CC - Item No. 5A - Selection of Solid Waste and Recycling Services ContractorCity Council Meeting
March 13, 2012
Page 2 of 3
BACKGROUND/DISCUSSION
For the past 22 years Rosemead's solid waste and recycling collection services have been
provided by Consolidated Disposal Services (CDS), a subsidiary of Republic Services, Inc. The
current agreement with CDS will expire on August 1, 2013. The scope of work in the Request
for Proposal (RFP) includes solid waste and recycling services citywide (all residential,
commercial, multi-family, and temporary bin and box services).
To ensure that a high standard of service is maintained, specifications for solid waste and
recycling collection services were detailed in the RFP and a draft franchise agreement. Terms
included in the RFP and draft agreement included several provisions covering the contract term,
reporting requirements, franchise fees, rate adjustment criteria, and defined service levels (solid
waste container sizes/colors, collection days/times, disposal sites, recycling levels, customer
service standards, insurance levels, equipment requirements, etc.).
On November 8, 2011, the City Council approved specifications (including service levels, RFP
process, and bidder's list) and directed staff to solicit proposals for solid waste and recycling
services. Subsequently, the RFP was posted on the City's website and distributed on to seven
prospective solid waste firms on November 14, 2011. Staff hosted a mandatory pre-proposal
meeting on November 30, 2011, responded to questions (in writing), and provided clarification
on items included in the RFP.
Proposals were due to the City Clerk's Office on January 18th, 2012. Prior to this deadline, the
City received 5 proposals for solid waste and recycling collection services from the following
solid waste management firms:
• Athens Services
• Burrtec Waste Industries
• Consolidated Disposal Services
• Rainbow Environmental Services
• Valley Vista Services
An executive summary of each of the bid submittals was provided to the City Council and
reviewed at the February 28th meeting. (Refer to Exhibit I.) These documents provide an
overview of service levels and terms requested in the RFP and the bid responses to each item.
Following an initial review and analysis of ach proposal, the firms were also requested (in
writing) to clarify certain items. Written responses to these requests for clarification were
received from each firm.
Evaluation Criteria
Bid submittals received by the City have been reviewed by a technical evaluation committee
comprised of the Assistant City Manager, Public Works Director, and Assistant Public Works
Director. As called for in the RFP, the proposals have been evaluated and tabulated based on
the pre-established weighted factors as follows:
Contract Costs/Maximum Rates to Customers 30%
Diversion of Waste Stream from Landfills 15%
Franchise Fee Revenues to the City 15%
Outstanding Claims/Litigation 10%
Experience 10%
City Council Meeting
March 13, 2012
Page 3 of 3
Financial Stability 10%
Additional Offerings 10%
The report of the technical evaluation committee is attached as Exhibit II. The evaluation
committee has determined that the proposal submitted by Rainbow Environmental Services
constitutes the overall best value to the community.
CONCLUSIONS
The City Council is in a unique position to make a well vetted selection of a contractor for the
residents and businesses community. Highlights of these companies are summarized in the
attached executive summaries and include the foiiowing:
Athens Services
Athens is a family-owned, professionally managed business with over 53 years of experience
serving many cities in Los Angeles County. The firm has significant experience in making
franchise service transitions in communities. Athens services are marked by a strong emphasis
on recycling, including operation of a nearby MRF in the City of Industry and a composting
facility permitted to take Los Angeles County food waste. The company has responsive
customer service and strong community involvement programs. Athens is also Rosemead's
current street sweeping contractor.
Consolidated Disposal Services
Consolidated is a subsidiary of Republic Services, Inc., the second largest solid waste services
company in the United States. This large professionally managed corporation possesses
significant resources and capabilities to enable the City meet all of its goals and state mandates.
As Rosemead's current solid waste and recycling services contractor, Consolidated has
provided quality service to the community for 22 years. Recently, Consolidated has
demonstrated significant involvement in community programs and events.
Rainbow Environmental Services
Rainbow is an employee owned, professionally managed company with over 50 years
experience in providing solid waste management services. The company operates a MRF that
serves the cities of Huntington Beach, Fountain Valley and other selected jurisdictions in
Orange County. Rainbow has a strong emphasis on recycling and diversion that resulted in
Huntington Beach being recognized as the California state diversion leader in 2008. It also
provides strong public education outreach programs.
Each of these companies has the capability and track record to enable them to provide
outstanding services to the City and its residents and businesses. The proposals and
evaluation criteria are multifaceted and complex. The technical evaluation committee has
carefully reviewed each proposal and provided evaluations using a valid statistical scoring
approach. The conclusions of the technical evaluation committee are contained in the attached
report and referenced in the recommendations section of this staff report.
Attachments: Exhibit I Executive Summaries of Proposals
Exhibit II Technical Evaluation Committee Report
Exhibit III Request for Proposal (RFP) and Draft Franchise Agreement
EXHIBIT I
r f
O S
P A
City of Rosemead
Public Works Department
Memorandum
TO: JEFF ALLRED, CITY MANAGER
FROM: EVALUATION COMMITTEE
DATE: FEBRUARY 23, 2012
SUBJECT: PRELIMINARY SUMMARY/REVIEW OF SOLID WASTE AND
RECYCLING SERVICES PROPOSALS
Evaluation Criteria
Bid submittals received by the City were reviewed by an Evaluation Committee
comprised of the Assistant City Manager, Public Works Director, and Assistant Public
Works Director. As indicated in Section G of the RFP sent to bidders, maximum rates
and costs are not the sole criteria for award of this agreement. Instead, the evaluation
involves a 2-step process, including:
February 28th: Qualitative Analysis: Bids have been reviewed to ensure compliance
with requirements in the RFP (i.e. service levels provided, customer
service requirements, alternative fueled vehicles in use, a demonstrated
driver/vehicle safety program, qualified personnel accountable for
performance of services, etc.); and
March 13th: Technical Scoring Evaluation: Bids will be evaluated using a weighted
average approach and several categories. Such review/approach helps
to ensure that the City selects a bid that is the overall best value. In
accordance with the City Council's direction, the criteria/weights that will
be used in the technical evaluation are summarized in Table 1.
The Evaluation Committee will finalize the Technical Scoring Evaluation and the City
Manager will present a recommendation to the City Council for consideration at its
March 13, 2012 meeting. It should be noted that no additional service proposals or
enhancements will be received. The technical scoring evaluation will be based on
materials that were provided to the City on January 18, 2012 (proposal submission due
date).
Table 1 - Evaluation Criteria/Weights
Percentage
Outstanding Claims/Litigation
Experience
Financial Stability
Contract Costs/Maximum Rates
• Residential - 20%
• Commercial/Mufti-Family - 10%
Franchise Fees
Diversion
Additional Offerings
10%
10%
10%
30%
15%
15%
10%
The intent of this Summary is to provide the City Council with detailed information
related to the City's requirements (as listed in the RFP) and items included in each
proposal. Such review will ensure that the City selects a firm that will provide quality
services for the residential and business community, provide competitive rates, confirm
contractor capabilities, and establish appropriate franchise revenues. For comparison,
the City's current Residential rate is $19.06 and the current Commercial/Multi-Family
rate is $136.51 per month.
The following information summarizes each proposal based on requirements listed in
the RFP document. The information is compiled by firm, in the following order:
• Athens Disposal (Industry) Pages 3-6
• Burrtec Disposal (Azusa) Pages 7-10
• Consolidated Disposal (Long Beach) Pages 11-14
• Rainbow Disposal (Huntington Beach) Pages 15-18
• Valley Vista Services (Industry) ................................................Pages 19-22
Athens Services
Athens Services (Athens) is a privately held company with operations in Los Angeles
County. The company has over 53 years of experience. The following describes
Athens' responsiveness to City requirements included in the Solid Waste/Recycling
RFP.
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✓ Athens provided information related to safety programs in place for employees,
including safety training programs/incentives.
✓ Athens received satisfactory CHIP BIT inspection records for 2010 and 2011.
✓ Athens did not indicate that any traffic citations were received for the requested
period.
✓ Athens provided information related to equipment/vehicle safety activities in
place.
Equipment Proposed for Collection Services
✓ Athens proposes to use 2012 model, Compressed Natural Gas (CNG) vehicles in
its collection services. This is compliant with the City's requirements that
vehicles be compliant with SCAQMD Rule 1193 and not be older than 3-years
old at the start of the collection services franchise agreement. Scout trucks (non-
collection vehicles) would be fueled with unleaded gasoline.
✓ Athens indicates the container types that will be used but does not indicate
manufacturers.
Understandinq of Scope of Services/RFP Document
✓ Residential Services: Athens proposes to use fully automated collection services
for curbside solid waste, recycling, and green waste collection activities. An
option of both a 2 and 3-container system is offered for residential services.
Temporary bin services will be available to residents (with 24 hours advance
notice), on a weekly drop-off basis. Bulk item collection will be provided with no
additional charge 25 times per year (5 items each time) with 48 hours advance
notice. Residents will also be offered programs for holiday tree
collection/recycling, backyard/off-street collection services, and senior/disabled
collection discount programs.
✓ Commercial Services: Athens proposes to service accounts with bin sizes
ranging from 96 gallon containers to 6 cubic yards. No additional charges will be
assessed for scout assistance to relocate bins for collection. Commercial
recycling programs will be implemented in accordance with Assembly Bill 341.
✓ Multi-Family Services: Athens proposes to service multi-family accounts, 5 units
or greater, with bin sizes ranging from 96 gallon containers to 6 cubic yards.
Bulk item collection services will be provided to multi-family residents (not
including apartment managers) with no additional charge 4 times per year (4
items each time) with 48 hours notice. Commercial recycling programs will be
implemented in accordance with Assembly Bill 341 to multi-family properties with
5 units or greater.
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✓ Other Services: Athens will collect materials from City facilities, bus stop
locations, at City events, and for City projects at no additional charge. Athens
will also provide a bulk item "rover" to remove items from the public right-of-way
during business days, 6 a.m. to 12 p.m.
Experience and Service Transitions with Other Public Agencies
✓ Athens has successfully transitioned services in other communities, including the
City of Redondo Beach (2011), Unincorporated Altadena (2010), and City of
West Hollywood (2004).
✓ Athens provided a detailed description of activities related to transition activities
that would occur in Rosemead, including a detailed timeline and implementation
tasks.
✓ Athens has significant experience providing solid waste collection services,
including the cities of San Gabriel, Temple City, Covina, Azusa, Monterey Park,
and Alhambra. References have indicated successful transition periods in each
of these cities.
✓ Athens has successfully provided street sweeping services to the City of
Rosemead since 2010.
Organization/Personnel Assigned to Contract
✓ Athens has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Athens proposes to hire new drivers in collection services in the City of
Rosemead.
✓ Athens provided an organizational chart indicating the operational structure for
providing services in the City of Rosemead.
Customer Service Programs
✓ Athens will provide quarterly billing for all residential accounts and monthly billing
for commercial accounts, including billing inserts for City programs (if notified in
advance).
✓ Athens staffs its call center Monday - Friday, 7 a.m. to 5 p.m. and will also
provide a dedicated staff member in a local office for 20 hours per week.
✓ Athens will perform customer service studies in cooperation with the City, at the
conclusion of the first 6 months of service and every year afterwards.
Disposal/Diversion Programs
✓ 60% Diversion Requirement: Athens describes its ability to meet the City's
required diversion of 60% through diversion programs and processing activities.
✓ AB 341 Compliance/Commercial Recycling Programs: Athens describes its
ability to comply with state-mandated outreach and programs associated with this
legislation.
✓ Food Waste Diversion: Athens proposes to implement a residential and
commercial food waste program within 12 months of the contract start date. The
proposal also proposes a residential food waste program that allows food and
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green waste to be combined in the green waste container. Organic materials
would be processed at its subsidiary processing facility, American Organics.
located in Victorville. The proposal indicates that this facility currently processes
16,000 tons per year, with an estimated diversion rate of 70%. No cost
information is provided for this program.
✓ Green Waste "End Uses": Athens proposes that green waste materials would be
combined with food waste as part of a curbside composting program. Organic
materials would be processed at its subsidiary processing facility, American
Organics, located in Victorville. The proposal indicates that this facility currently
processes 16,000 tons per year, with an estimated diversion rate of 70%.
✓ Proposed Processing Facilities: Athens indicates that processing is available at
its MRF in Industry. The facility is permitted for 4,000 tons per day and currently
receives 3,000 tons per day. A description of this facility was provided but no
permitting information was included in the proposal.
✓ Proposed Landfill Facilities: Athens indicates availability at several landfills,
including Puente Hills, Chiquita Canyon, Sunshine Canyon, El Sobrante,
Mesquite, Olinda Alpha, and Frank Bowerman.
Outstanding Claims/Litigation and Financial Stability
✓ Dunn and Bradstreet reports will be reviewed along with financial statements
provided by Athens.
Franchise Fees Offered
✓ Athens proposes two alternatives for franchise fee revenues for the City.
✓ Option 1 proposes an alternative that will provide the City with $3 Million due
upon signing the franchise agreement and at least $700,000 or 10% of gross
receipts annually, whichever is greater.
✓ Option 2 proposes a rate "buy-down" option that would allow the City to adjust
rates and allow the City to reduce franchise fees and rates, down to the City
required $1.6 Million amount due upon signing the franchise agreement and at
least $500,000 or 10% of gross receipts annually, whichever is greater.
Maximum Customer Service Rates
✓ Key service rates include the following:
o Residential Collection (Option 1): $ 19.06 Monthly
o Residential Collection (Option 2): $ 16.44 Monthly
o Multi-Family 3-Yard Bin Collection: $ 128.19 Monthly
o Commercial 3-Yard Bin Collection: $ 128.19 Monthly
Additional Programs Offered
✓ Athens proposes the opportunity for the City to receive additional franchise fees
revenue in the amount of $3.4 Million based on its rate "buy down" option.
✓ Athens has demonstrated its involvement in community programs and events,
including participation/sponsorship of the City's Lunar New Year Event, 4t' of July
Programs, Concerts in the Park, and Public Works Day.
✓ Athens proposes to provide free compost giveaway events.
✓ Athens proposes to provide local school districts a 25% reduction on solid
waste/recycling collection services.
✓ Athens describes a program to install cameras on street sweepers in the City, but
only if the existing street sweeping contract is renegotiated and integrated into a
solid waste/recycling collection agreement.
Exceptions to Franchise Agreement
✓ Athens had no exceptions to the City's RFP and draft franchise agreement.
Compliance with Existing Collection Schedules
✓ Athens will comply with the City's existing collection schedules.
OVERVIEW
➢ Potential additional franchise fees offered with corresponding rate changes.
➢ Alternative fueled equipment
➢ Diversion Programs - including green waste, organics and commercial recycling.
➢ Regional presence, with existing contracts in place in neighboring cities.
➢ Experienced in transitioning collection services and implementing new
agreements.
➢ Nearby processing facility with capacity for materials.
➢ Community partner in City events and community organizations.
➢ Offered free compost giveaway events.
➢ Offered 25% collection rate discount to schools in Rosemead.
➢ Residential Collection (Option 1): $ 19.06 Monthly
➢ Residential Collection (Option 2): $ 16.44 Monthly
➢ Multi-Family 3-Yard Bin Collection: $ 128.19 Monthly
➢ Commercial 3-Yard Bin Collection: $ 128.19 Monthly
➢ Landfills Proposed
o Puente Hills
o Chiquita Canyon
o Sunshine Canyon
o El Sobrante
o Mesquite
o Olinda Alpha
o Frank Bowerman Landfill
➢ Processing Facilities Proposed
o American Organics - green waste, food waste ($32/ton)
o Athens Transfer Station - mixed waste ($35-$65/ton)
o Commerce Waste-to-Energy - solid waste residue ($45-$65/ton)
Burrtec Disposal
Burrtec Disposal (Burrtec) is a privately held company with expansive operations in Los
Angeles and San Bernardino County. The company has over 33 years of experience.
he following describes Burrtec's responsiveness to City requirements included in the
Solid Waste/Recycling RFP.
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✓ Burrtec provided information related to safety programs in place for Employees,
including safety training programs and hazardous materials response and
health/safety procedures.
✓ Burrtec received a satisfactory CHP BIT inspection for 2011. Other years were
not provided.
✓ Burrtec provided information related to 3 traffic citations received during the
requested period (including worn tires and missing license plate).
✓ Burrtec provided information related to equipment/vehicle safety activities in
place.
Equipment Proposed for Collection Services
✓ Burrtec proposes to use new 2013 model, Compressed Natural Gas (CNG)
vehicles in its collection services. This is compliant with the City's requirements
that vehicles be compliant with SCAQMD Rule 1193 and not be older than 3-
years old at the start of the collection services franchise agreement. Scout/Bin
trucks are listed as compliant with California Air Resources Board On-Road Rule
requirements.
✓ Burrtec proposed to use automated containers from Rehrig Pacific. Such
containers and bins are suitable for collection services as described in California
Public Resources Code Section 43020.
Understanding of Scope of Services/RFP Document
✓ Residential Services: Burrtec proposes to use fully automated collection services
for curbside solid waste, recycling, and green waste collection activities. A 3-
container is offered for residents. Temporary bin services will be available to
residents (with 24 hours advance notice), on a weekly drop-off basis. Bulk item
collection will be provided with no additional charge 25 times per year (5 items
each time) with 48 hours advance notice. Residents will also be offered
programs for holiday tree collection/recycling, backyard/off-street collection
services, and senior/disabled collection discount programs.
✓ Commercial Services: Burrtec proposes to service accounts with bin sizes
ranging from 96 gallon containers to 6 cubic yards. No additional charges will be
assessed for scout assistance to relocate bins for collection. Commercial
recycling programs will be implemented in accordance with Assembly Bill 341.
✓ Multi-Family Services: Burrtec proposes to service multi-family accounts, 5 units
or greater, with bin sizes ranging from 96 gallon containers to 6 cubic yards.
Bulk item collection services will be provided to multi-family residents (not
including apartment managers) with no additional charge 4 times per year (4
items each time) with 48 hours notice. Commercial recycling programs will be
7
implemented in accordance with Assembly Bill 341 to multi-family properties with
5 units or greater.
✓ Other Services: Burrtec will collect materials from City facilities, bus stop
locations, at City events, and for City projects at no additional charge. Burrtec
will also provide a bulk item "rover" to remove items from the public right-of-way
during business days, 6 a.m. to 12 p.m.
Experience and Service Transitions with Other Public Agencies
✓ Burrtec has successfully transitioned services in other communities, including the
City of Highland (2006), City of Rialto (2009) and Unincorporated East Pasadena
(2008).
✓ Burrtec provided a detailed description of activities related to transition activities
that would occur in Rosemead, including a detailed timeline and implementation
tasks.
✓ Burrtec has significant experience providing solid waste collection services,
including the cities of Duarte, Rancho Cucamonga, Highland, and Pomona.
References have indicated successful transition periods in each of these cities.
Organization/Personnel Assigned to Contract
✓ Burrtec has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Burrtec proposes to hire new drivers in collection services in the City of
Rosemead.
✓ Burrtec provided an organizational chart indicating the operational structure for
providing services in the City of Rosemead.
Customer Service Programs
✓ Burrtec will provide quarterly billing for all residential accounts and monthly billing
for commercial accounts, including billing inserts for City programs (if notified in
advance).
✓ Burrtec staffs its call center Monday - Friday, 8 a.m. to 5 p.m. and will also
provide a dedicated staff member in a local office for 20 hours per week.
✓ Burrtec will perform customer service studies in cooperation with the City, at the
conclusion of the first 6 months of service and every year afterwards.
Disposal/Diversion Programs
✓ 60% Diversion Requirement: Burrtec thoroughly describes its ability to meet the
City's required diversion of 60% through diversion programs and processing
activities.
✓ AB 341 Compliance/Commercial Recycling Programs: Burrtec describes its
ability to comply with state-mandated outreach and programs associated with this
legislation.
✓ Food Waste Diversion: Burrtec proposes to implement a residential and
commercial food waste program. The proposal indicates that materials will be
collected, processed, and used as feedstock for compost and anaerobic
digestion. Organic materials would be processed at its subsidiary processing
facility, Coachella Valley Composting (location not provided). The proposal also
indicates that Burrtec is currently performing a feasibility study of the
development of an anaerobic digestion system.
✓ Green Waste "End Uses": Green waste materials will not be used as Alternate
Daily Cover. Organic materials will be processed and used as "land application"
that is delivered to farms for weed control and soil amendment.
✓ Proposed Processing Facilities: Burrtec indicates that processing is available at
Downey Areas Recycling/Transfer located in Downey and Allan Company MRF
(Baldwin Park). The Downey facility has a current capacity of 5,000 tons per day
and 450 tons per day are currently processed. The Allan facility has a current
capacity of 750 tons per day and 580 tons per day are currently processed. A
description of these facilities was provided but no permitting information was
included in the proposal.
✓ Proposed Landfill Facilities: Burrtec indicates availability at several landfills,
including Puente Hills, Olinda Alpha, Mid-Valley, and Salton City.
Outstanding Claims/Litigation and Financial Stability
✓ Dunn and Bradstreet reports will be reviewed along with financial statements
provided by Burrtec.
Franchise Fees Offered
✓ Burrtec proposes to provide franchise fees to the City as follows:
o $1.6 Million due upon signing the franchise agreement.
o A minimum of $600,000 or 10% of gross receipts annually, whichever is
greater.
Maximum Customer Service Rates
✓ Key service rates include the following:
o Residential Collection: $ 19.96 Monthly
o Multi-Family 3-Yard Bin Collection: $ 138.12 Monthly
o Commercial 3-Yard Bin Collection: $ 146.26 Monthly
Additional Programs Offered
✓ Burrtec proposes the opportunity for the City to receive additional franchise fees
revenue in the amount of $1 Million.
✓ Burrtec proposes curbside electronic waste, used oil and sharps collection
inclusive in its rate proposal.
✓ Burrtec proposes a recycling incentive program for residential customers.
✓ Burrtec proposes an award program designed to curb illegal dumping activity.
✓ Burrtec proposes to offer residents a military discount program on collection
services.
✓ Burrtec proposes to provide free mulch to customers.
✓ Burrtec proposes an annual tree donation program to the community.
✓ Burrtec proposes to offer a discount for bin services that will contain compostable
materials.
✓ Burrtec proposes to offer the community a free shred day event.
✓ Burrtec proposes to implement a neighborhood watch on wheels program.
Exceptions to Franchise Agreement
✓ Burrtec provided one exception to the City's RFP and draft franchise agreement,
involving submitting a copy of its financial statements. To satisfy this
requirement, Burrtec representatives provided access/review of financial
statements in person. Burrtec had no other exceptions to the City's RFP and
draft franchise agreement.
Compliance with Existing Collection Schedules
✓ Burrtec will comply with the City's existing collection schedules.
OVERVIEW
➢ Additional Franchise Fees Offered.
➢ New, Alternative fueled equipment
➢ Diversion Programs - including green waste, organics and commercial recycling.
➢ Regional presence, with existing contracts in place in nearby cities.
➢ Experienced in transitioning collection services and implementing new
agreements.
➢ Nearby processing facility with capacity for materials.
➢ Community partner in other contract City events and community organizations.
➢ Offered free curbside collection of hazardous wastes.
➢ Offered additional recycling and community awareness incentive based
programs.
➢ Offered free mulch and shred day events.
➢ Residential Collection: $ 19.96 Monthly
➢ Multi-Family 3-Yard Bin Collection: $ 138.12 Monthly
➢ Commercial 3-Yard Bin Collection: $ 146.26 Monthly
➢ Landfills Proposed (clarification letter)
o Puente Hills
o Olinda Alpha Landfill - Orange County
o Mid-Valley Landfill (San Bernardino County)
o Salton City Landfill (Imperial County)
➢ Processing Facilities Proposed
o Allan Company MRF - mixed waste (No Charge)
o Downey Area Recycling/Transfer ($63-$74/ton)
o Commerce Waste-to-Energy - solid waste residue ($60/ton)
o West Valley MRF - mixed waste ($52-62/ton)
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Consolidated Disposal
Consolidated Disposal (Consolidated) is a subsidiary of Republic Services, a publicly
traded company with expansive operations throughout the United States. The company
has over 30 years of experience. The following describes Consolidated's
responsiveness to City requirements included in the Solid Waste/Recycling RFP.
Demonstrated Safety Programs - Equipment, Training, Vehicles, Employees
✓ Consolidated provided information related to safety programs in place for
employees, including safety training programs/incentives/recognition, pre/post
collection procedures, and hazardous materials response and health/safety
procedures.
✓ Consolidated received a satisfactory CHP BIT inspection for 2010. The same
inspection referenced remarks related to vehicle lamp violations, turn signals out,
oil/grease accumulation, and wom brakes/tires. Other years were not provided.
No significant findings were made.
✓ Consolidated did not indicate that any traffic citations were received for the
requested period.
✓ Consolidated provided information related to equipment/vehicle safety activities
in place.
Equipment Proposed for Collection Services
✓ Consolidated proposes to use 2010/11/12 model, Liquefied Natural Gas (LNG)
vehicles in its collection services. This is compliant with the City's requirements
that vehicles be compliant with SCAQMD Rule 1193 and not be older than 3-
years old at the start of the collection services franchise agreement. Scout trucks
and bulky item vehicles would be fueled with diesel and unleaded gasoline.
✓ Consolidated proposed to use automated containers from Otto Environmental.
Such containers and bins are suitable for collection services as described in
Califomia Public Resources Code Section 43020.
Understanding of Scope of Services/RFP Document
✓ Residential Services: Consolidated proposes to use fully automated collection
services for curbside solid waste, recycling, and green waste collection activities.
A 3-container system is offered for residents. Temporary bin services will be
available to residents (with 24 hours advance notice), on a weekly drop-off basis.
Bulk item collection will be provided with no additional charge 25 times per year
(5 items each time) with 48 hours advance notice. Residents will also be offered
programs for holiday tree collection/recycling, backyard/off-street collection
services, and senior/disabled collection discount programs.
✓ Commercial Services: Consolidated proposes to service accounts with bin sizes
ranging from 96 gallon containers to 6 cubic yards. No additional charges will be
assessed for scout assistance to relocate bins for collection. Commercial
recycling programs will be implemented in accordance with Assembly Bill 341.
✓ Multi-Family Services: Consolidated proposes to service multi-family accounts, 5
units or greater, with bin sizes ranging from 96 gallon containers to 6 cubic yards.
Bulk item collection services will be provided to multi-family residents (not
including apartment managers) with no additional charge 4 times per year (4
items each time) with 48 hours notice. Commercial recycling programs will be
implemented in accordance with Assembly Bill 341 to multi-family properties with
5 units or greater.
✓ Other Services: Consolidated will continue to collect materials from City facilities,
bus stop locations, at City events, and for City projects at no additional charge.
Consolidated will also continue to provide a bulk item "rover' to remove items
from the public right-of-way during business days, 6 a.m. to 12 p.m.
Experience and Service Transitions with Other Public Agencies
✓ Consolidated has successfully transitioned services in other communities,
including the City of Hawthorne (2007), Unincorporated La Crescenta (2007),
and City of Lawndale (2011).
✓ Consolidated provided a detailed description of activities related to
implementation activities that would occur in Rosemead, including a detailed
timeline and implementation tasks.
✓ Consolidated has significant experience providing solid waste collection services,
including the cities of Los Alamitos, Alhambra, El Segundo, and Whittier.
Consolidated is also the City's existing service provider. References have
indicated successful transition periods in each of these cities.
Organization/Personnel Assigned to Contract
✓ Consolidated has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Consolidated proposes to use existing drivers in collection services in the City of
Rosemead. Drivers have a familiarity and understand intricacies involved with
serving the community.
✓ Consolidated provided an organizational chart indicating the operational structure
for providing services in the City of Rosemead.
Customer Service Programs
✓ Consolidated will continue to provide quarterly billing for all residential accounts
and monthly billing for commercial accounts, including billing inserts for City
programs (if notified in advance).
✓ Consolidated staffs its call center Monday - Friday, 6 a.m. to 5 p.m. and will
continue to provide a dedicated staff member in a local office for 20 hours per
week.
✓ Consolidated will perform customer service studies in cooperation with the City,
at the conclusion of the first 6 months of service and every year afterwards.
Disposal/Diversion Programs
✓ 60% Diversion Requirement: Consolidated describes its ability to meet the City's
required diversion of 60% through diversion programs and processing activities.
12
✓ AB 341 Compliance/Commercial Recycling Programs: Consolidated describes
its ability to comply with state-mandated outreach and programs associated with
this legislation and proposes to divert 53% of commercial materials collected.
✓ Food Waste Diversion: Consolidated proposes to implement a permanent
restaurant food waste program called the One Bin Plus System. Such system
proposes to bag organic waste, place these bags in with customers' trash and
then organic materials are sorted out at a processing facility. Organic materials
would then be taken to Inland Empire Composting Facility, located in Chino. The
proposal indicates that Consolidated will provide containers and bags to facilitate
this program.
✓ Green Waste "End Uses": Green waste materials will be used as alternate daily
cover until such period that it is not allowed as recyclable materials. No further
information is provided about other specific "end uses" for green waste.
Consolidated did reference processing for organic materials, which includes
green waste.
✓ Proposed Processing Facilities: Consolidated indicates that processing is
available at CVT Regional MRF in Anaheim. This facility has a current capacity
of 6,000 tons per day and currently 4,200 tons are processed. A full description
of this facility and transfer facilities was provided, including permit identification
numbers.
✓ Proposed Landfill Facilities: Consolidated indicates that Sunshine Canyon
Landfill will be used. Some materials may also be taken to Alpha Olinda Landfill
in Brea.
Outstanding Claims/Litigation and Financial Stability
✓ Dunn and Bradstreet reports will be reviewed along with financial statements
provided by Consolidated.
Franchise Fees Offered
✓ Consolidated proposes to provide franchise fees to the City as follows:
o $1.6 Million due upon signing the franchise agreement.
o A minimum of $500,000 or 10% of gross receipts annually, whichever is
greater.
Maximum Customer Service Rates
✓ Key service rates include the following:
o Residential Collection: $ 16.72 Monthly
o Multi-Family 3-Yard Bin Collection: $ 131.75 Monthly
o Commercial 3-Yard Bin Collection: $ 131.75 Monthly
Additional Programs Offered
✓ Consolidated proposes a revenue share program in the sale of recyclables in
excess of 3,200 tons per year. The analysis shows that this revenue share
would be minimal.
✓ Consolidated proposes curbside electronic waste and battery collection inclusive
in its rate proposal.
13
✓ Consolidated proposes to become the title sponsor of the City's Concerts in the Park
series.
✓ Consolidated proposes a recycling program called "Grades of Green" that is
designed to educate students and schools to better care for the environment.
✓ Consolidated proposes to offer five $1,000 scholarships to graduating high school
seniors in the City of Rosemead.
✓ Consolidated proposes a recycling incentive program called "Recycling Rewards"
that will reward neighborhood zones $10 gift cards to City businesses for
demonstrating leadership in community recycling. Further, the program will reward
the top 10 recycling customers with free collection services for a year.
✓ Consolidated offers a recycling program called "Bikes and Books" that will offer
collection and reuse programs for bicycles and books.
✓ Consolidated proposes to offer the free community shred day events.
✓ Consolidated proposes to establish a new outreach campaign called "Curb It", that
provide recycling and environmental program information to the community.
Exceptions to Franchise Agreement
✓ Consolidated had no exceptions to the City's RFP and draft franchise agreement.
Compliance with Existing Collection Schedules
✓ Consolidated will comply with the City's existing collection schedules.
OVERVIEW
➢ Analysis of potential additional revenues from revenue share program is estimated to
be minimal.
➢ Alternative fueled equipment
➢ Diversion Programs - including green waste, organics and commercial recycling.
➢ Regional presence, with existing contracts in place in nearby cities.
➢ The City's current solid waste collection provider, with full knowledge of routes and
the community.
➢ Experienced in transitioning collection services and implementing new agreements.
➢ Processing facility within 30 miles with capacity for materials.
➢ Community partner in City events and community organizations.
➢ Offered free curbside collection of some hazardous wastes.
➢ Offered additional recycling and community awareness incentive based programs.
➢ Offered shred day events.
➢ Residential Collection: $ 16.72 Monthly
➢ Multi-Family 3-Yard Bin Collection: $ 131.75 Monthly
➢ Commercial 3-Yard Bin Collection: $ 131.75 Monthly
➢ Landfills Proposed
o Sunshine Canyon (owned by parent company Republic Services)
o Olinda Alpha
➢ Processing Facilities Proposed
o CVT - mixed waste ($52/ton)
o Commerce Waste-to-Energy - solid waste residue
14
Rainbow Disposal
Rainbow Disposal (Rainbow) is an employee owned company with operations in
Orange County. The company has over 50 years of experience. The following
describes Rainbow's responsiveness to City requirements included in the Solid
Waste/Recycling RFP.
Demonstrated Safety Programs - Equipment, Training, Vehicles, Employees
✓ Rainbow provided information related to safety programs in place for Employees,
including safety training programs/incentives, and hazardous materials response
and health/safety procedures.
✓ Rainbow received a satisfactory CHP BIT inspection for 2008. Other years were
not provided. The proposal further indicates that in the past 5 years, Cal-OSHA
has inspected their facility 4 times. During these inspections, a total of 10 fix it
citations were received.
✓ Rainbow did not indicate that any traffic citations were received for the requested
period.
✓ Rainbow provided information related to equipment/vehicle safety activities in
place.
Equipment Proposed for Collection Services
✓ Rainbow proposes to use 2009, 2011, and 12 model, Compressed Natural Gas
(CNG) vehicles in its collection services. This is compliant with the City's
requirements that vehicles be compliant with SCAQMD Rule 1193. According to
the City requirements, vehicles are not to be older than 3-years at the start of the
collection services franchise agreement. Only the 2011/12 models would be
compliant. Scout trucks and bulky item vehicles would be fueled with diesel.
✓ Rainbow proposed to use automated containers from Rehrig Pacific. Such
containers and bins are suitable for collection services as described in California
Public Resources Code Section 43020.
Understandinq of Scope of Services/RFP Document
✓ Residential Services: Rainbow proposes to use fully automated collection
services for curbside solid waste, recycling, and green waste collection activities.
A 3-container system is offered for residents. Temporary bin services will be
available to residents (with 24 hours advance notice), on a weekly drop-off basis.
Bulk item collection will be provided with no additional charge 25 times per year
(5 items each time) with 48 hours advance notice. Residents will also be offered
programs for holiday tree collection/recycling, backyard/off-street collection
services, and senior/disabled collection discount programs.
✓ Commercial Services: Rainbow proposes to service accounts with bin sizes
ranging from 96 gallon containers to 6 cubic yards. No additional charges will be
assessed for scout assistance to relocate bins for collection. Commercial
recycling programs will be implemented in accordance with Assembly Bill 341.
✓ Multi-Family Services: Rainbow proposes to service multi-family accounts, 5
units or greater, with bin sizes ranging from 96 gallon containers to 6 cubic yards.
15
Bulk item collection services will be provided to multi-family residents (not
including apartment managers) with no additional charge 4 times per year (4
items each time) with 48 hours notice. Commercial recycling programs will be
implemented in accordance with Assembly Bill 341 to multi-family properties with
5 units or greater.
✓ Other Services: Rainbow will collect materials from City facilities, bus stop
locations, at City events, and for City projects at no additional charge. Rainbow
will also continue to provide a bulk item "rover' to remove items from the public
right-of-way during business days, 6 a.m. to 12 p.m.
Experience and Service Transitions with Other Public Agencies
✓ Rainbow has successfully transitioned services in other communities, including
Unincorporated Sunset Beach (2007), Fountain Valley (2006), and City of
Huntington Beach (2006).
✓ Rainbow provided a detailed description of activities related to implementation
activities that would occur in Rosemead, including a detailed timeline and
implementation tasks.
✓ Rainbow has significant experience providing solid waste collection services,
including the cities of Huntington Beach, Fountain Valley, and Westminster.
References have indicated successful transition periods in each of these cities.
Organization/Personnel Assigned to Contract
✓ Rainbow has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Rainbow proposes to hire new drivers in collection services in the City of
Rosemead.
✓ Rainbow provided an organizational chart indicating the operational structure for
providing services in the City of Rosemead.
Customer Service Programs
✓ Rainbow will provide quarterly billing for all residential accounts and monthly
billing for commercial accounts, including billing inserts for City programs (if
notified in advance).
✓ Rainbow staffs its call center Monday - Friday, 8 a.m. to 5 p.m. and will provide a
dedicated staff member in a local office for 20 hours per week.
✓ Rainbow will perform customer service studies in cooperation with the City, at the
conclusion of the first 6 months of service and every year afterwards.
Disposal/Diversion Programs
✓ 60% Diversion Requirement: Rainbow describes its ability to meet the City's
required diversion of 60% through diversion programs and processing activities.
Rainbow further proposes to divert 61 % of materials collected.
✓ AB 341 Compliance/Commercial Recycling Programs: Rainbow describes its
ability to comply with state-mandated outreach and programs associated with this
legislation.
16
✓ Food Waste Diversion: Rainbow proposes to implement a permanent restaurant
food waste program through a source separated program. The proposal
indicates a cost of $25/month for this collection service. Materials will be
processed at the Rainbow MRF and then taken to its subsidiary, Agromin
(Oxnard) for processing and use as feedstock for composting and digestion
processes.
✓ Green Waste "End Uses": Green waste materials will be processed at its
subsidiary processing facility, Agromin OC located in Oxnard.
✓ Proposed Processing Facilities: Rainbow indicates that processing is available at
its MRF in Huntington Beach. This facility has a current capacity of 4,000 tons
per day and currently 1,400 tons per day are processed at this facility. A full
description of this facility was provided, including permit identification numbers
and documentation.
✓ Proposed Landfill Facilities: Rainbow indicates availability at several landfills,
including, Puente Hills, Mesquite, and El Sobrante.
Outstanding Claims/Litigation and Financial Stability
✓ Dunn and Bradstreet reports will be reviewed along with financial statements
provided by Rainbow.
Franchise Fees Offered
✓ Rainbow proposes to provide franchise fees to the City as follows:
o $1.6 Million due upon signing the franchise agreement.
o A minimum of $500,000 or 10% of gross receipts annually, whichever is
greater.
Maximum Customer Service Rates
✓ Key service rates include the following:
o Residential Collection: $ 13.19 Monthly
o Multi-Family 3-Yard Bin Collection: $105.00 Monthly
o Commercial 3-Yard Bin Collection: $ 105.00 Monthly
Additional Programs Offered
✓ Rainbow proposes a recycling incentive program called "Environmental
Sustainability Partnership" that is designed to promote environmental programs
and recognize participants that participate in programs. The ESP Program
mentions presentations, outreach, awards, and reporting.
Exceptions to Franchise Agreement
✓ Rainbow had no exceptions to the City's RFP and draft franchise agreement.
Compliance with Existing Collection Schedules
✓ Rainbow will comply with the City's existing collection schedules.
17
OVERVIEW
Alternative fueled equipment
➢ Diversion Programs - including green waste, organics and commercial recycling.
9 Presence in Orange County, with existing contracts in place.
➢ Experienced in transitioning collection services and implementing new
agreements.
➢ Processing facility within 30 miles with capacity for materials.
➢ Community partner in other contract City events and community organizations.
➢ Residential Collection: $ 13.19 Monthly
➢ Multi-Family 3-Yard Bin Collection: $105.00 Monthly
➢ Commercial 3-Yard Bin Collection: $ 105.00 Monthly
➢ Landfills Proposed
o Puente Hills
o Mesquite
o El Sobrante
➢ Processing Facilities Proposed
o Rainbow MRF - mixed waste ($93.78/ton)
18
Valley Vista Services
Valley Vista Services (Valley Vista) is a privately owned company with operations in Los
Angeles County. The company has over 50 years of experience. The following
describes Valley Vista's responsiveness to City requirements included in the Solid
Waste/Recycling RFP.
Demonstrated Safety Programs - Equipment, Training, Vehicles, Employees
✓ Valley Vista provided information related to safety programs in place for
Employees, including safety training programs, and hazardous materials
response and health/safety procedures.
✓ Valley Vista received a satisfactory CHID BIT inspection for 2008. It was further
indicated that this was the last inspection received. The inspection referenced
remarks related to vehicle lamp violations, oil/grease accumulation and worn
brakes. No significant findings were made.
✓ Valley Vista did not indicate that any traffic citations were received for the
requested period.
✓ Valley Vista provided information related to equipment/vehicle safety activities in
place.
Equipment Proposed for Collection Services
✓ Valley Vista proposes to use new, 2013 model, Compressed Natural Gas (CNG)
vehicles in its collection services. Roll-off trucks will be 2012 CNG vehicles. This
is compliant with the City's requirements that vehicles be compliant with
SCAQMD Rule 1193 and not be older than 3-years old at the start of the
collection services franchise agreement. Scout trucks and bulky item vehicles
would be fueled with diesel and unleaded gasoline.
✓ Valley Vista proposed to use automated containers from Rehrig Pacific. Such
containers and bins are suitable for collection services as described in California
Public Resources Code Section 43020.
Understanding of Scope of Services/RFP Document
✓ Residential Services: Valley Vista proposes to use fully automated collection
services for curbside solid waste, recycling, and green waste collection activities.
A 3-container system is offered for residents. Temporary bin services will be
available to residents (with 24 hours advance notice), on a weekly drop-off basis.
Bulk item collection will be provided with no additional charge 25 times per year
(5 items each time) with 48 hours advance notice. Residents will also be offered
programs for holiday tree collection/recycling, backyard/off-street collection
services, and senior/disabled collection discount programs.
✓ Commercial Services: Valley Vista proposes to service accounts with bin sizes
ranging from 96 gallon containers to 6 cubic yards. No additional charges will be
assessed for scout assistance to relocate bins for collection. Commercial
recycling programs will be implemented in accordance with Assembly Bill 341.
✓ Multi-Family Services: Valley Vista proposes to service multi-family accounts, 5
units or greater, with bin sizes ranging from 96 gallon containers to 6 cubic yards.
Bulk item collection services will be provided to multi-family residents (not
19
including apartment managers) with no additional charge 4 times per year (4
items each time) with 48 hours notice. Commercial recycling programs will be
implemented in accordance with Assembly Bill 341 to multi-family properties with
5 units or greater.
✓ Other Services: Valley Vista will collect materials from City facilities, bus stop
locations, at City events, and for City projects at no additional charge. Valley
Vista will also provide a bulk item "rover" to remove items from the public right-of-
way during business days, 6 a.m. to 12 p.m.
Experience and Service Transitions with Other Public Agencies
✓ Valley Vista has successfully transitioned services in other communities,
including El Monte (2005), Walnut (2005), and Unincorporated Hacienda Heights
(2010).
✓ Valley Vista provided a detailed description of activities related to implementation
activities that would occur in Rosemead, including a detailed timeline and
implementation tasks.
✓ Valley Vista has significant experience providing solid waste collection services,
including the cities of Walnut, Diamond Bar, and El Monte. References have
indicated successful transition periods in each of these cities.
Organization/Personnel Assigned to Contract
✓ Valley Vista has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Valley Vista did not indicate whether existing drivers will be used in collection
services in the City of Rosemead.
✓ Valley Vista provided an organizational chart indicating the operational structure
for providing services in the City of Rosemead.
Customer Service Programs
✓ Valley Vista will continue to provide quarterly billing for all residential accounts
and monthly billing for commercial accounts, including billing inserts for City
programs (if notified in advance).
✓ Valley Vista staffs its call center Monday - Friday, 7 a.m. to 5 p.m. and will
continue to provide a dedicated staff member in a local office for 20 hours per
week.
✓ Valley Vista will perform customer service studies in cooperation with the City, at
the conclusion of the first 6 months of service and every year afterwards.
Disposal/Diversion Programs
✓ 60% Diversion Requirement: Valley Vista describes its ability to meet the City's
required diversion of 60% through diversion programs and processing activities.
✓ AB 341 Compliance/Commercial Recycling Programs: Valley Vista describes its
ability to comply with state-mandated outreach and programs associated with this
legislation.
20
✓ Food Waste Diversion: Valley Vista proposes to implement a voluntary restaurant
food waste program but does not specify an organics processing facility. Valley
Vista does indicate that it is developing an anaerobic digestion that will allow
conversion of materials to natural gas for its collection fleet.
✓ Green Waste "End Uses": Green waste materials will be used as Alternate Daily
Cover until such period that it is not allowed as recyclable materials. Valley Vista
does indicate that it is developing an anaerobic digestion that will allow
conversion of materials to natural gas for its collection fleet.
✓ Proposed Processing Facilities: Valley Vista indicates that processing is available
at Grand Central Recycling in Industry. The current capacity of this facility is
5,000 tons per day and currently 1,500 tons per day are processed at this facility.
A full description of this facility was provided, including permit identification
numbers
✓ Proposed Landfill Facilities: Valley Vista indicates availability at several landfills,
including Puente Hills, Olinda Alpha, and El Sobrante.
Outstanding Claims/Litigation and Financial Stability
✓ Dunn and Bradstreet reports will be reviewed along with financial statements
provided by Valley Vista.
Franchise Fees Offered
✓ Valley Vista proposes to provide franchise fees to the City as follows:
o $1.6 Million due upon signing the franchise agreement.
o A minimum of $500,000 or 10% of gross receipts annually, whichever is
greater.
Maximum Customer Service Rates
✓ Key service rates include the following:
o Residential Collection: $ 19.11 Monthly
o Multi-Family 3-Yard Bin Collection: $ 154.94 Monthly
o Commercial 3-Yard Bin Collection: $ 154.94 Monthly
Additional Programs Offered
✓ Valley Vista proposes curbside electronic and universal waste inclusive in its rate
proposal.
✓ Valley Vista proposes recycling program outreach services for customers.
Exceptions to Franchise Agreement
✓ Valley Vista had no exceptions to the City's RFP and draft franchise agreement.
Compliance with Existing Collection Schedules
✓ Valley Vista will comply with the City's existing collection schedules.
21
OVERVIEW
➢ New, Alternative fueled equipment
➢ Diversion Programs - including green waste, organics and commercial recycling.
➢ Presence in Los Angeles County, with existing contracts in place in nearby cities.
➢ Experienced in transitioning collection services and implementing new
agreements.
➢ Nearby processing facility with capacity for materials.
➢ Community partner in other contract City events and community organizations.
➢ Residential Collection: $ 19.11 Monthly
➢ Multi-Family 3-Yard Bin Collection: $ 154.94 Monthly
➢ Commercial 3-Yard Bin Collection: $ 154.94 Monthly
➢ Landfills Proposed
o Puente Hills
o Olinda Alpha
o El Sobrante
➢ Processing Facilities Proposed
o Grand Central Recycling - mixed waste ($53.72/ton)
22
EXHIBIT 11
City of Rosemead
Memorandum
TO: JEFF ALLRED, CITY MANAGER
FROM: EVALUATION COMMITTEE
DATE: MARCH 8, 2012
SUBJECT: SOLID WASTE/RECYCLING PROPOSALS - REVIEW/ANALYSIS REPORT
Evaluation Criteria
Bid submittals received by the City were reviewed by an Evaluation Committee
comprised of the Assistant City Manager, Public Works Director, and Assistant Public
Works Director. As indicated in Section G of the RFP sent to bidders, maximum rates
and costs are not the sole criteria for award of this agreement. Instead, the evaluation
involves a 2-step process, including:
February 28th: Qualitative Analysis: Bids have been reviewed to ensure compliance
with requirements in the RFP (i.e. service levels provided, customer
service requirements, alternative fueled vehicles in use, a demonstrated
driver/vehicle safety program, qualified personnel accountable for
performance of services, etc.); and
March 13th: Technical Scoring Evaluation: Bids were evaluated using a weighted
average approach for several categories. Such review/approach helps
to ensure that the City selects a bid that is the overall best value. In
accordance with the City Council's direction, the criteria and weights
used in the technical evaluation are summarized in Table 1. Evaluation
scores have been based on materials that were provided to the City on
January 18, 2012 (proposal submission due date). In the development
and implementation of the methodology for scoring and tabulating the
proposals, the evaluation committee consulted with an impartial
professional statistician.
Attached to this review is a Rate Comparison Analysis (Attachment A), which lists
current and proposed service rates for each collection level requested in the RFP.
These sheets will be made available on the City's website and copies will be available
for the public to review at the City Council meeting. Also attached are a Revenue
Analysis for both residential services and commercial services (Attachment B and C).
Additional details are provided in this review.
Table 1 - Evaluation CriteriaANeights
Category
Percentage
Outstanding Claims/Litigation
10%
Experience
10%
Financial Stability
10%
Contract Costs/Maximum Rates
• Residential - 20%
• CommercialIMulti-Family -10%
30%
Franchise Fees
15%
Diversion
15%
Additional Offerings
10%
The intent of this Summary is to provide the City Council with detailed information
related to the City's requirements (as listed in the RFP) and items included in each
proposal. Such review will ensure that the City selects a firm that will provide quality
services for the residential and business community, provide competitive rates, confirm
contractor capabilities, and establish appropriate franchise revenues. For comparison,
the City's 2011 residential rate is $19.06 and the commercial/multi-family rate is
$136.51 per month.
The following information summarizes each proposal based on requirements listed in
the RFP document. The information is compiled by firm, in the following order:
• Outstanding Claims/Litigation
Page 3
• Experience..... * - * *
- - * - Page 3
• Financial Stability
Page 7
• Franchise Fees
Page 8
• Contract Costs/Maximum Rates
Page 9-10
• Diversion
Page 11
• Additional Offerings
Page 12
2
Review of Technical Categories
Outstanding Claims/Litigation
Dun and Bradstreet reports were obtained and reviewed for each firm. These reports
include public records of both open and closed filings, including bankruptcies,
judgments, liens, and lawsuits. Dun and Bradstreet is an independent company, and is
considered a leading source of information related to businesses. Due to licensing
restrictions, the information contained in the Dun and Bradstreet reports cannot be
reproduced.
In reviewing Dun and Bradstreet reports, no significant reportable actions were found.
While many of the firms currently have existing litigation or recently settled litigation,
further research and reference checking of each firm did not indicate any pending or
past litigation related to the ability to provide services in other local communities.
Firm
Weight
Points
Received
Athens
10%
10
Burrtec
10%
10
Consolidated
10%
10
Rainbow
10%
10
Valley Vista
10%
10
Experience
Each bidder's experience and performance in providing collection services for other
public agencies was evaluated to determine the bidder's ability to facilitate a seamless
transition of collection services between service providers. Additionally, the proposed
customer service functions were evaluated to determine each firm's ability to provide
responsive services to residents and businesses. A minimum of 3 references were
contacted for each firm.
Athens Services (Athens) is a privately held company with operations in Los Angeles
County. The company has over 53 years of experience. Athens provided a detailed
description of activities related to transition activities that would occur in Rosemead,
including a detailed timeline and implementation tasks.
✓ Athens has successfully transitioned services in other communities, including the
City of Redondo Beach (2011), Unincorporated Altadena (2010), and City of
West Hollywood (2004).
3
✓ Athens has experience providing solid waste collection services, including the
cities of San Gabriel, Temple City, Covina, Azusa, Montebello, South El Monte,
and Monterey Park. References have indicated successful transition periods in
each of these cities.
✓ Athens has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Athens describes its ability to provide customer service functions, including billing
services, multi-lingual customer service, staff a local office, and provide billing
inserts for City programs. Athens staffs its call center Monday - Friday, 7 a.m. to
5 p.m.
Burrtec Disposal (Burrtec) is a privately held company with operations in Los Angeles
and San Bernardino County. The company has over 33 years of experience. Burrtec
provided a detailed description of activities related to transition activities that would
occur in Rosemead, including a detailed timeline and implementation tasks.
✓ Burrtec has successfully transitioned services in other communities, including the
City of Highland (2006), City of Rialto (2009) and Unincorporated East Pasadena
(2008).
✓ Burrtec has experience providing solid waste collection services, including the
cities of Duarte, Rancho Cucamonga, Highland, and Pomona. References have
indicated successful transition periods in each of these cities.
✓ Burrtec has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Burrtec describes its ability to provide customer service functions, including
billing services, multi-lingual customer service, staff a local office, and provide
billing inserts for City programs. Burrtec staffs its call center Monday - Friday, 8
a.m. to 5 p.m.
Consolidated Disposal (Consolidated) is a subsidiary of Republic Services, a publicly
traded company with operations throughout the United States. The company has over
30 years of experience. Consolidated provided a detailed description of activities
related to the continuation of services, including a detailed timeline and implementation
tasks.
✓ Consolidated has successfully transitioned services in other communities,
including the City of Hawthorne (2007), Unincorporated La Crescenta (2007),
and City of Lawndale (2011).
✓ Consolidated has experience providing solid waste collection services, including
the cities of Los Alamitos, El Segundo, and Whittier. Consolidated is also the
City's existing service provider. References have indicated successful transition
periods in each of these cities.
4
✓ Consolidated has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Consolidated describes its ability to continue customer service functions,
including billing services, multi-lingual customer service, staff a local office, and
provide billing inserts for City programs. Consolidated staffs its call center
Monday - Friday, 6 a.m. to 6 p.m.
Rainbow Environmental Services (Rainbow) is an employee owned company with
operations in Orange County. The company has over 50 years of experience. Rainbow
provided a detailed description of activities related to implementation activities that
would occur in Rosemead, including a detailed timeline and implementation tasks.
✓ Rainbow has successfully transitioned services in other communities, including
Unincorporated Sunset Beach (2007), Fountain Valley (2006), and City of
Huntington Beach (2006).
✓ Rainbow has experience providing solid waste collection services, including the
cities of Huntington Beach, Fountain Valley, and Westminster. References have
indicated successful transition periods in each of these cities.
✓ Rainbow has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Rainbow describes its ability to provide customer service functions, including
billing services, multi-lingual customer service, staff a local office, and provide
billing inserts for City programs. Rainbow staffs its call center Monday - Friday,
8 a.m. to 5 p.m.
Valley Vista Services (Valley Vista) is a privately owned company with operations in Los
Angeles County. The company has over 50 years of experience. Valley Vista provided
a detailed description of activities related to implementation activities that would occur in
Rosemead, including a detailed timeline and implementation tasks.
✓ Valley Vista has successfully transitioned services in other communities,
including El Monte (2005), Walnut (2005), and Unincorporated Hacienda Heights
(2010).
✓ Valley Vista has experience providing solid waste collection services, including
the cities of Walnut, Diamond Bar, and El Monte. References have indicated
successful transition periods in each of these cities.
✓ Valley Vista has a staff qualified to manage contract operations in the City of
Rosemead. Such staff includes managerial oversight, government relations,
community education/outreach, and operations personnel.
✓ Valley Vista describes its ability to provide customer service functions, including
billing services, multi-lingual customer service, staff a local office, and provide
billing inserts for City programs. Valley Vista staffs its call center Monday -
Friday, 7 a.m. to 5 p.m.
Out of a total of 10 points, the following analysis was conducted:
• The RFP, Section 8L and Draft Agreement, Section 7b described customer
service requirements related to the performance of collection services. The Draft
Agreement further indicated the desired service levels for receiving customer
calls for these services. Athens, Burrtec, Valley Vista and Rainbow each
received a 1 point deduction due to reduced customer service call center
operating hours. Consolidated received a full score for its ability to meet the
City's request to maintain current customer service call center hours from 6 a.m.
to 5 p.m. (representing an additional 1-2 hours per day in customer service hours
in comparison to other proposals). Maintaining the existing operating hours
ensure that there will be no reduction in the current service levels offered to the
general public.
• Rainbow received a 1 point deduction due to its lack of experience in Los
Angeles County solid waste operations. Rainbow currently operates only in
Orange County.
Firm
Weight
Points
Received
Athens
10%
9
Burrtec
10%
9
Consolidated
10%
10
Rainbow
10%
8
Valley Vista
10%
9
6
Financial Stability
The financial stability of the firm was evaluated on several categories, including Dun
and Bradstreet reports, an analysis of bank references and financial statements, and
the "market share" that Rosemead would represent in the firm's operations. It should be
noted that due to confidentiality requirements, this information may not be made public.
Out of a total 10 points, the following analysis was conducted:
6 points were awarded based on a review of each firm's Dun and Bradstreet
report, which indicates traits such as financial stress, key business ratios, credit
scores, and other financial risk factors. Dun and Bradstreet is an independent
company, and is considered a leading source of information related to
businesses.
3 points were awarded based on the analysis of financial statements, including
the review of liquidity, leverage, business activity, and profitability. Ratings were
made using a scale of "Above Average", "Satisfactory", and "Below Average".
1 point was awarded based on the market share that Rosemead would represent
as a percentage of the total company revenues.
Firm
Weight
Points
Received
Athens
10%
8
Burrtec
10%
10
Consolidated
10%
9
Rainbow
10%
7.5
Valley Vista
10%
7
Franchise Fees
Each firm's proposed offer of franchise fees was evaluated. The selected firm will be
required to make a minimum of one lump sum payment of $1.6 million upon the
execution of the Franchise Agreement and annual payments of 10% of gross receipts,
with a minimum annual payment of $500,000. As a condition of the RFP, franchise fees
will not be added to customer billing statements or passed on to Rosemead
residents/businesses.
Out of a total 15 points, the following analysis was conducted:
All proposals were evaluated over the 10-year contract term to develop a total
contract value (assuming an annual 5% rate increase, compounded annually).
The proposal that offered the highest franchise fees was awarded a total of 15
points.
The remaining proposals were awarded points proportionately less than 15
based upon the variation from the highest franchise fee offer.
Firm
Weight
Points
Received
Athens - 1
15%
15
Athens - 2"
15%
11
Burrtec
15%
12
Consolidated
15%
11
Rainbow
15%
11
Valley Vista
15%
11
*Athens provided a rate buy down option which was applied to Athens-2.
Costs/Maximum Rates
Residential Rates
Rates were evaluated for residential services, including fully automated refuse
collection, recycling, green waste recycling, and bulk item collection. Rates may be
adjusted based upon criteria established in the draft agreement and may not exceed
5%, annually.
Out of a total 20 points, the following analysis was conducted using the Residential
Rates Comparison Schedule (Attachment B):
• The total value of the lowest proposal was estimated at $1,810,401 in year 1.
This proposal was awarded a total of 20 points.
• The total value of the highest proposal was estimated at $2,739,635 in year 1.
This proposal was awarded a total of 0 points.
• The remaining proposals were awarded points proportionately between 0 and 20
based upon their total value.
Firm
Weight
$ Difference
from Lowest
Proposal
Points
Received
Athens - 1
20% 1
$798,457
2.8
Athens - 2*
20%
$444,757
10.4
Burrtec
20%
$929,234
0
Consolidated
20%
$484,531
9.6
Rainbow
20%
-
20
Valley Vista
20%
- $812,567 i
2.5
*Athens provided a rate buy down option which was applied to Athens-2.
9
Commercial Rates
Rates were evaluated for commercial services, including refuse collection and recycling.
Rates may be adjusted based upon criteria established in the draft agreement and may
not exceed 5%, annually.
Out of a total 10 points, the following analysis was conducted using the Commercial
Rates Comparison Schedule (Attachment C):
• The total value of the lowest proposal was estimated at $1,784,000 in year 1.
This proposal was awarded a total of 10 points.
• The total value of the highest proposal was estimated at $2,555,000 in year 1.
This proposal was awarded a total of 0 points.
• The remaining proposals were awarded points proportionately between 0 and 10
based upon their total value.
• Consideration was also given to Consolidated's proposal to include free source
separated recycling for commercial and multi-family accounts.
Firm
Weight
$ Difference
from Lowest
Proposal
Points
Received
Athens
10%
$104,000
8.7
Burrtec
10%
$771,000
0
Consolidated
10%
$733,000
1.5
Rainbow
10%
-
10
Valley Vista
10%
$697,000
1
10
Diversion
Diversion programs were evaluated based on the bidder's ability to meet local and state
waste disposal and recycling requirements. Bidders must achieve a minimum 60%
diversion level and guarantee to meet mandated recycling levels should they be
increased. Additional programs include implementing food waste diversion programs,
providing recycling of green waste materials, adhering to commercial programs/AB 341,
and utilizing a waste-to-energy facility for a minimum of 5,000 tons per year or 10% of
the total materials collected. Consideration was also given to the bidder's ability to
secure long-term disposal costs for solid waste residue.
Out of a total 15 points, the following analysis was conducted:
Proposals meeting all of the minimum diversion requirements were awarded 10
points.
Additional programs (i.e. sharps recycling, curbside used oil recycling, a-waste
recycling, long-term disposal plans) were awarded up to an additional 5 points.
Firm
Weight
Points
Received
Athens
15%
13
Burrtec
15%
15
Consolidated
15%
15
Rainbow
15%
13
Valley Vista
15%
12
11
Additional Offerings
Additional contributions to the community, including corporate citizenry programs,
sponsorship of community events, and other partnerships were evaluated.
Out of a total 10 points, the following analysis was conducted:
The proposal that offered the most additional offerings (in terms of community
value) was awarded a total of 10 points.
The scores for the remaining proposals were reduced proportionately based
upon the perceived community value of the programs offered.
Firm
Weight
Points
Received
Athens
10%
8
Burrtec
10%
8
Consolidated
10%
10
Rainbow
10%
5
Valley Vista
10%
3
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Attachment B
City of Rosemead
Rate Revenue Comparison
Residential Rates
Customer Monthly Rates
Monthly Rate Revenue
Line
Service Category
2011 Rate
Athens-1
Athens-2
Burrtec
Consolidated
Rainbow Disposal
Valley Vista
Billing Units*
2011 Rate
Athens-1
Athens-2
Burrtec
Consolidated
Rainbow Disposal
Valley Vista
1
2
3
Residential Cart Service
Senior/Disable Service
Push-out/Push-back Service
$ 19.06
$ 12.68
N/A
$ 19.06
$ 12.68
$ 28.59
$ 16.44
$ 12.68
$ 25.97
$ 19.96
$ 15.97
$ 34.91
$ 16.72
$ 13.38
$ 21.00
$ 13.19
$ 10.55
$ 20.00
$ 19.11
$ 15.29
$ 28.67
11,250
235
$ 214,425.00
$ 2,979.80
$ 214,425.00
$ 2,979.80
$ 184,950.00
$ 2,979.80
$ 224,550.00
$ 3,752.95
$ 188,100.00
$ 3,144.30
$ 148,387.50
$ 2,479.25
$ 214,987.50
$ 3,593.15
4
Gross Monthly Revenue
$ 217,404.80
$ 217,404.80
$ 187,929.80
$ 228,302.95
$ 191,244.30
$ 150,866.75
$ 218,580.65
5
Gross Annual Revenue (rounded
to nearest thousand)
$ 2,608,857.60
$ 2,608,857.60
$ 2,255,157.60
$ 2,739,635.40
$ 2,294,931.60
$ 1,810,401.00
$ 2,622,967.80
6,
% Above or Below Current
0%
-14%
5%
-12%
-31%
1%
* Billing Units based upon RFP figures of 9,058 single family homes and 2,192 multi-family residences of less than 5 units.
- The highlighted rates are equal to or lower than the 2011 rate.
Bold -The bolded numbers represent the lowest proposed rate in each rate type.
Attachment C
City of Rosemead
Rate Revenue Comparison
Commercial Bin Refuse Rates
Customer Monthly Rates
Billing
Monthly Rate Revenue
Line
Service Category
2011 Rate
Athens
Burrtec
Consolidated
Rainbow Disposal
Valley Vista
Units
Current
Athens
Burrtec
Consolidated
Rainbow Disposal
Valley Vista
1
96 Gallon 1x week
84.47
84.47
49.38
32.50
60.90
47.14
-
$ -
$
$ -
$
$ -
$
2
96 Gallon 2x week
N/A
128.21
N/A
65.00
N/A
94.28
-
$
N/A
$
N/A
$
3
96 Gallon 3x week
N/A
173.92
N/A
97.50
N/A
141.42
-
$
N/A
$
N/A
$
4
96 Gallon 4x week
N/A
219.97
N/A
130.00
N/A
188.56
-
$
N/A
$
N/A
$
5
96 Gallon 5x week
N/A
271.79
N/A
162.50
N/A
235.70
-
$
N/A
$
N/A
$ -
6
2 Cubic Yard 1x week
92.20
96.14
116.02
87.83
72.45
125.82
152
$ 14,014.40
$ 14,613.28
$ 17,635.04
$ 13,350.16
$ 11,012.40
$ 19,124.64
7
2 Cubic Yard 2x week
139.64
145.93
208.32
175.66
127.05
217.26
3
$ 418.92
$ 437.79
$ 624.96
$ 526.98
$ 381.15
$ 651.78
8
2 Cubic Yard 3x week
187.08
197.96
300.60
263.49
182.70
296.21
-
$ -
$ -
$ -
$ -
$ -
$
9
2 Cubic Yard 4x week
234.52
250.37
392.89
351.32
233.10
382.96
$
$
$ -
$ -
$ -
$
10
2 Cubic Yard 5x week
281.96
309.34
485.17
439.16
327.60
474.41
$
$
$ -
$ -
$
$ -
11
3 Cubic Yard 1x week
136.51
128.19
146.26
131.75
105.00
154.94
285
$ 38,905.35
$ 36,534.15
$ 41,684.10
$ 37,548.75
$ 29,925.00
$ 44,157.90
12
3 Cubic Yard 2x week
207.19
194.57
265.23
263.49
189.00
255.21
157
$ 32,528.83
$ 30,547.49
$ 41,641.11
$ 41,367.93
$ 29,673.00
$ 40,067.97
13
3 Cubic Yard 3x week
281.06
263.94
384.21
395.24
269.85
357.45
99
$ 27,824.94
$ 26,130.06
$ 38,036.79
$ 39,128.76
$ 26,715.15
$ 35,387.55
14
3 Cubic Yard 4x week
355.47
333.82
503.18
526.99
347.55
463.56
32
$ 11,375.04
$ 10,682.24
$ 16,101.76
$ 16,863.68
$ 11,121.60
$ 14,833.92
15
3 Cubic Yard 5x week
439.20
412.45
622.16
658.73
430.50
567.75
77
$ 33,818.40
$ 31,758.65
$ 47,906.32
$ 50,722.21
$ 33,148.50
$ 43,716.75
16
4 Cubic Yard lx week
168.05
160.24
182.04
175.66
135.45
195.80
5
$ 840.25
$ 801.20
$ 910.20
$ 878.30
$ 677.25
$ 979.00
17
4 Cubic Yard 2x week
255.09
243.21
331.61
351.32
247.80
312.68
3
$ 765.27
$ 729.63
$ 994.83
$ 1,053.96
$ 743.40
$ 938.04
18
4 Cubic Yard 3x week
346.06
329.93
481.17
526.99
352.80
432.35
5
$ 1,730.30
$ 1,649.65
$ 2,405.85
$ 2,634.95
$ 1,764.00
$ 2,161.75
19
4 Cubic Yard 4x week
467.69
417.28
630.74
702.65
457.80
617.56
5
$ 2,338.45
$ 2,086.40
$ 3,153.70
$ 3,513.25
$ 2,289.00
$ 3,087.80
20
4 Cubic Yard 5x week
540.77
515.57
780.30
878.31
567.00
737.20
1
$ 540.77
$ 515.57
$ 780.30
$ 878.31
$ 567.00
$ 737.20
21
6 Cubic Yard lx week
281.29
256.38
236.96
263.49
155.40
231.80
N/A
$ -
$ -
$ -
$ -
$ -
22
6 Cubic Yard 2x week
417.69
389.13
436.03
526.99
279.30
379.62
N/A
$
$
$
$
$
23
6 Cubic Yard 3x week
559.96
527.88
635.11
790.48
400.05
529.43
N/A
$
$
$
$
$
24
6 Cubic Yard 4x week
697.40
667.64
834.18
1,053.97
514.50
772.92
-
N/A
$
$
$
$
$ -
25
6 Cubic Yard 5x week
863.70
824.91
1,033.26
1,317.47
638.40
920.74
1
$ 863.70
$ 824.91
$ 1,033.26
$ 1,317.47
$ 638.40
$ 920.74
26
Gross Monthly Revenue
825
$ 165,964.62
$ 157,311.02
$ 212,908.22
$ 209,784.71
$ 148,655.85
$ 206,765.04
27
Gross Annual Revenue
(rounded to the nearest thousand)
$ 1,992,000.00
$ 1,888,000.00
$ 2,555,000.00
$ 2,517,000.00
$ 1,784,000.00
$ 2,481,000.00
28.
% Above or Below Current
-5% 28% 26% -10% 25%
- The highlighted rates are equal to or lower than the 2011 rate.
Bold - The bolded numbers represent the lowest proposed rate in each rate type.
EXHIBIT III
CITY OF ROSEMEAD
REQUEST FOR PROPOSAL
RFP No. 2011-08
SOLID WASTE AND RECYCLING COLLECTION SERVICES
Submittal Deadline: January 18, 2012,10:30 a.m.
PLEASE NOTE: MANDATORY PRE-BID MEETING
TABLE OF CONTENTS
Page
1.
INTRODUCTION
1
2.
PROPOSAL SUBMITTAL DATE AND REVIEW
1
3.
CITY POINT OF CONTACT
1
4.
SCHEDULE
1
5.
BACKGROUND
2
6.
CITY INFORMATION/STATISTICS
3
7.
GENERAL CONDITIONS
5
A. Authority to Withdraw RFP and/or Not Award Contract
5
B. Public Records Act
5
C. Maximum Customer Rates
5
D. Franchise Fees Payable to City
5
E. Good Corporate Citizenship
6
F. Insurance and Performance Bond
6
G. Proposal Evaluation Criteria
6
H. Conflicts of Interest
7
1. Familiarity with Laws and Ordinances
7
8.
PROPOSAL FORMAT AND CONTENT
7
9.
PRE-PROPOSAL MEETING
12
10.
ATTACHMENTS
A. Scope of Work
14
B. Service Types/Description and Map
22
C. Total Maximum Rate Schedule
23
D. City Facilities/Events
24
E. Draft Franchise Agreement
25
-i-
Request For Proposal - Solid Waste and Recycling Collection Services
Page 1
INTRODUCTION
The City of Rosemead is seeking proposals from qualified firms for solid waste and
recycling collection services. The anticipated service start date for a new collection
service franchise agreement is August 1, 2013.
Specifically, the City of Rosemead is interested in receiving proposals for an exclusive
franchise Agreement that will encompass residential, multi-family,
commercial/industrial, and temporary bin/box accounts. The specific services and
contract terms are set forth in this document and in the Draft Franchise Agreement,
which together make up the Request for Proposal (RFP.) Prospective proposers
should examine these documents in detail in order to understand the services being
requested.
2. PROPOSAL SUBMITTAL DATE AND REVIEW
Sealed proposals will be received by the Office of the City Clerk at Rosemead City Hall,
located at 8838 East Valley Boulevard, Rosemead, CA 91770 no later than 10:30 a.m.
January 18, 2012. Firms must submit nine (9) complete copies of their proposals.
The received proposals will become part of the official files of the City of Rosemead and
will not be returned. Late proposals will not be accepted. The RFP package must be
sealed and labeled as follows:
Proposal For Solid Waste and Recycling Collection Services - SEALED
All proposals will be reviewed to determine conformance with the RFP requirements.
Any proposal deemed incomplete, conditional, or non-responsive to the RFP may be
rejected. The City reserves the right to reject any and all proposals.
After a careful review of each submitted proposal, the City will conduct a thorough
evaluation, as described in Section 7 G of this RFP.
3. CITY POINT OF CONTACT
Technical questions should be directed in writing to Chris Marcarello, Director of Public
Works, (626) 569-2118 [cmarcarello@cityofrosemead.org]. Firms interested in
submitting a proposal are asked not to contact other representatives of the City of
Rosemead in connection with the RFP prior to the announcement of a preferred firm.
No person is authorized to make oral changes to the RFP.
4. SCHEDULE
The City plans to adhere to the following schedule to the extent possible. Changes to
the schedule will be at the sole option of the City. Following are key dates for the Solid
Waste and Recycling Collection RFP:
Request For Proposal - Solid Waste and Recycling Collection Services
Page 2
Mailing of RFP:
November 14, 2011
Mandatory Pre-Bid Meeting: November 30, 2011 at 10:00 a.m.
Public Services Facility (Garvey Park)
7933 Emerson Place
Rosemead, CA 91770
Question/Answer Deadline: December 7, 2011 12:00 p.m.
(Questions must be submitted in writing
via email to Chris Marcarello or by mail or hand
delivery to the City Clerk's Office.
Question Responses/
Addendum Issuance:
December 14, 2011
(if needed)
Proposals due to the City:
City Council Action:
January 18, 2012 before 10:30 a.m.
Due at the City Clerk's Office
8838 E. Valley Blvd
Rosemead, CA 91770
February/March 2012
"Note: City Hall offices will be close between December 23, 2011 and January 2, 2012.
5. BACKGROUND
The City of Rosemead (City) is soliciting written competitive proposals from private firms
to provide solid waste collection and recycling services for residential, multi-family,
commercial and industrial customers within the City. The 10 year franchise agreement
will allow and require the successful firm to provide solid waste/recycling collection
services within City boundaries shown on the attached map for existing and future
service needs within the service area.
The City's objectives for the solid waste collection and recycling services are to:
• Provide cost-effective, environmentally sound, and efficient solid waste
management system, which includes mandatory collection of solid waste and
recyclable materials.
• Preserve the environment and protect the health, safety and quality of life for
Rosemead residents by utilizing fully-automated AQMD compliant vehicles and
trained operators.
• Comply with the State of California Assembly Bill 939, known as the California
Integrated Waste Management Act of 1989, which requires jurisdictions to divert
from disposal in landfills 50% of the solid waste generated within the City, and all
other State and federal mandates during the term of the Franchise Agreement.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 3
• Participate in the City of Rosemead as an exemplary corporate citizen by
supporting local non-profit organizations and serving as a member of the
community.
6. CITY INFORMATION/STATISTICS
The City of Rosemead has a population of approximately 55,000 residents contained in
5.5 square miles - located in the heart of the San Gabriel Valley. The City uses an
exclusive franchise system to provide solid waste/recycling collection services. Both
residential and commercial solid waste/recycling collection is performed primarily on
Monday through Friday from 7:00 a.m. to 5:00 p.m. Some commercial accounts
receive service outside of these hours and on Saturday. A map of the residential solid
waste collection schedule that is already established is provided on Attachment B. The
following table shows an estimated number of homes, businesses, multi-family
residences, and tonnage collected in Rosemead. This data is presented for
information only and the City accepts no responsibility for the accuracy of this
data. All prospective bidders should take whatever steps they feel are necessary
to verify the number of homes, businesses, multi-family residences, containers,
routes, and collection area in preparing their proposals.
The City is considering amending its Municipal Code to permit self-hauling for
residents and businesses which choose to obtain a City self-hauling permit and
comply with the reporting requirements for such permits. Proposers should take
this into consideration in making their proposals.
2010 2010
Number of Single Family Homes 9,058 Number of Senior/Disabled Accounts 235
Number of Multi-Family Homes
2,192
(page 7)
718
Number of Commercial Accounts
Serviced on Saturdays
81
Number of Commercial Bin Accounts
(1.5 -6 cubic yard bin containers)
Number of Commercial Box Accounts
(Roll-off box containers)
Tonnage Collected - 2010
Residential
Trash
(Tons)
16,999.79
13,336.57
Number of Accounts that Receive
Scout Service
Recycling Green Waste Total
(Tons (Tons) (Tons)
3,703.76 24,180.70
Commercial
Roll off - Permanent and temporary
3,477.15
3,599.15
178
16,935.72
3,446.98 648.35 - 4,095.32
33,783.34 7,724.64 3,703.76 45,211.74
*The 7,641 tons labeled as "mixed recyclables" includes 5,587 tons directed to a transformation
facility.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 4
Commercial Bin Accounts by Bin Size/Collection Frequency
Number of Collections per week
Container Type/Size
1
2
3
4
5 or
MORE
Total
2 Cubic Yard Bin
152
3
0
0
0
155
3 Cubic Yard Bin
285
157
99
32
77
650
4 Cubic Yard Bin
5
3
5
5
1
19
6 Cubic Yard Bin
0
0
0
0
1
1
TOTAL
442
163
104
37
79
825
Request For Proposal - Solid Waste and Recycling Collection Services
Page 5
7. GENERAL CONDITIONS
A. Authority to Withdraw RFP and/or Not Award Contract
The City Rosemead reserves the right to withdraw this RFP at any time without prior
notice. Furthermore, the City makes no representations that it will enter into a franchise
agreement with any firm responding to the RFP. The City expressly reserves the right
to postpone the opening of proposals at its own convenience and to reject any and/or
all proposals responding to this RFP without indicating any reasons for such rejection.
The City shall not be obligated to any firm to enter into a Franchise Agreement with the
firm despite the City Council's prospectively awarding the Franchise Agreement to a
Proposer. The City shall be obligated to a proposer if, and only if, the City enters into a
Franchise Agreement for the services with the proposer. No action will lie against the
City to compel it to execute a Franchise Agreement or to recover from the City any
damages or costs any Proposer may incur if the City elects not to sign a Franchise
Agreement.
The City reserves the right to modify the draft Franchise Agreement to more fully
effectuate the intent of this RFP and the City's collection services program.
B. Public Records Act.
All correspondence with the City, including responses to this RFP, will become the
exclusive property of the City and will be public records under the California Public
Records Act (Government Code Section 6250 and following). The City will maintain the
confidentiality of the proposals before it announces a recommendation for award. If a
responder to the RFP believes that portions of its proposal are exempt from disclosure
under the Public Records Act, it must be marked as such and specifically state the
factual and legal basis for exemption. If a request is made for information marked as
proprietary or a trade secret, City will provide the submitter reasonable notice to seek
protection from disclosure in court.
C. Maximum Customer Rates.
Customer rates are established by the franchise holder, not the City. However,
because the City proposes to grant an exclusive franchise the franchise agreement will
set maximum permitted rates for the first year of service. In the following years, the
maximum permitted rate will be adjusted by a formula based on change in the
Consumer Price Index and local disposal/tipping fees as described in the draft
Franchise Agreement at Section 8.1. The total annual maximum rate increases will
be limited to five percent (5%) per year and may be lower under the prescribed
formula.
D. Franchise Fees Payable to City
The selected firm shall pay an annual franchise fee equal to at least ten percent (10%)
of gross receipts collected under the Franchise Agreement. The annual franchise fee
shall be a minimum of five hundred thousand dollars ($500,000) per year. The
franchise fee will help the City recover the costs of time spent overseeing the franchise
Request For Proposal - Solid Waste and Recycling Collection Services
Page 6
agreement, ensuring compliance with state and federal waste disposal and recycling
laws, completing projects to deal with water quality/national pollutant discharge
emission system requirements, and the impact of the franchisee's operations on City
streets and other public property. At no time shall this franchise fee be added to
customer billing statements or otherwise passed onto customers. Franchise payments
will be remitted to the City annually as further described in Section 2 of the Draft
Franchise Agreement. In addition to annual franchise fee payments, the franchise
holder shall pay the City One Million Six Hundred Thousand ($1,600,000) upon
execution of the Franchise Agreement as further described in Section 2.
E. Good Corporate Citizenship.
The holder of the exclusive solid waste/recycling franchise is a visible and important
part of the Rosemead community and has traditionally been an exemplary "corporate
citizen," supporting local non-profit organizations in the community and strengthening
Rosemead in other ways. Proposals should describe the commitments that the firm
will make to continue or expand up on that tradition.
F. Insurance and Performance Bond
The selected firm shall provide to the City the necessary insurances, and performance
bonds as set out in the Section 2 of the Draft Franchise Agreement.
G. Proposal Evaluation Criteria
Proposals will be evaluated on the basis of the response to all provisions of this RFP.
The City of Rosemead may use some or all of the following criteria in its evaluation and
comparison of the proposals submitted. The criteria listed are not necessarily an all-
inclusive list. The order in which they appear is not intended to indicate their relative
importance:
The firm's demonstrated awareness of safety in all operations
2. Any outstanding litigation or complaints relative to operational performance
and safety
3. A demonstrated understanding of the scope of work and other proposal
documents
4. A logical, proven methodology for carrying out the work tasks described in
the proposal
5. The firm's recent experience in conducting contracts of similar scope,
complexity, and magnitude, particularly for government agencies
6. The quality and quantity of personnel to be assigned to the contract,
including its recent Solid Waste and Recycling Collection experience
7. The quality and quantity of equipment to be assigned to the contract
Request For Proposal - Solid Waste and Recycling Collection Services
Page 7
8. A listing of the organizational structure and contact information for the
proposed contract team
9. The financial stability of the firm
10. Recent references from clients, with particular emphasis on local
governments - customer service reports from other jurisdictions.
11. The proposed transition between service providers (if applicable)
12. The proposed maximum customer charges.
13. The proposed franchise fees payable to the City
Note: Maximum customer charges will not be the sole criteria for award of this
Contract. All criteria will be considered.
H. Conflicts of Interest
City officials may not participate in any decision in which they have a financial interest
under the California Political Reform Act (Government Code Sections 87100 and
following.) Cities may not contract with any firm in which members of their council have
a disqualifying interest under Government Code Section 1090 and following. In order to
identify any legal conflicts of interest, firms submitting a proposal shall identify any
officers, directors, employees, or ownership interests that would create constitute a
financial interest under the Political Reform Act or Government Code Section 1090 and
following for any elected or appointed City official, employee, or agent.
1. Familiarity with Laws and Ordinances
Firms are required to comply with all provisions of State, Federal, County and City laws,
ordinances, rules and regulations that are applicable to them and their operations. The
submission of a response to this RFP shall be considered a representation that the firm
making the proposal is familiar with all such laws, ordinances, rules and regulations.
8. PROPOSAL FORMAT AND CONTENT
Proposals should be typed as briefly as possible. They should not include any
elaborate or unnecessary promotional material. Nine (9) bound or stapled copies of the
Proposal should be submitted. The following order and content of proposal sections
should be adhered to by each firm:
a. Cover Letter
A cover letter should summarize key elements of the proposals. The letter
must be signed by an individual authorized to bind the firm. Please include
the address and telephone number of the firm's office located nearest to
Rosemead, California, and the office from which the Draft Franchise
Agreement will be managed. The letter must stipulate that the proposed
maximum customer rates shall be valid for the first year of service one (1)
Request For Proposal - Solid Waste and Recycling Collection Services
Page 8
year and that any future increases will be limited by the Maximum Rate
Adjustment formula in the Draft Franchise Agreement. The letter should
state that upon execution of an Franchise Agreement to provide services,
the Company understands it will be required to make payment to the City of
Rosemead in the amount of $1.6 Million. The letter should further state as
a condition of the Franchise Agreement, the firm will remit at least 10% of
annual gross receipts (minimum of $500,000 each year) to the City and at
no time will franchise fee costs be added to customer billing statements or
passed on to its customers in Rosemead.
Background and Approach
The Background and Approach Section should describe the firm's
understanding of the City and the service to be provided.
c. Work Plan and Methodology
This section should clearly describe the services the firm will provide and
the methodology for providing them.
Organization and Staffing
Describe the firm's approach and methods for managing the services to be
provided under the contract, including all reporting and other requirements.
Provide an organizational chart showing proposed team members.
Describe the responsibilities of each person on the team. Identify the
person(s) who will be the key contact (s) with the City of Rosemead. Please
include resumes for key members of the team with particular emphasis on
their experience and qualifications.
e. Experience and Qualifications
The successful firm must be qualified by experience, adequate financing,
staffing, and equipment to provide the services specified in this RFP.
Describe all recent (ten years) experience in providing services of the type
solicited by this RFP. Include on each listing the name of the
agency/jurisdiction issuing a franchise or agreement or in which services
are provided; a description of the services provided; primary agency
contact, address and telephone number; dates for the contract or other
agreement under which services were provided; name of the person or
persons at the firm primarily responsible for supervising or managing the
services and their respective responsibilities. At least three references
should be included. For each reference, indicate the reference name,
organization affiliation, title, complete mailing address, and telephone
number. The City reserves the right to reference check any and/or all of the
organizations or individuals listed and will require that proposers provide
copies of customer satisfaction surveys and other relevant, non-confidential
information from other cities or agencies in which firm provides solid
waste/recycling services.
f. Schedule of Services
Request For Proposal - Solid Waste and Recycling Collection Services
Page 9
Firm shall adopt the existing schedule for providing services to the locations
and frequencies set forth in Service Type/Description and Map (Attachment
B).
Maximum Rates
Indicate the Maximum Permitted Rate schedule which the firm is prepared
to agree to under the Franchise Agreement for each type of collection
service. Use the Maximum Permitted Rate Price List (Attachment C) to
create your fee schedule. This attachment is divided into the following
sections depending on service category, including:
• Attachment C-1: Residential Service (based on service type)
• Attachment C-2: Commercial Service (based on bin size/type/pickups)
• Attachment C- 3: Multi-Family Service (based on bin size/type/pickups)
• Attachment C-4: Temporary Bin/Box Service
Please follow instructions listed on the Maximum Permitted Rate and clearly
specify any other charges or fees, which would be charged e.g., fees for
overloaded containers, material restrictions, etc. Extra recycling and green
waste containers shall be provided at customers request at no additional
cost.
Equipment List
Provide the make, model, age, and type of collection vehicles to be used for
solid waste and recycling services. Vehicles and equipment used in Solid
Waste and Recycling Collection services must be kept well-maintained and
in good appearance. Vehicles and equipment used in accordance with
collection activities should be not more than three (3) years old and must
meet all applicable local, state, and federal air quality laws, rules, and
regulations including but not limited to the South Coast Air Quality
Management District Rule 1193 relating to alternative fueled trash collection
equipment. Equipment shall meet all applicable certifications for PM 10 and
other pollutants as set forth by the South Coast Air Quality Management
District. Indicate the equipment that will be used to meet these
requirements and efforts to ensure equipment is maintained in good repair,
appearance, and sanitary conditions at all times.
Employee Safety Training and Equipment Safety Records
Describe your organization's training and health/safety programs for your
employees. Describe employee response procedures when hazardous
wastes are encountered during collection activities. Include any employee
manuals, as appropriate. Provide all equipment safety, BIT inspection, and
CHP reports or citations for 2009, 2010, and 2011.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 10
j. Waste Collection/Recycling Plans
Describe the waste collection and recycling plans appropriate for the City,
including collection times, routes, scheduled time of collections and other
policies and/or procedures. Fully describe how your company will meet a
60% recycling requirement in the City of Rosemead. Include the facility
names and addresses where materials will be delivered and sorted. Include
the type of permits for the facility (i.e. certified to receive recyclable
materials, household refuse, etc.) and cost per ton for Year 1 of the
proposed contract. State the permitted total tonnage allowed (capacity) at
facility per day and current tonnage of materials received.
k. Implementation Plan
Provide an implementation plan describing the company's plan for
facilitating a smooth transition of services and, if applicable, a smooth
transition between services providers. The proposal must clearly
demonstrate that the company has the ability to implement the services
including equipment, personnel, administration, and maintenance
requirements. Please describe any assistance that will be needed from City
staff during the transition period.
Customer Service
Fully describe the company's plan for providing customer service in the City
of Rosemead, including the following:
• General customer service including responding to customer inquiries
and keeping the City informed of problems/issues that arise.
• Quarterly customer bills for services.
• Customer outreach bill inserts describing programs, services, and
events (to be completed at the company's expense). Company shall
include such program/information inserts at least twice annually. All
material shall be reviewed with the City prior to distribution.
• The proposal must include provisions for annual customer service
studies to help the City evaluate performance. At the completion of
six (6) months, and every year thereafter, the City will provide a list
of questions to be used in a customer service survey. The company
will prepare and mail the survey to residents/businesses. All survey
replies will be mailed directly from the resident to the City at the
firm's expense, via business reply mail. The City shall share the
results of the survey with the Firm.
The City will also require at least one (1) dedicated staff member to
respond to service inquiries. Such person will be housed at the City
of Rosemead's Chamber of Commerce Offices (Phone Number:
(626) 288-0811) for a minimum of 20 hours per week, if space is
available to the Franchisee at commercially reasonable rates at the
Chamber. The Chamber will have the first right of refusal as to
Request For Proposal - Solid Waste and Recycling Collection Services
Page 11
providing the franchisee with office space and the decision to lease
space to the Franchisee shall be in the sole discretion of the
Chamber. If the Chamber of Commerce, at its sole discretion, is not
able or willing to lease its space the person shall be housed at
another convenient and accessible location within the City. Such
service shall be initiated at least two (2) weeks prior to the
agreement start date and remain in place during the life of the
contract. Any rent costs that are included with this service shall be
determined directly between the Chamber of Commerce and the
Firm and the City shall not be party to these discussions.
m. Financial Information
Submit a compiled audited financial statement for the past three (3) fiscal
years. Include balance sheets and profit/loss statements, as appropriate.
All financial information submitted will be held confidential to the extent
permitted by law.
Guarantees
Provide a letter from a surety stating your organization's ability to obtain a
performance bond in the amount of One Million Dollars ($1,000,000).
Statement of Compliance/ Suggested Changes
Firms must submit a Statement of Compliance with all terms and conditions
of the RFP (including all terms of the Draft Franchise Agreement), and if
any, a listing of exceptions and suggested changes. A description of any
cost implication for suggested changes must also be included. The
Statement of Compliance must declare either:
1) This proposal is in strict compliance with the Request for
Proposal and Draft Franchise Agreement and no exceptions to
either are proposed; or
2) This proposal is in strict compliance with the Request for
Proposal and Draft Franchise Agreement except for the items
listed.
For each exception or suggested change, the firm must include:
• Reasons for submitting the proposed exception or change.
• Any impact the change or exception may have on Franchise
Agreement costs, scheduling or other considerations.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 12
PRE-PROPOSAL MEETING
All parties submitting proposals are instructed to attend a mandatory pre-bid
meeting. The meeting is scheduled Wednesday, November 30 at 10:00 a.m. at
the Public Services Facility, 7933 Emerson Place, Rosemead, California 91770.
Present at this meeting will be representatives of the City of Rosemead Public
Works Department.
The purpose of this meeting is to familiarize firms with the scope of work and to
answer any questions which may arise prior to submitting proposals. Attendance
at this meeting is MANDATORY for those wishing to submit proposals. Failure
to attend the pre-bid meeting shall result in disqualification from the RFP
process.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 13
LIST OF ATTACHMENTS
Attachment A Scope of Work
Attachment B Service Types/Description and Map
Attachment C Maximum Permitted Rates Schedule
Attachment D City Facilities and Events
Attachment E Draft Franchise Agreement
Request For Proposal - Solid Waste and Recycling Collection Services
Page 14
Attachment A
SCOPE OF WORK
A. Definitions. See Section 4 of the Draft Franchise Agreement.
B. Description of Required Services and Experience
1) General. The primary objective of Solid Waste and Recycling Collection is to
collect all solid waste, recyclable materials, and green waste materials from each
residential property at an interval not less than once per week; collect all solid
waste, recyclable materials, and green waste materials from each multi-family
and commercial property at an interval at least once per week. All collection
activities shall be done in a reliable, high quality manner and shall be done in
accordance with all applicable laws.
2) Required Experience. The successful Firm shall have at a minimum five (5)
years experience with municipal Solid Waste and Recycling Collection in a
community of similar size and scope as the City. The Firm shall have developed
complete solid waste/recycling collection programs for California cities, towns, or
other jurisdictions.
3) Residential Service. Firm shall provide refuse collection service at an interval not
less than once per week to all customers at residential properties in the City.
Firm will provide fully automated solid waste, recyclable material and green
waste containers for residential customers. The automated waste containers will
have suitable handles and wheels, tight-fitting covers for holding garbage without
leakage or escape of odors; and be constructed of watertight metal or plastic.
The City shall approve the color of solid waste containers used. Containers will
be offered to customers in the size of 96 gallons. Customers will have the option
of a smaller size solid waste container. If a customer requests a smaller
container, the firm will provide one to that customer within fourteen (14) days.
Rates for service will be no more than those set forth in the Maximum Customer
Rates (Attachment C). Extra recycling and green waste containers shall be
provided at customers' request at no additional charge.
Firm shall provide temporary bin service, roll off box service, and construction
and demolition bins to residential properties in the City. Upon request, Firm must
deliver such temporary bin or box to the customer within a 24 (twenty four) hours
of request (not including weekends or holidays). Rates for service will be in
accordance with established Maximum Customer Rates (Attachment C).
Temporary bin and box rates shall be on a "per dump" basis which includes
service, transportation, disposal, and rental for up to 7 (seven) days. Additional
fees may be added for rentals in excess of 7 (seven) days.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 15
In keeping with existing services offered to residents in the City, firm shall
provide bulk item material collection to all residential customers at no additional
charge. Such collection will be limited at 5 (five) items per pickup, with up to 25
(twenty five) pickups that may be scheduled each year. Such pickup should take
place on the regularly scheduled collection day and shall include only Bulky Item
Materials. Firm may require that customers call in at least forty-eight (48) hours
prior to a scheduled pickup.
Firm shall collect all Holiday trees discarded by any residential customer on the
first two regularly scheduled collection days after Christmas Day, free of charge
to the customers.
Firm shall provide a backyard/off-street collection service to residential
customers that request such service. Firm will remove all collection containers
and place them out for collection service and return containers to the storage
area after collection. Firm may charge customers for this service in accordance
with the Maximum Customer Rates (Attachment C) and bill customers directly.
Discounted services for qualifying seniors and persons with disabilities shall be
provided as specified in Section 8.1 of the Draft Franchise Agreement.
4) Multi-Family/Commercial Service. Firm shall provide refuse collection service at
an interval of at least once per week to all customers at multi-family/commercial
properties in the City. Firm will provide 2, 3, 4 and 6 cubic yard bins upon
request for multi-family/commercial customers. As an alternative to commercial
customers that do not have adequate space or generate enough waste to
necessitate a bin, Firm shall offer customers automated 96-gallon automated
collection containers. Such service shall be billed based on the number of solid
waste containers provided and number of pickups per week. After completion of
a waste audit, the City shall make the final determination as to whether a
customer will receive an automated collection container.
Firm shall provide Bulky Item Material collection to all multi-family customers in
the City at no cost. Such collection will be limited at 4 (four) items per pickup,
with up to 4 (four) pickups that may be scheduled each year. Such pickup
should take place on the regularly scheduled collection day and shall include
only items defined as "Bulky Items." Customers must call in at least forty-eight
(48) hours prior to scheduling a pickup. Multi-family property managers will not
be considered in this category and will be required to pay commercial rates for
collection.
In compliance with State law, firm shall provide recycling collection services to
commercial customers, in compliance with provisions included in Assembly Bill
341 and the City's local commercial solid waste recycling ordinance. Such
recycling services will be directed at commercial customers that generate 4 cubic
yards of solid waste per week or multi-family dwellings with 5 or greater units.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 16
Further, the firm shall meet provisions listed in Public Resources Code Section
42649, which include developing a source separation or mixed waste processing
program for recyclable materials. Such programs will be established between
commercial customers and firm and include outreach programs, reporting
requirements, enforcement provisions for meeting requirements established
related to commercial recycling.
In addition, Firm shall send a minimum of 75% of commercial refuse not
includinq multi-family customers) collected by weight for processing to recover
recyclables, with a minimum recovery rate of 25%. Firm shall provide City with
weight tickets to confirm materials processed.
Firm shall send a sufficient amount of refuse from which recyclable materials
have been removed to a waste-to-energy facility for the City to receive five
thousand (5,000) tons of diversion credit per year. The City reserves the right to
request that additional refuse materials be sent to a waste-to-energy facility if it is
necessary to meet diversion requirements listed in Section 8J "Waste Collection
and Recycling Plans" of this RFP document. In this case, no additional charges
shall be imposed.
Firm may not charge additional fees for "scout" or "swamper' services required to
position bins for proper collection. If positioning a bin is required, the bin shall
not be left in a location that will obstruct traffic or access through the public right-
of-way.
5) City Services/Other Collection Services. Firm shall collect and dispose of all
refuse, recyclable materials, and green waste generated at City facilities and at
City owned bus stops/public trash receptacles. Firm shall also provide City with
additional containers as needed in conjunction with City special events and City
projects. Such locations, events, and projects are fully described in City
Collection Locations List (Attachment E). Collection shall be at no additional
charge to the City.
In addition to these locations, Firm shall be responsible for the removal and
collection of abandoned items dropped in City public right-of-way areas, at City
parks, and other public locations. In conjunction with this rover collection
service, Firm will provide a bulky item collection rover with flatbed truck to collect
bulk items 5 days per week. Schedule and route will be directed by the City and
take place during business hours, 6:00 a.m. to 12:00 p.m. noon each business
day. Such collection shall be at no additional charge to the City.
6) Overflowing Containers/Bins. If customers regularly produce more refuse than
their current service level allows, Firm may initiate a process to increase service
levels. In such case, Firm shall document the incident with a photograph, date,
time, and send notice to the customer. After three (3) such incidents in a six (6)
month period, the Firm shall notify the City and the customer. If the overflow
Request For Proposal - Solid Waste and Recycling Collection Services
Page 17
persists, Firm shall be allowed to increase service levels to the customer and to
charge for the increased level of service.
7) Contaminated Containers/Bins. If a customer repeatedly disposes of improper
materials in recycling containers, Firm may initiate a process to discontinue
recycling services for that customer. In such case, firm shall document the
incident with a photograph, date, time and send notice to the customer. Upon
three (3) such incidents in a six (6) month period, the Firm shall notify the City
and the customer. If, upon further review, such contamination persists, Firm
shall be allowed to remove recycling containers that were provided to the
customer.
8) Food Waste Diversion Program. Firm shall implement a program to divert food
waste collected from restaurants and/or from residents. Program will include
processing and transporting the waste to an approved facility. This service shall
be offered to all commercial food service establishments in the City at rates that
are consistent with industry standards.
9) End Uses for Green Waste Materials. Firm shall divert greenwaste materials
collected. Firm must provide end uses for greenwaste that maximize diversion
credits for the City according to regulations established by State or local
regulations. Greenwaste may be used as Alternate Daily Cover only if the City
will get full diversion credit for its use. Firm is responsible for monitoring how the
greenwaste will be diverted at selected facilities and for selecting alternative
facilities if necessary to ensure full diversion credit.
C. Collection Schedule
Solid Waste and Recycling Collection Schedule
1) Days. Routine Solid Waste and Recycling Collection shall be conducted Monday
through Friday unless otherwise approved by the Public Works Director.
2) Hours. Standard operating hours for collection services under this Agreement
shall be determined by the City and the Firm. Both residential and commercial
solid waste/recycling collection is performed primarily on Monday through Friday
from 7:00 a.m. to 5:00 p.m. Some commercial accounts receive service outside
of these hours and on Saturday.
Holidays
The firm is not required to collect materials on Sundays nor on any of the following
holiday:
New Year's Day Labor Day
President's Day Veterans Day
Memorial Day Thanksgiving Day
Request For Proposal - Solid Waste and Recycling Collection Services
Page 18
Independence Day Christmas Day
During the week of a holiday, the Firm shall adjust the weekly schedule so as to
return to the normal weekly schedule the following week. Collection scheduled for a
holiday shall be completed within seven (7) days following the holiday. Holiday
collection schedules must be submitted to the Public Works Director thirty (30) days
prior to the holiday. No modification of this holiday schedule shall be effective
unless authorized in writing by the Public Works Director.
D. Disposal and Recycling of Materials
Firm shall comply with all recycling and diversion requirements imposed by law,
ordinance, or regulation on the City and/or Firm. On a quarterly basis, Firm shall
divert at least sixty percent (60%) of all solid waste collected by Firm from landfills.
In no event shall Firm deposit forty percent (40%) or more of the solid waste
collected at any landfill during any calendar quarter. See Section 3 of the Draft
Franchise Agreement for further details.
E. Solid Waste and Recycling Collection Equipment
Any and all containers provided to customers of Firm for storage, collection or
transportation of solid wastes shall meet the requirements designated by the Public
Works Director as well as State of California minimum standards for solid waste
handling established under Public Resources Code Section 43020 and applicable
health requirements. The Public Works Director shall have the right to approve the
color of containers, manufacturer of containers, and lettering and decals used on
containers. Firm shall repair or replace any container which is damaged, broken,
lost or stolen with a container approved by the Public Works Director at no cost.
All containers and all vehicles used by Firm in the performance of solid waste
handling services shall be marked with Firm's name and telephone number in letters
which are easily read by the general public. All solid waste containers used in the
performance of this Agreement shall be kept clean and in good repair to the
satisfaction of the Public Works Director. Firm shall also regularly inspect
containers and bins and be responsible for the prompt removal of graffiti from such
containers/bins.
Equipment. The vehicles used pursuant to this Agreement shall have the name of
the Firm, the Firm's local telephone number, and a unique vehicle identification
number for each vehicle prominently displayed on all collection vehicles. The
vehicles shall also display a statement as to the type of alternative fuel being used.
The Firm shall use alternative fuel vehicles approved by the South Coast Air Quality
Management District for fully automated refuse collection services. Vehicles shall
meet all requirements specified per AQMD Rule 1193. See Section 13 of the Draft
Franchise Agreement for further details.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 19
F. Equipment Storage
The Firm shall be responsible for all costs associated with equipment storage. No
material and equipment shall be stored where it will interfere with the free and safe
passage of public. At the end of each day's work and at all other times when
operations are suspended for any reason, the firm shall remove all equipment and
other obstructions from the roadway, sidewalks, and alleys.
G. Firm/City Communication
Throughout the period of this Contract, the Firm shall establish and maintain an
office in the City of Rosemead and have an authorized Supervisor as the point of
contact for communications with the City, as further described in Section 8L of the
RFP.
The Firm's office shall have a twenty-four (24) hour telephone service and a
responsible person in charge seven (7) days a week to receive all requests for
emergency service, which are forwarded by the City. Firm shall respond and
provide emergency service within two (2) hours from the time a call is placed by the
City. Requests for routine service or complaint issues shall be resolved
expeditiously within the following twenty-four (24) hour period.
H. Firm's Employees
Firm's employees shall be required to wear a clean uniform bearing the Firm's
name. Employees who normally and regularly come into direct contact with the
public shall also bear some means of individual identification, such as a nametag or
identification card. Employees shall not remove any portion of their uniform while
working within the City.
Records and Reports
City shall require specific reporting and recording keeping requirements in
completion of collection activities. See Section 20 of the Draft Franchise
Agreement for further details.
J. Responsibility for Damages and Injury/Indemnification
City shall require that the firm indemnify the City as set forth in the Draft Franchise
Agreement.
K. Restoration and Repair, Obstructions and Clean Up modify for franchise.
The firm shall become familiar with the City and shall provide adequate safeguards
to prevent damage to existing structures and improvements from its operations. All
property damage shall be replaced and/or repaired, at the Firm's expense, to the
original condition and to the satisfaction of the property owner.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 20
L. Cooperation with Utility and Other Companies
Work within the City by utility and construction companies which may obstruct the
public right of way or properties at which service is to be provided from time to time.
It is the responsibility of the Firm to be informed of work planned by these parties
and to coordinate Solid Waste and Recycling Collection work accordingly.
M. Agreement Term
The term of the agreement shall be for a period of ten (10) years.
N. Annexation
If additional area is annexed to the City, it shall be added to the Solid Waste and
Recycling Collection areas, subject to the legal rights of others to provide services in
that area, the franchise holder shall provide services to those areas.
Request For Proposal - Solid Waste and Recycling Collection Services
Page 22
ATTACHMENT B
City Type/Descriptions and Map
Request For Proposal - Solid Waste and Recycling Collection Services
Page 23
ATTACHMENT C
Total Maximum Rate Schedule
Request For Proposal - Solid Waste and Recycling Collection Services
Page 24
ATTACHMENT D
City Facilities/Events
Under "City Bus Stops/Litter Receptacles" category, the number of bus stop locations is 75. A
list of locations is hereby attached.
An additional category is added as follows:
Service Type: City Facilities
Service Description: Up to 10 City Facilities
Service Level: Up to 2 3-cubic yard bins per facility dumped 2 times per week
Bus Stop Locations
MISSION DRIVE
8461 Mission Dr
Walnut Grove Ave (N/E Corner)
Muscatel Ave (N/E Corner)
Rosemead Blvd (N/W Corner)
WALNUT GROVE AVE
Mission Dr (S/W Corner)
Hellman Ave (S/W Corner)
Fern Ave
Garvey Ave
JACKSON AVE
Fern Ave (S/W Corner)
2510 Jackson
Garvalia Ave (S/W Corner)
2410 Jackson
Graves Ave (S/W Corner)
SAN GABRIEL BLVD
Village Lane (N/E Corner)
Delta St (S/E Corner)
Rose Glen (S/W Corner)
Emerson
Hellman (S/E Corner and S/W Corner)
Garvalia
Baruch
La Merced
Keim
Klinperman St
2518 San Gabriel Blvd.
Park
Dorothy St
RIO HONDO AVE
Olney St (N/E & S/E Comer)
TEMPLE CITY BLVD
3710 Temple City Blvd
Guess St (S/W Corner)
MARSHALL ST
9359 Marshall
Rosemead Blvd (N/W Corner)
MISSION DR
Muscatel Ave (S/W Corner)
GRAVES AVE
Kelburn Ave (N/W Corner)
VALLEY BLVD.
Temple City Blvd. (S/E Corner)
Temple City Blvd (N/W Corner)
Rio Hondo Ave.
Hart Ave.
Rosemead Blvd.
Muscatel Ave.
Walnut Grove Ave. (N/E Corner)
Walnut Grove Ave. (S/W Corner)
Delta Ave.
Rosemead Blvd
Mission Drive
San Gabriel Blvd (S/W Corner)
Valley Blvd (N/W Corner)
1026 Walnut Grove
1318 Walnut Grove
Kelburn Ave.
Lanford Place
9133 Garvey Ave
Page 25
ATTACHMENT E
Draft Franchise Agreement
CITY OF ROSEMEAD
DRAFT FRANCHISE AGREEMENT
RFP 2011-01
TABLE OF CONTENTS
Page
1
2
3.
4.
5.
6.
7
Grant of Franchise
....................3
1.1
Binding Agreement
....................3
1.2
Grant of Franchise, Exclusions
....................3
1.3
Exclusive Franchise
....................3
1.4
Waiver of Rights
....................3
1.5
Recycling Agent
....................3
1.6
Exclusions
3
Contractor's Payments and other Considerations to City
....................4
2.1
Contractor's Payments to City
....................4
Term
....................5
3.1
Effective Date
....................5
3.2
Term of Agreement
....................5
3.3
Minimum Diversion and Recycling Requirements
5
Definitions
....................6
Compliance with Laws and Regulations
..................13
Community Work to be Done
..................14
6.1
Collection from City Facilities
..................14
6.2
Collection of Abandoned Property
..................14
6.3
Development Review
..................14
6.4
Communication with City; Emergency Service
..................14
6.5
Good Corporate Citizenship
..................15
Custo
mer Service
..................15
7.1
Regular Office Hours, Telephone Access, and Website
..................15
7.2
Emergency / After Hours Telephone Number
..................15
7.3
Multilingual Service
..................15
7.4
Accessible Customer Service
..................15
7.5
Customer Service and Complaint Logs
..................15
7.6
Service Responses
..................16
7.7
Overflowing Containers/Bins
..................16
7.8
Contaminated Containers/Bins
..................16
TABLE OF CONTENTS
(continued)
Page
8. Customer Rates and Billing Procedures ............................................................16
8.1 Rates for Service .....................................................................................16
8.2 Contractor to Bill ......................................................................................17
8.3 City Provided Billing Inserts .....................................................................17
8.4 Delinquent Service Accounts ..................................................................18
9. Residential Services
..................18
9.1 Weekly Service
..................18
9.2 Temporary Bin and Box Service
..................19
9.3 Bulky Items Service
..................19
9.4 Holiday Tree Collection
..................19
9.5 Backyard/Off-Street Collection Option
..................19
10. Multifamily and Commercial Services
..................19
10.1 Regular Service
..................19
10.2 Bulky Item Service
..................19
10.3 Recycling
..................20
10.4 Waste to Energy
..................20
10.5 Repositioning of Bins
..................20
11. Collection Routes
..................20
11.1 Collection Routes ....................................................................................20
11.2 Subsequent Collection Route Changes ..................................................20
11.3 Collection Route Audits ...........................................................................21
12. Public Outreach Services ...................................................................................21
12.1 General ...................................................................................................21
12.2 Waste Generation and Characterization Studies ....................................21
13. Collection Equipment .........................................................................................21
13.1 General ...................................................................................................21
13.2 Identification 21
13.3 Alternative Fuels .....................................................................................21
13.4 Fully Automated Residential Collection ...................................................21
13.5 Registration and Inspection .....................................................................22
TABLE OF CONTENTS
(continued)
Page
13.6 Drivers and Operators
22
13.7 Litter, Spills
.............22
13.8 Avoiding Damage to Streets
.............22
13.9 Communications
.............23
13.10 Equipment Storage
.............23
13.11 Equipment Removal
.............23
13.12 Equipment Maintenance
.............23
13.13 Compliance
.............23
13.14 Private Streets, Alleys and Parking Lots
.............23
13.15 Safety Equipment
.............23
13.16 Vehicle Signage and Painting
.............23
13.17 Maintenance Log
.............24
13.18 Equipment Inventory
.............24
13.19 Reserve Equipment
.............24
13.20 Containers
.............24
14.
Privacy
.............25
14.1 General
.............25
14.2 Mailing Lists
.............25
14.3 Privacy Rights Cumulative
.............25
15.
Service Exceptions; Hazardous and Universal Waste
.............25
15.1 Hazardous Waste Inspection, Diversion and Reporting
.............25
15.2 Universal Waste Handling
.............25
15.3 Hazardous and Universal Waste Diversion Records
.............26
16.
Ownership of Solid Waste, Recyclable Materials, Organic Waste and
Construction and Demolition Materials
.............26
17.
Marketing and Diversion of Recyclable Materials
.............26
18.
Contractor's Books and Records; Audits
.............26
18.1 Record Retention
.............26
18.2 Underpayment
.............26
19.
Integrated Waste Management Act; Reporting Requirements
.............27
TABLE OF CONTENTS
(continued)
Page
20.
Reports
...............27
20.1
Periodic Reports
...............27
20.2
Reporting Additional Matters
...............28
20.3
CERCLA Defense Records
28
21.
Indemnification and Insurance
...............28
21.1
Indemnification re Certain Challenges to Agreement
...............28
21.2
Indemnification Regarding Article XIII C and XIII D
...............29
21.3
Environmental Indemnification and Compliance
...............29
21.4
General Indemnification
...............30
21.5
Effect of Environmental Indemnification
...............30
21.6
Compliance with Laws
...............30
21.7
Workers' Compensation Insurance
...............30
21.8
Liability and Vehicle Insurance
...............31
21.9
Required Language In Policies
...............31
21.10
Pollution and/or Environmental Impairment Liability Insurance
...............31
21.11
Required Rating
...............32
21.12
Evidence of Insurance Coverage; Insurance Repository
...............32
21.13
Self-Insurance
...............32
21.14
Reduction of CERCLA and Other Liability
...............32
21.15
Performance Bonds
32
22.
Emergency Service
...............33
22.1
Contractor's Inability to Provide Service
...............33
22.2
Assistance in Case of Disaster
...............33
23.
Administrative Remedies; Imposition of Damages; Termination
...............34
23.1
Notice of Deficiencies; Response
...............34
23.2 Review by Public Works Director; Notice of Appeal 34
23.3 Review by City Manager; Appeal 34
23.4 City Council Hearing ...............................................................................35
23.5 City Council Determination ......................................................................36
23.6 Reservation of Rights by City ..................................................................36
TABLE OF CONTENTS
(continued)
Page
23.7
Cumulative Rights
36
24. City's
Additional Remedies
...............36
24.1
Contracts with Others
...............36
24.2
Damages and/or Injunctive Relief
...............37
24.3
City's Damages for Failure to Achieve Diversion Goals
37
24.4
Liquidated Damages
...............37
25. Franchise Transfer; City Consent; Fees
...............38
25.1
No transfer without City Consent
...............38
25.2
Consent not Unreasonably Withheld
...............38
25.3
Internal Reorganization
38
25.4
Deposit for Costs of Review
...............38
26. General Provisions
...............39
26.1
Force Majeure
39
26.2
Extraordinary Circumstances
39
26.3
Pavement Damage
...............39
26.4
Property Damage
39
26.5
Law to Govern; Venue
...............40
26.6
Fees and Gratuities
...............40
26.7
Amendments
...............40
26.8
Notices
40
26.9
Savings Clause and Entirety
...............41
26.10
Transition to Next Solid Waste Enterprise
...............41
26.11
[Incorporation by Reference
...............41
Exhibit A
Multifamily and Commercial Recycling Program
Exhibit B
Commercial Food Waste Program
Exhibit C
City Service Locations
Exhibit D
Recovery and Disposal Sites
Exhibit E
Corporate Good Citizenship
TABLE OF CONTENTS
(continued)
Page
Exhibit F Maximum Permitted Customer Rates
Exhibit G Residential Services
Exhibit H Commercial and Multi-Family Services
Exhibit I Equipment
EXCLUSIVE FRANCHISE AGREEMENT
FOR COMPREHENSIVE REFUSE SERVICES
THIS AGREEMENT is made and entered into effective the day of
2013, by and between the CITY OF ROSEMEAD, a municipal
corporation, hereinafter referred to as City, and , a
California , hereinafter referred to as Contractor.
The City and Contractor agree each with the other, that, for a period of ten (10)
years, from and after the 1 st day of August, 2012, Franchisee shall have sole right to
collect, haul, and dispose of all solid waste and conduct a comprehensive recycling
program in the City in accordance with the following terms and conditions.
RECITALS
WHEREAS, Article XI, § 7 of the California Constitution authorizes cities to
protect public health and safety by taking measures in furtherance of their authority over
police and sanitary matters; and
WHEREAS, the Legislature of the State of California, by enactment of the
California Integrated Waste Management Act of 1989, ("AB 939" or the "Act")
established a Solid Waste management process which requires cities and other local
jurisdictions to implement plans for source reduction, reuse and recycling as integrated
waste management practices for Solid Waste attributed to sources within their
respective jurisdictions; and
WHEREAS, California Public Resources Code § 40059 provides that aspects of
Solid Waste handling of local concern include but are not limited to frequency of
collection, means of collection and transportation, level of services, charges and fees,
and nature, location and extent of providing solid waste services, and whether the
services are to be provided by means of nonexclusive, partially exclusive or wholly
exclusive franchise, contract, license or otherwise which may be granted by local
government under terms and conditions prescribed by the governing body of the local
agency; and
WHEREAS, the Rosemead Municipal Code Chapter 8.32 implements Article XI,
§ 7 of the California Constitution and California Public Resources Code § 40059 in the
City; and
WHEREAS, City is obligated to protect the public health and safety of the
residents and businesses in the City, and arrangements made by solid waste
enterprises and recyclers for the collection of Residential and commercial Solid Wastes
should be made in a manner consistent with the exercise of the City's police power for
the protection of public health and safety; and
WHEREAS, City and Contractor are mindful of the provisions of the laws
governing the safe collection, transport, recycling and disposal of Residential and
commercial Solid Waste, including AB 939, the Resource Conservation and Recovery
Act ("RCRA"), 42 U.S.C. 6901 et seq., the Comprehensive Environmental Response,
Compensation and Liability Act ("CERCLA"), 42 U.S.C. 9601 et. seq.; the Electronic
Waste Recycling Act of 2003 (SB 20, Chapter 526, Statutes of 2003; SB 50, Chapter
863, Statutes of 2004; AB 575 Chapter 59, Statutes of 2011), laws governing Universal
Waste, including, but not limited to, Universal Waste Electronics Devices ("UWED"),
non-empty aerosol cans, fluorescent tubes, high intensity discharge lamps, sodium
vapor lamps, and any other lamp exhibiting a characteristic of a hazardous waste,
batteries (rechargeable nickel-cadmium batteries, silver button batteries, mercury
batteries, small sealed lead acid batteries, alkaline batteries, carbon-zinc batteries and
any other batteries which exhibit the characteristic of a hazardous waste), mercury
thermometers, mercury-containing switches; and
WHEREAS, City and Contractor desire to leave no doubts as to their respective
roles and to make it clear that by entering into this Agreement, City is not thereby
becoming a "generator" or an "arranger" as those terms are used in the context of
CERCLA § 107(a)(3) and that it is Contractor, an independent entity, not City, which will
arrange to collect Solid Waste from single family dwellings, multiple family dwellings,
City and Commercial Customers in the City, transport for recycling and disposal and
dispose of Solid Wastes which may contain small amounts of household products with
the characteristics of hazardous wastes, collect and compost Green Waste and collect
and recycle Recyclable Materials from single family dwellings, multiple family dwellings,
City, and commercial customers in the City of Rosemead, and collect and recycle or
dispose of Construction and Demolition Materials ("C&D Materials"); and
WHEREAS, there are no places within the City limits of the where landfills are
located, or which are suitable for the siting of a landfill and therefore Solid Waste must
be exported from the City; and
WHEREAS, City and Contractor agree that, subject to City's exercise of its
reserved flow control right under of this Agreement, it is Contractor, and not City, that
will select the landfill or transformation facility destination of the non-recyclable
residential and commercial Solid Waste and Construction and Demolition Materials
which Contractor will arrange to collect, that City has not, and by this Agreement does
not, instruct Contractor on its collection methods, nor supervise Contractor in the
collection of waste and nothing in this Agreement or other action of the City shall be
construed to give rise to any inference that the City has any title, ownership or right of
possession of such Solid Waste; and
WHEREAS, Contractor represents and warrants to City that Contractor has the
experience and qualifications to conduct recycling and waste diversion programs, to
provide City with information sufficient to meet the City's reporting requirements to
CalRecycle and other agencies under the Act, to meet City's other requirements under
the Act, to arrange with persons in charge of day-to-day activities of Customers'
properties in the City for the collection, safe transport and disposal of Solid Wastes
-2-
which may contain small amounts of household products with the characteristics of
Hazardous Wastes, in a safe manner which shall minimize the adverse effects of
collection vehicles on air quality and traffic, and that Contractor has the ability to
indemnify City in accordance with this Agreement; and
WHEREAS, the City Council finds and determines pursuant to California Public
Resources Code § 40059(a)(1) that the public interest, health, safety and well-being,
including the minimization of adverse impacts on air quality and traffic from excessive
numbers of collection vehicles, the implementation of measures consistent with the
City's Source Reduction and Recycling Element, would be served if Contractor were to
be awarded an exclusive Franchise for collection, recycling, diversion and disposal of
Solid Waste from Customers in the City,
NOW, THEREFORE, the City and Contractor agree as follows:
GRANT OF FRANCHISE.
1.1 Binding Agreement. In consideration of mutual promises and
agreements made by the Parties and contained in this Agreement, the Parties agree to
be bound by the terms and conditions of this Agreement and that this Agreement shall
be binding upon their successors-in-interest.
1.2 Grant of Franchise, Exclusions. Except as expressly called out in this
Agreement, Contractor is hereby granted the exclusive franchise, duty, right and
privilege to provide Comprehensive Refuse Services to City and within boundaries of
City subject to the terms and conditions set forth in this Agreement.
1.3 Exclusive Franchise. Contractor agrees that this Agreement is an
"exclusive franchise within the meaning of Public Resources Code § 40059.
1.4 Waiver of Rights. Contractor waives any right it may have to challenge
the terms of this Agreement under federal, state or local law, or administrative
regulation, except as provided in the dispute resolution provisions of Section 23 of this
Agreement.
1.5 Recycling Agent. Contractor is hereby designated the City's authorized
recycling agent as that term is used in Public Resources Code §41950.
1.6 Exclusions.
(a) Construction and Demolition Materials. The collection and
disposal of Construction and Demolition Materials from Customers through the use of
Debris Boxes or other Bins is within the scope of this Agreement. However,
accumulation, collection and recycling or disposal of Construction and Demolition
Materials by a licensed contractor, e.g. a roofing contractor, performing work within the
-3-
scope of the contractor's license, using equipment owned or leased by the contractor, is
not within the scope of this Agreement.
(b) Gardeners and Landscapers. This Agreement shall not prohibit
gardeners and landscapers from collecting, transporting and composting or disposing of
Green Waste, as long as they transport such Green Waste to an Green Waste
Processing Facility, or other site permitted (or exempt from permitting) by CalRecycle,
or its successor agency, in accordance with all governing laws and regulations and
submit reports required by City.
(c) Sale or Gift of Recyclable Materials. This Agreement does not
prohibit any person from selling Recyclable Materials or giving Recyclable Materials
away to persons or entities other than Contractor; however, in either instance: (1) the
Recyclable Materials must be segregated from and not mixed with Solid Waste; and (2)
the seller/donor may not pay the buyer/donee any consideration for collecting,
processing or transporting such Recyclable Materials, or as a consultation or broker's
fee for recycling services. A discount or reduction in price for collection, disposal and/or
recycling services for any form of unsegregated or segregated Solid Waste is not a sale
or donation of Recyclable Materials and such Solid Waste does not qualify for this
exception.
(d) Self-Hauling. City Ordinance No. (amending Chapter 8.32
of the Rosemead Municipal Code) permits self-hauling of Solid Waste, Recyclable
Materials, Bulky Waste and Green Waste by persons subject to issuance of a permit by
City and compliance with the conditions imposed by such permit. This Agreement does
not prohibit such self-hauling provided the material is transported personally by the
owner or occupant of such premises (or by his or her full-time employees but not
including construction related employees or subcontractors) to a processing or disposal
facility pursuant to a valid City issued self-hauling permit.
(e) Other Services; Niche Recycling Services. City reserves the right
to enter into agreements with other entities for other collection, diversion and recycling
services not provided for in this Agreement, including but not limited to catch basin
clean-outs, contract services and "niche" recycling services which Contractor does not
currently provide. In the event the City wishes to provide a niche recycling service, e.g.,
collection of water heaters, in Residential or commercial areas, Contractor shall have
the initial opportunity to provide such niche recycling service at an agreed upon rate by
the City and the Contractor.
2. Contractor's Payments and other Considerations to City.
2.1 Contractor's Payments to City. In consideration of City's grant of the
Franchise, Contractor shall pay, City in good and immediately available funds in United
States Dollars:
(a) Franchising Payments. For the privileges granted to and conferred
upon Contractor by City under the Agreement, Contractor shall pay to City the amounts
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set forth below ("Franchising Payments"), over the Term of this Agreement, unless the
Agreement is earlier terminated or specifically amended to require otherwise:
1. Initial Payment. Within fifteen (15) days of the Effective Date of this
Agreement, Contractor shall pay City One Million Six Hundred Thousand
Dollars ($1,600,000).
2. Annual Payments. Contractor shall pay to City each year the
greater of Five Hundred Thousand Dollars ($500,000) or Ten Percent
(10%) of Gross Receipts. This amount shall be paid in quarterly
installments of One Hundred Twenty Five Thousand ($125,000) or more
on November 1 st, February 1 st, May 1 st, and August 1 st of each year during
the term of this Agreement, commencing on November 1, 2013, with the
last payment due on November 1, 2023.Services. As further
consideration, Contractor shall provide to the City those services
described in Section 6 below at no additional charge.
3. Term.
3.1 Effective Date. The Effective Date of this Agreement shall be the date
entered on the first page of this Agreement which is the date by which Contractor and
City have approved the Franchise Agreement (with all exhibits attached) and their
respective authorized representatives have executed the Franchise Agreement.
3.2 Term of Agreement. The term of this Agreement ("Term") shall begin on
the 1 st day of August, 2013 ("Service Commencement Date") and expire on July 31,
2023, ("Term Expiration Date"), subject to early termination or extension as may occur
pursuant to this Agreement; certain obligations of the Contractor, including the
obligation to make the final franchise payment, continue after the Term Expiration Date,
as set forth elsewhere in this Agreement.
3.3 Minimum Diversion and Recycling Requirements. The continued
privilege of Contractor to provide Comprehensive Refuse Services to City and within
City's boundaries is subject to the satisfaction of each and all of the conditions set forth
below, each of which may be waived in whole or in part by City. The Contractor must
achieve all of the following Minimum Requirements. Failure to meet one or more of
these requirements is a material breach of this Agreement and subjects Contractor to
the assessment of liquidated damages, early termination, or other remedies provided for
under this Agreement.
(a) Diversion Rate.
1. On an annual basis. Contractor must achieve a diversion rate of
sixty percent (60%) as calculated using the CalRecycle diversion
calculation. The Maximum Permitted Customer Rates contemplate this
Minimum Diversions Rate. On or before the end of each month following
the end of the previous month, Contractor shall provide all documents and
information required by the Public Works Director to prove that it has
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complied with this Section 3.3 and all applicable laws related to recycling
and diversions of municipal solid waste.
2. Firm shall send a minimum of seventy five percent (75% )of refuses
from Commercial Customers, (not including Multifamily Customers)
collected by weight for processing to recover recyclables, with a minimum
recovery rate of 25
(b) Change in Law. Should the law change after the Effective Date of
this Agreement and require a higher Minimum Diversion Rate, then Contractor shall
comply with such legally required Diversion Rates and may adjust the Maximum
Customer Rates, as provided under Section 8.1 (b) "Adjustment Due to Change In
Law."
(c) Calculation of Diversion Rate. The Diversion Rate will be calculated
as the tons of materials collected by Contractor from the provision of collection services
that are sold or delivered to a Material Recovery Facility or Green Waste Processing
Facility, recycler or re-user, net of all residue, according to the same method used by
Ca/Recycle.
(d) Multifamily and Commercial Recycling. Contractor must fully
implement the Multifamily and Commercial recycling programs as set forth in Exhibit A
in the time required by State and local law.
(e) Food Waste Diversion Program. Contractor shall fully implement
the program to divert food waste collected from all commercial food-service
establishments in the City as set forth in Exhibit B.
(f) Failure to Meet Minimum Requirements. Contractor's failure to
meet the minimum requirements set forth in this Section 3.3 may result in the imposition
of liquidated damages and City's exercise of the remedies provided in Sections 23 and
24 below. In determining the appropriate remedy, City will consider the efforts put
forth by the Contractor in implementing the required programs to meet Minimum
Diversion Requirements and the methods and level of effort of the Contractor to fully
implement the work plans attached to and included in this Agreement as Exhibits A, B,
C, G and H.
4. Definitions.
Whenever any term used in this Agreement has been defined by the Municipal
Code of the City of Rosemead ("Municipal Code") or Division 30, Part 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.
For purposes of this Agreement the following definitions apply:
"Act" or "AB 939" means the California Integrated Waste Management Act of
1989, codified in part at Public Resources Code 40000 et seq., as it may be
amended and as implemented by the regulations of the California Department of
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Resources Recycling and Recovery (CalRecycle), or its successor agency
"Agreement" or "Franchise Agreement" means this written Agreement
between the City and Contractor, and all exhibits and documents incorporated by
reference.
Agreement Year" means each twelve (12) month period from August 1St to July
31 st each year, beginning on the Service Commencement Date.
"Alternative Fuel Vehicle" means a vehicle whose engine uses a fuel other than
gasoline or diesel fuel, such as compressed natural gas (CNG) or other fuel with
comparably low emissions of air pollutants regulated under the California Clean
Air Act, Health and Safety Code Section 39000 et seq. or the South Coast Air
Quality Management District's rules and regulations including Rule 1193.
"Bin" or "Bins" means those open-top rectangular metal containers provided by
Contractor, with wheels, with or without plastic or metal lids, used for collection
and storage of MSW, Recyclable Materials, Green Waste, Construction and
Demolition Debris, or other materials to be collected by Contractor. Typical sizes
of bins include 2, 3, 4 and 6 cubic yards. Bins are collected by a front load
vehicle equipped with metal forks that are inserted into metal channels on either
side of the Bin in order to lift Bin, empty the contents into the body of the vehicle,
and return the Bin to the ground.
Box" means a large open-top rectangular metal containers used to store and
transport MSW, Recyclable Materials, Green Waste, Construction and
Demolition Debris, or other materials, collected using a special vehicle equipped
with hooks and a winch to pull the box onto the flat bed of the truck for transport.
"Bulky Items" means furniture, household appliances, carpets, mattresses,
automobile tires, shipping creates and containers, oversized yard waste such as
tree trunks and large branches if no larger than two feet (2') in diameter and four
feet (4') in length, and other large bulky or heavy objects not normally discarded
on a regular basis at residential, commercial or business establishments. Bulky
Items do not include construction/demolition debris or consumer electronics,
such as televisions, radios, computers and monitors which are regarded as
Universal Waste Electronic Devices, the disposal of which is governed by the
Department of Toxic Substances Control.
"Business Days" means Monday through Friday, during the hours of 8:00 a.m.
through 5:00 p.m., except for holidays recognized by City.
"Cart" or "Carts" means those 32, 64 or 96-gallon containers with hinged lids
provided by Contractor for the collection of Municipal Solid Waste, Solid Waste,
Recyclable Material, and Green Waste.
"City" means the City of Rosemead, California, and all of the territory lying within
the municipal boundaries of the City as presently existing or as such boundaries
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may be modified during the Term
"City Representative" means the City Manager, or the City Manager's
designee, authorized to administer and monitor the provisions of this Agreement.
"City Service Sites" means those City properties or locations as set forth in
Exhibit C, "City Service Locations," which is attached to and included in this
Agreement.
"Clean Material Recovery Facility" or "Clean MRF" means a material recovery
facility other than a Dirty Materials Recovery Facility.
"Collection" means the taking of physical possession of Municipal Solid Waste
or Recyclable Materials from Customer premises, and their transport to the
Materials Recovery Facility, Compost Facility, Construction Demolition and
Debris processing facility, or Landfill.
"Commercial Customer" means all premises in the City, other than Residential,
Multifamily, or City Service Sites where Solid Waste, Recyclable Materials, and
Organic Waste are generated or accumulated. The term "Commercial Customer'
includes, but is not limited to, stores; offices; restaurants; rooming houses;
hotels; motels; industrial and manufacturing, processing, or assembly shops or
plants; hospitals, clinics, convalescent centers and nursing homes (non-medical
waste).
"Commercial Organic Waste" means Green Waste and Food Waste separated
at the source of generation for inclusion in the Commercial Organic Waste
Collection Service program.
"Comprehensive Refuse Services" means the collection, transportation,
processing, recycling, composting, conversion, retention and disposal of all Solid
Waste, Organic Waste, (including Commercial Organic Waste, Food Waste, and
Green Waste), Recyclable Materials, Construction and Demolition Materials,
Bulky Item Materials, Household Hazardous Waste, and Universal Waste, all as
defined in this Agreement, produced, generated and/or accumulated within the
City.
"Construction and Demolition Materials" or "C&D Materials" means
discarded building materials, "inert wastes" as defined in Public Resources Code
§ 41821.3(a)(1) (rock, concrete, brick, sand, soil ceramics and cured asphalt),
recyclable construction and demolition materials, packaging, plaster, drywall,
rubble resulting from construction, remodeling, repair and demolition operations,
but does not include asbestos-containing materials. Construction and Demolition
Materials, but not asbestos-containing materials, are within the scope of this
Agreement, subject to the licensed contractor exception in Section 1.6 above.
"Consumer Price Index" or "CPI" shall have the meaning set forth in Section 8
of this Agreement.
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"Container" means Cart, Bin, or Debris Box
"Contractor" means a California
corporation, a party to this Agreement.
"Contamination" means materials which are not specified for collection in
particular containers or for processing at either a Clean MRF or Dirty MRF and
which would either interfere with such processing or reduce the quality and value
of the recovered materials. For example, for purposes of collection, metals and
plastics would constitute "contamination" if placed in a green waste container and
tree trimmings would constitute "contamination" if placed in a recyclable materials
container.
"Customer" means the owner, occupant or user of premises at which MSW or
recyclable materials are generated and then collected by Contractor. Customers
include Residential Customers, Multifamily Customers, and Commercial
Customers. City is also a receiver of collection services but not a Customer.
"Customer with Disabilities" means a person who meets the eligibility
requirements for a parking permit for a person with disabilities of the California
Department of Motor Vehicles.
"Dirty Materials Recovery Facility" or "Dirty MRF" shall mean a facility or that
certain portion of a facility that processes Municipal Solid Waste to separate
Recyclable Materials, Green Waste, Construction and Demolition Debris and
other materials for sale to end users. In some cases the MSW processed at a
Dirty MRF may have been collected in a special manner in order to reduce
contamination, such as collecting at commercial premises with relatively dry
MSW and routing to avoid collecting at commercial premises where wet MSW is
generated, such as restaurants.
"Disposal" means the burying of MSW at a permitted landfill or transformation at
a permitted facility as further defined in Section 40192 of the California Public
Resources Code.
"Disposal Site" means such place or places specifically designated by the
Contractor in Exhibit D, "Recovery and Disposal Sites," for the disposal, or
processing as appropriate, of Municipal Solid Waste and other materials as
appropriate.
"Diversion Rate" and "Minimum Diversion Rate" shall have the meaning set
forth in Section 3.3 above.
"Effective Date" means , 2012, the date by which
Contractor and City have approved the Franchise Agreement (including all
attachments) and their respective authorized representatives have executed the
Franchise.
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"Franchise" means the exclusive right and privilege granted by this Agreement
"Franchise Payment" means the negotiated payment agreed upon by the City
and Contractor in consideration of City's grant of the Franchise to Contractor
and which, inter alia, is intended to offset the City's expenses in administering
this Franchise and to compensate City for damage to its streets, sidewalks, curbs
and gutters and other infrastructure resulting from Contractor's exercise of this
Franchise, the expenses of administering the program for the Solid Waste
stream, reporting requirements under the Act and other related expenses.
"Food Waste" means food scraps and trimmings from food preparation,
including but not limited to: meat, fish and dairy waste, fruit and vegetable waste,
grain waste, stable matter, and acceptable food packaging items such as pizza
boxes, paper towels, waxed cardboard and food contaminated paper products.
Food Waste is synonymous with "garbage" as that term is defined by Section
17225.30 of Title 14, California Code of Regulations.
"Green Waste" means leaves, grass clippings, brush, branches and other forms
of organic materials generated from maintenance or alteration of landscapes or
gardens including, but not limited to, yard clippings, leaves, tree trimmings,
prunings, brush and weeds and incidental pieces of scrap lumber, separated
from the Solid Waste Stream. "Green Waste" does not include stumps or
branches exceeding four inches (4") in diameter or four feet (4') in length, or palm
fronds, or yucca, which are not suitable for composting. "Green Waste" is not a
"Recyclable Material" but may be a form of Solid Waste if discarded into the
waste stream.
"Gross Receipts" means all money, whether paid by cash, check, debit or credit,
or other consideration collected from customers by franchisee that relates in any
way to solid waste handling services. whether the solid waste handling services
received by any person other than the franchisee, where the money was paid to
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documented bad debt write-offs due to uncollectible accounts for solid waste
handling services in the City, not to exceed three percent of gross receipts; and
(3) revenues collected for solid waste handling services provided on behalf of the
City through a written contract.
"Hazardous Waste" means any waste materials or mixture of wastes defined as
a "hazardous substance" or "hazardous waste" pursuant to the Resource
Conservation and Recovery Act ("RCRA"), 42 U.S.C. 6901 et seq., the
Comprehensive Environmental Response, Compensation and Liability Act
("CERCLA"), 42 U.S.C. 9601 et seq., the Carpenter-Presley-Tanner
Hazardous Substance Account Act ("HSAA"), codified at California Health &
Safety Code 25300 et seq.; the Electronic Waste Recycling Act of 2003 (SB
20, Sher, Chapter 526, Statutes of 2003; SB 50, Sher, Chapter 863, Statutes of
2004; AB 575, Wolk, Chapter 59, Statutes of 2011), laws governing Universal
Waste, including, but not limited to, Universal Waste Electronics Devices
("UWED"), non-empty aerosol cans, fluorescent tubes, high-intensity discharge
lamps, sodium vapor lamps, and any other lamp exhibiting a characteristic of a
hazardous waste, batteries (rechargeable nickel-cadmium batteries, silver button
batteries, mercury batteries, small sealed lead acid batteries, alkaline batteries,
carbon-zinc batteries and any other batteries which exhibit the characteristic of a
hazardous waste), mercury thermometers, mercury-containing switches, and all
future amendments to any of them, or as defined by Cal Recycle or the
Department of Toxic Substances Control, or by their respective successor
agencies. If there is a conflict in the definitions employed by two or more
agencies having jurisdiction over hazardous or Solid Waste, the term "Hazardous
Waste" shall be construed to have the broader, more encompassing definition.
"Household Hazardous Waste" means materials generated at the premises of
Residential or Multifamily Customers that cannot be lawfully deposited in a
Landfill, such as dry cell household batteries; cell phones and PDAs; used motor
oil; used oil filters, fluorescent light bulbs; E-Waste; cleaning products, pesticides,
herbicides, insecticides, and certain paints, automotive products, solvents,
stripper, adhexives, and Universal Waste.
"Maximum Permitted Customer Rates" shall have the meaning set forth in
Section 8.1 below.
"Material Recovery Facility" or "MRF" means a legally-permitted facility
designated by the Contractor in Exhibit D that accepts, sorts, processes and
stores MSW, single stream recyclable materials, and/or source separated
Recyclable Materials in order to segregate individual commodities for sale
"Minimum Diversion Requirements" means the quantitative requirements for
diversion of collected material from solid was
"Multi-Family Dwelling" or "MFD" means a building, dwelling unit or complex
containing multiple dwelling units that house five (5) or more residences.
Apartment complexes, condominiums, townhouses and similar configured
housing complexes are included.
"Municipal Solid Waste or "MSW" means all fractions of discarded solid, semi-
solid and liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes,
industrial wastes, construction/demolition debris, discarded home and industrial
appliances, manure, vegetable or animal solid wastes, and other discarded
substances or materials.
"Organic Materials " means Green Waste and, upon approval from City, Food
Waste. Organic Waste is a form of Solid Waste when discarded into the waste
stream.
"Organic Waste Processing Facility" means any facility designated by the
Contractor in Exhibit D that is designed, operated and legally permitted for the
purpose of receiving and processing Organic Waste.
"Qualifying Senior" means a Customer sixty-two years of age or older
qualifying as a person of low income under
"Recyclable Materials" is a part of the waste stream that can be reused or
processed into a form suitable for reuse through reprocessing or remanufacture,
consistent with the requirements of AB 939. The following list may be modified,
by the mutual agreement of City and Contractor memorialized in writing executed
by both Parties. As of the date of execution of this Agreement, Recyclable
Materials includes, but is not limited to the following:
Aluminum cans;
2. Glass jars and bottles;
Steel, bi-metal and tin cans, and empty aerosol containers;
4. Plastic soft drink bottles and other Type #1 containers (PET-
polyethylene terephthalate);
5. Plastic milk and water jugs and other Type #2 containers (HDPE-
high density polyethylene);
6. Type #3 plastic containers (V- polyvinyl chloride);
Type #4 plastic containers (LDPE-low density polyethylene);
Type #5 plastic containers (PP- polypropylene);
Type #6 plastic containers (PS- polystyrene);
10. Type #7 plastic containers (other and commingled);
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11. Film plastic, e.g., plastic bags, shrink wrap; plastic toys and tools,
and other plastic materials (if readily identifiable as being recyclable);
12. PVC pipe;
13. Juice boxes and milk cartons (aseptic packaging, Tetra Pak@, and
waxed cardboard);
14. Detergent containers;
15. Scrap metal, coat hangers and metal foil;
16. Newspapers and telephone books;
17. Mixed paper (e.g., ledger, computer, junk mail, magazines,
paperback books, cereal boxes, envelopes, paper shopping bags and
non-metallic wrapping paper);
18. Corrugated cardboard and chipboard;
19. Chlorofluorocarbons (when collected as Bulky Items);
20. Tires (when collected as Bulky Items;) and
21. Wood (incidental scrap pieces if set out for collection with Green
Waste, and larger quantities when collected as Bulky Items
"Residential Customer" generally means a Customer at a detached dwelling,
or each unit of a duplex, triplex, or quadplex, a townhouse, a condominium unit
or a mobile home of permanent character placed in a permanent location.
"Scavenging" means the unauthorized removal of Recyclable Materials.
Scavenging is prohibited by Public Resources Code § 41950.
"Service Commencement Date" means August 1, 2013, the date upon which
Contractor becomes solely responsible for providing Comprehensive Refuse
Services to City and within City's boundaries.
"Solid Waste" means and includes any materials defined as "solid waste" by
Section 40191 of the California Public Resources Code, and specifically includes,
without limitation, Recyclable Materials, Organic Waste, Bulky Items, and all
other non-hazardous materials, excluding Universal Waste, that are discarded
into the waste stream by the generator, or collected in exchange for a fee or any
other consideration, regardless of form or amount.
"Streets" shall mean all dedicated public rights-of-way within the existing or
future corporate limits of the City.
"Term" means the operative life of this Agreement as provided in Section 3
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"Transition Period" mean the period of time between the Effective Date and the
Service Commencement Date.
"Universal Waste" means and includes, but is not limited to, Universal Waste
Electronic Devices" or "UWEDs," (i.e., electronic devices subject to the regulation
of the Department of Toxic Substances Control, 23 CCR 66273.1, et seq.),
and other Universal Wastes, including, but not limited to non-empty aerosol cans,
fluorescent tubes, high intensity discharge lamps, sodium vapor lamps, and any
other lamp exhibiting a characteristic of a hazardous waste, batteries
(rechargeable nickel-cadmium batteries, silver button batteries, mercury
batteries, small sealed lead acid batteries [burglar alarm and emergency light
batteries] alkaline batteries, carbon-zinc batteries and any other batteries which
exhibit the characteristic of a hazardous waste), mercury thermometers, and
mercury-containing switches. Also see of this Agreement.
"Work Days" means the days Monday through Friday, during the hours of 7:00
a.m. to 5:00 .m. which is the general period Contractor provides regular
collection services.
5. Compliance with Laws and Regulations. Contractor warrants that it will
comply with all applicable laws, including implementing regulations, as they may be
amended, specifically including, but not limited to RCRA, CERCLA, the Act, the
Electronic Waste Recycling Act of 2003, laws governing Universal Waste, including, but
not limited to, Universal Waste Electronics Devices, mercury thermometers, mercury-
containing switches, regulations and orders of the California Department of Toxic
Substances Control, the California Air Resources Board, CalRecycle, and their
respective successor agencies, and all other applicable laws of the United States, the
State of California, the County of Los Angeles, ordinances of the City, the requirements
of Local Enforcement Agencies and all other agencies with jurisdiction.
6. Community Work to be Done.
As part of the consideration for the grant of an exclusive franchise, Contractor shall
provide the following services at no charge to City:
6.1 Collection from City Facilities. Firm shall collect and dispose of all Solid
Waste, Recyclable Materials, and Organic Waste generated at City facilities and at City-
owned bus stops/public trash receptacles. Firm shall also provide City with additional
containers as needed in conjunction with City special events and City projects. Such
locations, events, and projects are fully described in City Service Locations List (Exhibit
C).
6.2 Collection of Abandoned Property. Contractor shall collect and remove
abandon items dropped in City public right-of-way areas, at City parks, and other public
locations. Collection shall be with a flatbed truck, or other comparable vehicle approved
in writing by the City Manager, of the type used for Bulky Item collection. Schedule and
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route shall be directed by the City and take place Monday through Friday, between 6:00
a.m. and noon, with no service on holidays.
6.3 Development Review. Contractor, upon City's request, shall assist the
City in the review of applicants' plans for projects covered by Public Resources Code §
42911, including commercial and multi-family projects, to provide for effective and
economical accumulation and collection of Solid Waste, Organic Waste and Recyclable
Materials.
6.4 Communication with City; Emergency Service. Contractor shall
establish and maintain an office and have an authorized supervisor as the point of
contact for communications with the City. Contractor will provide cell phone numbers
and/or other required contact information to City Staff to be used in case of an
emergency. These emergency numbers can be used outside normal business hours and
will be kept confidential. The Contractor's office shall have a twenty-four (24) hour
telephone service and a responsible person in charge seven (7) days a week to receive
all requests for emergency service which are forwarded by the City. Firm shall respond
and provide emergency service within two (2) hours from the time a call is placed by the
City. Requests for routine service or complaint issues shall be resolved expeditiously
within the following twenty-four (24) hour period.
6.5 Good Corporate Citizenship. Contractor's commitment to good
corporate citizenship as the holder of an exclusive franchise in the City is set forth in
Exhibit F.
7. Customer Service.
7.1 Regular Office Hours, Telephone Access, and Website
(a) Local Office. Contractor shall maintain an office within the City,
located at , staffed for a minimum of
twenty (20) hours per week throughout the term of this Agreement,
commencing two weeks before the initiated at least two (2) weeks
before the Service Commencement Date.
(b) Customer Calls. The Contractor shall have at all times during the
hours between 6:00 a.m. and 5:00 p.m. Monday through Friday an
employee available at Contractor's office to promptly answer
inquiries and to receive and respond to complaints. Contractor's
name shall be listed in Rosemead -area telephone directories
under Contractor's name, at Contractor's expense.
7.2 Emergency / After Hours Telephone Number. Contractor shall have
an after-hours message center where customers can leave messages. Contractor will
retrieve all voice and email messages the following business day.
7.3 Multilingual Service. Contractor shall provide customer service by
telephone and on its website in English, Spanish, Mandarin, Vietnamese and such other
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languages that City reasonably determines to be necessary for communication with
customers.
7.4 Accessible Customer Service. Customer service shall be provided in a
manner that is accessible to persons with disabilities as required by the Americans With
Disabilities Act and any other applicable law.
7.5 Customer Service and Complaint Logs_ Contractor shall update
customer records with any inquiries, service requests and complaints into a customer
data base which shall be maintained in a manner that is reasonably available for
inspection and review by City upon request. All calls shall be recorded. Contractor shall
note the name and address of the complainant, the date and time of the complaint, the
nature of the complaint, the name of the Contractor's employee taking the complaint,
and the nature and date of Contractors resolution of the complaint. Contractor shall
inform all service recipients that all complaints shall be directed to Contractor. The
complaint log shall be maintained on a computerized database format. The complaint
log shall be available for inspection and review by City upon request. Contractor shall
provide a summary of the complaint log to City monthly during the first (15Y) year of
service and then quarterly thereafter for the duration of the Term at the City's request.
7.6 Service Responses. City and Contractor agree that the protection of
public health, safety and well-being require that service complaints be acted on
promptly. Contractor shall be responsible for the prompt and courteous attention to,
and prompt and reasonable resolution of, all service recipient complaints.
(a) Missed Pick-Ups. In the case of a complaint of a missed collection,
Contractor shall make the collection on the date of the call if the call is received by
10:00 a.m. and before noon the following collection day if the complaint is received after
10:00 a.m.
(b) Other Complaints. Contractor will respond to all complaints from
service recipients, other than missed-pickups, within one (1) working day of receiving
the complaint.
7.7 Overflowing Containers/Bins. In the event that Customers regularly
produce more refuse that their current service level allows, Contractor may initiate a
process to increase service levels. In such case, Contractor shall document the
incident with a photograph, date, time, and send notice to the Customer. Upon three (3)
such incidents in a six (6) month period, the Contractor shall notify the City. If, upon
further review, such overflow persists, Contractor may increase service levels to the
customer.
7.8 Contaminated Containers/Bins. If Customers dispose of improper
materials in recycling containers, Contractor may initiate a process to remove recycling
containers. In such case, Contractor shall document the incident with a photograph,
date, time and send notice to the customer. Upon three (3) such incidents in a six (6)
month period, the Contractor shall notify the City. If, upon further review, such
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contamination persists, Contractor shall be allowed to remove recycling containers that
were provided to the customer.
8. Customer Rates and Billing Procedures.
8.1 Rates for Service.
(a) Maximum Permitted Customer Rates. Contractor shall not charge
rates (or additional charges, fees, or penalties) in excess of the Maximum Permitted
Customer Rates specified on Exhibit E attached to this Agreement, including the
Qualifying Senior and Customers with Disabilities discounts.
(b) Adiustments To Maximum Permissible Service Rates, Five Per
Annual Maximum. On August 1, 2014 and annually thereafter, the Maximum
Permissible Rates shall be adjusted by the lesser of Five Percent (5%) or the "Cost
Increase Percentage."
Cost Increase Percentage shall mean:
[.70(Percentage Change in CPI) +.30 (Percentage Change in
Disposal/Tipping Fee.)]
2. "Percentage Change in CPI" shall mean the percentage change in
the All Urban Customers, Los Angeles, Riverside, Orange County index,
for the previous 12-Month period ending in May. (For instance, an August
1, 2014, Percentage Change in CPI would be the change between the
CPI index in May 2014 and the CPI index in May 2013.)
3. "Percentage Change in Disposal/Tipping Fee" shall mean the
Average Municipal Disposal Fee for the previous be the average municipal
disposal fees charged at landfills within a fifty (50) mile radius of the City,
calculated during the previous year.
4. Adjustment Due to Change In Law. As used herein, "Change in
Law" means the enactment, issuance, adoption, repeal, amendment or
modification of any federal, state or local statute, ordinance or regulation,
or a regulatory agency or other administrative agency interpreting a
regulation or statute, or a judicial decision interpreting a law, statute,
ordinance or regulation, in a manner different than relied upon by
municipalities and the solid waste and collection industry. Contractor may
adjust the Maximum Customer Rates by an amount equal to the increase
or incremental increase, as the case may be, in the reasonable costs (i.e.
on any direct or indirect cost, whether fixed or variable) of Contractor's
provision of services under this Agreement that are caused by the Change
in Law. Contractor shall provide to the City and the public detailed
information supporting the proposed increase in Maximum Customer
Rates, which may not be retroactive. If within sixty days after receiving
the notice of adjustment and supporting documents, or upon failure to
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receive adequate supporting documents, the City concludes that the
increase exceeds the reasonable increased costs for providing the new
service, City may notify the Contractor that it is in default under this
Agreement.
8.2 Contractor to Bill. The Contractor shall be solely responsible for the
billing and collection of payments from Customers. Quarterly customers bills for
services shall be submitted and collected by the Contractor in advance of the quarter's
service. A thirty-day grace period shall be allowed prior to the charge of any late fee or
penalty.
8.3 City Provided Billing Inserts. City may provide educational and other
material to Contractor for inclusion in the invoices mailed by Contractor to Residential,
Multifamily and Commercial Customers for collection services. Contractor shall not
charge the City for the inclusion of additional educational or other materials in the
invoices provided the inclusion of such City requested materials does not exceed the
cost for standard postage for any mailing.
8.4 Delinquent Service Accounts.
W Residential Accounts. Contractor agrees not to discontinue service
to Residential customers. Residential Customers (owners or tenants) who have not
remitted required payment within one hundred twenty (120) days after the date of billing
shall be notified by Contractor on forms that contain a statement that if payment is not
received within fifteen (15) days from the date of the notice, the delinquent and unpaid
charges, including a 10%penalty-afnd 1.5% monthly interest. Fnay be plaged on the-Los
(b) Commercial and Other Accounts. Contractor agrees to not
discontinue service to a commercial or debris box customer until customer's account
has been delinquent for a period of at least sixty (60) days. If the Contractor terminates
service to any non-paying person, corporation or entity, such person, corporation, or
entity as a condition precedent to re-establishment of such service, shall comply fully
with all of the then billing policies and practices of the Contractor, including, but not
limited to, requirement of payment by cash or cash equivalent, prepayment of one full
billing cycle, a security deposit, payment of all costs of collection of monies owed to
Contractor, and payment of a reinstatement fee. In addition, delinquent accounts shall
be charged a 1.5% monthly late fee on the delinquent balance. If the Contractor
discontinues service for non-payment, Contractor shall, upon City request, give written
notice to the City Manager of any discontinuance of service for nonpayment, giving the
name and address of the customer(s).
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9. Residential Services.
Contractor shall provide refuse collection service to Residential Customers as set
forth in this Section 9 and Exhibit G, "Residential Services."
9.1 Weekly Service. Contractor shall provide refuse collection service at an
interval not less than once per week to all Residential Customers' properties in the City.
Firm will provide fully automated Solid Waste, Recyclable Material and Green Waste
containers for residential customers. The standard Cart is 96-gallons, but Residential
Customers may request a smaller size container, which the Contractor will provide
within fourteen (14) days. Extra recycling and green waste containers shall be provided
at Residential Customers' request.
9.2 Temporary Bin and Box Service. Contractor shall provide temporary
Bin and Box service, including Construction and Demolition Debris Bins, to Residential
Customers. Contractor shall deliver such Bin or Box within 24 (twenty-four) hours of
request (not including weekends or holidays).
9.3 Bulky Items Service. Contractor shall provide Bulky Items collection to
all residential customers upon requests. A Customer shall have the right to twenty- five
(25) Bulky Items pickups per year, with up to five (5) items per pickup. Such pickup
shall take place on the regularly scheduled collection day. Customers must call in at
least forty-eight (48) hours prior to scheduling a pickup.
9.4 Holiday Tree Collection. Contractor shall collect all holiday trees
discarded by any residential customer on the first two regularly scheduled collection
days after Christmas Day.
9.5 Backyard/Off-Street Collection Option. Contractor shall provide a
backyard/off-street collection service to residential customers that request such service.
Contractor shall remove all Carts and place them out for collection service and return
Carts to the storage area after collection. Contractor may charge Customers for this
service up to the amounts set forth in Exhibit F, which includes a discount program for
Qualifying Seniors or Customers with Disabilities set forth in that exhibit. This service
shall be provided at no additional charge to the extent necessary to comply with the
provisions of the Americans with Disabilities Act or any similar state law.
10. Multifamily and Commercial Services.
Contractor shall provide refuse collection service to Multi-Family and Commercial
Customers as set forth in this Section 10 and Exhibit H, "Commercial and Multi-Family
Services."
10.1 Regular Service. Contractor shall provide refuse collection service at an
interval of at least once per week to all customers at multi-family/commercial properties
in the City. Contractor will provide 2, 3, 4 and 6 cubic yard Bins upon request. As an
alternative to Multifamily or Commercial Customers that do not have adequate space or
generate enough waste to necessitate a Bin, Contractor shall offer customers
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automated 96-gallon Carts for Solid Waste, Recycling and Green Waste. Such service
shall be billed based on the number of Solid Waste containers provided and number of
pickups per week. After completion of a waste audit, the City shall make the final
determination as to whether a customer will receive an automated collection container.
10.2 Bulky Item Service. Contractor shall provide Bulky Item collection to all
Multi-family Customers in the City without any additional charge. Such collection will be
limited at 4 (four) items per pickup, with up to 4 (four) pickups that may be scheduled
each year. Such pickup shall take place on the regularly scheduled collection day.
Multi-family Customers must schedule a pickup at least forty-eight (48) hours in
advance, excluding weekends and holidays. Other Commercial customers, including
the managers of multi-family properties, may participate in this collection program
described in Exhibit H, "Commercial and Multi-family Services," paying no more than the
Maximum Permitted Customer Rates in Exhibit F.
10.3 Recycling. In compliance with State law, firm shall provide recycling
collection services to Commercial customers, in compliance with provisions included in
Assembly Bill 341 and the City's local commercial solid waste recycling ordinance.
Such recycling services will be directed at Commercial customers that generate 4 cubic
yards of solid waste per week or multi-family dwellings with 5 or more units. Further,
the Contractor shall meet provisions listed in Public Resources Code Section 42649,
which include developing a source separation or mixed waste processing program for
recyclable materials. Such programs will be established between Commercial
customers and Contractor and include outreach programs, reporting requirements,
enforcement provisions for meeting requirements established related to commercial
recycling. In addition, Contractor shall send a minimum of 75% of commercial refuse
(not including Multi-family Customers) collected by weight for processing to recover
recyclables, with a minimum recovery rate of 25%. Firm shall provide City with we
processed.
10.4 Waste to Energy. Contractor shall send a sufficient amount of refuse
from which recyclable materials have been removed to a waste-to-energy facility for the
City to receive diversion credit for ten percent (10%) of the total solid waste collected by
Contractor per year. Such credit should not be less than five thousand (5,000) tons of
diversion credit per year. The City reserves the right to request that additional refuse
materials be sent to a waste-to-energy facility if it is necessary to meet Minimum
Diversion Requirement.
10.5 Repositioning of Bins. Contractor Firm may not charge additional fees
for "scout" or "swamper" services required to position bins for proper collection. If
positioning a bin is required, the bin shall not be left in a location that will obstruct traffic
or access through the public right-of-way.
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11. Collection Routes.
11.1 Collection Routes. The schedule of collections shall be subject to the
approval of the City Manager. The Contractor shall prepare and file with the City
Manager a collection schedule, together with a composite map of the routes and a list of
all addresses in each route., indicating the collection days for each area.
11.2 Subsequent Collection Route Changes. The Contractor shall submit to
the City Manager, in writing, any proposed route change (including maps thereof) not
less than thirty (30) calendar days before the proposed date of implementation. If the
route change will change the collection day for a Customer, the Contractor shall, at its
expense, provide written notice with postage prepaid and forwarded through the United
States mail or by personal service, notify each Customer of the day or days of the week
on which service will be provided. The notice shall contain the day or days of the week
upon which the collection will be made, the name, address and telephone number of the
Contractor, and other information deemed necessary by the City manager. The notice
shall be paid or personally served not less than fourteen(14) days before the change. If
the City Manager so directs, the Contractor shall also publish a notice with the same
information in a newspaper of local circulation once each week for two successive
weeks immediately prior to the change in the collection schedule.
11.3 Collection Route Audits. The City reserves the right to conduct audits of
Contractor's collection routes. The Contractor shall cooperate with the City in
connection therewith, including permitting City employees or agents, designated by the
City Representative, to follow behind the collection vehicles in order to conduct the
audits. The Contractor shall have no responsibility or liability for the salary, wages,
benefits or worker compensation claims of any person designated by the City
Representative to conduct such audits.
12. Public Outreach Services.
12.1 General. Contractor shall be responsible for providing outreach bill
inserts describing programs, services, and events. Contractor shall include such
program inserts at least twice annually with the approval of City prior to distribution.
12.2 Waste Generation and Characterization Studies. Contractor
acknowledges that City must perform Solid Waste generation and characterization
studies periodically to comply with AB 939 requirements. Contractor agrees to
participate and cooperate with City and its agents and to perform studies and data
collection exercises, as needed, to determine weights, volumes and composition of
Solid Waste generated, disposed, transformed, diverted or otherwise processed to
comply with AB 939.
13. Collection Equipment.
13.1 General. Contractor warrants that it shall provide adequate numbers of
vehicles and equipment for the collection, transportation, recycling and disposal
services for which it is responsible under this Agreement. All collection vehicles used by
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Contractor in the performance of services under this Agreement shall be of a high
quality. The vehicles and equipment to be used are specified in Exhibit I.
13.2 Identification. The vehicles used pursuant to this Contract shall have the
name of the Contractor, the Contractor's local telephone number, and a unique vehicle
identification number for each vehicle prominently displayed on all collection vehicles.
The vehicles shall also display a statement as to the type of alternative fuel being used.
13.3 Alternative Fuels. The Contractor shall use alternative fuel vehicles
approved by the South Coast Air Quality Management District for fully automated refuse
collection services. Vehicles shall meet all requirements specified per AQMD Rule
1193 as it may be amended from time to time.
13.4 Fully Automated Residential Collection. Vehicles used for Residential
collection services shall be fully automated side-loading refuse trucks, using a fully
mechanized arm to pick up and dump automated waste collection containers. Drivers
shall not be required to exit the vehicle to assist with securing the containers to, or lifting
the containers into, the refuse collection truck.
13.5 Registration and Inspection. All vehicles utilized by Contractor in the
performance of this Agreement shall be registered with the California Department of
Motor Vehicles. All vehicles shall pass the required periodic California Highway Patrol
biennial inspection of the terminals ("BIT"). Within fifteen (15) days of the BIT
inspection, Contractor shall provide records from all of the terminal(s) responsible for
the maintenance and repair of equipment used in the City. All vehicles and equipment
used by Contractor in the performance of this Contract shall be subject to inspection by
the City upon twenty-four (24) hours notice by the Public Works Director.
13.6 Drivers and Operators. All drivers employed by Contractor and
operating equipment in the City shall be properly licensed for the class of vehicle they
drive, enrolled in the Department of Motor Vehicles Employee Pull Notice (EPN)
program, and abide by all State and federal regulations for driver hours and alcohol and
controlled substances testing.
13.7 Litter, Spills. Each of Contractor's vehicles shall be constructed and
used in a manner so that no part of the waste stream will blow, fall, or leak out of the
vehicle. All waste shall be transported by means of vehicles which are covered in such
a manner as to securely contain all waste and to prevent such waste from projecting,
blowing, falling or leaking out of the vehicles. Any waste dropped or spilled in
collection, transfer or transportation shall be immediately cleaned up by Contractor. A
broom and a shovel shall be carried at all times on each vehicle for this purpose.
13.8 Avoiding Damage to Streets. Contractor shall use commercially
reasonable efforts to prevent damage to all streets over which its collection equipment
may be operated, and Contractor shall obtain all required approvals for operation of its
Collection vehicles on private streets and parking lots. Contractor shall use
commercially reasonable efforts to prevent spills of fuel, fluids (such as oil, hydraulic
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fluid, brake fluid, etc.) on streets, and if such a spill occurs, Contractor shall within 1
hour notify the City (including the Director of Public Works or his/her designee) and all
proper regulatory authorities of said spill and release of fluids, and shall clean, at
Contractor's expense, the spilled fluids in coordination with, and to the satisfaction of,
City and applicable regulatory agencies. Upon a release of such fluids, the driver shall
immediately park the vehicle and it shall remain parked until the leak is repaired. In such
event Contractor shall not park the leaking vehicle within two hundred (200) feet of a
storm drain and shall utilize absorbent, sand bags or other appropriate means to
prevent leaking fluids from entering storm drains. In the event of any type of spill or
other emergency, Contractor shall be responsible for securing the immediate safety of
the vehicle driver, all other employees of Contractor and all persons and property in the
surrounding vicinity. Contractor shall not transfer loads from one vehicle to another on
any public street or private roadway, unless it is necessary to do so because of
mechanical failure or damage to a collection vehicle which renders it inoperable and the
vehicle cannot be towed. In addition, each collection vehicle shall be equipped with
trash bags, masking tape and notice of non-collection tags for the purpose of separating
hazardous waste for return to the generator.
13.9 Communications. A communications device such as a two-way radio or
a cellular telephone shall also be maintained on each vehicle at all times.
13.10 Equipment Storage. Contractor shall not store any vehicle or equipment
on any public street, public right-of-way or other public property in the City without
obtaining a Encroachment Permit from the Public Works Department and prior written
consent of the Public Works Director.
13.11 Equipment Removal. Should the Public Works Director at any time give
written notification to Contractor that any vehicle does not comply with the standards in
this Agreement, the vehicle shall be promptly removed from service by Contractor and
not used again until inspected and authorized in writing by the Public Works Director.
13.12 Equipment Maintenance. All vehicles shall be properly maintained, kept
clean and in good repair, and shall be uniformly painted. All vehicles used in
performance of this Contract shall be maintained and operated in conformance with all
applicable laws, statutes, rules and regulations. In performance of this Contract, the
issuance of four (4) or more vehicle, driver/operator or other citations that relate in any
way to this Contract within a 12 month period shall be deemed to be breach of this
Contract. Quarterly reports setting forth information regarding Contractor's vehicles and
equipment shall be prepared on such form as required by the Public Works Director.
Each quarterly report shall be submitted on or before the 15th day of the month
following the end of the previous calendar quarter.
13.13 Compliance. Contractor warrants that it will comply with all measures
and procedures promulgated by all agencies with jurisdiction over the safe and sanitary
operation of all its equipment.
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13.14 Private Streets, Alleys and Parking Lots. Contractor agrees to use its
best efforts to prevent damage to private streets, alleys and parking lots over which its
collection equipment may be operated, to obtain all required approvals for operation of
its collection vehicles on private streets, alleys and parking lots.
13.15 Safety Equipment. All collection equipment used by Contractor shall
have appropriate safety markings including, but not limited to, highway lighting, flashing
and warning lights, clearance lights, and warning flags. All such safety markings shall
be subject to the approval of the City and shall be in accordance with the requirements
of the California Vehicle Code, as may be amended from time to time. All collection
vehicles shall be equipped with audible back-up warning devices.
13.16 Vehicle Signage and Painting. Collection vehicles shall have the
Contractor's name, Contractor's customer service telephone number, and a vehicle
identification number on each side of the vehicle in type that is easily read by the public.
13.17 Maintenance Log. Contractor shall maintain a maintenance log for each
collection vehicle. The log shall at all times be accessible to City upon request of City
Representative, and shall show, at a minimum, each vehicle's Contractor-assigned
identification number, date purchased or initially leased, dates of performance of routine
maintenance, dates of performance of any additional maintenance, and description of
additional maintenance performed.
13.18 Equipment Inventory. On or before the Service Commencement Date
and upon City's request thereafter, Contractor shall provide to City an inventory of
collection vehicles and major equipment used by Contractor for collection or
transportation and performance of services under this Agreement. The inventory shall
indicate each collection vehicle by Contractor assigned identification number, DMV
license number, the age of the chassis and body, type of fuel used, the type and
capacity of each vehicle, the number of vehicles by type, the date of acquisition, the
decibel rating and the maintenance status. Upon City request, Contractor shall submit to
the City Representative, either by Fax or e-mail, an updated inventory annually to the
City or more often at the request of the City Representative. Each vehicle inventory
shall be accompanied by a certification signed by Contractor that all collection vehicles
meet the requirements of this Agreement. Vehicles and equipment shall be not more
than three years old.
13.19 Reserve Equipment. The Contractor shall have available to it, at all
times, reserve collection equipment which can be put into service and operation within
one (1) hour of any breakdown. Such reserve equipment shall correspond in size and
capacity to the equipment used by the Contractor to perform the contractual duties.
13.20 Containers.
(a) Containers (Carts, Bins, and Boxes) provided to Customers of
Contractor for storage, collection or transportation of solid wastes shall meet the
requirements designated by the Public Works Director as well as State of California
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minimum standards for solid waste handling established under Public Resources Code
Section 43020 and applicable health requirements. The Public Works Director shall
have the right to approve the color of containers, manufacturer of containers, and
lettering and decals used on containers. Contractor shall repair or replace any
container which is damaged, broken, lost or stolen with a container approved by the
Public Works Director at no cost.
(b) All containers used by Contractor in the performance of solid waste
handling services shall be marked with Contractor's name and telephone number in
letters which are easily read by the general public. All solid waste containers used in the
performance of this Contract shall be kept clean and in good repair to the satisfaction of
the Public Works Director. Contractor shall also regularly inspect containers and bins
and be responsible for the prompt removal of graffiti from such containers/bins.
14. Privacy.
14.1 General. Contractor shall observe and protect the rights of privacy of
service recipients. Information identifying individual service recipients, or the
composition or contents of a service recipient's Solid Waste, Recyclable Materials, or
Organic Waste 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 service recipient. 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 the Act, or
preparing and distributing public awareness materials to service recipients.
14.2 Mailing Lists. Contractor shall not market or distribute mailing lists with
the names and addresses of service recipients.
14.3 Privacy Rights Cumulative. The rights accorded service recipients
pursuant to this Section shall be in addition to any other privacy rights accorded service
recipients pursuant to federal or state law.
15. Service Exceptions; Hazardous and Universal Waste.
15.1 Hazardous Waste Inspection, Diversion and Reporting. Contractor
reserves the right and has the duty tales law, to inspect Solid Waste put out for
collection and to reject Solid Waste observed to be contaminated with Hazardous
Waste. Should Contractor find or observe reportable quantities of Hazardous Waste put
out for collection with Solid Waste, Contractor shall notify all agencies with jurisdiction,
including the California Department of Toxic 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 observed or collected
anywhere within the City. 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,
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including storm drains, streets or other public rights of way, Contractor shall notify the
City Manager, or the City Manager's designee immediately.
15.2 Universal Waste Handling. Contractor shall handle Universal Waste
Electronic Devices (UWEDs) and cathode ray tubes (CRTs) and other Universal
Wastes, including, but not limited to non-empty aerosol cans, fluorescent tubes, high
intensity discharge lamps, sodium vapor lamps, and any other lamp exhibiting a
characteristic of a hazardous waste, batteries (rechargeable nickel-cadmium batteries,
silver button batteries, mercury batteries, small sealed lead acid batteries [burglar alarm
and emergency light batteries] alkaline batteries, carbon-zinc batteries and any other
batteries which exhibit the characteristic of a hazardous waste), mercury thermometers,
mercury-containing switches, and any other Universal Wastes disposed of improperly
into the Solid Waste stream in a manner consistent with the applicable regulations of
the Department of Toxic Substances Control, or its successor agency.
15.3 Hazardous and Universal Waste Diversion Records. Contractor shall
maintain records showing the types and quantities, if any, of Hazardous and Universal
Wastes found in Solid Waste and which was collected from service recipients within the
City, but diverted from land filling, and the diversion addresses.
16. Ownership of Solid Waste, Recyclable Materials, Organic Waste and
Construction and Demolition Materials.
Ownership of Solid Waste, Organic Waste, and Recyclable Materials shall pass,
by operation of law, to Contractor at such time as said materials are placed for
collection in Containers for collection by Contractor. Ownership and the right to
possession of Solid Waste, Recyclable Material, Organic Waste and Construction and
Demolition Materials placed for collection shall transfer directly from the service
recipient to Contractor, by operation of law and not by virtue of this Agreement. At no
time does the City obtain any right of ownership or possession of Solid Waste or any
Hazardous Waste illicitly placed for collection in a Solid Waste Container, and nothing in
this Agreement shall be construed as giving rise to any inference that City has any such
rights.
17. Marketing and Diversion of Recyclable Materials
Contractor agrees to divert all Mixed Recyclable Material/Solid Waste,
Recyclable Materials and Organic Waste from disposal in landfills or transformation
facilities, to the extent feasible, and to obtain maximum diversion credit.
18. Contractor's Books and Records; Audits
18.1 Record Retention. In addition to the requirements set forth elsewhere in
this Agreement, Contractor shall maintain all records relating to the services provided
hereunder during the Term and an additional period of not less than three years, or any
longer period required by law. The City shall have the right, upon five business days
advance notice, to inspect, copy and audit all records relating to this Agreement,
including, but not limited to, service recipient lists, billing records, maps, and customer
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complaints. Such records shall be made available to City at Contractor's regular place
of business, or other place agreed to by City and Contractor, within the County of Los
Angeles.
18.2 Underpayment. Should any examination or audit of Contractor records
reveal an underpayment of any payment required to be paid to City under this
Agreement, the amount of such underpayment, plus interest at the maximum rate
permitted under California law, shall become due and payable to City not later than
thirty days after written notice of such underpayment is provided to Contractor by City.
Should an underpayment of more than five percent (5%) be discovered, Contractor shall
bear the entire cost of the examination or audit.
19. Integrated Waste Management Act; Reporting Requirements.
Contractor shall cooperate with City in Solid Waste disposal characterization
studies and waste stream audits and shall implement measures adequate to achieve
the diversion goals set forth in this Agreement. During the Term of this Agreement,
Contractor, at no expense to City, shall submit to City all relevant information and
reports required to meet the reporting obligations imposed by CalRecycle under the Act,
as amended. Contractor agrees to submit such reports and information by email or on
computer discs, in a format acceptable to City at no additional charge, if requested by
City.
20. Reports.
20.1 Periodic Reports. Contractor shall submit to City monthly reports setting
forth any complaints (e.g. written or oral comments received by Contractor expressing
dissatisfaction with Contractor or any services provided by Contractor that relate in any
manner to this Contract); the total amount (in tons) of solid waste which Contractor
collected in the City of Rosemead during the reportable month; the total weight (in tons)
of solid waste disposed of by Contractor at landfills and transfer stations which
Contractor collected in the City of Rosemead during the reportable month; the total
weight and the weight by material category (in tons) of solid waste disposed of by
Contractor at recycling and materials recovery facilities during the reportable month
which Contractor collected in the City; the name and location of all solid waste and
recycling facilities where City materials were delivered; and such other tonnage or other
information as requested by the Public Works Director including, but not limited to,
weigh tickets and recycling records. Such monthly reports shall be prepared on such
form as required by the Public Works Director. In addition, on a quarterly basis, the
Contractor shall submit to the City any equipment, terminal safety, employee safety and
inspection reports, citations, records and other documents for all Contractor's
operations and activities that relate in any way to this Contract including, but not limited
to, periodic California Highway Patrol biennial terminal inspection reports; vehicle
citations; California Highway Patrol Incident reports; citations issued to
drivers/operators; other citations issued to the Contractor or its employees; California
Occupational Safety and Health Administration 300 reports; and Lead Environmental
Agency inspection/compliance reports. Each quarterly report and accompanying
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reports/citations shall be submitted on or before the 15th day of the month following the
end of the quarter (i.e. report due January 15 for first quarter after the Effective Date)
and submitted to:
Public Works Director
City of Rosemead
8838 East Valley Blvd
Rosemead, CA 91770
Contractor shall comply with all recycling and diversion requirements imposed by law,
ordinance, or regulation on the City. Monthly reports stating the total amount (in tons) of
solid waste which Contractor landfilled, recycled and collected should accurately reflect
a sixty percent (60%) diversion rate as required by the City. At the end of each quarter,
monthly reports will be evaluated for AB939 compliance. Failure to comply with the
recycling and diversion requirements shall be a material breach of this Contract.
20.2 Reporting Additional Matters. Contractor shall provide City two copies
(one to the City Representative, one to the City Attorney) of all correspondence, reports,
pleadings, applications, notifications, notices of violation, communications or other
material relating specifically to Contractor's performance of services pursuant to this
Agreement, submitted by Contractor to, or received by Contractor from, the United
States or California Environmental Protection Agency, CalRecycle, or its successor
agency, the California Department of Toxic Substances Control, or its successor, the
Fair Political Practices Commission, the cognizant Local Enforcement Agency, or its
successor, the Securities and Exchange Commission or any other federal, state or
county agency, including any federal or state court. Copies shall be submitted to City
within a reasonable time subsequent to Contractor's filing or submission of such matters
with said agencies. Contractor's routine correspondence to said agencies need not be
routinely submitted to City, but shall be made available to City upon written request.
20.3 CERCLA Defense Records. City views the ability to defend against
CERCLA and related litigation as a matter of great importance. For this reason, the City
regards the ability to prove where its Solid Waste was taken, as well as where it was not
taken, to be matters of concern. Contractor shall maintain data retention and
preservation systems, which can establish where Solid Waste collected in the City was
landfilled (and therefore establish where it was not landfilled) and a copy or summary of
the reports required by Section 15.3 for fifty years after the Term during which collection
services are to be provided pursuant to this Agreement and to notify City's Risk
Manager and City Attorney before destroying such records. This provision shall survive
the expiration of the period during which collection services are to be provided under
this Agreement.
21. Indemnification and Insurance.
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21.1 Indemnification re Certain Challenges to Agreement. Contractor, upon
demand of the City, made by and through the City Attorney, shall indemnify, hold
harmless, protect City and appear in and defend the City and its elected officials,
officers, employees and agents, ("Indemnitees") in any claims or actions by third
parties, whether judicial, administrative or otherwise, including, but not limited to
disputes and litigation over the definitions of "Solid Waste" or "Recyclable Material,"
asserting rights under the dormant Commerce Clause or any other federal or state law,
including, but not limited to the anti-trust laws with respect to the provision of
Comprehensive Refuse Services in the City, and challenges to the certification or
implementation, imposition, adjustment or collection of any rate, interest, penalty or
other fee under the Agreement. This provision shall survive the expiration of the period
during which collection services are to be provided under this Agreement. City and
Contractor agree to confer following any trial to decide jointly whether to appeal or to
oppose any appeal. In the event City and Contractor agree to appeal, or to oppose any
appeal, City and Contractor agree to share equally the costs of appeals. Should either
City or Contractor decide to appeal, or to oppose an appeal, and the other decide not to
appeal, or to oppose an appeal, the party which decides to appeal, or to oppose an
appeal, shall bear all fees and costs of the appeal or the opposition to the appeal.
21.2 Indemnification Regarding Article XIII C and XIII D. City intends to
comply with all applicable laws concerning the Maximum Permitted Customer Rates
provided under this Agreement. Upon thorough analysis, the Parties have determined
and agree that the Maximum Permitted Customer Rates for the Solid Waste Handling
Services provided under this Agreement are not subject to California Constitution
Articles XIIIC and XIIID because, among other reasons, such services are provided by a
private corporation and not by City, Contractor independently establishes, charges and
collects the compensation For said services within the limits established in this
Agreement, the receipt of said services is voluntary and not required of any property
within City, and any owner or occupant of property within City has the opportunity to
avoid the services provided under this Agreement either through self-hauling or use of
property in such a manner that Solid Waste is not generated as set forth in pursuant to
Section 1. Nevertheless, this is a legal determination which is subject to changes in the
law and further interpretations of the law.
Accordingly, Contractor shall defend, indemnify and hold harmless the Indemnities
from and against any and all Claims of any kind whatsoever paid, imposed upon,
endured or suffered by or assessed against the Indemnitees resulting in any form from
the Maximum Permitted Customer Rates provided for the Solid Waste Handling
Services under this Agreement, or the rates actually charged by the Contractor for its
services, or from the consideration received by City for the grant of an exclusive
franchise. Nothing herein is intended to imply that California Constitution Articles XIIIC
and XIIID apply to the provision of Maximum Rates for the Solid Waste Handling
Services provided under this Agreement or the Customer Rates, rather this section is
provided merely to allocate risk of loss as between the Parties.
21.3 Environmental Indemnification and Compliance. Contractor shall
indemnify, defend, protect and hold harmless City, its elected officials, officers,
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employees, volunteers, 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 resource damages, 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 elected officials, officers, employees,
volunteers or agents 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 Waste (including Household Hazardous Waste and Universal Waste) in any
Solid Waste, Recyclable Material or Organic Waste collected by Contractor pursuant to
this Agreement, which is or has been transported, transferred, processed, stored,
disposed of or which has otherwise been located by Contractor, or its activities pursuant
to this Agreement resulting in a release of a Hazardous Waste (including Household
Hazardous Waste and Universal Waste) into the environment.
21.4 General Indemnification. Contractor further agrees to indemnify, defend,
protect and hold harmless City, its elected officials, officers, employees, volunteers,
agents, assigns, and any successor or successors to City's interest from and against all
losses, liabilities, claims, actual damages (including but not limited to special and
consequential damages), demands, debts, liens, 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 elected
officials, officers, employees, volunteers or agents arising from or attributable to any act
or omission of Contractor or its officers, employees or agents in the performance or
failure to perform the services required under this Agreement, and/or failure by
Contractor to fully comply with all applicable laws and regulations with respect to the
operation of its collection vehicles, including, but not limited to applicable rules
governing clean-burning and alternative fuel vehicles.
21.5 Effect of Environmental Indemnification. This indemnity is intended to
operate as an agreement pursuant to § 107(e) of the Comprehensive Environmental
Response, Compensation and Liability Act, "CERCLA," 42 U.S.C. § 9607(e), and
California Health and Safety Code § 25364, to defend, protect, hold harmless and
indemnify City from all forms of liability under CERCLA, RCRA, other statutes or
common law for any and all matters addressed in Subsection 21.3. This provision shall
survive the expiration of the period during which collection services are to be provided
under this Agreement.
21.6 Compliance with Laws. Contractor warrants that it will comply with all
applicable laws and implementing regulations, as they may be amended, specifically
including, but not limited to RCRA, CERCLA, AB 939, the Electronic Waste Recycling
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Act of 2003, and all other applicable laws and regulations of the U.S. Environmental
Protection Agency, the State of California, the County of Los Angeles , the California Air
Resources Board, CalRecycle, the South Coast Air Quality Management District, the
California Department of Toxic Substances Control, ordinances of the City and the
requirements of Local Enforcement Agencies and all other agencies with jurisdiction.
21.7 Workers' Compensation Insurance. Contractor shall obtain and
maintain in full force and effect throughout the entire Term of this Agreement full
workers' compensation insurance in accord with the provisions and requirements of the
Labor Code of the State of California. Copies of policies and endorsements that
implement the required coverage shall be filed and maintained with the City Clerk
throughout the term of this 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 days' prior written notice by certified mail, return
receipt requested, has been given to the City. The policy shall also be amended to
waive all rights of subrogation against the City, its elected or appointed officials,
employees, or agents for losses that arise from work performed by the named insured
for the City.
21.8 Liability and Vehicle Insurance. Contractor shall obtain and maintain, in
full force and effect throughout the entire Term of this Agreement, a Broad Form
Comprehensive General Liability (occurrence) policy (form CG 0001) and an Insurance
Services Office form number CA 0001 (Ed. 1/87) covering Automobile Liability, Code 1
(any auto) policy with minimum limits of Ten Million Dollars ($10,000,000.00)
aggregate and Five Million Dollars ($5, 000,000.00) per occurrence, per year.
Coverage over One Million Dollars ($1,000,000) per occurrence and Two Million Dollars
($2,000,000) in the aggregate may be provide though an excess or umbrella policy.
Said insurance shall protect Contractor and City from any claims for damages for bodily
injury, including accidental death, as well as from any claims for property damage which
may arise from this Agreement. Copies of the policies and endorsements evidencing the
above required insurance coverage shall be filed with the City Clerk.
21.9 Required Language In Policies. The following language is required to
be made a part of all of the insurance policies (except for Workers Compensation
Insurance) required by this Section:
"The City of Rosemead, its employees, agents, franchisees and
officers, are hereby added as additional insured's as respects to
liability arising out of activities performed by or on behalf of
Contractor. This policy shall be considered primary insurance with
respect to 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."
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"This policy shall act for each insured, as though a separate policy
had been written for each. This, however, will not act to increase
the limit of liability of the insuring company."
"Thirty 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
Manager, City Attorney and City Clerk."
21.10 Pollution and/or Environmental Impairment Liability Insurance.
Contractor shall obtain and maintain in full force and effect for the entire Term of this
Agreement, a Pollution and/or Environmental Impairment Liability policy covering liability
arising from the release of Hazardous Waste, or other contaminants, pollutants or
irritants with minimum limits of Ten Million Dollars ($10,000,000.00) aggregate and Five
Million Dollars ($5,000,000.00) per occurrence, per year. Contractor shall ensure that
such coverage shall automatically broaden in its form of coverage to include legislated
changes in the definition of Hazardous Waste. The policy shall stipulate that this
insurance is primary and no other insurance carried by City will be called upon to
contribute to a loss suffered by Contractor hereunder and shall waive subrogation
against City and other additional insureds.
21.11 Required Rating._ The insurance required by this Agreement shall be with
insurers which are Best A: VII-rated and which are California-admitted. The limits of
such insurance coverage, and companies, shall be subject to review and approval by
the City's Risk 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 each of the policies. The insurance required by this Agreement
is in addition to and not in lieu or limitation of the indemnification provisions above.
21.12 Evidence of Insurance Coverage; Insurance Repository.
Contemporaneously with the execution of this Agreement, Contractor shall file copies of
the policies or executed endorsements evidencing the above required insurance
coverage with the City Clerk. In addition, City shall have the right of inspection of all
insurance policies required by this Agreement. Contractor also agrees to maintain
copies of insurance policies required pursuant to this Agreement for one hundred years
(100 years) after the end of the Term during which collection services were provided
pursuant to this Agreement. Contractor shall notify City's Risk Manager and City
Attorney before destroying copies of such policies. This provision shall survive the
expiration of the period during which collection services are to be provided under this
Agreement.
21.13 Self-Insurance. To the extent provided by law, all or any part of any
required insurance may be provided under a plan of self-insurance approved by the
State of California.
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21.14 Reduction of CERCLA and Other Liability. City and Contractor agree
to meet annually in the fourth calendar quarter of each year to discuss ways to reduce
potential CERCLA and other liabilities to third parties.
21.15 Performance Bonds. Concurrent with the execution of this Agreement,
Contractor shall deposit with City a performance bond or an irrevocable letter of credit
or other such document ("Performance Bond"), from an institution satisfactory to City,
in a form satisfactory to City's Risk Manager and City Attorney, evidencing an
irrevocable commitment to City guaranteeing Contractor's faithful performance of the
terms of this Agreement. Such Performance Bond shall be maintained in effect
throughout the period during which collection services are to be provided pursuant to
this Agreement. Upon Contractor's failure to pay the City an amount owing under this
Agreement, the Performance Bond may be assessed by the City, for purposes
including, but not limited to:
(a) Failure of Contractor to pay the City sums due under the terms of
the Agreement;
(b) Reimbursement of costs borne by the City to correct breaches not
corrected by Contractor, after due notice;
(c) Monetary remedies or damages assessed against Contractor due
to breach of this Agreement; or
(d) To satisfy an order of the referee.
Contractor shall deposit a sum of money or a replacement instrument sufficient to
restore the Performance Bond to the original amount within thirty days after notice from
the City of any amount has been withdrawn from the Performance Bond. All of City's
costs of collection and enforcement of the provisions relating to the Performance Bond
called for by this section, including City's attorneys' fees and costs, shall be paid by
Contractor.
22. Emergency Service.
22.1 Contractor's Inability to Provide Service. Should Contractor, for any
reason whatsoever, except the occurrence or existence of any of the events or
conditions set forth in "Force Majeure," below, refuse or be unable for a period of more
than forty-eight (48) hours, to collect a material portion or all of the Solid Waste which it
is obligated under this Agreement to collect, and as a result, Solid Waste should
accumulate in City to such an extent, in such a manner, or for such a time that the City
Manager, in the exercise of the City Manager's sole discretion, should find that such
accumulation results in any imminent and substantial threat to the public health, safety
or welfare, then City shall have the right to contract with another solid waste enterprise
to collect and transport any or all Solid Waste which Contractor is obligated to collect
and transport pursuant to this Agreement. City shall provide twenty-four (24) hours prior
written notice to Contractor during the period of such emergency, before contracting
with another solid waste enterprise to collect and transport any or all Solid Waste which
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Contractor would otherwise collect and transport pursuant to this Agreement, for the
duration of period during which Contractor is unable to provide such services. In such
event Contractor shall identify sources from which such substitute Solid Waste services
are immediately available, and shall reimburse City for all of its expenses for such
substitute services during the period in which Contractor is unable to provide collection
and transportation services required by this Agreement.
22.2 Assistance in Case of Disaster. Contractor shall assist City in the event
of terrorist attack or major disaster, such as an earthquake, storm, riot or civil
disturbance, by providing collection vehicles and drivers normally assigned to the City,
at Contractor's actual costs. Contractor shall cooperate with City, county, state and
federal officials in filing information related to a regional, state or federally-declared state
of emergency or disaster or terrorist attack as to which Contractor has provided
equipment and drivers pursuant to this Agreement.
23. Administrative Remedies; Imposition of Damages; Termination.
23.1 Notice of Deficiencies; Response. If the Director of Public Works (or
other individual designated by the City Manager to perform the duties of the Director
under this Section 23) determines that Contractor's performance pursuant to this
Agreement may not be in conformity with the provisions of this Agreement, the
California Integrated Waste Management Act (including, but not limited to, requirements
for diversion, source reduction and recycling as to the waste stream subject to this
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 solid and Hazardous
Waste, the Director may advise Contractor in writing of such suspected deficiencies,
specifying the deficiency in reasonable detail. The Director shall set a reasonable time
within which Contractor is to respond. Unless the circumstances necessitate correction
and response within a shorter period of time, Contractor shall correct any deficiencies it
agrees have occurred and in any event shall respond to the written notification of
deficiencies within thirty days from the receipt by Contractor of such written notice.
Contractor may request additional time to correct deficiencies. City shall approve
reasonable requests for additional time.
23.2 Review by Public Works Director; Notice of Appeal. The Public
Works Director shall review any written response from Contractor and decide the
matter. If the Public Works Director's decision is adverse to Contractor, the Public
Works Director may order remedial actions to cure any deficiencies, assess the
Performance Bond or invoke any other remedy in accordance with this Agreement and,
in the event the Public Works Director determines that there has been a material
breach and that termination is the appropriate remedy, terminate the Agreement. The
Public Works Director shall promptly inform Contractor of the Public Works Director's
decision. In the event the decision is adverse to Contractor, the Public Works Director
shall inform Contractor, in writing, of the specific facts found and evidence relied on, and
the legal basis in provisions of the Agreement or other laws for the Public Works
Director's decision and any remedial action taken or ordered. An adverse decision by
the City Representative shall be final and conclusive unless Contractor files a "Notice of
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Appeal" with the City Clerk (with copies to the City Manager and City Attorney) within 30
days of receipt of the notification of the adverse decision by the Public Works Director.
In any "Notice of Appeal," Contractor shall state its factual contentions and
include all relevant affidavits, documents, photographs and videotapes which Contractor
desires to have considered by City. In addition, Contractor shall include all of its legal
contentions, citing provisions of the Agreement or other laws to support its contentions.
23.3 Review by City Manager; Appeal.
1. Within thirty days of receipt by the City Clerk of a Notice of Appeal,
the City Manager shall decide the matter. If the City Manager's decision is
adverse to Contractor, the City Manager may order remedial actions to
cure any deficiencies, assess the Performance Bond or invoke any other
remedy in accordance with this Agreement and, in the event the City
Manager determines that there has been a material breach and that
termination is the appropriate remedy, terminate the Agreement. In
addition to the foregoing actions, the City Manager may refer the matter to
the City Council for proceedings as described below. The City Manager
shall promptly inform Contractor of the City Manager's decision. In the
event the City Manager's decision is adverse to Contractor, the City
Manager shall inform Contractor, in writing, of the specific facts found and
evidence relied on, and the legal basis in provisions of the Agreement or
other laws for the City Manager's decision and any remedial action taken
or ordered.
2. An adverse decision by the City Manager shall be final and
conclusive unless Contractor files a "Notice of Appeal to the City Council"
with the City Clerk (and serves a copy, by mail, on the City Manager and
the City Attorney) within 10 calendar days of receipt of the decision of the
City Manager. A "Notice of Appeal to the City Council" shall state the
factual basis, the evidence relied on and all legal contentions that
Contractor may choose to submit. No new evidence not previously
submitted may be submitted.
23.4 City Council Hearing. If a matter is referred by the City Manager to the
City Council, or an adverse decision of the City Manager is appealed to the City Council
by Contractor, the City Council will set the matter for an administrative hearing and act
on the matter. The City Clerk shall give Contractor fourteen (14) days written notice of
the time and place of the administrative hearing. At the hearing, the City Council shall
consider the administrative record, consisting of the following:
(a) A Staff Report by the City Manager, summarizing the proceedings
to date and outlining the City Council's options;
(b) The Public Works Director's written Notification of Deficiencies;
(c) Contractor's response to the Notification of Deficiencies;
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(d) The Public Works Director's written notification to Contractor of
adverse decision;
(e) Contractor's Notice of Appeal to the City Manager;
(f) The City Manager's written notification to Contractor of adverse
decision; and
(g) Contractor's Notice of Appeal to the City Council.
No new legal issues may be raised, nor may new evidence be submitted by Contractor
at this or at any further point in the proceedings, absent a showing of good cause.
Contractor's representatives and other interested persons shall have a reasonable
opportunity to be heard.
23.5 City Council Determination. Based on the administrative record, the
Council shall determine by resolution whether the decision or order of the City Manager
should be upheld. If, based upon the administrative record, the City Council determines
that Contractor is in breach of any term of this Agreement or any provision of any
applicable federal, state or local statute or regulation, the City Council, in the exercise of
its discretion, may order Contractor to take remedial actions to cure the breach or
impose any other remedy in accordance with this Agreement. The City Council may not
terminate the Agreement unless it determines that Contractor is in material breach of a
material term of this Agreement or any material provision of any applicable federal, state
or local statute or regulation. Contractor's performance under the Agreement is not
excused during the period of time prior to a final determination as to whether or not
Contractor's performance is in material breach of this Agreement, or the time set by City
for Contractor to discontinue a portion or all of its services pursuant to this Agreement.
The decision or order of the City Council shall be final.
23.6 Reservation of Rights by City. City further reserves the right to
terminate this Agreement in the event of any material breach of this Agreement,
including, but not limited to any of the following:
If Contractor practices, or attempts to practice, any fraud or deceit upon the City,
or practiced any fraud or deceit or made any intentional misrepresentations in the
negotiations which preceded the execution of this Agreement provided that City has
provided Contractor with written notice of the alleged fraud or deceit and afforded
Contractor a reasonable opportunity to refute and defend itself against such charge or
claim.
If Contractor is convicted of, or pleads guilty, no contest, or polo contendere to a
felony related to this Agreement.
As used in this Section, the term "Contractor" shall mean only the following: (a)
the owner(s) of Contractor (whether shareholders, partners, or otherwise), (b) the
members of Contractor's Board of Directors; and (c) Contractor's President, Chief
Executive Officer, Chief Financial Officer, Chief Operations Officer, and/or Secretary.
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23.7 Cumulative Rights. City's rights of termination are in addition to any
other rights of City upon a failure of Contractor to perform its obligations under this
Agreement.
24. City's Additional Remedies.
In addition to the remedies set forth above, City shall have the following rights:
24.1 Contracts with Others. The right to contract with others to perform the
services otherwise to be performed by Contractor, in the event Contractor should be in
material breach of its duties to provide those services, or is otherwise unable to provide
the services addressed by this Agreement.
24.2 Damages and/or Injunctive Relief. Both parties recognize and agree
that in the event of a breach under the terms of this Agreement by one Party, the other
Party may suffer irreparable injury and incalculable damages sufficient to support
injunctive relief to enforce the provisions of this Agreement and to enjoin the breach.
24.3 City's Damages for Failure to Achieve Diversion Goals. Contractor
agrees that its failure to achieve the diversion goals set forth in this Agreement , arising
from failure to make reasonable efforts to maximize diversion in accordance with the
terms and conditions of this Agreement, related to waste diversion, shall be a material
breach of this Agreement. If CalRecycle, or its successor agency, were to impose
administrative civil penalties against City, then the City's damages for Contractor's
material breach in its failure to achieve the diversion goals for the City as required by
this Agreement, shall include, but not be limited to such administrative civil penalties,
attorneys' costs and fees and City's staff time devoted to the resolution of the
administrative civil penalties against City.
24.4 Liquidated Damages. The Parties further acknowledge that consistent
and reliable collection service is of utmost importance to City and that City has
considered and relied on Contractor's representations as to its quality of service
commitment in awarding the Agreement to it. The Parties further recognize that some
quantified standards of performance are necessary and appropriate to ensure
consistent and reliable service and performance. The Parties further recognize that if
Contractor fails to achieve the performance standards, or fails to submit required
documents in a timely manner, City, and City's residents and businesses will suffer
damages and that it is and will be impractical and extremely difficult to ascertain and
determine the exact amount of damages. Therefore, in addition to City's right to treat
such non-performance as a breach of this Agreement, the Parties agree that any
violation of the terms and conditions of this Agreement shall be corrected within the time
frame asset forth by the City, in its sole discretion, in the City's written Notice of
Deficiency." For each and every violation noted in the Notice of Deficiency that is not
corrected within the time frame set forth in the Notice of Deficiency, Contractor shall pay
to the City the sum of $250 per calendar day. Execution of this Agreement shall
constitute agreement by the Contractor and City that $250 per calendar day is the
minimum value of the cost and actual damage caused by the failure of the Contractor to
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comply with any term or condition of this Agreement, that such sum is liquidated
damages and shall not be construed as a penalty, and that sum shall be remitted to the
City within thirty (30) days of the City's delivery of a Notice of Uncorrected Deficiency.
In placing their initials at the places provided, each party specifically confirms the
accuracy of the statements made above and the fact that each Party has had ample
opportunity to consult with legal counsel and obtain an explanation of the liquidated
damage provisions at the time that the Agreement was made.
Contractor:
City:
25. Franchise Transfer; City Consent; Fees
25.1 No transfer without City Consent. Contractor may not convey, assign,
sublet, license, hypothecate, encumber of otherwise transfer or dispose of (collectively
"Transfer"), this Agreement, the Franchise granted under it or any rights or duties under
it, in whole or in part, whether voluntarily or involuntarily, without the City's prior written
consent as expressed by written resolution of the City Council. Any dissolution, merger,
consolidation, or other reorganization of Contractor, except as provided in Section 25.3
below, any sale or other transfer or change in ownership or control of any of the capital
stock or other capital or equity interests, or any sale or transfer of fifty percent (50%) or
more of the value of the assets shall be deemed a Transfer of this Agreement, the
Franchise granted under it or any rights or duties under it. Any Transfer or attempted
Transfer of this Agreement, the Franchise granted under it or any rights or duties under
it made without the City's consent will be a material breach of this Agreement and, at
the City's option, may be voided.
25.2 Consent not Unreasonably Withheld. The City will not unreasonably
withhold its consent to a Transfer of the Franchise granted by this Agreement. The
prospective transferee shall have the burden of demonstrating that it has the financial
and technical ability to provide the services required under this Agreement. The City
may also require the prospective transferee to demonstrate that it, and its officers and
managers do not have criminal records for environmental or public integrity offenses. If
the City gives its consent, it may impose conditions, including, without limitation,
requiring acceptance of amendments to this Agreement. Without obligating the City to
give its consent, the proposed transferee must demonstrate to the City's satisfaction
that it has the operational and financial ability to perform the terms of this Agreement.
25.3 Internal Reorganization. Contractor's internal reorganization shall not
constitute a Transfer provided that City's consent to the reorganization is sought and
received prior to any internal reorganization. An internal reorganization includes any
change in control of any of the voting stock through its conveyance to an affiliate of
Contractor, or by operation of law. Any request for an internal reorganization must be
submitted in writing to the City Manager, no less than one hundred and twenty days
prior to the proposed effective date of the internal reorganization. Contractor shall
reimburse City for all of its costs to review the request and to determine if it is an
internal reorganization. City's expenses may include, but are not limited to, Staff, City
Attorney's and Special Counsel's fees and costs and Accountants' fees and costs.
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Determination by the City Manager shall be final. Any attempt to implement an internal
reorganization without the consent of City shall constitute a material breach of this
Agreement.
25.4 Deposit for Costs of Review. Any application for a Franchise Transfer
shall be made in a manner prescribed by the City Manager. The application shall
include a deposit of $150,000 to cover the estimated cost of all direct and indirect
expenses, including City staff, consultants' and attorneys' fees, incurred by City to
adequately analyze the application and the qualifications of the prospective transferee.
Any costs incurred by the City in excess of $150,000 shall be reimbursed by Contractor
prior to submission of the proposed Transfer to the City Council. In the event that the
City's costs are less than $150,000, City shall refund remaining deposit to Contractor.
Upon approval of Transfer, the transferee shall pay to City a Transfer fee in the amount
of $150,000.
26. General Provisions
26.1 Force Majeure. Contractor shall not be in breach of this Agreement if the
collection, transportation and/or disposal services of Contractor are interrupted
temporarily or permanently for any of the following reasons: riots; war or national
emergency declared by the President or Congress and affecting the City; acts of
terrorists; sabotage; civil disturbance; insurrection; explosion; natural disasters such as
floods, earthquakes, landslides and fires; or other catastrophic events which are beyond
the reasonable control of Contractor. "Other catastrophic events" does not include the
financial inability of Contractor to perform or failure of Contractor to obtain any
necessary permits or licenses from other governmental agencies or the right to use the
facilities of any public agency where such failure occurs despite the exercise of
reasonable diligence by Contractor. In the event a labor disturbance interrupts
collection and transportation of Solid Waste and/or disposal of Solid Waste by
Contractor as required under this Agreement, City may elect to exercise its rights under
Section and Section of this Agreement. Failure by City to exercise its
rights under this Section shall t be deemed a waiver of its rights.
26.2 Extraordinary Circumstances. Not withstanding any other term of
provision hereof, nothing in this Agreement is intended, nor shall it be interpreted, to
prevent or preclude Contractor from contacting City's officials, officers and
representatives to request an amendment to, or other modification of, this Agreement
due to the occurrence of an event or circumstance that substantially increases
Contractor's cost of service, or otherwise substantially and negatively impacts
Contractor's provision of services, under this Agreement.
26.3 Pavement Damage. Contractor shall be responsible for any extraordinary
damage to City's driving surfaces, whether or not paved, resulting from the weight of
vehicles providing refuse collection services when it can be demonstrated that such
damage is caused by vehicles exceeding the legal maximum weight limits of the State
of California or the willful or negligent operation of the vehicle by Contractor's
employees. Disputes between Contractor and its service recipients as to damage to
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private pavement are civil matters and complaints of damage will be referred to
Contractor as matters within its sole responsibility and as a matter within the scope of
this Agreement.
26.4 Property Damage. Any physical damage caused by the negligent or
willful acts or omissions of employees of Contractor to City or private property shall be
repaired or replaced by Contractor at Contractor's sole expense.This Agreement does
not purport to relieve, diminish, reduce, create or increase in any way, Contractor's civil
liability to any third parties.
26.5 Law to Govern; Venue. The law of the State of California shall govern
this Agreement without regard to any otherwise governing principles of conflicts or
choice of laws. In the event of litigation between the parties, venue in state trial courts
shall lie exclusively in the County of Los Angeles. In the event of litigation in a U.S.
District Court, exclusive venue shall lie in the Central District of Califomia.
26.6 Fees and Gratuities. Contractor shall not permit any officer, agent or
employee to request, solicit, or demand, either directly or indirectly, any gratuity for the
collection of Solid Waste, Recyclable Materials, or Organic Waste otherwise required to
be collected under this Agreement.
26.7 Amendments. Except as otherwise provided in this Agreement, no other
amendment of this Agreement shall be valid unless in writing duly executed by the
parties, approved by the City Council by written resolution. Purported oral amendments
shall be void and of no force or effect.
26.8 Notices. All notices required or permitted to be given under this
Agreement shall be in writing and shall be personally delivered or sent by telecopy or
United States certified mail, postage prepaid, return receipt requested, and by email,
addressed as follows:
To City:
City Manager
City of Rosemead
8838 E. Valley Blvd.
Rosemead, California
And by email to:
Copy to: Director of Public Works
City of Rosemead
8838 E. Valley Blvd.
Rosemead, California 91770
And by email to:
And to: City Attorney
City of Rosemead
Burke Williams & Sorensen LLP
91770
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444 South Flower Street, Suite 2400
Los Angeles, CA 90071-2953
And by email to: rrichman@bwslaw.com
And to: [CONTRACTOR]
And by email to: com
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 sent by email or telecopier or, if mailed, three (3) business
days from the date such notice is deposited in the United States mail.
26.9 Savings Clause and Entirety. If any non-material provision of this
Agreement for any reason shall 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 Agreement.
26.10 Transition to Next Solid Waste Enterprise. If, in the final 12 months of
the period during which Contractor is to provide collection services under this
Agreement, Contractor and City have not entered into a succeeding agreement,
Contractor shall cooperate fully with City and all prospective subsequent Solid Waste
enterprise(s), franchisee(s), licensee(s), permittee(s) or other persons seeking to
provide services similar to the services so as to assure an efficient, orderly, timely and
effective transition. In that regard, Contractor agrees to make available to City and to
prospective proposers, in any competitive process used by the City to select a
successor, route maps, customer lists, and all other records requested by City.
26.11 [Incorporation by Reference. Contractor's Proposal, dated
, and the Exhibits are incorporated into this Agreement by this
reference. Where Contractor's Proposal conflicts with this Agreement, this Agreement
shall prevail.]
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Table of Exhibits.
Exhibit A Multifamily and Commercial Recycling Program
Exhibit B Commercial Food Waste Program
Exhibit C City Service Locations
Exhibit D Recovery and Disposal Sites
Exhibit E Corporate Good Citizenship
Exhibit F Maximum Permitted Customer Rates
Exhibit G Residential Services
Exhibit H Commercial and Multi-Family Services
Exhibit I Equipment
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