File #: 12283   
Type: Discussion Status: Passed
File created: 5/30/2025 Department: Public Works-Solid Waste Management
On agenda: 6/10/2025 Final action: 6/10/2025
Subject: Public Hearing for the Collection of Delinquent Solid Waste Handling Fees
Attachments: 1. ATT-PW-Waste 061025 Delinquent Hauler Liens 2025 Tax Year, 2. ATT-PW WASTE-061025-Delinquent Handling Service Fees Presentation, 3. Item #146 Executed BAI

REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS

OF SAN BERNARDINO COUNTY

AND RECORD OF ACTION

 

                                          June 10, 2025

 

FROM

NOEL CASTILLO, Director, Department of Public Works - Solid Waste Management

         

SUBJECT                      

Title                     

Public Hearing for the Collection of Delinquent Solid Waste Handling Fees

End

 

RECOMMENDATION(S)

Recommendation

1.                     Conduct a Public Hearing regarding placement of franchise hauler identified delinquent solid waste handling service fees on the 2025-26 property tax roll.

2.                     Adopt the report of delinquent fees on file with the Clerk of the Board of Supervisors.

3.                     Authorize the Director of the Department of Public Works to amend the report of delinquent fees to remove those accounts that are paid in full, or adjust the amounts owed due to the revision of the penalties and the fees and/or partial payment of the delinquent charges, prior to the report being submitted to the Auditor-Controller/Treasurer/Tax Collector for placement on the 2025-26 property tax roll and to the Assessor-Recorder-County Clerk for the recording of liens against the parcels.

(Presenter: Noel Castillo, Director, 387-7906)

Body

 

COUNTY AND CHIEF EXECUTIVE OFFICER GOALS & OBJECTIVES

Operate in a Fiscally-Responsible and Business-Like Manner.

 

FINANCIAL IMPACT

Approval of this item will not result in the use of Discretionary General Funding (Net County Cost) as the Department of Public Works - Solid Waste Management Division (SWMD) is financed by fee revenue. SWMD establishes fees that are charged to the public and other agencies for utilization of the County Waste Disposal System. The franchise haulers have reported an estimated 6,614 delinquent accounts, totaling approximately $2,689,346.02 in unpaid service charges and related lien processing fees, for proposed placement on the 2025-26 property tax roll. As authorized by the San Bernardino County Code section 46.0506 (County Code), SWMD charges a penalty fee of 10% of the unpaid service charges, which is included in the delinquent accounts total, for performing this task on behalf of the franchise haulers.

 

BACKGROUND INFORMATION

On April 6, 2004 (Item No. 21), the Board of Supervisors (Board) approved uniform handling services in the unincorporated areas of Upland, Colton, Rialto, Muscoy, Oak Glen, Montclair, Chino, Fontana, Devore, Bloomington, San Bernardino, Redlands and a portion of the mountain unincorporated areas of Crestline, Lake Arrowhead, Grass Valley, Arrowbear, Running Springs, Smiley Park, Sky Forest, Blue Jay, Grass Valley, Twin Peaks, Valley of Enchantment, Crest Forest, Cedar Pines, Forest Falls, Mountain Home Village, and Angeles Oaks, requiring all improved residential properties to subscribe to and pay for mandatory trash collection service.

 

As a result of Senate Bill 1383, uniform handling services were approved on December 13, 2022 (Item No. 91) and on November 14, 2023 (Item No.100) for all franchise areas that didn’t qualify for a state approved low-population waiver. Property owners in uniform handling areas have the option of obtaining an approved self-haul exemption from trash and recycling collection service by meeting the criteria of the program. Empire Disposal and Mountain Disposal Company, both subsidiaries of Burrtec Waste Industries, Inc. (Burrtec), also offer a fee waiver program for residents whose homes are vacant or have infrequent use in certain franchise areas as approved by the Board on October 8, 2019 (Item No. 60). CR&R Incorporated (CR &R) and Best Way Disposal Company, Inc/DBA  Advance Disposal Company (Advance Disposal) also offer similar vacancy programs on a case-by-case basis.

 

In areas subject to uniform handling services, the County Code and franchise agreements prohibit the hauler from discontinuing service for non-payment of monthly service fees. County Code requires that accounts be considered delinquent if unpaid for 90 days after the invoice is mailed. In order to compensate the franchise hauler for services provided, the County Code states the delinquent fees, related penalties, interest, and costs of collection, shall be considered a debt owed to the County that, pursuant to Health and Safety Code sections 5473 through 5473a, the County has elected to have collected through the County’s property tax roll at the same time as general taxes. The number of liens and the amount collected over the 12 previous years is summarized in the following table:

 

Budget Year

Liens Authorized

Liens Placed

Collected Amount*

 

Number

Amount

Number

Amount

 

2024-25

6,876

$2,437,618

3,470

$1,468,506                                                     

$1,363,095

2023-24

6,067

$1,854,398

2,993

$1,090,050

$1,090,152

2022-23

5,053

$1,569,087

2,599

$ 954,652

$ 982,073

2021-22

5,328

$1,641,401

2,872

$1,034,059

$1,128,930

2020-21

5,973

$1,824,762

3,190

$1,109,828

$1,215,186

2019-20

5,721

$1,705,348

3,591

$1,196,598

$1,276,119

2018-19

5,093

$1,449,351

3,419

$1,078,485

$1,169,127

2017-18

4,870

$1,393,490

3,058

$ 998,920

$1,096,076

2016-17

4,581

$1,380,976

2,882

$ 981,503

$1,067,969

2015-16

5,329

$1,445,267

3,443

$1,070,236

$1,152,483

2014-15

5,160

$1,370,396

3,457

$1,029,989

$1,110,282

2013-14

5,490

$1,417,829

3,600

$1,034,817

$1,122,082

*Includes delinquent charges, administrative costs, and interest and penalties.

 

The final number of liens to be placed on the tax roll each year is less than the number authorized because customers are afforded the opportunity to pay, in full or in part, the delinquent charges prior to the recordation of a lien against the parcel. Customers that have an outstanding balance are notified by their hauler through the regular billing process. In addition, prior to the Public Hearing on June 10, 2025, the haulers mailed notices by May 23, 2025, to the customers notifying them of their delinquent charges and of the possibility that a lien may be placed on their property if payment is not received. The letter provided customers with the date, time and location of this public hearing and a final date by which payment must be received in order to avoid additional fees and having a lien recorded against their property.

For the 2025-26 tax roll, there are an estimated 6,614 delinquent accounts for service charges and related lien processing fees totaling $2,689,346.02 in the following County Franchise Areas (CFAs):

 

CFA

Number of Liens

Delinquent Amount including fees

Location

Franchise Hauler

1

82

$34,430.28

San Antonio Heights, Mt. Baldy

Burrtec

2

200

$59,075.04

Unincorporated Montclair, Upland

Burrtec

5

782

$361,409.38

Unincorporated West Fontana

Burrtec

6

887

$360,300.84

Bloomington

Burrtec

8

363

$127,069.06

Muscoy, Unincorporated San Bernardino

Burrtec

9

81

$38,087.10

Unincorporated North Rialto

Burrtec

10

662

$256,915.69

Del Rosa, Devore

Jack’s Disposal

11

31

$10,663.87

Unincorporated Loma Linda

Burrtec

12

156

$71,362.65

Mentone, Oak Glen, Angelus Oaks, Mountain Home Village

Empire Disposal

16

2,173

$750,848.65

Lake Arrowhead, Crestline, Running Springs

Mountain Disposal

18

114

$68,231.45

Spring Valley Lake, Hesperia, Apple Valley

Advance Disposal

19

144

$49,316.22

Victorville, Adelanto, Town of Apple Valley, Landers and Lucerne

Burrtec

20

415

$246,393.60

Phelan and Pinon Hills

CR&R

23

304

$119,534.49

Barstow, Lenwood-Hinkley, and Kramer Junction

Burrtec

25

220

$135,707.70

Morongo Valley, Unincorporated 29 Palms and Yucca Valley, Joshua Tree

Burrtec Waste & Recycling Services

Total

6,614

$2,689,346.02

 

 

 

Section 5473 et seq. of the California Health and Safety Code sets forth the procedures for collecting such delinquent fees through the tax roll. The statute requires the scheduling of a public hearing to accept the list of delinquent charges as a debt owed to the County and that all affected property owners be notified of the hearing at least 14 days prior to the scheduled date of the hearing (as outlined above). The statute also requires the Clerk of the Board to publish a notice in local newspapers.

Upon submittal to the Auditor-Controller/Treasurer/Tax Collector on or before August 10th of each year, the delinquent accounts will be placed on the tax rolls for collection and liens will be recorded against the applicable parcels. The recorded liens will provide notice to subsequent purchasers and mortgagees of the outstanding delinquencies. Collecting delinquent hauler service charges through the tax rolls is a standard practice for local jurisdictions such as the cities of Fontana, Yucaipa, Rialto, Highland, and many others that provide similar uniform handling services. The County first placed delinquent hauler liens on the 2005 tax roll and has continued this practice in each subsequent year.

The placement and collection of delinquent hauler fees on the property tax role supports the goals and objectives of operating in a fiscally-responsible and business-like manner by taking all necessary steps to ensure that the waste haulers are reimbursed for the waste handling services provided to the property owners within uniform handling areas.

 

PROCUREMENT

Not applicable.

 

REVIEW BY OTHERS

This item has been reviewed by County Counsel (Jolena Grider, Deputy County Counsel, 387-5455) on May 7, 2025; Finance (Kathleen Gonzalez, Administrative Analyst, 387-5412) on May 20 2025; and County Finance and Administration (Paloma Hernandez-Barker, Deputy Executive Officer, 387-5423) on May 23, 2025.

Recommendation

Body