Hybrid Service Delivery Model NC SWANA Fall Conference October 31, 2017

Agenda Solid Waste Services (SWS) by the Numbers History Residential Collection Services Other Contracted Services Benefits and Challenges Strategies for Success Questions

SWS by the Numbers Budget $57.2M Revenues $13.4M FTE Positions 314 Provides services to over 800K residents Residential services include curbside and multifamily Special Services include: street sweeping, litter picking, CBD cleaning & maint, CATS support, SBG, dead animal, public receptacle collection Accomplishments: Clean City, dedicated workforce, high service delivery standard, leader in benchmarking costs & minimizing complaints, use of technology in ops (AVL, RFID, BigBelly, RouteSmart static = regular routes; dynamic = bulky) $39 Annual SW Fee, disposal tax, OCC, special events, SBG Budget $57.2M Revenues $13.4M FTE Positions 314

History 1994 Curbside rollout service 1995 Privatization 1998 – 2010 Competition Optimization 2010 - present Benchmarking Re-organization Single-stream recycling

Curbside Collection Services 124+ Daily Routes City Crews – Weekly Garbage Yard waste Bulky waste Waste Management – Bi-weekly Recycling 217K Units Garbage – primarily automated (57+3 routes) YW – unlimited at the curb (34 routes) Bulky – varies – unlimited scheduled service Recycling – primarily automated (19 routes) Recycling Contract – $6.4M

Multi-family Collection Services Republic Services Dumpster/compactor Recycling station Bulky waste Live Christmas trees 1K Properties 126K Units M/F Contract - $5M+ and growing 12K units in construction and same in development Complex/property provides container City provides collection and disposal

Other Contracted Services 390K Tons Interlocal agreement for disposal Citywide contracts – fuel, temp agency, uniforms Truck lubrications and tires Rollout carts 452K Carts In total approx ½ SW budget is for contracted services – either Citywide contracts (fuel provider, temp agency, uniforms) Disposal - $10.9M Carts - $1.6M ($1.2 for maintenance/delivery + $450K purchases) Fleet services are provided mainly in-house with City Fleet Lubes - $160K Tires - $750K

Benefits of Hybrid Model Public/private partnership Risk mitigation Access to additional resources Benchmarking and learning opportunities Balances advocates of privatization & City provided services Good service example that can be provided by both the public and private sector Risk – spreading and mitigating (not all eggs in one basket) Not limited to equipment and employees from only the City or the private sector for emergencies Share knowledge and compare costs & customer service measures

Challenges of Hybrid Model Integrating service models Delivering Seamless Customer Service Monitoring Ultimate accountability Integrating service models – requires good communication and coordination –daily route collection status, technology (routing, AVLs, RFIDs, CRM), holiday schedule Customer service - matching/aligning service delivery expectations – absorb cost versus charge cost Monitoring – overhead costs – meeting contractual obligations, tracking liquidated damages, fines; follow up on missed collections, customer service in field City/private hauler – all = City provided services in the eyes of the resident/customers

Strategies for Success Communication Dynamic working relationships Accountability Flexibility Transition planning History Communication is key – frequent updates – route status, spills, equipment down, extended disposal facility hours Dynamic working relationships – ability to respond to frequent changes – inclement weather Accountability through liquidated damages/fines Flexibility – additional work clause and pricing Transition planning – seamless transition from City service to private hauler and vice versa or from one contract to another History – use lessons learned of what to do and not do to continue to make things better

Questions

Ellen Price Deputy Director – Administration City of Charlotte Solid Waste Services Department eprice@charlottenc.gov 704-353-1183