EXHIBITB
AMENDED RATE AND METHOD OF APPORTIONMENT OF SPECIAL TAX A Special Tax of City of Livingston Community Facilities District No. 2017-1 (Public Services) ("CFO") shall be levied on all Assessor's Parcels within the CFO and collected each Fiscal Year commencing in Fiscal Year 2018-19 in an amount determined by the Special Tax Administrator through the application of the rate and method of apportionment of the Special Tax set forth below. All of the real property in the CFO, unless exempted by law or by the provisions hereof, shall be taxed for the purposes, to the extent and in the manner herein provided.
A. DEFINITIONS
The terms hereinafter set forth have the following meanings:
"Act" means the Mello-Roos Community Facilities Act of 1982, being Chapter 2.5, Part 1, Division 2 of Title 5 of the Government Code of the State of California, as amended. "Administrative Expenses" means the following actual or reasonably estimated costs incurred by the City as administrator of the CFO, provided that such costs are directly related to administration of the CFO: costs to determine, levy and collect the Special Taxes, including an allocable share of the salaries and benefits of City employees, the fees of consultants, and legal counsel; the costs of collecting installments of the Special Taxes upon the general tax rolls, including any charges levied by County departments; and the preparation of required reports and any other costs required to administer the CFO in accordance with the Act, as determined by the City. "Annual Escalation Factor" means the greater of (i) two percent (2%) or (ii) the annual percentage increase in the Consumer Price Index for All Urban Consumers for San FranciscoOakland-Hayward Area as determined by the Bureau of Labor Statistics for the twelve months ending the previous December. If said index is discontinued, then an alternative index may be used as determined by the Special Tax Administrator.
"Assessor's Parcel" means a Lot or parcel ofland shown on an Assessor's Parcel Map with a parcel number assigned by the Assessor of the County that corresponds to a number shown on the County Assessor's roll.
"Assessor's Parcel Map" means an official map of the Assessor of the County designating parcels by Assessor's Parcel number.
"Attached Residential" means an Assessor's Parcel within the CFO for which a Building Permit has been issued for purposes of constructing a residential structure or structures sharing common walls and/or common spaces, qualified as Attached Residential at the City's discretion, consisting of two or more Dwelling Units, including, but not limited to duplexes, triplexes, and apartment units, as of May 1st preceding the Fiscal Year in which the Special Tax is being levied. "Base Year" means Fiscal Year ending June 30, 2019.
"Building Permit" means a permit issued for new construction of a residential or non-residential structure. For purposes of this definition, "Building Permit" shall not include permits issued solely
Exhibit B
for grading, utility improvements, or other such improvements that are constructed and installed and are not intended for human occupancy.
"CFD" means City of Livingston Community Facilities District No. 2017-1 (Public Services). "City" means the City of Livingston.
"City Clerk" means the City Clerk for the City or his or her designee. "City Engineer" means the City Engineer for the City or his or her designee. "Commercial Property" means an Assessor's Parcel of Developed Property for which a building permit(s) has been issued for purposes of constructing non-residential property for any commercial use, including related parking, including hotels, motels, and Office Property, and all other property considered commercial, as coded by the County's assessor or as determined by the City, as of May !st preceding the Fiscal Year in which the Special Tax is being levied. "Council" means the City Council of the City, acting as the legislative body of the CFO. "County" means the County of Merced, California.
"Detached Residential" means an Assessors' Parcel within the CFO for which a Building Permit has been issued for purposes of constructing a residential structure consisting of one single-family detached Dwelling Unit, including Mobile Homes, as of May I st preceding the Fiscal Year in which the Special Tax is being levied.
"Developed Property" means, for Detached Residential, Attached Residential, Commercial Property, or Industrial/Business Park/ Agricultural Processing Property, an Assessor's Parcel within the CFO for which a Building Permit was issued on or prior to May I st preceding the Fiscal Year in which the Special Tax is being levied, based on the number of Dwelling Units or Lot Area, as applicable, per City or County records for that Assessor's Parcel. "Developed Property" means, for Farm Property, an Assessor's Parcel within the CFO for which the City has granted permission to allow farming operations or for which Land Use Class of Farm Property is designated at the City's discretion on or prior to May 1'1 preceding the Fiscal Year in which the Special Tax is being levied, based on the Lot Area, as applicable, per City or County records for that Assessor's Parcel. "Dwelling Unit" means each separate residential unit that comprises an independent facility capable of conveyance or rental separate from adjacent residential units, in which a person or persons may live, which comprises an independent facility and is not considered to be for nonresidential use only, and as defined in the City of Livingston's Municipal Code. "Exempt Property" means for each Fiscal Year, an Assessor's Parcel within the CFO not subject to the Special Tax. Exempt Property includes: (i) Public Property, (ii) Property Owner Association Property, (iii) Assessor's Parcels with public or utility easements making impractical their utilization for other than the purposes set forth in the easement such as railroad parcels, roads and
ExhibitB
landscape lots, (iv) Undeveloped Property and (v) property reasonably designated by the City or Special Tax Administrator as Exempt Property due to deed restrictions, conservation easement, or similar factors that may make development of such property impractical for human occupancy. "Farm Property" means property used to grow crops or raise animals, which county use code starts with 07 or the City designates as Farm Property. "Final Map" means an Assessor's Parcel Map, a Final Subdivision Map, parcel map, condominium plan, or any other map functionally considered to be an equivalent development map that has been recorded in the Office of the County Recorder. "Fiscal Year" means the period starting July 1 and ending on the following June 30. "Industrial/ Institutional/ Agricultural Processing Property" means an Assessor's Parcel of Developed Property for which a building permit(s) has been issued for purposes of constructing non-residential property for any allowable industrial, institutional, or agricultural use, including related parking, and all other property considered industrial or institutional, including Medical Property, private schools and daycares, or used for agricultural processing, which is not a Commercial Property or Office Property, as coded by the County's assessor or as determined by the City, as of May ]st preceding the Fiscal Year in which the Special Tax is being levied. "Land Use Class" means any of the classes listed in Table 1 and defined herein. "Lot" means an individual legal lot created by an Assessor's Parcel Map or Final Map. "Lot Area" means the gross horizontal area of the Lot or Assessor's Parcel. "Maximum Special Tax" means the maximum Special Tax, determined in accordance with Section C below, that can be levied by the CFD in any Fiscal Year on any Assessor's Parcel. "Medical Property" means an Assessor's Parcel of Developed Property for which a building permit( s) has been issued for purposes of constructing non-residential property for any medical use, including related parking, including hospitals, convalescent homes, medical property, dental property, clinics, medical offices, and dental offices, and all other property used for medical purposes, which is not a Commercial Property or Office Property, as coded by the County's assessor or as determined by the City, as of May 1st preceding the Fiscal Year in which the Special Tax is being levied,
"Mixed-Use Property" means an Assessor's Parcel of Developed Property containing or planned for containing a structure or structures that consists of one or more Dwelling Units, but also has dedicated space for Non-Residential use.
"Mobile Home" means a vehicle designed and equipped for human habitation as defined by the California Health & Safety Code § 18008.
Exhibit B
"Non-Residential" means an Assessor's Parcel of Taxable Property within the CFO for which a Building Permit has been or could be issued for a non-residential use, including Commercial Property and Industrial/ Institutional/ Agricultural Processing Property or which the City may designate as Farm Property.
"Office Property" means an Assessor's Parcel of Developed Property for which a building permit(s) has been issued for purposes of constructing non-residential property for office use other than Medical Property, including related parking, including savings and loans property, property for legal assistance, and other office buildings, as determined by the City, as of May I st preceding the Fiscal Year in which the Special Tax is being levied. "Park" means a public park, open space, trail, dog park dedicated to and/or managed by the City of Livingston.
"Park and Landscaping Maintenance" means the labor, material, administration, personnel, equipment, contract services, and utilities (i.e., water and power) necessary to maintain landscaping improvements within, and associated with, the CFO, including trees, turf, ground cover, shrubs, weed removal, irrigation systems, sidewalk, drainage facilities, lighting, signs, monuments, graffiti removal, walkways, and associated appurtenant facilities located within, or associated with, the CFO and reasonable costs of providing park maintenance, including but not limited to (i) the costs of contracting for park maintenance services, including trees, plant material, restrooms, irrigation systems, sidewalks, drainage facilities, weed control, lighting, and parking lot maintenance, (ii) the salaries and benefits of City staff, including maintenance staff, that directly provide park maintenance services, (iii) the expense related to equipment, apparatus, and supplies related to these services and authorized by the Act, (iv) utility costs such as water, sewer, lighting and power and (v) City overhead costs associated with providing such services within the CFO. "Park and Landscaping Maintenance Reqnirement" means, for any Fiscal Year in which Special Taxes are levied, the amount equal to the budgeted costs for Park and Landscaping Maintenance applicable to the CFO for such Fiscal Year. "Police, Fire, and/or Paramedic Services" means the estimated and reasonable costs of providing Police Services, Fire Suppression Services, and/or Paramedic services including but not limited to (i) the costs of contracting for police, firefighters, and paramedics, (ii) the salaries and benefits of City staff, if the City directly provides Police Services, (iii) the expense related to equipment, apparatus, and supplies related to these services and authorized by the Act, and (iv) City overhead costs associated with providing such services within the CFO. "Police, Fire, and/or Paramedic Services Reqnirement" means, for any Fiscal Year in which Special Taxes are levied, the amount equal to the budgeted costs for Police, Fire, and/or Paramedic Services applicable to the CFO for such Fiscal Year.
"Property Owner Association Property" means for each Fiscal Year any property within the CFO that is owned by, or irrevocably dedicated as indicated in an instrument recorded with the County Recorder, to a property owner association, including any master or sub-association, which
Exhibit B
consists of property owned in common by owners of surrounding properties and it is intended for use for community purposes.
"Proportionately" means, for Taxable Property, that the ratio of the actual Special Tax levied per Assessor's Parcel of Taxable Property to the Maximum Special Tax per Assessor's Parcel of Taxable Property is equal for all Assessor's Parcels of Taxable Property. "Public Property" means for each Fiscal Year any property within the CFD that is, or is expected to be, used for rights-of-way, parks, public schools or any other public purpose determined by the Special Tax Administrator or is owned by or irrevocably offered for dedication to the federal government, the State, the County, the City or any other public agency. "Reserve Fund" means a fund that shall be created and maintained for the CFD for each Fiscal Year to provide necessary cash flow to cover maintenance and operational cost overruns, and delinquencies in the payment of Special Taxes.
"Special Tax" means the Special Tax to be levied in each Fiscal Year on each Assessor's Parcel of Taxable Property to fund the Special Tax Requirement, and shall include Special Taxes levied or to be levied under Sections C and D, below.
"Special Tax Administrator" means an official of the City, or designee thereof, responsible for determining the Special Tax Requirement and providing for the levy and collection of the Special Taxes.
"Special Tax Requirement" means that amount required in any Fiscal Year for the CFD to pay for (i) the Park and Landscaping Maintenance Requirement, (ii) the Police, Fire, and/or Paramedic Services Requirement, (iii) the Street and Drainage Maintenance Requirement, (iv) Administrative Expenses of the CFD, and (v) and any amounts required to establish or replenish a Reserve Fund for that Fiscal Year.
"State" means the State of California.
"Street and Drainage Maintenance" means the labor, material, administration, personnel, equipment and utilities necessary to maintain streets, streetlights, drainage, storm systems, and associated appurtenant facilities within, and associated with, the CFD, including City overhead costs associated with providing such services within the CFD. "Street and Drainage Maintenance Requirement" means, for any Fiscal Year in which Special Taxes are levied, the amount equal to the budgeted costs for Street and Drainage Maintenance applicable to the CFD for such Fiscal Year.
"Taxable Property" means all Assessor's Parcels of Developed Property within the CFD that are not Exempt from the Special Tax pursuant to law or as defined herein.
ExhibitB
"Undeveloped Property" means, for each Fiscal Year, an Assessor's Parcel within the CFO for which a Building Permit has not been issued, or the City has not designated as Farm Property, on or prior to May I st preceding the Fiscal Year in which the Special Tax is being levied and is not classified as Property Owner Association Property or Public Property, including an Assessor's Parcel that is designated as a remainder parcel by any final documents and/or maps available to the Special Tax Administrator.
B. ASSIGNMENT TO LAND USE CATEGORIES
For each Fiscal Year, commencing with Fiscal Year 20 I 8-19, using the definitions above, each Assessor's Parcel within the CFO shall be classified as Taxable Property or Exempt Property. In addition, each Fiscal Year, beginning with Fiscal Year 2018-19, Taxable Property shall be further classified as Attached Residential, Detached Residential, Mixed-Use Property, Commercial Property, or Industrial/ Institutional/ Agricultural Processing Property.
C. MAXIMUMSPECIALTAXRATE
1. Developed Property
Land Use
Class
I
2 3
4 5
6 7
8 Table 1
Maximnm Special Tax for Developed Property
Community Facilities District No. 2017-1 (Public Services) Fiscal Year 2018-19
Description Maximum Special Tax
Detached Residential $763.00 per Dwelling Unit
Attached Residential $572.00 per Dwelling Unit
Mixed-Use Property Sum of Maximum Special Tax for each
applicable Land Use Class
Commercial Property $0.130 per square foot of Lot Area
Industrial/ Institutional/ $0 .077 per square foot of Lot Area Agricultural Processing Farm Property $0 .007 per square foot of Lot Area
Medical Property $0.077 per square foot of Lot Area
Office Property $0.130 per square foot of Lot Area
For each Fiscal Year following the Base Year, the Maximum Special Tax rates in Table I shall be increased by the Annual Escalation Factor. A different Maximum Special Tax may be added to the CFO as a result of future annexations or if future annexations involve a new Land Use Class.
2. Exempt Property
No Special Tax shall be levied on Exempt Property as defined in Section A.
Exhibit B
For each Fiscal Year, if the use or ownership of an Assessor's Parcel of Exempt Property changes so that such Assessor's Parcel is no longer classified as one of the uses set forth in Section A, therefore making such Assessor's Parcel no longer eligible to be classified as Exempt Property, such Assessor's Parcel shall be deemed to be Taxable Property and shall be taxed pursuant to the provisions of Section C. l.
D. METHOD OF APPORTIONMENT OF THE SPECIAL TAX
Commencing with Fiscal Year 2018-19, and for each subsequent Fiscal Year, the Special Tax Administrator shall calculate the Special Tax Requirement based on the definitions in Section A and levy the Special Tax as follows until the amount of the Special Tax levied equals the Special Tax Requirement:
The Special Tax shall be Proportionately levied each Fiscal Year on each Assessor's Parcel of Developed Property up to I 00% of the applicable Maximum Special Tax. The applicable Maximum Special Tax shall be based on the Developed Property's classification as Detached Residential, Attached Residential, Mixed-Use Property, Commercial, Industrial/ Institutional/ Agricultural Processing Property, or Farm Property.
E. APPEALS
Any landowner who pays the Special Tax and believes that the amount of the Special Tax levied on their Assessor's Parcel is in error shall first consult with the Special Tax Administrator regarding such error. If following such consultation, the Special Tax Administrator determines that an error has occurred, the Special Tax Administrator may amend the amount of the Special Tax levied on such Assessor's Parcel. If following such consultation and action, if any, the landowner believes such error still exists, such person may file a written notice with the City Clerk of the City appealing the amount of the Special Tax levied on such Assessor's Parcel. Upon the receipt of any such written notice, the City Clerk shall forward a copy of such notice to the City Finance Director, who shall either (1) refer the matter to the City's existing hearing board for administrative appeals; or (2) establish as part of the proceedings and administration of the CFO, a special three-member Review/Appeal Committee. The Review/Appeal Committee may establish such procedures, as it deems necessary to undertake the review of any such appeal. The hearing board or Review/ Appeal Committee shall interpret this Rate and Method of Apportionment and make determinations relative to the annual administration of the Special Tax and any landowner appeals, as herein specified. The decision of the hearing board or Review/ Appeal Committee shall be final and binding as to all persons.
F. MANNER OF COLLECTION
Exhibit B
Special Taxes levied pursuant to Section D above shall be collected in the same manner and at the same time as ordinary ad valorem property taxes, provided however that (i) the CFD may directly bill the Special Tax, and (ii) the CFD may collect Special Taxes at a different time or in a different manner if necessary to meet the financial obligations of the CFD or as otherwise determined appropriate by the City Council.
G. TERM OF SPECIAL TAX
Taxable Property in the CFD shall remain subject to the Special Tax in perpetuity or until the City Council takes appropriate actions to terminate the Special Tax pursuant to the Act.
Land Use
Class
1 2
3 4
5 6
7 8
EXHIBITC
Maximum Special Tax for Developed Property
Community Facilities District No. 2017-1
Fiscal Year 2023/2024
Description Maximum Special Tax
Detached Residential $910.174 oer Dwelling Unit
Attached Residential $682.333 per Dwelling Unit
Mixed-Use Property Sum of Maximum Special Tax for each
aoolicable Land Use Class
Commercial Property $0.155 per Square Foot of Lot Area
Industrial/ Institutional/
Agricultural Processing $0.092 per Square Foot of Lot Area Farm Property $0.008 per Square Foot of Lot Area
Medical Property $0.092 per Square Foot of Lot Area
Office Property $0.155 per Square Foot of Lot Area
On each July I st following the Base Year, the Maximum Special Tax rates in Table I shall be increased in accordance with the Annual Escalation Factor as defined in the Amended Rate and Method of Apportionment (RMA).
AGENDA ITEM:
MEETING DATE:
PREPARED BY:
REVIEWED BY:
STAFF REPORT
Request for Approval for Staff to Negotiate a Franchise Agreement for Solid Waste, Recyclable Materials, and Organic Waste Collection Services between the City of Livingston and Gilton Solid Waste Management, Inc.
December 5, 2023
Anthony Chavarria, Director of Public Works
Christopher Lopez, Interim City Manager
RECOMMENDATION:
Staff recommends that the City Council to (1) select the desired SB 1383-compliant two cart or three cart collection system; and (2) authorize the Interim City Manager to negotiate a franchise agreement for solid waste, recyclable materials, and organic waste collection services with Gilton Solid Waste Management, Inc.; and (3) approve an amendment to the agreement with Gilton Solid Waste Inc. for an additional two (2) months while negotiating the final franchise agreement; and (4) authorize the Interim City Manager to negotiate minor adjustments to the contracted extension in accordance with legal concurrence.
BACKGROUND:
The current Solid Waste Collection Agreement between the City of Livingston and Gilton Solid Waste Management, Inc. (Gilton) will terminate on December 31, 2023. To adequately update the current Franchise Agreement to comply with State laws, City Staff released a Request for Proposals for an Agreement for Solid Waste, Recyclable Materials, and Organic Waste Collection Services (New Franchise Agreement). A significant focus of the scope of the RFP was how the hauler would assist the City in complying with the state mandates and CalRecycle regulations governing management of recyclable materials and organic waste. Assembly Bill 341 (AB 341) mandates that all commercial customers participate in a recyclable diversion program. Senate Bill 1383 (SB 1383) mandates that all customers must actively participate in an organic waste diversion program to substantially reduce organic waste being sent to landfills. Non-participation in organic waste or recyclable materials diversion programs may result in fines for the City and/or residents and businesses. The new recycling and organic recycling programs, included in the New Franchise Agreement, are both key aspects of meeting state regulatory compliance mandates and are not negotiable.
The purpose of this agenda item is just to seek Council direction regarding Solid Waste Collection Services and authorization to proceed with contract negotiations with Gilton.
The City released an RFP for Collection Services on December 2, 2022. The following three service providers submitted proposals:
1. Gilton Solid Waste Management, Inc (Gilton)
2. Mid Valley Disposal (Mid Valley)
3. Modesto Garbage Company, Inc (WM)
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The City subsequently contracted with HF&H Consultants, LLC (HF&H) to assist the City as technical advisors in evaluating the proposals received, providing their thoughts on the proposals and items for negotiation, requesting additional information to assist the evaluation, and ultimately evaluating the proposals. An evaluation team made up of City Staff and HF&H evaluated the three proposals. The evaluation team performed reviews of the technical and rate proposals received from the three proposers.
Additionally, HF&H performed reference checks of all three proposers and requested clarifying responses from each proposer based on their submitted proposals. The service providers were evaluated based off of their technical and rate proposals, references, and responses to the clarifying questions. Based on the proposals, references, clarifying responses, and overall experience as the incumbent service provider, the evaluation committee ranked Gilton as the top-ranked company.
As the incumbent collection and processing service provider for the City of Livingston for the last thirtyeight (38) years, Gilton Solid Waste Management, Inc. stated that they will take full responsibility for meeting all performance requirements in the New Franchise Agreement and will continue to keep the City in compliance with CalRecycle regulations, including SB 1383 and AB 341. Furthermore, Gilton provided the most cost competitive proposal of the three companies to mitigate the fiscal impact of the new services for Livingston's residential and commercial ratepayers. Therefore, Gilton demonstrated that they have the staffing, management tools, technology, financial ability, and local knowledge to provide a high level of customer service and good value to the City's residents and businesses.
FISCAL IMPACT:
There is no fiscal impact to the City at this time, as the final rate analysis will be performed once the Franchise Agreement is finalized with the selected proposer.
ATTACHMENTS:
1. Resolution
2. Exhibit "A" Solid Waste, Recyclable Materials, and Organic Waste Collection Services Proposal Evaluation Report
3. Exhibit "B'' Gilton Proposed Rates
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RESOLUTION NO. 2023-
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF LIVINGSTON (1) SELECT THE DESIRED SB-1383- COMPLIANT TWO CART OR THREE CART COLLECTION SYSTEM; AND (2) AUTHORIZE THE INTERIM CITY MANAGER TO
NEGOTIATE A FRANCHISE AGREEMENT FOR SOLID WASTE, RECYCLABLE
MATERIALS, AND ORGANIC WASTE COLLECTION SERVICES WITH GILTON SOLID WASTE MANAGEMENT, INC.; AND (3) APPROVE AN AMENDMENT TO THE AGREEMENT WITH GIL TON SOLID WASTE INC. FOR AN ADDITIONAL TWO (2) MONTHS WHILE NEGOTIATING THE FINAL FRANCHISE AGREEMENT; AND (4) AUTHORIZE THE INTERIM
CITY MANAGER TO NEGOTIATE MINOR ADJUSTMENTS TO THE CONTRACT EXTENSION IN ACCORDANCE WITH LEGAL CONCURRENCE.
WHEREAS, the current Franchise Agreement for Solid Waste Services with Gilton Solid Waste Management, Inc, is set to expire on December 31, 2023; and WHERAS, the City of Livingston released a Request for Proposals (RFP) for Solid Waste, Recyclable Materials, and Organic Waste Collection Services on December 2, 2022, and WHEREAS, the City of Livingston received proposals from three companies of which all three were considered responsive to the RFP; and
WHEREAS, the three companies were given follow up clarifying questions and responses were received by November 10, 2023; and
WHEREAS, the City of Livingston Evaluation Team determined that Gilton Solid Waste Management, Inc provided the most cost effective and streamlined approach to collection services for the City and its ratepayers, and
NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Livingston hereby:
Section 1. Selects the desired SB-1383 compliant two cart or three cart collection system.
Section 2. Authorize the Interim City Manager to negotiate a Franchise Agreement for the Solid Waste, Recyclable Materials, And Organic Waste Collection Services with Gilton Solid Waste Management, Inc. to finalize an agreement.
Section 3. Approve an amendment to the Agreement with Gilton Solid Waste Inc. for an additional two (2) months while negotiating the final Franchise Agreement.
Section 4. Authorize the Interim City Manager to negotiate minor adjustments to the contract extension in accordance with legal concurrence.
Section 5. This Resolution will become effective immediately.
I hereby certify the foregoing Resolution No. 2023- _ is a full and true copy of a resolution passed and adopted by the Livingston City Council at a regular meeting thereof duly held ·on the 5th day of December, 2023, by the vote recorded as follows:
AYES:
NOES:
ABSENT:
ABSTAIN:
ATTEST:
Monica Cisneros, Deputy City Clerk
of the City of Livingston
APPROVED AS TO LEGAL FORM
Roy C. Santos, City Attorney
By:------------ Jose Moran, Mayor
of the City of Livingston
CITY OF LIVINGSTON
Solid Waste, _Recyclable Materials, and Organic Waste
Collection Services Proposal Evaluation Report
EXECUTIVE SUMMARY
The Evaluation Committee and HF&H Consultants, LLC (HF&H) have reviewed the solid waste, recyclable materials, and organic waste collection services proposals received from Gilton Solid Waste Management Inc. (Gilton), Mid Valley Disposal (Mid Valley), and Modesto Garbage Company, Inc. (WM) (collectively proposers). Cumulatively, HF&H has analyzed the proposals, clarified the proposals to Evaluation Committee's satisfaction, and conducted appropriate due diligence on each proposer's references and regulatory compliance history.
Based on the evaluation of the proposals received and the proposers themselves, Staff recommends that the City Council:
(1) Selects the desired SB 1383-compliant collection system. (2) Adopt a Resolution of the City Council of the City of Livingston authorizing the Interim City Manager to negotiate a Franchise Agreement with Gilton Solid Waste Management, Inc. (3) Approve an amendment to the Agreement with Gilton Solid Waste Management, Inc. to extend the agreement for an additional two (2) months while negotiating the final Franchise Agreement. (4) Authorize the Interim City Manager to negotiate minor adjustments to the contract extension in accordance with legal concurrence.
RECOMMENDATION FOR SELECTED CONTRACTOR
The Evaluation Committee finds that the proposal from Gilton offers the City the best overall value among all of the proposals received, based on the following:
1. Cost and Rate Proposal: The Evaluation Committee finds that Gilton provides the most reasonable and cost-effective proposal.
2. Local Experience of the Proposer: Although all the proposers demonstrated adequate experience providing collection services during service provider transitions, Gilton's experience providing services to the City provides significant value to the City, as it minimizes the operational issues that often arise through these types of contract transitions. Transitioning between franchise collection service providers often includes a level of anticipated errors arising from changes in service days and times, the exchanges of carts and bins, and even missed collections. With over 3,269 residential customers, even a small percentage of missed collections or challenges can result in significant frustration and customer complaints. Furthermore, service provider transitions often require a substantial amount of City staff time and resources.
3. Technical Approach of the Proposer: While all proposers have demonstrated that they perform capably in day-to-day operations, Gilton's proposal provides superior ability to implement services on an expedited timeframe, as they already have assets in the field and will require the least effort to add new services for rate payers.
November 21, 2023 1 HF&H Consultants, LLC
Solid Waste, Recyclable Materials, and Organic Waste Collection Services Proposal Evaluation Report
4. Public Education and Outreach: All the proposers provided adequate education and outreach plans, but the level of education necessary will vary based on the collection system selected. Gilton offered three (3) dedicated staff to provide education and outreach to the City, which is the largest commitment of staffing resources amongst the proposers. However, Mid Valley and WM provided further details and examples surrounding robust outreach campaigns.
5. Key Personnel Qualifications: All proposers demonstrated capable local management teams with extensive experience providing services similar to those requested in this RFP. It should be noted that all the proposers presented qualified and capable personnel, while Gilton's personnel are the only staff with direct experience servicing the City.
6. Performance Record: After conducting reference checks, Mid Valley obtained the highest score of 187.75 points from reference jurisdictions. Gilton finished less than one percent (1%) behind with 187.67 points, and WM came in third with 170.33 points.
PROPOSALS RECEIVED
The City received proposals from Gilton, Mid Valley, and WM. Gilton provided the City with four (4) collection options, while the other service providers each offered one (1) collection and processing option. These proposals options are included below.
1. Option lA - Three-container collection and processing system (solid waste, recyclable materials, and organic waste) utilizing all new collection containers for residential customers.
2. Option 1B - Three-container collection and processing system (solid waste, recyclable materials, and organic waste) utilizing new collection containers for residential customers whose containers are older than two (2) years old.
3. Option 2A - Two-container collection and processing system (comingled solid waste/recyclable materials and organic waste) utilizing new collection containers for residential customers.
4. Option 2B - Two-container collection and processing system (comingled solid waste/recyclable materials and organic waste) utilizing new collection containers for residential customers whose containers are older than two (2) years old.
Both Mid Valley and WM proposed a three-container collection and processing system (solid waste, recyclable materials, and organic waste) utilizing new collection containers for residential customers.
EVALUATION OF COST AND RATE PROPOSALS
The Evaluation Committee found that Gilton's four (4) proposals provided the lowest rates to residential customers and the lowest overall anticipated rate revenue for the company. Mid Valley's proposal provided the second lowest rates to residential customers and the second lowest overall anticipated rate revenue for the company. WM's proposal provided the highest rates to residential customers and the highest overall anticipated rate revenue for the company. The proposed costs and sample rates for each proposer are provided in Table 1, while the anticipated rate revenue for reoccurring service is included in Table 2. It is worth noting that the difference in annual compensation for reoccurring service is not identical to the November 21, 2023 2 HF&H Consultants, LLC
Solid Waste, Recyclable Materials, and Organic Waste Collection Services Proposal Evaluation Report
difference in proposed rates. These indicators vary based on the proposers' assumptions related to costs for various services, pricing bundles, subscription levels, and several other factors.
Table 1: Proposer Rate Summary
Description Gilton Gilton Gilton Gilton Mid
WM Option 1A Option 1B Option 2A Option 2B Valley
Residential 64-Gallon N/A N/A N/A N/A N/A $43.02
Residential 96-Gallon $34.88 $33.22 $34.80 $33.14 $36.00 $45.89 Commercial 96-Gallon $34.88 $33.22 $34.80 $33.14 $23.00 $57.42 Solid Waste lx/week* Commercial 2 CY Solid $138.00 $138.00 $126.65 $126.65 $117.65 $92.57 Waste, lx/week Commercial 3 CY Solid $204.45 $204.45 $187.63 $187.63 $162.00 $137.14 Waste, lx/week *Commercial 96-Gallon service for recycling and organics are bundled into the solid waste rates for Gilton and WM. Mid Valley charges separate rates for organic waste and recyclable materials collection.
Table 2: Estimated Reoccurring Rate Revenue for Permanent Services Proposer Revenue % Change vs.
Requirement Low Bid
Gilton Option 2B (2 container system - existing carts> 2 years $1,944,208.68 0.0% old replaced)
Gilton Option lB (3 container system - existing carts > 2 years $2,000,976.12 2.9% old replaced)
Gilton Option 2A (2 container system - all new carts) $2,011,677.72 3.5% Gilton Option 1A (3 container system - all new carts) $2,068,445.16 6.4% Mid Valley $2,164,953.60 11.4%
WM $2,462,232.24 26.6%
Based on Table 2, it appears that Gilton provides the lowest overall cost of service to the City, with Mid Valley providing the second most competitive proposal with an anticipated additional revenue requirement ranging from five-point four percent (5.4%) to eleven-point four percent (11.4%) for reoccurring service depending on which of Gilton's collection and processing approaches is used as the point of comparison. Please note that this analysis focuses on reoccurring service revenue, as ancillary charges (e.g., contamination fees, extra pickups, and returned checks) are unpredictable and volatile. Gilton and Mid Valley proposed the least number of ancillary service charges, which include, but are not limited to, charges for contamination, container overage, cart repair/replacement (at the fault of the customer), and locking bins. WM provided the most significant number of ancillary service charges and fees.
In order to estimate the annual rate revenue requirement for recurring services, HF&H utilized the current service levels and adjusted them to account for SB 1383 compliance. It was assumed that all commercial customers that are not currently receiving organic waste collection service would receive the minimum service level, and that all commercial customers would receive the minimum recycling service level available.
HF&H performed additional sensitivity analysis around the projected service levels, which did not change November 21, 2023 3 HF&H Consultants, LLC
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the order of proposal revenue requirements (although it did change the percentage change versus low bid for Mid Valley).
RESPONSIVENESS, COMPREHENSIVENESS, AND CONSISTENCY OF
THE PROPOSAL WITH RESPECT TO THIS RFP
As the first step in the evaluation process, HF&H reviewed the submitted proposals for completeness and compliance with the request for proposals (RFP) requirements. It was determined that all proposals were substantially compliant and consistent with the RFP, procurement procedures, and SB 1383 requirements.
Minor clarifications were required from each proposer, which is standard practice for these procurement processes.
QUALIFICATIONS AND DEMONSTRATION OF PROVIDING SERVICE
TO COMPARABLE JURISDICTIONS
The analysis completed found that all proposers were materially qualified to provide the requested scope of services. All three proposers have a broad range of experience performing services similar to those requested, and would meet the basic qualifications expected for a contractor to provide these services.
While all proposers are qualified to provide the requested services, there are several differences noted by the Evaluation Committee, who focused on four (4) key criteria: 1) qualifications in providing similar services; 2) experience providing public education; 3) experience of key personnel; and 4) overall satisfaction of references with services received.
It was found that all proposers have sufficient experience serving jurisdictions similar to the City. Gilton presented their experience as the incumbent franchisee, as well as a service provider for the cities of Escalon, Hughson, Modesto, Oakdale, Ripon, Riverbank, and Waterford. Their experience as the incumbent service provider and satisfaction of City staff with the provided services demonstrates their familiarity with the City's requirements.
Mid Valley provided similar experiences working within the thirty-two (32) communities throughout the Central Valley; specifically operating in the counties of Merced, Tulare, Kings, Fresno, and Madera. Within Merced County they currently service the cities of Atwater, Los Banos, Dos Palos, and Gustine, as well as portions of Merced County.
WM presented both broad statements demonstrating the extent of their California and national operations experience implementing the requested services, as well as experience servicing Merced County for nearly twenty-five (25) years. Locally, WM services portions of the counties of Merced and Tuolumne, and the cities of Lodi and Stockton.
KEY QUALIFICATIONS: EXPERIENCE WITH PROVIDING PUBLIC
EDUCATION
All proposers demonstrated their prior experience in providing a public education and outreach program, as well as a City -specific public education plan. A synopsis of each proposer's education and outreach approach is listed below:
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Gilton - Gilton has committed a team of three (3) dedicated staff to promote, educate, and increase participation numbers. They also committed to monthly meetings with the City staff for coordination purposes and for developing printed fliers for mass distribution via mail and in-person public events at City Hall, the library, and more. Gilton's proposal for three (3) dedicated public education and outreach staff wase the most number of staff committed by any of the proposers, although others offered more specifics on their outreach collateral.
Mid Valley - Mid Valley has proposed a designated Recycling Coordinator, a robust list of outreach efforts within the business community and at schools, meetings with the City for review and feedback, tours of their diversion facilities, and the provision of annual language appropriate for outreach to each sector (businesses, multi-family, and single-family residential).
WM - WM has proposed to utilize multiple departments for staffing at events and for providing outreach opportunities. For technical assistance, they have offered right-sizing services and a tiered approach to waste audits (conducting site visits for all service recipients in the first four (4) years, than twenty-five percent (25%) of recipients for the remainder of the contract term). They have also provided a list of one-time and annual education collateral materials, as well as access to their company-wide Recycle Right education program.
KEY PERSONNEL QUALIFICATIONS: EXPERIENCE OF THE LOCAL
MANAGEMENT TEAM
All proposers demonstrated capable local management teams with extensive experience providing services similar to those requested in this RFP. The Evaluation Committee believes that this is a key indicator of the ability of the proposers to adapt and respond to issues that may impact the quality and reliability of service to customers.
PERFORMANCE RECORD: SATISFACTION OF THE COMPANY'S
REFERENCE JURISDICTIONS
HF&H contacted the reference jurisdictions included by the proposers. Each reference jurisdiction was asked to score their experience working with the proposer on a scale from one (1) to ten (ten), with ten (10) being the highest possible score. The scores from each reference jurisdiction were then averaged for each category (some references were unable to answer all questions); and these average scores were then totaled. Mid Valley obtained the highest reference score of 187.75 points, with Gilton scoring 187.67 {0.04% less than Mid Valley), and WM scoring 170.33 (9.25% less than Mid Valley). Detailed results of the questionnaire and scoring are presented in Table 3.
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Table 3: Reference Agency Results ,----- ---------,
Reference Check Questionnaire Gilton Mid
WM Valley
Please rate the company on a scale of 1 to 10 on the following topics on a scale of 1 to 10 (l0=best, l=worst)
a. Implementation of New Services (e.g., at the start of contract or new
9.50 8.67 8.00 programs)
b. Customer Service Quality 8.33 9.33 6.33
c. Public Education 8.67 9.33 8.17
d. Billing Procedures 9.00 8.33 9.00
e. Payment of Fees 10.00 9.00 9.33
f. Reporting 9.00 10.00 8.33
g. Handling of Legal and Labor Issues 9.00 9.50 9.00
h. Service Reliability 9.67 9.08 8.33
i. Responsiveness to and Cooperation with City Requests 10.00 9.67 9.67 j. Willingness to Assist with Out-of-Scope Requests 9.50 9.00 8.00 k. Compensation or Rate Adjustment and Review Process 8.67 9.33 9.67 I. Overall Contract Compliance 9.33 9.67 9.00
m. Overall Experience/Working Relationship with Company 10.00 10.00 9.50 Please rate the company's proactivity surrounding the following topics on a scale of 1 to 10 {l0=they're extremely proactive/exceed expectations, !=multiple follow-ups required/failed to meet expectations)
a. Facilitating education and outreach 9.33 10.00
b. On boarding new customers 9.33 9.33
c. Adding programs and services as required by new regulations and/or
10.00 9.00 laws
d. Responding to ad-hoc requests 9.67 9.50
e. Notifying the jurisdiction of issues or changes in conditions 9.67 9.67 f. Completing tasks and communicating resolution 9.67 9.67 g. Facilitating rightsizing services to foster zero waste, and to customize
9.33 9.67 services to meet customer needs
Total 187.67 187.75
EVALUATION OF TECHNICAL PROPOSALS AND DIVERSION
POTENTIAL
7.33 9.00
8.83 8.50
8.33 8.33
7.67 170.33
Technical Proposal - The reasonableness of assumptions ( e.g., number of routes, productivity, etc.) and reliability of approach The Evaluation Committee found that all proposers provided reasonable assumptions and sufficient availability to meet required state compliance. Gilton's approach for implementing a two-container singleNovember 21, 2023 6 HF&H Consultants, LLC
Solid Waste, Recyclable Materials, and Organic Waste Collection Services Proposal Evaluation Report
pass collection system would require the least change for rate payers (Gilton Options 2A and 2B). As the incumbent hauler, Gilton is intimately familiar with the requirements of servicing the City from a routing and productivity perspective. Per SB 1383, the two-container system does require diversion of at least 75% of organic material from the comingled solid waste/recyclables container commencing January 1, 2025. Gilton provided documentation from their ten (10) day audit, which is shown in Table 4 below. Please note that per the SB 1383 regulations, if the facility fails to maintain the required diversion it will be required to implement a three-container system.
Table 4: Gilton Mixed Organic Recovery Efficiency
Mixed Organics Mixed Organics Quarterly Quarter
Recovery Tons Disposed Rate% Organics Tons
Ql 2023 667.91 89.96 88%
Q2 2023 1,405.32 115.05 92%
Q3 2023 1,248.73 141.49 90%
Gilton also proposed a three-container collection system (options 1A and 1B) utilizing a one-pass automated truck for the collection of trash and organics. For the collection of recycling, one automated truck would be used to pick up residential recycling for a total of two (2) trucks per route day. For all options, Gilton has committed to utilizing collection vehicles that are less than ten (10) years old.
Mid Valley also provided a thorough technical proposal containing reasonable routing assumptions, which included three (3) new side-loaders for cart collection and one (1) front loader for commercial collection, among additional roll-off and support vehicles. The number of routes, hours, and productivity appear to be appropriate in comparison with the incumbent and industry overall. Mid Valley also provided assurances related to container and vehicle delivery times.
WM also provided a thorough technical proposal and transition plan, requiring four (4) months from execution. WM has committed to the purchase of three (3) new collection vehicles and received confirmation from their supplier that they can receive the vehicles in time to facilitate their four (4) month time frame. Please note that this are less assets than Mid Valley, but newer assets and the same number of collection vehicles that Gilton is proposing under their three-container system. WM has also committed to container receipt and deployment within the four (4) month timeframe, which includes a buffer window of thirty {30) days between expected delivery and commencement of service for delivery.
Public Education -Thoroughness of public education plans with particular emphasis on the transition to new services, residential recycling, organics recycling, and demonstrated effectiveness
All proposers demonstrated experience in providing public education and outreach for a variety of service conditions, including during the transition of new services and throughout a contract period.
Within Gilton's proposal, they focused on ensuring that a new program would be adequately staffed and resourced to ensure a smooth addition of services. For the onset of recycling services and the increase of organics services, Gilton plans to have three (3) dedicated staff members to collaborate with the City on educating and promoting the new services to the public. There will also be a new website for information November 21, 2023 7 HF&H Consultants, LLC
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on "What Goes Where" and services like bulky item and e-waste collection. All new outreach materials developed, including flyers, mailers, public presentations, and container labels, will focus on proper material sorting and compliance with SB 1383, AB 341, and other relevant state laws.
Mid Valley's proposal also included a thorough education and outreach plan, with reference to transitioning cities like Dos Palos and Gustine from a two-container to a three-container system. Mid Valley will develop and distribute educational materials that comply with SB 1383 requirements and ensure that information is tailored to both in person events and electronic platforms. Mid Valley further committed to performing targeted outreach to regulated food service businesses that generate excess edible food, as well as providing presentations at local events and to schools.
WM offered a tailored approach to education and outreach that complies with all applicable state laws and is based upon the customer type (single-family resident, multi-family resident, and business). During the transition of services, WM will provide a variety of different outreach pieces introducing organics and recycling services, which will be made available online and through direct mailers to residential households.
WM's proposal also paid particular focus to providing technical assistance to businesses during the service transition, with customized service estimates and on-site training of staff on recycling and organic recycling processes.
Financing and Financial Capability
All proposers have demonstrated sufficient financial capabilities for providing the required assets, security in the form of surety bonds, and ability to obtain insurance.
1. Gilton has provided an exhibit detailing their relationship with Oak Valley Community Bank and a revolving credit line of one million dollars ($1,000,000), which has been paid in accordance with all covenants. They additionally have maintained an operating line of credit since 2006 and have demonstrated favorable performance. Gilton has also received capital expenditure financing from Oak Valley Community Bank in each of the last 10 plus years. Finally, Gilton has submitted a letter of favorable commitment from SureTec Insurance Company for a performance bond in the amount of up to three million dollars {$3,000,000). As the incumbent hauler, Gilton actively maintains insurance congruent with the City's requirements, as demonstrated in the exhibits of their proposal through a submittal of their liability insurance.
2. Mid Valley has also received a letter of favorable consideration from their insurance provider, The Hartford. The Hartford has agreed to favorably consider a one hundred percent {100%) performance bond, as they have been providing surety bonds to Mid Valley since 2011. Mid Valley has also submitted a certificate of liability insurance detailing active insurance for commercial general liability, automobile liability, and workers compensation in the same amount as those provided by Gilton.
3. WM has provided a letter from CAN Surety indicating a guarantee of execution of a performance bond in the event that WM is awarded the contract and the agreement is signed by both parties (the City and WM). As a publicly traded company, WM's financial data is widely available; as of 2021, they maintained an asset base of $29.1 billion and revenue of $17.93 million. Additionally, WM has committed to providing an opinion from a Certified Public Accountant regarding their financial status upon City request. Finally, WM has provided their blanket certificate of insurance with amounts exceeding those of the other proposers.
November 21, 2023 8 HF&H Consultants, LLC
Exhibit B
Gilton Solid Waste Management, Inc.
Response to Request for Revised Proposals for City of Livingston Agreement for Solid Waste, Recyclable Materials, & Organic Waste Collection Services Bundled Basic Service
96 Gallon Carts
Revised Proposed Rate Schedule
STANDARD SERVICE. WEEKLY COLLECTION ALL CONTAINERS
Three (3)
Carts:
(1) MSW
(1).Orga9ics
1 Rec cle
$34.88
Monthly Rate
•Three (3) Carts
w/Carts > 2 Yrs.
Replaced:
(1) MSW
(1)Organics
1 Rec cle
$33.22
Two (2)
Carts:
(1) MSW/ Recycle
(1) Organics
$34.80
Note: Proposed rates include Franchise Fees at 15%
*Reduced Pricing available if existing hauler only replaces cans older than 2 years old. "Two (2) C~rts
w/Carts> 2 Yrs.
Replaced:
(1) MSW(Recycle
(1) Organics
$33.14
Exhibit B
Gilton Solid Waste Management, Inc.
Response to Request for Revised Proposals for City of Livingston Agreement for Solid Waste, Recyclable Materials, & Organic Waste Collection Services Revised Proposed Rate Schedule
Standard Service Commercial Bundle
. MonthlvRate .•• •
Bin Collection Three (3) Two (2)
- Si.le . • .. . Frequency . Cart System Cart System
1 Cubic Yard 1 $69.23 $63.54
2 Cubic Yard 1 $138.00 $126.65
2 Cubic Yard 2 $273.52 $251.03
3 Cubic Yard 1 $204.45 $187.63
3 Cubic Yard 2 $386.70 $354.90
3 Cubic Yard 3 $582.66 $534.75
4 Cubic Yard 1 $261.68 $240.16
4 Cubic Yard 2 $509.93 $468.00
4 Cubic Yard 3 $797.51 $731.93
6 Cubic Yard 1 $367.93 $337.67
6 Cubic Yard 2 $717.20 $658.23
6 Cubic Yard 3 $1,096.81 $1,006.61
Note: Proposed rates include Franchise Fees at 15%
.
·.
AGENDA ITEM:
MEETING DATE:
PREPARED BY:
REVIEWED BY:
STAFF REPORT
Discussion and Direction Regarding Municipal Code Section 3-2-8 Restaurant on Wheels
December 5, 2023
Christopher Lopez, Interim City Manager
Christopher Lopez, Interim City Manager
RECOMMENDATION:
It is recommended that the Council provide direction related to the food trucks for the City of Livingston.
FISCAL IMPACT:
There is no fiscal impact with the adoption of the ordinance.
ATTACHMENTS:
1. Municipal Code Section 3-2-8 Restaurant on Wheels.
§ 3-2-1 GENERALLY.
The rates of the license tax for the businesses, trades, occupations and employments named in this chapter are, and the same are fixed in and for the city, in accordance with this chapter and the same shall be paid by any person engaged in or about to engage in, or carrying on or about to carry on the same in the city. When a license can be measured by gross receipts as defined in § 3-2-2(8) of this chapter, the Finance Officer is authorized to license such business under§ 3-2-2 of this chapter, whether or not such business is specifically set forth under a flat rate license section of this chapter. (Ord. 284, passed 6-13-1985)
§ 3-2-2 GROSS RECEIPTS.
(A) Generally. Every person conducting, carrying on or managing a retail business from a fixed place of business within the city shall pay an annual registration tax of $60, and in addition thereto shall pay a business license tax equal to one mil on each dollar of average monthly gross receipts, computed quarterly and payable quarterly on forms provided by the city. (B) Gross receipts defined. For the purpose of this chapter, the following definition shall apply unless the context clearly indicates or requires a different meaning.
GROSS RECEIPTS. The total amount of the sale price of all sales, the total amount charged or received for the performance of an act, service or employment of whatsoever nature it may be, whether such service, act or employment is done as part of or in connection with the sale of goods, wares, merchandise or not, for which a charge is made, including all receipts, cash credits and property of any kind or nature, without any deduction therefrom on account of the costs of the property sold, the costs of the material used, labor or service costs, interests paid or payable, losses or any other expenses whatsoever; provided, that cash discounts allowed or taken on sales shall not be included and this section shall not be construed to impose any tax upon any business or transaction which the city is not authorized to license or tax under any law of the state or the United States. Any tax required by law to be included in or added to the purchase price and collected from the consumer or purchaser, and such part of the sales price of any property previously sold returned by the purchaser to the seller which is refunded by the seller by way of cash or credit allowances given or taken as part payment on any property so accepted for resale, shall be deducted for the purpose of determining gross receipts under this section.
(Ord. 284, passed 6-13-1985; Ord. 405, passed 6-2-1992) § 3-2-3 LICENSE TAX; FLAT FEE.
(A) The following businesses will pay a flat fee license tax of $60 per year:
1. Amusement rides;
2. Auctioneer;
3. Auto or horse races or similar type events;
4. Barbershop;
5. Beauty parlor;
6. Billiard or pool hall;
7. Billposting;
8. Boarders;
9. Bowling alley or bocce alley or handball court;
10. Brokers;
11. Campground or trailer court;
12. Cannery, packing house, manufacturing plant;
13. Christmas related merchandise;
14. Coin operated sound motion picture machines;
15. Concrete pipe laying;
16. Convalescent home;
17. Creamery;
18. Dances;
19. Directories;
20. Dry cleaning, laundry;
21. Feats or performances;
22. Finance or lending agency;
23. Hauling;
24. Home occupation;
25. Hospital;
26. Junk dealer, secondhand store;
27. Livery or feed stable;
28. Minstrels;
29. Newspaper;
30. Nursery;
31. Nursing home;
32. Parking lot;
33. Pawnshop;
34. Peddling sewing machines, organs and office equipment;
35. Phonographs or mechanical musical instruments;
36. Photographic studio;
37. Professions;
38. Radio broadcasting;
39. Real estate office;
40. Service station;
41. Shoeshining;
42. Shooting gallery or skating rink;
43. Shuffleboard;
44. Sideshow signs;
45. Supplying or distributing milk;
46. Tailor shop;
47. Tobacco store;
48. Tombstones;
49. Trained animals;
50. Traveling merchant;
51. Traveling photographer;
52. Undertaker;
53. Vending machines; and
54. Warehouse.
(B) The following businesses will pay a flat fee license tax as follows:
Carnival $600 per week
Circus $120 per day
Contractors $120 per year or $40 per quarter
Fortune teller $100 per day
Restaurant on wheels $25 per quarter
Theaters/shows $54 per quarter, $30 per day or $120 per week if not a fixed place of business
Vending vehicles and $15 per quarter per vehicle plus a $25 registration fee pushcarts (Ord. 405, passed 6-2-1992; Ord. 430, passed 2-15-1994) § 3-2-4 ITINERANT VENDOR.
(A) Every person engaged in the business or occupation of itinerant vendor shall pay a license fee of $100 per day. (B) ITINERANT VENDOR means and includes all persons, both principal and agent, who engage in a temporary and transient business in the city, selling different articles of wearing apparel, dry goods, fancy foods, notions, jewelry, cutlery, groceries,
machinery, vehicles of all kinds and types, hardware, tinware, mill products or merchandise of any class or character, with the intention of continuing such business in the city for a period of not more than 120 days and who, for the purpose of carrying on such business, has no fixed place of business or hires, leases or occupies any room, building or structure therein for the exhibition or sale of such items and articles as set forth above, or from which room, building or structure the sales are to be made or business solicited by means of samples or delivery from house to house; any such person or firm so engaged shall not be relieved from the provisions of this section by reason of associating temporarily with any local dealer, trader, merchant or auctioneer or by conducting such temporary or transient business in connection with, or as a part of, or in the name of any local dealer, trader, merchant or auctioneer.
1. License required. No person, except a person having a fixed and permanent place of business in the city, and duly licensed to so engage in such business at such fixed and permanent place of business under the provisions of this chapter shall:
(a) Engage in the business of hawking, peddling or vending goods, wares, merchandise, periodicals, reading matter, pictures, foodstuffs, services, advertising or any other article or thing of any kind or nature whatsoever, from door to door, house to house, or building to building, or from or upon the streets, alleys, parks or other public places of the city, or from any hotel, motel, rooming house, trailer house, or other enclosure or place, on foot or from or in any vehicle of any nature whatsoever, either by sample or by taking or soliciting orders for immediate delivery or for delivery in the future; (b) Engage in the business of photography, portraiture, photochromography, operating a photograph studio, taking pictures or any other branch of the photographic art whatsoever, or the rendering or performing of any other skill, profession or service, whether from door to door, house to house or building to building, or from or upon the streets, alleys or other public places of the city, or from any motel, hotel, rooming house, trailer house, enclosure or other place, on foot or from any type of vehicle whatsoever; or (c) Engage in the business of soliciting orders for photographs, peddling tickets, certificates or other documents intended to apply in whole or in part payment for photographs, frames or other photographic merchandise, or other material or in any other manner whatsoever engage in the business of or soliciting orders for any branch of the photographic art in any respect, including copying, retouching, enlarging or coloring of photographs or photograph negatives and prints, or for the rendering or performing of any other skill, profession or service, without first having applied for a license to so engage in such businesses in conformity with the requirements of this chapter and without first having been issued the license to engage in such businesses pursuant to the application as provided for in subsection (8)2. of this section. No person shall be relieved from the provisions hereof or of any other section of this chapter by reason of associating temporarily with any local dealer, trader, merchant or auctioneer having a fixed place of business in the city, or by conducting a temporary, transient or itinerant business in connection with or as part of or in the name of any such local dealer, trader, merchant or auctioneer having a fixed place of business within the city.
2. License, application. All applicants for licenses under the provisions of the subsection (8)1. of this section must pay to the Finance Director an application fee of $5 and must make application therefor to the Finance Director of the city upon forms provided by the city, which forms shall require the following information from the applicant:
(a) Full name, permanent business address, local business address and residence address of the applicant, if an individual, or its authorized representative, if other than an individual applicant; the nature of the applicant, the full names, ages, addresses and that is, whether individual, partnership, firm, corporation or otherwise; and occupations of each person who shall actually vend, solicit or otherwise engage in any act whatsoever within the city required by this chapter to be licensed on behalf of or for the applicant, whether as principal, agent, servant, employee, associate, partner, representative or otherwise; and (b) A specific description of the article or service proposed to be sold, vended or performed, whether for immediate or future delivery or performance and the proposed method of delivery and performance, including information as to whether such sales will be made by quantity, weight, quality, package or otherwise and whether delivery or performance will be made personally or by mail or in what other manner.
3. Documents to accompany application. In the event any form, contract, order blank, warranty, agreement or other written or printed document is to be signed by the purchaser or person receiving the property or service or is involved in any manner otherwise in the business of the applicant for a license as an itinerant peddler, solicitor, vendor or photographer, the application form must be accompanied by a copy of such form, contract, order blank, warranty, agreement or other written or printed document.
4. Photograph required. Each application for a license as required by this chapter must be accompanied by two prints of a recent photograph of each individual person who shall actually engage in vending, selling, soliciting, peddling or doing any other act required under this chapter, to be licensed, whether as principal, agent, servant, employee, associate, partner, representative or otherwise, which photographs shall not exceed two inches square in size and shall be full front views of the face and head only of such persons.
5. Cash deposit or band required. In each case where it appears that the applicant will or may demand, accept or receive payments or deposits of money or property in advance of final delivery or performance of services, the application shall be accompanied by a cash deposit of $1,000 or by a bond to the city in the penal sum of $1,000 issued by a surety company authorized to do business within the state. Such bond shall be conditioned for making final delivery of goods, wares or merchandise or for final performance of services to be performed in accordance with the order, agreement or contract entered into, and failing therein, the advance payment or deposit on such order shall be refunded or returned. Such cash deposit or bond, as the case may be, shall remain in full force and effect and be retained for a period of 90 days after the expiration of any such license or the termination of any action upon such bond or deposit of which the Finance Director shall have been notified, unless sooner released by the Finance Director.
6. Fee. Each application for a license shall be accompanied by such license fee as may be set forth in this chapter, unless exemption therefrom is approved by the city.
7. Fingerprints required. At the time of making the application for a license, as required by subsection (8)5. of this section, each individual person, whether as principal, agent, servant or employee who shall actually engage in selling, soliciting, vending or doing any other act covered under the provisions of the above mentioned subsection, shall present himself or herself at the office of the Chief of Police of the city for the purpose of being fingerprinted and supplying routine information required on the fingerprinting forms
provided without expense by the city, including the physical characteristics of each person, identifying marks or scars, age, name, address and signature. Such fingerprint records are to be taken in triplicate and each individual so presenting himself or herself is advised that the city reserves the right to retain one of such fingerprint records, to the Federal Bureau of Investigation of the Department of Justice at Washington, D.C., and to the Criminal Investigation Department of the California Department of Justice at Sacramento, California, for the purpose of filing. No fingerprint records will be returned in the event the license applied for is not issued or is subsequently suspended or revoked.
8. Fee exemption. The following individual applicants shall be exempted from the payment of the license fees in this chapter, but must comply otherwise fully with the applicable requirements as to applications, fingerprinting, bonds and pictures:
(a) Every individual person exempted as an honorably discharged or honorably relieved soldier, sailor or marine under the provisions of Cal. Business and Professions Code § 16001. Such exemptions shall apply only to an individual applicant engaged in peddling, vending or soliciting for and by himself or herself alone, and shall not apply to any individual applicant, otherwise entitled to such exemption, who employs agents, servants or employees in such activities, nor apply to any other type of applicant, of which a person, otherwise entitled to such an exemption is an officer, member, agent or employee. All claims for such exemptions shall be referred to the veteran's service officer of the county for investigation and recommendation; (b) Every individual person selling and vending farm fruits and vegetables grown and produced by his or her own labor on real property belonging to or possessed by him or her, or selling or vending on property, where the property owner has been granted a conditional use permit for the sale of farm fruits and vegetables; (c) Every applicant claiming to be entitled to exemption from the payment of any license provided for in this chapter upon the ground that such license casts a burden upon his or her right to engage in commerce with foreign nations or among the several states, or conflicts with the United States Constitution or the regulations of the United States Congress respecting interstate commerce or any other matter, shall file a verified statement with the Finance Director of the city disclosing the interstate or other character of his or her business entitled to such exemption. Such statement shall state the name and address of the company or firm or group for which the orders are to be solicited or secured or the sale made, the name of the nearest local or state manager, if any, and his or her address, the kind of goods, wares or merchandise to be delivered, the place from which the same are to be shipped or delivered, the method of solicitation or taking orders, the location of any warehouse, factory or plant in the state, the method of delivery, the name and address of the applicant and any other facts bearing on the issues of exemption. All claims for such exemptions shall be referred to the City Attorney for investigation and recommendation; and (d) Any individual who presents his or her goods and/or services for sale at a residence, where the resident has specifically invited said vendor to his or her residence for said presentation for sale, except that such presentations for sale shall not exceed four times per year per residence.
9. Identification card, issuance.
(a) The character and fitness of every applicant shall first be investigated by the Police Department before any license or identification card shall be issued. After conducting such investigation, if the Police Department finds that the character, reputation or fitness of any such applicant is good, the Department shall notify the Finance Director, who shall issue the license and identification card in accordance with this section. If, after conducting such an investigation, the Police Department finds that the character, reputation or fitness of any such applicant is bad, then the Police Department shall recommend the denial of such license and identification card, which recommendation shall be transmitted to the Finance Director. The Finance Director shall thereupon notify the applicant of such fact.
(b) Upon the receipt of the application accompanied by the required documents, the approval of the Police Department and appropriate fees, if any, the Finance Director shall issue a business license to the applicant and individual identification cards to all persons who shall actually solicit for or on behalf of the applicant, whether as principal or otherwise. Such identification card shall have affixed to it one of the pictures filed by the applicant, and shall contain reference to the issuance of the license, a description of the individual to whom issued, date of expiration and the signature of the individual to whom issued. In case the applicant claims an exemption from the payment of license fees under the provisions of subsection (B)B. of this section, the Finance Director shall issue such license only after he or she has reviewed the reports and recommendation of the county veteran's service officer, the agricultural commissio.ner of the county or the City Attorney, as the case may be, and is satisfied therefrom that the applicant is entitled to the exemption.
10. License and identification card to be carried on person. Each applicant for a license, or if other than individual, its representative, must at all times retain in his or her possession the business license issued by the Finance Director and each person issued an identification card must retain the same in his or her personal possession at all times while engaged in the business so licensed within the city and must produce and show the same on the demand of any person solicited or of any police officer or official of the city. No license or person issued an identification card shall alter, remove or obliterate any entry made upon such license or card or deface such license or card in any way. Each license and card shall be personal and not assignable or transferable, nor shall any license or card be used by any person other than the licensee or the person for whom issued.
11. Conditions and regulations applicable ta license. The following conditions and regulations shall also apply to the exercise of the privileges granted by licenses issued under the provisions of this chapter in addition to those set forth in other parts of this chapter or elsewhere in this code.
(a) Shouting, horn blowing, calling wares. No person acting under authority of any license issued pursuant to this chapter shall shout, blow horns or call his or her wares in a loud, boisterous or unseemly manner, or to the disturbance of citizens in the city. (b) Identification by comparing signature with that on license. Every licensee or holder of an identification card, upon the request of any police officer or other officer of the city, shall sign his or her name for comparison with the signature upon the license or card or the signature upon the license application.
(c) Orders to be written in duplicate. Any person acting under authority of any license issued under this chapter who solicits orders for future delivery shall write each order at least in duplicate, plainly stating the quantity of each article or commodity ordered,
the price to be paid therefor, the total amount ordered and the amount to be paid on or after delivery. One copy of such order shall be glven to the customer.
(d) Loitering on stree-ts, or private property. No licensee or his or her agent servant or employee shall stop- or remain in any one place upon the streets, alleys, or public places in the city longer than necessary to make a sale to a customer wishing to buy, except by prior permisston of the Clty Manager, nor shall any licensee or his or her agent, servant or employee stop or remain upon any private property within the city without the consent of the owner thereof or some person having authority to grant such permission.
12. Revocation and suspension. In the event that the Chief of Police of the city has reasonable cause to believe and does believe that any licensee or other person employed by or representing such Hcensee is violating any of the provisions of this chapter or any other law or ordinance relating to the business of the licensee, he or she shall have power to and shall be authorized to suspend such license and all identification cards so issued, If no written appeal is filed with the City Clerk protesting such suspension within tw'o days of the date of such suspension, such suspension shall be deemed permanent and all such licenses or identification cards issued thereunder shall be deemed revoked.
13. Appeals to City Council. In the event that any applicant desires to appeal from any order, denial of exemption, order of suspension or any other ruling of the Finance Director, the Chief of Police or any other officer of the city, made under the provisfons of this chapter dealing with itinerant peddlers, solicitors, vendors, photographers and others, such applicant or any other person aggrteved shall file written notice of such appeal with the City Clerk and such matters shall be heard at the next regular meeting of the City Council, al which time the City Council shall hear and receive evidence, written and oral upon all matters Involved. The decision of the City Council shall he final upon all parties concerned. 14, Solioita6on unlawful where "No Peddlers" sign posted. It Is unlawful for any person described in this section to perform or attempt to perform the acts described In this section by ringing the doorbell or knocking at the door or otherwise calling attention to his or her presence of or at any residence, whereon a sign bearing the words "No Peddlers", or words ofsimllar import is painted or affixed so as to be exposed to public view, and no such person described In this section shall perform or attempt to perform any of the acts described in this section in any building, structure or place of business whereon or wherein a sign bearing the words "No Peddlers" or words of similar import, is painted or affixed so as to be exposed to public view. (Ord. 405, passed 6-2-1992)
§ 3•2-S RESTAURANT ON WHEELS.
Restaurants on wheels shall be subject to the following rules, regulations and requirements:
(A) Restaurants on wheels are subject to§ 3-2-4 of this chapter, with the exception that one for every 5,000 population Is allowed at a fixed iocat'ion upon obta'in'1ng a use permit; and (B) Taco trucks are classified as restaurants on wheels. (Ord.429, passed 2-15-1994)