garbage collection would remain in the alley, would still be required but the funding required would be much less.

Administration believes that Option 2 is the preferred service delivery method.

Risk Analysis:

Option 1:

There is a risk that the noted issues surrounding alley collection will result in a health and safety issue for the collector which may result in a refusal to collect if no funding is provided to maintain the alleys. Such a refusal will cause delays in service and could result in compensation sought by the contractor. To mitigate these risks significant financial investment would be required for upgraded repairs and maintenance on a regular and ongoing basis. However, it should also be noted that while some of the challenges associated with alley collection could potentially be alleviated by increased spending aimed at addressing some of the current issues, other factors (such as dimensions, utilities vehicle blockages, encroachments, etc.) are inherent to an alley collection model and would therefore continue to pose challenges.

Option 2:

There is a significant risk of public disapproval for those affected by a change in collection. This could be partially mitigated by obtaining public input prior to any changes and addressing concerns wherever possible.

Risks and mitigation measures identified in Option 1 would remain, although at a lesser amount, for the 40 blocks of alleys in which garbage collection would need to remain.

Financial Matters:

Option 1:

Should there be a refusal to collect due to safety issues, there could be a financial implication in order to rectify the concerns and reinstate collection. It is difficult to estimate this amount, as there are many variables such as: degree of repair/clean up needed; damage claims by the contractor; cost to have the service completed by another entity; etc.

The cost to repair and maintain alleys is difficult to quantify precisely as an in-depth study of the alleys has not been conducted. Currently approximately 70% of our alley system requires major rehabilitation. Based on information known at this time,