00-0215_CR&R INCORPORATED_Collection Agreement 1-41
MEMORANDUM
TO: Memo to File
FROM: Maria Guevara, Secretary
DATE: April 16, 2000
SUBJECT: CR&R Incorporated
All correspondence & relative information will be filed under the following file:
600.30 Exclusive Franchise Agreement 1996
SOLAG DISPOSAL COMPANY
Recycling/Composting/Refuse
SD
INTEGRATED LID WASTE
COLLECTION AGREEMENT
BETWEEN
THE CITY OF
SAN JUAN CAPISTRANO
AND
SOLAG DISPOSAL COMPANY,
INCORPORATED
TABLE OF CONTENTS
1. GRANT OF RESIDENTIAL, COMMERCIAL, T AN
TEMPORARY BIN/ROLLOFF EX L HI E . . . . . . . . . . 2
A. Notification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
B. Enforcement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2
2. DEFINITIONSq.. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
A. B93 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
B. Terry Hin/Rolloff 3
C. -City_Limits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
D. Contractor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
3. A AN E° WAIVER . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
4. FRANCHISE AREA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
A. Fr xShise_Area Defined . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
B. Anno-afion CovuredExisting Franchise . . . . . . . . . . . . . . . . . 4
5. TERM: A:.X A E, SLO V 5 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
6. SERVICES PR IDD BY CONTRACTOR . . . . . . . . . . . . . . . . . . . . . . . .
A. GenCral . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
B. Residential . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4
(1). Automated Container Service. . . . . . . . . . . . . . . . . 4
(2) 3 fuhic Yard Bin Service . . . . . . . . . . . . . . . . . . . 5
(3). DMMY I . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5
C. CommerciW-anA Industrial Services . . . . . . . . . . . . . . . . . . . . . . 5
(1) WcgklS� . . . . . . . . . . . . . . . . . . . . . . . . . . 6
(2) PreAudit . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
D. Temporary Bin/Rolloff„S,ery,des . . . . . . . . . . . . . . . . . . . . . . . . 6
E. Additional Seryices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6
F. Recycling Frogram . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
G. Collection on Holidays . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
I. 1djssed__Pick-yaps . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7
1. R Ord of_Noncollection . . . . . . . . . . . . . . . . . . . . . . . . . . 7
J. S nging Prevention/Discour t.int. . . . . . . . . . . . . . . . . . . . 8
K. Special Wastes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8
7. SERVICE EXCEPTIONS; HAZARDOUS ATE NOTIFICATIONS . . . . . . . 8
8. MMMUM STANDARDSR EQUIPMENT AVIA TENAN . . . . . . . 8
i
9e N 1 JL r PERSONNEL e e . • . . . . . e e . e . e • e . . . . . e . e . e . . e . 10
10. SYSTEM AND SERVICES REVIEW . . . . . . . e e . . . . . . . . . e . . e e . . . . . . 11
11. -COMPENSATION . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
12
A. Contractor Rates . . . . . . . . e . . . . . . . . . . . . . . . . . . . . . . . . . 12
B. i n Adjustment f R . . . . . . . . . . . . . . . . . . . 12
C. Notice of Rate In r . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12
D. Resolution of Displ&s Regarding A nt . . . . . . . . . 13
E. Billing n Payment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
F. DeiinQue t. esou.nts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 13
Ge R . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 14
H. Quad Cities Li &, gp, Provision. . . . . . . . . . . . . . . . . . . . . . . . . 14
12. FRANCHISE FEES . . . . . . . . . . . . . . . . . . . . . . . . . e . . . . . . . . . . . . . . . 14
13. FAL' EEUII PERFORMANCE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
14. INSURANCE COVERAGE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15
A. Minimum Smp"f,.Insurance . . . . . e . . . . . . . . . . . . . . . . . . . 15
(1) General Liability. . . . . . . . . . . . . . . . . . . . . . . . 16
(2) Automotive Ili ili . . . . . . . . . . . . . . . . . . . . . 16
(3) Worker's Carom nsation. . . . . . . . . . . . . . . . . . . 16
E. Minimum Limits of Insurances . . . . . . . . . . . . . . . . . . . . . . . . . 16
C. Modification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17
D. Deductibles and Self-Insured Retention . . . . . . . . . . e . . . . . . . 17
E. Other Insurance Provisioner . . . . . . . . . . . . . . . . . . . . . . . . . . 17
F. AcceMbility of Insurers . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
G. Verification of Coverage . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
H. Subcontractors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 18
15. F ISI E 'I' RRAELE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
16. FRANCHISE TRANSFER: FEES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
17. IMPOSITION OF DAMAGES , R„TERMINATIO N . . . . . . . . . . . . . . . . . . . 20
18. ADMINISTRATIVE HEARING PR ED . . . . . . . . . . . . . . . . . . . . . 23
19. CITY'S ADDITIONAL REMEDIES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 24
20. RIGHTS OF CITY TO PERFORM DURING EMERGENCY . . . . . . . . . . . . . 25
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21. PMACY . . . . . . . • . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 26
22. REPORTS D R ATI . . . . . . . . . . . . . . . . . . . . . . . 26
A. Monthly aLad Quarter1 reports. . . . . . . . . . . . . . . . . . . . . . . . 2p6
R. Apr al sports . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2g
C. Adversp, Information. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 28
D. TonnesRec . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
E. Failure_to,_Repo . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
23. MBLIC ACCESSTo CONTRACTOR . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
A. Offs c -H-Qurs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
B. Servicc Complailits . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 29
C. Govermm nt Liaison Person . . . . . . . . . . . . . . . . . . . . . . . . . . 30
24. RE I F DISPUTED CUSTOMER COMPLAINTS . . . . . . . . . . . . . 30
25. HIIP F SOLID WASTE: FLOW CQNTRQL . . . . . . . . . . . . . . . . 31
26. INDEMNIFICATI®N . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
A. Indemnificatim of C4 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 31
Ii. Indemnification of.C"Qa&actor . . . . . . . . . . . . . . . . . . . . . . . . . 32
C. Hazardous SubstanCgsIn mnifi i n . . . . . . . . . . . . . . . . . . . 32
D. AP 939 Indemnification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 32
E. Workers' Compensati,on -1murance . . . . . . . . . . . . . . . . . . . . . 33
27. CONTRACTOR'S BOOKS,AND REC_ ORDS; AUDITS . . . . . . . . . . . . . . . . 33
28. GENERAL PR®VISI®NS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
A. Force Maieure . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 33
B. Independent Contractor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
C. Pavement Damage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3
D. Propgrty Damage . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
E. Right of_Entry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
F La _to_Govern; Venue . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 34
G. Feed_and Gratuities . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
H. Prior_Agreements and Amendment . . . . . . . . . . . . . . . . . . . . . 35
1. Compliance with Franchise A red earn . . . . . . . . . . . . . . . . . . . 35
J. Notices . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 35
K. Savings Claumn Entirety . . . . . . . . . . . . . . . . . . . . . . . . . . 36
L. Exhibits Incorporated . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 36
EXHIBIT A Solid_Waste Collection Rate ,S,r,;;�hedule . . . . . . . . . . . . . . . . . . . . . . . . 35
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EXHIBIT B Solidn Rate Compulati n Ful . . . . . . . . . . . . . . . 39
EXMBIT C It lin Programs, r i Comm"n ment, AE E i n . . . . . 4
EXHIBIT I) Mini mn_Containcr Specifications . . . . . . . . . . . . . . . . . . . . . . . . . . 42
EXHIBIT E ,Special Wastes . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44
EXHIBIT F Franchise Area . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45
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AGREEMENT BETWEEN THE CITY OF SAN JUAN CAPISTRANO
AND SOLAG DISPOSAL COMPANY INCORPORATED,
FOR THE COLLECTION, TRANSPORTATION, RECYCLING,
COMPOSTING, AND DISPOSAL OF ALL SOLID WASTE
AND FOR PROVIDING TEMPORARY BILI/ROLLOFF SERVICES
This Franchise Agreement ("Franchise Agreement") is entered into this Seventeenth
day of December, 1996, by and between the City of San Juan Capistrano ("City") and
Solag Disposal Company Incorporated, ("Contractor") for the collection, transportation,
recycling, composting, and disposal of all solid waste and for providing temporary
bin/rolloff services.
RECITALS
WHEREAS, the Legislature of the State of California, by enactment of the
California Integrated Waste Management Act of 19$9 ("AB 939"), has declared that it is
within the public interest to authorize and require local agencies to make adequate
provisions for all solid waste within their jurisdictions; and,
WHEREAS, pursuant to California Public Resources Code Section 40059(a)(1),
the City Council of the City of San Juan Capistrano ("City") has determined that the public
health, safety, and well-being require that an exclusive franchise be awarded to a qualified
enterprise for the collection, transportation, recycling, composting, and disposal of all
solid waste and for providing temporary bin/rolloff services in residential, commercial,
construction, and industrial areas in the City of San Juan Capistrano; and,
WHEREAS, the City Council of the City of San Juan Capistrano declares its
intention of maintaining reasonable rates for the collection, transportation, recycling,
composting, and disposal of all solid waste and for providing temporary bin/rolloff
services within City limits; and,
WHEREAS, the City has an existing Solid Waste Collection Agreement with Solag
Disposal Company Incorporated, hereinafter referred to as the "Original Agreement", and
the Contractor has demonstrated its abilities and qualifications to perform such services;
and,
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WHEREAS, Solag Disposal Company Incorporated has submitted a proposal to
the City to modify the Original Agreement and amendments thereto to include expanded
and modified services in order to assist City in complying with the requirements of
Assembly Bill (A.B) 939 and its amendment bills; and,
WHEREAS, City and Contractor desire to leave no doubts as to their respective
roles, and that by entering into this Agreement, City is not thereby becoming a "generator"
or an "arranger" as those terms are used in CERCLA § 107(a)(3), and that it is Contractor,
not City, which is "arranging for" the collection from residents and others in the City of
San Juan Capistrano, the transport for disposal, composting of green waste and recycling
of recyclables and municipal solid waste which may contain hazardous substances.
NOW, THEREFORE, The Parties hereto agree as follows:
1. GRANT OF RESIDENTIAL, I� IAL D
T Y'-BULROLLOFF EXCLUSIVE FRANCHISE
This Franchise Agreement grants an exclusive franchise as provided herein and
pursuant to Chapter 3 of Title b of the San Juan Capistrano Municipal Code (hereinafter,
"Chapter 3") and California Public Resources Code Section 40059(a)(1) to Solag Disposal
Company Incorporated for the collection, transportation, recycling, composting, and
disposal of all solid waste and for providing temporary bin/rolloff in commercial,
residential, construction, and industrial areas within the City of San Juan Capistrano. The
exclusivity of this Franchise Agreement is subject to any of the terms of any pre-existing
solid waste or temporary bin/rolloff service licenses, permits, or Resolutions previously
granted by the County of Orange or the City of San Juan Capistrano.
A. Notification. Existing Solid waste haulers providing temporary bin/rolloff
services within the franchise area (other than Contractor), were notified by
City on or about November 1, 1993, by certified mail that Contractor is
granted exclusive rights to any and all temporary bin/rolloff rental and
collection services within franchise area effective five (S) years from the
notice date.
P. Enforcement. Contractor shall be responsible for enforcing the
exclusivity of this franchise agreement.
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2. DEFINMONS
Whenever any term used in this Franchise Agreement has been defined by Chapter
3 of the San Juan Capistrano Municipal Code or Division 30, fart 1, Chapter 2 of the
California Public Resources Code, the definitions in the Municipal Code or Public
Resources Code shall apply unless the term is otherwise defined in this Agreement.
A. AB 939. "AB 939" shall mean the California.Integrated Waste Management
Act of 1989, as it may be amended from time to time.
B. Temporary Bin/Rolloff. "Bin/Rolloffs" shall mean those containers provided
by Contractor for residential, commercial, industrial, and construction, uses. These bins
are usually of two types: (I) Bins (usually 3 cubic yards in size) which are picked up by
refuse trucks by means of front loading apparatus; and (ii) Rolloff Bins (usually 40 cubic
yards in size) which are picked up by trucks using rear loading winches onto rails.
"Temporary" shall mean any service provided on a 24 hour, daily, weekly, or monthly
basis.
C. City Limits. "City Limits" means the boundaries of the City together with
all amendments and changes thereto, which boundaries are shown by maps incorporated
herein by reference and which are on file in the office of the City Clerk of the City San
Juan Capistrano as they exist by the date of this agreement.
D. Contractor. "Contractor" means Solag Disposal Company Incorporated the
entity granted the Franchise pursuant to this Franchise Agreement.
3. ACCEPTANCE: ARIA ER
Contractor agrees to be bound by and comply with all the requirements of Chapter
3 and this Franchise Agreement. Contractor waives Contractor's right to challenge the
terms of this Franchise Agreement and Chapter 3 under Federal, State or local law, or
administrative regulation, as such laws and regulations exist as of the date of execution of
this Agreement. Contractor waives any right or claim to serve the City or any part of the
City under any prior grant of franchise, contract, license, or permit issued or granted by
any governmental entity including any right under Section 49520 of the Public Resources
Code. Additionally, by the execution of this agreement, Solag Disposal Company, Inc.
expressly waives any and all rights and cost reimbursements to Solag Disposal Company,
Inc. for any existing recycling programs previously approved by City.
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4. FRANCHISE AREA
A. Franchise Area Defin . The Franchise Area granted by this Franchise
Agreement shall be all residential, commercial, industrial, and construction premises
bounded by the city limits as they exist by the date of this agreement and as indicated on
the map in Exhibit "F". As provided below, the Franchise Area may be changed by
annexation.
P. Annexation Covered by Existing Franchise. Territory annexed to the City
that is covered by an existing solid waste or construction debris permit, license, agreement,
or franchise granted by another public entity may continue to be served by the same
contractor for the balance of the term of its permit, license, agreement, or franchise,
subject to the provisions of Chapter 3, provisions of the Public Resource Code Sec.49522,
and the provisions of this Franchise Agreement.
S. TERM: EXTENSIONS
The term of this Agreement shall commence January 1, 1997 and be in full force
and effect for a period of ten (10) years expiring January 1, 2007.
6. SERVICES PROVIDED BY CON CTO
A. General. Contractor shall furnish all labor, necessary material and
equipment to provide the collection, transportation, recycling, composting, and disposal
of all solid waste and for providing temporary bin/rolloff services in accordance with the
terms of this Franchise Agreement and Chapter 3. Contractor may commingle loads with
other jurisdictions, however, in order to comply with the provisions of the Act and to
accurately account for and report the amount of Solid Waste collected within the City and
disposed pursuant to this Agreement, Contractor shall reconcile with the landfill operator
on a quarterly basis the amount of waste generated by City accounts.
E. Residential. All solid waste, compo stables and recyclables shall be
collected between the hours of 7:00 a.m. and 7:00 p.m., Monday through Friday.
(1). Automa e C main r rvi . Once each week, Contractor shall
collect the solid waste, compostables, and recyclables (except bulky items and
household hazardous waste) which have been placed, kept, or accumulated in
containers (as specified in "Exhibit D") at single family residences, whether
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attached or detached, and placed at curbside or other designated pick-up locations
adjacent to public or private roadways or alleys prior to Contractor's normal
weekly collection time. Contractor shall, whenever possible, place container on top
of curb (sidewalk) upon completing collection, to facilitate more efficient street
sweeping. Standard residential service shall include providing, maintaining and
replacing automated service containers which meet the minimum requirements as
set out in Exhibit "D". Homeowner is responsible for any negligent damage or
lost/stolen containers. If the number of reported negligently damage/lost/stolen
containers exceeds 2% of the serviced accounts the City has the option to re-
negotiate which party is responsible replacement. Contractor may negotiate special
pickup procedures, above and beyond the normal services described above, with
customers for an additional fee over the amount provided in Exhibit "A" subject
to City approval.
(2) 3 Cubic Yard Bin Service. Not less often than once per week, and
more frequently if required to handle the waste stream of the premises where the
bins are located, Contractor shall collect the solid waste (including bulky items
which have been placed in a closed bin), compostables, and recyclables (except
household hazardous waste) which have been placed out for collection in solid
waste or recycling bins.
(3). Bulky Items. Contractor shall provide bulky item collection services
on an on-call basis. Bulky items shall include, but not be limited to, refrigerators,
mattresses, rugs, water heaters and other items which can be handled by a two man
crew and would not otherwise be accommodated within the automated collection
container furnished by Contractor. There shall be a limit of two on call pick-ups
per year at no extra cost. There shall be a limitation of four bulky items or
equivalent of six. (6) 33 gallon trash bags per on-call pick-up. On-call service shall
be responded to within a reasonable time but no more than seven (7) days or the
next scheduled collection day excluding Saturdays. Contractor shall produce, keep
current, and provide public information specifically outlining the bulky item pick-
up service.
C. Commercial and Industrial Services. All solid waste, compostables, and
recyclables shall be collected between the hours of 6:00 a.m. and 7:00 p.m., Monday
through Saturday.
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(1) Weekly Service. Contractor shall furnish the size containers as
called out in the rate schedule and service them not less often than once per week,
and more frequently if required to handle the waste stream of the premises where
the bins are located, Contractor shall collect the solid waste, compostables, and
recyclables which have been placed for collection in solid waste or recycling bins.
(2) PreAudit. Contractor shall conduct a waste audit of all commercial
accounts, and multi-family units utilizing commercial service, to determine their
recyclable content, prior to services being rendered. The process used to conduct
this waste audit shall be shared with the City of San Juan Capistrano, to ensure
permit compliance and acceptance. Those accounts that contain a significant
recyclable content and have received prior approval by the City, shall be processed
through a City-designated materials recovery facility. Customers achieving this
content, or higher, shall have their material transferred to a material recovery
facility. Those accounts that do not satisfy the content level, shall have their waste
stream disposed of at the landfill.
D. Temporary Bin/Rolloff Services. Contractor shall provide temporary
bin/rolloff services using rates reflected in Exhibit "A." Contractor shall deliver and pick-
up/service rolloff containers within 24 hours of call for services excepting Sundays and
Holidays.
E. Additional_Services. The following additional services are hereby provided
to City, free of charge, by Contractor:
(1) Contractor shall clean out any overflowing bins or enclosures
within twenty-four (24) hours of notification by City, free of charge. Contractor
shall work with the City Manager or designee in identifying continual problems in
customer bins or enclosures. Contractor shall create a specific work order in
response to each call received from City departments and shall provide City with
a annual "Summary of clean out Item Mork Orders Completed." Said summary
shall include, but not be limited to the date, time, hours spent, and type of items
collected.
(2) Contractor shall pickup all Christmas trees on the first two regularly
scheduled pickup days after New Year's Day. The trees shall be diverted from the
landfill if possible, either by deposit at a composting facility or grinding operation.
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(3) Contractor shall provide containers refuse collection and recycling
to all City public buildings, bus stops and public trash receptacles along all public
right of ways at no charge to City.
(4) Contractor will assist and cooperate with City in organizing clean-up
after all City sponsored events and haul all solid waste, free of charge. Contractor
will haul all City organized clean-up loads to the landfill or Material Recovery
Facility, maximum of 20 (36 cu. yd. roll-off) per calendar year. City shall pay the
Iandfill tipping fees.
F. Recycling Program. The Contractor shall provide recycling services in
accordance with the terms set forth in Exhibit "C", and the rates set forth in Exhibit "A"
G. Collection on Holiday. Should any regularly scheduled collection day fall
on or after a legal holiday ( New Year's Day, Memorial Day, Forth of July, Labor Day,
Thanksgiving Day, or Christmas Day) or on any other holiday on which County landfills
are closed, collection day shall be made one day later during that pickup week and the
regular pickup schedule shall be resumed the following week. A pickup week shall be
defined as Monday through Saturday.
H. Misse Pick- s. In case of a missed pick--up called in by a resident,
Contractor shall collect the materials from such resident no later than the next working day
following the date of the call. Records of the addresses of all missed pickups shall be
maintained by Contractor and reported to the City. If Contractor can demonstrate a pattern
of ongoing late set-outs by a resident, those missed pickups shall not be counted as missed
pickups.
1. Record of Noncollectio . When any refuse material deposited for collection
is not collected by Contractor, he shall leave a tag at least 2" by 6" in size, indicating the
reason for refusal to collect the refuse. This information shall either be in writing or by
means of a check system. The tag shall provide the Contractor's business name and local
telephone number and shall be securely fastened to the container of the article refused.
(1) If the reason for such noncollection is not corrected within seven
days from the date of such tagging, Contractor shall advise the City, giving the date
of notice, street address and reason for noncollection.
(2) Contractor shall maintain at his place of business, a record of
all such Laggings. Such record shall contain the date of such notice, street address,
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reason for noncollection and disposition of each case. Such notice shall be Dept so
that it may be conveniently inspected by representatives of the City upon request.
J. Scavenging Prevention/Di nt. Contractor will take necessary
steps which may be appropriate and effective to discourage scavenging of recyclable
materials from the residential and commercial waste steams.
K. Special Wastes. Contractor may, but is not required to, provide such
collection, transportation, and disposal services for special wastes as defined by Exhibit
"E". Contractor may provide such services for special wastes if contracted to do so by
customers under separate written contracts negotiated between Contractor and the customer
generating such special wastes.
7. SERVICE EX EI'TIOM; HAZARDOUS WASTE NOTIFICATION
When solid waste is not collected from any solid waste customer, Contractor shall
notify its customer in writing why the collection was not made. Contractor has represented
to City that Contractor will carry out its duties to notify all agencies with jurisdiction,
including the California Department of Tonic Substances Control and Local Emergency
Response Providers, and, if appropriate, the National Response Center, of reportable
quantities of hazardous waste, found or observed in solid waste anywhere within the City,
including on, in under or about City property, including streets, easements, rights of way
and City waste containers. In addition to other required notifications, if Contractor
observes any substances which it or its employees reasonably believe or suspect to contain
hazardous wastes unlawfully disposed of or released on City property, including streets,
storm drains, or public rights of way, Contractor also will immediately notify the City
Manager, or the City Manager's designee.
$. MINEVIUM STANDARDSF REQUIPM AND ENTMA TEN E
A. Contractor shall provide an adequate number of vehicles for all regular and
special collection services. Contractor shall provide commercial and industrial subscribers
with appropriate commercial bins, and may supply residential subscribers with three (3)
cubic yard bins as requested. All equipment shall be maintained as follows:
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(1) Contractor shall remove graffiti from containers provided pursuant
to this agreement, within 24 hours of notice. Removal of graffiti shall be the sole
responsibility of contractor, utilizing available civil processes for prosecution of the
individualls responsible for graffiti. Solag may charge user according to rate
schedule in Exhibit "A" for graffiti removal; and,
(2) Each vehicle used by Contractor shall at all tithes comply with
all applicable provisions of the California Vehicle Code, and shall be inspected, at
least once each year, using the "Critical Item Inspection" criteria as approved by
the California Highway Patrol. The results of said inspections shall be made
available to the City Manager upon request; and,
(3) All vehicles used for the collection or transport of solid waste
shall be equipped with devices capable of covering every open section of the
vehicle in which solid waste may be placed, and while operating upon the public
rights of way, shall be covered so as to prevent any solid waste from falling or
being blown or otherwise dislodged from the vehicle; and,
(4) All vehicles used for the collection or transport of solid waste
shall be continuously maintained in a watertight condition per industry standards;
and,
(5) All vehicles shall be painted periodically, which shall include all
necessary body work, so that such vehicles do not become unsightly, as determined
by the City Manager; and,
(6) The name, and telephone number of Contractor shall be printed
or painted in letters not less than three inches in height on both sides of each
vehicle or conveyance and at the City's option the City shall require Contractor to
display advertisements on collection vehicles to promote recycling and source
reduction programs; and,
(7) Each vehicle used for the collection or transport of solid waste
shall be maintained in a clean and sanitary condition both inside and out; and,
(S) All vehicles used for the collection or transport of solid waste
..........
shall carry a broom, shovel, and operable fire extinguisher. Additionally,
residential refuse trucks shall be equipped with a communication device in the form
of an 2-way radio upon request of the City; and,
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(9) All residential automated containers supplied to subscribers shall
be maintained in good repair and maintained in a watertight condition.
(10) All commercial bins and containers provided shall be kept in
good repair, freshly painted and identified with Contractor's name and phone
number. The three cubic yard bins provided shall be steel bins with plastic lids and
steam cleaned at least once a year free of charge; and,
(11) Contractor has agreed to name the specific organization that
shall provide all of the services under this Franchise Agreement as "Sol&DDDisposal
C"mpany_Incorporated." This name shall be used for all correspondence, billing
statements, directory listings, references, signs, vehicle identification, etc. The
words "Owned and Operated by Solag Disposal Company Incorporated" is
authorized; and,
(12) All solid waste collection vehicles shall be washed at least once
every seven (7) calendar days. Packer bodies shall be maintained in a liquid tight
condition; and,
(13) "Solag Disposal Company Incorporated", a local or toll free
telephone number, and vehicle number shall be visibly displayed on all vehicles in
letters and figures as approve by City; and,
(14) All vehicles, high visibility bins, and rolloffs shall display the
name and phone number of contractor. The small inscription area on the top of all
of the residential containers shall be labeled as follows: the black refuse container -
"REFUSE ONLY," the blue or tan recycling container W "RECY—CLABLES
ONLY," and the green yardwastes container - "YARD WASTE ONLY;" and,
(15) All equipment used is subject to the discretion of the City Manager.
Should the City Manager, at any time, give notification to contractor that any
vehicle does not comply with standards of this section, said equipment shall be
removed from service by contract and shall not service the City until inspected and
approved in writing by the City manager.
9. CONTRACTOR'S PERSONNEL
A. The City has the right to require that each of Contractor's collection
employees wear a clean uniform bearing the company's name.
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B. Each employee shall, at all times, carry a valid operator's license for the
type of vehicle he is driving. Contractor shall provide its employees, contractors, and
subcontractors with identification for all individuals who may make personal contact with
residents of the City.
C. No employee shall continue to be employed on any work under this contract
who is determined by the City to be intemperate, discourteous, disorderly, inefficient or
otherwise objectionable.
D. The Contractor shall provide operating and safety training for all personnel
that meet minimum OSHA standards.
I®. SYSTEM AND SERVICES RE�IE�V
A. To provide for technological, economic, and regulatory changes in waste
stream collection and recycling, to facilitate renewal procedures, to promote competition
in the refuse, composting, and recycling industry, and to achieve a continuing, advanced
refuse collection, and recycling system, a system and services review procedures is
established as follows:
Sixty (60) days after receiving notice from the City, Contractor shall submit a
report to City indicating the following:
(1) All refuse collection, composting, and recycling services reported
in refuse collection, composting, and recycling industry trade journals that are
being commonly provided on an operational basis, excluding tests and
demonstrations, to communities in the United States with comparable populations,
that are not provided to City; and,
(2) Changes recommended to improve the City's ability to meet the
goals of AB 939 and to keep City clean and free of debris; and,
(3) Any specific plans for provision of such new services by the
Contractor, or a justification indicating why Contractor believes that such services
are not feasible for the Franchise Area.
B. Topics for discussion and review at the system and services review hearing
shall include, but shall not be limited to, services provided, feasibility of providing new
services, application of new technologies, customer complaints, rights of privacy,
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amendments to the Franchise Agreement, developments in the law, new initiatives for
meeting or exceeding AE 939's goals and regulatory constraints.
C. City and the Contractor may each select additional topics for discussion at
any systems and services review hearing.
D Not later than sixty (60)days.after the conclusion of each system and service
review hearing, City shall issue a report. The report shall include a listing of any refuse
collection, composting and recycling services not then being provided to City that are
considered technically and economically feasible by City. City may require Contractor to
provide such services within a reasonable time, for reasonable rates and compensation.
11. CQMPENSATIQN
A. C_Qntractor Rates. Contractor shall provide the services described in this
Franchise Agreement in accordance with the rates fixed by City from time to time all as
described and set forth in Exhibit "A", "Schedule of Rates." The new rates contained in
Exhibit "A", shall be subject to adjustment in accordance with the prescribed formula, as
set forth in Exhibit B beginning January 1, 1997, based on changes in the cost index for
twelve month period (January 1996 through January 1.997). Every year thereafter, the PPI
index for the calendar year from November 1 through October 31 shall be used to compute
the annual increase. The annual increase shall be effective January 1 of each year.
Contractor agrees to defer any cost of living adjustments, on commercial accounts only,
until January 1, 2000.
B. Modification and Adjustment of Rates. Except as provided in Exhibit `13
the rates set forth on Exhibit "A" shall remain in effect until adjusted by City by a
Resolution of the City Council. As for extraordinary costs, in addition to, and not in lieu
of, the annual PPI increase and landfill tipping fee adjustment, as described in Exhibit "13"
Contractor shall also be entitled to rate increases in an amount equal to the Contractors
extraordinary increases in its costs of collection. Such extraordinary cost increases shall
be subject to City Council approval. Such extraordinary increases in its cost of collection
shall include, by way of example and not by way of limitation: (1) a change in the location
of the landfill or other permitted disposal sites to which the contractor or is required to
transport solid waste collected hereunder; (2) changes in the local, state or federal laws that
affect an aspect of this agreement.
C. Notice of Rate Increases: The Contractor shall provide the City and
customers, at least thirty (30) days in advance of the beginning of a billing period, written
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notice of the implementation of changes in any of its proposed rates and charges which are
not subject to rate adjustments contained in Exhibit "B." The notice shall include a
statement of the reasons for the rate increase.
D. Resolution of Disputes Regarding Rate Adjustments: Any dispute regarding
the annual "CPI" and Landfill Tipping Fee adjustment, or the computation thereof,
described in Exhibit "B," or any other dispute regarding Contractor's reimbursement for
fees, special services, or extraordinary costs described in Exhibit "B," shall be decided by
the City Manager, or referred by the Manager to the City Council, or to a hearing officer
as provided in Section 13 below. The rates in effect at the time such dispute is submitted
to the City Manager, City Council, or a hearing officer shall remain in effect pending
resolution of such dispute. The effective date of any dispute resolution, whether
retroactive or prospective, shall reasonably be determined by the City Manager, City
Council, or the hearing officer, as appropriate.
E. Billing and Payment. Contractor may bill all customers not subject to a
parcel charge or beyond the scope of the parcel charge, discussed below, for all services,
whether regular or special. Contractor shall provide itemized bills, distinctly showing
charges for all classifications of services, including the charges for late payment. The
Contractor shall not designate that portion of a customer's bill attributable to the franchise
fee as a separate item on customers' bills. Billings may be made monthly in advance for
commercial and all bin service customers, and may be made three (3) months in advance
for residential customers. If the City should elect to bill residents for standard refuse
collection and recycling through a parcel charge, the Contractor shall be paid in monthly
installments for the premises served. Retroactive adjustments shall be made on the basis
of addresses of premises added and the date added. Premises ordered after the first of the
month shall be charged on a prorated thirty (30)day/monthly basis. In no event, shall City
be required to use its general fund to support the parcel charge system. The City reserves
the right exclusively handle the refuse and recycling billings but not limited to performing
billing service in-house.
F. Delinquent Accounts. The Contractor shall continue service as set forth in
this franchise agreement. Persons who have not remitted required payments within 30 days
after the date of billings shall be notified on forms approved by City. Said forms shall
contain a statement that services may be discontinued 15 days from the date of notice if
payment is not made before that time. A delinquent fee may be assessed accounts that are
late according to Exhibit "A." A redelivery or reinstatement fee may be assessed to
accounts that are reactivated by having to furnish collection containers. Upon payment of
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the delinquent, redelivery, or reinstatement fees, if applicable Contractor shall resume
collection on the next regularly scheduled collection day.
G. Refunds. Contractor shall refund to each customer, on a pro rata basis, any
advance service payments made by such customer for service not provided when service
is discontinued by the customer. A $1.50 refund fee may be assessed for processing
refunds according to Exhibit "A."
H. Quad_Cities Linkage Provision. Notwithstanding any provision of this
.Agreement to the contrary, if Solag's rate for a solid waste service to be provided to
service recipients in the City of San Juan Capistrano (including residential and/or
commercial), would be higher than a newly modified, amended or adopted rate for the
same or substantially similar solid waste service in either the City of San Clemente,
Laguna Niguel or Dana Point, then the otherwise applicable rate provisions of this
Agreement shall not be in effect. Instead, Solag's rate for services to be provided to
service recipients (including residential and/or commercial services) within the City of San
Juan Capistrano shall be the lowest rate charged for the provision of the same or
substantially similar solid waste service provided to service recipients in either the City of.
San Clemente, the City of Laguna Niguel or the City of Dana Point. Thirty days prior to
any proposed rate reduction for any solid waste services in the City of San Clemente,
Laguna Niguel or Dana Point, Solag shall notify the City of San Juan Capistrano of these
proposed rate changes in the other city or cities. In the event that these rates are lower
than those in Exhibit A (as this Exhibit is modified from time to time pursuant to the
Agreement), Exhibit A shall be deemed modified to reflect the lower rates. Such adjusted
rate shall be the new base rate for this Agreement on which any future rate increases are
calculated.
12. FRANCHISE FEES
In consideration for the exclusive right to collect and dispose of solid waste within
the corporate boundaries of City, Contractor shall pay to City, in lawful money of the
United States, a franchise fee equal to five percent (5%) of the gross annual receipts of
Contractor arising out of the use, operation or possession of this franchise. Effective
November 1, 1995 franchise fees for all on-call bin service shall be due and payable
according to the schedule below. Said franchise fee collected shall be due to City in
monthly payments, which shall be due on or before the fifteenth (15th) day of each
following month. The amount of each such payment shall be equal to five percent (5%)
of the previous months' gross receipts.
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As used herein, "Gross Receipts" shall include all fees, charged and revenues
received by Contractor, and its affiliates and subsidiaries, if any, arising from or
attributable to operation of this franchise less landfill and composting facility tipping fees.
A. In the event Contractor fails to make any of the payments provided for in
this franchise on or before the dates due, Contractor shall pay as additional consideration
both of the following amount:
(1) A sum of money equal to five percent(5%) of the amount due. This
amount is required in order to defray those additional expenses and costs incurred
by City by reason of the delinquent payment including, but not limited to, the cost
of administering, accounting and collecting said delinquent payment and the cost
to city of postponing services and projects necessitated by the delay in receiving the
revenue; and
(2) A sum of money equal to two percent (2%) of the amount due per
month as interest and for loss of use of the money due.
13. FAITHFUL PERFORMANCE
Concurrent with the execution of this Agreement, contractor shall deposit with the
City Manager a cash deposit, irrevocable letter of credit, or other such document
evidencing an irrevocable cash deposit payable to city, in the amount of$10,000, in a form
approved by the City Attorney, guaranteeing contractor's faithful performance of the terms
of this agreement. Such cash deposit, letter of credit or other such document shall be
maintained in effect throughout the duration of this Agreement.
14. CE CON
ERAGE
Contractor shall procure and maintain for the duration of this Agreement, insurance
against claims for injuries to persons or damages to property which may arise from or in
connection with the performance of the work hereunder by Contractor, or Contractor's
agents, representative, employees or subcontractors.
A. Minimum Scope of Insurance. Coverage shall be at least as broad as:
15
(1) General Liabilly. Insurance Services Office form number GI. 0002
(Ed. 1173) covering Comprehensive General Liability and Insurance Services
Office form number GL 0404 covering Broad Form Comprehensive General
Liability; or Insurance Service Office Commercial General Liability coverage
("occurrence" form CG 0001).
(2) Automotive Liability. Insurance Services Office form number CA
0001. (Ed. 1/78)covering Automobile Liability, code 1 "any auto" and endorsement
CA 0025.
(3) Worker's Compensation. Workers' Compensation insurance as
required by the State of California, and Employers' Liability insurance.
B. Minimum Limits of Insurance. Contractor shall obtain and maintain in full
force and effect throughout the entire term of this Franchise Agreement a Inroad Form
........ '' : :Comprehensive General Liability (occurrence)policy with a minimum limit of Five Million
Dollars ($5,000,000.00) aggregate and Two Million Dollars ($2,000,000.00) per
occurrence for bodily injury and property damage, with any self-insured retention I not
exceeding $200,000.00 per occurrence. Said insurance shall protect Contractor and City
from any claim for damages for bodily injury, including accidental death, as well as from
any claim for property damage which may arise from operations performed pursuant to this
Franchise Agreement, whether such operations be by Contractor itself, or by its agents,
employees, and/or Subcontractors. Copies of the policies or endorsements evidencing the
above required insurance coverage shall be fled with the City Clerk. All of the following
endorsements are required to be made a part of the insurance policies required by this
Section:
(1) "The City, its employees, agents, Contractors, and officers, are
hereby added as insured as respects liability arising out of activities performed by
or on behalf of Contractor."
(2) "This policy shall be considered primary insurance as respects
any other valid and collectible insurance the City may possess including any
self-insured retention the City may have, and any other insurance the City does
possess shall be considered excess insurance and shall not contribute with it."
(3) "This insurance shall act for each insured, as though a separate
policy had been written for each. This, however, shall not act to increase the limit
of liability of the insuring company.,,
16
(3) "This insurance shall act for each insured, as though a separate
policy had been written for each. This, however, shall not act to increase the limit
of liability of the insuring company."
(4) "Thirty (30) days prior written notice by certified mail, return
receipt requested, shall be given to the City in the event of suspension,
cancellation, reduction in coverage or in limits, or non-renewal of this policy for
whatever reason. Such notice shall be sent to the City Clerk."
(5) The limits of such insurance coverage, and companies, shall be
subject to review and approval by the City Manager every year and may be
increased at that time and match the coverage provided by the City's own liability
insurance policy. The City shall be included as a named insured on all policies and
endorsements.
C. Modification. The insurance requirements provided herein may be modified
or waived in writing by the City Council upon the request of Contractor, provided the City
Council determines such modification or waiver is in the best interests of City considering
all relevant factors, including the fact that the parent of Contractor may be self-insured up
to a certain acceptable amount.
D. Deductibles and elf-Insured Retention. Any deductibles or self-insured
retention must be declared to and approved by City. At the option of City, either: the
insurer shall reduce or eliminate such deductibles or self-insured retention as respects City,
its officers, officials, employees and volunteers; or contractor shall procure a bond
guaranteeing payment of losses and related investigations, claim administration and defense
expenses.
E. Other Insurance Provisions. The general liability and automobile liability
policies are to contain, or be endorsed to contain, the following provisions:
(1) City, its officers, officials, employees and volunteers are to be
covered as insured as respects: liability arising out of activities performed by or
on behalf of Contractor; products and completed operations of Contractor; premises
owned, occupied or used by Contractor; or automobiles owned, leased, hired or
borrowed by Contractor. The coverage shall contain no special limitations on the
scope of protection afforded to City, its officers, officials, employees or volunteers.
17
(2) Contractor's insurance coverage shall be primary insurance as
respects City, its officers, officials, employees and volunteers. Any insurance or
self-insurance maintained by City, its officers, officials, employees or volunteers
shall be excess of Contractor's insurance and shall not contribute with it.
(3) Any failure to comply with reporting provisions of the policies
shall not affect coverage provided to City, its officers, officials, employees or
volunteers.
(4) Contractor's insurance shall apply separately to each insured
against whom claim is made or suit is brought, except with respect to the limits of
the insurer's liability.
(5) Each insurance policy required by this clause shall be endorsed
to state that coverage shall not be suspended, voided, canceled by either party, or
reduced in coverage or in limits except after thirty (30) days' prior to written notice
by certified mail, has been given to City.
F. A to ill f I r r . Insurance coverage is to be obtained from
California-admitted insurers with the Best's rating of no less than ANIL
G. Verification of Coverage. Contractor shall furnish City with certificates of
insurance and original endorsements effecting coverage required by this section. The
certificates and endorsements for each insurance policy are to be signed by a person
authorized by that insurer to bind coverage on its behalf. The certificates and
endorsements are to be on forms provided by City. All certificates, letters and
endorsements are to be received and approved by City before work commences. City
reserves the right to require complete, certified copies of all required insurance policies,
at any time.
H. Subcontractors. Contractor shall include any subcontractors as insured
under its policies or shall furnish separate certificates and endorsements for each
subcontractor. All coverage for subcontractors shall be subject to all of the requirements
stated herein.
18
15. FRANCHISE THANSFERRABI.E
A. The franchise granted by this Franchise Agreement shall not be transferred,
sold, hypothecated, sublet, or assigned, nor shall any of the rights or privileges herein be
hypothecated, leased, assigned, sold, or transferred, either in whole or in part, nor shall
title thereto, either legal or equitable, or any right, interest, or property therein, pass to
or vest in any person, except the Contractor, either by act of the Contractor or by
operation of law, without the prior written consent of the City expressed by Resolution.
Any attempt by Contractor to assign this franchise without the consent of City shall be
void.
F. The City may impose conditions of approval on a Franchise Agreement
transfer, including, but not limited to, conditions requiring acceptance of amendments to
Chapter 3 and this Franchise Agreement. The City shall not be unreasonable in
withholding the transfer.
C. City consent is required for any change in control of Contractor. "Change
in control" shall mean any sale, transfer., or acquisition of Contractor. Contractor is a
corporation, and any acquisition of more than ten percent (10%) of Contractor's voting
stock by a person, or group of persons acting in concert, who already owns less than 50%
of the voting stock, shalt be deemed a change in control.
D. Any change in control of the Contractor occurring without prior City
approval shall constitute a material breach of this Franchise Agreement.
16. FRANCHISE TRANSFER: "EES
A. Any application for a franchise transfer shall be made in a manner
prescribed by the City Manager. The application shall include a transfer fee in an amount
to be set by City by a Resolution of the Council, to cover the cost of all direct and indirect
administrative expenses including consultants and attorneys, necessary to adequately
analyze the application and to reimburse City for all direct and indirect expenses. In
addition, the Contractor shall reimburse the City for all costs not covered by the transfer
fee. Bills shall be supported with evidence of the expense or cost incurred. The applicant
shall pay such bills within thirty (30) days of receipt.
B. These franchise transfer fees are over and above any franchise fees specified
in this Franchise Agreement.
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17. IMI' ITI F DAMAGES R TERMINATION
A. If the City Manager determines that the Contractor's performance pursuant
to this Franchise Agreement has not been in conformity with reasonable industry standards
which are obtained in similar cities in Southern California, the provisions of this Franchise
Agreement, the requirements of Chapter 3, the requirements of the California Integrated
Taste Management Board, including, but not limited to, requirements for source reduction
and recycling (as to the waste stream subject to this Franchise Agreement) or any other
applicable Federal, State, or local law or regulation, including but not limited to the laws
governing transfer, storage, or disposal of special wastes, the City Manager may advise
Contractor in writing of such deficiencies. The Manager may, in such written instrument,
set a reasonable time within which correction of all such deficiencies is to be made.
Unless otherwise specified, a reasonable time for correction shall be sixty (60) days from
the receipt by the Contractor of such written notice. The City Manager shall review the
Contractor's response and refer the matter to the City Council or decide the matter and
notify the Contractor of that decision, in writing. A decision or order of the City Manager
shall be final and binding on Contractor if the Contractor fails to file a "Notice of Appeal"
with the City Manager within 30 days of receipt of the City Manager's decision. Within
ten working days of receipt of a Notice of Appeal, the City Manager shall either refer the
appeal to the City Council for proceedings in accordance with Section 17 C and D, below,
or refer the matter to a hearing officer as provided in Section 18, below.
B. The City Council, in such case, may set the matter for hearing. The City
Council shall give Contractor, and any other person requesting the same, fourteen (14)
days written notice of the time and place of the hearing. At the hearing, the City Council
shall consider the report of the City Manager indicating the deficiencies, and shall give the
Contractor, or its representatives and any other interested person, a reasonable opportunity
to be heard.
C. Based on the evidence presented at the public hearing, the Council shall
determine by Resolution whether the Franchise Agreement should be terminated or
liquidated damages imposed. If, based upon the record, the City Council determines that
the performance of Contractor is in breach of any material term of this Franchise
Agreement or any material provision of any applicable Federal, State, or local statute or
regulation, the City Council, in the exercise of its sole discretion, may terminate forthwith,
the Franchise Agreement or impose liquidated damages, as defined below. The decision
of the City Council shall be final and conclusive, subject to referral of the matter for an
20
administrative hearing pursuant to Section 18, below. Contractor's performance under its
franchise is not excused during the period of time prior to the City Council's final
determination as to whether such performance is deficient.
D. This right of termination or to impose liquidated damages is in addition to
any other rights of City upon a failure of Contractor to perform its obligations under this
Franchise Agreement.
F. The City further reserves the right to terminate Contractor's franchise or
impose liquidated damages in the event of any of the following:
(1) If the Contractor becomes insolvent, unable, or unwilling to
pay its debts, or upon listing of an order for relief in favor of Contractor in a
bankruptcy proceeding.
(2) If the Contractor fails to provide or maintain in full force and
effect, the workers' compensation, liability, indemnification coverage, or cash bond
as required by the Franchise Agreement.
(3) If the Contractor willfully violates any orders or rulings of any
regulatory body having jurisdiction over the Contractor relative to this Franchise
Agreement, provided that the Contractor may contest any such orders or rulings
by appropriate proceedings conducted in good faith, in which case no breach of the
franchise shall be deemed to have occurred.
(4) If the Contractor ceases to provide collection as required under this
Franchise Agreement over all or a substantial portion of its Franchise Area for a
period of seven (7) days or more, for any reason within the control of the
Contractor.
(5) If the Contractor willfully fails to make any payments required
under the Franchise Agreement and/or refuses to provide City with required
information, reports, and/or test results in a timely manner as provided in the
Franchise Agreement.
(6) Any other act or omission by the Contractor which materially
violates the terms, conditions, or requirements of this franchise, Chapter 3, the
California Integrated Waste Management Act of 1989, as it may be amended from
time to time or any order, directive, rule, or regulation issued thereunder and
21
which is not corrected or remedied within the time set in the written notice of the
violation or, if the Contractor cannot reasonably correct or remedy the breach
within the time set forth in such notice, if the Contractor should fail to commence
to correct or remedy such violation within the time set forth in such notice and
diligently effect such correction or remedy thereafter.
F. The City finds, and the Contractor agrees, that as of the time of the
execution of this Franchise Agreement, it is impractical if not impossible, to reasonably
ascertain the extent of damages which shall be incurred by the City as a result of a material
breach by Contractor of its obligations under this Franchise Agreement. The factors
relating to the impracticability of ascertaining damages include, but are not limited to, the
fact that: (I) substantial damage results to members of the public who are denied services
or denied quality or reliable service; (ii) such breaches cause inconvenience, anxiety,
frustration, and deprivation of the benefits of the Franchise Agreement to individual
members of the general public for whose benefit this Franchise Agreement exists, in
subjective ways and in varying degrees of intensity which are incapable of measurement
in precise monetary terms; (iii) that services might be available at substantially lower costs
than alternative services, and the monetary loss resulting from denial of services or denial
of quality or reliable services is impossible to calculate in precise monetary terms; and. (iv)
the termination of this Franchise Agreement for such breaches, and other remedies are, at
best, a means of future correction and not remedies which snake the public whole for past
breaches.
Accordingly, the City Council may, in its discretion, assess liquidated damages not
to exceed the sum of Seven Hundred and Fifty Dollars ($750.00) per day, for each
calendar day that service is not provided by Contractor in accordance with this Franchise
Agreement. The amount of the liquidated damages shall be increased by the past year's
consumer price index (all urban consumers) for the Los Angeles-Anaheim-Riverside area
on March 1 and effective July 1 of each year. In addition, the Council may order the
assessment against the cash bond required by Section 13, above, the termination of the
Franchise Agreement, or both.
The City finds, and the Contractor acknowledges and agrees that the above
described liquidated damages provisions represent a reasonable sum in light of all of the
circumstances. Said liquidated damages sums shall be applicable to each calendar day of
delay during which Contractor has been found by the City Council to be in material default
pursuant to this Section. The Contractor shall pay any liquidated damages assessed by the
City Council within ten (10) days after they are assessed. If they are not paid within the
ten(10) day period, the City may withdraw them from the security fund established by the
22
I.S. ADMINISTRATBT HEARING PROCEDURES
A. Should Contractor contend that the City is in breach of this Franchise
Agreement, it shall file a request with the City Manager for an administrative hearing on
the allegation.
B. If either the City Manager or the City Council refers a matter to a hearing
officer, or if the Contractor should allege a breach of the franchise by the City, City and
Contractor shall mutually agree on a hearing officer. If agreement is not reached within
twenty (20) working days of the filing of the notice of appeal, then Contractor shall select
the hearing officer from a list of three potential hearing officers who are retired California
Superior Court judges or Appellate Court justices, none of whore are related to the parties,
prepared by the City Manager and approved by the City Council.
C. The hearing shall be conducted according to California Code of Civil
Procedure Section 1280, et sea. The exclusive venue shall be in Orange County,
California. A hearing officer to whom a matter is referred shall have the authority to (I)
order the City or the Contractor to undertake remedial action to cure the breach and to
prevent occurrence of similar breaches in the future; (ii) assess damages and/or levy a
penalty upon the Contractor consistent with the terms of this Franchise Agreement; or (iii)
find there has been no breach. If the hearing officer finds there has been no breach, such
a decision precludes the City from conducting a default hearing. For any occurrence or
series of related occurrences, the penalty may be up to Five Thousand Dollars ($5,000.00),
The amount of the penalty shall be reasonably related to the seriousness of the breach of
the Franchise Agreement.
D. The party losing the hearing shall be liable for the hearing officer's fees.
E. Any failure of the Contractor to comply with the hearing officer's order
shall be deemed a material breach of the Franchise Agreement, and may be grounds for
termination of the Franchise Agreement.
E. The hearing officer shall commence the hearing within thirty (30) days of
selection unless the parties and the hearing officer otherwise agree. Any party to the
hearing may issue a request to compel reasonable document production from the other
party. Disputes concerning the scope of document production and enforcement of
document requests shall be subject to agreement by the parties, or if agreement is not
reached within twenty (20) days of that document request, then by disposition by order of
the hearing officer. Any such document request shall be subject to the proprietary rights
23
document requests shall be subject to agreement by the parties, or if agreement is not
reached within twenty (20) days of that document request, then by disposition by order of
the hearing officer. Any such document request shall be subject to the proprietary rights
and rights of privilege of the parties, and the hearing officer shall adopt procedures to
protect such rights. Except as may be otherwise specifically agreed by the parties, no
other form of pretrial discovery shall be available to the parties; provided that if either
party notifies the hearing officer that a material violation of the franchise or rights in
connection therewith is claimed by either party, the provisions of Code of Civil Procedure
Section 1283.05 shall apply.
G. Neither party may communicate separately with the hearing officer after the
hearing officer has been selected. All subsequent communications between a party and a
hearing officer shall be simultaneously delivered to the other party. This provision shall
not apply to communications made to schedule a hearing or request a continuance.
H. Until final judgment is entered from the hearing officer proceeding under
the foregoing provisions and the time for appeal or other post judgment petition has
expired, the imposition or enforcement of any penalties or sanctions provided in the
Franchise Agreement and related to the subject matter of the hearing shall be stayed. The
hearing officer may modify or cancel any proposed penalties or sanctions upon a finding
that the party subject thereto acted with substantial justification or if the interests of justice
so require.
1. Any party to a hearing may petition the Superior Court in Orange County,
California to confirm, correct, or vacate the award on the grounds stated in the General
Arbitration Act. Any proceedings on appeal shall be in accordance with Code of Civil
Procedures § 1294 and § 1294.2.
19. CITY'S ADDITIONAL REMEDIES
In addition to the remedies set forth in Sections 17-15, above, City shall have the
following rights:
A. To rent or lease equipment from Contractor for the purpose of collecting,
transporting, recycling, composting, and disposing of solid waste and construction debris
and providing temporary bin/rolloff services pursuant to this Franchise Agreement, for a
period not to exceed six (6) months. In the case of equipment not owned by Contractor,
Contractor shall assign to City, to the extent Contractor is permitted to do so under the
instruments pursuant to which Contractor possesses such equipment, the right to possess
24
the equipment. If City exercises its rights under this Section, City shall pay to Contractor
the reasonable rental value of the equipment so taken for the period of City's possession
thereof,
B. The right to license others to perform the services otherwise to be performed
by Contractor hereunder, or to perform such services itself, and
C. The right to obtain damages and/or injunctive relief. Both parties recognize
and agree that in the event of a breach under the terms of this Franchise Agreement by
Contractor, City may suffer irreparable injury and incalculable damages sufficient to
support injunctive relief, to enforce the provisions of this Franchise Agreement and to
enjoin the breach thereof.
20. RIGHTS F CITY To PERFORM DURING EMERGENCY
Should Contractor, for any reason whatsoever, except the occurrence or existence
of any of the events or conditions set forth in Section 28, "Force Majeure,,' below, refuse
or be unable to and collect, transport, recycle, compost, and dispose of solid waste and
construction debris and provide temporary bin/rolloff services any or all of the refuse,
compostables, and recyclables which it is obligated under this Franchise Agreement for a
period of more than seventy-two (72) hours, and if as a result thereof, debris, refuse,
compostables, recyclables, and construction debris should accumulate in City to such an
extent, in such a manner, or for such a time that the City Manager should find that such
accumulation endangers or menaces the public health, safety, or welfare, then in such
event City shall have the right, upon twenty-four (24) hour prior written notice to
Contractor, during the period of such emergency, to temporarily take possession of any
or all equipment and facilities of Contractor previously used in providing the collection,
transportation, recycling, composting, and disposal of solid waste and construction debris
and provide temporary bin/rolloff services under this Franchise Agreement, and to use
such equipment and facilities to collect, recycle, compost, and transport any or all debris,
refuse, compostables, recyclables, and construction debris and provide temporary
bin/rolloff services which Contractor would otherwise be obligated to collect, recycle,
compost, transport, and dispose of solid waste and construction debris and provide
temporary bin/rolloff services pursuant to this Franchise Agreement. Contractor agrees
that in such event it shall fully cooperate with City to effect such a transfer of possession
for City's use.
25
Contractor agrees that, in such event, City may take temporary possession of and
use all of said equipment and facilities without paying Contractor any rental or other
charge, provided that City agrees that, in such event, it assumes complete responsibility
for the proper and normal use of such equipment and facilities. City agrees that it shall
hu mediately relinquish possession of all of the above mentioned property to Contractor
upon receipt of written notice from Contractor to the effect that it is able to resume its
normal responsibilities under this Franchise Agreement.
21. PRI AC 1
Contractor shall strictly observe and protect the rights of privacy of customers.
Information identifying individual customers or the composition or contents of a
customer's waste stream shall not be revealed to any person, governmental unit, private
agency, or company, unless upon the authority of a court of law, by statute, or upon valid
authorization of the customer. This provision shall not be construed to preclude
Contractor from preparing, participating in,. or assisting in the preparation of waste
characterization studies or waste stream analyses which may be required by AB 939.
Contractor shall not market or distribute, outside the normal course of its business, mailing
lists with the names and addresses of customers. The rights accorded customers pursuant
to this Section shall be in addition to any other privacy right accorded customers pursuant
to Federal or State law.
22. REPORTS AND ADVERSE INFORMATIM
A. Monthly and Quarterly Wo . Contractor, at no additional expense, shall
submit to the City Manager such other information or reports in such forms and at such
times as the City may reasonably request or require, including, but not limited to the
following:
1) Monthly Reports. 'within fifteen(15)working days after the last day
of each month, Contractor shall submit a Monthly Report. The Deport shall be submitted
to City, transmitted in a format acceptable to City.
The monthly report shall show the number of tons disposed per month and
the total number of tons recycled per month. The information shall be reported for the
following categories: residential-curbside, multi-family, commercial, and
construction/industrial. The report should be in a form satisfactory to the City,
demonstrating the City's progress in meeting and maintaining its ability to meet its goals
under AB 939, along with any recommended changes.
26
2). Quarterly Deports. Within 30 days after the completion of each
quarter of the fiscal year Contractor shall submit a Quarterly Report. The Report shall
provide a quarterly summary of the monthly reports in addition to the following:
a. Recyclable Solid Wastes
(1) A statement showing by type of material, tons received
during the month and tons marketed during the month.
(2) Recycling sales revenue by type of material marketed on a
gross and net basis.
(3) A report providing recycling information and the number of
service recipients participating.
(4) A narrative description of problems encountered and actions
taken, including efforts to deter and prevent scavenging.
The narrative is to include a description of tons rejected for
sale after processing (type of material, tonnage), reason for
rejection and Contractor's disposal method for the rejected
materials.
(5) A report of recycling program promotional and educational
activities, including materials distributed by Contractor to its
service recipients.
B. Annual Reports. Contractor shall submit a written annual report, in a form
approved by the City, including, but not limited to, the following information:
(1) The number of accounts for each class of service for the year.
(2) A report, in a form satisfactory to the City, on the City's progress
in meeting and maintaining its ability to meet its goals under AB 939, along with
any recommended changes.
(3) A revenue statement, setting forth Franchise Fees and the basis
for the calculation thereof, certified by an officer of the Contractor, with an annual
statement certified by an independent auditor of the Contractor;
27
(4) A list of Contractor's officers and members of its board of directors.
A list of stockholders or other equity investors holding five percent (5%) or more
of the voting interest in the Contractor and any subsidiaries unless Contractor is a
public corporation whose annual reports are publicly available.
C. .Adverse Information. Contractor shall provide City two copies of all
reports, or other material adversely affecting the Franchise Agreement, submitted by
Contractor to the EPA, the California Integrated Waste Management Board, or any other
Federal or State agency. Copies shall be submitted to City simultaneously with
Contractor's filing of such matters with said agencies. Contractor's routine correspondence
to said agencies need not be automatically submitted to City, but shall be made available
to City upon written request, as provided in Section 27, below.
(1) The Contractor shall submit to City copies of all pleadings,
applications, notifications, communications, and documents of any kind, submitted
by the Contractor to, as well as copies of all decisions, correspondence, and actions
by, any Federal, State, and local courts, regulatory agencies, and other government
bodies relating specifically to Contractor's performance of services pursuant to this
Franchise Agreement. Any confidential data exempt from public disclosure shall
be retained in confidence by the City and its authorized agents and shall not be
made available for public inspection.
(2) Contractor shall submit to the City such other information or
reports in such forms and at such times as the City may reasonably request or
require.
(3) All reports and records required under this or any other section shall
be furnished at the sole expense of the Contractor.
(4) A copy of each of Contractor's annual and other periodic public
financial reports and those of its parent, subsidiary, and affiliated corporation and
other entities, as the City requests, shall be submitted to the City within thirty (30)
days after receipt of a request.
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D. Tonnage Receipt. The Contractor shall submit to the City Manager and/or
his designee quarterly reports setting forth the amount of tonnage of solid waste collected
from within the City limits and disposed of pursuant to this Agreement for the previous
quarter and setting forth the cumulative year-to-date total amount of tonnage of such solid
waste. Said reports shall be based upon the tonnage receipts provided to Contractor by the
solid waste facility or landfill. Contractor shall, upon demand by the City provide true and
accurate copies of the tonnage receipts in order for City to verify Contractors' quarterly
reports.
E. Failure to Report. The refusal, failure, or neglect of the Contractor to file
any of the reports required, or the inclusion of any materially false or misleading statement
or representation made knowingly by the Contractor in such report shall be deemed a
material breach of the Franchise Agreement, and shall subject the Contractor to all
remedies, legal or equitable, which are available to the City under the Franchise
Agreement or otherwise.
23. PUBLIC ACCESS TO CONTRACTOI(t
A. Office Hours. Contractor's office hours shall be, at a minimum, from 8:00
A.M. to 5:00 P.M. daily, on all collection days. A representative of Contractor shall be
available during office hours for communication with the public at Contractor's principal
office. In the event that normal business cannot be rectified over the telephone, a
representative of Contractor shall agree to meet with the public at a location agreeable to
Contractor and the public. Normal office hours telephone numbers shall either be a local
or toll free call. Contractor shall also maintain a local or toll free after-hours telephone
number for use during other than normal business hours. Contractor shall have a
representative or answering service available at said after-hours telephone number during
all hours other than normal office hours.
B. Service Complaints. Contractor shall address and manage all complaints in
the following manner:
(1) All customer complaints shall be directed to Contractor. Contractor
shall record all complaints received by mail, by telephone, or in person (including
date, name, address of complainant, and nature of complaint). Contractor agrees
to use its best efforts to resolve all complaints by close of business of the second
29
business (waste collection) day following the date on which such complaint is
received. Service complaints may be investigated by the City Manager or the
Manager's designee. Unless a settlement satisfactory to complainant, the
Contractor, and the Manager's designee is reached, the complainant may refer the
matter to the City Manager for review.
(2) Contractor shall maintain records listing the date of consumer
complaints, the customer, describing the nature of the complaint or request, and
when and what action was taken by the Contractor to resolve the complaint. All
such records shall be maintained and shall be available for inspection by City, as
described in Section 27.
C. Clovernment_Liaison Person. The Contractor shall designate a "government
liaison person" who shall be responsible for working with the City Manager or the City
Manager's designated representative to resolve consumer complaints.
24. RESOLLUTON OF DISPUTED MICOMER COMPLAINT
A. The Contractor shall notify customers of this complaint arbitration
procedure at the time customers apply for or are provided service, and subsequently,
annually.
B. A customer dissatisfied with Contractor's decision regarding a complaint
may ask the City to review the complaint. To obtain this review, the customer must
request City review within 30 days of receipt of Contractor's response to the Complaint,
or within 45 days of submitting the complaint to the Contractor, if the Contractor has
failed to respond to the complaint. The City may extend the time to request its review for
good cause.
C. Before reviewing the complaint, the City Manager shall refer it to the
Contractor. If the Contractor fails to cure the complaint within ten (10) days, the City
Manager shall review the customer's complaint and determine if further action is
warranted. The City Manager may request written statements from the Contractor and
customer, and/or oral presentations.
D. The City Manager shall determine if the customer's complaint is justified,
and if so, what remedy, if any, shall be imposed.
30
E. Contractor shall maintain all records relating to customer complaints, for
a period not less than one (1) year.
25. OWNERSHIP OF SOLIDWASTE: FLOW CONTROL
Ownership and the right to possession of refuse, compostables, and recyclables,
placed in containers, bins or rolloffs, or placed at curbside, shall transfer directly from the
customer to the Contractor, by operation of law. Contractors' arrangements with its
customers will provide that, subject to the right of the customer to claim lost property, title
and the right to possession, and liability for all recyclables and all solid waste, whether or
not recyclable, which is set out for collection on the regularly scheduled collection day
shall pass to contractor at the time it is set out. Subject to the provisions of this Franchise
Agreement, Contractor shall have the right to retain any benefit profit resulting from its
right to retain, recycle, compost, dispose of, or use the refuse, compostables, recyclables,
and construction debris which it collects. Refuse, compostables, recyclables, and
construction debris, or any part thereof, which is disposed of at a disposal site or sites
(whether landfill, transformation facility, compost facility, or material recovery facility)
shall become the property of the owner or operator of the disposal site or sites once
deposited there by Contractor. However, City, at its sole option, shall retain the right to
require Contractor which transformation facility, compost facility, material recovery
facility or landfill shall be used to retain, recycle, compost, process, and dispose of solid
waste and construction debris generated within the Franchise Area. In this instance,
Contractor shall conduct a rate audit and recommend, if necessary, a rate adjustment,
26. INDEMNIFICATION
A. Indemnification of City. Contractor agrees that it shall protect, defend with
counsel approved by City, indemnify, and hold harmless City, its officers, employees, and
agents from and against any and all losses, liabilities, fines, penalties, claims, damages,
liabilities, or judgments, including attorneys fees, arising out of or resulting in any way
from Contractor's exercise of this franchise, unless such claim is due to the sole negligence
or willful acts of the City, its officers, employees, agents, or contractors, or from the
City's grant of this franchise to Contractor. Subject to the scope of this indemnification
and upon demand of the City, made by and through the City Attorney, the Contractor shall
appear in and defend the City and its officers, employees, and agents in any claims or
actions, whether judicial, administrative, or otherwise arising out of the exercise of the
Franchise Agreement.
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B. Indemnification of Contractor. The City shall indemnify, defend and hold
the Contractor, its affiliates and their respective officers, directors, employees, and
shareholders harmless from and against any and all liabilities, losses, damages, claims,
actions, causes of action, costs, and expenses (including reasonable attorneys' fees) arising
from or in any manner related to the sole negligence or willful acts of the City, its officers,
employees, agents, or contractors.
C. Hazardous Sub tante Indemnification. Contractor shall indemnify, defend
with counsel approved by City, protect and hold harmless City, its officers, employees,
agents, assigns, and any successor or successors to City's interest from and against all
claims, actual damages (including but not limited to special and consequential damages),
natural resources damage, punitive damages, injuries, costs, response remediation and
removal costs, losses, demands, debts, liens, liabilities, causes of action, suits, legal or
administrative proceedings, interest, fines, charges, penalties, and expenses (including but
not limited to attorneys' and expert witness fees and costs incurred in connection with
defending against any of the foregoing or in enforcing this indemnity) of any kind
whatsoever paid, incurred or suffered by, or asserted against, City or its officers,
employees, agents, or Contractors arising from or attributable to any repair, cleanup or
detoxification, or preparation and implementation of any removal, remedial, response,
closure or other plan (regardless of whether undertaken due to governmental action)
concerning any hazardous substance or hazardous wastes at any place where Contractor
stores or disposes of municipal solid waste or construction and debris pursuant to this
Franchise Agreement.
The foregoing indemnity is intended to operate as an agreement pursuant to Section
107(e) of the Comprehensive Environmental Response, Compensation and Liability Act,
"CERCLA", 42 U.S.C. Section 9607(e) and California Health and Safety Code Section
25364, to insure, protect, hold harmless, and indemnify City from liability.
D. AB 939 Indemnification. Contractor agrees to protect, defend, with counsel
approved by City, and indemnify City against all fines or penalties imposed by the
California Integrated 'waste Management Board or local enforcement agency in the event
the source reduction and recycling goals or any other requirement of AB 939 are not met
by City with respect to the waste stream collected under this Franchise Agreement.
Assuming City and Contractor agree on programs, Contractor shall cause at least fifty
percent (50%) of the waste stream collected under this Agreement to be diverted from
landfills as defined by State law as amended from time to time by January 1, 2000.
32
E. Workers' Com Insurance. Contractor shall obtain and maintain
in full force and effect throughout the entire term of this .Franchise Agreement full
workers' compensation insurance in accord with the provisions and requirements of the
Labor Code of the State of California. Endorsements that implement the required coverage
shall be filed and maintained with the City Clerk throughout the term of this Franchise
Agreement. The policy providing coverage shall be amended to provide that the insurance
shall not be suspended, voided, canceled, reduced in coverage or in limits except after
thirty (30) days' prior written notice by certified mail, return receipt requested, has been
given to City. The policy shall also be amended to waive all rights of subrogation against
the City, its elected or appointed officials, employees, agents, or Contractors for losses
which arise from work performed by the named insured for the City.
27. CONTRACTOR'S K RECORDS; AUDIT
A. Contractor shall maintain all records relating to the services provided
hereunder, including, but not limited to, customer lists, billing records, accounts payable
records, maps, and AB 939 compliance records, for a period of not less than three (3)
years, or any longer period required by law. The City shall have the right, upon five (5)
business days advance notice, to inspect all maps, AB 939 compliance records, customer
complaints, and other like materials of the Contractor which reasonably relate to
Contractor's compliance with the provisions of the Franchise Agreement. Such records
shall be made available to City at Contractor's regular place of business, but in no event
outside the County of®range.
B. Should any examination or audit of Contractor's records reveal an
underpayment of any fee required under this Franchise Agreement, the amount of such
underpayment shall become due and payable to City not later than fifteen (15) days after
written notice of such underpayment is sent to Contractor by City. Should an
underpayment of more than three percent (3%) be discovered, Contractor shall bear the
entire cost of the audit of the franchise fees.
28. GENERAL PROVISIONS
A. Force Majeure. Contractor shall not be in default under this Franchise
Agreement in the event that the and temporary bin/rolloff services and the collection,
transportation, recycling, composting, and disposal of solid waste and construction debris
provided by the Contractor are temporarily interrupted or discontinued for any of the
following reasons: riots, wars, sabotage, civil disturbances, insurrections, explosion,
natural disasters such as floods, earthquakes, landslides, and fires, strikes, lockouts, and
33
other labor disturbances or other catastrophic events which are beyond the reasonable
control of Contractor. Other catastrophic events do not include the financial inability of
the Contractor to perform or failure of the Contractor to obtain any necessary permits or
licenses from other governmental agencies or the right to use the facilities of any public
utility where such failure is due solely to the acts or omissions of the Contractor. In the
event a labor disturbance interrupts temporary bin/rolloff services and the collection,
transportation, recycling, composting, and disposal of solid waste and construction debris
by Contractor as required under this Franchise Agreement, City may elect to exercise its
rights under Section 17 of this Agreement.
B. Independent Contractor. Contractor is an independent contractor and not
an officer, agent, servant, or employee of City. Contractor is solely responsible for the
acts and omissions of its officers, agents, employees, Contractors, and subcontractors, if
any. Nothing in this Franchise Agreement shall be construed as creating a partnership or
joint venture between City and Contractor. Neither Contractor nor its officers, employees,
agents, or subcontractors shall obtain any rights to retirement or other benefits which
accrue to City employees.
C. Pavement Damage. Contractor shall be responsible for any extraordinary
damage to City's driving surfaces, resulting from negligence in providing refuse collection
and temporary bin/rolloff services.
D. ELQp yDamage. Any physical damage caused by the negligent or willful
acts or omissions of employees, Contractors, or subcontractors of the Contractor to private
or public property shall be repaired or replaced.
E. Right� of Entry. Contractor shall have the right, until receipt of written
notice revoking permission to pass is delivered to Contractor, to enter or drive on any
private street, court, place, easement, or other private property for the purpose of
providing temporary bin/rolloff services and the collection, transportation, recycling,
composting, and disposal of solid waste and construction and demolition debris pursuant
to this Franchise Agreement.
F Law to Govern. Venue, The law of the State of California shall govern this
Franchise Agreement. In the event of litigation between the parties, venue in state trial
courts shall lie exclusively in the County of Orange. In the event of litigation in a U.S.
District Court, exclusive venue shall lie in the Central District of California.
34
G. Fees and Gratuities. Contractor shall not, nor shall it permit any agent,
employee, or subcontractors employed by it to, request, solicit, demand, or accept, either
directly or indirectly, any compensation or gratuity for temporary bin/rolloff services and
the collection, transportation, recycling, composting, and disposal of solid waste and
construction debris otherwise required under this Franchise Agreement.
H. Prior Agreements and Amendm . This Franchise Agreement is intended
to carry out City's obligations to comply with the provisions of the California Integrated
Waste Management Act of 1989, ("AB 939") as it from time to time may be amended, and
as implemented by regulations of the California Integrated Waste Management Board
("Regulations"), as they from time to time may be amended. In the event that AB 939 or
other State or Federal laws or regulations enacted after this Franchise has been enacted,
prevent or preclude compliance with one or more provisions of this Franchise Agreement,
such provisions of the Franchise shall be modified or suspended as may be necessary to
comply with such State or Federal laws or regulations. No other amendment of this
Franchise Agreement shall be valid unless in writing duly executed by the parties.
I. Compliance with Franchise Agreement. Contractor shall comply with those
provisions of the San Juan Capistrano Municipal Code which are applicable, and with any
and all amendments to such applicable provisions during the term of this Franchise
Agreement.
J. Notices. All notices required or permitted to be given under this franchise
shall be in writing and shall be personally delivered or sent by telecopier(fax), or United
States certified mail, postage prepaid, return receipt requested, and addressed as follows:
To City: City of San Juan Capistrano
City Attorney
32400 Paseo Adelanto
San Juan. Capistrano, CA 92675
To Contractor: Solag Disposal Company Incorporated
P. 0. Box 11001
San Juan Capistrano, California 92693
Telecopier: (714) 240-0195
Telephone: (714) 240-0446
35
or to such other address as either party may from time to time designate by notice to the
other given in accordance with this Section. Notice shall be deemed effective on the date
personally served or, if mailed, three (3) business days from the date such notice is
deposited in the United States mail.
K. Savings Clause and Entirety. If any non-material provision of this Franchise
Agreement shall for any reason be held to be invalid or unenforceable, the invalidity or
unenforceability of such provision shall not affect the validity and enforceability of any of
the remaining provisions of this Franchise Agreement.
L. Exhibits Incorporated. Exhibits "A" through "F" are attached to and
incorporated in this Franchise Agreement by reference.
WITNESS the execution of this Agreement on the day and year written above.
CITY OF SAN JUAN CAPISTRANO
ATTEST:
Ey
David Swerdlin, Mayor
Cheryl Jo n, eity Clerk
APPROVED AS TO FORM
44
Rz hard Denhalter, City Attorney
Solag Disposal Co. Incorporated
By P "'w
Lz. e
Tom Trulis, Owner/President
36
ACKNOWLEDGMENT
STATE OF }
ss.
COUNTY OF )
On , before ane, the undersigned, A Notary Public in and for the
State of California, personally appeared
personally known to me (or proved to me
on the basis of satisfactory evidence) to be the person(s) whose name(s) is/are subscribed
to the within instrument and acknowledged to me that he/she/they executed the same in
his/her/their authorized capacity(iq-�j, and that by his/her/their signatures(s) on the
instrument the person(s), or the entity upon behalf of which the person(s) acted, executed
f
the instrument.
r
Signature:
CORPORATE SEAL
37
EXHIBIT A
Solid Waste—CQ_Ilection Rate Schedule
1. Automated residential curb and roadside collection, recycling, composting and
disposal located on a paved, two lane road; monthly rate for:
(2) 35 gallon containers one refuse, one recycling. $11.72
(2) 67 gallon containers one refuse, one recycling: $12.99
(3) 67 gallon containers one refuse, one recycling, one compost:$ 13.47
Each additional 35 gallon container: $3.21
Each additional 67 gallon container: $3.32
Vacancy, self hauler exemption: $6.59
2. Multi-family, Commercial and Industrial receiving bin. service (3 cubic yard bins)
for DISPOSAL; monthly rate with the following pickups per week:
1 x week $ 72.63 4 x week $194.82
2 x week $113.76 5 x week $237.14
3 x week $149.37 6 x week $278.32
3. Roll-Off Rate:
Regular
Service
Drop-off-box: 138.56 + Actual Landfill fee
Compactor: 138.56 + Actual Landfill fee
On-Call
Service
36 cu. yd. 3 cu. yd. Drop-off-box:
Drop-off-box: 341.07 ( 24 Hrs.) 38.64
Lowboy ( weekly ) 49.76
Drop-off-box: 408.56
Bulky Items: First two calls: $-0-
Each call thereafter: $10.00
Miscellaneous Fees:
Graffiti Removal per incident - Residential User $10.00
Commercial User $10.00
Delinquent Fee $5.00 Redelivery or Reinstatement Fee $15.00
Refund Fee $1.50
38
EXHIBIT B
Solid t lecti n Rate Com u tion F Mul
Base_Rate_Adjustment
The Contractor shall be entitled to an annual increase of the base rate, not to exceed 4%
per annum using of the producers price index ("PPI") for finished goods published by the Bureau
of Labor Statistics on January 1 of each contract year commencing January 1, 1997. The index.
for November 1 to October 31 shall be used.
Disposal Rate Adjustment
Additionally, the landfill tipping fee adjustment shall be a pro-rata pass through of any
tipping fee increase or decrease. The ,pounds of refuse per customer shall be adjusted annually
based on the contractors landfill gate receipts for the previous year. The landfill tipping fee pass
through formula is as follows:
(A) Residential Pickup = The difference between current tip fee and proposed tip fee
divided by the current tip fee to establish the percentage variance change. The variance
times the tip fee equals the rate change. Rate change is added for increase and subtracted
for decrease in tip fee.
(B) Commercial Pickup = Total annual tons 12 month equals monthly tonnage average.
Monthly tonnage times the 2,000 equals monthly rate in pounds. Monthly pound divided
by total number of monthly dumps equals weight per bin. Pounds per bin divided by 2,000
equals percentage of one ton. Percentage of one ton tunes the per ton dump fee equals tip
fee pass thru rate per single frequency.
Residential Rate Composite:
Two 35 gallon containers:
Base Tipping Total
Rate Fee Rate
10.01 + 1.71 — 11.72
Two 67 gallon containers:
Base Tipping Total
Rate Fee Rate
10.16 + 2.83 12.99
39
Three 67 gallon containers:
Base Tipping Total
Rate ftt_ Vie_
10.48 + 2.99 = 13.47
Commercial Rate Composite for Disposal Only:
Bas Rate +TiDDing Fee + AB939 = Total Rate
1 x wk 50.41 20.80 1042 72.63
2 x wk 69.94 41.60 2.22 113.76
3 x wk 84.50 62.40 292 149.37
4 x wk 107.81 83.20 3.81. 194.82
5 x wk 128.51 104.00 4.63 237.14
6 x wk 148.07 124.80 5.45 278.32
Roll-Off Rate:
Regular Service: Base Rate + Tipping Fe ,Total Rate
Drop-Off-Box 138.56 Actual 0
Compactor 138.56 Actual 0
On-Call Service Base Rate + Tipping Fee = Total Rate
Drop off box:
36 cubic yard 138.56 202.51 341.07
Lowboy 10 cu yds. 138.56 270.00 408.56
3 CUBIC YARD
BIN:
24 hrs 31.79 6.85 38.64
Meekly 43.13 6.63 49.76
40
EXHIBIT C
&&ycling_Programs, Service Com=ncement,
AB 939 Education
A. Contractor guarantees to City that it shall cause at least twenty-five percent
(25%) by January 1, 1995, and fifty percent (50%) by January 1, 2000, of the annual
waste stream collected under this Franchise Agreement to be diverted from ultimate deposit
in landfills or transformation facilities in accordance with the regulations implementing the
California Integrated Waste Management Act of 1959 (as amended) (also known as
"AB 939"). Contractor shall make every effort possible to assist in 'implementing the
programs identified in the City's Source Reduction and Recycling Element (SRRE) and
Household Hazardous Wastes Element (HHWE). Contractor shall provide City with
written reports in a form adequate to meet City's reporting requirements to the California
Integrated Waste Management Board and to the County of Orange throughout the term of
this Franchise wherein its performance under this program is set forth in detail.
B. Beginning July 1, 1995, Contractor shall conduct a waste audit of all contracted
commercial and multi-family accounts to determine their recyclable content, prior to
services being rendered. The process used to conduct this waste audit shall be shared with
the City of San Juan Capistrano, to ensure permit compliance and acceptance. Beginning
January 1, 1999, those accounts that contain a significant recyclable content shall be
processed through the a MRF that processes materials for reuse.
C. Any new collection containers or replacements shall be purchased and provided
by Contractor at Contractor's expense and provide the minimum specifications contained
in Exhibit "D.99 The container that is designated as recyclables shall have its contents
processed at a material recovery facility. The green waste container shall its contents
processed of in a compost facility. The refuse container shall have its contents taken to the
landfill for disposal. Contractor shall provide to every new residential account an
announcement of the recycling program, instructions on how to participate, and what
services are available to the homeowner.
D. Public EducationFund. Commencing with the implementation of the mechanized
residential container system, Contractor shall continually maintain an "Public Education
Fund" for the sole purpose of supplying public education and information about source
reduction, recycling, and composting. The amount to be set aside is .09 per household per
month derived from the base rate. The public Education Fund shall be held in an interest
bearing bank account, separate from other funds utilized by Contractor, and shall be made
available for audit review upon request of the city. All interest earned on the balance
remaining in this fund shall remain as part of the fund.
E. Contractor shall employ a person as the recycling coordinator whose sole
responsibilities will be the implementation of the programs contained in the City's SRRE
and HHWE.
F. The failure of Contractor to achieve any of the above shall be deemed a material
breach of this Franchise Agreement.
41
EXHIBIT D
Mix-imum Container„Specifications
Each container provided for the residential curbside collection shall have a capacity of
sixty-seven (67) or thirty-five (35) gallons. Each container (including hardware) shall be
fully guaranteed for ten (10) years against breakage or material failure. When the word
"container" is used in this specification, it is defined as a complete unit including full lid
assembly, wheels and axle. Contractor shall be responsible for the replacement of
container, wheels, lids, hinges, axles, and handles which fail by reason of improper or
inadequate materials or defective workmanship, or insufficient resistance to weathering or
any other cause other than negligent or abusive use by third parties or homeowners. The
containers shall meet the following specifications in all material respects. Any deviations
from the specifications shall be approved by the.City Manager or designee.
1. C= Body
Rotationally molded, one hundred percent (100%) first quality High Density Crosslink
Polyethylene, ultraviolet stabilized Paxon 7004/7204 or Phillips 66 CL 200. Certified to
contain ultraviolet stabilization provided by the equivalent of .5% of UV 531 stabilization
compound. Certified to meet a minimum ESCR rating exceeding 1000 hours for both
1.00% and 10% Igepal solutions.
2. Cart Handle Mounts
Integrally molded part of cart body made of the same material as the body and require no
hardware (No caps, screws, metal hinges or PVC pipe). External handle diameter, 1.375
inches.
3. Cart Lid
Each container shall be furnished with a lid molded from the same material as the container
and shall be of such a configuration that it shall not warp, bend slump, or distort to such
an extent that it no longer fits flush on the container properly or becomes otherwise
unserviceable. The lid shall be designed in such a manner to insure that it will be
watertight. The lid shall have the same thickness as the container and shall fully open at
95 - 110 degrees.
Imprinted with "Instructions" and "Indications and Contraindications" in English and
Spanish.
4. Wheel R
Locking system to prevent disassembly.
5. Ax s
42
5/8" galvanized solid steel fully supported by cart body. No bolts or rivets used for
mounting.
6. Wheels
Each container shall be equipped with wheels molded from the same material as the body.
Wheels shall be ten (10) inches in diameter by two and one-half (2'/z) inches in width.
Minimum R.M.A. load rating of 180 pounds per wheel.
7. Capacity
Container volume sixty-seven (67) or thirty--five (35) U.S. gallons.
8. Dimensions
67 Gallon Container = Width: 31 inches Length: 36 inches Height: 45 inches.
35 Gallon Container = Width: 21 inches Length:21.5 inches Height: 38 inches.
10. Calor
Ultraviolet stabilized, non-fading tan, green, and black.
11. Stability
Designed to prevent being turned over by winds of up to 25 mph in any direction when
empty.
12. Hot Stam
To meet the provisions of this franchise agreement § 8(A)(14).
13, Serial Number
Each container shall be "hot stamped" with an individual serial number which shall
correspond with individual addresses.
43
EXHIBIT E
Special Wastes
Flammable waste
Containerized waste (e.g., a drum, barrel, portable tank, box, pail, etc.)
Waste transported in a bulk tanker
Liquid waste
Sewage sludge
Waste from a pollution control process
Residue and debris from the cleanup of a spill or release of chemical substances,
commercial products or any other special wastes.
Contaminated soil, waste, residue, debris, and articles from the cleanup of a site or
facility formerly used for the generation, storage, treatment, recycling, reclamation, or
disposal of any other special wastes.
Dead animals
Manure
Waste water
Explosive substances
Radioactive materials
Materials which have been exposed to highly infectious or contagious diseases
Hazardous materials
44
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AGENDA ITEM -4- March 7, 2000
ALTERNATE ACTIONS:
1. By motion adopt the resolution approving the Franchise Transfer from Solag
Disposal Company, Inc. to CR&R Incorporated and First Amendment to the
Integrated Solid Waste Collection Agreement; and, authorize the Mayor to execute
the First Amendment.
2. By motion adopt the resolution approving the Franchise Transfer from Solag
Disposal Company, Inc. to CR&R Incorporated and First Amendment to the
Integrated Solid Waste Collection Agreement subject to modifications.
3. Do not approve the Franchise Transfer and refer to staff for additional information.
RECOMMENDATION:
By motion adopt the resolution approving the Franchise Transfer from Solag Disposal
Company, Inc. to CR&R Incorporated and First Amendment to the Integrated Solid Waste
Collection Agreement; and, authorize the Mayor to execute the First Amendment.
Respectfully submitted,
Douglas D. Dumhart
Principal Management Analyst
Attachments A: Statement of Qualifications
B: Resolution Approving Merger
C: First Amendment Agreement
C:IAGENDAS1200013-7 Solag Al.wpd
Cit&R, Incorporated
Statement of Qualifications
CR&R, Incorporated("CR&R"), a privately held corporation established in 1963, provides
comprehensive environmental management services throughout the Western United States to
municipalities, retail, commercial, residential, construction, and industrial customers. CR&R is one of
Southern California's prentier environmental management companies.
CR&R's management and engineering staff have extensive experience in solid waste collection, hauling,
Processing, and transfer operations; as well as, collecting, processing, marketing, and transporting of
recyclable materials. CR&R currently employs over 475 people at ten separate locations which service
customers in California, Arizona, Oregon, Washington,Nevada, Utah, and Colorado. CR&R owns and
operates a fleet of over 350 trucks and trailers.
CR&R's revenues are derived from public and private entities requiring efficient and cost-effective solid
waste management programs. CR&R's recycling network services approximately 400 recycling centers
ing contracts with domestic and foreign paper mills,
in over 100 cities. The company currently has market
metal, glass, and plastic processors. CR&R is currently processing and marketing all recyclable materials
from over 25 curbside programs throughout Southern California. CR&R and its affihates currently
process approximately 55,000 tons of recyclables and solid waste per month.
CR&R services the Cities of Stanton, Perris,Temecula, Canyon Lake, Lake Elsinore, and Rossmoor
under long term exclusive agreements. CR&R has also constructed two model solid waste recycling and
transfer facilities, CR Transf r (Stanton Material Recovery Facility) and the Perris ist at(,,C Recovery
Facility. Both have permitted capacities of 1,800 tons per day. These ventures illustrate CR&R's
commitment to providing efficient and imaginative solutions. The contracted waste received at the
transfer stations is mechanically and manually sorted to recover the recyclables. CR Transfer has
exclusive long term agreements to handle the solid waste from the Cities of Costa Mesa, Newport Beach,
Buena Park, La.Palma, Rossmoor (County of Orange), Stanton, Signal Hill, Cerritos, and Midway City
(Westminster).
Haulaway Storage Containers is the premier provider of portable steel security containers in the Western
United States. For over twenty years, through a network of regional service centers, Haulavvay has served
major industries with temporary, on-site storage space. Using portable steel security containers to protect
building materials, tools, and other equipment on job sites has become an industry norm since this
concept-vas introduced by Haulaway in the late I960's. With its own manufacturing capabilities,
Haulaway has designed and refined their containers to provide weather-resistant, theft-resistant,
completely portable security containers to meet the specific needs of their diverse customer base.
Attachment A
Rage f of 6
So[ag Disposal, Inc.
SOLAG DISPOSAL
E Board of Directors
E
1
Clifford Ronnenberg Thomas Trulis
CO-Chairman
CFO Co Chairman
Tom Sciarrino Jim Koutroulis
David Fahrion._�
CFC] President Transition
Director
I Joyce Amato Roger Van Valkenberg
Controller General Manager
Janice Manville
Admr.Assist
Payroll Rosie Martinez
Casio Recei is
--
` Maria LazureK George Lazurek Cameron Spicer
Sales Manager Contract Admin& O erations/Facilit Dan Beaty
( Accounts ` Julie i g p y Recycling Mgr.
Payable Cash Recei is Temp.Office Mgr. _ Business Develop. Manager
. ............_._ _.._.
Tommy Koutroulis
.................. Asst.Operations
Receptionist Toni Bradley Manager
-- Asst. Office Mgr.
Customer Serv.
................_
Monica Damian Cardona Frank Me�cad�
Credit/Collection ( Maint.,Stp. J _Fleet SupIF
ervisor
NatellHs Vega
Customer Service
Star Morales
M.Topate Lurs Termano
Residentail Frm. Reskcential Frm
Commercial DOB �-__� .���---�
p . �X rystal'Martinez
K
---Su Vervcsor � ustomer Service] _
- -
Juan Vaiesco ---GregPerez
Jorge —- _ DOB Foreman Commercial Frm_
to �Llamas � MonicaMaldonada
r Service l Customer Service
Customer Jack Clark_ Luis Gonzales
L Field Superolsor
_ Welder
W Vance Bradley j1 Roxanne ra
ustomer SentcCustomer Seric�
E
,
Statement of Experience
Name of Firm: Solag Disposal, Inc. CR&R, Incorporated
Instructions: Answer all of the following questions. If naorc space is needed, attach additional sheets of paper.
If a question does not apply to your organization, answer with a full negative response rather than staffing"non----
applicable".
1. Please list any current and valid organization license(s) to do business in California:
A. Solid Waste Facility Permit# 30-AB-0013-01 0 Stanton Material Recovery Facility
B. Solid Waste Facility Permit# 33 —AA— 0239-01 Perris Material Recovery Facility
C. CR&R Incor orated and Solag Disposal have munerous business licenses in cities
throughout Southern California.
D. Both Sola and CR&R are California co orations in good standing.
2. Indicate any type of certification/accreditation that your organization may possess.
S.olag and CR&R do not possess any certifications or accreditations. However both companies have
been repeatedly recognized for their superior service and communit artici ation.
3. How many years has your organization been in business under its present name?
A. Solar Disposal Inc. has been in business since 1957.
B. CR&R Incorporated.has been in business since 1963.
4. How many years of experience does your organization have providing the required services? Describe this
experience and present your qualifications for providing these services. Attach, if relevant, copies of formal
evaluations conducted of your organization within the last three years.
Please see the attached. Statement of Qualification.
5. List the contracts served by the acquiring firm and contacts for each contract.
1. City Of Stanton Oran=e Co. Terry Matz City Manager 714-379-9222
2. MidwAy City Sanitary Dist. Orange Co. Del Boyer Gen Mgr. 714-893-3553
3. Costa MesaSanitar Dist. Orange Co. Rob Hamers Gen.M r. 714-754-5043
4. Newport Beach Orange Co. David Neiderhaus Dir. Gen. Services 949-644-3055
5. County of Orange Orange Co. Jan Goss Dir. Gov. Relations 714-834-4108
6. City of Perris Riverside Co. Ron Molend k City Manager 909-943-1991
7. City of Temecula Riverside Co. Phyllis Ruse Dep, Dir. 909-694-6480
8. City of Canyon Lake Riverside Co. Kathy Bennett Contract Admin. 909-244-2955
9, Lake Elsinore Riverside Co. Richard Waten. au h City Manager 909-674-3124
1.0. County of Riverside Riverside Co. Damien Meins Supervisor LEA 909-955-8982
IL San Bernardino Coujitv San Bern. Co. Gerry Newcombe Contract Admin. 909-386-8703
3 of 6
6. Has the acquiring firm requested a rate increase in excess of COLA in the last two years for any of their
contracts? If so, please explain.
Neither CR&R nor Solag have ever requested nor been granted a rate increase greater than CPI (Consumer
Price Index), or PPI Producers Price Index with the exception of a rate adjustment when new programs
have been implemented.
7. Describe the firms funding base and financial management system including key fiscal policies to ensure
accuracy and accountability.
Solag and CR&R's funding base is derived from their working capital from operations, credit facilities from
Wells Fargo Banlc, Foothill Capital Corporation, and G.P. Capital Corporation and both.companies are very
active in low cost public financing programs provided by the California Pollution. Control Financing
Authority. Solag and CR&R follow strict GAAP accounting standards and are audited annually b the CPA
firm of Kushner Smith. Joanou & Gregson,.a large regional CPA practice located in Irvine California.
8. Has your organization failed or refused to complete a contract?
Solag.and CR&R have never failed or refused to complete a contract.
9. Does your organization have any controlling interest in any other fines providing equivalent or similar
services?
Solag and CR&R do not have controlling interest in any other firm providing equivalent or similar service.
10.Does your organization have financial.interest in other line of business?
ljaulawa, Stege Containers is a division.of CR&R. Haulaway is one of the nations largest providers of
portable steel storage/security storage/securitycontainers. For over twenty-five years, Flaulaway has served major industries
with tem ora on-site storage space.
4 of 6
History of Litigation
Name of Firm: Solag Disposal Inc. CR&R, IncoMorated
Firm Involvement in Litigation
Check YES or NO to the following questions. If a yes answer is checked, please explain fully the circumstances and
include discussion of the type of prograin involved as well as the potential impact on this program, if funded.
I. Is the organization or any of its principal officers in litigation now or within the last two years?
[NO ] Neither Solag nor CR&R nor any of thein-primal officers are involved in litigation now or
have been so involved in the past two years.
2. Is the Executive Director involved in litigation?
[NO ] No member of the senior rnanafZernent team of either com an is involved in litigation.
3. Are any members of the Board of Directors unable to be bonded?
[NO ] All members of the Boards of Directors are able to be bonded.
4. Are any key staff members unable to be bonded?
[NO;I All ke staff members can be bonded.
5. Has the organization or Director ever been cited for improper management?
[NO ] Neither Sola CR&R nor aLiy members of their senior mariagement team has ever been cited for
improper management,
5 of 6
Statement of References
Name of Firm: CR&R, Incorporated
Date of Service Name Address Phone Contact
1963 City of Stanton 7800 Katella 714-379-9222 Terry Matz
Stanton, CA 90680 City Manager
CR&R provides refuse collection and recyclable material recovery for all residential and commercial customers
within the City of Stanton.
1991 County of Orange 320 N. Flower St, 714-834-4108 Jan. Goss
Santa Ana, CA Contract Admin.
CR&R provides refuse collection and recyclable material recovery for all residential and commercial customers
within the Orange County area 9 1- Rossmoor.
1991 City of Temecula P.O. Box 9033 909-694-6480 Phyllis Ruse
Temecula CA Deputy Director
CR&R provides automated refuse collection, green waste recycling and recyclable material recovery for all
residential customers and refuse collection and material recovery services :for all commercial, industrial,
construction and demolition customers within the City of Temecula. Additionally, CR&R provides street
sweeping services for the entire city of Temecula. Currently the City of Temecula is achieving a 53% diversion
rate, which places the City in full compliance with AB 939.
1992 City of Lake Elsinore 130 S. Main St. 909-674-3124 Richard Watenpaugh
Lake Elsinore, CA City Manager
CR&R provides automated refuse collection, green waste recycling and recyclable material recovery for all
residential customers and refuse collection and material recovery services for all commercial, industrial,
construction and demolition customers within the City of Lake Elsinore. Additionally, CR&R provides street
sweeping services for the entire city of Lake Elsinore. Currently the City of Lake Elsinore is achieving a 50%
diversion rate, which places it in full compliance with AB 939.
1992 Canyon Lake 31532 Railroad Cyn Rd 909-244-2955 Cathy Bennett
Canyon Lake, CA 92587. Cont. Admin
CR&R provides automated refuse collection, green waste recycling and recyclable material recovery for all
residential customers and refuse collection and material recovery services for all commercial, industrial,
construction and demolition customers within the City of Lake Elsinore. Additionally, CR&R provides
Currently the City of Canyon Lake is achieving a 55% diversion rate, which places it in full compliance with
AB 939.
6 of 6
RESOLUTION NO. 00-3-7-2
APPROVING MERGER AND TRANSFER OFF Ni HISE AGREEMENT -
SOLAG DISPOSAL COMPANY AND CR&R CONSOLIDATED
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SAN JUAN
CAPISTRANO, CALIFORNIA, APPROVING THE REQUEST OF SOLAG
DISPOSAL COMPANY TO CONSOLIDATE WITH CR&R INCORPORATED
AND APPROVING TRANSFER OF FRANCHISE AGREEMENT
WHEREAS, by agreement dated December 17, 1997, the City granted to Solag
Disposal Company the exclusive right to collect solid waste in the City of San Juan Capistrano;
and,
WHEREAS, Solag Disposal Company desires to merge with CR&R Incorporated
to better serve the citizens of the City of San Juan Capistrano; and,
WHEREAS, the aforesaid agreement states that no assignments or transfer of
said rights shall be made without the prior written consent of City; and,
WHEREAS, this City Council believes that the aforesaid merger will result in
improved municipal solid waste collection and management for the City of San Juan
Capistrano; and,
WHEREAS, a first amendment to the Integrated Solid Waste Collection
Agreement has been prepared to transfer the franchise contract from Solag disposal Company
to CR&R Incorporated,
NOW, THEREFORE, BE IT RESOLVED, by the City Council of the City of San
Juan Capistrano that the request of Solag Disposal Company to merge with CR&R.
Incorporated is hereby approved.
BE IT FURTHER RESOLVED, that the City Council hereby approves the First
amendment to the Integrated Solid Waste Collection Agreement and authorizes the Mayor to
execute the Amendment.
PASSED, APPROVED, AND ADOPTED his 7th day of March, 2000.
OLLE CA BELL, MAYOR
ATTEST:
CITY CLERW
STATE OF CALIFORNIA )
COUNTY OF ORANGE ss
CITY OF SAN JUAN CAPISTRANO �
I, CHERYL JOHNSON, City Clerk of the City of San Juan Capistrano, California,
®O HEREBY CERTIFY that the foregoing is a true and correct copy of Resolution No,
00-3-7-1 adopted by the City Council of the City of San Juan Capistrano,
California, at a regular meeting thereof held on the 7th day of March, 2000, by the following
vote:
AYES: Council. Members Bathgate, Greiner, Bart, Swerdli.n
and Mayor Campbell
NOES: None
ABSTAIN: None
ABSENT: None
(SEAL)
CHERYL JOHOSOW, CITY CLERK
-2-
32400 PASEO ADELANTO MEMBERS OF THE CITY COUNCIL
SAN JUAN CAPISTRANO,CA 92675 ". JOHN
GREINER GSELL
NER
(949) 493-1171 IAtOIPIIlA1E9 WYATT HART
(949)493—t 053 (FAX) GIL JO
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tn 1961 NE5WER(7LIN
• •
CITY MANAGER
s
a GEORGE SCAR80ROUGH
March 9, 2000
Mr. Tom Trulis
Solag Disposal Company, Inc.
P. ®. Box 1100
San Juan Capistrano, California 92693
Re: Transfer of Franchise for Solid Waste Collection
Dear Mr. Trulis:
At their meeting of March 7, 2000, the City Council of the City of San Juan Capistrano took
action to approve the transfer of the City's solid waste franchise from your company to
CR&R, Incorporated.
A fully-executed copy of the "First Amendment to the Integrated Solid Waste Collection
Agreement," and a copy of Resolution No. 00-3-7-2, setting forth the City's actions,-are
enclosed for your files.
Please feel free to contact Douglas Dumhart at 949-443-6316 if you have any questions.
Very truly yours,
Cheryl Joh`hson
City Clerk
Enclosures
cc: Douglas Dumhart (with enclosure)
�s
San Juan Capistrano: Preserving the Past to Enhance the Future
Joao
32400 PASO AoELANTq MEmEBERS OF THE c€TY COUNCIL
SAN JUAN CAPISTRANO, CA 92675 i COLLENE CAMPBELL
JOHN
(949) 493-1 17 �IAtAA731AiEE WYATTGHARTER
(949) 493-1053 (FAX) isrAAl saEA 14b1 GIL JONES
1776 DAVID M.SWERDLIN
a
C€TY MANAGER
GEORGE SCARBOROUGH
o °
March 9, 2000
Mr. David E. Fahrion
CR&R Incorporated
11292 Western Avenue
Stanton, California 90680
Re: Transfer of Franchise for Solid Waste Collection
Dear Mr. Fahrion:
At their meeting of March 7, 2000, the City Council of the City of San Juan Capistrano took
action to approve the transfer of the City's solid waste franchise from Solag Disposal
Company, Incorporated., to your company, CR&R, Incorporated.
A fully--executed copy of the "First Amendment to the Integrated Solid Waste Collection
Agreement," and a copy of Resolution No. 00-3-7-2, setting forth the City's actions, are
enclosed for your files.
Please feel free to contact Douglas Dumhart at 949-443-6316 if you have any questions.
Very truly yours,
Cheryl Joh son
City Clerk
Enclosures
cc: Douglas Dumhart (with enclosure)
DRUG USE
is
bima
Scan Juan Capistrano: Preservsag the Fust to Enhance the Future