September 26, 2023
Agenda Item No. 3
TO:
HONORABLE MAYOR AND MEMBERS OF THE CITY COUNCIL
FROM:
David A. Webb, Public Works Director - 949-644-3311, [email protected] PREPARED BY:
Charles Springer, Refuse Manager, [email protected] PHONE:
949-718-3466
TITLE:
Ordinance No. 2023-14: Non-Exclusive Commercial Solid Waste Franchise ABSTRACT:
On September 12, 2023, the City Council held a public hearing to consider granting a non-exclusive commercial solid waste franchise agreement to Robert’s Waste & Recycling with an effective date of October 27, 2023, and an expiration date of October 7, 2027. Following the public hearing, the City Council introduced Ordinance No. 2023-14, granting franchise agreements to this entity.
RECOMMENDATIONS:
a) Determine this action is exempt from the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) and 15060(c)(3) of the CEQA Guidelines because this action will not result in a physical change to the environment, directly or indirectly; and b) Conduct second reading and adopt Ordinance No. 2023-14, An Ordinance of the City Council of the City of Newport Beach, California, Granting a Non-Exclusive Franchise Agreement for Commercial Solid Waste and Divertible Materials Handling Services Within the City of Newport Beach to the so-named company.
DISCUSSION:
The City of Newport Beach (City) utilizes a non-exclusive commercial franchise system to manage commercial solid waste collection within the City. This system allows the City to meet the solid waste collections needs of the business community in a comprehensive manner while still complying with State of California (State) law.
Over the past several years, the State has made significant changes to its laws regarding the disposal of solid waste, as well as the amount that is required to be diverted away from landfills and recycled or reused (Assembly Bills 939, 341, 1826, and Senate Bill 1383).
Newport Beach Municipal Code (NBMC) Section 12.63.030 provides that no person shall provide commercial solid waste handling services or conduct a solid waste enterprise in the City without having first been awarded a franchise and entered into a franchise agreement with the City. At the August 22, 2023 meeting, the City Council passed a Resolution of Intention, Resolution No. 2023-46 (Attachment A), to conduct a public hearing at its September 12, 2023 meeting to consider granting a franchise to the entity listed therein.
At the September 12, 2023 meeting, the City Council held a public hearing, conducted the first reading of Ordinance No. 2023-14 (Attachment B) to consider granting a franchise to the entity listed therein, and passed it to second reading.
NBMC Section 12.63.080 allows the City Council to approve or conditionally approve an application for a franchise if, based on the application, information, materials and testimony submitted, the City Council find that:
The application complies with NBMC Chapter 12;
The applicant or any person responsible for the management of the entity submitting the application has not within the past three years: (1) had a franchise for commercial solid waste handling services terminated by the City; and/or (2) operated a solid waste enterprise within the City without a franchise; Awarding the franchise is in accord with the objectives of NBMC Chapter 12; Granting of such franchise will not, under any circumstances of the particular case, materially affect adversely the health or safety of persons residing or working in the City or be materially detrimental to the public welfare or injurious to property or public improvements; and The applicant has sufficient experience, equipment and a recycling plan to safely comply with the requirements of the franchise agreement.
Staff has received and reviewed a franchise application from the entity listed in Resolution No. 2023-46: Robert’s Waste & Recycling. Based on staff’s review, the submitted application meets all criteria required under NBMC 12.63.080.
The new Non-Exclusive Commercial Solid Waste Franchise will take effect 30 days after the proposed adoption of the ordinance with an effective date of October 27, 2023, contingent on the execution of the franchise agreement, and approval of the firm’s required insurance and bonds.
FISCAL IMPACT:
Companies (Franchisees) that are approved and granted a 2020 Non-Exclusive Franchise Agreement for Commercial Solid Waste and Divertible Materials Handling Services within the City are required to pay a franchise fee to the City which is equal to a total of 16 percent of the gross receipts for all commercial franchise services provided by Franchisee in the City.
ENVIRONMENTAL REVIEW:
Staff recommends the City Council find this action is not subject to the California Environmental Quality Act (CEQA) pursuant to Sections 15060(c)(2) (the activity will not result in a direct or reasonably foreseeable indirect physical change in the environment) and 15060(c)(3) (the activity is not a project as defined in Section 15378) of the CEQA Guidelines, California Code of Regulations, Title 14, Chapter 3, because it has no potential for resulting in physical change to the environment, directly or indirectly.
NOTICING:
The agenda item has been noticed according to the Brown Act (72 hours in advance of the meeting at which the City Council considers the item).
ATTACHMENTS:
Attachment A – Resolution No. 2023-46
Attachment B – Ordinance No. 2023-14
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Ordinance No. 2023-14: Non-Exclusive Commercial Solid Waste Franchise September 26, 2023
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