05-18-04 Item 2cCITY OF SOUTH MIAMI
OFFICE OF THE CITY MANAGER
INTER - OFFICE MEMORANDUM
To: Honorable Mayor, Vice Mayor Date: May 18, 2004
and City Commission
P
From: Maria V. Davis Subject: Agenda Item #
City Manager Commission Meeting
05/18/04
Re: Managers Report
Attached is a brief report showing the recurring annual savings the City will enjoy as a result of
implementing the new automated garbage system. Whereas the old system required six employees
to adequately service the residential garbage routes, the new system requires only two. You will
see on the report the ordinary and customary expenses as well as the salaries for the four re-
assigned employees which account for the annually recurring savings.
COST SAVING'S FROM IMPLEMENTATION OF THE NEW AUTOMATED
GARBAGE PICKUP METHOD
Annual wages for 4 employees 91,004.00
FICA 6,961.81
Health Insurance (325.92 per month for each employee) 15,644.16
Life Insurance 262.09
Dental Insurance 545.28
Workers comp coverage 25,490.22
Pension 6,370.28
Annual Recurring Savings 146,277.84
I did not deduct the annual payment on the new garbage truck because we would have had to
replace one garbage truck if we stayed with the old method of pick up.
Annual payment for each truck is $33,152.