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CC - 06-20-91 - Adjourned MeetingAPPROVED MINUTES OF THE ADJOURNED MEETING CITY O/F~OS~iMEAD ROSEMEAD CITY COUNCIL DAT yy JUNE 20, 1991 By The Regular Meeting of the Rosemead City Council was called to order by Mayor Imperial at 8:08 p.m. in the Council Chambers of City Hall, 8838 E. Valley Boulevard, Rosemead, California. The Pledge to the Flag was led by Mayor Pro Tem Clark. The Invocation was delivered by Councilman Taylor. ROLL CALL OF OFFICERS: Present: Councilmen Bruesch, McDonald, Taylor, Mayor Pro Tem Clark,'and Mayor Imperial Absent: None PRESENTATIONS: - None I. ORAL COMMUNICATIONS FROM THE AUDIENCE A. Holly Knapp, 8067 Whitmore Street, announced that Councilman Bruesch had been named Teacher of the Year by the Garvey School District; asked the Council to approve the purchase of one hundred flags at $.79 each to be given out on the parade route; and suggested asking the local cable company film the parade on July 4, 1991. II. PUBLIC HEARINGS - None The following item was taken out of order in deference to those in the audience. V. MATTERS FOR DISCUSSION & ACTION A. CONSIDERATION OF REFUSE AND RECYCLING FRANCHISE WITH CONSOLIDATED DISPOSAL SERVICES, INC. Al. RESOLUTION NO. 91-29 - APPROVING AN EXCLUSIVE FRANCHISE AGREEMENT FOR REFUSE HAULING AND RECYCLING VERBATIM DIALOGUE FOLLOWS: MCDONALD: In order to get it on the floor for discussion, I'll move the recommendation. IMPERIAL: It's been moved. Is there a second? BRUESCH: Second. IMPERIAL: It's been regularly moved and seconded. Any comments? Staff report. FRANK G. TRIPEPI, CITY MANAGER: Mr. Mayor, we've attached for you this evening a copy of the refuse and recycling agreement which has been signed by the contractor, Consolidated Disposal Service, Inc. We've also attached a memorandum from the City Attorney which outlines all the changes in the agreement from the draft provided which was sent out several months ago. Please note that two copies of the agreement are attached. First, is the version showing the changes and then the clean agreement which has been signed by Consolidated. For all of you here this evening in the audience I think we made this presentation at the last Council meeting but I see there are some folks here who weren't here at that last meeting. This item has been under consideration for some six months now. As I think most of you probably know the rubbish franchise agreement with Modern Service which has been in place for some thirty years, expired, is scheduled to expire the end of July (1991). In order to look at providing the best possible service for all the residents and the businesses the Council put out an RFP or a request for proposal seeking proposals from any interested trash company to provide service to the citizens ADJ CC 6-20-91 Page #1 • • TRIPEPI CONTINUES: of Rosemead. The Council received some nine proposals in total. They evaluated those proposals over some six weeks. All of the evaluation, discussion and interview process was conducted at open City Council meetings. Public input was allowed, was taken. We have verbatim minutes on that if anybody wants to see the City Clerk, those minutes can be made available. And I don't mind telling you in my eighteen years in the City, it was a very tough decision for the Council to make. After reviewing all the proposals, the Council decided that Consolidated Disposal, in their minds, would provide the best service for the next five years for the residents of Rosemead. They, as your elected officials, as you know are entrusted to make certain decisions on your behalf. This is one of those items, just as is the annual budget. So, as I said, they felt that Consolidated Disposal would do the best job over the next five years. For you this evening the staff has prepared a one-page summary highlighting the provisions of that contract with Consolidated. I believe most of you have a copy of that. I know I was passing some out prior to the meeting. If you don't have a copy there are some on the bench where you came in, where the agendas are placed. So, again, it was a very difficult decision. It was done in open meetings, the evaluations by the Council, the interviews. It was very difficult as all the companies, I'm sure all the companies are very reputable and could provide the service. However, your Council, being the fact that they are elected to make a decision, had to make a very tough decision and select one of those contractors. With that, Mr. Mayor, that would conclude the staff report. IMPERIAL: Thank you. At this time, I will open it up for discussion with some of the people that decided they want to speak on the issue. The first one is Frank Gumina. When you come up will you please state your name and address for the record. AUDIENCE: Frank B. Gumina, 4433 N. Dubonnet. I been a resident of that house street 41 years, 41. He says he's been there 18. And I never seen anything like that. I voted for you gentlemen and ladies and I've never seen anything to happen like that. There's a company, I'm not trying to be nasty or rude, I don't believe in it but I do believe that this company has never, ever stopped anybody from putting too much rubbish out. I've put....I've had bushes in the back I could of buried five cars and I put them out, tied them and they never said a word. I changed windows. I had 15 or 20 windows, big ones, they didn't say a word. They're neat. And I can't see why in my life, in 41 years on this street, I bought my home April 15, 1950 and I'm still there, why you people would do that. IMPERIAL: Do what, sir? GUMINA: Why you're changing this organization, this Modern, why you're changing it to this other company. IMPERIAL: Well, Mr. Gumina, we've had Modern Service for over 20 years. GUMINA: I know it and they've been good. IMPERIAL: It came up for contract. We had nine people bid. We listened intently, had all the information and made a decision that was in favor of other than Modern Service. That's all I can tell you. GUMINA: Is there any reason? I mean is there money involved that we have to pay more? Or is it because the rubbish is going to change over? IMPERIAL: You're going to have to pay a little more, Mr. Gumina, but you were going to pay no matter who we got, including Modern Service, okay? Because this City was subsidizing you. This came about ...we did have on three occasions where we went to court with Modern Service. This subsidizing came about with some of those decisions, okay? I'm not saying anything good, bad or indifferent. We had nine people up,here. It's like nine people looking for a job, Mr. Gumina, and you have to pick one because you only need one. Right? ADJ CC 6-20-91 Page #2 0 • GUMINA: I understand that. I've worked all'my life. IMPERIAL: Okay. Then you know what I'm talking about. GUMINA: Yes, I do. IMPERIAL: If we did anything, Mr. Gumina, we did our job in an honest, faithful way to the people of this community. GUMINA: Was this done legitimately, nothing...? IMPERIAL: Absolutely. You have access to all the tapes and records that you want to listen to sir, and I'll buy you a cup of coffee while you do it. How's that? LUMINA: Okay. Thanks a lot. IMPERIAL: You're welcome. Marjorie Kent. AUDIENCE: Well, he's answered most of the questions that I had. I live on Ivar Avenue, have lived there since 1955. I just came back from a trip and got the closing bill from Modern Service, was quite upset because I say the same thing this last gentleman said, that nothing is too large or too small or what have you, Modern Service's always been wonderful all these years. I just did not know why you changed. You know, like closing bills all of a sudden. And well I just wondered what is behind it. Is this company going to give us trash cans? Are they going to give us the recycling equipment that they have in San Gabriel or Temple City? Is there going to be a big change as well as a raise in the cost of our trash? This is questions that I would like answered because in a situation like this where we've had this company for so many years I think that maybe we should have gotten a letter sooner than this in the mail that you were contemplating this. I've been to several meetings where I haven't even wasted my time staying to listen because it was cut and dried. And it looks like this is one of.the same things. We were not notified in advance that there was a thought or consideration given of Modern. And I understand you're talking about going to court. You've done this or done that with Modern. I don't understand. IMPERIAL: Who's talking about going to court? KENT: Didn't you say you'd gone to court with Modern Service a couple of three times? IMPERIAL: We had in the past but that doesn't have any bearing on it. KENT: That's what I'm talking about. But I didn't know anything about this. I didn't know what the reasons were. But I would like to think that in this town I've lived in for so many years that if there's going to be a big change like we had with Amarillo Water or now we're having it with the trash company, we'd like to be notified. Maybe give us a chance to vote and understand better what happened. TRIPEPI: Just go to the next one. IMPERIAL: Jim Donohoo. AUDIENCE: Mr. Mayor. You're aware of the letters that went out. We have, you're welcome to have these if you'd like them, just so you know, we've got about 4300 people who sent cards back... displeased with what happened. We've been here of course so we don't have any argument except to say we feel very badly that one company was able to come and rebid its bid. IMPERIAL: All companies were given the same option. DONOHOO: They were not allowed to rebid their bid. ADJ CC 6-20-91 Page #3 • i IMPERIAL: Well, no, you can make of that'what you want, Mr. Donohoo, because you're going to do that anyhow, okay? I think that those cards are also a little misleading. DONOHOO: They're not misleading. IMPERIAL: I think those cards are misleading (interruptions from the audience)... well, we'll keep this an orderly meeting., please. Let's keep it an orderly meeting. Just leave the cards up there, Mr. Donohoo. DONOHOO: People had asked us, they had called Modern Service, I wasn't personally involved, but they had called Modern Service and said what can we do? So, finally we said fine, we'll write a letter to you, we'll send you a card. If you're interested in letting the City know your feelings, send the card back to us and we'll take it and that's how these got here. IMPERIAL: Okay. Thank you. You can leave those there. McDONALD: Mr. Mayor. I'd like to make a statement. Ladies and gentlemen. Let's understand that this Council up here had no gripes at all whatsoever with Modern Service. They had a great service. Our responsibility when a contract comes up is to make a decision if it goes out to bid. And we look at every one of those bidders. For the last years of this contract with Modern Service we have been subsidizing up to over $10, over $10 for the cost of pickup at your home and you were paying $5.24. A million dollars a year. They came back and the Council was cooperative enough in the last year, year and a half, to give them additional monies because they told us they were not making money on the contract. Now, they come back and all the bidders were within a dollar, and they're all good bidders, Athens, Consolidated, every one of them. We went down to the cities where they were having their trash picked up. Nobody has any complaints about any of the companies that bid for the contract here. We don't have a problem with Modern Service here. What we were trying to do was get the least amount of cost with the best possible service because if you know the State has mandated by July 1, 1991, that a recycling program has to go in effect that reduces within five years, 25% and within the year 2000, 50% of the trash that we take is going to have to be reduced through recycling and through using different materials. We don't have any gripes or we didn't have any gripes with Modern Service. They did a fine job. That's why the decision was difficult. The company that we had chose came in with the low bid on their cost per month and they capped the increase for an additional three years. If you've been watching the papers what so at any time you've noticed that the landfill costs are going, a dollar on July 1st; a $1.25 in January and so forth and over the last five years it's increased unbelievably, all right? The company that•we chose for you first of all had the lowest cost including recycling and capped that cost at just the CPI (Consumer Price Index) increase for the next three years. They're not going to add any increase that they sustain from taking it to the dump where the dump fees go up. If you look at the legislation that's coming down out of Sacramento within the next month you'll see that many of those bills there cleanup a lot of different things. They're putting a sur tax on the dump fees per ton up there. This company's absorbing them for the next three years and in the future, beyond those three years, they can only increase it with the CPI and a formula that we agreed to. We don't have any complaints about Modern Service.. We don't have any complaints about Athens who we didn't choose which is one of the biggest companies and surrounds us here. We looked at the report and the submittal of Consolidated and thought that was the best for the citizens here. If you want to pay more ...you want us to put it on the...up for election that you want to pay $10 rather than $7.85? That's fine with us. But we've talked to all the communities around us that all these bidders that bid you know utilize, I mean work in, and they had no complaints on them either. So, we don't have a complaint about the company's service. What we're trying to do if you notice the State's going to probably give you another all of us another cent and a half sales tax, ADJ CC 6-20-91 Page #4 • 0 McDONALD CONTINUES: July 1st just so they can balance the budget. Our responsibility's try to keep the money in your pocket as long as you can and that's what we thought we were doing. There's 50,000 people in this community and how many do you think... there's less than a 100 in this room. So, we don't have that many complaints. The service is good. You're complaining about a service you haven't had yet because this service was good and we're friends with Dick; we're friends with Jim. We've talked across the table. We don't have a problem with that. But it comes down to this point that we've looked into the services of all the other companies, nobody had complaints in other communities. And they're big communities. Just like ours. And so we felt comfortable with making the decision on the cost, the cap and this company that we have here has the'recycling facility right in their yard there so it ought to be that much easier. They're going to put money back into the community to non-profit groups through the money they get from the revenues off the recycling So, we thought we were doing something that was right for the community. If you don't think the decision was based on that ...we understand that each one of the companies is sad or mad that they didn't get the bid because Athens if you talk to any one of the other councilmembers here we've got about three or four letters from Athens saying hey we'd like to talk to you again. But we think we've made the right decision. We think Consolidated's going to do a good job for us because they do a good job in all the communities they have. Recycling, it's going to be a tough one for everybody and you because down the road here our community will be fined if we don't meet those recycling percentages. So, it's going to be a cooperative effort and we thought starting with this company it was going to the be the best for all of us and that's the way we've made our decision. CLARK: Mr. Mayor. I'd just like to say something. I am personally sorry that we were not able to get the information out to the residents before the postcard as Mrs. Kent noted. McDONALD: The problem we had with that is we couldn't send you the information because we didn't have the contract signed yet. CLARK: Right. We didn't know the details of it exactly so we couldn't send it out saying what we were going to do if we didn't know it but that was unfortunate. But I do want to point out something that I was a little disappointed in the letter from Modern Service which implied and the postcard implied that the subsidy was tied to Modern Service and if we did not go with Modern Service we would no longer subsidize the trash and the truth of the matter is we will not be able to subsidize the trash bill for any company because as many of you have been following the State budget crisis is just a disaster and they are up there right now probably trying to figure more ways of taking away cities' money. We've lost some.of our subvention funds. They're penalizing us on every hand and we cannot afford any more to subsidize the trash. We would love to but we can't. So, this is something that is not tied to any company at all. It is something that is a_fact of life with the budget crisis everywhere. So, the subsidy is gone and on the postcard when many of the people sent it in it requested that you do not eliminate the subsidy for trash service and unfortunately we have to eliminate that. So, I wanted to bring that out that that is not tied to Modern Service at all. It's not tied to any company. We cannot subsidize the trash anymore; however, the increase will be very minimal and it was minimal for all of the companies. It is not that you would get a better deal with Modern on this. I just wanted to point that out. Thank you very much. BRUESCH: Mr. Mayor. One of the things that when I was looking over the nine different proposals... first of all to give my background I've served for nine years on recycling committees and eight years for the City. Maybe some of you didn't realize but the San Gabriel valley is the dumping grounds for two-thirds of L.A. County's trash and we have less than a third of their population. And it got to the point where the San Gabriel valley cities including Rosemead said hey we're not going to do that anymore. We're not going to be the dumping grounds for the rest of the County. If you don't have a place to dump the ADJ CC 6-20-91 Page #5 0 0 BRUESCH CONTINUES:' trash, what are you going to do? Well, the obvious answer is to cut down the amount of trash that you put into the dumps. That isn't the only answer. As these dumps around here close down, we're going to have to go ever further out to get rid of our trash. Right now they cannot put trash in Azusa landfill because it's closed down. They're not going to allow Puente Hills to expand. One of the solutions is here ...RailCycle. Putting it on a train and taking it out to the desert. Right now we're paying about $18-$20-a ton for dumping in LaPuente? This is going to cost us $45 a ton. Over double. As these rates go out you're the people that are going to be paying for that. So, one of the things I was looking for in the contractors who were being proposed to us was how each company was going to do the recycling. I specifically after looking at all the rates I specifically put a numerical value on each of the recycling programs. Not only the programs but how were they were going to sell it to the public? And I took all nine and rated them. I mean as I said in the last meeting we up here have eaten, slept and dreamed of trash for eight months. And I as best as I could rated those companies which had what I consider the most palatable, the easiest type of approach to recycling and the best way for this City to meet its State mandated goals. And that's how I voted. Because I don't want to see this City paying $1,000-$2,000 a day in fines because we don't meet our recycling goals. And I realize that this is going to be a great change in habits for a lot of us. You know, we cannot just put out anything as I've heard a lot of people say anymore. The trash game is completely new. The rules are all new because we don't have anywhere to put that trash anymore and the State is telling us you WILL recycle. They're not asking us, we're being told. And that is going to be reflected on your habits because you are going to have to adopt a new way of throwing things out, also. I think that we are all going to have to change our habits and as I evaluated the nine different proposals that's how I went about it. It wasn't just the price but how are they going to help us help you begin the recycling ethic and the company that we did select in my mind had a much better approach, had the facility operating already. I was fairly sure and I'm hoping that they will continue to develop markets so that we can really meet our State mandated goals. Remember, in about three years if we don't it's going to be $1,000 a day fine and that's 25%. We'll make that but then five years, 2001, that's 50%. Think of what you throw out right now and then cut that in half. That's what we're going to have to have in ten years and again, if we don't meet it it's going to be $1,000 a day and that's your taxpayer's money. So, we really had to look at those other things that we haven't looked at before. You used to be look at the price, okay this is a good price, there's the contract. We can't play that game anymore. We've got to look at all the other things that go into waste management and let's get used to that term. It's waste management nowadays because it isn't trash. We have to manage our wastes. You and I and everybody else in the southern California area and I wish it was cut and dried and simple but it isn't. It was a real tough call, real tough job and again I think we went with the company that's going to be best servicing you and helping you meet what is required, what the City is required to meet. Thank you, Mr. Mayor. TAYLOR: Mr. Mayor. I'd like a consensus from this Council. Was it a fact that Athens and Modern Service would have met the requirements of the contract as far as servicing. For example, what Mr. Bruesch made reference to. Could both of those companies provided the...meet the requirements of the law? I'm asking the Council. BRUESCH: In my opinion, Mr. Taylor, I again looking at the,value I put on each program in detail and structure I was a little bit wary about whether or not any of the companies could meet the requirements as well as Consolidated. TAYLOR: Keep in mind that those Consolidated how he was going to explain it. Do you recall that? you and explain my unique way of saying? minutes are verbatim and we asked handle the program and he could not He said I would like to meet with doing it. That was Zakaroff you're ADJ CC 6-20-91 Page #6 • BRUESCH: Yeah, that was Zakaroff. • TAYLOR: No. You're getting... just listen. That I believe was Consolidated that said that at both meetings and I again ask the Council could Modern or Athens meet the requirements of what the law is going to make them do? McDONALD: Well I think, Mr. Taylor, that all nine of them could. They all said they could and the only thing we had to go by was actually what was on the paper there except for those that before we started working with the contracts took us out to their facilities to look at those. TAYLOR: I believe there's a gentleman... McDONALD: Excuse me, Gary. I think the point that Mr. Tilesio of Consolidated was taking was that he kind of an idea that was unique and if you notice you've gotten an individual letter from him on that that he didn't want to necessarily share that unique green project that he had with any of the other people who were bidding on the job. TAYLOR: But the others could have met the requirements of the contract and the law. Is that true? BRUESCH: That's conjecture. McDONALD: Sure, on paper, yes. TAYLOR: As Mr. Bruesch says, that's conjecture. But I invite you people to get those minutes and read them. They are verbatim and correct me if I'm wrong was it not Modern Service and Athens that were the first and second low bidder, price-wise, on the original bid? And Consolidated was number eight? I'm only asking the question because as Mr. Donohoo mentioned and the other gentleman, I believe he's from Athens, sitting in front of Mr. Donohoo...I don't..-.what is your name sir? AUDIENCE: Dennis Chiapetta, General Manager of Athens Disposal. TAYLOR: All right. These gentlemen did present their proposals and I didn't choose either one of them in the sense...I said they were the lowest bidders and we should be talking with them. The other eight contractors were not allowed to come in and amend their proposals as often as Consolidated was so I was opposed to that contract. I want to say in fairness to the Council the way they considered it and the motives I believe they were looking for the proper contract to serve the residents of Rosemead. There was no underhand deals that went on. I have no knowledge of that. I don't even imply that there was. I believe that they made the best decision they could. It was a difference of philosophy and policy. I believe that when you invite nine bidders in here to give you a proposal you say okay nine companies come in here and give us an offer. And then to say, number eight you can modify your proposal and modify it again, that's not good business. So, regardless, I don't have a dispute with the Consolidated contract. I think the Council did... the end result was as good or the same as Modern or Athens but they were allowed to bring it down to meet those two proposals. So, again I think the net result is you're going to... first you would get a rate increase, all of you, across the board which is within $.07 or $.09 of what the others would have been. You are going to have and correct me if I'm wrong., a couple of the speakers stated unlimited use...that is going to continue as far as the amount of rubbish put out except bulk items.. That was something that all the contractors had to meet once quarterly. Every three months there'll be a designated date you can put out washers and sofas and things of that nature. So, is it correct that they will be able to put out unlimited rubbish? TRIPEPI: Yes, sir. ADJ CC 6-20-91 Page #7 • TAYLOR: So, it's not going to change that much. It was just a matter of selecting the contractor and the Council whether we agree with it or not has that option to weigh all matters. Mr. Bruesch made some. comments the way he weighed it. There was nothing wrong with that. He just chose to do it that way. Mr. McDonald had his reasons for doing it. Mr. Imperial and Mrs. Clark had theirs. So, I don't say that there was any real wrong doing it was just a matter of what policy and what procedure are we going to use. So, I believe that they did have the best service for the residents in this community. One of the options that Consolidated made was that they would put a cap on the increases but they were allowed to come forth and make that offer. And it is not going to be unlimited. I believe it's up to a maximum of 5% with the tipping fees, is that correct? Consolidated can come back and get up to a 5% increase? TRIPEPI: Maximum 5%. IMPERIAL: For three years. TAYLOR: For the first three years and then after that but keep in mind that all eight contractors could have come in, the other additional eight, and each year the increases would have been whatever they ...5%, 10% but they had the option to do that. So, over all the contract in my opinion is very similar between the three of them. It's just that Consolidated got the opportunity to amend theirs and I have no real qualms with the Council as far as their interest was the interest of the residents. So, that's how you ended up getting Consolidated. BRUESCH: Mr. Mayor. I want to reiterate what I said at the end of the meeting last week. I made a statement to the fact that as with any contract City Council people get inundated with requests to meet with contractors and this Council has steadfastly refused to do so. I know myself I've got about a half dozen letters asking and calls asking me to return calls during the deliberations on this contract and after. I have steadfastly said to all of the requests if you have a question to ask me, ask it in front of a public meeting. I will not meet privately with any contractor and that's just one of my policies and I will say it again to the contractors, if you wish to speak to me on any matter this is the forum in which to speak because you're in front of the people. I do not like to make private discussions behind closed doors. I think I really have to praise the Council because we did not do this as other cities might have done it and looked at contracts and done it in one meeting. This was spread out over three separate meetings and a study session. I mean we spent in public meetings over probably ten to twelve hours and it was not an easy decision to make at all. IMPERIAL: Is that it, Mr. Bruesch? TAYLOR: Mr. Mayor. Mr. McDonald made reference to the State starting to increase the sales tax or trying to increase it another 1 1/4 cent on the sales and I'm just going to ask a hypothetical question to the people here in the audience. Are you familiar... we do have a redevelopment agency. If you had the option of having to pay the County $300,000 a year, this is simplified for one reason, if you had the option of paying LA County $300,000 a year in excess tax increment would you rather give that money to the County whether you liked it or not and I don't like it but it's an option... if you had to give them $300,000 and maybe it would just feed their appetite a little bit more and I hope that it would cut down their appetite and say gee we got $300,000 from the City of Rosemead or the Rosemead Redevelopment Agency, now let's go find somebody else to get some more money from. But the point is would you rather give the County $300,000 for a year or would you rather go into debt and pay $1 million a year in interest to private investors. If you had that choice, either give up $300,000 for one year, two years, three years, and four years or give up $1 million for one, two, three, four years for $4 million. Which way would you go? Could you raise your hands if you would go for the $300,000 or the $4 million? Who would go for the $300,000 a year? I only see four hands. Who would go for paying the $4 million to investors? ADJ CC 6-20-91 Page #8 TRIPEPI: They're not understanding. TAYLOR: Okay, let me start again. McDONALD: Gary, what's the point ...the point on the floor we have a motion and a second on... TAYLOR: Yeah, you have a motion and a second but I'm just asking a little hypothetical question. You made reference to why the State wants another cent and a quarter. If... IMPERIAL: Why don't we ask them if they want senior housing? If they want a recreation center and everything, too. TAYLOR: Okay. We're going to get that one way or another. The point is that right now LA County is taking $300,000 a year excess redevelopment tax increment because we don't have enough debt. That's the way the law refers to it. So, we're collecting $3.5 million a year, just simple figures. The County says that's all you need. We're going to take $300,000 because that's extra, you don't need that money. So, we're going to sell some new notes and go into debt and say to the County well, we're in debt now so we're going to pay $1 million a year in interest to investors all over the nation rather than give you the $300,000, we're going to give $1 million away. And my question was and would you rather give the $300,000 a year to the County whether we like it or.not or give $1 million in interest to investors. You're going to get the principal one way or the other. The principal being the money that you borrow. I guess I've made that pretty confusing. McDONALD: You sure did. TAYLOR: Anyway, that'll come up in the future. It's all in the minutes verbatim, too, so it'll be cleared up later. BRUESCH: Mr. Mayor. We could go into this and start arguing finance like I did last week with our bond salesman until I was blue in the face. I mean right now the matter at hand and the thing that is bothering these people is not bond financing it's what is going to happen with our trash. McDONALD: We need to let the people talk. IMPERIAL: I want to give everyone the courtesy and the chance of talking. But we've got some people who would like to get home. It's almost nine o'clock and we've four more people who would like to speak so we can go ahead and make some kind of decision. So, if it's all right with the Council I'd like to continue with this. McDONALD: You bet. IMPERIAL: Okay. The next one is Delores Quick. AUDIENCE: Quirk. 9064 Steele Street in Rosemead. I have a question. How long is this $7.85 monthly rate going to last? TAYLOR: One year. QUIRK: One year. ROBERT KRESS, CITY ATTORNEY: It's going to go up by 5%, up to 5%. IMPERIAL: Regardless of who we get. QUIRK: All right. That I understand. Okay. I understand they're going to put a local office in. Where and when? IMPERIAL: I don't know where that location is going to be. ADJ CC 6-20-91 Page #9 11 Cl TRIPEPI: I don't think they have.a location picked out. They will have. QUIRK: And you don't know how soon. TRIPEPI: It will be open by August 1, 1991. QUIRK: By August 1st. IMPERIAL: It'll be open when the contract goes into effect. QUIRK:. Because I was thinking of the older people and a lot of the low income people, that's a 213 number they've got right now and we're all in 818. Okay. And to answer your question as why there's not more people here tonight. Tonight is Rosemead High School graduation night. So, there's quite a few people that aren't here. And you mentioned a dream project that Consolidated had and you don't know what it is? McDONALD: Oh, no. We do know what it is but the reason that he didn't state it at the time was he thought it was unique enough not to let the other bidders know what it was. The Council... we knew what it was. Hold it. Listen. Listen. Maybe I didn't explain it right. He had a unique program for the green waste, all right? that none of the other bidders had knowledge of because he was working with some outside people in a special project that had to do with something that he didn't want them to know about. We know the only thing that they use the green thing now is for compost and mulch on the sanitation district cover and they're using that. However, it does not qualify or the State doesn't let it qualify for recycling because it's still going into the dump even though they're using it as kind of a ground up cover over that and so Consolidated had a special program and they gave it to us. We had it in their packet. But when somebody asked him from the audience or whereever it was what his green waste program is he didn't want to explain it. We already had the program. We knew what it was. QUIRK: Well, that I can understand for competition sake. IMPERIAL: It's not unusual, ma'am. We've had people in here that would for instance would like to put a restaurant in Rosemead but don't want to say where it's going to be and what type of restaurant because of the competition. This is not unusual in business. QUIRK: Well, that seems a little more farfetched. His reason for doing his sounds a little more logical to me than not knowing where the restaurant and where you're going to put it. I mean the surprise opening that I can understand. BRUESCH: Mr. Mayor. Studying the recycling process that I have had we're getting like you know these old industrial espionage movies where cloak and dagger you're trying to steal trade secrets. It's getting that bad in the waste management game. They are trying to come up with new ways of doing things and cheaper ways of doing things and they're extremely possessive of new technologies and new ways of doing things. QUIRK: Well, that I'm sure we can understand. That's competition within the business but those were a few questions that I had that I .wanted answered and I think it would behoove the Council on things like this maybe let it out a little sooner that this thing is going to be coming up and you'd probably had a lot more people here earlier. McDONALD: Delores, we have a problem with getting communications out. It was in the paper that there was public hearings on the trash thing. We tried to get articles in the newspapers. The Tribune won't take our stinking articles because we don't have enough people in Rosemead who take the Tribune so we have to pound on them to get it in. It's in the newsletters but they only go out quarterly. And we can't do...certain mailings cost so much and we're trying to keep the budget ADJ CC 6-20-91 Page #10 McDONALD CONTINUES: down to a minimum. We spend millions and millions of dollars in this City, policy making up here. I think if you understood the whole entire process and the only reason we couldn't get you know the exact change out to you is because once we picked the bidder we had to go sit at the table and then write up a contract so we had every little detail covered so he was protected as a contractor and we were protected here and down the future as the people who are employing them to pick up our trash and we just signed it when? The first of this week? Thursday? Of last week so we couldn't do anything because we weren't sure. All we did was pick them to be able to sit down and negotiate the contract. If we couldn't work it out with them we would've gone to the next person on the list that we had chosen as the next priority. But they said that they would do everything that we asked. We signed a contract and now you're going to get the letter telling you. And I know it's a little scary when you get the letter from Modern saying your trash is going to end up and you're figuring hey are we going to be like New York? Is all our trash going to be there weeks so we apologize for that but that's the way the system works as far as taking the bids and then working out the contract and sitting down and negotiating with it so we're sorry. QUIRK: Well, at this point all I can say is time will tell and of course elections do come and things do go so time will tell. IMPERIAL: Robert Falcon. AUDIENCE: Robert Falcon, 8601 Zerelda Street in Rosemead and I've lived there for about 16 or 17 years. I lived in the County strip prior to that. I don't know if Modern had that down there or not and like most of the people in the room here I've had good service from Modern and have no complaints there. My major complaint tonight is methodology. I think that ...the only information that I've received has come from Modern and it's bound to be biased. I've seen a lot of things in the paper about parades,_Sister Cities, swimming pool openings. I get things in the mail about when the parks are open. But something very important to me and to the people in this room, such as trash collection, is kind of skated over. I've heard the excuse we had to move fast. You had to move fast. Well, you only had about six or seven months to consider this. I can remember calling here once a month for about a year and a half while you gentlemen took five years to decide on which cable company we're going to have. But you've got to skate through and something that has major impact on us with more or less Mickey Mouse methodology because in my industry we have proposals all the time. We get an RFP and part of the RFP is the criteria by which the proposal is judged. So many percents or so many points for price, so many for delivery, so.many for past performance, on down the line. I don't know if you guys have something like that. We got one guy over here looking at it from an environmental standpoint. One guy that probably doesn't quite agree with it. Another guy over here that's going for blue sky. You've invested our trash collection on the blue sky. Some guy's got a secret thing. He's got a secret thing and I can appreciate company secrets and private information. However, it's science because you'll agree trash collection and disposal or waste management is a science and just because a guy puts it on a piece of paper doesn't mean it's going to work. The world is.never the way you put it on paper. And I think that's about all I have to say unless you have something you want to respond on. McDONALD: No. I was just saying that you're arguing something that nothing's happened yet. Why don't you come back in six months and tell us the service is rotten; tell us the service is good. The only time ...because what we've done is taken a credible company. Here's Athens here which is a credible company, Modern which is a credible company and.we've picked one of the three. Has anything changed at your house right now? FALCON: No. Because Modern's still picking up. However, we don't know. Modern... it wasn't broken why do we have to fix it. Because they didn't have a secret weapon. That's why we had to fix it, right? ADJ CC 6-20-91 Page #11 McDONALD: Ladies and gentlemen. Right now, if you look on our Claims and Demands right here for this evening, there's $81,000 that the City is paying for subsidy fees and dump fees. A little bit more than it was last year. FALCON: But didn't I just hear somebody say that's not going to change? McDONALD: What we'll do is we'll make.a deal with you. If you want to... IMPERIAL: We don't know until we try them. We've had Modern for over 20 years. I hope you realize that. We don't know what the rest of the world is like. McDONALD: We will reconsider the contract if you will pay also the $81,000 so you'll be paying about $10 a pickup. Is that all right? FALCON: I don't know what that has to do with anything, my friend. Because you just said somebody else just testified here a minute ago nothing's going to change. Now you're saying it's going to change. McDONALD: No. You don't quite understand that what we're doing is subsidizing almost $11 a month fee to have your trash picked up but you're only paying $5.24 because we're subsidizing that. So, that's almost $11. FALCON: But didn't I just hear the subsidy was going to go away regardless of who got the contract? McDONALD: Right. But if you're willing to pay the subsidy and willing to pay the $10... FALCON: We're going to have to pay it anyway. You just said that. McDONALD: You're not paying a subsidy because the bid came below. You're only paying $5.24. You're paying $1.50 for recycling. You're paying $7.85 on this thing. FALCON: I'm glad you brought up this recycling, too. BRUESCH: I just want to respond with the idea about if it's not fixed why change? Again, going with studying the recycling thing, in reading through the contracts and I'm sure if you want to you can get copies and read it through yourself and compare them as I did, I spent many hours doing so, my estimation based on eight years of working with the recycling committee the idea of the program about recycling was not addressed as well in Modern's proposal as three or four other of the contracts. Now, it isn't broken now but in the near future it could be and that's what we have to avoid. FALCON: Is Temple City one of Consolidated's contract cities? TRIPEPI: No. IMPERIAL: Why is that important? FALCON: Well, I remember when they put their...I have some friends who live in Temple City and they came back when they had the recycling, put their trash things out and their yard was covered with the bottles, the peanut butter jars, and the glass. Only the things that had California redemption value were taken by the recyclers. IMPERIAL: That can happen with any trash collector. FALCON: Well, is that our agreement with Consolidated? That we've got to go through and only give them the California redemption? TRIPEPI: No, sir. They take all glass. ADJ CC 6-20-91 Page #12 0 FALCON: Peanut butter jars, too? Unwashed? TRIPEPI: As would any of the nine contractors who gave proposals. BRUESCH: In fact, one of the things that I demanded-throughout was that HDPE No. 2, the big bottles, the big milk jugs, would be included. We're one of the few cities that are going to be accepting that in our recycling program. FALCON: You're talking about plastic jugs. BRUESCH: The big plastic jugs. We're going to be one of the few. And that was discussed and discussed and they said no, there's no market for it but one of the things I put my foot down and said yes that's the big thing in our trash. What do we do with them? These are the type of little things that were not addressed in a lot of the contracts. When you're dealing with a whole new approach to getting rid of trash, well, no, waste management you have to look at these little things in the contracts that are proposed. And if you don't go by what they say in their proposals then what can you go by? A gut reaction? FALCON: You can do like we do in the aerospace industry, you send the questions back to them and say please respond to these and you get it in writing. BRUESCH: We did. And again on the second time around, the responses on the four top companies among which was Modern, I ranked and the responses by Modern were not nearly as detailed as the responses of other companies. I'm just saying from my personal ...you were wondering how we go about this and this is what I was looking at. I was looking at making it as easy as possible for our constituency here to help the City meet the requirements. FALCON: I have no axe to grind with any of that. It's just as I said, the methodology and the fact that we citizens were kept in the dark about this mostly. BRUESCH: One thing I want to respond on that, too, is throughout the last what, six, seven years, we...when anybody came up with that where's the information we'd say well we have a newsletter that goes around. And right away we'd get the response back, whoever reads that big old thing, anyhow? FALCON: I do. BRUESCH: You can listen to the things though. About.two years ago we decided well if nobody's reading it and we keep on getting this response, let's try to do it in-house; let's try to do it through the newspapers. At the very time that we stopped that large newsletter, the Progress (Independent?) newspapers came to us and says we're sorry, we can't service your community anymore because the advertisers in your community are not buying enough advertising in our newspaper. So, we tried to keep that going for awhile but that closed down. Then, we received information from the Daily Tribune and the Star News and like that, you don't have enough readers for us to put all these articles in the newspapers. Just tonight we saw a renewed, smaller edition of our newsletter. You know, these are the type of the things that we on the Council have to be faced with, you know, trying to get the information out to the people. Well, where are the newspapers that are supposed to be handling these articles? They're non-existent in our community and as Mr. McDonald said, a lot of the newspapers won't write out articles on Rosemead because there's not enough readership here. FALCON: I'll give that some thought and perhaps I'll call you about that sometime. Maybe there is a way to get around that. BRUESCH: I'd like, to have a local access cable TV but I don't know if there's enough people out there that are interested in having a Rosemead channel. ADJ CC 6-20-91 Page #13 LJ 0 FALCON: But I've taken up a lot of the Council's time and I appreciate the opportunity to make my feelings known. Thank you. IMPERIAL: Patricia Sindolar. AUDIENCE: Patricia Sindolar, 9433 DeAdalena Street. I am amazed and appalled at the amount of rhetoric that's coming out of this group this evening. You're not even sticking with what the issues are. You're talking about how long it took you to discuss all of these things you're going to change. You talked to all of these people. You went over proposals. What's the matter with talking to us? If I can get a letter in the mail from the Rosemead Slo-Pitch team telling me what to do about signing up my children couldn't I have gotten a notice from the Rosemead City Council telling me that this was under consideration? We weren't notified that any of this was going on. That's one thing. The other thing I'd like to know about is if you're going to do away with the subsidy and we're going to have to pay Consolidated, let us pay the people that we're familiar with, that have taken care of us for thirty years, with whom we are more than satisfied. The gentleman took away my quote. I'm sorry, if it'ain't broke, don't fix it. We're here. You didn't give us a chance to be here before now. We just found about all of this. The Rosemead newsletter. We read it. There's nothing. There'.s nothing in the Monterey Park Progress. We get a paper on Thursdays. There's nothing in there. What about scheduling this meeting on a night that you know that half the population of Rosemead is going to be at the school attending the graduation of their children and grandchildren? Those are all necessary. If this went on as this gentleman said for so long, so many discussions, so much money, all of these little is had to be crossed and the eyes had to be dotted, during that time we should have been notified that these considerations were taking place. We should have been told. The City of Rosemead is considering not using Modern Service any longer. We have eight bids. Give us a chance to come up here and listen to them. Why was this other company given a chance to come back and replace their bid? TRIPEPI: Ma'am. That would have been wrong for the Council to say that because they did not say we're not going to consider Modern Service. SINDOLAR: But you couldn't have let us know that these issues were going on? TRIPEPI: Well, all I'm saying is is that Modern Service was one of the companies that provided.proposals. All we did was go out and seek proposals. SINDOLAR: If we are not getting anything different from Consolidated than we are getting from Modern Service and we are happy with them, why are you changing? You have not answered one question as far as that's concerned. BRUESCH: Ma'am. May I respond to that? Again,... SINDOLAR: And we are all aware of waste management. You have bled that to death. We're all trying to recycle. I save my newspapers. I put my glass aside. I change my jars. I put string out and I take it to places where it can be sold or used. I even called the Los Angeles Times, stop the paper, it's too big, you're not taking it back, you're not recycling. We are aware of waste management. And we're trying. All of us. Modern Service will help us out. They don't give us any problems at all. I still don't see the rationale for the change. Another thing I want to know is the senior citizen age. At what age? Fifty, fifty-five, seventy-nine? You haven't told us that either. TAYLOR: Sixty-two. It's in the contract. SINDOLAR: I'm still very, very concerned about the fact that the City of Rosemead, the general population, was not notified that all these negotiations were going on and you're taking away a company with whom ADJ CC 6-20-91 Page #14 SINDOLAR CONTINUES: we are very satisfied and giving us someone you say don't know a year from now what's going to happen. If the rates can be raised 5% let Modern raise it. We know them. They know us. And I'm also very disappointed that your attitudes seem to be that this a moot point and we are all wasting our time because that's what we're getting from you. It's done. It's over with. Speak your piece but we're not really listening. McDONALD: Well, if you'd like you can ask us direct questions. I told you in the first place that we had a lower bid from Consolidated than we did from Modern Service. SINDOLAR: Because you let them come back. Because you let Consolidated come back and rebid them. McDONALD: No. Let me explain something. When the contracts came in the first night we allowed the four companies that we chose to start with because they were maybe a little higher than the rest of them, compacted in a certain area, we picked those. We said we don't want to be in the trash business. We don't want a franchise fee. We don't want anything returned on the recycling. You can take those fees in your contract, move them around, and come back with another bid. We didn't say come back but rearrange it. They all did that. Consolidated came back with the lowest bid. They capped it for three years. SINDOLAR: Was Modern Service given the opportunity to match that? McDONALD: They had the opportunity. SINDOLAR: And they refused to do it? McDONALD: When you bid on something, you bid on the way that you think somebody's going to pick the bid. So, that was their choice on how they bid that. They capped it. No other company capped the cost at 5% CPI for the year. And it's been going along for 5%. Now, you're making faces at me like you're not listening to what I'm saying. SINDOLAR: I'm listening to you. Believe me I am. McDONALD: Okay. Five percent cap meaning that since it's been at least 5% for the last few years, we thought that was the safest way to go because we knew the fees were going to go up and they couldn't bring the fees back into the formula to increase it. I live in Rosemead. I pay the trash. We told you we didn't have a problem with Modern Service. But these companies are all professional companies. They all provide a professional service on contract and any time they get a complaint they go out and take care of it. All we're trying to do here is get a cost over the next couple of years that's going to be less than what you would pay now. Modern Service with the subsidy fees that we were paying that they were passing through, was charging us $10.48. When they came in with their new bid, they underbid themselves by almost $3.00. In the last year and a half they came in and begged us for money; to look at the number of tons that were going to the landfill and saying we can't make it. We're losing money every month here in Rosemead. And then here they come back and underbid their bid by $3.00. But they weren't the lowest bid. We picked the lowest bidder. The person and the company is professional just like Athens and Modern and what we're here to do and we spend millions of dollars on a regular basis, we cut back the subsidy because it was costing us too much and you're going to pay probably the same amount that you did before plus $1.50 that everybody's paying for recycling so actually you're not paying anymore than you were with the subsidy. SINDOLAR: If Consolidated was the lowest bid, were they the lowest bid to begin with? McDONALD: No, they weren't. None of the lowest bid to begin with because we let everybody go back with that. I made the proposal after ADJ CC 6-20-91 Page #15 McDONALD CONTINUES: we allowed them to do that to let us go out to bid again. Let the companies fight and bark and chew at each other because I was looking at the lowest bid because I knew all of them were good companies and they were all going to give us good service and I thought we could get it even less than what we got it for but the Council was pleased. The methodology. I don't know what you want to say about the methodology. SINDOLAR: The Council was pleased but the people don't know anything. McDONALD: Like we said there's trash. If you've been reading the newspapers for the last five years you can see where the trash problem is. You knew we were going to have to have recycling because that came down from the state. We certainly could have maybe have gotten out some letters and stuff like that but we were trying to really delve into these companies and find out if they were professional enough come into Rosemead. And those were the ones we decided. Modern has taken the attitude hey let's get the community up in arms and say that these people did something wrong or made some sort of decision. SINDOLAR: No. No. McDONALD: Or gave some advantage to somebody else. The first thing we said to any of those contract companies is we don't want you to talk to individual council people while any bidding is going on. And you can talk to any one of these council people and they didn't have those people come in and lobby them and take out here and show them this. SINDOLAR: The bottom line of the whole thing is if there is parity with pricing and with service, why not stay with the company with which we have been so happy all these years. That's the bottom line. McDONALD: If you were going to go out and buy...I think we made the decision in the best interests of the community and you can disagree with us and you can disagree with me and you take your disagreement to the polls but I'll stick by what I voted for because I worked my fanny off...I analyzed these reports ...you come in here and all you're doing is getting second hand information from somebody or the company who is giving you information... SINDOLAR: We weren't getting it from you. How else are we going to get.it but second hand? McDONALD: But that's what I'm saying. All the minutes are available of any meeting that we've had here. All that stuff's available. SINDOLAR: But it's past, now. It's a moot point. You have signed the papers. McDONALD: Nobody tells us what they want to know until it's happened. TAYLOR: Mr. Mayor. May I make a comment, Mr. McDonald? I've been on the Council eighteen years and we set a policy because when the residents come up they don't know what's going on and I'm not belittling anyone for saying that but in all honesty I have to say that we have meetings here month in and month out where we're lucky to have two residents that will come to these meetings. These agendas and the packets are posted in the Rosemead library, they're posted in the Del Mar library. Janice, are some of these posted at the markets? ...Just City Hall. How many locations are they posted? ...City Hall and the library. Don't we have it on Del Mar? I thought we did have it. I'd like to check that policy. We were to have it in six or seven locations. Janice has only been here two years or so. But we did have ...Frank, didn't we have a policy where those agendas were going to be posted in... TRIPEPI: Yeah. We used to. The Council with the former City Clerk, I think she posted them at the Del Mar library, this library, the City ADJ CC 6-20-91 Page #16 0 TRIPEPI CONTINUES: Hall and I believe you put them up on a bulletin at the market across the street. TAYLOR: But I have gone over to the library there just to see and they're posted in the back vestibule and the point I'm trying to make is that this Council ...you heard me speak my piece tonight. If I disagree with them, I'll speak that way. But in all fairness they try to put out the information. This was going on for a good four solid months. We had discussions for two and three hours here, all verbatim and again, we might have had five, maybe ten people here. And Modern Service at times had people come in that and it's in the minutes who these people were, they knew. They sent the card out after the contract was more or less let or selected through Consolidated. That billing went out after the fact. The postcard went out after the fact. I don't belittle them for what business tactics they use but this Council I don't believe is at fault for not informing the people. If we sent out letters every two weeks, there's 15,000 households at $.25 a stamp, that's $4,000 every two weeks or $8,000 a month, $100,000 a year and we can't do that. SINDOLAR: If this negotiation had been going on for so many months, two notices is all we would have gotten, two notices is all we would have needed. Many of us work from seven in the morning until seven or eight o'clock at night. We don't see the notices at City Hall or the library. TAYLOR: I can't justify... IMPERIAL: I didn't hear you say anything about the road department contract, the Sheriff's department which protects are every being in this.City. Nobody's complained about that but nobody's called you from the Sheriff's department... SINDOLAR: Aren't we here tonight for the trash... IMPERIAL: ...at the time that that contract was let. SINDOLAR: We're here tonight for the trash. IMPERIAL: You're here tonight for the trash. I understand this. But I wanted ...you came in here saying you didn't know anything, ma'am, you hadn't heard anything, and you got it all from the trash company but in my opinion and don't take me wrong, you're a citizen of this community and I respect that, but you came in here opinionated and you didn't want to hear the other side of the story. You didn't want to hear that. I'm going to tell you something... SINDOLAR: We weren't told the other side. IMPERIAL: ..Let me finish, okay because I've sat here and listened to this. I have served this city for 15 years and I'm not one ounce ashamed of what I've done for this city. You're living in a city that has no property taxes, no business taxes. You're living in a city that is one of the top ten in this state. Ten is all there is that have a AAA credit rating and it didn't happen by itself. It happened with approval of Council. So, before you want to come in here and criticize this Council take some consideration for the every day work that we have to do and I'm talking day and night sometimes... SINDOLAR: I'm very aware of that. IMPERIAL: ...Okay. Talking day and night to try to make life best for the city, citizens of this community. I've heard a lot of comments about how long people have lived here. I've lived here for 32 years and for 32 years I have been involved in this city. I don't see a lot of other people here. I came to these council meetings when there was nobody here except for me because I was interested. Now, if you want to know what's happening in this city this is not a big secret. It is not a big secret. It's here for you to have and to understand. It's public information. And one more comment, sir. If ADJ CC 6-20-91 Page #17 IMPERIAL CONTINUES: you don't believe in change and if it works don't fix it, we'd still be using the F-86 Sabre Jet like we used in Korea. And you're in aerospace. SINDOLAR: Oh, please. IMPERIAL: Thank you. SINDOLAR: Moot point. IMPERIAL: You didn't want to hear my side, ma'am but you heard it. SINDOLAR: I listened to your point. The problem is that you didn't give us the chance before hand to anticipate and go over this. This should have been all taken up with the city. The city isn't the one that's going to be paying the trash bill. We are. We're the residents. If we're going to be paying an unsubsidized bill... IMPERIAL: I'm one of those. SINDOLAR: ...let us pay the one we like. IMPERIAL: I've been paying a trash bill for years, 32. SINDOLAR: But you are on the City Council. You make the decision. You made the decision. We didn't. We're only the voters. IMPERIAL: I only make those decisions because the majority of the people in this community have given me that right to serve them and I will say this one more thing. I don't like to be intimidated and I felt like that was what I was when the lady said the vote's coming up. Well, I'm going to tell you this. If I haven't proved to you in 15 years that I have helped to make this a good city to live in don't vote for me, please. And I know some of you people out there. AUDIENCE: I voted for you last time. You're there because I voted for you. IMPERIAL: And if you don't feel that way again, don't vote for me. AUDIENCE: I won't. IMPERIAL: Because I've given this city the best I have. Thank you. SINDOLAR: I chose not to turn my back on you. But I will terminate myself at this moment. Thank you. BRUESCH: Mr. Mayor. IMPERIAL: Douglas Mosher. AUDIENCE: My name is Douglas Mosher. I live at 9444 E. DeAdalena. Won't spend any time on.the subsidies. I won't spend any time on waste management. I normally base all of my buying or whatever I do on past experience. I don't buy anything from an ad in the paper. It's a queer quirk of mine because I've got burned. So, I think I've heard just about everything but I do want to say that the service has been excellent from Modern. And I understand... IMPERIAL: (To the audience)' Could we have some quiet so we can hear this gentleman? Thank you. MOSHER: ..I understand the reason that the Council took it and from my standpoint.I will wait and give my evaluation in a period of time. But again I repeat, I've been very happy with Modern all this time. Matter of fact, I've been happy with Griegorian. I started with him I believe in April 1, 1955. My daughter graduated with his sister, Debbie McDonald. My daughter was Anita Mosher. I won't say anymore on that because I think it's all been said. ADJ CC 6-20-91 Page 118 1 IMPERIAL: Mr. Mosher. I just want to say you made a fair assessment and give us a chance to prove it. Thank you. MOSHER: And.I will assess it in time. IMPERIAL: Thank you, Mr. Mosher. That's reasonable. Michael O'Shea. AUDIENCE: My name is Michael O'Shea. I live at 9317 Rose Street. I feel that the City,Council had a right to decide what they wanted to pick up. You know, who to pickup. It's like anybody that owns a house, you guys, you want to add on to your house, you have people, you know contractors, come in, give you a bid and you decide on which one you like the best and that's what they have done. Thank you. IMPERIAL: Thank you. BRUESCH: Mr. Mayor. I just want to say about, sir, about the lack of communications. Sitting in City Hall as we do, we usually hear only complaints. And as we are tonight, obviously. And a lot of people are saying that they satisfied with Modern Service's service but we've received quite a few complaints. I mean, I know myself in the last couple weeks I've had people call me up and say thank God, we're finally getting rid of them. I mean I've had two or three of these cards that you're receiving here sent right to us in our boxes, that say the same thing. But you know, we're not going to get into a popularity vote on this. We're not trying to say who is the neatest guy on the block right now. What we're dealing with is services to the community and again we have to go with what is written on their proposals and again we have to go with what are the responses to what we gave out as our requirements for this contract. The respondents all had an equal chance to respond to the various particular items that each of these council people came up with and again, even on the second time around, the respondents were not equal in what they said they would do on particular points. IMPERIAL: Is that all, Mr. Bruesch? BRUESCH: That's it. IMPERIAL: Any further comment from the Council? CLARK: Yes. I just want to clarify a couple of things because this will probably be, knowing Gary it will be verbatim minutes. Yes? TAYLOR: It'll finish the whole package for six months. CLARK: Right. So, I think we should get our facts straight. There was a comment made by Councilman Taylor that the original bid that Consolidated was eight or nine on the list, being the most expensive. And I have to take issue with that because the recycling had to be included in that and that's what you will be billed for. The total bill will include recycling and when you take the recycling all in there, Modern, Athens and Consolidated were the top low, the three low and that's why we chose them. We... if you didn't... weren't familiar with the process so far, there were nine companies. We narrowed them down to four companies. They were Athens, Consolidated, Modern and BFI. And so they were the ones that we looked at the second time around. So, I just want that to be in the record. And the second thing was the statement was made, or the implication that Consolidated was allowed to put a cap on its rate increases and the other companies were not and that is not true, either. All of them were asked to come back with the formula that they would have for rate increases when the dumps add the prices onto them. You're all familiar with the fact that the dumps can raise their fees and they have to pass them on to the trash companies. So, we asked each company how are you going to deal with this? Are you going to have any formulas? And everybody had a chance to come back and Consolidated was the only one that came back with a cap for the first three years, or any cap. And theirs was for the first three years. So, I want that to go in the record. The other thing that I want to say is the three low bids, Consolidated, ADJ CC 6-20-91 Page #19 0 • CLARK CONTINUES: Athens and Modern, were all within $.73 of each other. The others were up in another $1.00 increment or more. So, and the other thing that I want to say is I am very envious of Modern for getting all these people out because I wish we had more people out at meetings and I wish also and I want to commend all of you for coming, because I wish we had more people that were interested not only in what's going on in the City but at the state level because as I mentioned earlier there are things going on in Sacramento that you would not believe. We were up there lobbying to protect some of money last week and I cannot believe the things that are going on in their minds and there are bills that would just curl your hair if you knew and I would like to ask if anybody is interested in getting involved at all, that they either see me after the meeting or give your name, address, phone number to the staff and we can call you when there's a need for lobbying efforts, make a phone call, write a letter to the senator, letter to assemblyman, you wouldn't have to do it. You can always say no but I would love to have a pool of people out there that would like to say we don't like this, do something because we've got to get involved. We've got to stop the apathy in our state or we are lost. So, I want to thank you all for coming and I'm glad that you're interested. Thank you. TAYLOR: Mr. Mayor. I respect what Mrs. Clark had to say but correct me if I'm wrong. When the original, the first submittals came in, where was Consolidated? What number were they? CLARK: Well, they were number three, Gary. TAYLOR: No, no. Look at.... " CLARK: Okay. The recycling, okay, was not included. They didn't charge for recycling. TAYLOR: At the base residential rate where we primarily started because there's approximately 11,000 or 12,000 homes, what does the first column and we'll get into the discussion as far as all of the alternatives, what was the basic residential rate listed? BRUESCH: Including recycling. TAYLOR: The first column, there. Does that list the... CLARK: That does not include recycling, okay? So, then you go to the next one... TAYLOR: When we go across the page would you please read the residential rates of the nine companies. CLARK: Without recycling? TAYLOR: Starting with that column. Then we'll go across and the audience will get a better idea of how it was deciphered. What was the residential rate? CLARK: Okay. I'll read this. However, you have to bear in mind that Consolidated did not charge anything for recycling. TAYLOR: All right. We'll get that ironed out. CLARK: So, it was included. TAYLOR: And then Modern Service said for $.50, if they got the commercial and the residential, they would only charge $.50. CLARK: That's correct. TAYLOR: Please read the single family residential rate of the nine companies. ADJ CC 6-20-91 Page #20 • • CLARK: Okay. Athens was $7.54. Consolidated was $8.99. BFI was $7.80. Waste Management $8.80. Metropolitan $8.30. Modern Service $7.76. Cal-San $8.96. Western Waste $8.98. Zakaroff $10.44. Okay, now we go over to... if you add the recycling in and this is for Athens, it was co-mingled, if it was stackable it was a little more but I'll go co-mingled because that's what we are doing. Athens was $8.89. Consolidated was $8.99. BFI was $9.53. Waste Management was $9.85. Metropolitan was $10.14. Modern Service was $8.26. Cal-San was $10.46. Western Waste was $10.93. Zakaroff was $11.99. So, the three low...do you mind if I say? TAYLOR: No. Go ahead and read them in, the lowest. CLARK: Okay. The lowest was modern service $8.26. The next lowest was Athens at $8.89. And Consolidated was $8.99. So, as I said, it was all within $.73. I just wanted to clarify that for the record because the information was not given correctly for the record. I'm not making any judgment on it. I'm just saying that they were not number nine or ten originally, Gary. That's all I'm trying to say. IMPERIAL: Is that all, Mr. Taylor? TAYLOR: That's all, Mr. Mayor. BRUESCH: Mr. Mayor. Just one final thing in the record. The comparison rates at home site collection not including recycling, the rate that will be paid by residents of the City of Rosemead instead of being the very bottom, the lowest in the County, has jumped up to be still within the bottom 40%. In other words, there's 60% of the cities within the County of Los Angeles that will be paying more than you are. IMPERIAL: Is that all, Mr. Bruesch? BRUESCH: Yes, sir. TRIPEPI: We've got a resolution to read. IMPERIAL: Anyone else wishing to speak on this? We have a vote and a second on the floor. BRUESCH: I call for the question. IMPERIAL: Question's been called for. You want the resolution read? Mr. Bruesch? BRUESCH: In title only. TRIPEPI: The title of the resolution 91-29 is a Resolution of the City Council of the City of Rosemead approving an exclusive franchise agreement for refuse collection and recycling with Consolidated Disposal Services, Inc. IMPERIAL: Okay, gentlemen. If there's no further question, would you vote please? Yes: Bruesch, Imperial, Clark, McDonald No: Taylor Absent: None Abstain: None IMPERIAL: Thank you. I'd like to say at this time I would like to thank...I appreciate everyone coming out and being interested. I would like to see you all back again for the next meeting and the next meeting because we need the input in the City Council. Feel free to call here at any time to ask any questions you might want to ask and it's all public information, no matter what it is. Thank you for coming and we'll have a five-minute recess. ADJ CC 6-20-91 Page #21 TAYLOR: Mr. Mayor. I'd like this in the minutes verbatim. One other question. When does the bond note come back? For the Redevelopment Agency for the sale of the $15 million? When's that due on the agenda? TRIPEPI:. It's in July, I believe. The second meeting. TAYLOR: All right. I made a comment tonight about interest payments and tax increment and redevelopment agencies. Now, many of you said you don't know what's going on at the City Council meetings. In July we're going to have a meeting to sell approximately $15-$16 million worth of bonds and pay somewhere the same amount in interest whether it be $16-$18 million. That's just food for thought. People say they're not told about what's going on. Well, that's going to be the next big item we have. TRIPEPI: Mr. Mayor. Then just for the record and I think it's just because Mr. Taylor was unable to attend that meeting where we had the report. I believe that sale is between $9=$10 million, Mr. Taylor. For the record. TAYLOR: Then that was at... TRIPEPI: That was at the last... TAYLOR: Mr. Wagner asked if I could those minutes verbatim... copy of that tape and I haven't received it yet. Did you ask me that, Mr. Wagner? TRIPEPI: I think he asked you if you wanted the minutes to be done verbatim and you said yes and that's what we're doing. TAYLOR: I'd like a copy of the tape. TRIPEPI: Sure. That's not a problem. IMPERIAL: Is that all, Mr. Taylor? TAYLOR: That's it, Mr. Mayor. END VERBATIM DIALOGUE A five-minute recess was called at this time, and the meeting was reconvened accordingly. III.LEGISLATIVE A. RESOLUTION NO. 91-27 - CLAIMS & DEMANDS The following resolution was presented to the Council for adoption: RESOLUTION NO. 91-27 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD ALLOWING CERTAIN CLAIMS AND DEMANDS IN THE SUM OF $288,484.22 NUMBERED 37468-37475 AND 33685 THROUGH 33747 MOTION BY COUNCILMAN BRUESCH, SECOND BY COUNCILMAN McDONALD that Resolution No. 91-27 be adopted. Vote resulted: Yes: Bruesch, Taylor, Imperial, Clark, McDonald No: None Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. ADJ CC 6-20-91 Page #22 • • III. LEGISLATIVE - CONTINUED B. RESOLUTION NO. 91-28 - ADOPTING THE 1991-92 BUDGET The following resolution was presented to the Council for adoption: RESOLUTION NO. 91-28 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF ROSEMEAD ADOPTING AN APPROPRIATIONS LIMITATION FOR THE 1991-92 FISCAL YEAR AND ADOPTING THE ANNUAL BUDGET FOR FISCAL YEAR 1991-92, MAKING APPROPRIATIONS FOR THE AMOUNTS BUDGETED MOTION BY COUNCILMAN BRUESCH, SECOND BY COUNCILMAN McDONALD that Resolution No. 91-28 be adopted. Vote resulted: Yes: Bruesch, Imperial, Clark, McDonald No: Taylor Absent: None Abstain: None The Mayor declared said motion duly carried and so ordered. Councilman Taylor stated that he would vote no on individual budgeted items as they come before the Council for approval. IV. CONSENT CALENDAR CC-A APPROVAL OF AGREEMENT WITH THE SAN GABRIEL SCHOOL DISTRICT TO PROVIDE A SUM24ER YOUTH LUNCH PROGRAM AT VARIOUS SITES IN CONJUNCTION WITH THE CITY'S SUMMER RECREATION PROGRAM CC-B RENEWAL OF COMMUNITY DEVELOPMENT BLOCK GRANT SERVICE AGREEMENTS FOR FISCAL YEAR 1991-1992 CC-C AUTHORIZATION TO ATTEND SUPERFIIND WHITE HOUSE MEETING ON JUNE 25, 1991 CC-D AUTHORIZATION TO EXTEND RUBBISH AGREEMENT WITH MODERN SERVICE FOR THIRTY DAYS MOTION BY COUNCILMAN TAYLOR, SECOND BY COUNCILMAN BRUESCH that the foregoing items on the Consent Calendar be approved. Vote resulted: Yes: Bruesch, Taylor, Imperial, Clark, McDonald No: None Absent: None Abstain: None The Mayor declared said.motion duly carried and so ordered. V. MATTERS FOR DISCUSSION & ACTION - These items were considered at the beginning.of the meeting. VI. STATUS REPORTS - None VII. MATTERS FROM OFFICIALS A. CITY HALL PARKING MOTIOM BY COUNCILMAN McDONALD, SECOND BY COUNCILMAN BRUESCH that the Council provide parking spaces marked for City Hall Business Only. Vote resulted: ADJ CC 6-20-91 Page #23 • Yes: Bruesch, Taylor, Imperial, Clark, McDonald No: None Absent: None Abstain: None' The Mayor declared said motion duly carried and so ordered. B. TAYLOR 1. Requested a report regarding shooting incidents during the past several months and the sentences given to the perpetrators. C. COUNCILMAN BRUESCH hangouts. 1. Suggested that stake outs be conducted at known gang 2. Asked if the satellite Sheriff's Station at Garvey Park would aid in the response time by deputies called for assistance to gang-related activities. In action not on the agenda, Mayor Imperial asked if the council would be in favor of purchasing flags to be given out at the parade on July 4, 1991, as requested by Holly Knapp at the beginning of the meeting. MOTION BY COUNCILMAN BRUESCH, SECOND BY COUNCILMAN TAYLOR that the City approve the purchase of 200 flags and appropriate $170 to pay for them. D. MAYOR IMPERIAL 1. Requested additional' Sheriff support at Little League games and other organized activities held at Garvey Park. There being no further action to be taken at this time, the meeting was adjourned at 10:25 p.m. The next regular meeting, scheduled for June 25, 1991, will be cancelled due to lack of a quorum. Respectfully submitted: ty Clerk ADJ CC 6-20-91 Page #24