Amended and Restated
Franchise Agreement for Solid Waste
Handling Services
January 22, 2025
2 Background
Initial Franchise Agreement for Solid Waste Handling Services Ø Term: August 1, 2014, through June 30, 2024.
Ø Includes: one (1) five-year extension based on performance and two (2) additional discretionary five –year extensions.
Approval of First Extension to Franchise Agreement
Ø February 22, 2023 - City Council approved the first five-year contract, extending the term of the Franchise Agreement through June 30, 2029.
SB 1383 Short-lived Climate Pollutants (SLCP)
Ø November 12, 2021- City adopted Ordinance 1184 – Regulating Mandatory Organic Waste Disposal Reduction in compliance with SB 1383 Organic Waste Reductions requirements.
3 Purpose of the Restated Agreement
Draft Amended and Restated Agreement
Ø Consolidate existing contract amendments.
Ø Update outdated and obsolete provisions.
Ø Clarify the Contractor’s Role and Responsibilities.
Ø Tailor service levels to enhance service based on community needs.
Ø Incorporate the negotiated terms between the City and Contractor.
Overview of Key Amendments
Term Updates
Ø Current Term: July 1, 2024, through June 30, 2029
Ø Extensions: Up to two (2) five-year extensions
§ First extension: Contingent on performance.
§ Second extension: At the City's sole discretion.
Ø Default/Breach Protection: No extensions if contractor defaults or fails to address deficiencies.
Overview of Key Amendments
Consumer Price Index Increase
Ø Increase from 80% to 100%, capped at 4%
Ø Set by the Bureau of Labor Statistics for the Los Angeles, Long Beach, and Anaheim County.
Ø Consider state mandate cost impacts:
§ SB 1383 for state program compliance, contamination monitoring, standardized bin colors, residential billing service, and customer service staffing.
Ø Competitive Rate Guarantee
§ Customer rates and the maximum rates will not exceed the average comparable rates for similar service in the five (5) other largest cities.
Summary of CPI Rates
CPI Rate
(100%)
CPI Max (80%) CPI Increase
FY 2020/21 3.129% 2.50% 0%
FY 2021/22 1.246% 1% 0%
FY 2022/23 4.924% 4% 0%
FY 2023/24 7.1% 4% 0%
FY 2024/25 3.071% 2.72% 2.72%
Tipping Fees increases are not Included in the above chart.
Ø Tipping Fees are charges assessed by landfills, transfer stations, or waste processing facilities to cities, solid waste haulers, or other entities for the disposal of solid waste.
Ø FY 2024/25 Residential Rate Adjustments increased to 9.17%. Nearly 3% were for CPI increase.
Overview of Key Amendments Continued
SB 1383 Compliance
Ø Mandatory Organics Recycling Program and bins.
§ Route-specific implementation plan (deadline January 1, 2036).
§ Approx. 150 exchanges/day, est. Completion by 2026.
Ø Delivery of free organics material for City events.
Container Type Non-Compliant Compliant Total
RSW (black) 16,680 5,665 22,345 RGF (green) 14,882 2,710 17,592 All 31,562 8,375 39,937
79% 21%
Overview of Key Amendments Continued
Bulky Item Collection
Eliminate illegal dumping, reduces curbside waste, and promotes esthetic appeal.
Ø Residential Customers: 2 additional pickups, for a total of up to 4 collection services/per year.
§ 2024: 3,366 bulky items collected (paid or free).
§ 2023: 3,958 bulky items collected (paid or free).
Ø Multi-Family Dwellings (new): Receive pickups based on 50% of unit count/per year.
Ø MFD Survey: 4 MFD HOAs participated in customer survey. § HOA and resident satisfaction with services and communications. § Residents are very aware of services through emails, flyers, and mailings.
Customer Service Enhancements
Transition of Residential Customer Service Billing
Ø Transition residential billing and customer service calls to Contractor, estimated completion by June 30, 2025.
Ø Improve customer experience with direct support.
Ø Provides for automated billing and payments.
Ø Customer service fee revenue share
Service Levels Restructuring
Ø New 3 Bins Minimum Service Level
§ Adds Mandatory Green/Organic bins for SFDs
Ø Two Standard Service Options
§ New option for 64-gallon Solid Waste bin
Ø Bin delivery upon Council approval.
Service Level Cart Configuration
Minimum Service
1 32-gallon Solid Waste
1 96-gallon Recycle (unlimited service)
1 96-gallon Green/Organics Waste (unlimited
service)
Standard Service-1
1 64-gallon Solid Waste
1 96-gallon Recycle (unlimited service)
1 96-gallon Green/Organics Waste
Standard Service-2
1 96-gallon Solid Waste
1 96-gallon Recycle (unlimited service)
1 96-gallon Green/Organics Waste
Hi Volume-Option 1
1 96-gallon Solid Waste
1 96-gallon Recycle (unlimited service)
2 96-gallon Green/Organics Waste
Hi Volume-Option 2
1 96-gallon and 1 64-gallon Solid Waste
1 96-gallon Recycle (unlimited service)
1 96-gallon Green/Organics Waste
10 Community Education and Outreach
What is the City doing?
Ø City Trash & Recycling webpage: cityofcamarillo.org/solidwaste Ø Residential Trash & Recycling Services Rates & Guidelines Handout Ø Annual Trash & Recycling Schedules
Ø Annual Rate Adjustment Fee Schedule
Ø Odds-N-Ends Guide
Ø Household Hazardous Waste Events Email List
Ø Billing inserts, news releases, and social media messaging What is EJH doing?
Ø Residential Trash Flash Newsletter
Ø Commercial Trash Flash Newsletter
Ø Trash, Recycling, and Yard/Food Waste Guidelines
Ø Local Ads on Holiday and special services
11 Next Steps
Ø In collaboration with EJH, staff will conduct a comprehensive community outreach campaign to inform residents and businesses about the changes in waste collection and recycling services and programs.
Ø Campaign will include direct communications, educational materials, and public engagement initiatives to ensure customers understand the new service requirements, the proper handling of organic waste, and the benefits of compliance with state mandates.
12 Recommendation
Authorize the City Manager to execute Agreement No. 2014-59L for Solid Waste Handling Services with E.J. Harrison & Sons, Inc. 13 Questions