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. has performed well over the past 20 years. She pointed out that Eugene is one of few cities with a licensing system for solid waste collection instead of it being a franchised, contracted, or municipal service. Ms. Utecht explained that the current system does not limit the number of licenses, with the result that the industry needs more enforcement because more haulers are competing for a fairly stable customer base. That decreases each collector's efficiency and results in higher rates. Multiple licenses allow a higher number of collection vehicles with increased wear on the City's streets. The proposed ordinance would limit the number of licenses to the number presently licensed and would eventually result in a reduction of the number of licenses to the point that it may be feasible to assign areas in a fair and equitable way. Responding to a question from Ms. Bascom, Ms. Utecht said a comparison of rates indicates that when collection systems are more consolidated, efficiency increases and collection rates go down. Replying to Mr. Boles's inquiry about provisions for haulers to trade customers, Ms. Utecht explained that certain technology is available to different haulers. Ms. Utecht anticipated 18 to 20 applicants for the proposed 20 available licenses and said additional licenses would be granted only with a show of need. She said she was unaware of any unserved areas in the city now. Ms. Utecht added that additional licenses could be approved, if there was an increase in the city's population, boundary changes, or another justifiable increase in the customer base. Denial of a license could be appealed to the ~ Hearings Official. Referring to a letter from Lane Garbage Apex Disposal, the difference between rates in Eugene and River Road. that the River Road area would not be regulated by the said representatives of Lane Garbage Apex Disposal are County staff on this issue. Mr. Holmer asked about Ms. Utecht explained City's ordinance. She working with Lane Ms. Utecht explained that the ordinance proposes adding a maximum to the present minimum rate structure. In response to a suggestion by Mr. Boles, Ms. Utecht said the Refuse and Recycling Board would be considering recycling as part of the rate structure. She commented that landfills and disposal costs are the responsibility of the County and the City's rate-setting is limited to collection costs. Ms. Utecht introduced Wally Swanson, Refuse and Recycling Board chair, who reported on the history of the board since its establishment by City Charter in the 1930s. He described the proposed ordinance as the product of efforts by the board, industry, and City staff and said it would provide needed stability and an opportunity for recycling. Ms. Utecht introduced John Hire, representing the Associated Eugene Area Recycling and Solid Waste Haulers. Mr. Hire said the industry is affected by pressure to recycle, new technology, and safety and health issues. He supported adoption of the proposed ordinance. e MINUTES--Eugene City Council February 8, 1989 Page 8