OFFICE OF THE CITY COUNCIL
CHERYL L. BROWN 117 WEST DUVAL STREET,
DIRECTOR 4TH FLOOR, CITY
HALL
OFFICE (904) 630-1452
FAX (904) 630-2906
E-MAIL: CLBROWN@coj.net
Special Finance Committee Meeting Minutes
Solid Waste Hauler Contract Amendments
June 13, 2011
2:00 p.m.
Location: City Council Chamber, 1st floor,
City Hall –
In attendance: Committee Members Warren Jones (Chair), Ray
Holt, Michael Corrigan, Kevin Hyde, E. Denise Lee (arr. 2:16) and John
Crescimbeni; Doyle Carter excused
Also: Peggy Sidman – Office
of General Counsel; Kirk Sherman, Kyle
Billy and Robert Campbell – Council Auditor’s Office; Kerri Stewart and Sherry
Hall – Mayor’s Office; Fred Forbes –
Public Works Department; John Jackson – Council Research; Jessica Stephens –
Legislative Services Division; Charlie Appleby – Advanced Disposal Services;
Patricia McBride
Meeting Convened: 2:04 p.m.
Chairman Jones convened the
meeting and opened the floor for public comment.
Patricia McBride expressed
concerns about the proposal recently reported in the media for one of the
City’s waste haulers to begin using an automated collection system, with each
household being issued a large rolling garbage container. She opposed extending the Advanced Disposal
Services contract for additional years without competitive bidding and better
public notice.
Charlie Appleby, CEO of
Advanced Disposal Services cited a letter distributed to all committee members
explaining his company’s position on the negotiations with the Rate Review
Committee and the Mayor’s Office for the contract amendments in 2011-292.
Kyle Billy of the Council
Auditor’s Office reviewed a memo attached to the agenda outlining the major
features of the three bills – 2011-292, -293 and -294 – and a matrix describing
the differences between the bills as originally introduced, as amended by the
Rules and TEU Committees, and as proposed to be amended by the Auditor’s
Office.
Council Member Hyde moved to
amend the 3 bills by adopting only item #4 on the Council Auditor’s list of
recommended amendments (essentially scrivener’s errors) and omitting items #1 -
3.
Council Member Crescimbeni
expressed his opposition to extending Advanced Disposal Services’ contract by 3
years, believing that all three haulers should be treated equally.
Council Member Lee asked
several questions about how the rate negotiation took place and when and how
Advanced Disposal was referred to the Mayor’s Office for resolution of the
negotiating impasse. In response to a
question from Council Member Crescimbeni, Chief Administrative Officer Kerri
Stewart stated that all three of the waste haulers covered by the three bills
negotiated directly with the Mayor’s Office about the mark up rates after the
companies rejected the 15% mark up initially offered by the Rate Review
Committee. Fred Forbes stated that the
15% rate came from the current Southland contract which provides the company an
opt-out provision if it does not achieve that rate of return.
2011-292 was approved as
amended (Hyde) by vote of 4-2 (Holt and Crescimbeni no).
2011-293 was approved as
amended (Hyde) by vote of 4-2 (Holt and Crescimbeni no).
2011-294 was approved as
amended (Hyde) by vote of 4-2 (Holt and Crescimbeni no).
Council Member Lee expressed
the hope that in the future when the Council Auditor’s Office has objections or
proposed amendments to important issues or contracts, that those concerns be
raised to the Council and the other involved parties earlier in the process so
that additional attempts at settlement can be made before Council is asked to
make a final decision. Kerri Stewart
commended the work of the Rate Review Committee, the Solid Waste Division staff
and the Council Auditor’s Office in conducting the rate review process and
achieving closure on all of the issues except the mark up rate.
The meeting was adjourned at
2:46 p.m.
Minutes: Jeff Clements, Council Research
6.14.11 Posted 5:00 p.m.
Tapes: Special Finance meeting– LSD
6.13.11
Materials: Special Finance agenda
6.13.11