What does it actually cost to provide residents with a separate chemical collection or to pick up yard trimmings weekly?  Determining that cost is the purpose of the annual Cost of Service Analysis.  The cost of each service provided includes departmental administrative overhead, transfers to City's general fund, loss fund and technology fund for their support services, loan reimbursements, and actual line item costs associated with each service.  Revenues are applied to the appropriate function. 

The Cost of Service Analysis is used to evaluate the appropriate rate structure; however, the rate charged may not be the same as the cost of service if there is a sufficient fund balance.  The City uses what is referred to as a "pay-as-you-throw" rate structure which charges more for a larger refuse container.  In 2009-10, the rate for a 95-gallon contrainer was $15.10 and the rate for a 68-gallon container was $11.25.