Loading...
CC 2013-06-25_11.a. Proposed Ordinance Delinquent Waste CollectionMEMORANDUM TO: CITY COUNCIL FROM: TIMOTHY J. CARMEL, CITY ATTORNEY SUBJECT: CONSIDERATION OF AN ORDINANCE ELECTING TO HAVE DELINQUENT SOLID WASTE COLLECTION AND DISPOSAL SERVICE CHARGES COLLECTED ON TAX ROLL DATE: JUNE 25, 2013 RECOMMENDATION: It is recommended the Council introduce an Ordinance electing to have delinquent solid waste collection and disposal service charges collected on the property tax roll. IMPACT TO FINANCIAL AND PERSONNEL RESOURCES: City staff anticipates approximately 8-10 hours of work (e.g., for the preparation of staff reports, receipt of delinquent account data from South County Sanitary Service, tabulating data for transmittal to SLO County Assessor's office) for the annual process of collection of the delinquent charges on the tax rolls. South County Sanitary Service estimates that there are currently 25 accounts with delinquencies in excess of $100 for a minimum period of at least 90 days that would be considered for collection on the tax roll. The City could assess an administrative fee to cover its services in processing these accounts for collection on the tax roll. However, the City received $237,000 in franchise fees from South County Sanitary Service for the 2012 calendar year, which staff believes will cover the City's administrative support services required under the franchise agreement. BACKGROUND: Arroyo Grande Municipal Code Section 8.032.030 requires all premises within the City to have refuse service. Timely and full payment of refuse charges for solid waste collection and disposal services is critical for the successful operation of the City's solid waste franchise operator, South County Sanitary Service. There are certain remedies provided by State law for the City's franchisee to recover delinquent charges for solid waste collection and disposal services, including collection of such charges on the real property tax roll in accordance with the authority and procedures contained in Health and Safety Code Sections 5473 et seq. It is in the best interest of the City to require individual property owners to be held responsible for the payment of all solid waste collection and disposal services provided. Otherwise, the burden falls on the paying customers by way of a rate increase when South County Sanitary Service cannot meet its operating expenses as a result of writing off the bad debt of the delinquent accounts. Item 11.a. - Page 1 CITY COUNCIL CONSIDERATION OF AN ORDINANCE ELECTING TO HAVE DELLINQUENT SOLID WASTE COLLECTION AND DISPOSAL SERVICE CHARGES COLLECTED ON TAX ROLL JUNE 25, 2013 PAGE2 ANALYSIS OF ISSUES: The attached Ordinance has been prepared in accordance with the requirements in Health and Safety Code Sections 5473 et seq; and sets forth the procedures for collecting delinquent accounts for solid waste collection and disposal services via the County's property tax roll. At the end of each fiscal year, the City Clerk would prepare and file with the City Council a report containing a description of each parcel of real property receiving solid waste collection and disposal services, and the amount of delinquent charges for each parcel owing as of the end of the fiscal year. Upon filing of the report the City Clerk will publish notice of the report filing and a public hearing date and time, pursuant to Government Code Section 6066 and Health and Safety Code Section 5473.1. Notification by mail will also be provided as required by law. Council action, if any, will be taken annually by resolution. It should be noted that because of time constraints imposed by the County Tax Collector, the franchisee will not be able to utilize this collection procedure for the current fiscal year. Notwithstanding, the franchisee has requested that the City establish the legal framework to allow use of the procedure in the future. ALTERNATIVES: The following alternatives are provided for the Council's consideration: • Introduce the Ordinance to have delinquent solid waste collection and disposal service charges collected on tax roll; • Do not introduce Ordinance to have delinquent solid waste collection and disposal service charges collected on tax roll; • Provide direction to staff. ADVANTAGES: Individual property owners will be held responsible for the payment of all solid waste collection and disposal services provided. DISADVANTAGES: None. ENVIRONMENTAL REVIEW: No environmental review is required for this item. PUBLIC NOTIFICATION AND COMMENTS: The Agenda was posted in front of City Hall on Thursday, June 20, 2013. The Agenda and staff report were posted on the City's website on Friday, June 21, 2013. No public comments were received. Item 11.a. - Page 2 ORDINANCE NO. __ AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF ARROYO GRANDE ELECTING TO HAVE DELINQUENT SOLID WASTE COLLECTION AND DISPOSAL SERVICE CHARGES COLLECTED ON THE TAX ROLL WHEREAS, Arroyo Grande Municipal Code Section 8.32.030 requires that all premises within the City must use the City's solid waste collection and disposal service; and WHEREAS, the City Council finds that the timely and full payment of charges for solid. waste collection and disposal services is critical for the successful operation of the City's solid waste franchise; and WHEREAS, the City has experienced numerous circumstances in which residents fail to pay charges for solid waste collection and disposal services causing significant hardship to the City and the City's solid waste collection and disposal Franchisee; and WHEREAS, the City recognizes that there are certain remedies provided by State law to collect delinquent charges for solid waste collection and disposal services, including, but not limited to, collection of such delinquent charges on the real property tax roll; and WHEREAS, the City finds that it is in the best interest of the community to require property owners to be held responsible for the payment of all solid waste collection and disposal services provided; and WHEREAS, by this Ordinance and in addition to all other remedies provided by law, the City Council intends to establish a mechanism to ensure payment of all delinquent solid waste collection and disposal charges. NOW, THEREFORE BE IT ORDAINED by the City Council of the City of Arroyo Grande as follows: Section 1. Recitals. The above recitals are true and correct and are incorporated herein by this reference. Section2. Delinquent Charges. It is hereby found and determined that it is in the public interest that the City's solid waste collection and disposal charges lawfully assessed by the authorized Franchisee for the City, which become delinquent shall henceforth be collected on the tax roll pursuant to the procedures set forth in Health and Safety Code Sections 5473 et seq. Section 3. Collection on Tax Roll. The City hereby elects to, by resolution, have solid waste collection and disposal charges which are delinquent at the end of any fiscal Item 11.a. - Page 3 ORDINANCE NO. PAGE2 year, collected on the tax roll in the same manner, and by the same persons, and at the same time as, general real property taxes. Section 4. Procedures. The City Clerk is hereby authorized and directed at the end of each fiscal year to prepare and file with the City Council a report containing a description of each parcel of real property receiving solid waste collection and disposal services and the amount of delinquent charges for each parcel owing as of the end of the fiscal year, computed in conformity with any charges prescribed by resolution of this City Council. Upon filing of said report the City Clerk shall also cause notice of the filing of said report and of a time and place of hearing thereon to be published pursuant to Government Code Section 6066 and Health and Safety Code Section 5473.1. Section 5. Severability. If any section, subsection, subdivision, paragraph, sentence, or clause of this Ordinance or any part thereof is for any reason held to be unlawful, such decision shall not affect the validity of the remaining portion of this Ordinance or any part thereof. The City Council hereby declares that it would have passed each section, subsection, subdivision, paragraph, sentence, or clause thereof, irrespective of the fact that any one or more section, subsection, subdivision, paragraph, sentence, or clause be declared unconstitutional. Section 6. Ordinance Summary. A summary of this Ordinance shall be published in a newspaper published and circulated in the City of Arroyo Grande at least five (5) days prior to the City Council meeting at which the proposed Ordinance is to be adopted. A certified copy of the full text of the proposed Ordinance shall be posted in the office of the City Clerk. Within fifteen (15) days after adoption of the Ordinance, the summary with the names of those City Council Members voting for and against the Ordinance shall be published again, and the City Clerk shall post a certified copy of the full text of such adopted Ordinance. Section 7. Effective Date. This Ordinance shall take effect thirty (30) days after its adoption. Item 11.a. - Page 4 ORDINANCE NO. PAGE3 On motion by Council Member ___ , seconded by Council Member ___ , and by the following roll call vote to wit: AYES: NOES: ABSENT: the foregoing Ordinance was adopted this __ day of ___ , 2013. Item 11.a. - Page 5 ORDINANCE NO. PAGE4 TONY FERRARA, MAYOR ATTEST: KELLY WETMORE, CITY CLERK APPROVED AS TO CONTENT: STEVEN ADAMS, CITY MANAGER APPROVED AS TO FORM: TIMOTHY J. CARMEL, CITY ATTORNEY j Item 11.a. - Page 6