January 27, 2026
Agenda Item No. 11
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, Senior Management Analyst – 949-718-3466, [email protected] TITLE:
Approval of Amendment No. Four to Beach Container Refuse Collection Service Contract with Rainbow Disposal Co., Inc. (Contract No. 4709) ABSTRACT:
The City of Newport Beach contracts regular refuse collection from designated bins located on City beaches. The current contract with Rainbow Disposal Co. (Rainbow) for this service was approved in January 2011 and expires on February 28, 2026. As recommended by the City Council’s Ad Hoc Refuse Committee, staff requests an amendment to the current agreement with Rainbow to extend the term to December 31, 2029, and increase the not-to-exceed amount by $694,494 to a new total of $3,740,000.
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; b) Approve Amendment No. Four to Agreement with Rainbow Disposal Co., Inc. for Beach Container Refuse Collection Service, increasing the total not-to-exceed amount by $694,494.27 for a new contract total of $3,740,000, and extend the term to December 31, 2029; and c) Authorize the Mayor and City Clerk to execute the amendment.
DISCUSSION:
The City contracts with Rainbow for regular refuse collection service of trash containers located on City beaches. Trash containers are distributed along the beaches of the Peninsula, West Newport and Corona del Mar. Rainbow services 170 containers in the winter period and 207 in the summer period.
Additionally, Orange County Waste & Recycling is in the process of revising its master waste disposal agreements, which expire June 30, 2026, and govern landfill disposal costs for local jurisdictions. The current draft County agreement proposes significant landfill disposal rate increases, extending over the next 10 years. These County landfill disposal costs are a pass-through contract cost to the City. In reviewing the draft County agreement and considering the potential higher range of the proposed disposal cost, as well as adding in a potential annual Consumer Price Index increase of 4.23%, staff estimates the City’s beach trash container contract cost could increase by an average of $360,000 per year, or $1,350,000 over the extended term being requested as Rainbow will pay these added county disposal cost and pass them on to the City.
To ensure the City can maintain and pay for future collection service, staff is requesting approval of amendment No. Four to the agreement with Rainbow Disposal Co. for Beach Container Refuse Collection Service to increase the total not-to-exceed amount by $694,494, and extend the term to December 31, 2029.
FISCAL IMPACT:
The adopted budget includes sufficient funding for the remaining fiscal year. It will be expensed to the Beach Trashcan Collection account in the Public Works Department, 0108051-811031. Additional necessary funding for future years will be programmed during the annual budget process.
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 – Amended Rate Sheet
Attachment B – Amendment No. Four to Beach Container Refuse Collection Service with Rainbow Disposal Co.
Approval of Amendment No. Four to Beach Container Refuse Collection Service Contract with Rainbow Disposal Co., Inc. (Contract No. 4709) January 27, 2026
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