(a) The compensation payable to a collector for the second and subsequent years of the term of a franchise agreement shall be adjusted and increased on the first day of the second year of a franchise agreement and every one year anniversary thereafter (the “adjustment dates”). The increases of additional compensation shall, however, be subject to adjustments on each adjustment date, as set forth below.
(1) The collector shall advise the Town Commission and customer of the percent amount of increases pursuant to this section at least 30 days before the customer must remit the amount to the collector.
(2) Beginning with the first adjustment date thereafter (including any renewal terms, if any), the base compensation shall be adjusted annually and shall be equal to the base compensation for the immediately preceding year of the franchise multiplied by a fraction, the numerator of which is the index most recently reported as of such adjustment date, and the denominator of which is the index reported 12 months earlier. By way of example, if the franchise commences on May 1, 1990 and the second year begins on May 1, 1991, the numerator of the fraction referred to above shall be based on the most recent Consumer Price Index (CPI) available as of May 1, 1991, and the denominator of the fraction shall be the index as of May 1, 1990.
(A) For the purposes of this section and any franchise, “index” shall mean the index numbers of retail commodity prices designated “Consumer Price Index for All Urban Consumer U.S. City Average All Items” (1982-1984=100) prepared by the U.S. Department of Labor, Bureau of Labor Statistics. Any publication by either the U.S. Department of Labor or the U.S. Department of Commerce in which such index numbers are published shall be admissible in evidence in any legal or judicial proceeding involving a franchise without further proof of authenticity.
(B) In the event that the U.S. Department of Labor ceases to update the index, the adjustment of base compensation thereafter shall be according to the most closely comparable commodity index published by the U.S. Department of Labor; and if such is not determined by that Department, then the most closely comparable commodity index as determined by agreement of the collector and the town. In the absence of agreement, the index to be used shall be determined by arbitration in accordance with then existing rules of the American Arbitration Association in which three arbitrators shall hear the matter.
(b) In addition to the foregoing annual adjustment, the collector shall be entitled to an automatic increase in the fees or compensation sufficient to offset the amount of any fee, surcharge, duty, tax, or other charges of any nature imposed by the federal government, any agency thereof; the State of Florida, any agency thereof; or by any local governmental agency which is payable solely by reason of the nature of the operations conducted by the collector and any other sales or service taxes of general application to the operation of the landfill. The collector shall provide all facts, figures, calculations, and writings upon which the collector relied in computing any such increase to the town. After review of said facts, figures, calculations and writing, the Town Commission shall consider approval of the amount of any fee or compensation increase prior to imposition of any such increase in fees or compensation upon customers. Prior to imposing said fee, the collector shall give notice thereof to all customers.
(c) The collector shall provide for the disposal of all solid waste at the landfill. It is understood that Brevard County currently bills commercial and residential customers, but not roll-off container customers for disposal at the landfill. Should the county change its billing system as described such that additional costs are incurred by the Collector, the collector may be allowed to adjust rates in the manner provided in division (b) of this section. If after reasonable consideration by the Town Commission, approval is not given, the collector shall have the option to terminate its franchise agreement with respect to residential, commercial, institutional, or roll-off container customers, upon not less than 90 days notice given to the town following disapproval by the Town Commission.
(d) In the event the federal government, State of Florida, the county or any governing agency individually impose a fuel tax on vehicles of an additional ten cents ($.10) per gallon or more, the collector will have the right to pass on the tax to the customer upon application to the town for approval. If approval is not given, the collector shall have the option to terminate the franchise agreement upon 90 days notice with respect to residential, commercial, institutional or roll-off container customers.
(e) Should the Brevard County landfill have a catastrophe, relocate or close so as to cause the collector additional cost, these costs can be submitted with documentation to the town for approval of charges to be added to the customer's bills in order to offset the additional expense to collector. If after reasonable consideration by the Town Commission, approval is not given, the collector shall have the option to terminate its franchise agreement with respect to residential, commercial, institutional, or roll-off container customers, upon not less than 90 days notice given to the town following disapproval by the Town Commission.
(f) The collector may petition the town at any time for additional rate adjustments on the basis of unusual charges in the costs of operations. The town shall have the right, as a condition of any approval, to demand inspections by itself and/or an independent auditor of pertinent records that demonstrate the need for an adjustment to the rates. If such rate adjustments are not approved by the town, the collector shall have the option to terminate its franchise agreement with respect to residential, commercial, institutional, or roll-off customers, upon not less than 90 days notice given to the town following disapproval by the Town Commission.
(g) In the event excessive amounts of solid waste, debris, trash or refuse has accumulated by reason of any storm, freeze, natural disaster, severe disturbance, riot or other calamity, the collector shall, within five working days, submit a certified estimate to the Town Manager of additional payroll costs, equipment and disposal costs to remove and dispose of the excessive solid waste, debris or refuse. The collector shall submit such estimate for review and approval prior to performing this additional work. The Town Commissioners shall determine the validity of the collector's estimate and, if approved, the Town Manager shall furnish written approval to the collector before any bill may be submitted to the town for payment. However, consideration of this estimate shall not bind the town to use the collector to clean up the debris.
(h) The collector may petition the town for rate adjustments due to a change in charges for billing by the City of Melbourne. This shall not bind the town to approve same.