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CONTRACT K-1415-81: A CONTRACT BY AND BETWEEN THE NORMAN MUNICIPAL AUTHORITY AND THE BOARD OF REGENTS OF THE UNIVERSITY OF OKLAHOMA TO PROVIDE SOLID WASTE DISPOSAL SERVICES FOR THE UNIVERSITY OF OKLAHOMA THROUGH JUNE 30, 2017.
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BACKGROUND: The University of Oklahoma has contracted with the City for their disposal of municipal solid waste at our Transfer Station since January 1996. Over the past few years, the average annual tonnage brought to the Transfer Station has been about 3,960 tons. This amount is slightly higher than previous averages. As such, the waste stream provided by the University is less than 5% of the waste stream collected at the Transfer Station. The current contract between the University and the Norman Municipal Authority has expired. The current contracted rate for disposal is $39 per ton. Similar to previous contracts, the proposed contract provides for an increase in rates each year for the term of the contract.
DISCUSSION: The new disposal agreement is for two and one-half years with FYE 2015 (January 5, 2015 through June 30, 2015) rate of $40.10 per ton, for FYE 2016 (July 1, 2015 through June 30, 2016) rate of $41.22 per ton and FYE 2017 (July 1, 2016 through June 30, 2017) rate of $42.37 per ton. This revenue will be received into account 033-0000-344.16-67 (Trash/Transfer Charges OU).
RECOMMENDATION: Staff recommends approval of the new agreement with the University of Oklahoma through June 30, 2017.