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Finance Officer Lund replied that the annual fee has been increasing $300 per year for the last few years and T.C. Field & Company is now doing more work for the City. She noted that if the Council were uncomfortable with the increase, T.C. Field & Company would agree with the $3,500 fee. Councilmember Hendriksen stated that if T.C. Field & Company were willing to agree with the $3,500, then he would prefer to not approve the increase because the City approved a nine- percent increase in 2000. In the future, he would recommend that increases be consistent with the Government's cost of living increase. Motion by Mayor Gamec, seconded by Councilmember Zimmerman, to recommend that the City Council renew the agreement with T.C. Fields as agent of record with the annual fee staying at $3,500. Further discussion: Mayor Gamec requested that staff work with T.C. Fields & Company to put together a standard rate increase program, which would be closer to the cost of living increase. Motion carried. Voting Yes: Mayor Gamec, Councilmembers Zimmerman, Anderson, Hendriksen, and Kurak. Voting No: None. 2) Residential Curbside Recycling Contract City Administrator Norman stated that in October 1997, the City solicited proposals for the residential curbside recycling program. The request for proposals was advertised in the Anoka County Shopper for one week. The City received one response from ACE Solid Waste, Inc. The City entered into a three-year contact with a one-year renewal option with ACE Solid Waste on November 25, 1997. The current contract with ACE Solid Waste, Inc. is set to expire on December 31, 2001. It has been the City's past practice to solicit proposals for the residential curbside recycling service that the City of Ramsey provides to residents. State Statute does not require the City to obtain competitive proposals since it is a contracted service and not the purchase of "supplies, materials, equipment, or rental, thereof, or the construction, alteration, repair or maintenance of real or personal property." The City has obtained proposals in the past to determine if they are receiving a comparable price for the contracted services. Staff obtained a market study that was completed by Anoka County Integrated Waste. The study shows what surrounding cities are being charged for residential curbside services. It was noted that the market study does not reflect the number of residents and services that are provided for the listed price. However, it appeared that the City has been receiving a competitive price from ACE Solid Waste, Inc. for the past several years. ACE Solid Waste, Inc. has been providing outstanding service to the City of Ramsey for many years. Mike Berkopec, from ACE Solid Waste, submitted a letter to the Mayor and City Councilmembers that outlines ACE's desire to continue servicing the City of Ramsey. ACE would like to enter into another recycling contract with the City at a fixed rate of $1.78 per resident; this is what the City is currently paying ACE. ACE has not only provided great curbside and recycling day service (twice a year), they also assisted staff in a pilot project this summer that was conducted in Central Park. In an attempt for staff to start a recycling program at Central Park, ACE donated six recycling containers and bi-weekly recycling pick-up at the park. Ramsey residents utilized the recycling containers quite frequently and, therefore, staff considers the pilot program to be a success. The Finance Committee may Finance Committee/October 23, 2001 Page 2 of 3