CC - 04-11-91 - Adjourned Meeting0 1 APPROVED
MINUTES OF AN ADJOURNED MEETING CITY OF ROSETU AD
ROSEMEAD CITY COUNCIL DATE Y:2.3 - Y/
APRIL 11, 1991 BY -
An Adjourned Meeting of the Rosemead City Council was called to
order by Mayor Pro Tem Clark at 7:18 p.m. in the Council Chambers of
City Hall, 8838 E. Valley Boulevard, Rosemead, California.
The Pledge to the Flag was led by Councilman Bruesch.
The Invocation was delivered by Mayor Pro Tem Clark.
ROLL CALL OF OFFICERS:
Present: Councilmen Bruesch, McDonald, Taylor, Mayor Pro Tem
Clark, and Mayor Imperial (arrived at 7:32 p.m.)
Absent: Councilman McDonald - Excused
I. DISCUSSION OF THE PROPOSALS RECEIVED FOR A TRASH COLLECTION AND
RECYCLING FRANCHISE
Frank G. Tripepi, City Manager, presented an overview of the
purpose of this meeting.
Representatives from Athens Disposal, Consolidated Disposal, BFI,
Waste Management, Metropolitan, Modern Service, Cal-San, Western
Waste, and Zakaroff were present. Each representative was given four
minutes to summarize its firm's proposal.
Dennis Chiapetta, Athens Disposal, 14 Rancho Jarupa, Phillips
Ranch, summarized his firm's proposal by noting the following: all
new equipment; green waste recycling; service to eight surrounding
communities, discount rate for senior citizens and free service to
invalids; lowest rates overall; competitive rates for recycling, and
plans for a materials recovery facility. Mr. Chiapetta added that the
company is family owned and operated, has good employee loyalty and
financial strength.
John Telesio, Consolidated Disposal, 12235 Los Nietos Rd., Santa
Fe Springs, summarized his firm's proposal by noting the following': a
competitive price for residential units; curbside recycling, backyard
recycling and collection service to all physically impaired customers;
a lower rate to seniors on fixed incomes; special pickups are provided
at the same price; a local customer service office; recycling
capabilities including education services; and service to ten cities
for as long as forty years. Mr. Tilesio added that his company could
provide a city-wide graffiti removal service for an additional cost.
Joyce Lava, Browning Ferris Industries (BFI), 9200 Glen Oaks, Sun
Valley, summarized that firm's proposal by noting the following: a
large company with good financial security; curbside recycling and
processing facilities county-wide with 600 contracts in the United
States; provides recycling curriculum to the local schools;
achievement of AB 939 requirements; discounts for handicapped and
seniors and a lower rate for multi-family units. Jonathon Neighbor,
Controller for BFI, 1450 E. 17th St. #28, Santa Ana, added that this
proposal provides a lower rate for the 3-yard bin service at
multi-family units because renters tend to be low-income.
Mike Muller, Waste Management, 404 Lee, Claremont, summarized his
firm's proposal by noting the following: 35 years in the San Gabriel
valley and surrounding communities; discounts to seniors and disabled
persons; anything goes pickups; scrutiny to avoid the pickup of
hazardous waste items; curbside recycling; a processing center in the
valley; full-time education programs for the schools and public
service groups; guaranteed landfill space; and the largest trash
hauler in the world.
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Tom Calderon, Metropolitan Waste, 900 S. Maple, Montebello,
summarized his company's proposal by noting the following: a
waste-by-rail program; AB 939 implementation; customer satisfaction
program; semi-annual survey of customers; community reinvestment
program to non-profit groups and their recycling program fund raisers;
discounts for seniors; and development of a household hazardous waste
management program if desired.
Barbara Murphy, Modern Service, 2018 Durfee Ave., E1 Monte, noted
their 50 cents per unit recycling program and implementation of a
pilot green waste program. .
Michael Adnof, Cal-San Inc., 9821 Downey-Norwalk Rd., Downey,
summarized his company's proposal by noting the following:
family-owned; if awarded the contract, new equipment will be
purchased; curbside recycling in Downey for fifteen years; green waste
programs in two cities; an earthquake preparedness and red alert
program available; all drivers are trained in CPR and first aid;
drivers report any criminal activities to local law enforcement; and
fair rates.
Paul Wolfe, Corporate Director Western Waste, 1125 W. 190th St.,
#100, Gardena, summarized his firm's proposal by noting the
following: thirty-five years in business; twenty-six local contracts;
active recycling for the past ten years; programs for community
education; a resource recovery center; insurance of AB 939 goals; free
service to City-sponsored events; licensed hazardous waste hauling;
and construction of their own truck bodies and recycling containers.
Marty Siminoff, Zakaroff, City of Industry, summarized his
company's proposal by noting the following: recycling fees were
included in the residential rate (without recycling curbside pickup
rate would be $9.09); a material recovery facility near Rosemead
opening on April 15, 1991; largest recycler of office paper in Los
Angeles; provides green waste recycling at no charge; and will
purchase all the bins for the recycling program. Tom Soto
representing Zakaroff explained the community relations aspect and
work with the non-profit organizations of the community.
Discussion by the Council:
Councilman Bruesch asked the same questions of all proponents:
No. 1. What would be done with the money from the recyclables? and
No. 2. What was the formula for any rate increases? and Councilman
Taylor asked No. 3. What subsidy, if any, was being currently
received from the cities being served (later clarified to landfill
pass-through expenses)?
The responses were as follows:
Athens Disposal
No. 1 - Split 50/50 with the City.
No. 2 - Annual Consumer Price Index (CPI) and landfill rate
increases.
No. 3 - No subsidy.
Councilman Taylor also asked for the average cost of a special one
time drop of a roll off bin and Mr. Chiapetta responded $95.00 plus
the actual landfill fee; currently, $14.55 at County Sanitation per
ton. Mayor Pro Tem Clark asked that an age criteria be established
for the senior citizen discounts.
Councilman Taylor reminded all proponents about the bonding
.requirements for those collecting fees two or three months in advance.
Consolidated Disposal
No.
1 -
65%
back to the
City.
No.
2 -
CPI
and tipping
fee factor.
No.
3 -
No
subsidy.
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Mayor Pro Tem. Clark asked for clarification of phase II of the
recycling program. Mr. Telesio said the figures would fluctuate based
on compliance and prices. Mr. Telesio added that he could achieve 65%
of AB 939 diversion with a general trash pickup for a small additional
cost, ranging from $1.00 to $1.50 per household per month.
BFI
No. 1 - Split 50/50 with the City.
No. 2 - CPI, not to exceed 10% in any one year and landfill
increases as a pass-through on the rates.
No. 3 - No subsidy.
Councilman Taylor also asked about pending lawsuits against this
company. Ms. Lava responded that those suits were in the midwest and
did not affect BFI of California. Ms. Lava added that BFI will begin
a multi-family recycling program in Glendale comprised of 36,000 units
and all of the rates presented included the franchise fee and the
tipping fees.
Waste Management
No. 1 - Offers the'option to the City of either the hauler keeping
the profits to offset the cost of the program or turning the fees less
the cost of the program to the City.
No. 2 - Annual CPI, landfill costs, and fuel costs.
No. 3 - No subsidy but annual landfill considerations.
Councilman Taylor verified that the recycling fees would be added
to the basic rates shown.
Mayor Pro Tem Clark asked for clarification of who would pay the
higher costs when dumps are used that are further away. Mr. Muller
responded that if this should become a consistent problem, the company
would petition the council for an increase based on documented rate
information.
Metropolitan Waste
No. 1 - Revenues are used to offset cost of the program.
No. 2 - CPI, fuel, landfill costs, and insurance costs. All
adjusted annually and based on actual costs.
No. 3 - No subsidy. Landfill pass-throughs are in the different
contracts and include 100% of the per ton cost.
Councilman Bruesch verified that the roll-bin charges included the
tipping fees.
Modern service
No. 1 - Split 50/50 with the City.
No. 2 - CPI, landfill costs. Fuel costs only if an extremely
large increase were experienced and all tipping fees are included.
Councilman Taylor stated he was familiar with the contract with
Modern Service regarding the pass-through agreement and basic city
subsidy of the residents' trash bill.
Mayor Pro Tem Clark asked about any plans for a materials recovery
facility and Mo Kirulla responded that they are contemplating forming
one with another City.
Mayor Imperial verified the prices being bid by Modern Service and
asked why they were considerably lower than those currently being
charged to Rosemead. Mr. Kirulla responded that the new contract
requirements were not as expensive as the services currently required
by the City.
Councilman Taylor clarified that part of the subsidy being paid by
the City of Rosemead are pass-through fees being charged by the
various dumping facilities.
Cal-San
No. 1 - Split 50/50 with the City.
No. 2 - CPI and landfill increases and
in the bin roll off charges.
No. 3 - No subsidy, but a percentage of
CPI, and fuel are adjusted annually for any
tipping fees are included
the landfill increase, the
basic rate increase.
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Western Waste
No. 1 - Split 50/50 with the City.
No. 2 - CPI, landfill increases, and fuel are negotiated annually
with the cities and customers are charged for hauling costs with dump
fees added as a pass-through for the roll off bins.
No. 3 - No subsidy.
Councilman Taylor verified that all rates being quoted this
evening include the pass-throughs for the landfill increases; that all
dump fees are included in the monthly rates.
Zakaroff
No. 1 - Split 50/50 with the City.
No. 2 - CPI and landfill costs; however, this rate could be held
for two years based on diversion capabilities; bin roll off rate
includes tipping fees except for over 6 tons.
No. 3 - No subsidy, pass throughs are passed to the cities.
Councilman Taylor verified that the price quoted by Modern Service
inlcuded the current dump increase pass throughs.
Councilman Bruesch asked that all proponents respond.by letter
explaining the nature of any existing or proposed Material Recovery
Facilities (MRF), with a full description and results, in layman's
terms to City Hall as soon as possible.
Councilman Taylor requested that all proponents provide a list for
the last three years, showing rate increases and pass throughs, for
the cities served in the San Gabriel valley. Mr. Taylor also asked
for the residential franchise fees being paid by these haulers to
these cities for the past three years.
It was agreed that this item would be returned to the Council at
its next regular meeting on April 23, 1991.
There being no further action to be taken at this time, the
meeting was adjourned at 9:32 p.m. The next regular meeting is
scheduled for April 23, 1991 at 8:00 p.m.
Respectfully submitted:
~/l2c z. ,~.C' y Clerk
APPROVED:
MAYO
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