartments or the tenants or
lessees thereof shall pay an amount equal to Four
Dollars and Forte Five Cents ($4.45) times the,
number of apartment units owned or occupied.
t
C. For owners or tenants of business houses, the
monthly rates shall be:
f
4-
-1-
(I) Class A Commercial Collection service which
exceeds the capacity of one 6 cubic yard
container:
16 yds. to 40 yds. $3.50 per yard
Compacted Loads: Rate $5.90 per yard
(3I) Class B Commercial Collection service when
requires either daily or weekly and the waste can
be accommodated by a one to 6 cubic yard
container service, the monthly rates shall be:
WEEKLY SERVICE
NO, OF
YDS. CONTAINERS 1 2 3 4 5 6
1 $39.84 $60.73 $ 61.59 $104.34 $125.60 $146.82
1 2 51.25 83.50 115.75 150.70 183.53 216.41
3 62.62 106.26 149.93 197.08 241.51 285.96
1 51.25 83.50 115.75 150.70 183.59 216.41
2 2
3
74.02
96.78
129.04
174.58
184.07
252.37
243.43
336.19
299.48
415.41
355.51
494.61
1
62.62
106.26
149.93
197.08
241.51
285.96
3 2
96.78
174.58
252.37
336.19
415.41
414.61
3
130.94
242.92
354.87
475.28
589.30
703.30
-2-
1
113.47
204.69
295.90
394.17
487.13
579.90
6 2
193.56
364.88
536.18
720.36
894.80
1069.24
3
273.66
525.08
776.48
1046.58
1302.55
1558.55
III. Class C Commercial Collection service when required
either daily or weekly and the waste can be accommodated
by one to six - thirty gallon cans not exceeding sixty
pounds per can. The monthly rates shall be:
-3-
-4-
Ll
LODI SANITARY CITY L'ISPO:.A!. (;0.-, IMC.
FO:t `,'!!t- YEA1; EHD_ING '.,A" -'C.1 31, 1983
COMPUTATION OF A1,L0`.A!,!.TH f i-t0i'Ii'
Total Operat:inz, -, xpenses (Per i'orecaz;ted
Statement of Income)
Less: City Franchioe
City "ervice
Basis For Profit
ALLOWABLE P!tOF_T _' C, c"
^AMPUTATION OF r%D0I':'IC::AL :iL;V!;.:t;!:" „UZ:tE�J
Total Operating Expenses
Add: Profit 0 6;',
Shop Personricl (;20,000 -Salary x
60i. LSCD, )
Fuel Adjust-' lent
Less: Franchise Fes - Lazt Year
Amount Representinf; :Yranchise Fees
Income Should Be Approximately
Less: Projected incor e Before trate
Adjustment (Per Forecasted 'Statement
of Income)
(Note 1)
ADDITIONAL !?LVE:JUES
NEW RATES
1st Can
2nd Can
MICENTAGE OP Uy C0!:!4_iJCIAL ACCOUINITS
$1,551,970
(223,629)
( 36,204)
'112290.137
77,408
$1,551,970
77,408
12,000
12,539
(223,629)
1,430,266
252,4011
1,68 6T2
1,529,361
153,331
$ 4.45
$ 2.15
PROOF OF ALL[)'r:ABLE f.tUi'1T O: YEAP' M;A2Cif 31, 1984
10 0
Income
Should .,e ; proxi:nately
$1,682,692
Less:
Total OperatinC *'Experises,
Less This
Year's franchise
10ees ($1,551,970-223,629)
(1,328,341)
Franchise
Fees - Next
Year (Projected)
(252,404)
Fuel
Adjustment
(12,539)
Shop
Personnel
(12,000)
ALLOWABLE
PROFIT - FOR YEA!i
:'',!+DING !;Ai:Cif 31, 1964
$ ?7,408
100.0
79.0%
15.0%
.7
.7%
4.6%
`IDI SANITARY CITY DISPOSAL CO., 4C.
FORECASTED STATEMENT OF INCOME �w
Twelve Months Ending March 31, 1984
!TOTAL GROSS INCOME (Note 1)
OPERATING EXPENSES
Pa�ro xpenses
Salaries
Employees' Grp. Ins.
Payroll Taxes
Uniforms and Laundry
Workers Comp. Ins.
Pension Plan
TOTAL PAYROLL EXPENSE
EQUIPMENT EXPENSES
Gas and Oil --
Insurance
Licenses S Highway Use Tax
Repairs and Maintenance
Tires
Depreciation
Supplies and Other
TOTAL EQUIPMENT EXPENSE
OTHER EXPENSES (Schedule)
TOTAL OPERATING EXPENSES
INCOME (LOSS) FROM OPERATIONS
'OTHER INCOME ( EXP.)
Gain(loss) on Sale Equip.
INCOME BEFORE PROVISION
FOR INCOME TAXES
Actual
Year Ended
3/31/83
$1,486,003
$ . 328,898
41,600
40,539
3,244
22,558
5 629
$ 442!468
$ 52,019
19,974
10,092
41,508
22,991
89,055
18 216
$ 2f
$ 871,129
$1,567,452
$ (81,449)
$
57,575
Adjustments
$ 43,358 (1)
17,103 (2)
- (3)
(2,825) (4)
16 (5)
31,255 (6)
986 (7)
$ (3,069)
(8)
100
(5)
50
(5)
208
(5)
115
(5)
7,745
(9)
91
(5)
$
$(67,257)
$(15,482)
$ 58,840
$ (5,575) (13)
$ 53125
SEE ACCOMPANYING SUMMARY of SIGNIFICANT FORECAST ASSUMPTIONS
AND SUMMARY of SIGNIFANCT ACCOUNTING POLICIES.
Forecasted
F/Y/E 3/31/84
$1,529,361
$ 346,001
41,600
37,714
3,260
53,813
$4W,
48,950
20,074
10,142
41,716
23,106
96,800
18307
$ 2 9p
$ 803,872
$1,551,9.70
$ (22,609)
ORDINANCE NO. 1289
AN ORDINANCE AMENDING SECTION 11-3 OF THE
CITY CODE OF THE CITY OF LODI, ENTITLED
"COLLECTION RATES FOR GARBAGE SERVICES".
The City Council of the City of Lodi does ordain as
follows:
Section 1. Section 11-3 of the City Code of the City of
Lodi is hereby repealed and re-enacted to read in full as
follows•
Section 11-3. Collection Rates.
The monthly rates to be charged for garbage
collection service shall be as follows:
A. For any private dwelling house or residence, the
rate for one weekly garbage collection shall be:
(1) For the first container of thirty gallons or
less and not to exceed sixty pounds, Four Dollars
and Forty Five Cents ($4.45)
(2) For each additional container of thirty
gallons or less and not to exceed sixty pounds,
Two Dollars and Fifteen Cents ($2.15)
B. Owners of flats, apartments or the tenants or
lessees thereof shall pay an amount equal to Four
Dollars and Forty Five Cents ($4.45) times the
number of apartment units owned or occupied.
C. For owners or tenants of business houses, the
monthly rates shall be:
-1-
•
n
C
-2-
(I) Class A Commercial Collection service which
exceeds the capacity of one 6
cubic yard
container:
16 yds. to 40 yds. $3.50 per
yard
Compacted Loads: Rate $5.90
per yard
(II) Class B Commercial Collection service
when
requires either daily or weekly and the
waste can
be accommodated by a one to 6
cubic yard
container service, the monthly rntes
shall be:
WEEKLY SERVICE
NO. OF
YDS. CONTAINERS
1 2 3 4
5
6
1
$39.84 $60.73 $ 81.59 $104.34
$125.60
$146.82
1 2
51.25 83.50 115.75 150.70
183.53
21.6.41
3
62.62 106.26 149.93 197.08
241.51
285.96
1
51.25 83.50 115.75 150.70
183.59
216.41
2 2
74.02 129.04 184.07 243.43
299.48
355.51
3
76.78 174.58 252.37 336.19
415.41
494.61
1
62.62 .'.06.25 149.93 197.08
241.51
285.96
3 2
96.78 174.58 252.37 336.19
415.41
494.61
3
130.94 242.92 354.87 475.28
589.30
703.30
-2-
•
III. Class C Commercial Collection service when required
either daily or weekly and the waste can be accommodated
by one to six - thirty gallon cans not exceeding sixty
pounds per can. The monthly rates shall be:
-3-
NO. OF
tDS.
CONTAINERS
1
2
3
4
5
6
1
86.77
151.29
215.82
285.43
351.12
416.83
4
2
137.19
258.08
376.01
502.90
622.97
743.02
3
193.56
364.88
536.18
720.36
874.80
1069.24
4
246.95
1
100.11
177.99
255.86
339.80
419.09
498.37
5
2
166.86
311.48
456.10
611.63
758.57
906.14
3
233.61
444.97
656.35
883.47
1098.68
1313.87
4
1721.64
1
113.47
204.69
295.90
394.17
487.13
579.90
6
2
193.56
364.88
536.18
720.36
894.80
1069.24
3
273.66
525.08
776.48
1046.58
1302.55
1558.55
III. Class C Commercial Collection service when required
either daily or weekly and the waste can be accommodated
by one to six - thirty gallon cans not exceeding sixty
pounds per can. The monthly rates shall be:
-3-
2 3 4 5 6
$12.01
$17.79
NO. OF
$41.24
CONTAINERS 1
1
$ 6.24
2
10.25
3
14.22
4
21.36
5
39.96
6
49.98
2 3 4 5 6
$12.01
$17.79
$23.57
$41.24
$49.36
20.02
41.87
55.62
69.38
83.12
39.38
58.73
78.11
97.49
116.85
59.37
88.72
118.10
144.94
176.84
79.34
118.72
158.09
197.46
236.81
99.34
148.72
198.08
247.87
296.81.
All of the above rate schedules shall be effective
on all bills which are prepared on or after August 1, 1983.
Section 2. All ordinances and parts of ordinances in
conflict herewith are repealed insofar as such conflict may exist.
Section 3. This ordinance shall be published one time
in the "Lodi News Sentinel", a daily newspaper of general
-4-
Ppr
t
circulation printed and published in the City of Lodi and shall
be in force and take effect thirty days from and after its
passage and approval.
Approved this 20th day of July, 1983
Mayor
Alice M. :Reimche
City'Clerk
State of California
County of San Joaquin, ss.
I, Alice M. Reimche, City Clerk of the City of Lodi, do
hereby certify that Ordinance No. 1289 was introduced at
a regular meeting of the City Council of the City of Lodi
ti
-5-
t
held July 6, 1983 and was thereafter passed, adopted and
ordered to print at a regular meeting of said Council held
July 20, 1983 by the following vote:
Ayes: Council Members - Pinkerton, Snider & Olson (Mayor)
Noes: Council Members - None
Absent: Council Members - Murphy & Reid
Abstain: Council Members - None
I further certify that Ordinance No. 1289 was approved and
signed by the Mayor on the date of its passage and the same
has been published pursuant to law.
Alice M. Reimehe
City Clerk ; r
Approved as to form
Ronald M. Stein
City Attorney