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A Crowe Horwath. <br /> Crowe Horwath LLP <br /> InkpeSem Member Crowe Horwmh International <br /> 575 Market Street,Suite 3300 <br /> San Francisco,California 94105-5829 <br /> Tel 415.576.1100 <br /> Fax 415.576.1110 <br /> www.crowehorwath.com <br /> August 7, 2014 <br /> Mr. Steven Bocian <br /> Assistant City Manager <br /> City of Pleasanton <br /> 123 Main Street <br /> Pleasanton, CA 94566 <br /> Subject: 2015 Rate Review of Pleasanton Garbage Service, Inc. <br /> Thank you for considering Crowe Horwath LLP (Crowe) to review a 2015 rate <br /> application submitted by Pleasanton Garbage Service, Inc. (PGS) to the City of <br /> Pleasanton (City). City rate setting is currently guided by the City's Refuse Collection <br /> Agreement (Franchise Agreement), specifically Section 18 regarding Collection Rates <br /> and Billing. We are familiar with the City and PGS, having completed a prior rate review <br /> in 2012 and 2014, and a Diversion and Recycling Tracking Study for the City in 2011. <br /> Crowe professionals have an extensive history of assisting Califomia cities and <br /> counties with solid waste rate reviews. Example clients, for which we recently <br /> conducted rate reviews, include the City of Concord, City of Martinez, City of Vallejo, <br /> Contra Costa County, El Dorado County, Regional Waste Management Authority <br /> (RWMA, including Sutter and Yuba counties), and South Lake Tahoe Basin Waste <br /> Management Authority. We are familiar with the financial and operating practices of <br /> both small privately-held haulers as well as large publicly-held companies. <br /> This letter proposal is organized into three sections as follows: <br /> A. Background <br /> B. Project Workplan <br /> C. Project Schedule and Costs. <br /> Firm qualifications and personnel bios are provided in Attachments A and B. <br /> Attachment C is our cost proposal. <br /> A. Background <br /> PGS has an exclusive franchise agreement with the City to collect, transport, and <br /> dispose of refuse produced in the City. In 1990, the City amended the Franchise <br /> Agreement to include a residential recycling program, including the addition of the <br /> Materials Recovery Facility (MRF) at the Pleasanton Transfer Station (located at Busch <br />