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adjustment effective January of each yearwhile Waste Management and Atlas Organics' contract's CPI <br />is adjusted in April. Staff is currently working on an agenda item to bring before the Board which will <br />propose all contracts' CPI adjustments be processed in the same month. Waste Management has <br />requested a CPI increase of 3.0%, which is the maximum amount allowed per the contract. The total <br />CPI adjustment was for a 3.68% increase, less the 0.44% decrease the County received credit for from <br />FY 2021/21. The net increase of these proposed changes is 3.24%, which still exceeds the 3.0% <br />maximum amount allowed. This increase equates to an approximate budgetary impact of $80,000. Atlas <br />Organics has proposed a CPI increase of 3.0% which carries a budgetary increase of $50,000. The <br />proposed CPI increase does reflect the 0.44% credit the County received for not implementing a <br />negative CPI adjustment in FY 2020/21. <br />As the Board is aware, SWDD has undergone a rate comparison study which reflects the need for <br />multiple rate increases when compared to surrounding counties. A full evaluation of SWDD's rate <br />assessment model was programmed into the FY 2020/21 budget, however due to COVID-19 and the <br />associated impact on commercial waste generation units specifically, the rate study has not been <br />completed. An additional $135,000 is being requested in the upcoming fiscal year to complete the full <br />rate study. This evaluation is crucial in order to ensure SWDD's revenue generating model is adequately <br />structured to reflect operational changes that have been implemented since the last rate study was <br />completed in 1995. Implementation of any rate changes will be proposed in the FY 2022/23 budget. <br />14 <br />