Title
Approval of the Solid Waste Collection Agreement Between LeMay Enterprises and the City of Olympia regarding Annexation Transition
Recommended Action
Committee Recommendation:
Not referred to a committee.
City Manager Recommendation:
Move to approve and authorize the City Manager to sign the the Solid Waste Collection Agreement with LeMay Enterprises regarding annexation transition.
Report
Issue:
Whether to accept a 10-year period for LeMay Enterprises (LeMay) to continue providing Municipal Solid Waste (MSW) collection from residential and commercial customers within annexed areas before transitioning responsibility to the City.
Staff Contact:
Dan Daniels, Director of Waste ReSources, Public Works Department, 360.753.8780
Darren Nienaber, Deputy City Attorney, 360.753.8044
Presenter(s):
Dan Daniels, Director of Waste ReSources, Public Works Department, 360.753.8780
Background and Analysis:
Collecting and hauling MSW within unincorporated parts of Thurston County are regulated and certificated through the Washington Utilities and Transportation Commission (WUTC). A certificate (called a G-permit) identifies a specified area within the County that allows exclusive authority to a private collection company to collect and transport MSW within that area. LeMay currently holds a G-permit to collect within the City's newly annexed areas because they are the MSW provider for Thurston County.
When Olympia annexes new areas, the City is required to notify the WUTC and LeMay. Under state regulations, the City must grant LeMay a transition period or franchise agreement for collecting MSW in the annexed territory for a term of no less than 7 years. The transition period is intended to allow LeMay time to recover any damages they may suffer from a loss of business.
Due to a Washington Supreme Court case, the 7-year transition period outlined by the statute is only a minimum and a City could still be required to compensate a G-perm...
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