Rate Studies – Solid Waste Services Analysis, Pensacola, Florida

city of pensacola sanitation
SCS’s recommendations to the Pensacola City Commission are designed to reduce costs.

The city of Pensacola provided refuse collection to residential and multi-family residences with City crews and equipment. Continued increases in labor, fuel, maintenance and internal charges, however, have increased the City’s operational expenses.

In light of these issues, Pensacola engaged the services of SCS Engineers to evaluate current rates and service levels to meet projected operational expenses. A rate model was developed, which enabled SCS to make projections of the financial performance of refuse collection for the upcoming five-year planning period (2007-2011) and model various user-rate structures to help plan for future solid waste fleet replacements.

SCS also made recommendations to the City Commission for cost savings and revenue enhancements as part of its overall business plan for the department. As a result, SCS recommended revised solid waste rates for residential customers.

The knowledge and guidance you gave city staff enabled us to present a sound rate recommendation to City Council. In fact, the study report and the presentation you provided to City Council was convincing enough for Council to adopt a rate increase and to implement an equipment surcharge that will provide long-term funding for the replacement of sanitation collection equipment. Jerry Moore, Director of Sanitation Services and Fleet Management, Pensacola, Florida