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HomeMy WebLinkAbout2008-345WWPAS WASTE MANAGEMENT September 22, 2008 Mr. Himanshu Mehta, P.E. (FL) IRCSWDD Managing Director Indian River County Solid Waste Disposal District 132574 th Ave. S.W. Vero Beach, FL 32968 RE: Rate Proposal for Co -Disposal Operations Dear Mr. Mehta: WASTE MANAGEMENT 1327 74th Ave. S.W. Vero Beach, FL 32968 (772)562-8445 (772) 562-3424 Fax As of September 2008, the C&D Segment I project is complete, albeit some final grading of the existing C&D material that is already in place. Since this project is complete, we will need to determine if the Indian River County Solid Waste Disposal District (IRCSWDD) will proceed with the co -disposal of the C&D waste in the Class I landfill. Currently Waste Management Inc. of Florida (WMIF) receives $8.49 per ton of Class I waste processed and $14.99 per ton of C&D waste processed. Effective January 01, 2009 the rates will increase in accordance with our operations contract by 75% of the C.P.I. Southern Index to $8.80 per ton of Class I waste processed. If the C&D Segment I project were still active in 2009, that new rate would be $15.54 per ton. Once the Co -disposal operation begins, WMIF respectfully requests consideration of going to a blended rate for all waste processed in the Class I landfill. The proposed co -disposal rate that WMIF requests would be $10.35 per ton for all waste processed in the Class I landfill effective approval by the SWDD board to begin co -disposal operations. Based on the analysis below the new rate would have a positive impact on the IRCSWDD budget due to the downward trend of C&D. based on 2009 CP/ Ad ANNUALTmCURR`ENT TONS RATE Class 1 124,522 $ 8.80 CSD 38,566 $15.54 Total 163.088 CURRENT JPROPOSED ANNUAL cow COST DISPOSAL RATE 11095,794 $10.35 599,316 $10.35 1,695,109 PROPOSED CO - DISPOSAL ANNUAL COST $1,288,803 $ 399,158 $1,687,961 ANNUAL COST DIFFERENCE TO IRCSWDD <$1939009> $200,158 $7,148 From everyday collection to environmental protection, Think Green® Think Waste Management. ® Printed on 100%post -consumer recycled paper. Due to the downward trend in both the Class I and C&D waste streams in 2008, the annual tons were derived by taking the actual tonnages received January 2008 through May 2008 and extrapolating out through twelve months. WMIF has one other operation in Florida; Southeast Landfill located in Hillsborough County that is similar in type to the IRCSWDD operation where co -disposal is in place. Larry Hwz, Ot Hillsborough County Solid Waste, can be reached at 813-671-7674, if you would like to contact him regarding the contract. Please contact me if you have any questions regarding this request. WMIF looks totward to continuing our successful partnership with the IRCSWDD staff in providing the residents ()I Indiar7 River County with a safe and environmentally sound operation. Sincerely, Deborah A. Perez District Manager Cc: Greg Mathes, WMI INDIAN RIVER COUNTY SOLID;al1/ASTE 1) SP f t _ .Chair mai Attest: J.K. B - i3yAft Approved: Josep . aird, County Administra for Approved as to form and legal sufficiency: SUBMITTED BY: WASTE MANAGEMENT INC. Of I I ()RIM Counsel and Assistant Seci(1ary by: E. Fell, Senior Assistant County Attorney