The consumer price index for the region that Lathrop uses when figuring out rate increases for its refuse disposal contract has risen so sharply in the last 12 months that it has exceeded the cap.
So, when the Lathrop City Council meets on Monday, May 8 to consider raising residential garbage collection rates according to the contract with Republic Services, it will more than likely result in a 4 percent increase across the board for each customer class.
The Lathrop City Council meets on the second Monday of each month inside of the council chambers at Lathrop City Hall – located at 390 Towne Centre Drive – at 7 p.m.
According to the staff report prepared for the council, the consumer price index for the San Francisco-Oakland-San Jose Area has risen by 5.3 percent in the last year – exceeding the city’s cap of 4 percent – thanks to inflation spurred by the COVID-19 pandemic and the ensuing recovery.
If approved by the council, standard residential customers will see the monthly cost for a 30-gallon container rise from $37.17 to $38.66 while customers using a medium 60-gallon container will see the cost rise from $40.04 to $42.02. Customers using the largest 90-gallon containers will see their monthly bill rise from $45.46 to $47.28.
Seniors will see only a 3 percent increase to their existing bill thanks to an agreement in the contract that provides a 25 percent discount for senior citizens regardless of where they live.
Commercial garbage rates and the rates for mobile homes and trailer parks will also rise 4 percent for monthly service if approved by the council moving forward.
If the council approves the proposal on Monday, the new rates will go into effect on July 1, 2023 and will remain in place until the end of the fiscal year on June 30, 2024.
According to the contract that the city has with Republic Services – which superseded Lathrop Sunrise Sanitation – the company is allowed an annual rate adjustment of up to 4 percent based on the Consumer Price Index for the San Francisco-Oakland-San Jose Area, of which Lathrop is included. The council approved a five-year extension with the company in 2019 that will make the company the provider of sanitation services for the City of Lathrop through the end of the 2024 fiscal year.
As part of the city’s contract and ongoing relationship with Republic Services, the company pays the City of Lathrop a franchise fee of 7 percent of the gross revenue collected every month, and 3 percent of the gross revenue collected every month for recyclable items.
For additional information, or to obtain a copy of the agenda for the upcoming meeting, visit the City of Lathrop’s website at www.ci.lathrop.ca.us.
To contact Bulletin reporter Jason Campbell email jcampbell@mantecabulletin.com or call 209.249.3544.
