AB CD E F
Row Cost Category
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL D) Index Source
1 Labor 26.250 27.040 3.0095% 25.000% 0.75% Note 10
2 Fuel 230.298 299. 30. 751 1577% 5.000% 1.51%
3 Equipment 153.450 156. 2. 743 1460% 20.000% 0.43%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 27.000% 1.56% 5 Total Collection Component 77.000% 4.247%
GH I J K L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
(COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
(COL J * COL K)
6 Refuse [FACILTY NAME] 14,643.4 $75.00 14,643.4 1,098,255 $78.75 1,153,168 7 Recycling [FACILITY NAME] 3,640.1 $90.00 327,609 3,640.1 $94.50 343,989 8 Organics [FACILITY NAME] 7,040.9 $90.00 633,681 7,040.9 $94.50 665,365 9 Unused - - -
10 Totals 25,324 $2,059,545 25,324 $2,162,522
11 Prior Period Index Value (G11 / I11) >> $81.3265 New Index Value (J11 / L11) >> $85.3928
MN O P Q
Row Cost Category
Previous
Index Value
(COL I, ROW
11)
New Index
Value
(COL K, ROW
11)
Percent
Change in
Index
(COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 81.3265 85. 5. 3928 0000% 23.00% 1.15%
RS TU V
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL R + COL S)
Maximum
5% any Rate
Year
(Next
Period
Carryover)
Total Permitted
Percentage Rate
Adjustment
(COL T - COL U)
13 Collection Component 4.2470%
14 Material Handling Component 1.1500%
15 Total 5.3970% 0.0000% 5.3970% 0.3970% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
W X T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
(W * X)
Cost
Component
Increased
(W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.9302%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0234%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8802%
19 Other (Except Material Handling) 27.0000% 1.5576% 0.4205% 27.421% 27.1398% 20 Material Handling Component 23.0000% 1.1500% 0.2645% 23.265% 23.0263% 21 Total 100.00% 5.40% 1.03% 101.03% 100.00%
STEP TWO: Calculate Material Handling Component Index
STEP ONE: Calculate Collection Component Percentage Change STEP THREE: Calculate Percentage Change in Weighted Material Handling Index STEP FOUR: Calculate the Permitted Percentage Rate Change City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - SFD Carts
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8) The "Gate Fees" values shall be the most current per ton rate charged at each facility. (9)
(10)
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportation Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee" values shall be the values from previous year's rate application.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period ending December 31st.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
Labor: Driver rates based on labor agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage" values shall be the values from previous year's rate application.
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL AA, ROWS 16-20.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
Post collection facilities planned for use under this agreement.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2B
Rate Adjustment Procedure - Bins
AB CDE F
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL
D) Index Source
1 Labor 26.250 27.040 3.0095% 25.000% 0.75% Note 10
2 Fuel 230.298 299. 30. 751 1577% 5.000% 1.51%
3 Equipment 153.450 156. 2. 743 1459% 20.000% 0.43%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 33.000% 1.90% 5 Total Collection Component 83.000% 4.593%
GH I JK L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
(COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
(COL J * COL K)
6 Refuse [FACILTY NAME] 7,662.1 $75.00 574,658 6,895.9 $78.75 543,051 7 Recycling [FACILITY NAME] 3,708.4 $90.00 333,756 3,708.4 $94.50 350,444 8 Organics [FACILITY NAME] $90.00 - 766.2 $94.50 72,407 9 Unused - - -
10 Totals 11,371 $908,414 11,371 $965,902
11 Prior Period Index Value (G11 / I11) >> $79.8921ew Index Value (J11 / L11) >> $84.9481 MN OPQ
Row Index
Previous
Index Value
(COL I, ROW
11)
New Index
Value
(COL K, ROW
11)
Percent
Change in
Index
(COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 79.8921 84. 6. 9481 3284% 17.00% 1.08%
R S TUV
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL R + COL S)
Maximum
5% any Rate
Year
(Next
Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL T - COL U)
13 Collection Component 4.5931%
14 Material Handling Component 1.0758%
15 Total 5.6690% 0.0000% 5.6690% 0.6690% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
W X T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
(W * X)
Cost
Component
Increased
(W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.8992%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0172%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8554%
19 Other (Except Material Handling) 33.0000% 1.9037% 0.6282% 33.628% 33.2425% 20 Material Handling Component 17.0000% 1.0758% 0.1829% 17.183% 16.9858% 21 Total 100.00% 5.67% 1.16% 101.16% 100.00%
STEP ONE: Calculate Collection Component Percentage Change STEP TWO: Calculate Material Handling Component Index
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index STEP FOUR: Calculate the Permitted Percentage Rate Change City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2B
Rate Adjustment Procedure - Bins
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8) The "Gate Fees" values shall be the most current per ton rate charged at each facility. (9)
(10)
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportatio For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
Labor: Driver rates based on labor agreement.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL AA, ROWS 16-20.
Post collection facilities planned for use under this agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage" values shall be the values from previous year's rate application.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee" values shall be the values from previous year's rate application.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period ending December 31st.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
A B C D EF
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL
D)
Index
Source
1 Labor 26.250 27.040 3.0095% 30.000% 0.90% Note 5
2 Fuel 230.298 299. 30. 751 1577% 6.000% 1.81%
3 Equipment 153.450 156. 2. 743 1459% 25.000% 0.54%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 39.000% 2.25% 5 Total Collection Component 100.000% 5.499%
GH I J K
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL G + COL
H)
Maximum 5%
any Rate Year
(Next Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL I - COL H)
6 Collection Component 5.4986% 0.0000% 5.4986% 0.4986% 5.0000%
LMN O P
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to Rate
Adjustment
Increase in
Cost
Components
(L * M)
Cost
Component
Increased
(L + N)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
7 Labor 30.0000% 0.9029% 0.2709% 30.271% 29.8556%
8 Fuel 6.0000% 1.8095% 0.1086% 6.109% 6.0248%
9 Equipment 25.0000% 0.5365% 0.1341% 25.134% 24.7893%
10 Other (Except Material Handling) 39.0000% 2.2498% 0.8774% 39.877% 39.3304% 11 Total 100.00% 5.50% 1.39% 101.39% 100.00%
(1)
(2)
(3)
(4)
(5) References to Indices are as follows:
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL P, ROWS 7-10.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
STEP ONE: Calculate Collection Component Percentage Change STEP TWO: Calculate the Permitted Percentage Rate Change For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
STEP Three: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
Labor: Driver rates based on labor agreement.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2D
Rate Adjustment Procedure - COther Rates
AB C D E F G
Row Index
Previous
Index
Value 1
New
Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL C + COL
D)
Maximum 5%
any Rate
Year
(Next Period
Caryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL E - COL F)
1 CPI 288.798 305.458 5.7687% 0.0000% 5.7687% 0.7687% 5.0000% (1)
(2)
(3)
(4)
STEP ONE: Calculate Percentage Change in Index
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value CPI CUURS49ASAL1E for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the index value from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the CPI CUURS49ASAL1E ending December of the prior year.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Index shall be the CPI CUURS49ASA0L1E All items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement EXHIBIT 2E
Example CalculaƟon for
Average Annual Change in Published Indices
Fuel Index
The fuel rate adjustment index is calculated using the “average annual change” as demonstrated in the example below, measured for the 12 months ending December prior to the Rate Year anniversary date compared to the 12 months ending December in the previous year. The Bureau of Labor StaƟsƟcs publishes the Producer Price Index for Fuels and Related Products and Power – Natural Gas. In the example below, the average annual index for the 12 months ended December 2022 of 299.7508 is entered in Column B, Row 2, “New Index Value,” of the example rate adjustment formula in Exhibit 2A, and the average annual index for the 12 months ended December 2021 of 230.2982 is entered in Column A, Row 2, “Previous Index Value” in Exhibit 2A. This would have resulted in a 30.1577% increase to the fuel component of rates as calculated in Column C, Row 2 of Exhibit 2A.
PPI Commodity Data
Series Id: WPU05522101
Not Seasonally Adjusted
Series Title: PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted
Group: Fuels and related products and power
Item: Commercial natural gas, Pacific
Base Date: 199012
Source: hƩps://data.bls.gov/Ɵmeseries/WPU05522101
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 2013 184.3000 185.4000 183.2000 187.5000 190.8000 189.7000 186.2000 184.3000 181.9000 183.6000 190.3000 189.3000 186.3750 2014 195.0000 202.2000 216.3000 209.1000 206.2000 201.6000 203.1000 197.1000 195.3000 191.4000 193.6000 198.3000 200.7667 2015 196.6000 189.8000 183.1000 175.0000 169.3000 173.6000 173.5000 174.9000 171.0000 170.4000 171.1000 171.1000 176.6167 2016 173.1000 171.4000 164.2000 163.2000 161.4000 161.7000 170.3000 176.5000 176.5000 178.5000 183.4000 184.5000 172.0583 2017 192.1000 190.7000 188.5000 188.8000 188.1000 190.2000 187.4000 187.3000 185.8000 184.8000 190.9000 194.0000 189.0500 2018 193.1000 201.0000 195.8000 190.5000 184.6000 183.7000 185.1000 188.9000 186.1000 185.1000 191.3000 203.0000 190.6833 2019 203.5000 199.7000 198.5000 193.8000 187.0000 186.6000 185.4000 188.5000 184.4000 185.6000 190.9000 193.4000 191.4417 2020 195.1000 191.2000 187.3000 180.7000 178.8000 180.7000 178.5000 181.4000 185.6000 184.8000 200.8000 202.2000 187.2583 2021 206.2000 208.3000 212.7000 213.9000 215.9000 222.1000 223.6250 232.5240 238.5540 254.8440 267.3180 267.6130 230.2982 2022 269.8120 267.5040 265.5180 273.0230 291.6530 317.0510 306.7300 321.1900 330.3090 317.9990 312.2300 323.9900 299.7508 2023 363.911(P) 318.226(P) 284.739(P) 260.845(P)
Percent Change in Index (299.7508 - 230.2982) / 230.2982 30.1577% EXHIBIT 2E
Example CalculaƟon for
Average Annual Change in Published Indices
Equipment Index
The PPI rate adjustment index is calculated using the “average annual change” as demonstrated in the example below, measured for the 12 months ending December prior to the Rate Year anniversary date compared to the 12 months ending December in the previous year.
In the example below, the average annual index for the 12 months ended December 2022 of 156.743 is entered in Column B, Row 3, “New Index Value,” of the example rate adjustment formula in Exhibit 2A, and the average annual index for the 12 months ended December 2021 of 153.45 is entered in Column A, Row 3, “Previous Index Value” in Exhibit 2A. This would have resulted in a 2.146% increase to the Other cost category of the rates as calculated in Column C, Row 3 of Exhibit 2A.
PPI Industry Data
Series Id: PCU33612-33612-
Series Title: PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted Industry: Heavy duty truck manufacturing
Product: Heavy duty truck manufacturing
Base Date: 200312
Source: hƩps://data.bls.gov/
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 2013 136.100 135.600 135.800 135.200 136.000 136.800 136.800 137.000 136.800 138.000 138.500 138.300 136.742 2014 138.800 139.300 139.200 139.100 139.100 139.100 139.400 139.100 139.400 139.600 139.700 139.600 139.283 2015 140.700 141.900 140.900 141.900 141.700 141.700 142.400 142.300 142.400 142.500 142.700 142.900 142.000 2016 144.300 144.200 144.300 144.600 144.800 144.600 144.800 144.600 145.200 145.000 145.200 145.400 144.750 2017 147.800 147.400 147.600 148.200 148.200 147.300 147.700 147.600 147.400 147.000 147.400 147.500 147.592 2018 147.600 148.700 148.500 148.500 148.800 148.800 150.300 149.200 150.300 150.300 150.300 150.300 149.300 2019 150.500 150.500 150.500 150.500 150.500 150.500 151.100 151.100 151.100 151.100 151.100 151.100 150.800 2020 151.800 151.800 151.800 151.800 151.800 151.800 152.600 152.600 152.600 152.700 152.700 152.900 152.242 2021 152.900 153.000 152.900 153.100 153.200 153.400 153.786 153.450 153.786 153.838 154.022 154.022 153.450 2022 154.646 154.701 154.701 154.701 156.845 157.527 157.683 157.546 157.743 158.147 158.232 158.446 156.743 2023 158.594 (P) 159.49(P) 159.491(P) 159.796(P)
Percent Change in Index (156.743 - 153.450) / 153.450 2.146% EXHIBIT 2E
Example CalculaƟon for
Average Annual Change in Published Indices
CPI Index
The CPI rate adjustment index is calculated using the “average annual change” as demonstrated in the example below, measured for the 12 months ending December prior to the Rate Year anniversary date compared to the 12 months ending December in the previous year.
In the example below, the average annual index for the 12 months ended December 2022 of 305.458 is entered in Column B, Row 4, “New Index Value,” of the example rate adjustment formula in Exhibit 2A, and the average annual index for the 12 months ended December 2021 of 288.798 is entered in Column A, Row 4, “Previous Index Value” in Exhibit 2A. This would have resulted in a 5.7987% increase to the Other cost category of the rates as calculated in Column C, Row 4 of Exhibit 2A.
CPI for All Urban Consumers (CPI-U)
Series Id: CUURS49ASA0L1E
Not Seasonally Adjusted
Series Title: All items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted
Area: Los Angeles-Long Beach-Anaheim, CA
Item: All items less food and energy
Base Period: 1982-84=100
Source: hƩps://data.bls.gov/Ɵmeseries/CUURS49ASA0L1E
Year Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Annual 2013 236.321 237.113 236.585 236.908 237.043 236.819 237.591 236.625 237.654 238.825 238.064 237.852 237.283 2014 239.084 240.322 239.908 240.507 240.366 240.460 241.574 240.981 242.016 242.360 241.842 241.491 240.909 2015 242.003 243.957 242.806 244.138 244.800 245.236 245.896 245.394 246.488 247.539 248.120 248.140 245.376 2016 249.652 251.438 251.059 251.672 253.179 253.074 253.775 253.042 253.898 254.388 253.711 253.882 252.731 2017 256.209 257.903 257.518 258.472 258.872 258.924 260.698 260.020 261.277 262.829 262.656 262.960 259.862 2018 264.641 267.434 266.332 267.945 268.532 268.094 268.939 268.484 271.259 271.982 271.552 270.898 268.841 2019 273.579 274.954 273.716 276.185 276.421 277.384 278.131 277.590 278.935 279.732 279.781 278.812 277.102 2020 281.022 280.815 282.124 280.885 281.340 282.329 283.752 283.839 282.712 283.055 283.873 282.907 282.388 2021 282.846 283.389 282.860 286.255 287.323 288.958 290.327 290.279 291.056 292.702 294.154 295.428 288.798 2022 298.501 300.952 299.588 302.803 304.024 306.206 308.463 306.958 309.292 310.310 309.578 308.824 305.458 2023 312.000 313.828 313.159 316.523
Percent Change in Index (305.458 - 288.798) / 288.798 5.7687% EXHIBIT 6
CORPORATE GUARANTY
Guaranty
THIS GUARANTY (the “Guaranty) is given as of the ___ day of ___________, 2022.
THIS GUARANTY is made with reference to the following facts and circumstances:
A. ______________________, hereinaŌer (“Owner”) is a _______________________ organized under the laws of the State of ___________, which is wholly owned by _______________________. (Guarantor).
B. Owner and the City have negoƟated an Agreement for CollecƟon, processing, and Disposal of Solid Waste dated as of __________ ____, (hereinaŌer “Agreement”). A copy of this Agreement is aƩached hereto.
C. It is a requirement of the Agreement, and a condiƟon to the City entering into the Agreement, that Guarantor guaranty Owner’s performance of the Agreement.
D. Guarantor is providing this Guaranty to induce the City to enter into the Agreement.
NOW, THEREFORE, in consideraƟon of the foregoing, Guarantor agrees as follows:
1. Guaranty of the Agreement. Guarantor hereby irrevocably and uncondiƟonally guarantees to the City the complete and Ɵmely performance, saƟsfacƟon and observaƟon by Owner of each and every term and condiƟon of the Agreement which Owner is required to perform, saƟsfy or observe. In the event that Owner fails to perform, saƟsfy or observe any of the terms and condiƟons of the Agreement, Guarantor will promptly and fully perform, saƟsfy or observe them in the place of the Owner or cause them to be performed, saƟsfied or observed. Guarantor hereby guarantees payment to the City of any damages, costs or expenses which might become recoverable by the City from Owner due to its breach of the Agreement.
2. Guarantor’s ObligaƟons Are Absolute. The obligaƟons of the Guarantor hereunder are direct, immediate, absolute, conƟnuing, uncondiƟonal and unlimited, and with respect to any payment obligaƟon of Owner under the Agreement, shall consƟtute a guarantee of payment and not of collecƟon, and are not condiƟonal upon the genuineness, validity, regularity or enforceability of the Agreement. In any acƟon brought against the Guarantor to enforce, or for damages for breach of, its obligaƟons hereunder, the Guarantor shall be enƟtled to all defenses, if any, that would be available to the Owner in EXHIBIT 6
CORPORATE GUARANTY
an acƟon to enforce, or for damages for breach of, the Agreement (other than discharge of, or stay of proceedings to enforce, obligaƟons under the Agreement under bankruptcy law).
3. Waivers. Except as provided herein the Guarantor shall have no right to terminate this Guaranty or to be released, relieved, exonerated or discharged from its obligaƟons under it for any reason whatsoever, including, without limitaƟon: (1) the insolvency, bankruptcy, reorganizaƟon or cessaƟon of existence of the Owner; (2) the actual or purported rejecƟon by a trustee in bankruptcy of the Agreement, or any limitaƟon on any claim in bankruptcy resulƟng from the actual or purported terminaƟon of the Agreement; (3) any waiver with respect to any of the obligaƟons of the Agreement guaranteed hereunder or the impairment or suspension of any of the City’s rights or remedies against the Owner; or (4) any merger or consolidaƟon of the Owner with any other corporaƟon, or any sale, lease or transfer of any or all the assets of the Owner. Without limiƟng the generality of the foregoing, Guarantor hereby waives the rights and benefits under California Civil Code SecƟon 2819.
The Guarantor hereby waives any and all benefits and defenses under California Civil Code SecƟon 2846, 2849, and 2850, including without limitaƟon, the right to require the City to (a) proceed against Owner, (b) proceed against or exhaust any security or collateral the City may hold now or hereaŌer hold, or (c) pursue any other right or remedy for Guarantor’s benefit, and agrees that the City may proceed against Guarantor for the obligaƟons guaranteed herein without taking any acƟon against Owner or any other guarantor or pledgor and without proceeding against or exhausƟng any security or collateral the City may hold now or hereaŌer hold. City may unqualifiedly exercise in its sole discreƟon any or all rights and remedies available to it against Owner or any other guarantor or pledgor without impairing the City’s rights and remedies in enforcing this Guaranty.
The Guarantor hereby waives and agrees to waive at any future Ɵme at the request of the City to the extent now or then permiƩed by Applicable Law, any and all rights which the Guarantor may have or which at any Ɵme hereaŌer may be conferred upon it, by statute, regulaƟon or otherwise, to avoid any of its obligaƟons under, or to terminate, cancel, quit or surrender this Guaranty. Without limiƟng the generality of the foregoing, it is agreed that the occurrence of any one or more of the following shall not affect the liability of the Guarantor hereunder: (a) at any Ɵme or from Ɵme to Ɵme, without noƟce the Guarantor, performance or compliance herewith is waived; (b) any other of any provision of its Agreement indemnificaƟon with respect to Owner’s obligaƟons under the Agreement or any security EXHIBIT 6
CORPORATE GUARANTY
therefore is released or exchanged in whole or in part or otherwise dealt with; or (c) any assignment of the Agreement is effected which does not require the City’s approval.
The Guarantor hereby expressly waives diligence, presentment, demand for payment or performance, protest and all noƟces whatsoever, including, but not limited to, noƟces of non-payment or nonperformance, noƟces of protest, noƟces of any breach or default, and noƟces of acceptance of this Guaranty. If all or any porƟon of the obligaƟons guaranteed hereunder are paid or performed, Guarantor’s obligaƟons hereunder shall conƟnue and remain in full force and effect in the event that all or any part of such payment or performance is avoided or recovered directly or indirectly from the City as a preference, fraudulent transfer or otherwise, irrespecƟve of (a) any noƟce of revocaƟon given by Guarantor or Owner prior to such avoidance or recovery, and (b) payment in full of any obligaƟons then outstanding.
4. Term. This Guaranty is not limited to any period of Ɵme, but shall conƟnue in full force and effect unƟl all of the terms and condiƟons of the Agreement have been fully performed or otherwise discharged and Guarantor shall remain fully responsible under this Guaranty without regard to the acceptance by the City of any performance bond or other collateral to assure the performance of Owner’s obligaƟons under the Agreement. Guarantor shall not be released of its obligaƟons hereunder so long as there is any claim by the City against Owner arising out of the Agreement based on Owner’s failure to perform which has not been seƩled or discharged.
5. No Waivers. No delay on the part of the City in exercising any rights under this Guaranty or failure to exercise such rights shall operate as a waiver of such rights. No noƟce to or demand on Guarantor shall be a waiver of any obligaƟon of Guarantor or right of the City to take other or further acƟon without noƟce or demand. No modificaƟon or waiver of any of the provisions of this Guaranty shall be effecƟve unless it is in wriƟng and signed by the City and by Guarantor, nor shall any waiver be effecƟve except in the specific instance or maƩer for which it is given.
6. AƩorney’s Fees. In addiƟon to the amounts guaranteed under this Guaranty, Guarantor agrees in the event of Guaranty’s breach of its obligaƟons to pay reasonable aƩorney’s fees and all other reasonable costs and expenses incurred by the City in enforcing this Guaranty, or in any acƟon or proceeding arising out of or relaƟng to this Guaranty, including any acƟon insƟtuted to determine the respecƟve rights and obligaƟons of the parƟes hereunder.
EXHIBIT 6
CORPORATE GUARANTY
7. Governing Law: JurisdicƟon. This Guaranty is and shall be deemed to be a contract entered into in and pursuant to the laws of the State of California and shall be governed and construed in accordance with the laws of California without regard to its conflicts of laws, rules for all purposes including, but not limited to, maƩers of construcƟon, validity and performance. Guarantor agrees that any acƟon brought by the City to enforce this Guaranty may be brought in any court of the State of California and Guarantor consents to personal jurisdicƟon over it by such courts. Guarantor appoints the following person as its agents for service of process in California:
___________
___________
___________
___________
With a copy by cerƟfied mail to:
___________
___________
___________
___________
8. Severability. If any porƟon of this Guaranty is held to be invalid or unenforceable, such invalidity will have not have an effect upon the remaining porƟons of this Guaranty, which shall be severable and conƟnue in full force and effect.
9. Binding On Successors. This Guaranty shall inure to the benefit of the City and its successors and shall be binding upon Guarantor and its successors, including transferee(s) of substanƟally all of its assets and its shareholder(s) in the event of its dissoluƟon or insolvency.
10. Authority. Guarantor represents and warrants that it has the corporate power and authority to give this Guaranty, that its execuƟon of this Guaranty has been authorized by all necessary acƟon under its ArƟcle of IncorporaƟon and By-Laws, and that the person signing this Guaranty on its behalf has the authority to do so.
11. NoƟces. NoƟce shall be given in wriƟng, deposited in the U.S. mail, registered or cerƟfied, first class postage prepaid, addressed as follows:
To the City: City Manager
EXHIBIT 6
CORPORATE GUARANTY
City of Diamond Bar
21810 Copley Driver
Diamond Bar, CA 91765
with a copy to the City Counsel at the same address.
To the Guarantor: ___________
___________
___________
___________
___________
___________
___________
___________
By: ______________________
(Ɵtle)
By: ______________________
(Ɵtle)
EXHIBIT 7
CONTRACTOR’S FAITHFUL PERFORMANCE BOND
Guaranty
KNOW ALL MEN BY THESE PRESENTS:
That , a California , as PRINCIPAL, and ,
a CorporaƟon organized and doing business by
virtue of the laws of the State of California, and duly licensed for the purpose of making, guaranteeing, or becoming sole surety upon bonds or undertakings required or authorized by the laws of the State of California, as SURETY, are held and firmly bound to City, hereinaŌer called OBLIGEE, in the penal sum of one-hundred twenty-five thousand dollars ($125,000) lawful money of the United States, for the payment of which, well and truly to be made, we and each of us hereby bind ourselves, and our and each of our heirs, executors, administrators, successors, and assigns, jointly and severally, firmly by these presents.
NOW, THEREFORE, THE CONDITION OF THIS OBLIGATION IS SUCH THAT:
WHEREAS, the above bounden PRINCIPAL has entered into a contract, enƟtled "SOLID WASTE SERVICE FOR THE CITY OF DIAMOND BAR" with City, to do and perform the following work, to wit: Collect, Process and Dispose of Solid Waste generated within City, in accordance with the contract.
NOW, THEREFORE, if the above bounden PRINCIPAL shall well and truly perform, or cause to be performed each and all of the requirements and obligaƟons of said contract to be performed by said PRINCIPAL, as in said contract set forth, then this BOND shall be null and void; otherwise it will remain in full force and effect.
And the said Surety, for value received hereby sƟpulates and agrees that no change, extension of Ɵme, alteraƟon or addiƟon to the terms of the contract or to the work to be performed thereunder or the specificaƟons accompanying the same shall in any wise affect its obligaƟons on this BOND, and it does hereby waive noƟce of any such change, extension of Ɵme, alteraƟon or addiƟon to the terms of the contract or to the work or to the specificaƟons.
EXHIBIT 7
CONTRACTOR’S FAITHFUL PERFORMANCE BOND
In the event suit is brought by OBLIGEE to enforce the provisions of this bond, said Surety will pay to OBLIGEE a reasonable aƩorney’s fee, plus costs of suit, in an amount to be fixed by the court.
IN WITNESS WHEREOF, said PRINCIPAL and said SURETY have caused these presents to be duly signed and sealed this DAY OF 20 .
a California CorporaƟon SURETY
By: By:
(PRINCIPAL) (ATTORNEY IN FACT)
(SEAL) (SEAL)
Exhibit 2A
Rate Adjustment Procedure - SFD Carts
AB CD E F
Row Cost Category
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL D) Index Source
1 Labor 26.250 27.040 3.0095% 25.000% 0.75% Note 10
2 Fuel 230.298 299. 30. 751 1577% 5.000% 1.51%
3 Equipment 153.450 156. 2. 743 1460% 20.000% 0.43%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 27.000% 1.56% 5 Total Collection Component 77.000% 4.247%
GH I J K L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
(COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
(COL J * COL K)
6 Refuse [FACILTY NAME] 14,643.4 $75.00 14,643.4 1,098,255 $78.75 1,153,168 7 Recycling [FACILITY NAME] 3,640.1 $90.00 327,609 3,640.1 $94.50 343,989 8 Organics [FACILITY NAME] 7,040.9 $90.00 633,681 7,040.9 $94.50 665,365 9 Unused - - -
10 Totals 25,324 $2,059,545 25,324 $2,162,522
11 Prior Period Index Value (G11 / I11) >> $81.3265 New Index Value (J11 / L11) >> $85.3928
MN O P Q
Row Cost Category
Previous
Index Value
(COL I, ROW
11)
New Index
Value
(COL K, ROW
11)
Percent
Change in
Index
(COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 81.3265 85. 5. 3928 0000% 23.00% 1.15%
RS TU V
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL R + COL S)
Maximum
5% any Rate
Year
(Next
Period
Carryover)
Total Permitted
Percentage Rate
Adjustment
(COL T - COL U)
13 Collection Component 4.2470%
14 Material Handling Component 1.1500%
15 Total 5.3970% 0.0000% 5.3970% 0.3970% 5.0000%
W X T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
(W * X)
Cost
Component
Increased
(W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.9302%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0234%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8802%
19 Other (Except Material Handling) 27.0000% 1.5576% 0.4205% 27.421% 27.1398% 20 Material Handling Component 23.0000% 1.1500% 0.2645% 23.265% 23.0263% 21 Total 100.00% 5.40% 1.03% 101.03% 100.00%
STEP TWO: Calculate Material Handling Component Index
STEP ONE: Calculate Collection Component Percentage Change STEP THREE: Calculate Percentage Change in Weighted Material Handling Index STEP FOUR: Calculate the Permitted Percentage Rate Change STEP FIVE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - SFD Carts
AB AC AD AE
Row Rate Category Current Rate
Permitted
Percentage
Change (from
Row 15
Column V)
Rate Increase
or Decrease
(Column AB x
Column AC)
Adjusted
Rate
(Column AB
+ Column
AD)
22 25.00 $ 5.0000% 1.25 26.25 $
23 25.00 $ 5.0000% 1.25 26.25 $
24 25.00 $ 5.0000% 1.25 26.25 $
STEP SIX: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - SFD Carts
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8) The "Gate Fees" values shall be the most current per ton rate charged at each facility. (9)
(10)
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportation Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee" values shall be the values from previous year's rate application.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period ending December 31st.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
Post collection facilities planned for use under this agreement.
Labor: Driver rates based on labor agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on Contractor's Proposal.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage" values shall be the values from previous year's rate application.
For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL AA, ROWS 16-20.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2B
Rate Adjustment Procedure - Bins
AB CDE F
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL
D) Index Source
1 Labor 26.250 27.040 3.0095% 25.000% 0.75% Note 10
2 Fuel 230.298 299. 30. 751 1577% 5.000% 1.51%
3 Equipment 153.450 156. 2. 743 1459% 20.000% 0.43%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 33.000% 1.90% 5 Total Collection Component 83.000% 4.593%
GH I JK L
Row Facilities 4
Prior Period
Tonnage 5
Prior Period
Gate Fees 6
Prior Period
Material
Handling Cost
(COL G * COL
H)
12 Month
Period
Ending
December
Tonnage 7
Gate Fees
Effective
December 8
Estimated
Material
Handling Cost
(COL J * COL K)
6 Refuse [FACILTY NAME] 7,662.1 $75.00 574,658 6,895.9 $78.75 543,051 7 Recycling [FACILITY NAME] 3,708.4 $90.00 333,756 3,708.4 $94.50 350,444 8 Organics [FACILITY NAME] $90.00 - 766.2 $94.50 72,407 9 Unused - - -
10 Totals 11,371 $908,414 11,371 $965,902
11 Prior Period Index Value (G11 / I11) >> $79.8921ew Index Value (J11 / L11) >> $84.9481 MN OPQ
Row Index
Previous
Index Value
(COL I, ROW
11)
New Index
Value
(COL K, ROW
11)
Percent
Change in
Index
(COL N - COL
M) / COL M
Component
Weighting 3
Weighted
Percentage
Change
12 Material Handling Component 79.8921 84. 6. 9481 3284% 17.00% 1.08%
R S TUV
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL R + COL S)
Maximum
5% any Rate
Year
(Next
Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL T - COL U)
13 Collection Component 4.5931%
14 Material Handling Component 1.0758%
15 Total 5.6690% 0.0000% 5.6690% 0.6690% 5.0000%
STEP Five: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation
W X T Z AA
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to
Rate
Adjustment
Increase in
Cost
Components
(W * X)
Cost
Component
Increased
(W + T)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
16 Labor 25.0000% 0.7524% 0.1881% 25.188% 24.8992%
17 Fuel 5.0000% 1.5079% 0.0754% 5.075% 5.0172%
18 Equipment 20.0000% 0.4292% 0.0858% 20.086% 19.8554%
19 Other (Except Material Handling) 33.0000% 1.9037% 0.6282% 33.628% 33.2425% 20 Material Handling Component 17.0000% 1.0758% 0.1829% 17.183% 16.9858% 21 Total 100.00% 5.67% 1.16% 101.16% 100.00%
STEP ONE: Calculate Collection Component Percentage Change STEP TWO: Calculate Material Handling Component Index
STEP THREE: Calculate Percentage Change in Weighted Material Handling Index STEP FOUR: Calculate the Permitted Percentage Rate Change City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2B
Rate Adjustment Procedure - Bins
AB AC AD AE
Row Rate Category Current Rate
Permitted
Percentage
Change (from
Row 15
Column V)
Rate Increase
or Decrease
(Column AB x
Column AC)
Adjusted
Rate
(Column AB
+ Column
AD)
22 200.00 $ 5.0000% 10.00 $ 210.00
23 200.00 $ 5.0000% 10.00 $ 210.00
24 200.00 $ 5.0000% 10.00 $ 210.00
STEP SIX: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2B
Rate Adjustment Procedure - Bins
(1)
(2)
(3)
(4)
(5)
(6)
(7)
(8) The "Gate Fees" values shall be the most current per ton rate charged at each facility. (9)
(10)
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
Note: For Contractor owned facilities, Gate fees will be negotiated based on an index for disposal and transportatio For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
Labor: Driver rates based on labor agreement.
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL AA, ROWS 16-20.
Post collection facilities planned for use under this agreement.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Tonnage" values will be set based on Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Tonnage" values shall be the values from previous year's rate application.
For Rate Year July 1, 2026 rate adjustment application, the "Prior Period Gate Fee" values will be set based on Contractor's Proposal.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Prior Period Gate Fee" values shall be the values from previous year's rate application.
The Tonnage for each facility shall be the total tons delivered to the facility for the previous 12 month period ending December 31st.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
References to Indices are as follows:
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
A B C D EF
Row Index
Previous
Index Value 1
New Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Component
Weighting 3
Weighted
Percentage
Change
(COL C * COL
D)
Index
Source
1 Labor 26.250 27.040 3.0095% 30.000% 0.90% Note 5
2 Fuel 230.298 299. 30. 751 1577% 6.000% 1.81%
3 Equipment 153.450 156. 2. 743 1459% 25.000% 0.54%
4 Other (Except Material Handling) 288.798 305. 5. 458 7687% 39.000% 2.25% 5 Total Collection Component 100.000% 5.499%
GH I J K
Row Cost Component
This Period
Percentage
Rate
Adjustment
Allowed Carry
Over Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL G + COL
H)
Maximum 5%
any Rate Year
(Next Period
Carryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL I - COL H)
6 Collection Component 5.4986% 0.0000% 5.4986% 0.4986% 5.0000%
LMN O P
Row Cost Component
Component
Weighting
This Period
Percentage
Change as
Applied to Rate
Adjustment
Increase in
Cost
Components
(L * M)
Cost
Component
Increased
(L + N)
Cost
Components
Reweighted to
Equal 100% for
Future
Adjustments
7 Labor 30.0000% 0.9029% 0.2709% 30.271% 29.8556%
8 Fuel 6.0000% 1.8095% 0.1086% 6.109% 6.0248%
9 Equipment 25.0000% 0.5365% 0.1341% 25.134% 24.7893%
10 Other (Except Material Handling) 39.0000% 2.2498% 0.8774% 39.877% 39.3304% 11 Total 100.00% 5.50% 1.39% 101.39% 100.00%
QR S T
Row Rate Category Current Rate
Total Weighted
Percentage
Change (from
Row 6 Column
K)
Rate Increase
or Decrease
(Column Q x
Column R)
Adjusted Rate
(Column Q +
Column S)
12 225.00 $ 5.0000% 11.25 $ 236.25
13 225.00 $ 5.0000% 11.25 $ 236.25
14 225.00 $ 5.0000% 11.25 $ 236.25
(1)
(2)
(3)
The "New Index Value" shall be the annual average value of the indices ending December of the prior year.
For Rate Year July 1, 2026 rate adjustment application, "Component Weighting" shall be based on Contractor's For Subsequent rate adjustment applications beginning with Rate Year July 1, 2027, "Component Weightings" shall be as calculated in COL P, ROWS 7-10.
STEP ONE: Calculate Collection Component Percentage Change STEP TWO: Calculate the Permitted Percentage Rate Change For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value of the indices for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the indices values from the previous year's rate adjustment application.
STEP THREE: Calculate the Cost Components Weighting for Future Rate Adjustment Calculation STEP FOUR: Calculate the Adjusted Rate
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2A
Rate Adjustment Procedure - Roll-Offs
(4)
(5) References to Indices are as follows:
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Equipment: PCU33612-33612-PPI industry data for Heavy duty truck manufacturing, not seasonally adjusted.
All Other: CUURS49ASA0L1EAll items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
Labor: Driver rates based on labor agreement.
Fuel: WPU05522101PPI Commodity data for Fuels and related products and power-Commercial natural gas, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement Exhibit 2D
Rate Adjustment Procedure - COther Rates
AB C D E F G
Row Index
Previous
Index
Value 1
New
Index
Value 2
Percent
Change in
Index (COL B -
COL A) / COL A
Allowed
Carry Over
Prior
Period(s)
Total Allowed
Percentage
Rate
Adjustment
(COL C + COL
D)
Maximum 5%
any Rate
Year
(Next Period
Caryover)
Total
Permitted
Percentage
Rate
Adjustment
(COL E - COL F)
1 CPI 288.798 305.458 5.7687% 0.0000% 5.7687% 0.7687% 5.0000% (1)
(2)
(3)
(4)
STEP ONE: Calculate Percentage Change in Index
For Rate Year July 1, 2026 rate adjustment application, the "Previous Index Value" shall be the annual average value CPI CUURS49ASAL1E for the year ending December 2025.
For subsequent rate adjustment applications beginning with Rate Year July 1, 2027, the "Previous Index Value" shall be the index value from the previous year's rate adjustment application.
The "New Index Value" shall be the annual average value of the CPI CUURS49ASAL1E ending December of the prior year.
Rate increases are limited to no more than 5% per year with a carryover allowance for any amount over 5%.
Index shall be the CPI CUURS49ASA0L1E All items less food and energy in Los Angeles-Long Beach-Anaheim, CA, all urban consumers, not seasonally adjusted.
City of Diamond Bar Solid Waste Services Franchise Agreement Subject: Diamond Bar Addendum #2
From: Enrique Vazquez <[email protected]>
Date: 7/20/2023, 5:35 PM
To: "Quiroa, Lily" <[email protected]>, David Perez <[email protected]>, Jesse Quintana <[email protected]>
CC: 'Alfa Lopez' <[email protected]>
Lily Quiroa,
David Perez,
AƩached is Addendum #2 consisƟng of responses to quesƟons submiƩed as of July 10, 2023.
Please acknowledge receipt.
Best regards,
--
Enrique Vazquez
Sloan Vazquez McAfee
626-347-3226
www.sloanvazquez.com
AƩachments:
DB RFP Addendum #2.pdf 377 KB
AƩachment A..pdf 1.0 MB
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REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
ADDENDUM #2
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
[email protected] · www.sloanvazquez.com
Contact: Enrique Vazquez
[email protected]
626-347-3226
July 20, 2023
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 2
This addendum #2 to the RFP for Solid Waste Services consists of answers to questions submitted by proposers as of July 10, 2023, the deadline to submit questions. Note that the City has attempted to provide all information available by answering these questions.
For questions that consisted primarily of requests to modify the language of the draft agreement, you are reminded that the process is to submit substitute language with your proposals for the City’s consideration. This step in the process is for questions and answers and not for negotiating.
Negotiations will be limited to sections identified by proposers and for which substitute language is provided.
For questions with a response of “Under Review”, the City will attempt to respond to these prior to the proposal due date but is not obligated to do so. Proposers are reminded to prepare their proposal without further answers to the questions already provided. And also include these questions in your proposals along with substitute language.
Although the deadline to submit questions has expired, you are welcome to contact Enrique Vazquez through [email protected] or at 626-347-3226 with any technical questions regarding the worksheets. Also, if there are questions that arise during the preparation of the proposals, you may submit additional questions and every attempt will be made to respond to them. However, there is no guarantee that further questions will be answered. Proposer must continue the preparation of their proposals with the information provided thus far.
RESPONSES TO QUESTIONS
Question #1:
There is subscription service for Commercial but there is none for Residential. Just confirming that Attachment 6 Residential service count is accurate. Need senior subscription information.
Response:
Proposers are to use the residential service subscription counts that are included in Attachment 6 Form
2.1 SFD. These service counts will be used to estimate the total revenue requirement of each proposal.
The City does not have a breakdown of cart size for the 3,425 senior subscription count. For the purpose of this RFP, it will be assumed that the 3,425 senior subscriptions are for 64-Gallon cart size.
Note: Footnote #1 incorrectly states 3,325 senior discounted accounts. This should be 3,425.
The subscription counts for commercial service included in Attachment 6 Form 2.2 Commercial Rates represent the best-known subscription information available to the City. Each proposer must provide their own projection of subscription levels based on their own assumptions used for the preparation of their own proposal.
As stated in the RFP, each proposer should take whatever steps it believes are necessary to determine the actual service requirements of the City and understand service conditions when preparing a proposal.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 3
Question #2:
Please clarify why there are two rates. Additionally, there does not appear to be counts for 2A.? Response:
Rate schedule Exhibit 2A is transitional and will not be required at the start of the new agreement.
Please note that under the new agreement rates for muti-family of five or less units with cart service will be equivalent to the SFD rates and rates for multi-family dwellings of more than five will be equivalent to the Commercial cart rates. The 2023/24 rate schedule for both residential and commercial services is included at Attachment A.
Question #3:
Regarding Curbside Used Oil and Oil Filter Collection and Door-to-Door HHW.
Handling hazardous materials of both types is not recommended especially oil in containers that may break and spill onto public property. HHW is also not recommended. Residents can be given free HHW cleanup event information sponsored by the County of Los Angeles.
In the event City still requests this service, what collection history is available for this service? Response:
The City is requesting Door-to-Door HHW Service, Curbside Used Oil and Filter Collection, and assistance to the City in increasing awareness of Household Hazardous Waste events by promoting the Los Angeles County Household Hazardous Waste collections held in Diamond Bar.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 4
The following data was provided by the existing hauler for 2022.
Waste Oil: 16 gallons
Oil Filters: Zero
At Your Door Program: 0.73 tons of trash; 9.35 Tons Recycled E-Waste 16.6 Tons
Question #4:
Regarding the CalRecycle Compliance Fee, there may be an uneven allocation of this amount. Not sure if there is a forecasted level of activity in each sector to allocated this cost.
CALRECYCLE Compliance Fee: Contractor shall pay to the City a CalRecycle Compliance Fee of SevenHundred Fifty Thousand Dollars ($750,000) adjusted annually as described in draft Agreement Section
9.2 and 9.7. The CalRecycle Compliance Fee amount represents a reasonable allocation of the City’s budgeted costs to comply with State mandates resulting from the enactment of AB 939 and subsequent related legislation including, but not limited to: AB 2176 (Chapter 879, Statutes of 2004), SB 1016 (Chapter 343, Statutes of 2008), AB 341 (Chapter 476, Statutes of 2011), AB 1826 (Chapter 727, Statutes of 2014), and SB 1383 (Chapter 395, Statutes of 2016) which require jurisdictions to implement solids waste Collection programs, meet Processing facility requirements, conduct contamination monitoring, provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and fulfill other requirements. Should the City issue separate franchises for Residential and Commercial services, each franchisee shall pay a minimum CalRecycle fee of Three-Hundred Seventy-Five Thousand Dollars ($375,000).
Response:
The AB 939 Fee were allocated based on historical proportionate payments of AB 939 Fees by the haulers.
Question #5:
Regarding the Bin Pushout Service, there needs to be a distance limit.
Response:
Proposer must prepare their proposal based on the requirements specified in the RFP. Proposers may submit alternative proposals for the City’s consideration, however the City is under no obligation to review or consider any alternative proposal submitted.
Question #6:
Previous says no additional charge.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 5
Regarding charges for additional services, the Contractor’s proposed rate schedule shall include all charges for special services, including but not limited to:
x Additional carts.
x Scout service.
x Locking bins.
x Pulling or pushing containers to a collection vehicle. x Steam cleaning containers (excluding carts) more frequently than one time per year as requested by the customer.
x Additional bulky item collection services.
Response:
Pulling or pushing containers to a collection vehicle shall be provided at no additional charge. Proposers may offer rates for any ancillary services that are not specifically listed or disallowed in the RFP or the draft agreement.
Question #7:
Regarding rate adjustments procedures, the labor category assumes there is a Labor Agreement such as with unions. Need to modify for non union.
Response:
Noted.
Question #8:
Draft Agreement call for a ten year contract with a 24 month extension. Would the City consider a 5 year extension or a rolling term? With the additional investment required for regulation(s) compliance most contracts awarded in the Southern California area are acknowledging that challenge and opting for longer terms or longer and multiple extensions.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #9:
RFP states: When language differs between the RFP Sections and the draft agreement (Attachment 1), please confirm that the language of the draft agreement prevails.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 6
Response:
For clarification, the statement in RFP Section 1, Page 1 which states, “If there are differences between this RFP and the Agreement, the terms and conditions in the Agreement shall prevail” was intended to mean differences between the RFP and the final agreement. Should proposers find differences or during the proposal preparation process, those should be identified for further clarification.
Question #10:
Will the City please revise Attachment 6 to the RFP (for all three lines of business) to limit the disclosure requirements of the Rate Proposal Forms or clarify that proposers are not required to provide any information that contains protected intellectual property, confidential information, or proprietary information? The information requested in Attachment 6 to the RFP (for each line of business) includes information that is unrelated to this RFP or the services, as well as protected proprietary information. By way of example only, the information requested includes profit assumptions, direct and indirect wage and compensation related to Contractor’s employees, costs and expenses related rent, utilities, telephone, information technology, office supplies, bad debt, accounting, legal, public outreach, and payments to the City (other than franchise fees). The requested information is excessive and is not typically requested in an RFP bidding process and does not have bearing on responses by proposers.
Response:
The information requested is specifically related to the proposed services requested in the RFP. It is common for this information to be requested and based on SVM’s experience managing solid waste procurement for municipalities, this is information has always been provided. Personal information is not being requested. For Equipment R&M and allocated costs, proposers may enter lump sums instead of itemizing each cost. The cost information is needed to evaluate the reasonability of the rate proposal.
Question #11:
Agreement Section 1.1, Section 14.5, Section 14.6. Will the City revise these sections to permit an assignment by Contractor to an affiliate having the same corporate parent entity? Transfer of Contractor’s obligations to a subsidiary or sister company will have no effect on the quality or timing of services provided.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 7
Question #12:
Section 1.30. Will the City please add Excluded Waste to the definition of Container Contamination for clarity? This section includes “non-Solid Waste items” but doesn’t specify that Excluded Waste is prohibited.
Response:
The City is agreeable to adding Excluded Waste. Nevertheless, please provide proposed substitute language as required under Section 5 of the RFP.
Question #13:
Section 1.59. As drafted the definition of Organic Waste is overly broad and includes material that is not acceptable for processing by the applicable facilities. In addition, some of the products defined here are treated as solid waste (e.g. organic textiles and carpets) or recyclables (e.g. paper products, and printing and writing paper). Will the City revise this section accordingly or confirm that it will discuss reasonable revision to this definition in negotiations to correctly allocate these items into their proper definitions? Response:
The intent is to ensure compliance with AB 341, AB 1826, and SB 1383. Proposers may describe their services and list the materials that will be included or excluded from the program. The final agreement will be modified to reflect the programs described by the successful hauler.
Question #14:
Section 1.65. This definition is unclear and includes three total definitions: a contract definition (Exhibit 4) and conflicting statutory definitions. Will the City please revise this definition to state that Recyclables are just those items included in Exhibit 4 for clarity and consistency.
Response:
The intent is to ensure compliance with AB 341, AB 1826, and SB 1383. Proposers may describe their services and list the materials that will be included or excluded from the program. The final agreement will be modified to reflect the programs described by the successful hauler.
Question #15:
Section 1.74. This definition is similar but not identical to the definition in Public Resources Code Section 40191 or Municipal Code Section 8.16.020. Will the City please revise to align this definition with applicable law?
Response:
Under review.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 8
Question #16:
Section 2.1. Will the City please revise this section to state: “Contractor agrees to and shall timely take all actions that are reasonably necessary to defend the validity and enforceability of this Agreement and shall pay all costs related to such defense in accordance with Section 11.1.” for consistency with the indemnity provisions of this Agreement?
Response:
Under review.
Question #17:
Section 2.5. Will the City revise this section to provide for extension of the term upon written agreement with the Contractor? Unilateral extension rights do not permit Contractor to meet and confer with the City to discuss or account for circumstances on the ground that may warrant amendment to the agreement and places an undue and burden on Contractor.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #18:
Section 2.7. As written, this section includes prospective and on-going obligations of Contractor, which by definition cannot be conditions precedent to effectiveness of the Agreement. Because these prospective and on-going obligations are addressed in subsequent sections of the agreement, will the City permit revision to this section during negotiations to remove such prospective and on-going obligations?
Response:
Under review.
Question #19:
Section 2.9(A). Sold or donated Organic Waste should not be exempted from the franchise because unlike recyclables it is a putrescible waste and not a commodity, and therefore is subject to the solid waste laws and regulations. In addition, opening the door to exempting Organic Waste from the scope of franchise agreements will lead to conflicts with the diversion goals, indemnity obligations, and potentially SB 1383 requirements including reporting, for example. As such, will the City remove this organics exemption?
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 9
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #20:
Section 2.10. As drafted, this section suggests that Section 2.10.2 and Section 2.10.3 provide a rate adjustment mechanism for City directed changes. However, these sections do not provide for an adjustment mechanism, only certain circumstances under which adjustments are made. Will the City please revise this section to clarify how adjustments will be made, or in the alternative, permit revision to the agreement during negotiations to clarify how such adjustments are made? Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #21:
Section 3.2.13. Will the City please clarify whether the give-a-way is intended to be of mulch (as in the Agreement), or of compost (as on p. 7 of the May 3, 2023 version of the RFP), or some combination of both? The type of recovered organic waste product has different cost implications.
Response:
The Draft Franchise Agreement is correct. This requirement is for a mulch give-away.
The City is required to procure 4,537 tons of recovered organic waste annually through December 31, 2026. The City can meet its procurement requirement by contracting with the hauler that uses or gives away organic end products on the City’s behalf. To this end, proposer may offer compost give-away service. The mulch give-away requirement may be combined with any proposed assistance to the City with procuring recovered organic waste products as addressed in RFP Section 3.8.
Question #22:
Section 3.4. Will the City provide a historical breakdown of estimated annual hauls and tons by material type for temporary and permanent Roll-Off Box customers? Form 2.3 appears to ask for this differential pricing and appears to be in conflict with this section.
Response:
The City does not have the annual hauls and tons by material for temporary and permanent roll-off box customers. PLEASE NOTE: Only provide the proposed rates in Column B. Service assumptions for City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 10
Column D in Form 2.3 Roll-Off Rates are no longer required. Roll-Off and On-Call services will be evaluated on a per unit prices basis. Roll-Off and On-call services revenue will not be used to evaluate total revenue requirement. Accordingly, sections that request cost information for Roll-Off and On-Call services do not need to be filled in.
Row 1 in Form 2.3 Roll-Off Rates is requesting rates for both permanent and temporary services. Row 2 is requesting the same for customer owned equipment (roll-off boxes, compactors).
Question #23:
Will the City consider differentiating fees for open top vs. compactor Roll-Off Box services, as the latter require additional service time?
Response:
Proposer must prepare their rate proposal based on the term specified in the RFP. Proposers may propose alternative proposals for the City’s consideration, however the City is under no obligation to consider or review any alternative proposal submitted.
Question #24:
Section 3.6. Will the City clarify that for Bulky Item Pickups that exceed the four Bulky Item limit for each pick up, Contractor may charge the applicable fee on the approved rate schedule? Will the City clarify that the cubic yards measure of Bulky Items (as on p. 6 of the May 3, 2023 version of the RFP) is specific only to bundled yard waste products? The RFP and Section 3.6 of the agreement appear to conflict as to the amount of acceptable Bulky Items, as some Bulky Items cannot be easily quantified by volume.
Response:
Contractor may charge a per item fee for each bulky item that exceeds four for each pickup. Contract may also charge a per event fee for each pickup event that exceeds four in a [calendar] year. Each event over four includes four items at the same rate.
The reference in the RFP allowing customers to put out up to 3 cubic yards of material may be removed.
It was intended to refer to Refuse Cart Overage requirement in page 5 of the RFP and in Section 3.2.3 in the Draft Agreement.
Question #25:
Section 3.7.1. Will the City provide a list of current and potential City locations to be serviced under this Agreement?
Will the City please revise this section to provide that the parties will meet and confer once every two years to assess the scope of services provided at City Facilities, and any appropriate rate adjustments City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 11
related to increased services at those facilities? As written, this section is unrestricted as to the amount of service and the number of facilities, which is unduly burdensome on the Contractor.
Response:
The list of facilities was provided with RFP as Attachment 5. This requirement is standard in Franchise agreements in California.
Question #26:
Section 3.7.2. Will the City please revise this section to clarify that Contractor shall provide services under this Section for only events organized and staffed by the City, and that City-sponsored events, organized and staffed by third parties, are excluded from this section and shall receive service from Contractor in accordance with Section 3.7.6?
Will the City agree to a set maximum number of events on an annual basis? As written, this section is unrestricted as to the number of events which creates an undue burden on the Contractor. In the alternative, will the City revise this section to permit rate adjustments for changes to the scope of services or addition of events serviced by Contractor under this section? Will the City clarify whether Organics Carts and Bins provided by Contractor will be primarily intended for and used exclusively by vendors under this section? Containers at public events are often extremely contaminated resulting in significant costs to remediate.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #27:
Section 3.7.6. Will the City clarify that recycling services provided under this section to Large Venues are provided under separate agreements? This section is unclear as drafted.
Response:
Under review.
Question #28:
Section 4.1.6(A) and (B). Will the City please change the period of overage incidents from a six-month period to a rolling twelve-month period? A rolling twelve-month period results in more consistent monitoring and correction of behavior.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 12
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #29:
Section 4.1.12. Will the City please revise this section to clarify that nothing in this section requires Contractor to provide any confidential information, proprietary information, or protected intellectual property of Contractor?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #30:
Section 4.1.13. Will the City please replace instances of “Hazardous Material” with “Excluded Waste” (as defined in Section 1.43)? Excluded Waste is the appropriate defined term to use in this section.
Response:
Agreed. Please include in proposal as substitute language.
Question #31:
Section 5.1. Will the City please revise this Section to clarify that Contractor will cooperate with the City in any audits or investigation of such quantities “in accordance with the terms of this Agreement”? Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #32:
Section 5.3. Will the City revise this section to remove the obligation that Contractor disclose the revenue generated from Recyclables? Where Recyclables are sold, and for how much, is protected proprietary information.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 13
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #33:
Section 6.2.5. Will the City revise this section to clarify that disputes may be resolved reasonably by the City? In addition, will the City make the second paragraph mutual regarding the Contractor’s rights or remedies in any dispute with a third party? It is foreseeable that Contractor may have claims against third parties that cannot be contractually limited.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #34:
Section 8.1. Will the City revise this section to state that Contractor shall conduct the data collection, information and recordkeeping, and reporting activities under this Agreement and as required by Applicable Law in its performance of obligations under this Agreement? As written, this section is vague and confusing and is so generalized it makes it impossible for Contractor to determine, and ultimately perform, its obligations under Article 8.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #35:
Section 8.2 and Section 8.3. The scope of financial records required to be disclosed under these sections, particularly Section 8.2.2 and Section 8.3.4, is too broad and requires disclosure of confidential information, proprietary information, and protected intellectual property. Please revise this section, or confirm that the City is willing to discuss language during negotiations, to limit the scope of records, to provide for review but not possession by the City of confidential or proprietary information, and to include protections for Contractor’s confidential information, proprietary information, and protected intellectual property.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 14
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #36:
Section 8.2.7. Will the City remove the 90-day limitation for undercharges? This is unnecessarily punitive to Contractor where we are billing on a quarterly basis.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #37:
Section 8.3.2(G). This section requires additional reporting above and beyond what is required by the Agreement or by CalRecycle. Will the City add language that the additional reports must be “readily available and related to Contractor’s performance of this Agreement”? In addition, will the City add language that Contractor is entitled to compensation for preparing reports that may be reasonably required but contain information or data not readily available to Contractor from records it is required to maintain under this Agreement? Preparation of additional reports requires substantial investment of Contractor’s resources to prepare.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #38:
Section 8.3.3(G). Will the City revise this section to clarify that RNG, as defined under SB 1383, is not available for commercial use in the City, but may be utilized by Contractor at such time as it becomes commercially available in the City?
Response:
The RFP does not require the use of RNG vehicles (Refer to Addendum #1 RFP section Collection Vehicle Requirements page 11. Section 8.3.3(G) is a reporting requirement only If there something to report.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 15
Question #39:
Section 8.4. Will the City revise this section to limit this section only to those reports, pleadings, applications, notifications, Notice of Violation, communications, or other material relating to Contractor’s performance of services under this Agreement that would limit or prohibit Contractor’s performance of this Agreement? As written this section is too broad and includes all routine and ordinary communications to such agencies that otherwise have no bearing on Contractor’s performance under this Agreement.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #40:
Section 10.3. Will the City please revise this Section to state that any excess adjustment that has not yet been applied to the rate in the final year of the Term will be implemented in the final rate year? In addition, will the City clarify that should any CPI adjustment result in a negative rate adjustment, the adjustment for that year shall be 0%, and any negative adjustment will be rolled over to be applied to the subsequent year?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #41:
Section 10.5. Will the City please revise this Section to state that if Contractor provides reasonable support and justification in its request for an extraordinary rate adjustment the City will not unreasonably deny the request?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #42:
Section 11.1.1, Section 11.1.3, and Section 11.3.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 16
Will the City revise these sections to permit Contractor to select counsel for its indemnity obligations under the Agreement? As the party defending claims under these sections, it is paramount that the Contractor is able to choose its counsel provided such counsel is reasonably acceptable to the City.
Further, the City has the right to choose its separate counsel under Section 11.3 if it would like to participate in the defense of any claim, so it is appropriate that Contractor be able to appoint counsel its counsel.
Will the City please revise this section to clarify that Contractor’s indemnity obligations are limited to the extent permitted by Applicable Law, including without limitation, Public Resources Code Section 40059.1?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #43:
Section 11.1.2.A. Will the City please revise this section to clarify as follows:
…that arise out of or are alleged to arise out of or in any way relate to any action, inaction or omission of Contractor in its performance under this Agreement that:…” It is appropriate to clarify the scope of the indemnity under this section to Contractor’s performance under the Agreement.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #44:
Section 11.1.3. Will the City revise this section to remove the first sentence regarding unconditional guarantees of compliance with the requirements of AB 939? It is not possible for any proposer to make this guarantee as written, as the agreement contemplates circumstances where performance under the agreement might be excused, such as Section 13.8.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 17
Question #45:
Section 11.6. Will the City revise this section to remove the requirement that Subcontractors meet the insurance requirements under the Agreement, as Subcontractors are unlikely to be able to meet these requirements. Subcontractors will also have insurance, but it is unlikely to be in the amounts required by the City in Article 11.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #46:
Section 11.8. Will the City permit reasonable and mutually agreeable changes to the insurance provisions of this Agreement during negotiations to align the requirements with the policies held by proposers?
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #47:
Section 12.1. Will the City discuss reasonable revisions to Section 12.1 during negotiations with proposers? As written, this section is too broad and extremely burdensome on proposers—it is not reasonable, practical, or possible from a liability perspective for the City to take possession Contractor’s equipment and property, require Contractor to maintain all such equipment and property, and employee Contractor’s employees to perform the services if the Contractor is not able to perform as contemplated by this Section. It is more reasonable to revise this section to state that in the event that the City reasonably determines that the accumulation of waste endangers or menaces public health, safety, or welfare, the City may contract with a third-party to perform the services until such time as Contractor is able resume performance. The remaining sections of this Article must be revised to align with changes made to Section 12.1.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 18
Question #48:
Section 13.1. Will the City discuss reasonable revisions to this Section during negotiations to remove duplicative events of default and clarify ambiguous standards of performance? Many of the events of default listed in this section are co-extensive with each other, leading to confusion and ambiguity about which standard applies.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #49
Section 13.2. Will the City revise this section to state that, for events that cannot reasonably be cured in ten (10) Business Days or thirty (30) calendar days, as applicable, will be resolved in a reasonable time as agreed by the parties? Some events of default may not be reasonably able to resolve in the time prescribed and flexibility in this regard benefits both Contractor and the City.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #50:
Section 13.5. In addition to the revisions in Section 8.2 and Section 8.3, this section explicitly requires Contractor to provide proprietary information to the City, which is unreasonable and unacceptable.
Please revise this section or confirm that the City is willing to discuss reasonable revision to this section during negotiations to clarify that Contractor shall provide immediate access to non-confidential, nonproprietary business records it is required to maintain under this Agreement. Contractor is not able to provide to or put in the City’s possession confidential information, proprietary information, or protected intellectual property.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 19
Question #51:
Section 13.7. Will the City please provide its basis for the amounts detailed in Section 13.7 and detail how the City determined these amounts were a reasonable estimate of damages for the alleged failure? Further, some damages listed in this section are determinable at the time of assessment and therefore cannot be liquidated damages by definition, making them unlawful penalties. Other penalties are unduly burdensome on Contractor or do not cite to particular sections of the Agreement so they are ambiguous as to the standards and obligations required to comply. Will the City permit mutually agreeable revisions to this Section during negotiations to resolve these issues? Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #52:
Section 13.8.1. Will the City revise the language below as follows:
The interruption or discontinuance of Contractor' s services caused by one (1) or more of the events excused shall not constitute a default by Contractor under this Agreement provided that other services in Diamond Bar (such as and without limitation electricity, gas, water, public transportation (including bus, tram, or train service), or Solid Waste Services) have been similarly disrupted as a direct result of the catastrophic event.
It is reasonable and foreseeable that a Force Majeure event contemplated by this Section would impact only solid waste services but would not impact other services delivered to properties in the City that are delivered by pipe or by cable, such as electricity, gas, or water. Rather, public transportation, which relies on the use of drivers and surface streets, is a much closer analog and is a more appropriate comparison. In the alternative, please remove the language above entirely.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #53:
Section 13.8.2. Will the City revise this section to state that Contractor will provide a contingency plan within fourteen (14) days of an event of labor unrest? Because the contingency plan depends on the facts and circumstances of the event of labor unrest, it is not practical to provide a contingency plan in advance of the event of labor unrest.
City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 20
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #54:
Section 14.9.
This provision, as drafted, conflicts with applicable data security and privacy laws, such as the California Consumer Privacy Act’s protection of certain information and laws protecting trade secrets and business proprietary information. Will the City add language to this section clarifying that: (1) nothing in this Section requires Contractor to provide to the next contractor any confidential information, proprietary information, or trade secrets, which are otherwise protected under the Agreement; and (2) that any such transfer must comply with applicable laws, including, but not limited to, laws regarding data security and privacy laws?
Will the City remove the language requiring the Contractor to provide security codes used to access garages and Bin enclosures? Customers, not Contractor, provide means of access.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
Question #55:
Section 14.18. Consistent with Section 8.2 and Section 8.3, the scope of financial records required to be disclosed under this Agreement is unreasonably broad and requires disclosure of confidential information, proprietary information, and protected intellectual property. Please revise this section, or confirm that the City is willing to discuss language during negotiations to limit the scope of records, to provide for review but not possession of confidential or proprietary information, and to include the following language which is typical for provisions of this type:
Notwithstanding anything to the contrary, Contractor acknowledges that City is legally obligated to comply with the California Public Records Act (“CPRA”). City acknowledges that Contractor may consider certain records, reports, or information contained therein, which Contractor is required to provide to City under this Agreement, to be of a proprietary or confidential nature. In such instances, Contractor will inform City in writing of which records are considered propriety or confidential. At such time as City receives a request for records under the CPRA or Federal Freedom of Information Act or a subpoena or other court order requesting disclosure of records that are marked or identified by Contractor as proprietary or confidential, City shall notify Contractor of the request, subpoena or order and of City’s obligation and intent to provide a response within 10 days. Contractor shall within five days either: (i) City of Diamond Bar, California Addendum #2
RFP for Solid Waste Services July 20, 2023 Page 21
consent in writing to the disclosure of the records; or (ii) seek and obtain, at Contractor’s sole cost and expense, the order of a court of competent jurisdiction staying or enjoining the disclosure of the records.
Response:
As per Section 5 of the RFP, proposers may propose alternative language in the Draft Agreement for the City’s consideration, however the City is under no obligation to accept it. Negotiations will be limited to section for which proposers offer alternative language.
City of Diamond Bar
DŽŶƚŚůLJŽůůĞĐƟŽŶZĂƚĞƐ
ZĞƐŝĚĞŶƟĂů ZĂƚĞƐƉƉƌŽǀĞĚĨŽƌ:ƵůLJϭ͕ϮϬϮϯ-:ƵŶĞϯϬ͕ϮϬϮ4 1 | Page
Container Size Monthly
ZĂƚĞ
Standard service with 35-gallon refuse cart $31.09
Standard service with 64-gallon refuse cart $38.31
Standard service with 96-gallon refuse cart $45.96
Senior service with 35-gallon refuse cart $26.76
Senior service with 64-gallon refuse cart $33.03
Senior service with 96-gallon refuse cart $39.40
Multi Family (MF) Standard service with 35-gallon refuse cart $29.07 MF Standard service with 64-gallon refuse cart $35.82
MF Standard service with 96-gallon refuse cart $42.98
MF Senior service with 35-gallon refuse cart $25.02
MF Senior service with 64-gallon refuse cart $30.89
MF Senior service with 96-gallon refuse cart $36.84
Additional 35-gallon refuse cart $8.56
Additional 64-gallon refuse cart $12.83
Additional 96-gallon refuse cart $17.15
Additional Recycling Cart (beyond 2 carts) $2.40
Additional Green Waste Cart (beyond 1 cart) $6.06
Backyard Service Surcharge $28.40
Yard Waste Reduction Discount $4.12
Additional Special Overage Pickup >2 per year $11.56
Additional Bulky Item Pickup > allowed free $43.34
Cart Exchange (after free exchange period) $21.69
Emergency Service rates - 1 crew & 1 Trk / HR $122.85
Addendum #2 ATTACHMENT A
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City of Diamond Bar
DŽŶƚŚůLJŽůůĞĐƟŽŶZĂƚĞƐ
ZĞƐŝĚĞŶƟĂů ZĂƚĞƐƉƉƌŽǀĞĚĨŽƌ:ƵůLJϭ͕ϮϬϮϯ-:ƵŶĞϯϬ͕ϮϬϮ4 2 | Page
DƵůƚŝĨĂŵŝůLJZĂƚĞdĂďůĞƐǁŝƚŚŽƵƚKƌŐĂŶŝĐ^ĞƌǀŝĐĞƐ Monthly ZĂƚĞ
Container Size
Multi Family Standard service with 35-gallon refuse cart $27.39 MF Standard service with 64-gallon refuse cart $33.75
MF Standard service with 96-gallon refuse cart $40.49
MF Senior service with 35-gallon refuse cart $23.57
MF Senior service with 64-gallon refuse cart $29.10
MF Senior service with 96-gallon refuse cart $34.71
Addendum #2 ATTACHMENT A
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City of Diamond Bar
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ZĞƐŝĚĞŶƟĂů ZĂƚĞƐƉƉƌŽǀĞĚĨŽƌ:ƵůLJϭ͕ϮϬϮϯ-:ƵŶĞϯϬ͕ϮϬϮ4 3 | Page
ZŽůů-ŽĨĨŽdžŚĂƌŐĞƐ ZĂƚĞ
Standard Roll-Off Box - Rate per pull (including container rental) 12 to 16 yard $278.52
25 to 30 yard $267.73
40 to 45 yard $259.18
Compactor Roll-Off Box – Rate per pull (excluding compactor rental) 30 yard $413.91
40 yard $462.28
Container Rental Fee – for use in Excess of 7 days without being serviced $33.09 Processing Per Ton $86.73
Temporary Roll-Off Box, 40 yard – rate includes container rental, pull and disposal up to 6 tons
$739.29
Temporary Roll-Off Box, Low Boy – rate includes container rental, pull, and disposal up to 6 tons
$784.18
Roll-Off Box Cleaning (above one per year) $150.33
Redelivery/Return Trip Fee/Dry runs – roll-off box $194.66 Addendum #2 ATTACHMENT A
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City of Diamond Bar
DŽŶƚŚůLJŽůůĞĐƟŽŶZĂƚĞƐ
ŽŵŵĞƌĐŝĂůZĂƚĞƐApproved for July 1, 2023-June 30, 2024 1 | Page
Container Size WŝĐŬƵƉƐƉĞƌǁĞĞŬ
1 2 3 4 5 6 Extra
Empty
1.5 Cubic Yard $116.93 $192.17
extra bin (2) $105.24 $172.95
2 Cubic Yard $133.92 $232.18 $317.41 $410.76 $509.06 $594.29 $51.12 extra bin (2) $120.51 $208.95 $285.68 $369.70 $458.16 $534.85 3 Cubic Yard $165.80 $274.87 $385.95 $501.08 $614.18 $749.59 $59.20 extra bin (2) $149.21 $247.35 $347.36 $450.96 $552.78 $674.64 4 Cubic Yard $209.91 $337.83 $468.66 $667.48 $798.32 $969.71 $67.31 extra bin (2) $188.90 $304.04 $421.77 $600.72 $718.50 $872.75 6 Cubic Yard $250.56 $413.90 $579.35 $842.02 $1,005.40 $1,214.53 $78.18 extra bin (2) $225.50 $372.52 $521.41 $757.84 $904.86 $1,093.09 Organics Cart $49.88 $99.74 $149.62 $199.49 $249.37 $299.24 Recycling – 96 gal. $21.89
Recycling – 1.5 yd. $49.75 $79.23
Recycling – 2 yd. $57.11 $95.78 $127.10 $163.98 $202.70 $235.81 Recycling – 3 yd. $82.92 $127.82 $178.40 $231.03 $282.66 $345.54 Scout Service (3) $83.81 $199.69 $299.54 $399.39 $499.23 $599.07 ŝŶŚĂƌŐĞƐ ZĂƚĞ
Temporary Bin – 3
cubic yard
$166.77 pull
Temporary Bin – 6
cubic yard
$205.99 pull
Bin Cleaning (over
one per year)
$67.15
Locking Bin, per
bin per month
$14.56
Redelivery/Return
Trip Fee
$129.93
Addendum #2 ATTACHMENT A
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City of Diamond Bar
DŽŶƚŚůLJŽůůĞĐƟŽŶZĂƚĞƐ
ŽŵŵĞƌĐŝĂůZĂƚĞƐApproved for July 1, 2023-June 30, 2024 2 | Page
ZŽůů-off Box
ŚĂƌŐĞƐ
ZŽůů-ŽĨĨŽdžŚĂƌŐĞƐ ZĂƚĞ
Standard Roll-Off Box - Rate per pull (including container rental) 12 to 16 yard $278.52
25 to 30 yard $267.73
40 to 45 yard $259.18
Compactor Roll-Off Box – Rate per pull (excluding compactor rental) 30 yard $413.91
40 yard $462.28
Container Rental Fee – for use in Excess of 7 days without being serviced $33.09 Processing Per Ton $86.73
Temporary Roll-Off Box, 40 yard – rate includes container rental, pull and disposal up to 6 tons
$739.29
Temporary Roll-Off Box, Low Boy – rate includes container rental, pull, and disposal up to 6 tons
$784.18
Roll-Off Box Cleaning (above one per year) $150.33
Redelivery/Return Trip Fee/Dry runs – roll-off box $194.66 ĚĚŝƚŝŽŶĂů^ĞƌǀŝĐĞŚĂƌŐĞƐ ZĂƚĞ
Per
Service
Multi-Family Bulky Item Pickup – each pickup above four per year of up to four items. (per item)
$40.42
Emergency Service Rates – one crew and one collection truck (per hour) $114.47 Addendum #2 ATTACHMENT A
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REQUEST FOR PROPOSALS
FOR
SOLID WASTE SERVICES
ADDENDUM #3
Issued by
Prepared by:
3002 Dow Avenue, Suite 116, Tustin, CA 92780
Office: 866.241.4533
[email protected] · www.sloanvazquez.com
Contact: Enrique Vazquez
[email protected]
626-347-3226
July 31, 2023
City of Diamond Bar, California Addendum #3
RFP for Solid Waste Services July 31, 2023 Page 2
This addendum #3 to the RFP for Solid Waste Services consists of answers to questions submitted by proposers since the release of addendum #2 on July 20, 2023.
To date, the following items have been distributed to proposers.
1. RFP: May 3, 2023
2. Notification #1: May 15, 2023
3. Addendum #1: July 12, 2023
4. Addendum #2: July 20, 2023
5. Addendum #3: July 31, 2023
Reminder: Proposers must acknowledge receipt of all addenda in their proposals. This can be done in the cover letter.
You may continue to send technical questions regarding the worksheets to [email protected] or by calling Enrique Vazquez at 626-347-3226. Also, if there are questions that arise during the preparation of the proposals, you may submit additional questions and every attempt will be made to respond to them. However, there is no guarantee that further questions will be answered. Proposer must continue the preparation of their proposals with the information provided thus far.
RESPONSES TO QUESTIONS
Question #1:
I see the new res rates on the addendum. Do these effectively replace the RFP #’s or are they still transitional rates? There’s a big jump. I take it this includes full organics program rates? City of Diamond Bar, California Addendum #3
RFP for Solid Waste Services July 31, 2023 Page 3
RFP…
Response:
The rates entered into the worksheets reflected the approved rates at the time the RFP was prepared and were entered into the worksheets to serve as an example of how to use the worksheet.
The addendum #2 provided the most current approved rates to inform you of the most recent approved rates.
Proposers should enter their proposed rates into the worksheets.
There are no programmed transitional adjustments. All future adjustments to existing agreements will be based on the procedures in the agreements.
Question #2:
Are we allowed to submit one bid package and just break out Citywide, Com, and SFD? Or do we need a separate bid package for each?
Response:
You may submit proposals for
1) Commercial only (Fill in Attachment 6 Commercial Forms), 2) Residential only, (Fill in Attachment 6 Residential, or 3) Both residential and commercial (Fill in Attachment 6 Citywide).
If you submit option 3, you don't have to submit option 1 and 2.
Question #3:
In Form 2.2 for recycling, the non-red cells are marked at 50% of trash rate, the red cells do not have a formula. Is this correct?
City of Diamond Bar, California Addendum #3
RFP for Solid Waste Services July 31, 2023 Page 4
Red cells in organics are not formula driven…the others are referencing the trash rates values.
Didn’t want to touch the aqua cells.
Response:
Commercial recycling container rates shall not exceed 50% of the rate proposed for the equivalent container size and frequency for trash collection.
In Form 2.2, the recycling container rates beginning in row 19 shall not exceed 50% of the rate proposed for the equivalent container size and frequency proposed for trash collection in rows 1 through 12. If proposer is offering less than 50% than the rate proposed for trash collection, then enter the proposed rate directly into the cell. Otherwise, either enter 50% of proposed trash rate or enter formula that calculates 50% of the equivalent rate in rows 1 through 12.
Organics container rates shall not exceed the rate proposed for the equivalent container size and frequency for trash collection.
In Form 2.2, the organic container rates beginning in row 28 shall not exceed the rate proposed for the equivalent container size and frequency proposed for Trash collection in rows 1 through 12. If proposer is offering less than the rate proposed for trash collection, then enter the proposed rate directly into the cell. Otherwise, either enter rate equal to the proposed trash rate or enter formula the calculates 100% of the proposed trash rates entered in rows 1 through 12.