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Council directs staff to remove rate-publication requirement for commercial haulers from code
Summary
After a staff report and discussion with council and haulers, Oviedo councilmembers directed staff to remove a code provision that would require private commercial waste collectors to submit proprietary rate sheets to the city; staff will prepare an ordinance amendment and amend existing franchise agreements as needed.
The Oviedo City Council directed staff on Monday to prepare an ordinance deleting Code Section 38-99 (and the corresponding contract provision) that would have required commercial solid-waste franchisees to submit their rate schedules to the city for public inspection.
Staff said the provision has existed in the city’s code and in franchise agreements for some time but that franchisees, notably Waste Management, objected to submitting rate sheets on the grounds the information was proprietary. Staff noted the city already receives monthly gross-revenue calculations from haulers (on which the city collects a 9% franchise fee) and that haulers are required to provide an annual audit; the council heard that the monthly reports and the audit provide the verification needed for fee collection.
Council members expressed concern that publishing a standard rate sheet could create confusion because commercial customer billing is highly customized by service type (wet waste, construction debris, differing container sizes and schedules) and that a published schedule could mislead customers. One council member said requiring the city to publish complex, variable rate information “sets these people up for failure and sets up residents and small business owners for disappointment.”
Council members gave staff direction to draft an ordinance removing the city’s rate-publication requirement and to return amendments to the six agreements already executed so they reflect the revised language; staff noted the six franchisees who had complied will need contract amendments.
No formal vote was required; council direction was to pursue the code change and amend the executed franchise agreements.
