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CONTRACT K-1617-79: 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 FROM JULY 1, 2017, TO JUNE 30, 2020.
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BACKGROUND: The University of Oklahoma (OU) 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 solid waste brought to the Transfer Station by OU has been about 4,000 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 contracted rate for disposal is $42.37 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 term of this agreement shall be for three years, beginning July 1, 2017, and ending June 30, 2020. The cost to The University of Oklahoma is $43.56/ton for Fiscal Year Ending 2018 (July 1, 2017 through June 30, 2018), $44.78 for Fiscal Year Ending 2019 (July 1, 2018 through June 30, 2019) and $46.04 for Fiscal Year Ending 2020 (July 1, 2019 through June 30, 2020). This revenue will be received into the Sanitation Enterprise Fund, Sales/Fees/Trash/Transfer Charges - OU (account 033-0000-344.16-67).
RECOMMENDATION: Staff recommends approval of the new agreement with the University of Oklahoma July 1, 2017 through June 30, 2020.