o Compliance Reporting
o Mulch or compost giveaway to support procurement requirements o Support for edible food recovery program
Billing and fees including:
o Billing, collection, and customer service responsibilities to shift from City to WM
o Franchise Fee and Vehicle Impact Fee payments
o One-Time Fees for the reimbursement of procurement services in the amount of $150,000 (due 30 days after contract is signed) o Annual CPI rate adjustments will begin in July 2025 with a cap of 4.0% Other terms, conditions, and services, including but not limited to:
o Cart size options including 35 gallon, 65 gallon, and 96 gallon to meet customer needs
o Multilingual/TDD service (English and other City directed languages) o Local customer service pay location(s) (TBD in advance of July 1 start date)
o Use of low-carbon vehicles
Franchise Fee Study
The City conducted an analysis of the proposed Franchise Fee and development of Vehicle Impact Fee in the proposed Franchise Agreement with Waste Management due to a recent decision by the California State Supreme Court in Zolly v. City of Oakland, which ruled that franchise fees may be subject to Article XIII C of the California Constitution (“Proposition 26”). Under Proposition 26, all charges imposed by public agencies must fit within one of its enumerated exceptions. In the context of solid waste, fees generally fit within one of Proposition 26’s exceptions if they are charges for (1) City services that do not exceed the City’s costs to provide the services; (2) the use of public property; or (3) a special benefit or privilege granted directly to the payor.
This study was conducted by R3 and demonstrated that the Franchise Fee in the proposed Franchise Agreement with Waste Management does not exceed the City’s cost of providing solid waste-related services together with the reasonable charges that the City could impose for the use of City property for solid waste services. The study also established that the City’s Vehicle Impact Fee does not exceed City’s costs of addressing the impacts of solid waste vehicles on the City’s streets and roads. These results can be found in Attachment 2 (Franchise Fee Study). The resolution includes a statement of finding that the City’s Franchise Fee and Vehicle Impact Fee are justified based on the analysis in the attached Norco Franchise Fee Study.
It is recommended that the City Council adopt the Resolution 2024-08 awarding the negotiated Integrated Waste Management Services Agreement (Franchise Agreement) to USA Waste of California, Inc (Waste Management), see attached Resolution.
FISCAL IMPACT:
The existing Franchise Agreement provides an annual estimated Franchise Fee of about $1,416,000, which is based on gross revenue generated from trash services provided by Waste Management. In addition, the City also receives an estimate payment in the amount of $107,000 annually from Waste Management to administer the billing for trash services for an estimate total revenue to the City in the amount of $1,523,000.
The proposed Franchise Agreement has an updated fee schedule that will require Waste Management to pay an annual fixed Franchise Fee and Vehicle Impact Fee that adjusts annually based on a preselected consumer price index. The initial Franchise Fee will begin at $974,621 and the Vehicle Impact Fee will begin at $883,016 for a total revenue to the General Fund of $1,857,637.
Revenue Comparison Table
Revenue Current Proposed
Franchise Fee $1,416,000 $974,621
Billing Fee $107,000 N/A
Vehicle Impact Fee N/A $883,016
Total $1,523,000 $1,857,637
RELATIONSHIP TO STRATEGIC PLAN:
Adoption of Resolution 2024-08 to award a Franchise Agreement to Waste Management is consistent with Strategic Plan Goal No. 3 – Economic Development & Financial Stability: Assure financial stability by expanding development efforts, diversifying revenue sources and continuing prudent financial management.
REVIEWED AND APPROVED BY:
Certified as to Availability of Funds: Lisette Free, Finance Director Approved by: Lori Sassoon, City Manager
Approved as to Form: Harper and Burns, LLC, City Attorney ATTACHMENT(S):
Current List of Services
Proposed Service Rates
Norco Franchise Fee Study Report
Reso 2024-08 & Agreement_Waste
Current Solid Waste Collection Services
Residential Cart Collection Service Programs
Single-family dwelling (SFD) service recipients in the City currently receive curbside carts for garbage, recyclable materials, and organic waste. The details of current services for SFD service recipients are as follows:
Weekly (Monday only) curbside collection of garbage;
Weekly (Monday only) curbside collection of recyclable material; Weekly (Monday only) curbside collection of organic waste; Optional weekly collection (at monthly rate) of Manure in a 96-gallon Cart or 2- yard Bin;
On-call (up to three per year) bulky waste collection; Community Battery Recycling Program at designated sites within the City; Mail-based Sharps collection program;
Holiday Tree Collection; and
Illegal Roadside Bulky Item Removal collected by City staff and disposed by hauler.
Multi-family Collection Service Programs
MFD Service Recipients currently receive a 2, 3, 4 or 6 yard bin or wheeled Cart for Garbage service. A Recyclable Material and Organic Waste cart may be offered based on Applicable Law;
Optional weekly collection (at monthly rate) of Manure in a 96-gallon Cart or 2- yard Bin
Up to three on-call Bulky Waste Collection per year.
Commercial Collection Service Programs
Commercial Service Recipients currently receive wheeled Carts or Bins for Garbage, Organic Waste and Recyclable Material, based on volumetric need.
Commercial Collection Service is provided to Service Recipients at least once per week, but up to six (6) times per week.
Debris Box and Roll-Off Service Programs
Currently, temporary debris box and roll-off services are provided to Service Recipients on an as-needed basis.
City Facility Services Programs
Weekly Garbage, Recycling, and Organic Waste collection from City designated facilities.
Lamp Tracker Program for the mailing of commercial fluorescent bulbs (limited to 4, 6, and 8 foot tubes) at annual cost $5,000.
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Basic Service Current Rate Proposed Rate % Change
Standard Single‐Family Automated Cart Service 64G, 96G 37.51 $ $ 33.41 ‐10.93% Standard Single‐Family Automated Cart Service 35G N/A 30.14 $ Senior / Low‐Income Cart Service 96G 30.35 $ $ 30.14 ‐0.69% Senior / Low‐Income Cart Service 64G 25.96 $ $ 29.40 13.25% Senior / Low‐Income Cart Service 35G N/A 26.46 $
% Change
Cart Exchange (over 1 per year) 22.43 $ $ 21.00 ‐6.38% Recycle Contamination Fee (After 2 notices in any 12 months period) N/A 34.91 $ Additional 95G‐96G or 64G Trash Cart 10.99 $ $ 15.64 42.31% Additional 95G‐96G or 64G Green waste Cart (Applies for second additional) 7.12 $ $ 15.64 119.66% Additional 95G‐96G or 64G Recycling Cart (Applies for second additional) 3.44 $ $ 8.14 136.63% New Service Set Up Fee 14.68 $ $ 15.00 2.18% Cart Delivery (for extra cart) 9.86 $ $ 10.00 1.42% Overage Fee N/A 29.00 $
Cart Removal N/A 4.00 $
Restart Fee N/A 58.00 $
Late Fee / Customer assisted payment N/A 5.00 $
Kitchen Food Pail (Second within the same calendar year) N/A 16.75 $ Damaged/Destroyed Cart N/A At Cost
Multi‐Family Dwelling Trash (Includes bundled rates that include 96‐Gallon Recycling and 64‐Gallon Organic Waste) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G 33.41 $ $ 33.41 0.00% 2CY Bin 1X Week 146.03 $ $ 132.26 ‐9.43% 2CY Bin 2X Week 292.07 $ $ 264.53 ‐9.43% 2CY Bin 3X Week 438.10 $ $ 396.79 ‐9.43% 2CY Bin 4X Week 584.14 $ $ 529.04 ‐9.43% 2CY Bin 5X Week 730.17 $ $ 661.30 ‐9.43% 2CY Bin 6X Week 876.21 $ $ 793.57 ‐9.43% Extra PU $ 68.30 $ 68.30 0.00% 3CY Bin 1X Week* See example row 164 for comparison $ 201.16 $ 182.26 ‐9.40% 3CY Bin 2X Week 402.33 $ $ 364.52 ‐9.40% 3CY Bin 3X Week 603.49 $ $ 546.77 ‐9.40% 3CY Bin 4X Week 804.65 $ $ 729.02 ‐9.40% 3CY Bin 5X Week 1,005.79 $ $ 911.26 ‐9.40% 3CY Bin 6X Week 1,206.94 $ $ 1,093.51 ‐9.40% Extra PU $ 89.92 $ 89.92 0.00% 4CY Bin 1X Week 268.22 $ $ 243.01 ‐9.40% 4CY Bin 2X Week 536.44 $ $ 486.02 ‐9.40% 4CY Bin 3X Week 804.66 $ $ 729.03 ‐9.40% 4CY Bin 4X Week 1,072.88 $ $ 972.05 ‐9.40% 4CY Bin 5X Week 1,341.10 $ $ 1,215.06 ‐9.40% 4CY Bin 6X Week 1,609.32 $ $ 1,458.07 ‐9.40% Extra PU $ 119.89 $ 119.89 0.00% 6CY Bin 1X Week 336.30 $ $ 332.02 ‐1.27% 6CY Bin 2X Week 732.65 $ $ 664.08 ‐9.36% 6CY Bin 3X Week 1,098.97 $ $ 996.12 ‐9.36% 6CY Bin 4X Week 1,465.28 $ $ 1,328.14 ‐9.36% 6CY Bin 5X Week 1,831.59 $ $ 1,660.17 ‐9.36% 6CY Bin 6X Week 2,197.93 $ $ 1,992.23 ‐9.36% Extra PU $ 168.32 $ 168.32 0.00% Residential Service
Multi‐Family Dwelling Services
Other Residential Services
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Multi‐Family Dwelling Recycling Current Rate Proposed Rate % Change Residential Curbside 64G, 96G 25.72 $ $ 26.46 2.88% 2CY Bin 1X Week $ 93.69 $ 94.23 0.58% 2CY Bin 2X Week 187.37 $ $ 188.45 0.58% 2CY Bin 3X Week 281.06 $ $ 282.68 0.58% 2CY Bin 4X Week 374.75 $ $ 376.90 0.57% 2CY Bin 5X Week 468.44 $ $ 471.13 0.57% 2CY Bin 6X Week 562.12 $ $ 565.35 0.57% Extra PU $ 53.40 $ 53.40 0.00% 3CY Bin 1X Week 124.84 $ $ 125.65 0.65% 3CY Bin 2X Week 249.55 $ $ 251.17 0.65% 3CY Bin 3X Week 374.43 $ $ 376.85 0.65% 3CY Bin 4X Week 499.38 $ $ 502.61 0.65% 3CY Bin 5X Week 624.12 $ $ 628.16 0.65% 3CY Bin 6X Week 746.77 $ $ 751.62 0.65% Extra PU $ 74.43 $ 74.43 0.00% 4CY Bin 1X Week 166.44 $ $ 167.52 0.65% 4CY Bin 2X Week 332.87 $ $ 335.02 0.65% 4CY Bin 3X Week 499.33 $ $ 502.56 0.65% 4CY Bin 4X Week 665.76 $ $ 670.07 0.65% 4CY Bin 5X Week 832.20 $ $ 837.59 0.65% 4CY Bin 6X Week 998.63 $ $ 1,005.09 0.65% Extra PU $ 99.24 $ 99.24 0.00% 6CY Bin 1X Week 216.65 $ $ 218.27 0.75% 6CY Bin 2X Week 433.58 $ $ 436.81 0.74% 6CY Bin 3X Week 650.25 $ $ 655.10 0.75% 6CY Bin 4X Week 867.06 $ $ 873.52 0.75% 6CY Bin 5X Week 1,074.50 $ $ 1,082.58 0.75% 6CY Bin 6X Week 1,306.29 $ $ 1,315.99 0.74% Extra PU $ 137.53 $ 137.53 0.00% Multi‐Family Dwelling Organic Waste (Green Waste and Food Waste) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G 1X Week 55.16 $ $ 55.90 1.34% Residential Curbside 64G, 96G 2X Week 110.31 $ $ 111.06 0.68% Residential Curbside 64G, 96G 3X Week 165.48 $ $ 166.22 0.45% Residential Curbside 64G, 96G 4X Week 220.64 $ $ 221.37 0.33% Residential Curbside 64G, 96G 5X Week 275.79 $ $ 276.53 0.27% 2CY Bin 1X Week 306.18 $ $ 306.72 0.18% 2CY Bin 2X Week 612.37 $ $ 613.45 0.18% 2CY Bin 3X Week 918.60 $ $ 920.22 0.18% 2CY Bin 4X Week 1,224.78 $ $ 1,226.93 0.18% 2CY Bin 5X Week 1,530.97 $ $ 1,533.66 0.18% 2CY Bin 6X Week 1,837.17 $ $ 1,840.40 0.18% Extra PU $ 70.71 $ 72.17 2.06% Multi‐Family Dwelling Yard Waste Only (If applicable) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G N/A 36.47 $
2CY Bin 1X Week N/A 230.18 $
2CY Bin 2X Week N/A 460.36 $
2CY Bin 3X Week N/A 690.57 $
2CY Bin 4X Week N/A 920.71 $
2CY Bin 5X Week N/A 1,150.92 $
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Service Description Current Rate Proposed Rate % Change Manure Collection 64G, 96G 40.91 $ $ 31.49 ‐23.03% Manure Collection 2CY 1X Week 145.82 $ $ 142.04 ‐2.59% Manure Collection 2CY 2X Week 266.61 $ $ 267.69 0.41% Manure Collection 2CY 3X Week 387.37 $ $ 388.99 0.42% Manure Collection 2CY 4X Week 508.13 $ $ 510.28 0.42% Manure Collection 2CY 5X Week 628.91 $ $ 631.60 0.43% Manure Collection Every Other Week 89.61 $ $ 94.61 5.58% Manure Extra PU $ 56.07 $ 56.07 0.00% Manure Scout Service 1X Week 53.56 $ ‐ $ ‐100.00% Manure Scout Service 2X Week 107.13 $ ‐ $ ‐100.00% Manure Scout Service 3X Week 160.69 $ ‐ $ ‐100.00% Manure Scout Service 4X Week 214.25 $ ‐ $ ‐100.00% Manure Scout Service 5X Week 267.82 $ ‐ $ ‐100.00% Manure Scout Service Every Other Week 26.78 $ ‐ $ ‐100.00% Manure Scout Service Extra PU 53.56 $ ‐ $ ‐100.00% Residential & Commercial Push Rate ‐ 25 feet 1X Week 17.95 $ $ 16.70 ‐6.96% Residential & Commercial Push Rate ‐ 25 feet 2X Week N/A 33.40 $ Residential & Commercial Push Rate ‐ 25 feet 3X Week N/A 50.10 $ Residential & Commercial Push Rate ‐ 25 feet 4X Week N/A 66.80 $ Residential & Commercial Push Rate ‐ 25 feet 5X Week N/A 83.50 $ Residential & Commercial Push Rate ‐ 25 feet 6X Week N/A 100.20 $ Residential & Commercial Push Rate ‐ 50 feet 1X Week 29.92 $ $ 33.40 11.63% Residential & Commercial Push Rate ‐ 50 feet 2X Week N/A 66.80 $ Residential & Commercial Push Rate ‐ 50 feet 3X Week N/A 100.20 $ Residential & Commercial Push Rate ‐ 50 feet 4X Week N/A 133.60 $ Residential & Commercial Push Rate ‐ 50 feet 5X Week N/A 167.00 $ Residential & Commercial Push Rate ‐ 50 feet 6X Week N/A 200.40 $ Residential & Commercial Push Rate ‐ 75 feet 1X Week 41.89 $ $ 50.10 19.60% Residential & Commercial Push Rate ‐ 75 feet 2X Week N/A 100.20 $ Residential & Commercial Push Rate ‐ 75 feet 3X Week N/A 150.30 $ Residential & Commercial Push Rate ‐ 75 feet 4X Week N/A 200.40 $ Residential & Commercial Push Rate ‐ 75 feet 5X Week N/A 250.50 $ Residential & Commercial Push Rate ‐ 75 feet 6X Week N/A 300.60 $ Residential & Commercial Push Rate ‐ 100 feet 1X Week N/A 66.80 $ Residential & Commercial Push Rate ‐ 100 feet 2X Week N/A 133.60 $ Residential & Commercial Push Rate ‐ 100 feet 3X Week N/A 200.40 $ Residential & Commercial Push Rate ‐ 100 feet 4X Week N/A 267.20 $ Residential & Commercial Push Rate ‐ 100 feet 5X Week N/A 334.00 $ Residential & Commercial Push Rate ‐ 100 feet 6X Week N/A 400.80 $ Split Bin (1.5 CY Trash, 1.5CY Recycling (Space constrains customers only) Current Rate Proposed Rate % Change 3CY Split Bin 1X Week N/A 179.03 $
3CY Split Bin 2X Week N/A 358.07 $
3CY Split Bin 3X Week N/A 537.11 $
3CY Split Bin 4X Week N/A 716.14 $
3CY Split Bin 5X Week N/A 895.15 $
Other Services Current Rate Proposed Rate % Change
Extra Pickup 64G Organics Waste 12.74 $ $ 12.74 0.00% Extra Pickup 2CY Organics Waste 70.71 $ $ 70.71 0.00% Temporary Bin Service 3CY 318.68 $ $ 318.68 0.00% Bulky Waste Residential (Over 3 per year) per pickup 31.86 $ $ 33.00 3.58% Additional Services
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Roll‐off Pull Rates (Roll‐Off Containers billed on a per pull plus Disposal Fee) Current Rate Proposed Rate % Change 10 CY Container Per Pull 698.83 $ $ 338.66 ‐51.54% 20 CY Container Per Pull 698.83 $ $ 338.66 ‐51.54% 30 CY Container Per Pull 698.83 $ $ 338.66 ‐51.54% 40 CY Container Per Pull 698.83 $ $ 338.66 ‐51.54% Inactivity Fee N/A 318.90 $
Setup Fee $ 37.81 $ 38.00 0.50% *Commercial Bundled Service Comparison Current Rate Proposed Rate % Change Commercial MSW Rate 3CY 1X Week 201.16 $ $ 182.26 ‐9.40% Commercial 96G Recycling 1X Week 25.72 $ ‐ $ ‐100.00% Commercial 64G Organic 1X Week 55.16 $ ‐ $ ‐100.00% Total Bundled Rate 282.04 $ $ 182.26 ‐35.38% Commercial Trash (Includes bundled rate that include 1x/week collection of 96‐ Gallon Recycling and 64‐Gallon Organic Waste) Current Rate Proposed Rate % Change Commercial Cart Service 64G, 96G 44.31 $ $ 41.95 ‐5.33% 2CY Bin 1X Week 146.03 $ $ 132.26 ‐9.43% 2CY Bin 2X Week 292.07 $ $ 264.53 ‐9.43% 2CY Bin 3X Week 438.10 $ $ 396.79 ‐9.43% 2CY Bin 4X Week 584.14 $ $ 529.04 ‐9.43% 2CY Bin 5X Week 730.17 $ $ 661.30 ‐9.43% 2CY Bin 6X Week 876.21 $ $ 793.57 ‐9.43% Extra PU $ 63.80 $ 63.80 0.00% 3CY Bin 1X Week 201.16 $ $ 182.26 ‐9.40% 3CY Bin 2X Week 402.33 $ $ 364.52 ‐9.40% 3CY Bin 3X Week 603.49 $ $ 546.77 ‐9.40% 3CY Bin 4X Week 804.65 $ $ 729.02 ‐9.40% 3CY Bin 5X Week 1,005.79 $ $ 911.26 ‐9.40% 3CY Bin 6X Week 1,206.94 $ $ 1,093.51 ‐9.40% Extra PU $ 89.92 $ 89.92 0.00% 4CY Bin 1X Week 268.22 $ $ 243.01 ‐9.40% 4CY Bin 2X Week 536.44 $ $ 486.02 ‐9.40% 4CY Bin 3X Week 804.66 $ $ 729.03 ‐9.40% 4CY Bin 4X Week 1,072.88 $ $ 972.05 ‐9.40% 4CY Bin 5X Week 1,341.10 $ $ 1,215.06 ‐9.40% 4CY Bin 6X Week 1,609.32 $ $ 1,458.07 ‐9.40% Extra PU $ 119.89 $ 119.89 0.00% 6CY Bin 1X Week 366.30 $ $ 332.02 ‐9.36% 6CY Bin 2X Week 732.65 $ $ 664.08 ‐9.36% 6CY Bin 3X Week 1,098.97 $ $ 996.12 ‐9.36% 6CY Bin 4X Week 1,465.28 $ $ 1,328.14 ‐9.36% 6CY Bin 5X Week 1,831.59 $ $ 1,660.17 ‐9.36% 6CY Bin 6X Week 2,197.93 $ $ 1,992.23 ‐9.36% Extra PU $ 168.32 $ 168.32 0.00% Commercial Services
Roll‐off Containers billed one per pull plus process or disposal rate
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Commercial Recycling Current Rate Proposed Rate % Change Residential Curbside 64G, 96G 25.72 $ $ 26.46 2.88% 2CY Bin 1X Week $ 93.69 $ 94.23 0.58% 2CY Bin 2X Week 187.37 $ $ 188.45 0.58% 2CY Bin 3X Week 281.06 $ $ 282.68 0.58% 2CY Bin 4X Week 374.75 $ $ 376.90 0.57% 2CY Bin 5X Week 468.44 $ $ 471.13 0.57% 2CY Bin 6X Week 562.12 $ $ 565.35 0.57% Extra PU $ 53.40 $ 53.40 0.00% 3CY Bin 1X Week 124.84 $ $ 125.65 0.65% 3CY Bin 2X Week 249.55 $ $ 251.17 0.65% 3CY Bin 3X Week 374.43 $ $ 376.85 0.65% 3CY Bin 4X Week 499.38 $ $ 502.61 0.65% 3CY Bin 5X Week 624.12 $ $ 628.16 0.65% 3CY Bin 6X Week 746.77 $ $ 751.62 0.65% Extra PU $ 74.43 $ 74.43 0.00% 4CY Bin 1X Week 166.44 $ $ 167.52 0.65% 4CY Bin 2X Week 332.87 $ $ 335.02 0.65% 4CY Bin 3X Week 499.33 $ $ 502.56 0.65% 4CY Bin 4X Week 665.76 $ $ 670.07 0.65% 4CY Bin 5X Week 832.20 $ $ 837.59 0.65% 4CY Bin 6X Week 998.63 $ $ 1,005.09 0.65% Extra PU $ 99.24 $ 99.24 0.00% 6CY Bin 1X Week 216.65 $ $ 218.27 0.75% 6CY Bin 2X Week 433.58 $ $ 436.81 0.74% 6CY Bin 3X Week 650.25 $ $ 655.10 0.75% 6CY Bin 4X Week 867.06 $ $ 873.52 0.75% 6CY Bin 5X Week 1,074.50 $ $ 1,082.58 0.75% 6CY Bin 6X Week 1,306.29 $ $ 1,315.99 0.74% Extra PU $ 137.53 $ 137.53 0.00% Commercial Yard Waste Only (If applicable) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G N/A 36.47 $
2CY Bin 1X Week N/A 230.18 $
2CY Bin 2X Week N/A 460.36 $
2CY Bin 3X Week N/A 690.57 $
2CY Bin 4X Week N/A 920.71 $
2CY Bin 5X Week N/A 1,150.92 $
Commercial Organic Waste (Green Waste and Food Waste) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G 1X Week 55.16 $ $ 55.90 1.34% Residential Curbside 64G, 96G 2X Week 110.31 $ $ 111.06 0.68% Residential Curbside 64G, 96G 3X Week 165.48 $ $ 166.22 0.45% Residential Curbside 64G, 96G 4X Week 220.64 $ $ 221.37 0.33% Residential Curbside 64G, 96G 5X Week 275.79 $ $ 276.53 0.27% Residential Curbside 64G, 96G 6X Week 330.95 $ $ 331.69 0.22% 2CY Bin 1X Week 306.18 $ $ 306.72 0.18% 2CY Bin 2X Week 612.37 $ $ 613.45 0.18% 2CY Bin 3X Week 918.60 $ $ 920.22 0.18% 2CY Bin 4X Week 1,224.78 $ $ 1,226.93 0.18% 2CY Bin 5X Week 1,530.97 $ $ 1,533.66 0.18% 2CY Bin 6X Week 1,837.17 $ $ 1,840.40 0.18% Extra PU $ 70.71 $ 70.71 0.00%
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Commercial Trash for Organic Waste Exempt Customers (Includes 96‐Gallon Recycling Cart and no Organic Waste) Current Rate Proposed Rate % Change Residential Curbside 64G, 96G N/A 33.41 $
2CY Bin 1X Week N/A 121.35 $
2CY Bin 2X Week N/A 257.71 $
2CY Bin 3X Week N/A 374.43 $
2CY Bin 4X Week N/A 503.99 $
2CY Bin 5X Week N/A 633.55 $
2CY Bin 6X Week N/A 763.12 $
3CY Bin 1X Week N/A 170.81 $
3CY Bin 2X Week N/A 342.83 $
3CY Bin 3X Week N/A 521.36 $
3CY Bin 4X Week N/A 699.88 $
3CY Bin 5X Week N/A 878.40 $
3CY Bin 6X Week N/A 1,056.93 $
4CY Bin 1X Week N/A 235.52 $
4CY Bin 2X Week N/A 461.85 $
4CY Bin 3X Week N/A 699.89 $
4CY Bin 4X Week N/A 937.95 $
4CY Bin 5X Week N/A 1,176.00 $
4CY Bin 6X Week N/A 1,414.05 $
6CY Bin 1X Week N/A 327.28 $
6CY Bin 2X Week N/A 636.27 $
6CY Bin 3X Week N/A 961.54 $
6CY Bin 4X Week N/A 1,286.79 $
6CY Bin 5X Week N/A 1,556.69 $
6CY Bin 6X Week N/A 1,937.32 $
Compactor Haul Rates (Compactor Containers billed on a per pull plus Disposal Fee) Current Rate Proposed Rate % Change
2CY Compactor $ 291.55 $ 291.55 0.00% Extra Collection $ 191.39 $ 191.39 0.00% 3CY Compactor $ 410.76 $ 410.76 0.00% Extra Collection $ 269.76 $ 269.76 0.00% 4CY Compactor $ 547.69 $ 547.69 0.00% Extra Collection $ 359.68 $ 259.68 ‐27.80% 6CY Compactor $ 595.00 $ 595.00 0.00% Extra Collection $ 504.98 $ 504.98 0.00%
Waste Management Proposed Service Rates
Fiscal Year 2024‐25
Additional Services
Service Description Current Rate Proposed Rate % Change Lock Bin, Lock on Gate (Monthly) 20.91 $ $ 19.00 ‐9.13% Trip Charge / Dry Run Commercial and Roll off / Delivery / Relocation (Per occurrence) N/A 106.63 $
Setup Fee (Per occurrence) 37.40 $ $ 36.00 ‐3.74% Delivery Charge Commercial Carts (Per occurrence) N/A 15.00 $ Bin Exchange Fee (Over 1 per year) (Per occurrence) 68.52 $ $ 75.00 9.46% Recycling Contamination Fee (Per occurrence) 91.39 $ $ 91.39 0.00% Overage Fee (Per occurrence) N/A 75.00 $
Commercial Manure Collection 64G (Weekly) 40.91 $ $ 31.49 ‐23.03% Commercial Manure Collection 2CY Bin (Weekly) 145.82 $ $ 142.04 ‐2.59% Commercial Manure Collection 2CY Every other Week (Per occurrence) 89.61 $ $ 94.61 5.58% Commercial Manure Scout Service (Per occurrence) 53.56 $ ‐ $ ‐100.00% Commercial Manure Scout Service second bin same day (Per occurrence) 53.56 $ ‐ $ ‐100.00% Bulky Commercial Fee (Per occurrence) N/A 50.00 $
Additional Sharps Kit (After 1 per year for Standard Service and after 2 per year for Senior) N/A 50.00 $
Bin Cleaning Fee (After 1 per year) (Per occurrence) N/A 48.00 $ Damaged/Destroyed Bin (Per occurrence) At Cost
1512 Eureka Road, Suite 220, Roseville, CA 95661 | p 916.782.7821 | f 916.782.7824 | www.r3cgi.com February 16, 2024
Mr. Chad Blais
Director of Public Works
City of Norco
submitted via email: Chad Blais [email protected]
SUBJECT: Solid Waste Franchise Fee Study – R3 Report
Dear Mr. Blais,
R3 Consulting Group, Inc. (R3) is pleased to submit the attached Report of Solid Waste Franchise Fee Study (Study) to the City of Norco (City). This Report presents our analytical methodology, results and findings, and recommendations regarding the solid waste Franchise Fee and Vehicle Impact Fee to be paid by the City’s contracted solid waste collection service provider, an as-of-yet to be determined contractor (Contractor), per the anticipated Integrated Waste Management Services Agreement (Agreement) between the City and the Contractor, pending resolution of the City’s current request for proposals (RFP) competitive procurement process.
The purpose of this Study was to comprehensively analyze and calculate the following:
City’s Costs: The annual costs to the City for performing its management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system.
Property Use Charges: The annual use charge to the Contractor for its special and lasting access to use government property in the public right-of-way for placement of solid waste containers and collection of the solid waste contents.
Pavement Impacts: The annualized costs for pavement repair, maintenance and rehabilitation resulting from the unique impacts to City street pavement caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service.
We compared the calculated values for each component of the annual Franchise Fee paid by the current contractor, Waste Management, to the City per the soon to expire agreement with the City. We found that the City’s current Franchise Fee is less than the sum of the City’s Costs, government Property Use Charges, and Pavement Impacts calculated in this Study. We also conclude that the first year Franchise Fee amount that would not be more than necessary to cover the City’s reasonable costs in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way, to be $974,621. Likewise, we conclude that the first year Vehicle Impact Fee amount that would not be more than necessary to cover the pavement impacts from Contractor’s solid waste collection vehicles to be $883,016. We appreciate the opportunity to be of service to the City. If you have any questions regarding this Report or need additional information, please contact me.
Sincerely,
Garth Schultz | Principal
R3 Consulting Group, Inc.
510.292.0853 | [email protected]
TABLE OF CONTENTS
City of Norco | Solid Waste Franchise Fee Study – R3 Report toc - i
1. Executive Summary
page 1
2. Methodology & Calculations
page 4
3. Findings & Conclusions
page 18
4. Recommendations
page 19
1. EXECUTIVE SUMMARY
City of Norco | Solid Waste Franchise Fee Study – R3 Report 1 of 20 Background
The City soon intends to enter into an Agreement with a Contractor is for the collection, processing, and disposal of solid waste from covered waste generators in the City. The Agreement will provide the Contractor with the exclusive right to provide critical aspects of the City’s sanitation system including solid waste collection and the other services and programs included in the Agreement. The Agreement specifies that the Contractor will charge solid waste service subscribers, with the Contractor billing and collecting revenues from subscribers and the City authorizing the maximum rates that the Contractor may charge pursuant to the rate adjustment methodology included in the Agreement.
Per the Agreement, the Contractor will pay the City a Franchise Fee to cover the costs incurred by the City in managing, administering, enforcing, and supplementing the services provided in the Agreement, as well as the reasonable charge for the use of the public right-of-way for the special and lasting access to use it for set-out and collection of solid waste containers. The Agreement also provides that the Contractor will pay the City a Vehicle Impact Fee to cover the proportionate costs of the unique impacts to pavement caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service.
Purpose
The purpose of this Study is to prove that the Franchise Fee and Vehicle Impact Fee paid by the Contractor to the City are exempt from consideration as taxes per Article XIII C, Section 1(e) of the California Constitution (“Proposition 26”) and are not higher than necessary to cover the City’s reasonable costs plus the reasonable value of the Contractor’s use of the public right-of-way, including impacts from Contractor’s solid waste collection vehicles in providing sanitation service.
There are three primary exceptions to the Proposition 26 definition of tax that are relevant:
Exception 1: “A charge imposed for a specific benefit conferred or privilege granted directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of conferring the benefit or granting the privilege.” Exception 2: “A charge imposed for a specific government service or product provided directly to the payor that is not provided to those not charged, and which does not exceed the reasonable costs to the local government of providing the service or product.” Exception 4: “A charge imposed for entrance to or use of local government property, or the purchase, rental, or lease of local government property.” The Franchise Fee is a legal fee with two components. The first component includes the City’s reasonable and proportionate costs (City’s Costs) and is a legal fee per Exception 2. The second component includes the reasonable and proportionate and reasonable charges for the Contractor’s use of the public right-of-way (Property Use Charges) and is a legal fee per Exception 4. The Vehicle Impact Fee includes the City’s reasonable and proportionate costs associated with pavement impacts (Pavement Impacts) and is a legal fee per Exception 1.
Methodology and Findings
To complete this Study, R3 reviewed and analyzed information provided by the City pertaining to the City’s Costs, Property Use Charges, and impacts on pavement. Using that information, we then calculated the reasonable and proportionate amounts necessary to cover the City’s costs, including staffing and other costs, use of government property in the public right-of-way, and pavement repair, maintenance, and rehabilitation costs caused by the Contractor’s solid waste collection vehicles during the course of providing sanitation service. All calculated amounts in this Study are in current Fiscal Year (FY) 2023-24 dollars.
Executive Summary
City of Norco | Solid Waste Franchise Fee Study – R3 Report 2 of 20 City’s Costs
The annual costs for management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system includes: staffing salary and benefits, contracted services, capital and equipment depreciation, operations and maintenance, supplies, and overhead for distributed costs including but not limited to property, utilities, insurance, human resources, payroll administration, accounts payable and receivable, and other finance functions.
Staffing costs are calculated based on estimated time allocations (based on historical experience) and other costs are calculated based on estimated share allocations associated with the sanitation system, with distributed overhead applied to both.
The calculation results are $567,808 in staffing costs and $159,794 in other costs for annual proportionate City’s Costs totaling $727,602.
Property Use Charges
The annual charge to the Contractor for use of government property in the public right-of-way is calculated as a function of estimates for the number of solid waste accounts setting out solid waste collection containers in the right-of-way, the set-out area used, the amount of time it is used, and the reasonable market value for the per square foot use of the public right-of-way.
The calculation result for the use of the public right-of-way is a proportionate annual total Property Use Charge of $247,020.
Pavement Impacts
The annualized costs for pavement repair, maintenance, and rehabilitation is calculated based on the proportionate impact to pavement from solid waste collection vehicles compared to other sources of impacts. This calculation accounts for annual repair costs, five-year projections for capital improvement costs, and five-year projections for growth in deferred maintenance (which are zero for the purpose of this Study). The calculation also accounts for the high loading and slow speed impacts on pavement associated with solid waste collection vehicles.
The calculation result for the proportionate Pavement Impacts caused by Contractor’s solid waste collection vehicles during the course of providing sanitation service is an annualized total repair, maintenance, and rehabilitation cost of $883,016.
Conclusions
Franchise Fee
The FY 2022-23 Franchise Fee paid by the current contractor, Waste Management, to the City was $1,279,244 and the projection for FY 2023-24 is $1,376,467. The sum of FY 2023-24 annual City’s Costs and amounts for Property Use Charges and Pavement Impacts calculated in this Study is $1,857,638 which is $481,171 (35%) higher than the projected FY 2023-24 Franchise Fee payments.
The amount of the Franchise Fee is therefore not more than necessary to cover the City’s reasonable costs incurred in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way.
Going forward, for the new Agreement, we calculate a Franchise Fee amount based on the total of City’s Costs ($727,602) and Property Use Charges ($247,020), yielding $974,621 annually for the new Franchise Fee.
Vehicle Impact Fee
There is currently no separate Vehicle Impact Fee paid to the City because past amounts for Pavement Impacts were included in prior Franchise Fee payments. Going forward, the amount of Pavement Impacts
Executive Summary
City of Norco | Solid Waste Franchise Fee Study – R3 Report 3 of 20 calculated in this Study is $883,016 which is the calculated amount for the first year Vehicle Impact Fee in the new Agreement. We further find that:
The amount of Vehicle Impact Fee is not more than necessary to cover the City’s reasonable costs incurred for repair, maintenance, and rehabilitation of pavement made necessary by the impacts of Contractor’s solid waste collection vehicles used in providing sanitation services in the City.
Reasonableness of Estimates and Assumptions
In performing calculations, it was necessary to estimate certain values for which information could not be attained, and for which reasonable ranges exist. Where assumptions were necessary for completing calculations, our objective was to apply assumptions on the lower end of the reasonable range.
Had we used other higher assumptions, the results of this Study would have been higher calculated Franchise Fee and Vehicle Impact Fee amounts. Therefore, we conclude that the calculated fee amounts are not higher than necessary to cover the City’s reasonable costs plus the reasonable value of the Contractor’s use of the public right-of-way.
Limitations
This Study relies on information provided by the City and the Contractor, which we have reviewed and analyzed for reasonableness and accuracy but did not independently audit or verify.
As stated above, it was necessary to estimate certain values for which information could not be attained, and for which reasonable ranges are known to exist. Though, changes to estimates and other underlying assumptions may materially change the calculations, we have elected to apply estimates on the low end of reasonable ranges, thus minimizing the potential that changes in calculations would result in different findings. We have reviewed all estimates and assumptions with City staff and legal counsel and have mutual concurrence on applicability and reasonableness of all such values in this Study.
Finally, the methodology employed by this Study calculates the reasonable values for the Franchise Fee and Vehicle Impact Fee within the context of current laws, regulations, and court rulings. Changes in the legal framework may require revisions to the methodology and findings contained in this Study.
2. METHODOLOGY & CALCULATIONS
City of Norco | Solid Waste Franchise Fee Study – R3 Report 4 of 20 City’s Costs
Methodology
R3 reviewed and analyzed information provided by the City pertaining to the General Fund costs incurred for management, administration, regulatory compliance and enforcement, solid waste collection and clean-up, and other obligations associated with the Contractor’s Agreement and the sanitation system.
These costs include but may not be limited to:
Staffing costs, including salaries and benefits.
Contracted services.
Capital and equipment depreciation.
Capital and equipment operations and maintenance.
Supplies and materials.
Overhead for distributed costs such as property, utilities, insurance, human resources, payroll administration, accounts payable and receivable, and other finance functions.
Using the total annual salary, benefit and other cost information provided by the City we estimated the proportion of costs associated with management and administration of the agreement and the sanitation system. We then calculated the proportionate totals and categorized them by the functions listed in the sections below.
Variables, Estimates and Assumptions
Staffing Costs
Variables associated with salaries and benefits include the allocation of time that positions are dedicated to management and administration of the Agreement and the sanitation system (including time supervising others with primary responsibility for these duties), the amount by which funding of salaries and benefits is paid by the General Fund, and the applicable amount of General Fund overhead.
The estimated time allocation by position category used in this Study (and based on historical experience) is shown in Table 1, below and on the following page, along with the explanation for the allocation values.
Table 1: Allocations of Staffing Time by Position
Positions (and General Fund %) Time
Allocation Explanation
City Manager (100%), Finance Director (60%),
Accounting Manager (50%), Administrative
Analyst (50%), Customer Service Supervisor
(5%), Account Clerk I (50%), Account Clerk III
(79%), Account Clerk I (60%), Account Clerk II
(6%), Senior Accountant (60%), Account Clerk I
(6%), Account Clerk I (30%).
5.98%
Calculated allocation based on the
percentage of City’s Costs plus
Property Use Charges plus
Pavement Impacts divided by FY
2023-24 General Fund Budget.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 5 of 20 Positions (and General Fund %) Time
Allocation Explanation
Public Works Director (20%), Deputy Public
Works Director (20%), Sr. Admin Compliance
Coordinator (20%), Sr. Civil Engineer (60%),
Admin Compliance Coordinator (20%), Permit
Technician (20%), Public Works Superintendent
(5%), Eleven Utility Maintenance Workers (5%),
Two Water Quality Control Technicians (5%),
Public Works Supervisor (5%), and Sewer
Collections Technician (5%), Senior Permit
Technician (20%), and Facilities Maintenance
Superintendent (50%).
100%
Per City staff, all General Fund
allocations for these positions are
associated with City’s Costs for
management and administration of
the Agreement and the sanitation
system.
R3 verified with City staff that the salaries and benefits included in this Study are paid by the General Fund – any non-General Fund portions of positions included in Table 1 have been excluded from the calculations. A General Fund overhead rate of 10% is also applied to the total allocated costs.
Other Costs
Variables associated with the City’s other (i.e., non-salary and benefit) costs include the proportionate allocation of those costs that are for management and administration of the Agreement and the sanitation system, the amount by which these costs are paid by the General Fund, and the applicable amount of General Fund overhead.
The estimated time allocation by cost category used in this Study is shown in Table 2, below, along with the explanation for the allocation values.
Table 2: Allocations of Other Costs by Category
Cost Category Cost
Allocation Explanation
Consulting costs for direct management and
administration of Agreement and sanitation
system.
100%
All these costs are directly
associated with management and
administration of the Agreement
and the sanitation system.
Costs for street tree trimming provided by
contractors. 80%
Based on estimates for the
associated allocated costs for this
item, as estimated by R3 and the
City.
Legal costs for indirect management and
administration of Agreement and sanitation
system.
5.98%
Calculated allocation based on the
percentage of City’s Costs plus
Property Use Charges plus
Pavement Impacts divided by FY
2023-24 General Fund Budget.
R3 verified with City staff that the other costs included in this Study are paid by the General Fund – any non-General Fund portions of these costs as included in Table 2 have been excluded from the calculations. A General Fund overhead rate of 10% is also applied to the total allocated costs.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 6 of 20 Analysis
Direct Management and Administration
This category includes City staffing and consulting costs for direct management and administration of the Agreement and the sanitation system. Staffing costs include allocated staffing costs totaling $484,957. It should be noted that these costs are bundled to include the staffing City’s Costs for CalRecycle and SB 1383 Compliance, Street Sweeping, Catch Basin Waste Removal, Illegal Dumping Clean-up, Public Waste Containers, City Events, and Tree Trimming (described in further detail, below). Other costs include solid waste consulting services provided by R3 for this Study, which amortizes the $30,000 cost for the Study over 5 years and applies 10% for General Fund overhead, totaling for $6,600 in annualized consulting costs. The total calculated cost for this category is $491,557.
Indirect Management and Administration
This category includes City staffing costs for indirect management and administration, including supervision of those responsible for direct management and administration of the Agreement and the sanitation system and associated responsibilities. Allocated staffing costs for this category are $82,851 and direct legal costs are $12,626, for total annual costs in this category of $95,477.
CalRecycle and SB 1383 Compliance
This category includes City staff costs and other costs for various activities associated with the City’s need to implement Senate Bill 1383 (Short-Lived Climate Pollutants Act) as well as annual reporting to the State agency, CalRecycle. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Code Enforcement
This category would include City staffing costs for enforcing the solid waste provisions of the City’s Municipal Code, which includes illegal solid waste accumulations, illegal dumping, littering, improper waste collection setouts, nuisances, and the associated investigations, warnings, notices of violation, and administration of penalties. No costs for this category are included in this Study.
Street Sweeping
This category would include City staffing, capital equipment, and operations and maintenance costs for the City’s street sweeping operations. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Catch Basin Waste Removal
This category would include City staffing, capital equipment, and operations and maintenance costs for the City’s catch basin waste removal operations. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Illegal Dumping Clean-up
This category would include City staffing costs for illegal dumping clean-up as well as costs for outside contractors and service providers for clean-up of un-housed encampments. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Public Waste Containers
This category would include City staff costs and other costs for collection of waste deposited in public waste containers in the public right-of-way and other public locations in the City. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 7 of 20 Waste Collection at City Events
This category would include City staff costs and other costs for collection of waste generated and disposed of at City public events. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study.
Tree Trimming for Vehicle Access to Public Right-of-Way This category includes other costs for trimming of the City’s street trees to provide safe clearance for collection vehicles to collect solid waste from the public right-of-way. Staffing costs for this category are bundled in with Direct Management and Administration Costs for this Study. Direct costs for street tree trimming provided by the City are an annualized $140,568.
Annual Total of City’s Costs
Table 3, below, shows the total of the City’s Costs for management and administration of the Agreement and the sanitation system as calculated in this Study, by category.
Table 3: City’s Annual Costs by Category and in Total
Category Staffing Costs Other Costs Total
Direct Management and
Administration $484,957 $6,600 $491,557
Indirect Management and
Administration $82,851 $12,626 $95,477
Tree Trimming for Vehicle
Access to Public Right-of-Way N/A $140,568 $140,568
Total Annual City’s Costs $567,808 $159,794 $727,602
Property Use Charges
Methodology
R3 reviewed and analyzed information provided by the City and the Contractor pertaining to Property Use Charges for Contractor’s use of the public right-of-way for collection of solid waste collection containers.
When then calculated the annual Property Use Charges based on:
The setout area used for collection of solid waste containers (in square feet).
The amount of time that the area is used.
The reasonable market value for use of the public right-of-way (in dollars per square foot).
The number of solid waste subscribers setting out collection containers in the public right-ofway.
Using these values, we calculated the reasonable market value for the Contractor’s use of government property in the City.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 8 of 20 Variables, Estimates and Assumptions
Setout Area
Standard residential solid waste collection setouts include three solid waste collection containers, usually carts with wheels and lids, with one each for garbage, recycling, and organics waste streams. The setout area needed for placement of these containers is inclusive of the width of each container (typically two feet) as well as minimum required space between the containers and other objects such as cars (minimum of one feet). The set-out area also takes up available parking space and is, thus, assumed to extend six feet out from the curb. It should be noted that the Contractor’s service guide shows two feet between containers and five feet between containers and other objects, which requires a much larger area than the amounts estimated in this Study. Thus, our estimated average setout area is likely low, and is therefore conservative. Taken altogether, the area for residential setouts is calculated as three containers that are each two feet wide, plus one foot between each container and other objects, for a total area ten feet wide times six feet in depth. The result is 60 square feet of setout area used for collection of solid waste containers in residential areas.
The amount of area used for commercial setouts (in this Study, use of the term commercial also always includes multi-family) can vary widely, as there is no standard commercial subscription size profile – each commercial solid waste subscriber can select from a range of container sizes, with most of them being larger than the containers used in residential areas. Given this complexity, this Study assumes that the average commercial setout area is twice that of the residential setout area, for 120 square feet. This estimate is likely lower than the average setout area needed in commercial areas and is, therefore, conservative.
Setout Time Usage
Standard residential solid waste collection is performed once weekly. Most residential containers are set out the evening prior to collection and are removed from the public right-of-way the following afternoon.
Thus, for the purposes of this Study, we assume that collection containers are in the public right-of-way for an average of 18 hours per day, one day per week, which amounts to approximately 10.71% of the time (18 hours divided by 24 per day divided by 7 days per week).
Commercial solid waste subscription setout times can vary widely – just as there is no standard commercial subscription size profile, likewise there is no standard collection frequency. Commercial solid waste subscribers can select collection frequency between once and six times per week, and with different frequencies for different waste streams. Given this complexity, this Study assumes that the average commercial collection frequently is twice weekly, for 12.42% of the time. As with the setout area, this estimate is likely lower than the average commercial collection frequency and is, therefore, conservative.
Reasonable Market Value for Use of Public Right-of-Way
To establish the reasonable market value for use of the public right-of-way, R3 conducted an online survey of recent purchases of bare land in the City. R3 found eight recent sales of bare land in the City, with a maximum sale value of $45.00 per square foot. To that value, R3 added the per square foot value of the City’s street pavement, which is calculated as a function of the total replacement value of the City’s streets ($47,905,000) divided by the area of the streets in square feet (5,957,687) both of which are contained in the City’s move recent (2014) Pavement Evaluation and Pavement Management Program, or pavement management system (PMS) report (see next section).
The resultant value of the street improvements is $2.68 per square foot, which, when added to the $45.00 reasonable market value of bare land, yields $47.68 per square foot. This value is then divided by a reasonable rental realization rate of 10, for a total annual per square foot use charge for the public rightof-way of $4.77. This is multiplied by the General Fund overhead rate of 10% to account for distributed
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 9 of 20 costs including but not limited to property, utilities, insurance, human resources, payroll administration, accounts payable and receivable, and other finance functions, with the resulting per square foot value of $5.24.
This value is comparatively low given other methods that we could have used. For example, other communities have established use charges for use of the public right-of-way via “Streatery” programs or parklet rentals. To our knowledge, the minimum annual use charge per square foot in these communities is $5.21 and the largest is $30.00. The average annual per square foot use charge in these communities is $15.67. To be conservative in our calculations, we used the lower $5.24 per square foot charge for the purpose of this Study as the City has not established a “Streatery” program use charge.
Number of Subscriptions Setting Out Containers
The City’s RFP projected that there are 7,978 residential and 388 commercial solid waste service subscribers in the City. However, not all subscribers set out their containers in the public right-of-way for collection all the time. To account for non-setouts (either because subscribers don’t have waste materials to set out or because they receive on-premises service) we assume that only 90% of residential solid waste subscribers set out containers on a regular basis, for a resulting total of 7,180 average residential setouts. It is also understood that most commercial subscribers do not set out containers in the public right-of-way, and therefore we conservatively assume that only 5% of commercial subscribers set out containers on a regular basis, for a resulting total of 39 average commercial setouts.
Analysis and Total Annual Property Use Charges
Calculating the total annual Property Use Charges using the variables, estimates and assumptions from the prior section is a function of multiplication, as shown in Table 4, below.
Table 4: Calculation of Total Annual Property Use Charges Variable Category Residential Commercial
Grand Total Annual
Property Use Charge
Setout Area 60 SF 120 SF
Setout Time Usage 10.71% 21.42%
Annual Use Charge $5.24 per SF $5.24 per SF
Number of Setouts 7,180 39
Total Annual Property
Use Charges $241,767 $5,253 $247,020
Pavement Impacts
Methodology
R3 reviewed and analyzed information provided by the City pertaining to Pavement Impacts from the Contractors solid waste collection vehicles. We then calculated estimates of the proportionate share of the average annual pavement repair, maintenance and rehabilitation costs associated with solid waste collection vehicles based on the proportionate impact to pavement from solid waste collection vehicle compared to other sources of impacts.
The calculation accounts for the City’s annual repair costs, five-year projections for capital improvement costs, and five-year projections for annualized growth in deferred maintenance. The calculation also
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 10 of 20 accounts for the high loading and slow speed impacts on pavement associated with solid waste collection vehicles.
The calculation proportionately allocates the average annual pavement management costs to solid waste vehicles based on:
The equivalent single-axle load and proportionate impacts from speed for those vehicles compared to other vehicles.
The number of vehicle trips on City streets.
The proportion of vehicle trips that are made by trucks versus automobiles.1 Variables, Estimates and Assumptions
The weight, loading, slow speed, and frequent stops that characterize solid waste collection vehicle operations impose unique and quantifiable impacts on the City’s street pavement. It is important to understand that, while calculation of vehicle impacts to pavement can be precise for individual vehicles, out of necessity we made certain assumptions about overall blended pavement impacts associated with several categories of vehicle types for the purposes of this Study. This is because we sought to calculate estimated impacts to all street pavement in the City, covering all vehicle uses, and precise traffic information at that scale is not currently available. Thus, we make informed assumptions regarding several variables necessary for this Study.
For each of these variables, there is a range of potentially reasonable values that may be used. We have selected values at the low end of the reasonable range to present findings that conservatively calculate estimated values of the pavement impacts associated with the Contractor’s solid waste collection vehicles during the course of providing sanitation service.
Assumptions used are described in the following subsections, which reference sources supporting the summary provided here. We must note that changes in assumptions may result in material changes in calculation results and findings.
Factors Impacting Pavement Conditions
Street pavement repair, maintenance and rehabilitation needs and their resulting costs are affected by several factors including vehicle usage and trench cuts and subsurface activities related to underground utilities.
Environmental conditions such as light and water also contribute to pavement repair, maintenance and rehabilitation needs in combination with the primary impacts from vehicles, trench cuts, and subsurface activities. This Study only focuses on the impacts to street pavement from vehicles, and the proportion of those impacts that are attributable to the Contractor’s solid waste collection vehicles as they perform sanitation service.
City’s Costs for Pavement Repair, Maintenance and Rehabilitation The City regularly projects its costs for repair, maintenance and rehabilitation of pavement resulting from degradation due to use. These projections, and the basis for them, are documented in the PMS which was provided by the City.
1 Our analysis accounts for the distribution of vehicles among the 13 Federal Highway Administration vehicle classifications, which include passenger cars, SUVs/pick-ups, buses, and multiple truck and truck/trailer axle combinations.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 11 of 20 Per the City’s CIP for streets, the City’s projected average annual pavement maintenance and rehabilitation costs from 2023 through 2027 for its entire street network are approximately $5.4 million.
Deferred pavement maintenance on the City’s streets2 (which is the result of degrading pavement conditions associated with the impacts of vehicles) could also be considered for the purposes of this Study, but information on any growth in deferred maintenance was not available.
Axle Loading
Our methodology for calculating the proportionate amount of pavement maintenance and rehabilitation impacts for the Contractor’s vehicles is grounded in the fact that all vehicles, including solid waste collection vehicles, degrade pavement during use. Measurement of that impact – also known as “vehicle loading” – can be estimated, quantified, and expressed as an Equivalent Single Axle Load (ESAL), which is a function of the vehicle’s weight and the distribution of that weight over the vehicle’s axles.
It is important to note that heavier vehicles have more impacts on pavement and have a higher vehicle loading ESAL value. It is also important to note that ESAL values are associated with vehicle loading only, and not the speed of the vehicle; it is therefore assumed that relative ESAL values between vehicle types are based on vehicles travelling at the same rate of speed.
For this analysis, R3 used the vehicle categories and average ESAL values shown in Table 5, below. Table 5 explains and cites supporting information for how the ESAL for each vehicle type was determined.
Table 5: ESAL Value Assumptions by Vehicle Type
Vehicle Type ESAL
Value Source
Automobiles (Passenger Cars) 0.0008
AASHTO (American Association of State Highway and
Transportation Officials) Design Guide with ESALs by
Vehicle Type.
Average of All Other Trucks3 0.0171
Calculated Value Using AASHTO Design Guide with
ESALs by Vehicle Type, Federal Highway Administration
ESALs by Vehicle Type, Comparative Traffic Counts.
Solid Waste Vehicle (Garbage) 1.0000
Calculated Values by Type Using Example Axle Weights
and AASHTO Axle Load Equivalency Factors. Solid Waste Vehicle (Organics) 1.0000 Solid Waste Vehicle (Recycling) 0.7500
Given the assumed ESAL values in Table 5, a solid waste vehicle collecting garbage has 1,250 times the impact of an automobile. We are aware of other research concluding that the impacts of solid waste collection vehicles may be as high as 8,000-9,000 times the impact of passenger cars; thus, our assumed ESAL of “1” for garbage collection vehicles is on the low end of the reasonable range of ESALs for such vehicles.
Speed Impact
2 Deferred maintenance is planned maintenance that gets delayed and backlogged because of a lack of funding.
Deferred maintenance costs remain on the books until they are funded and the work is completed and recategorized in the City’s PMS.
3 “All other trucks” means all vehicles with high loading and impact on street pavement other than solid waste vehicles.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 12 of 20 Impacts to flexible pavements (which are typical for residential streets) are also influenced by vehicle speeds, with impacts being exponentially higher when a load carrying vehicle is moving at a very slow speed.4 This is demonstrated in Chart 1, on the following page.
Chart 1: Exponential Relationship Between Speed and Pavement Impacts Unlike typical traffic on residential streets, which tends to travel at or near the posted speed limit (25 miles per hour [mph] in the City), solid waste vehicles slow and stop for collection in front of each household, averaging approximately 4 mph to 8 mph.5 At these low speeds, and as shown in Chart 1, vehicles have approximately 2.2 to 2.6 times the impact to the pavement than they would travelling only at the 25 mph speed limit.
In this Study we conservatively assume that solid waste vehicles in the City may be travelling at a faster 10 mph average speed, and we thus assume that the relative impact of speed is a factor of 2, not the higher
2.2 to 2.6 factors corresponding with slower speeds as noted above. We apply this speed factor of 2 as a multiplier to the ESAL loading for solid waste collection vehicles in our analysis of impacts to residential streets only; the factor is not applied to the ESAL loading for arterial and collector streets, as those streets are not typically comprised of flexible pavements, solid waste collection vehicles stop less frequently on those streets (and thus have a higher average speed).
Vehicle Passes Per Day
By estimating the number and type of vehicles (i.e., solid waste collection vehicles, automobiles, and all other trucks) that travel on a street, and the average pavement impacts (measured in ESAL loading) associated with each vehicle type (described in the prior subsection), the total impacts that the pavement will experience can be estimated in a mathematical calculation. Our analysis makes informed assumptions about the number of vehicle passes (meaning trips down streets) by type for the two major types of streets identified by the City in its PMS. Those two types of streets are: high traffic volume streets (namely arterial and collector streets) and low traffic volume streets (residential streets). Specific data for the City relating 4 Effect of truck speed on the response of flexible pavement systems to traffic loading; International Journal of Pavement Engineering, July 2020; Michael R. S. Mshali and Wynand JvdM. Steyn. 5 Real-world activity, fuel use, and emissions of heavy-duty compressed natural gas refuse trucks; Science of the Total Environment 761, 2021; Gurdas S. Sandhu, H. Christopher Frey, Shannon Bartelt-Hunt, Elizabeth Jones.
0.00 0.50
1.00 1.50
2.00 2.50
3.00 3.50
0 2 4 6 8 10 12 14 16 18 20 22 24 26
Relative Impact
Average Speed (MPH)
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 13 of 20 to the number of vehicle passes per day and the proportion of those passes that are comprised of trucks was not available for this Study.
For the low traffic residential streets, we used an estimate of 3,263 vehicle passes per day, based on traffic survey information provided by the City. We also estimated that 5% of residential traffic trips were made by trucks, which we know to be conservative based on data we have reviewed in completing prior studies, in which estimates for this percentage tend to be lower than 5% (and never higher).
For arterial and collector streets, we used an estimate of 20,369 passes per day, again, based on traffic survey information provided by the City. For the percentage of those trips that are trucks, we used a calculated value based on comparative traffic counts from the City of Torrance in 2023 and which is the same dataset that we used to estimate the average ESAL for “All other trucks” in Table 5. R3 calculated the average daily traffic counts for all vehicles on commercial streets in that city, with 87.7% of the average daily traffic count being comprised of passenger cars and motorcycles and the remaining 12.3% being comprised of trucks. For the purposes of this Study, we have assumed an even higher percentage of arterial and collector street traffic being trucks, at 15% of the average daily traffic. As with the prior assumptions, this value is conservative in that it returns a low proportionate value for the impacts to streets from the Contractor’s solid waste vehicles. Table 6, below, is a summary of the average daily vehicles passes and the percentage that are trucks assumptions used in this Study.
Table 6: Vehicle Passes Per Day by Street Type
Street Type Vehicle Passes Per Day Percentage of Vehicle Passes That Are Trucks
Residential 3,263 5%
Arterial and Collector 20,369 15%
Vehicle Passes By Vehicle Type
The variables described in the prior subsection provide the overall number of vehicle passes per day, and the percentage of those passes that are trucks. To isolate the vehicle loading impacts to pavement associated with solid waste collection vehicles we need to determine the number of passes that those vehicles make per day. This is a relatively simple calculation based on the weekly schedule of collections for solid waste collection services.
For the low traffic residential streets, solid waste collection operations are on a weekly schedule. Since weekly collections are on both sides of the street, each street is driven twice (once in each direction) by a minimum of one of each type of solid waste collection vehicle. For the purposes of this Study, we assume that each solid waste collection and vehicle makes two passes per week, or 0.286 passes per day on residential streets. This value does not account for the fact that some streets are driven on during nonroute days so that collection vehicles can access streets on a given route, meaning that the actual average passes per week in the City must be higher than stated above.
Using the lower passes per week is conservative in that it returns a lower result for the street impacts from the Contractor’s solid waste vehicles. For the high traffic arterial and collector streets, which are primarily commercial, the schedule for solid waste collection can vary. Solid waste collection services may be provided up to five or six times a week for larger waste generators and may be as low as weekly for smaller generators. Additionally, because solid waste generators in commercial areas are not all on the
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 14 of 20 same collection schedules as residential accounts are, vehicles in commercial areas pass over the same streets multiple times to serve accounts with different collection schedules.
For the purposes of this Study, for arterial and collector streets, we assume that solid waste collection vehicles collecting garbage for landfill disposal pass over each street two times per day (once in each direction), while solid waste collection vehicles for organics and recycling pass over each street once per day (one half in each direction). Total passes for organics and recycling collection vehicles are less because it is generally the case that service levels for garbage are at least twice those of the corresponding organics or recycling service level. As with the number of passes on residential streets, this value does not account for the fact that some streets are driven on during non-route days so that collection vehicles can access streets on a given route, meaning that the actual average passes per week in the City must be higher than stated above. Using the lower passes per week is conservative in that it returns a lower result for the pavement impacts from the Contractor’s solid waste vehicles.
The number of passes per day for the remaining vehicle types – automobiles and other trucks – are simply calculated as a function of the total number of daily passes, the total number of those that are trucks (based on the percentages discussed in the prior section), and the number of passes for solid waste collection vehicles. For example, for the City’s residential streets, given the assumed 1,500 passes per day and 5% (75) of those being trucks, there are 1,425 automobile passes per day (1,500 x 95%).
With three types of solid waste collection vehicles each passing 0.286 times per day (as described above), the total passes per day are 0.857 (3 x 0.286). The number of passes for all other trucks is
74.143 (150 minus 0.857). Table 7, below, provides a summary of vehicle passes per day by street type.
Table 7: Vehicle Passes Per Day by Vehicle Type and Street Type Vehicle Type Residential Streets Arterial and Collector Streets Automobiles (Passenger Cars) 3,100.119 17,313.395
Average of All Other Trucks 162.307 3,052.448
Solid Waste Vehicle (Garbage) 0.286 1.429
Solid Waste Vehicle (Organics) 0.286 0.714
Solid Waste Vehicle (Recycling) 0.286 0.714
Total 3,263 20,369
Percentage of Streets by Type
A final variable that needs to be addressed in the percentage of streets by type. This information is included in the City’s PMS, including the relative area by street type, as shown in Table 8, below.
Table 8: Percentage of Streets by Type
Street Type Area (Square Feet) Percentage of Area
Residential 13,262,258 74.2%
Arterial 2,569,451 14.4%
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 15 of 20 Street Type Area (Square Feet) Percentage of Area
Collector 2,041,353 11.4%
Total 17,873,062 100%
Analysis
Percentage Impact for Solid Waste & Street Sweeping Vehicles by Street Type With the variables for ESAL by vehicle type, the multiplication factor for the relative impacts of speed for solid waste collection vehicles on residential streets, and the number of passes by vehicle type established, we then calculate the relative percentage impact associated with each vehicle type. This is calculated as a function of ESAL multiplied by speed factor (residential streets only) multiplied by the number of weekly passes, multiplied by ESAL, with the product being the total vehicle loading pavement impact by vehicle type per week.
Totaling the weekly total vehicle loading by vehicle types yields the total estimated loading experienced by each street type (residential vs. arterial and collector). From there, we calculate the percentage contribution to total vehicle loading for solid waste collection vehicles, which is the total weekly ESAL loading associated with solid waste collection vehicles divided by the total ESAL loading for the street.
Table 9, below, and Table 10, on the following page, show these calculations and the results.
Table 9: Calculation of Solid Waste Pavement Impacts – Residential Streets
A B C D E F
Vehicle Type
Average
ESAL /
Vehicle
(Per Table
5)
Relative
Impact
from
Speed
Passes /
Day /
Vehicle
Type
(Per Table
7)
Passes /
Week /
Vehicle
Type
(C x 7)
Total
Weekly
ESAL
Loading
(A x B x D)
Percent of
Total
ESAL
Loading
(E / 27.85)
Automobiles 0.0008 1x 3,100.119 21,701 17.36 36.33%
All Other Trucks 0.0171 1x 162.307 1,136 19.43 40.65%
Garbage Vehicles 1.0000 2x 0.286 2 4.00 8.37%
Organic Material Vehicles 1.0000 2x 0.286 2 4.00 8.37%
Recycling Vehicles 0.7500 2x 0.286 2 3.00 6.28%
Total 3,263 22,843 47.79 100%
As shown in Table 9, for the City’s residential streets we calculated the percentage impacts for solid waste vehicles to be 23.02% of total impacts to residential street pavement (8.37% times 2 plus 6.28%).
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 16 of 20 Table 10: Calculation of Solid Waste Vehicle Impacts – Arterial and Collector Streets
A B C E F
Vehicle Type
Average
ESAL /
Vehicle
(Per Table 5)
Passes /
Day /
Vehicle Type
(Per Table 7)
Passes /
Week /
Vehicle Type
(B x 7)
Total Weekly
ESAL
Loading
(A x C)
Percent of
Total ESAL
Loading
(E / 359.13)
Automobiles 0.0008 17,313.395 121,194 96.96 20.15%
All Other Trucks 0.0171 3,052.448 21,367 365.38 75.95%
Garbage Vehicles 1.0000 1.429 10 10.00 2.08%
Organic Material Vehicles 1.0000 0.714 5 5.00 1.04%
Recycling Vehicles 0.7500 0.714 5 3.75 0.78%
Total 20,369 142,581 481.08 100%
For the City’s arterial and collector streets, Table 10 calculates the percentage impact from solid waste vehicles to be 3.90% of the total impacts (2.08% plus 1.04% plus 0.78%).
Average Annual Pavement Expenses
Per the City’s CIP, the City is projected to spend $5,425,000 million per year on pavement repair, maintenance, and rehabilitation.
Average Annualized Deferred Maintenance
In addition to contributing to annual pavement maintenance and rehabilitation costs, solid waste vehicles also contribute to deferred maintenance. No change in deferred maintenance are contemplated in this Study.
Reduction for Pavement Subsurface Impacts
Expenditures for pavement maintenance repair impacts to pavement caused by vehicles, trench cutting and subsurface activities, as well as the environmental impacts associated with those same sources of primary impacts.
We roughly estimate the impacts of trench cutting and subsurface activities on the City’s streets to be 10% of all pavement repair, maintenance, and rehabilitation costs. This leaves 90% of the average annual pavement management costs and average annualized deferred maintenance needs associated with vehicle impacts. This is demonstrated in Table 11, on the following page.
Methodology & Calculations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 17 of 20 Table 11: Average Annual Pavement Impacts from Vehicles Category Amount of Impacts
from All Sources
Reduction for
Subsurface Activities
Amount of Impacts
from Vehicles
Average Annual
Pavement Expenses $5,425,000 -10% $4,882,500
Table 12, below, shows the breakdown of the average annual pavement impacts from all vehicles by street type, using the total from Table 11.
Table 12: Total Pavement Impacts from Vehicles by Street Type Variable Residential Arterial and Collector Total
Percentage of Streets
by Type (From Table 8) 74.2% 25.8% 100%
Total $3,633,937 $1,259,563 $4,882,500
Total Annual Pavement Impacts
Calculating the total annual Pavement Impacts using the variables, estimates and assumptions from the prior section is a function of multiplication, as shown in Table 13, below.
Table 13: Calculation of Total Pavement Impacts from Contractor’s Vehicles Variables Residential Arterial and Collector
Grand Total
Annual Pavement Impacts
from Vehicles (From
Table 12)
$3,633,937 $1,259,563
Percentage Impacts from
Contractor’s Vehicles
(From Tables 9 and 10)
23.02% 3.90%
Total $833,925 $49,091 $883,016
3. FINDINGS & CONCLUSIONS
City of Norco | Solid Waste Franchise Fee Study – R3 Report 18 of 20 Franchise Fee
R3 calculated reasonable estimates of the City’s Costs and Property Use Charges based on actual and estimated cost information provided by the City, and with reasonable and conversative assumptions for estimated values.
The sum of FY 2023-24 annual City’s Costs ($727,602) and Property Use Charges ($247,020) amounts calculated in this Study is $974,621.
The calculated amounts bear a reasonable relationship to the Contractor’s burdens on the City resulting from the management and administration of the Agreement and the sanitation system, and the reasonable value of the Contractor’s use of the public right-of-way. The City’s Costs have been reviewed and confirmed by City staff as being representative of the actual time and costs incurred for these activities. Amounts of Property Use Charges are proportionately allocated to the Contractor with due recognition of the realities of the Contractor’s operations.
The Franchise Fee therefore is not more than necessary to cover the City’s reasonable costs incurred in managing and administering the Agreement and the sanitation system plus the reasonable value of the Contractor’s use of the public right-of-way.
Vehicle Impact Fee
R3 calculated reasonable estimates of the Pavement Impacts from Contractor’s solid waste collection vehicles based on quantifiable impacts from such vehicles.
The amount of Pavement Impacts calculated in this Study is $883,016.
The amount calculated Pavement Impacts bear a reasonable relationship to the Contractor’s burdens on the City resulting from the pavement impacts caused by Contractor’s solid waste collection vehicles. Calculations of Pavement Impacts have been proportionately allocated to the Contractor with due recognition of the impacts from loading, speed, number of trips, and other causes of pavement repair, maintenance, and rehabilitation needs.
The Vehicle Impact Fee there is not more than necessary to cover the City’s reasonable costs incurred for repair, maintenance, and rehabilitation of pavement.
Fee Summary by Line Item
Table 14, below, shows the fees calculated by this Study by line item category.
Table 14: Calculation of Total Pavement Impacts from Contractor’s Vehicles Fee Category First Year Annual Fee Amount
Franchise Fee – City Direct Administration – Staffing $484,957 Franchise Fee – City Direct Administration – Contracts $6,600 Franchise Fee – City Indirect Administration – Staffing $82,851 Franchise Fee – City Indirect Administration – Legal $12,626 Franchise Fee – City Tree Trimming Costs $140,568
Franchise Fee – Property Use Charges $247,020
Vehicle Impact Fee – Pavement Impacts $883,016
Total $1,857,638
4. RECOMMENDATIONS
City of Norco | Solid Waste Franchise Fee Study – R3 Report 19 of 20 Proposition 218 Noticing and Rate Hearing
R3 understands that the City intends to conduct a Proposition 218 45-day written noticing and rate hearing for the new rates to be charged via the new Agreement.
R3 recommends the City include a summary of the fee revenue and expense categories in the Proposition 218 notices and public hearing. This may be as simple as a statement that “Noticed rates include revenues for payment of Contractor’s Franchise Fee and Vehicle Impact Fee to the City.
These Fees have been established cover the City’s direct and indirect staffing and contractor costs for management and administration of the Agreement and the City’s sanitation system, tree trimming for solid waste vehicle access to the curb in the public right-of-way, uses charges for set out of containers in the public right-of-way, and repair of damage to pavement caused by Contractor’s vehicles during the course of providing sanitation services in the City.” Alternatively, the City could provide additional details in the notice and hearing.
Municipal Code Revision
The City’s Municipal Code Section 6.42.030 provides that the franchise fee paid to the City by an exclusive franchisee shall be determined by resolution of the City Council. Section 6.42.030 also specifies that the franchise fee shall be based on a percent of franchisee’s gross revenues received by providing service in the City. This Study establishes the fee justification and nexus for a franchise fee calculated in annual dollars, not a percent of gross revenues. As such, we recommend that the City revise Section
6.42.030 of the Municipal Code to remove reference to the franchise fee being a percentage.
Additionally, Section 6.42.030 of the City’s Municipal Code states that non-franchised solid waste haulers serving other public agencies in the City (such as school districts, State agencies, etc.) shall also pay a percentage franchise fee to the City. This Study does not contemplate fee payments from such haulers, nor does the City have agreements, permits, or other mechanisms to compel such haulers to pay franchise fees. Given the impracticality of collecting franchise fees from non-franchised haulers, we recommend that the City revised Section 6.42.030 of the Municipal Code to remove that requirement.
R3 recommends the City revise Municipal Code Section 6.42.030, as follows (with additions shown in underline and deletions shown in strikethrough):
The City may provide for the collection, transportation, and disposal of solid waste by franchise. If the City awards an exclusive franchise, the terms of the franchise agreement shall govern the rights and obligations of the City and the franchisee, unless otherwise stated in this chapter.
At its discretion, the City Council may grant franchises to qualified parties to collect and haul solid waste and/or recyclables as permitted by law in the City on such terms and conditions as may be agreed to by the City and by the party or parties receiving the franchise or franchises. Franchises as granted by the City Council may be nonexclusive, exclusive, or partly exclusive and partly nonexclusive. The Council may grant franchises through the process of negotiation or pursuant to competitive bidding.
In the event that the City, pursuant to Public Resources Code Section 40059, awards an exclusive franchise to provide for refuse collection, recycling and disposal services, a franchise fee based on a percent of franchisee’s gross revenues from all services shall be imposed by the City to defray the costs of public services, maintaining and repairing City rights-of-way affected by heavy equipment used by the franchisee. The fee shall also be paid in the same amount by other haulers who have hauling contracts approved by other public entities. The franchise fee shall be determined by fee resolution approved by City Council.
Other public agencies may elect to contract with a different solid waste hauler to service their respective agency properties. but said hauler shall pay fee at the same rate provided under the
Recommendations
City of Norco | Solid Waste Franchise Fee Study – R3 Report 20 of 20 franchise agreement granted by the City to franchise haulers. To the extent that any provision of the franchise agreement is inconsistent with this chapter, the provision of the franchise agreement shall prevail. Notwithstanding the above, this provision shall specifically not preclude individual residential property owners from recycling personally any of their own refuse; nevertheless, all persons and entities shall be required to participate in any franchise program enacted by the City pursuant to the California Integrated Waste Management Act of 1989. In the event that an eligible property owner, such as a government entity, lawfully contracts with a waste hauler other than the exclusive franchisee for refuse collection, recycling and disposal services, a franchise fee as listed above of hauler’s gross revenues from all services shall be imposed by the City to defray the costs of maintaining and repairing City rights-of-way affected by heavy equipment used by the private contractors. Any waste hauler not bound to an exclusive franchise agreement shall provide detailed quarterly reports on its activities in a form approved by the City.
Sources and Uses Accounting
Currently, the City’s Costs and Property Use Charges are not tied to Franchise Fee revenues in the City’s accounting system. The City could implement project code accounting and/or enterprise fund accounting for the Franchise Fee to better track source revenues and their uses. In either case, allocated and/or direct staffing and other costs could be tied to source revenues, while the Property Use Charges could be transferred out for general use.
R3 recommends the City consider implementing sources and uses accounting practices for Franchise Fee and Vehicle Impacts Fee revenues, City’s Costs, Property Use Charges, and Pavement Impacts.
Straightforward implementation of sources and uses accounting could involve tracing fee revenues in accordance with the categories and amounts shown in Table 14 directly to their corresponding allocated expenses for staffing, contracts, and pavement repairs and rehabilitation. Property Use Charges may be used for general purposes and do not have a corresponding expense identified by this Study.
Annual Adjustments
All values calculated in this Study are in current FY 2023-24 dollars. Given that the City’s Costs, Property Use Charges, and Pavement Impacts will all tend to change over time in response to changing staffing, benefits, and other costs, it would be appropriate for the City to implement an annual adjustment to the Franchise Fee and Vehicle Impact Fee.
R3 recommends the City consider including an automatic annual adjustment that would change the fees in proportion to the percentage change in the Consumer Price Index (CPI). We recommend the CPI for All Urban Consumers (CPI-U) for Riverside-San Bernardino-Ontario (U.S. Bureau of Labor Statistics series ID: CUURS49CSA0).
Periodic Recalculation
Over time, the City’s Costs associated with the Agreement and the sanitation system, the value of Property Use Charges for use of the public right-of-way, and the annualized costs associated with Pavement Impacts from the Contractor’s solid waste collection vehicles may change in ways that vary from the annual change in the CPI. Additionally, changes in City policies, programs, procedures, organization, geopolitical boundaries, laws, regulations, court rulings, and/or other factors may also trigger a need for recalculating fees.
R3 recommends the City consider updating this Study periodically (e.g., every five years) or more frequently if needed to recalculate fees in response to other factors. This would be to the City’s benefit simply to confirm ongoing justification for the fees calculated via this Study. For so long as the fee justification meets or exceeds then-current fee revenues, then no adjustments to the fees themselves would be necessary during periodic recalculation.
RESOLUTION NO. 2024-08
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF NORCO,
CALIFORNIA, APPROVING FRANCHISE AGREEMENT BETWEEN THE
CITY OF NORCO AND USA WASTE OF CALIFORNIA, INC. FOR THE
PROVISION OF INTEGRATED WASTE MANAGEMENT SERVICES
WHEREAS, The Legislature of the State of California, by enactment of the California Integrated Waste Management Act of 1989 (the “Act”) and subsequent additions and amendments (codified at California Public Resources Code Section 40000 et seq.), has declared that it is in the public interest to authorize and require local agencies to make adequate provisions for garbage collection within their jurisdiction; and WHEREAS, The State of California has found and declared that the amount of garbage generated in California, coupled with diminishing landfill space and potential adverse environmental impacts from landfilling and the need to conserve natural resources, have created an urgent need for State and local agencies to enact and implement an aggressive integrated waste management program. The State has, through enactment of the Act, directed the responsible State agency, and all local agencies, to promote disposal site diversion and to maximize the use of feasible garbage reduction, re-use, recycling, and composting options to reduce the amount of garbage that must be disposed of in disposal sites; and
WHEREAS, Pursuant to its Municipal Code and California Public Resources Code Section 40059(a) as may be amended from time to time, City has determined that the public health, safety, and well-being require that an exclusive right be awarded to a qualified contractor to provide for the collection of garbage, recyclable materials, and organic waste materials, except for collection of materials excluded in City’s Municipal Code, and other services related to meeting the Act’s 50 percent diversion goal and other requirements of the Act. City further declares its intent to regulate and set the maximum rates Contractor may charge Service Recipients for the collection, transportation, processing, recycling, composting, and/or disposal of garbage, recyclable materials, and organic waste materials; and
WHEREAS, The City Council has determined that Contractor, by demonstrated experience, reputation, and capacity, is qualified to provide for the collection of garbage, recyclable materials, and organic waste materials within the corporate limits of City, the transportation of such material to appropriate places for processing, recycling, composting and/or disposal; and City Council desires that Contractor be engaged to perform such services on the basis set forth in this Agreement; and, Contractor has represented that it has the ability and capacity to provide for the collection of garbage, recyclable materials, and organic waste materials within the corporate limits of City; the transportation of such material to appropriate places for processing, recycling, composting and/or disposal; and the processing of materials; and
WHEREAS, By Resolution No. 2024-08, the City Council of City of Norco duly approved this Agreement, together with the Franchise Fee, Contractor payments to City, and other City-imposed fees provided for in the Agreement (collectively “City Imposed Fees”), and found and determined that such City Imposed Fees were both necessary and reasonably reflect, or are less than, the actual costs City that will incur in the administration of the contracted services, compliance with mandatory state laws and regulations related to the contracted services, and to mitigate the impacts contracted services will have on City streets.
NOW, THEREFORE, BE IT RESOLVED This Integrated Solid Waste Handling Service Agreement (“Agreement”) is hereby entered into by and between the City of Norco, a general law city existing under the laws of the State of California (“City”) and USA Waste of California, Inc., a Delaware Corporation (“Contractor”) as of March 6, 2024, under the terms and conditions set forth herein (see Attachment A); and
1. Find the proposed action is categorically exempt under the California Environmental Quality Act; and
2. Award Agreement for the Provision of Integrated Waste Management Services to USA Waste of California, Inc. for residential and commercial garbage, recyclable materials, and organic waste collection services (includes manure) for a 10-year base term beginning July 1, 2024, and ending June 30, 2034; and
3. Direct City Manager to set public hearing upon the Service Rates, Franchise Fee, and Vehicle Impact Fee proposed in franchise agreement and to prepare and mail the prescribed notices as required under Section 6 of Article XIII.D of the California Constitution; and
4. Adopt Resolution 2024-08 awarding a franchise agreement to USA Waste of California, Inc. and authorizing maximum rates collected by USA Waste of California, Inc. for Integrated Waste Management Services to be effective July 1, 2024, and determining that the City’s Franchise Fee and Vehicle Impact Fee are justified by the City’s costs of providing solid waste services, reasonable charges for the use of City property for solid waste services, and the costs of addressing the impacts of solid waste refuse vehicles.
PASSED AND ADOPTED by the City Council of the City of Norco, California, at a regular meeting held on March 6, 2024.
_______________________________
Kevin Bash, Mayor
City of Norco, California
ATTEST:
Dana Roa, CMC, City Clerk
City of Norco, California
I, Dana Roa, City Clerk of the City of Norco, do hereby certify that the foregoing Resolution was adopted by the City Council of the City of Norco, California at a regular meeting thereof held on March 6, 2024, by the following vote of the City Council:
AYES:
NOES:
ABSENT:
ABSTAIN:
IN WITNESS WHEREOF, I have hereunto set my hand and affixed the official seal of the City of Norco, California, on March 6, 2024.
Dana Roa, CMC, City Clerk
City of Norco, California
ATTACHMENT A
Final Agreement 3/6/2024 Page 1 of 168
1 2 AGREEMENT
3 FOR THE PROVISION OF
4 5 INTEGRATED WASTE MANAGEMENT SERVICES
6 7 Executed Between the
8 City of Norco and USA Waste of California, Inc.
9 This 6th day of March 2024
10
Final Agreement 3/6/2024 Page 2 of 168
11 TABLE OF CONTENTS
12 Integrated Waste Management Services Agreement
13 Table of Contents
14 Article 1. Definitions........................................................................................................................ 6 15 Article 2. Term of Agreement......................................................................................................... 20 16 Article 3. Conditions Governing Services Provided by Contractor ................................................... 20 17 Article 4. Franchise Fees and Payments.......................................................................................... 21 18 Article 5. General Requirements.................................................................................................... 24 19 Article 6. Collection Service Rates.................................................................................................. 30 20 Article 7. Collection Service Billing ................................................................................................. 33 21 Article 8. Diversion Requirements.................................................................................................. 34 22 Article 9. Service Unit Types........................................................................................................... 37 23 Article 10. Residential Service ........................................................................................................ 38 24 Article 11. MFD Service .................................................................................................................. 45 25 Article 12. Commercial Service....................................................................................................... 52 26 Article 13. Mixed Use Dwelling (MXD) Service................................................................................ 59 27 Article 14. Manure Services ........................................................................................................... 59 28 Article 15. City Services.................................................................................................................. 63 29 Article 16. Additional Services........................................................................................................ 64 30 Article 17. Collection Routes.......................................................................................................... 65 31 Article 18. Minimum Performance Standards................................................................................. 67 32 Article 19. Collection Equipment.................................................................................................... 68 33 Article 20. Contractor’s Office ........................................................................................................ 71 34 Article 21. Contractor Support Services.......................................................................................... 72 35 Article 22. Emergency Service ........................................................................................................ 77 36 Article 23. Record Keeping and Reporting Requirements ............................................................... 78 37 Article 24. Nondiscrimination......................................................................................................... 84 38 Article 25. Service Inquiries and Complaints................................................................................... 84 39 Article 26. Quality of Performance of Contractor ........................................................................... 85 40 Article 27. Performance Bond ........................................................................................................ 86 41 Article 28. Insurance ...................................................................................................................... 87 42 Article 29. Hold Harmless and Indemnification............................................................................... 91 43 Article 30. Default of Agreement.................................................................................................... 94
Final Agreement 3/6/2024 Page 3 of 168
44 Article 31. Modifications to the Agreement ................................................................................... 96 45 Article 32. Legal Representation .................................................................................................... 97 46 Article 33. Conflict of Interest ........................................................................................................ 97 47 Article 34. Contractor's Personnel.................................................................................................. 98 48 Article 35. Exempt Waste............................................................................................................... 99 49 Article 36. Independent Contractor................................................................................................ 99 50 Article 37. Laws to Govern ........................................................................................................... 100 51 Article 38. Consent to Jurisdiction................................................................................................ 100 52 Article 39. Assignment................................................................................................................. 100 53 Article 40. Compliance with Laws; Further Assurances................................................................. 101 54 Article 41. Permits and Licenses................................................................................................... 101 55 Article 42. Ownership of Written Materials.................................................................................. 101 56 Article 43. Waiver........................................................................................................................ 102 57 Article 44. Prohibition Against Gifts ............................................................................................. 102 58 Article 45. Point of Contact.......................................................................................................... 102 59 Article 46. Notices........................................................................................................................ 102 60 Article 47. Transition to Next Contractor...................................................................................... 103 61 Article 48. Contractor’s Records................................................................................................... 103 62 Article 49. Entire Agreement........................................................................................................ 104 63 Article 50. Severability ................................................................................................................. 104 64 Article 51. Right to Require Performance ..................................................................................... 105 65 Article 52. All Prior Agreements Superseded................................................................................ 105 66 Article 53. Headings..................................................................................................................... 105 67 Article 54. Exhibits....................................................................................................................... 105 68 Article 55. Attorney’s Fees........................................................................................................... 105 69 Article 56. Effective Date.............................................................................................................. 105 70 Exhibit 1 City Approved Service Rates.................................................................................. 107 71 Exhibit 2 Additional Services................................................................................................ 116 72 Exhibit 3 List of City Service Units ........................................................................................ 117 73 Exhibit 4 Collection Container Specifications........................................................................ 119 74 Exhibit 5 Transition Plan...................................................................................................... 122 75 Exhibit 6 Liquidated Damages and Penalties ....................................................................... 125 76 Exhibit 7 Customer Service Plan........................................................................................... 128
Final Agreement 3/6/2024 Page 4 of 168
77 Exhibit 8 Collection Service Operations Plan ........................................................................ 132 78 Exhibit 9 City‐Approved Processing and Disposal Facilities .................................................. 138 79 Exhibit 10 Sustainability and Compliance Plan..................................................................... 139 80 Exhibit 11 Outreach and Education Plan .............................................................................. 152 81 Exhibit 12 Acceptable Recyclable Materials......................................................................... 158 82 Exhibit 13 Street Sweeping Services..................................................................................... 159 83 Exhibit 14 Storm Drain Waste Removal Services.................................................................. 165 84
Final Agreement 3/6/2024 Page 5 of 168
85 This Integrated Solid Waste Handling Service Agreement (“Agreement”) is hereby entered into by 86 and between the City of Norco, a general law city existing under the laws of the State of California (“City”) 87 and USA Waste of California, Inc., a Delaware Corporation (“Contractor”) as of March 6, 2024 under the 88 terms and conditions set forth herein.
89 90 RECITALS
91 92 The Legislature of the State of California, by enactment of the California Integrated Waste 93 Management Act of 1989 (the “Act”) and subsequent additions and amendments (codified at California 94 Public Resources Code Section 40000 et seq.), has declared that it is in the public interest to authorize and 95 require local agencies to make adequate provisions for garbage collection within their jurisdiction. 96 The State of California has found and declared that the amount of garbage generated in California, 97 coupled with diminishing landfill space and potential adverse environmental impacts from landfilling and the 98 need to conserve natural resources, have created an urgent need for State and local agencies to enact and 99 implement an aggressive integrated waste management program. The State has, through enactment of the 100 Act, directed the responsible State agency, and all local agencies, to promote disposal site diversion and 101 to maximize the use of feasible garbage reduction, re-use, recycling, and composting options to reduce the 102 amount of garbage that must be disposed of in disposal sites. 103 Pursuant to its Municipal Code and California Public Resources Code Section 40059(a) as may be 104 amended from time to time, City has determined that the public health, safety, and well-being require that 105 an exclusive right be awarded to a qualified contractor to provide for the collection of garbage, recyclable 106 materials, and organic waste materials, except for collection of materials excluded in City’s Municipal Code, 107 and other services related to meeting the Act’s 50 percent diversion goal and other requirements of the Act. 108 City further declares its intent to regulate and set the maximum rates Contractor may charge Service 109 Recipients for the collection, transportation, processing, recycling, composting, and/or disposal of garbage, 110 recyclable materials, and organic waste materials.
111 The City Council has determined that Contractor, by demonstrated experience, reputation, and 112 capacity, is qualified to provide for the collection of garbage, recyclable materials, and organic waste 113 materials within the corporate limits of City, the transportation of such material to appropriate places for 114 processing, recycling, composting and/or disposal; and City Council desires that Contractor be engaged to 115 perform such services on the basis set forth in this Agreement; and, Contractor has represented that it has 116 the ability and capacity to provide for the collection of garbage, recyclable materials, and organic waste 117 materials within the corporate limits of City; the transportation of such material to appropriate places for 118 processing, recycling, composting and/or disposal; and the processing of materials. 119 By Resolution No. 2024-08, the City Council of City of Norco duly approved this Agreement, 120 together with the Franchise Fee, Contractor payments to City, and other City-imposed fees provided for in 121 the Agreement (collectively “City Imposed Fees”), and found and determined that such City Imposed Fees 122 were both necessary and reasonably reflect, or are less than, the actual costs City that will incur in the 123 administration of the contracted services, compliance with mandatory state laws and regulations related to 124 the contracted services, and to mitigate the impacts contracted services will have on City streets. 125
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126 OPERATIVE PROVISIONS
127 Now, therefore, in consideration of the mutual covenants, agreements and consideration contained 128 in this Agreement, City and Contractor agree as follows:
129
130 Article 1. Definitions
131 For the purpose of this Agreement, the definitions contained in this Article apply unless otherwise 132 specifically stated. When not inconsistent with the context, words used in the present tense include the 133 future, words in the plural include the singular, and words in the singular include the plural. Use of the 134 masculine gender includes the feminine gender. The meaning of terms or words not defined in this Article 135 will be as defined in the Integrated Waste Management Act, or if not defined therein, then as commonly 136 understood in the Integrated Waste Management Services industry when the common understanding is 137 uncertain.
138 1.01 AB 341. “AB 341” means State of California Assembly Bill No. 341 approved October 5, 139 2011. AB 341 requires businesses, defined to include commercial or public entities that generate more than 140 4 cubic yards of commercial solid waste per week or multifamily residential dwellings of 5 units or more, to 141 arrange for recycling services and requires jurisdictions to implement a commercial solid waste recycling 142 program.
143 1.02 AB 827. “AB 827” means State of California Assembly Bill No. 827 approved October 2, 144 2019. AB 827 requires businesses that are mandated to recycle under AB 341 (“MCR”) and/or mandated to 145 recycle organics under AB 1826 (“MOR”) or SB 1383 and that provide customers access to the business, to 146 provide customers with a recycling bin and/or organics collection bin for those waste streams that is visible, 147 easily accessible, and adjacent to each bin or container for trash. 148 1.03 AB 939. “AB 939” or “The Act” means “The California Integrated Waste Management Act 149 of 1989” codified in part in Public Resources Code §§ 40000 et seq, and such regulations adopted by. 150 California Department of Resources Recycling and Recovery (CalRecycle) for implementation of the Act, or 151 its successor agency, including but not limited to, the Jobs and Recycling Act of 2011 (AB 341), SB 1016 152 (Chapter 343, Statues of 2008 [Wiggins, SB 1016]), the Mandatory Commercial Organics Recycling 153 Resources Code § 40000 and following as it may be amended and as implemented by the regulations of 154 CalRecycle.
155 1.04 AB 1594. “AB 1594” means State of California Assembly Bill No. 1594 approved 156 September 28, 2014. AB 1594 provides that as of January 1, 2020, the use of green material as Alternative 157 Daily Cover does not constitute diversion through recycling and would be considered disposal. 158 1.05 AB 1669. “AB 1669” means State of California Assembly Bill No. 1669 approved 159 September 30, 2016 which amends California Labor Code Sections 1070 through 1076 with respect to the 160 hiring of displaced employees under service contracts for the collection and transportation of solid waste. 161 1.06 AB 1826. “AB 1826” means State of California Assembly Bill No. 1826 approved 162 September 28, 2014. AB 1826 requires each jurisdiction, on and after January 1, 2016, to implement an
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163 organic waste Recyclable Materials program to divert from the landfill organic waste from businesses. Each 164 business meeting specific organic waste or solid waste generation thresholds phased in from April 1, 2016 to 165 January 1, 2020, is required to arrange for organic waste Recyclable Materials services. 166 1.07 AB 3036. “AB 3036” means State of California Assembly Bill No. 3036 approved 167 September 27, 2018. AB 3036 prohibits a County, City, District, or local government agency from subjecting 168 the hauling of certain byproducts from the processing of food or beverages to an exclusive franchise, contract, 169 license, or permit.
170 1.08 Agreement. “Agreement” means the written Integrated Waste Management Services 171 agreement between the City and the Contractor covering the work to be performed and all contract documents 172 attached to the agreement and made a part thereof.
173 1.09 Agreement Administrator. The City Manager, or his or her designee, designated to 174 administer and monitor the provisions of the Agreement. 175 1.10 Agreement Year. “Agreement Year” means each twelve (12) month period from July 1 to 176 June 30 during the term of this Agreement.
177 1.11 Alternative Fuel Vehicle. “Alternate Fuel Vehicle” means a vehicle whose engine uses a 178 fuel other than gasoline or diesel fuel, such as compressed natural gas (CNG) or other fuel with comparably 179 low emissions of air pollutants regulated under the California Clean Air Act, Health and Safety Code Section 180 39000 et seq. or the South Coast Air Quality Management District's rules and regulations including Rule 1193. 181 1.12 Applicable Law. “Applicable Law” shall mean all federal, state, county, and local laws, 182 regulations, rules, orders, judgments, decrees, permits, approvals, or other requirements of any governmental 183 agency having jurisdiction over an aspect of this Agreement that are in force on the Effective Date, and as 184 may be enacted, issued or amended thereafter, including without limitation, to the City’s Municipal Code, the 185 California Integrated Waste Management Act of 1989 (Public Resources Code section 40000 et seq.), as 186 amended as of the Effective Date, inclusive (without exclusion to other amendments not referenced here) of 187 AB 939, AB 341, AB 1826, AB 1594, SB 1383, and inclusive of all regulations implementing same adopted 188 as of the Effective Date.
189 1.13 Best Management Practice. “Best Management Practice” means the schedule of activities, 190 prohibition of practices, maintenance procedures, and other management practices to prevent or reduce, to 191 the maximum extent that is technologically and economically feasible, the discharge of pollutants in the storm 192 drain system.
193 1.14 Bin. “Bin” means a metal or plastic waste container designed or intended to be 194 mechanically serviced by a commercial front-end loader vehicle. It shall be designed to hold from two (2) to 195 six (6) cubic yards of material with the lid properly closed. The specifications for Contractor-provided Bins are 196 set forth in Exhibit 4.
197 1.15 Biohazardous or Biomedical Waste. Any waste which may cause disease or reasonably 198 be suspected of harboring pathogenic organisms; included are waste resulting from the operation of medical
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199 clinics, hospitals, and other facilities processing wastes which may consist of, but are not limited to, human 200 and animal parts, contaminated bandages, pathological specimens, hypodermic needles, sharps, 201 contaminated clothing and surgical gloves.
202 1.16 Box. "Box" means a large open-top rectangular metal containers used to store and 203 transport Garbage, Recyclable Materials, Organic Waste, Construction and Demolition Debris, Manure, or 204 other materials, collected using a special vehicle equipped with hooks and a winch to pull the box onto the 205 flat bed of the truck for transport.
206 1.17 Bulky Waste. Including items such as furniture, household appliances, automobile tires, 207 shipping crates, carpets, mattresses, oversized yard waste such as tree trunks and large branches if no larger 208 than two feet in diameter and four feet in length, and similar large bulky or heavy items not normally discarded 209 on a regular basis at a SFD, MFD and MXD Service Unit. “Bulky Items” do not include Construction and 210 Demolition Debris or Electronic Waste, which are regarded as Universal Waste, the disposal of which is 211 governed by the Department of Toxic Substances Control. Each Bulky Item shall weigh less than 200 pounds. 212 1.18 Business Day. Any Monday through Friday, excluding any holidays as defined in Section 213 5.03 when traditional administrative activities occur. 214 1.19 Calendar Year. Each twelve (12) month period from January 1 to December 31. 215 1.20 Cart. “Cart” means a heavy plastic receptacle with a rated capacity of at least twenty (20) 216 and not more than one hundred (100) gallons, having a hinged tight-fitting lid and wheels, that is provided by 217 the Exclusive Franchise Solid Waste Contractor, approved by the City, and used by Service Recipients for 218 collection, accumulation, and removal of solid waste from any premises in connection with Exclusive 219 Franchise Integrated Waste Management Services. The specifications for Contractor-provided Carts are set 220 forth in Exhibit 4.
221 1.21 CERCLA. The Comprehensive Environmental Response, Compensation and Liability Act 222 of 1980, 42 U.S.C. Sections 9601 and following, as may be amended and regulations promulgated 223 thereunder.
224 1.22 Change in Law. means the occurrence of any of the following events after the Effective 225 Date, when such event has a material effect on the Parties’ responsive obligations or the performance of their 226 respective obligations under this Agreement (except for any payment obligations): (i) the enactment, adoption, 227 promulgation, amendment, repeal, judicial interpretation, or formal administrative interpretation of any 228 Applicable Law; (ii) the issuance of any order or judgment of any federal, state, or local court or agency in a 229 proceeding to which a Party is a party, but not to the extent such order or judgment finds the Party asserting 230 there to have been a Change in Law to have been negligent or otherwise at fault; or (iii) the denial, suspension, 231 or termination of any government permit or other entitlement, but not to the extent such denial, suspension, 232 or termination is the result of any act or omission of the Party asserting there to have been a Change in Law. 233 1.23 City. The City of Norco, California, including any unincorporated areas of the County that 234 may be annexed by the City during the Initial Term and all extensions.
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235 1.24 City Collection Service. City Garbage Collection Service, City Organic Waste Collection 236 Service, City Recyclable Materials Service, City Manure Service, City Clean-up Services, City-Sponsored 237 Events Services, and Bulky Item Collection Services. 238 A. City Clean-up Services. On-call City requested Collection from Agreement 239 Administrator to support City services and operations, including collection of abandoned waste. 240 B. City Garbage Collection Service. The Collection of Garbage, by Contractor, from 241 City Service Units in the Service Area and the delivery of that Garbage to a Disposal Facility. 242 C. City Bulky Waste Collection Service. The periodic on-call Collection of Bulky Waste, 243 by Contractor, from City Service Units in the Service Area and the delivery of those Bulky Waste to a Disposal 244 Facility, Materials Recovery Facility or such other facility as may be appropriate under the terms of this 245 Agreement.
246 D. City Organic Waste Collection Service. The Collection of Organic Waste, by 247 Contractor, from City Service Units in the Service Area, the delivery of those Organic Waste materials to an 248 Organic Waste Processing Facility and the processing and marketing of those Organic Waste materials, and 249 the disposal of all City Organic Waste Processing Residue. 250 E. City Recyclable Materials Service. The Collection of Recyclables Materials by the 251 Contractor from City Service Units in the Service Area, the delivery of those Recyclable Materials to a 252 Materials Recovery Facility and the processing and marketing of those Recyclable Materials, and the 253 disposal of all City Recyclables Materials Processing Residue. 254 F. City Sponsored Event Services. On-call Collection Services at City-Sponsored 255 Events.
256 G. City Manure Services. On-call Collection Services of Manure. 257 1.25 City Facility. City Facility(ies) means any building or other site that the City owns, leases, 258 or occupies that are listed in Exhibit 3. Additional City Facilities may be added to this exhibit as new City 259 facilities are developed.
260 1.26 City Manager. “City Manager” means the City Manager of the City of Norco, or his or her 261 designated representative, or any employee of the City who succeeds to the duties and responsibilities of the 262 City Manager.
263 1.27 Collect and Collection and Collected. The removal of Solid Waste from a Service Unit and 264 transportation to a Disposal Facility, Organic Waste Processing Facility, Manure Processing Facility, Materials 265 Recycling (or Recovery) Facility, or Transfer Station as appropriate. 266 1.28 Collection Container. A Bin, Cart, Debris-Box or Roll-Off Container that is approved by the 267 Agreement Administrator for use by Service Recipients for Collection Services under this Agreement. 268 1.29 Collection Route. The designated weekly itinerary or sequence of stops scheduled to be 269 performed by one collection vehicle providing regularly scheduled Garbage, Recyclables, Organic Materials
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270 or Manure collection services (not on-call or Bulky Item/Abandoned Waste) within the Contractor’s collection 271 service area under the Agreement.
272 1.30 Collection Services. Contractor’s obligations under this Agreement to Collect Solid Waste 273 within the Service Area. Collection Service includes SFD Collection Service, MFD/MXD Collection Service, 274 Commercial Collection Service, and City Collection Service. Collection Service means ongoing regularly 275 scheduled collection of Solid Waste by an Exclusive Franchise from Service Units and the delivery of that 276 Solid Waste to a Disposal Facility, Recycling Facility, Organics Processing Facility, and/or Manure Processing 277 Facility.
278 1.31 Collection Vehicle. A licensed vehicle that has all required licenses to provide Collection 279 Service and that has been approved by the Agreement Administrator for use under this Agreement. 280 1.32 Compostable Plastic. "Compostable Plastics" means food-service and food-packaging 281 plastic materials or plastic bags used for collecting organics material that are placed in the Green Container 282 and transported to a compostable material handling operations or facilities, in-vessel digestion operations or 283 other facility provided the organic waste processing facility accepts the material and has provided written 284 notification annually to the City stating that the facility can process and recover that material for composability, 285 as defined in 14 CCR Section 18984.1(a)(1)(A) for three container systems. 286 1.33 Commencement Date. Has the meaning specified in Section 2.01 of this Agreement. 287 1.34 Commercial Collection Service. Collection Service provided to Commercial Service Units. 288 Commercial Collection Service specifically includes the following:
289 A. Commercial Garbage Collection Service. The Collection of Garbage by Contractor, 290 from Commercial Service Units in the Service Area and the delivery of that Garbage to a Disposal Facility. 291 B. Commercial Organic Waste Collection Service. The Collection of Organic Waste, 292 by Contractor, from Commercial Service Units in the Service Area, the delivery of those Organic Waste 293 materials to an Organic Waste Processing Facility and the processing and marketing of those Organic 294 Waste materials, and the disposal of all Commercial Organic Waste Processing Residue. 295 C. Commercial Recyclable Materials Collection Service. The Collection of Recyclable 296 Materials, by Contractor, from Commercial Service Units in the Service Area, the delivery of those 297 Recyclable Materials to a Materials Recovery Facility and the processing and marketing of those 298 Recyclable Materials, and the disposal of all Commercial Recyclable Materials Processing Residue. 299 D. Commercial Manure Collection Service. The Collection of Manure, by Contractor, 300 from Commercial Service Units in the Service Area, the delivery of that Manure to a City-approved 301 processing facility and the processing and marketing of that Manure, and the disposal of all Manure 302 Processing Residue.
303 1.35 Compactor. Any Collection Container which has a compaction mechanism, whether 304 stationary or mobile.
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305 1.36 Compost. “Compost” means the act or product of the controlled biological decomposition 306 of Organic Wastes that are Source Separated or are separated at a centralized facility. Compost may also 307 include the product of anaerobic digestion or other conversion technologies. 308 1.37 Construction and Demolition Debris. “Construction and Demolition Debris” means 309 discarded materials removed from premises, resulting from construction, renovation, remodeling, repair, 310 deconstruction, or demolition operations on any pavement, house, commercial building, or other structure or 311 from landscaping. Such materials include but are not limited to “inert wastes” as defined in Public Resources 312 Code Section 41821.3(a)(1) (rock, concrete, brick, sand, soil, ceramics and cured asphalt), gravel, plaster, 313 gypsum wallboard, aluminum, glass, plastic pipe, roofing material, carpeting, wood, masonry, trees, remnants 314 of new materials, including paper, plastic, carpet scraps, wood scraps, scrap metal, building materials, 315 packaging and rubble resulting from construction, remodeling, renovation, repair and demolition operations 316 on pavements, houses, commercial buildings, and other structures. 317 1.38 Consumer Price Index (CPI). The index sets published by the Unites States Department 318 of Labor, Bureau of Labor Statistics. Consumer Price Index series CUSR0000SEHG02, Garbage and trash 319 collection in U.S. city average, all urban consumers, seasonally adjusted. 320 1.39 Container. “Container" means a Collection Container. 321 1.40 Contaminant. Any material or substance placed into or found in a Collection Container 322 other than the type of Source Separated material for which that Collection Container is intended or reserved. 323 For example, anything that is not Recyclable Materials is a Contaminant if placed into or found in a Recyclable 324 Materials Collection Container. Similarly, anything that is not Organic Waste is a Contaminant if placed into 325 or found in an Organic Waste Collection Container.
326 1.41 Contractor. USA Waste of California, Inc., which has entered into this Agreement. 327 1.42 County. Riverside County, California.
328 1.43 Customer. “Customer" means the owner, occupant, or user of premises at which Garbage, 329 Organic Waste, or Recyclable Materials are generated and then collected by Contractor. Customers include 330 SFD Customers, MFD/MXD Customers, and Commercial Customers. City is also a receiver of Collection 331 Services, but not a Customer.
332 1.44 Dispose or Disposal. “Disposal” or “Dispose” means the final disposition of Solid Waste at 333 a permitted Landfill or other permitted Solid Waste disposal facility, as defined in California Public Resources 334 Code 40192(b).
335 1.45 Disposal Facility. “Disposal Facility” means the place or places listed in Exhibit 9 as 336 City-approved locations for the Disposal of Garbage or other materials as appropriate and acceptable. 337 1.46 Diversion or Divert. The programs and activities that reduce or eliminate the Disposal of 338 Solid Waste in landfills, which can include source reduction, reuse, salvage, Recyclable Materials, and 339 Composting.
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340 1.47 Diversion Compliance. Compliance with Diversion requirements under the Act and 341 applicable CalRecycle regulations. Should there be a Change in Law for Diversion Compliance, Contractor 342 may request a rate adjustment pursuant to Section 31.01.1. 343 1.48 Dwelling Unit. A building or part of a building designed for residential use by a single 344 independent housekeeping unit and having separate exterior access, toilet, and facilities for cooking and 345 sleeping.
346 1.49 Edible Food. Edible Food means food intended for human consumption. For purposes of 347 this Agreement, Edible Food is not Solid Waste if it is recovered and not discarded. Nothing in this Agreement 348 requires or authorizes the recovery of food that does not meet the food safety requirements of the California 349 Retail Food Code.
350 1.50 Edible Food Recovery. “Edible Food Recovery” means the actions to collect and distribute 351 Edible Food and distributing it to local food recovery organizations from places where it would otherwise go 352 to waste such as, but not limited to, restaurants, grocery stores, produce markets, school cafeterias, or dining 353 facilities.
354 1.51 Effective Date. “Effective Date of Agreement” shall mean the date on which the Agreement 355 is signed by the duly authorized representatives and the parties and delivered by the last of the parties to sign 356 and deliver.
357 1.52 Electronic Waste (E-Waste). E-Waste means electronic equipment such as stereos, 358 televisions, computers, and other similar items collected from SFD Service Units or MFD/MXD Service Units. 359 1.53 Exempt Waste. “Exempt Waste” means Hazardous Substances, Hazardous Waste, 360 infectious waste, designated waste, Special Waste, Universal Waste, volatile, corrosive, Medical Waste, 361 infectious, biohazardous, regulated radioactive waste, and toxic substances or material that facility 362 operator(s), which receive materials from the City and its waste generators, reasonably believe(s) would, as 363 a result of or upon acceptance, Transfer, processing, or disposal, be a violation of local, State, or Federal 364 law, regulation, or ordinance, including: land use restrictions or conditions, waste that cannot be disposed of 365 in Class Ill landfills or accepted at the facility by permit conditions, waste that in the Contractor's opinion would 366 present a significant risk to human health or the environment, cause a nuisance or otherwise create or expose 367 Contractor or the City to potential liability; but not including de minimis volumes or concentrations of waste of 368 a type and amount normally found in solid waste generated at residential premises after implementation of 369 programs for the safe Collection, Processing, Recycling, treatment, and disposal of batteries and paint in 370 compliance with Sections 41500 and 41802 of the California Public Resources Code. 371 1.54 Food Waste “Food Waste” means (1) food scraps including all edible or inedible food such 372 as, but not limited to, fruits, vegetables, meat, poultry, seafood, shellfish, bones, rice, beans, pasta, bread, 373 cheese, coffee grounds, and eggshells. Food Scraps excludes fats, oils, and grease when such materials are 374 Source Separated from other Food Scraps; and (2) food-soiled paper, which is compostable paper material 375 that has come in contact with food or liquid, such as, but not limited to, compostable paper plates, paper 376 coffee cups, napkins, and pizza boxes.
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377 1.55 Franchise Fee. Franchise Fees mean the fee or assessment imposed by the City on 378 Contractor solely because of its status as party to this Franchise Agreement, and which, inter alia, is intended 379 to compensate City for its expenses in administering this Franchise Agreement and for use of public rights of 380 way granted by this Agreement.
381 1.56 Garbage. All putrescible and non-putrescible solid, semi-solid and associated liquid waste 382 generated or accumulated through the normal activities of a premises. Garbage does not include Recyclable 383 Materials, Organic Waste, Manure, or Bulky Waste, that is source-separated and set out for purposes of 384 collection and recycling. Garbage shall not include Exempt Waste. 385 1.57 Green Waste. “Green Waste” means grass clippings, leaves, landscape and pruning 386 waste, wood materials from trees and shrubs, and other forms of organic materials generated from 387 landscapes or gardens. Yucca leaves, palm fronds, tree stumps and tree roots are not considered Green 388 Waste, and shall be treated as Garbage for purposes of this Agreement. Green Waste is a subset of Organic 389 Waste and shall not include Exempt Waste.
390 1.57 Gross Revenue. All monetary amounts actually collected or received by Contractor for the 391 provision of Integrated Waste Management Services pursuant to this Agreement, including but not 392 necessarily limited to: all receipts from Service Recipients, inclusive of late charges, contamination charges, 393 Franchise Fees or any other cost of doing business. “Gross Revenue”, for purposes of this Agreement, does 394 not include any fee or charge levied by the City directly on Service Recipients to mitigate costs incurred by 395 City which is billed, collected and remitted to City by Contractor, or revenues generated from the sale of 396 Recyclable Material, Compost or energy, grants, cash awards, State of California Department of Conservation 397 payments, or rebates resulting from the performance of this Agreement. 398 1.58 Hazardous Waste. Hazardous Waste shall have the meaning set forth in California Code 399 of Regulations, Title 14 §17225.32 and Health and Safety Code §25117, or successor laws and regulations 400 as may be amended from time to time.
401 1.59 Holiday. “Holiday” means New Year’s Day, Memorial Day, Independence Day, Labor Day, 402 Thanksgiving Day, and Christmas Day as a day on which waste Collection Service will not be provided until 403 the following day, excluding Sunday.
404 1.60 Home Compost Bin. “Home Compost Bin” means a portable durable container purchased 405 by the Contractor that is stored and distributed by the Contractor to SFD or MFD/MXD Service Recipients, as 406 requested, for use by those Service Recipients to Compost Organic Waste at their Premises. 407 1.61 Household Hazardous Waste. “Household Hazardous Waste or HHW” means that waste 408 resulting from products purchased by the general public for household use which, because of its quantity, 409 concentration or physical, chemical or infectious characteristics, may pose a substantial known or potential 410 hazard to human health or the environment when improperly treated, disposed or otherwise managed, or, in 411 combination with other Solid Waste, may be infectious, explosive, poisonous, caustic, toxic, or exhibit any of 412 the characteristics of ignitability, corrosivity, reactivity, or toxicity as per California Code of Regulations Title 413 22, Division 4.5, Chapter 11, Section 66261.3.
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414 1.62 Integrated Waste Management Services. The collection of Garbage, Recyclable Materials, 415 Organic Waste, and Manure within the corporate limits of City; the transportation of such material to 416 appropriate places for processing, composting, and/or disposal; and the processing and final disposition of 417 materials.
418 1.63 Kitchen Food Waste Pail. A plastic receptacle with a rated capacity not exceeding two and 419 one-half (2.5) gallons, having a hinged lid, suitable for use in a SFD and MFD/MXD Service Unit for temporary 420 storage of Organic Waste that is approved for such purpose by City. 421 1.64 Manure. Solid Waste composed of excreta of animals and residual materials that have 422 been used for bedding, sanitary, or feeding purposes for any type of farm animal kept or raised for use or 423 pleasure, including but not limited to, horses, cows, sheep, pigs, goats, llamas, zebras, emus, ostriches, 424 buffalo, camels, alpacas, rabbits, chickens, and birds kept in aviaries. Dogs and cats are specifically excluded. 425 1.65 Manure Collection Service. The Collection of Manure from Service Units and delivery to a 426 Manure Processing Facility for processing and disposal of all Manure Processing Residue. 427 1.66 Manure Containers. Carts or Bins intended to be utilized for the accumulation and 428 collection of Manure from Residential, MFD/MXD, Commercial, and City Premises. 429 1.67 Manure Processing Facility. A facility listed in Exhibit 9 to which Manure is brought for 430 processing for beneficial reuse.
431 1.68 Materials Recovery Facility. A facility listed in Exhibit 9 to which commingled Solid Waste, 432 Organic Waste, and Recyclable Materials are brought for separation into marketable Recyclable Materials. 433 1.69 Maximum Service Rate. The maximum amount that Contractor may charge Service 434 Recipients for Integrated Waste Management Services, as listed in Exhibit 1, and as may be adjusted in 435 accordance with the provisions of this Agreement.
436 1.70 Mixed Waste Processing Facility. Means a State-permitted commercial Solid Waste facility 437 listed in Exhibit 9 which accepts and processes Unicycling for diversion from landfill disposal. 438 1.71 Multi-Family Dwelling (MFD) / Mixed-use Development (MXD) Collection Service. 439 MFD/MXD Solid Waste Collection Service serves a Multi-Family Dwelling, and specifically includes the 440 following:
441 A. MFD/MXD Garbage Collection Service. The Collection of Garbage, by Contractor, 442 from MFD/MXD Service Units in the Service Area and the delivery of that Garbage to a Disposal Facility. 443 B. MFD/MXD Bulky Waste Collection Service. The periodic on-call Collection of Bulky 444 Waste, by Contractor, from MFD/MXD Service Units in the Service Area and the delivery of those Bulky 445 Waste to a Disposal Facility, Materials Recovery Facility or such other facility as may be appropriate under 446 the terms of this Agreement. MFD/MXD Bulky Waste Collection Service may include the Collection of Bulky 447 Waste using Roll-Off Containers.
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448 C. MFD/MXD Organic Waste Collection Service. The Collection of Organic Waste, by 449 Contractor, from MFD/MXD Service Units in the Service Area, the delivery of those Organic Waste materials 450 to an Organic Waste Processing Facility and the processing and marketing of those Organic Waste 451 materials, and the disposal of all Organic Waste Processing Residue. 452 D. MFD/MXD Recyclable Materials Service. The Collection of Recyclables Materials 453 by the Contractor from MFD/MXD Service Units in the Service Area, the delivery of those Recyclable 454 Materials to a Materials Recovery Facility and the processing and marketing of those Recyclable Materials, 455 and the disposal of all Recyclables Materials Processing Residue. 456 E. MFD/MXD Manure Collection Service. The Collection of Manure by the Contractor 457 from MFD/MXD Service Units in the Service Area and delivery of that Manure to a City-approved facility for 458 processing and marketing of that Manure, and disposal of all Manure Processing Residue. 459 1.72 Municipal Code. Municipal Code means the City of Norco Municipal Code. 460 1.73 Non-Collection Notice. A written notice approved by the Agreement Administrator that 461 notifies a Service Recipient of the reason Contractor did not Collect Solid Waste set out for Collection. 462 1.74 Organic Waste. Means Food Waste, Green Waste, Wood Waste, and food-soiled paper 463 waste that is mixed in with Food Waste.
464 1.75 Organic Waste Collection Service. The Collection of Organic Waste from Service Units and 465 processing at an Organic Waste Processing Facility, and the disposal of all Organic Waste Processing 466 Residue.
467 1.76 Organic Waste Processing Facility. “Organic Waste Processing Facility” means any facility 468 designed, operated and legally permitted for the purpose of receiving and processing Food Waste, Green 469 Waste, and Organic Waste listed in Exhibit 9. The City shall designate the Organic Waste Processing Facility 470 for the Contractor to deliver Collected Organic Waste material under this Agreement. 471 1.77 Overage. “Overage” means Solid Waste set out for Collection either on top of or outside of 472 a Container or in any manner that prevents the Container lid from completely closing or potentially cause 473 Solid Waste to spill during Collection by Contractor’s vehicles. 474 1.78 Premises. “Premises” means any land or building in the City where waste is generated or 475 accumulated.
476 1.79 Prohibited Container Contaminants. Prohibited Container Contaminants means the 477 following: (i) materials placed in a Recyclable Material Container that are not identified as acceptable 478 Recyclables Material; (ii) materials placed in a Organic Waste Container that are not identified as acceptable 479 Organic Waste; (iii) materials placed in a Garbage Container that are not identified as acceptable Garbage 480 or are acceptable Recyclable Material and/or Organic Waste; (iv) materials placed in a Manure Container that 481 are not identified as acceptable Manure; and (v) Exempt Waste placed in any Container. For purposes of this 482 Agreement, “contamination” or “contaminated” refers to the presence of Prohibited Container Contaminants.
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483 1.80 Quarter. A three-month period during a calendar year. The first Quarter is January through 484 March. The second Quarter is April through June. The third Quarter is July through September. The fourth 485 Quarter is October through December.
1.81 Rate Year. “Rate Year” means the period July 1st to June 30th 486 , for each year during the 487 Term of this Agreement.
488 1.82 Recyclable Materials. Recyclable Materials means those materials that are separated from 489 Solid Waste prior to disposal to be recycled consistent with the requirements of the Act. Recyclable Materials 490 that can be placed in the Recycling are listed in Exhibit 12, and any other items as may be revised from time 491 to time as determined by the Agreement Administrator. Recyclable Materials shall not include Exempt Waste. 492 1.83 Recycling. “Recycling” means the process of collecting, sorting, cleansing, treating and/or 493 marketing Recyclable Materials that would otherwise become Garbage, and returning them to the economic 494 mainstream in the form of raw material for new, reused, or reconstituted products which meet the quality 495 standards necessary to be used in the marketplace. The collection, transportation or disposal of Solid Waste 496 not intended for, or capable of, reuse is not Recycling. “Recycling” does not include transformation as defined 497 in Public Resource Code Section 40201.
498 1.84 Residential Premises. “Residential Premises” means: (i) any building or structure, or 499 portion thereof, that is used for residential housing purposes and has four (4) or fewer distinct living units; and 500 (ii) any multiple unit residential complex which, with the prior written approval of the City Manager, receives 501 Integrated Waste Management Services using standard residential Containers. 502 1.85 Residual or Residuals. “Residual” or “Residuals” means Solid Waste that is not Diverted 503 from landfill Disposal after it has been delivered to an Organic Waste Processing Facility or a Recyclables 504 Processing Facility for processing for Diversion from landfill Disposal. Residual does not include Recyclable 505 Materials, Organic Material, or Manure that is processed for Diversion but lacks an available market. 506 1.86 Roll-Off Container. A metal container with a capacity of ten (10) or more cubic yards that 507 is normally loaded onto a specialized Collection vehicle and transported to an appropriate facility. 508 1.87 Route Review. A visual inspection of Containers along a Collection Route for the purpose 509 of identifying Prohibited Container Contaminants, which may include mechanical inspection methods such as 510 use of cameras.
511 1.88 SB 1383. “SB 1383” means State of California Senate Bill 1383 Short-lived Climate 512 Pollutants: Organic Waste Reductions, approved September 19, 2016, and the regulations implementing the 513 law Title 14, Cod of California Regulations (CCR), Chapter 12. 514 1.89 Scout Service. In addition to the regular collection of Bins, the Contractor agrees to provide 515 a Scout Service for the City. This service involves the detailed scouting of the designated Service Area for 516 the purpose of identifying and collecting Solid Waste from specified Premises not ordinarily serviced under 517 standard collection procedures. The Contractor will assess, identify, and collect Solid Waste from these 518 Premises, and provide detailed reports to the City on the volume, type, and location of the Solid Waste
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519 collected. Scout Service will be provided to Manure Bins at no additional charge to all Customers in 520 accordance with Section 14.01.2.2.
521 1.90 Self-Haul. Collection of Solid Waste by the resident, owner, or occupant of the Premises 522 on which the Solid Waste was generated pursuant to a City-issued permit and in accordance with the 523 requirements of the Municipal Code.
524 1.91 Service Area. That area within the city limits of the City of Norco designated by City as the 525 Service Area.
526 1.92 Service Recipient. An individual or entity receiving Collection Service. 527 1.93 Service Unit. “Service Unit” means a single subscriber to Contractor’s Integrated Waste 528 Management Services. Service Unit specifically includes the following:
529 A. City Service Unit. City Facility(ies) that utilize a Bin, Cart, or Roll-Off Container(s) 530 for the accumulation and set-out of Solid Waste. City Service Units are the properties set forth in Exhibit 3 531 and may be modified by written notice to Contractor by the City. 532 B. Commercial Service Unit. All retail, professional, wholesale and industrial facilities, 533 and other commercial enterprises offering goods or services to the public that utilize a Garbage Bin, 534 Cart, Compactor, Roll-Off Container for the accumulation and set-out of Commercial Solid Waste. 535 C. Multi-Family Dwelling (MFD) Service Unit. “Multi-Family Dwelling” and “MFD” shall 536 mean any building or structure, including but not limited to Mobile Home Parks, or portion thereof, used 537 for residential purposes having five (5) or greater distinct living units. 538 D. MXD (Mixed-use Development) Service Unit. A mix of Commercial Service Units 539 and five (5) or greater Dwelling Units in the Service Area utilizing any combination of Collection 540 Containers for the accumulation of and set out of Solid Waste. 541 E. SFD Service Unit. Any Single-Family Dwelling Unit in the Service Area utilizing a 542 Cart for the accumulation and set out of Solid Waste originating from SFD Residential Premises. 543 1.94 SFD Collection Service. SFD Garbage Collection Service, SFD Recyclable Materials 544 Service, SFD Organic Waste Collection Service, SFD Manure Service, and SFD Bulky Item Collection 545 Service. SFD Collection Service means ongoing regularly scheduled collection of Solid Waste by an Exclusive 546 Franchise from SFD Service Units and the delivery of that Solid Waste to a Disposal Facility, Recycling 547 Facility, Organics Processing Facility, and/or Manure Processing Facility. 548 A. SFD Garbage Collection Service. The Collection of Garbage, by Contractor, from 549 SFD Service Units in the Service Area and the delivery of that Garbage to a Disposal Facility. 550 B. SFD Bulky Waste Collection Service. The periodic on-call Collection of Bulky 551 Waste, by Contractor, from SFD Service Units in the Service Area and the delivery of those Bulky Waste 552 to a City-approved Materials Recovery Facility or other such facility as may be appropriate under the terms 553 of this Agreement. SFD Bulky Waste Collection Service does not include the Collection of Bulky Waste 554 using Roll-Off Containers.
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555 C. SFD Organic Waste Collection Service. The Collection of Organic Waste, by 556 Contractor, for SFD Service Units in the Service Area, the delivery of those Organic Waste Materials to a 557 City-approved Organic Waste Processing Facility and the processing and marketing of those Organic 558 Waste materials, and the disposal of all SFD Organic Waste Processing Residual. 559 D. SFD Recyclable Materials Service. The Collection of Recyclable Materials, 560 including dry cell household batteries when set out by the Service Recipient in heavy duty plastic bags 561 and placed on the Recycling Cart, by the Contractor from SFD Service Units in the Service Area, the 562 delivery of those Recyclable Materials to a City-approved Materials Recovery Facility and the processing 563 and marketing of those Recyclable Materials.
564 E. SFD Manure Service. The Collection of Manure by the Contractor from SFD Service 565 Units in the Service Area, the delivery of that Manure to a City-approved facility and the processing and 566 marketing of that Manure, and the disposal of all SFD Manure Processing Residue. 567 1.95 Single-family Dwelling or SFD. “Single-family/duplex dwelling” or “SFD” means any 568 residential premises with fewer than five (5) units single attached dwelling units, each designed for use by 569 one bona fide housekeeping group.
570 1.96 Sludge. The accumulated solids, residues, and precipitates generated as a result of waste 571 treatment or processing, including wastewater treatment, water supply treatment, or operation of an air 572 pollution control facility, and mixed liquids and solids pumped from septic tanks, grease traps, privies, or 573 similar disposal appurtenances or any other such waste having similar characteristics or effects. 574 1.97 Solid Waste. “Solid Waste” means all putrescible and non-putrescible solid, semisolid, and 575 liquid wastes, including garbage, trash, refuse, paper, rubbish, ashes, industrial wastes, demolition and 576 construction wastes, abandoned vehicles and parts thereof, discarded home and industrial appliances, 577 dewatered, treated, or chemically fixed sewage sludge which is not hazardous waste, Manure, vegetable or 578 animal solid and semisolid wastes, and other discarded solid and semisolid wastes, as set forth in California 579 Public Resources Code Section 40191(a)(b), as amended from time to time. Solid Waste includes Recyclable 580 Materials but does not include (1) Hazardous Waste; (2) radioactive waste regulated pursuant to the Health 581 and Safety Code Section 114960 et seq.; and (3) medical waste regulated pursuant to the Health and Safety 582 Code Section 117600 et seq.
583 1.98 Source Separated. “Source Separated” means materials that have been kept separate in 584 the Solid Waste stream, at the point of generation, for the purpose of additional sorting or processing in order 585 to return them to the economic mainstream in the form of raw material for new, reused, or reconstituted 586 products, which meet the quality standards necessary to be used in the marketplace, or as otherwise defined 587 in 14 CCR Section 17402.5(b)(4).
588 1.99 SRRE (Source Reduction and Recycling Element). A formal planning document that 589 demonstrates how the City will comply with the Act’s diversion goals. 590 1.100 Street Sweeping Service. The sweeping of streets in the City, whether by the Contractor 591 or a Subcontractor, and the transportation of Sweep Waste by Contractor or Subcontractor to Disposal
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592 Facility. Street Sweeping Service shall be provided in accordance with the terms and conditions set forth in 593 Exhibit 13.
594 1.101 Sweep Waste. The accumulated waste materials generated as a result of performing Street 595 Sweeping Services. Sweep Waste includes, but is not limited to, deposits of loose dirt, rocks, glass, cans, 596 leaves, sticks, papers, Organic Waste residue or any like materials that can be removed by Street Sweeping 597 operations.
598 1.102 Sweeper Route. A daily path or itinerary followed by a sweeper that has been clearly 599 divided into a.m. and p.m. sections and approved by the Agreement Administrator. 600 1.103 Term. “Term” means the time period or duration which the Agreement is in effect. 601 1.104 Transfer Station. “Transfer Station” means the place or places listed in Exhibit 9 as City602 approved locations conveyance of Solid Waste Collected by Contractor into larger vehicles prior to 603 transportation of the Solid Waste to a Disposal Facility or Recyclables, Organics, and/or Manure Processing 604 Facility Processing Facility.
605 1.105 Unicycling. A method of separating trash and recyclable materials in a single Collection 606 Container. Trash materials are collected in bags and deposited into the Collection Container and recyclable 607 materials are deposited into the Collection Container loose and unbagged. 608 1.106 Universal Waste or U-Waste. “Universal Waste” means waste materials that are 609 conditionally exempt from classification as hazardous waste pursuant to Title 22 of the California Code of 610 Regulations (22 CCR), Section 66261.9, including but not limited to: (i) batteries as described in 22 CCR 611 section 66273.2; (ii) thermostats as described in 22 CCR Section 66273.4; (iii) lamps as described in 22 CCR 612 Section 66273.5; and (iv) cathode ray tube materials as described in 22 CCR Section 66273.6. 613 1.89 Vehicle Impact Fee. The annualized costs for pavement repair, maintenance, and 614 rehabilitation is calculated based on the proportionate impact to pavement from solid waste collection vehicles 615 compared to other sources of impacts.
616 1.107 Waste. “Waste” means the useless, unused, unwanted, or discarded material and debris 617 resulting from normal residential and commercial activity or materials which, by their presence, may injuriously 618 affect the health, safety, and comfort of persons or depreciate property values in the vicinity thereof. 619 1.108 Waste Generator. “Waste generator” means any person, as defined by the most current 620 version of the Public Resources Code, whose act or process produces solid waste as defined in that same 621 code, or whose act first causes solid waste to become subject to regulation. 622 1.109 Waste Reporting System (WRS). The electronic data recording and reporting system that 623 Contractor uses to provide data and reports that this Agreement requires Contractor to give to the City. 624 1.110 White goods. “White goods” means enamel-coated major appliances, such as washing 625 machines, clothes dryers, hot water heaters, stoves, and refrigerators.
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626 1.111 Work Day. Any day, Monday through Saturday, that is not a Holiday as set forth in Section 627 5.03 of this Agreement when Collection Service activities occur. 628 1.112 Wood Waste. “Wood waste” means Green Waste consisting of stumps, large branches, 629 tree trunks, untreated wood pieces or particles, and untreated wood that are generated from the 630 manufacturing or production of wood products, harvesting, processing or storage of raw wood materials, or 631 construction and demolition activities. Treated wood of any kind shall be treated as Exempt Waste. 632 Article 2. Term of Agreement
633 2.01 Term of Agreement. The term of this Agreement will be for a ten (10) year period beginning 634 July 1, 2024 and terminating on June 30, 2034. Contractor shall commence performance of its Collection 635 Service obligations under this Agreement on July 1, 2024 (“Commencement Date”). 636 2.02 Optional Extension of Term. City may, in its sole discretion, grant Contractor two additional 637 five (5) year extensions of the Term, if and only if the following preconditions are satisfied; (1) Contractor is 638 not then in default of any material term or condition of the Agreement; and (2) Contractor has timely paid City 639 all required fees associated with Agreement; and (3) Contractor must request the Optional Extension of Term 640 by January 1, 2033 in order to be eligible for the first extension and by January 1, 2038 for the second 641 extension.
642 Article 3. Conditions Governing Services Provided by Contractor 643 3.01 Grant of Exclusive Agreement. City hereby grants to Contractor, on the terms and 644 conditions set forth herein including the limitations set forth in sections 3.02 through 3.04, the exclusive 645 franchise, right and privilege to collect, remove and dispose of, in a lawful manner, Garbage, Recyclable 646 Materials, and Organic Materials accumulating in the City’s Service Area that are required to be accumulated 647 and offered for collection to the Contractor in accordance with the City’s Municipal Code, for the Term of and 648 within the scope set forth in this Agreement.
649 3.02 Recyclable Materials, Organic Waste, Manure, and Bulky Waste Discarded by Service 650 Recipients. This Agreement shall not prohibit any person from selling Recyclable Materials, Organic Waste, 651 or Manure or giving Recyclable Materials, Organic Waste, or Manure away to persons or entities other than 652 Contractor. However, in either instance: (1) the Recyclable Materials, Organic Waste, or Manure must be 653 source separated from and not mixed with other Solid Waste; and (2) the seller/donor may not pay the 654 buyer/donor any consideration for collecting, processing, or transporting such Recyclable Materials, Organic 655 Waste, or Manure. A discount or reduction in the price for collection, disposal and/or recycling services for 656 any form of un-segregated or segregated Solid Waste is not a sale or donation of Recyclable Materials, 657 Organic Waste, or Manure and such Solid Waste does not qualify for this exception. However, once the 658 Recyclable Materials, Organic Waste, or Manure have been placed in the Collection Container and the 659 Container set out for Collection, the Recyclable Materials, Organic Waste, or Manure become the property of 660 Contractor.
661 3.03 Exclusions to Exclusivity.
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662 3.03.1 Specialized Recyclable Materials. If Contractor is unable or unwilling to Collect and 663 process for diversion specialized materials, including, but not limited to, Organic Waste, Manure, metals, 664 Construction and Demolition Debris, laboratory waste, pallets and others, and which a third party is able to 665 re-use or Recycle, Service Recipients shall have the right to engage the third-party recycler to collect and 666 Recycle those Source-Separated Recyclable Materials provided that the diversion is verified by the City. 667 3.03.2 Recyclable Materials Sold By Commercial Generator. If the Waste Generator at a 668 Commercial Service Unit has source separated Recyclable Material, the Waste Generator is entitled to sell 669 that Recyclable Material or be otherwise compensated in a manner resulting in a net positive payment to the 670 Waste Generator, when such collector is permitted as appropriate under the City Municipal Code. 671 3.03.3 Byproducts of Food and Beverage Processing. Under AB 3036 (2018), certain 672 byproducts from the processing of food or beverages from agricultural or industrial sources, provided they 673 do not include animal, including fish, processing byproducts, they are Source-Separated, they are not 674 discarded (meaning the generator may not pay the recipient any consideration, or accept a discount or 675 reduction in price for collecting, processing, or transporting such material), and they are used as animal feed, 676 are exempted from this Exclusive Franchise Agreement. Entities requesting exemption must apply to the 677 City and be any of the following: registered pursuant to Section 110460 of the Health and Safety Code, or 678 be exempted from registration pursuant to Section 110480 of the Health and Safety Code, or be a beer 679 manufacturer as defined in Section 23012 of the Business and Professions Code, or a distilled spirits 680 manufacturer, as defined in Section 23015 of the Business and Professions Code. 681 3.03.4 Donated Solid Waste. Recyclable Materials, Organic Waste, or Bulky Waste which 682 is Source Separated at any premises by the waste generator and donated to youth, civic or charitable 683 organizations qualified as such pursuant to Federal law. 684 3.03.5 Gardening or Landscape Services. Green Waste removed from a premises by a 685 gardening, landscaping, or tree trimming company as an incidental part of a total service offered by that 686 company rather than as a hauling service.
687 3.03.6 Self-Haul. Service Recipients may choose to Self-Haul Manure to Processing 688 Facilities, to the extent authorized by the Municipal Code. 689 3.04 Manure. Service Recipients may choose to subscribe to Manure service with a third-party 690 hauler that meets all the criteria outlined in the City’s Municipal Code. Contractor must provide Manure service 691 to any Service Recipient that has not elected to Self-Haul or subscribe to a third-party hauler. 692 Article 4. Franchise Fees and Payments
693 4.01 Contractor’s Payments to City. The Parties agree that all fees and any payments owed by 694 Contractor to City under this Agreement are the product of extensive negotiations and constitute valid 695 consideration for the rights and privileges granted to Contractor under this Agreement. 696 4.02 Reimbursement for the Cost of Procurement/Negotiation Process. Contractor shall
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697 reimburse the City a one-time fee of One Hundred and Fifty Thousand Dollars ($150,000) for the cost of the 698 Franchise Agreement solicitation, evaluation, negotiation, and award process. This fee shall be due and 699 payable thirty (30) days after the Effective Date of the Agreement. This fee shall not be recoverable via 700 Contractor’s Collection Services rates or any other form of compensation under this Agreement. 701 4.03 Quarterly Fees and Payments. The following fees and payments shall be due and payable 702 on the last day of the month following the end of each Quarter for which the Integrated Waste Management 703 Services were provided; with the first such payment being due on October 31, 2024. The City Council may 704 adjust the Quarterly Fees by resolution, in which case Contractor shall be entitled to a rate adjustment as a 705 City-directed change in accordance with Section 31.01. The Quarterly Fees shall be accompanied at the time 706 of payment by a written report, in a format acceptable to the City, setting forth the calculations Contractor 707 used to determine the amount due and the basis for those calculations. Figures used in the report shall be 708 taken from Contractor’s general books of account, and Contractor shall retain all supporting documentation 709 in accordance with the records retention requirements in Section 23.01. 710 4.03.1 Franchise Fee. Contractor shall pay the City a lump sum Franchise Fee equal to 711 Nine Hundred Seventy Four Thousand Six Hundred Twenty One dollars ($974,621) annually per Rate Year. 712 The Franchise Fee shall be evenly spread out over each Quarter of the Rate Year and submitted to City 713 quarterly.
714 4.03.2 Vehicle Impact Fee. The Contractor shall pay a quarterly Vehicle Impact Fee to the 715 City to offset the impact that collection vehicles have on the City’s streets. The Vehicle Impact Fee shall be 716 equal to (Eight Hundred Eighty Three Thousand Sixteen dollars ($883,016) annually per Rate Year. The 717 Vehicle Impact Fee shall be evenly spread out over each Quarter of the Rate Year and submitted to City 718 quarterly.
719 4.03.3 Other Fees. The City may set other fees, as it deems necessary subject to Section 720 31.01. The amount, time, and method of payment and adjustment process shall be set in a manner similar 721 to that for other fees described in this Section.
722 4.04 Adjustment to Fees. On each anniversary of the Commencement Date, each of the 723 quarterly fees and payments shall increase by the change in the Consumer Price Index for All Urban 724 Consumers for Garbage and trash collection in U.S. city average, all urban consumers, seasonally adjusted 725 (series ID: CUSR0000SEHG02). The quarterly fees and payments shall be adjusted by a percentage amount 726 applied to the previous quarterly fees and payments that is derived by multiplying the then-current quarterly 727 fees and payments by one-hundred percent (100%) of the 12-month average change of the CPI as calculated 728 below.
729 The quarterly fees and payments shall be adjusted based on one hundred percent (100%) of the 12-month 730 average change in the CPI for the 12-month period published immediately prior to the adjustment. By way of 731 example, the first adjustment effective July 1, 2025, will be based on the percentage change between the 12- 732 month average of the CPI from January 1, 2023 through December 31, 2023, and the 12-month average of 733 the CPI from January 1, 2024 through December 31, 2024.
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734 4.04.1 Annual Cap on Fees and Payments. In any year that the calculation of the CPI 735 exceeds four percent (4.00%), the total adjustment for that year will equal four percent (4.00%) and there 736 will be no rollover amount added to the adjustment percentage in the following year, or any subsequent year. 737 If the CPI is negative, there will be no CPI adjustment for that year. 738 4.05 Time and Method of Payment. Contractor shall pay all amounts owed under this Article 739 without prior notice or demand and without abatement, deduction, offset or credit in lawful money of the United 740 States, on or before the applicable due date, unless the due date lands on a weekend or Holiday, in which 741 case the due date shall be the next Business Day. If sent by U.S. mail, the remittance must be post-marked 742 on or before the due date. If hand-delivered, Contractor must request and receive a date-stamped receipt 743 from the City by 5:00 p.m. Pacific Time (PT) on the due date. Contractor, under direction of City, may submit 744 payments electronically.
745 4.06 Late Payments. In the event Contractor fails to pay the City any amounts owed under this 746 Article on or before the applicable due date, then in addition to the amounts already owed, Contractor shall 747 pay a penalty as specified in Exhibit 6, except to the extent that such lateness is due to extenuating 748 circumstances. Contractor must submit any request for approval of a late payment in writing at least five (5) 749 Business Days prior to the date on which fees are due, and the request must be accompanied by a written 750 explanation of the extenuating circumstances and adequate supporting documentation. The City shall not 751 unreasonably withhold its approval and shall notify Contractor within three (3) Business Days of receiving the 752 request whether and to what extent the request has been approved. 753 4.06.1 Taxes and Utility Charges. The Contractor shall pay all taxes lawfully levied or 754 assessed upon or in respect of the operating assets or the Integrated Waste Management Services, or upon 755 any part thereof of upon any revenues necessary for the operation of the operating assets and the provision 756 of the Integrated Waste Management Services, when the same shall become due. 757 4.06.2 Franchise Fee Disputes. In the event of any disputes between the Contractor and 758 the City with respect to the fees described in this Article 4, the City shall provide the Contractor with written 759 objection within 180 days of the receipt of the written report described in Section 4.03, encompassing the 760 dispute amount. The City shall state its objections in writing with reference to the applicable portion(s) of the 761 report and its reasons then known for its dispute. The Parties agree to meet and confer regarding any such 762 dispute.
763 4.07 In the event any City imposed fee is determined by a court to be excessive, invalid or 764 unenforceable (hereinafter “CIF”), then: (i) Contractor shall not charge or collect the future portion of such 765 CIF; (ii) to the extent the Customers are entitled to a reimbursement of any portion of such CIF and City is 766 required to reimburse Contractor in the amount of such CIF previously remitted to City, Contractor shall 767 directly reimburse all Customers entitled to reimbursement in the amount attributable to each Customer 768 account. In no event shall Contractor retain any portion of the fees reimbursed by City; (iii) to the extent the 769 Customers are entitled to a reimbursement of such CIF and City is required by a court to directly reimburse 770 Customers, Contractor shall assist City in identifying all Customers entitled to a reimbursement, quantifying 771 the reimbursement amount attributable to each Customer account, and obtaining and providing to City any 772 other information needed to satisfy the obligations imposed by a court; and (iv) City and Contractor will within
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773 thirty (30) days following such court decision meet and confer to negotiate in good faith and using reasonable 774 efforts to attempt to agree on modifications to the Agreement. 775 Article 5. General Requirements
776 5.01 Service Standards. Contractor must perform all Integrated Waste Management Services 777 under this Agreement in a thorough and professional manner as described in Article 26, while meeting the 778 minimum performance and diversion standards listed in Article 18 according to the Sustainability and 779 Compliance Plan (Exhibit 10) developed by the Contractor and approved by the City. 780 5.02 Labor and Equipment. Contractor must provide and maintain all labor, equipment, tools, 781 facilities, and personnel supervision required for the performance of Contractor’s obligations under this 782 Agreement. Contractor must always have sufficient backup equipment and labor to fulfill Contractor’s 783 obligations under this Agreement. No compensation for Contractor’s services or for Contractor’s supply of 784 labor, equipment, tools, facilities or supervision will be provided or paid to Contractor by City or by any Service 785 Recipient except as expressly provided by this Agreement. 786 5.03 Holiday Service. The City observes New Year’s Day, Memorial Day, Independence Day, 787 Labor Day, Thanksgiving Day, and Christmas Day as legal holidays. Contractor is not required to provide 788 Integrated Waste Management Services or maintain office hours on the designated holidays. In any week in 789 which one of these holidays falls on a Work Day, SFD Collection Services for the holiday and each Work Day 790 thereafter will be delayed one Work Day for the remainder of the week with normally scheduled Friday SFD 791 Collection Services being performed on Saturday. Commercial Collection Services will be adjusted as set 792 forth in Article 12 but must meet the minimum frequency requirements of one (1) time per week. Integrated 793 Waste Management Services will not take place on Sundays, unless previously authorized by the Agreement 794 Administrator.
795 5.04 Inspections. The City has the right to inspect Contractor’s facilities or Collection Vehicles 796 and their contents used to provide services pursuant to this Agreement at any reasonable time while operating 797 inside or outside the City with advance notice to the Contractor. 798 5.05 Commingling of Materials.
799 5.05.1 SFD Materials Collected in Norco. Contractor may not at any time commingle any 800 SFD materials Collected pursuant to this Agreement with any other material Collected by Contractor inside 801 or outside the City of Norco without the express prior written authorization of the Agreement Administrator. 802 5.05.2 Commercial Garbage Materials Collected in Norco. Contractor may commingle 803 Commercial garbage materials collected pursuant to this Agreement with other materials collected outside 804 the City of Norco, provided that Contractor tracks the tonnage of Commercial material collected inside the 805 City of Norco separately using a City-approved allocation methodology. Changes to the allocation 806 methodology may only be made with the express prior written authorization of the Agreement Administrator.
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807 5.05.3 Recyclable Materials. Subject to Sections 10.08.2 and 12.04.4, Contractor may not 808 at any time commingle SFD or Commercial Recyclable Materials Collected pursuant to this Agreement with 809 any other material type Collected by Contractor without the express prior written authorization of the 810 Agreement Administrator.
811 5.05.4 Organic Waste. Subject to Sections 10.09.4 and 12.05.7, Contractor may not at any 812 time commingle SFD or Commercial Organic Waste Collected pursuant to this Agreement with any other 813 material type Collected by Contractor, without the express prior written authorization of the Agreement 814 Administrator.
815 5.05.5 Manure. Subject to Section 10.09.4. Contractor may not at any time commingle 816 Manure Collected pursuant to this Agreement with any other material type Collected by Contractor, without 817 the express prior written authorization of the Agreement Administrator. 818 5.05.6 Commingled Garbage and Recyclables. Only in special circumstances in which 819 separate Collection Containers pose a challenge due to space or logistical constraints, and with prior written 820 authorization of the Agreement Administrator, Contractor may Collect Commercial Garbage and Recyclable 821 Materials in the same Collection Container, using a Split-bin or Unicycling, for the purposes of processing 822 Recyclable Materials for diversion.
823 5.06 Recyclable Materials, Organic Waste, and Manure Contamination. Contractor must offer 824 the Service Recipients the correct combination of Cart and Bin sizes and collection frequency beyond the 825 minimum bundled service requirements as necessary, that matches their unique service needs to reduce 826 contamination of Recyclable Materials, Organic Waste, and Manure, and provide service at least cost to 827 Service Recipient. To support City’s diversion goals and Contractor’s Diversion Requirements as set forth in 828 Section 8.02, Contractor is only required to collect and process Recyclable Materials if they have been 829 separated by the Service Recipient from Garbage and Organic Waste and will only be required to collect 830 Organic Waste if it has been Source Separated by the Service Recipient from Garbage and Recyclable 831 Materials. Similarly, Contractor is only required to collect and process Manure if it has been separated by the 832 Service Recipient from Garbage, Recyclable Material, and Organic Waste. 833 As part of Contractor’s Public Education Services under Section 21.02, Contractor has agreed to provide 834 outreach and support to Service Recipients as described in the Contractor’s Sustainability and Compliance 835 Plan provided as Exhibit 10 and Outreach and Education Plan provided as Exhibit 11. Additionally, 836 Contractor’s route collection personnel will photo document and report to Contractor’s supervisors if they 837 observe potential contamination problems, and/or insufficient collection capacity. “Contamination 838 Occurrence” means a circumstance when a Container at a Customer Premises on a single day contains 839 Prohibited Container Contaminants or Excluded Waste, and: (i) that circumstance has been documented via 840 photographic or video evidence, and (ii) the Customer has been notified. 841 5.07 Contamination Violations by Service Recipients. The following provisions will apply to all 842 Commercial, MFD, MXD, and SFD Service Recipients for each Contamination Occurrence. 843 5.07.1 First and Second Occurrence. For the first and second occurrence within any rolling 844 12-month period of contamination, Contractor must collect the contaminated container and provide the
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845 Customer with a Contamination Violation Notice which contains instructions on the proper procedures for 846 sorting Recyclable Materials or Organic Waste by U.S. mail, e-mail, or in person (which may be a container 847 tag), that for the third and subsequent incidents of excess contamination, the Service Recipient may be 848 charged a contamination fee for the contaminated container. Contractor’s representative must also contact 849 the Service Recipient by phone, U.S. mail, e-mail, or in person (which may be a container tag) to determine 850 whether they have the appropriate level of service for proper collection of Recyclable Materials, Organic 851 Waste, and/or Manure. Contractor must also photo document the contamination issue in the Waste 852 Reporting System provide digital/visual documentation to the Service Recipient that clearly documents the 853 Service Recipient’s on-going contamination problems. An occurrence is defined as an event of 854 contamination in one particular day, meaning that two occurrences cannot occur on the same day. 855 5.07.2 Third Occurrence. For the third or subsequent occurrence within any rolling 12- 856 month period of contamination, Contractor may collect the contaminated Container and charge the Service 857 Recipient a contamination fee as set forth in Exhibit 1. Contractor must provide (or have provided) 858 digital/photographic documentation to the Service Recipient that clearly documents the Service Recipient’s 859 on-going contamination problems and written Notices of contamination as described above. Contractor must 860 document the foregoing contamination issue and surcharge in the Waste Reporting System and notify City 861 within five (5) Business Days if Contractor increases the Container size or collection frequency for excessive 862 contamination or imposes the contamination surcharge to the account. City will consult with Contractor and 863 consider, and pursue as applicable, appropriate legal remedies against offending Service Recipients to 864 secure discontinuance of the contamination.
865 5.08 Tracking Occurrences of Contamination. Regarding Section 5.07, each Contamination 866 occurrence is tracked annually per Calendar Year, and resets at the start of each Calendar Year if 867 contamination occurrences are not active and consecutive. Where contamination is occurring, and 868 occurrences are consecutive and unremedied their count shall continue across Calendar Years until remedy 869 occurs. In this case, once the Service Recipient has demonstrated no contamination for a period of three 870 consecutive months the tracking calendar will reset. 871 5.09 Disputes Over Excess Contamination Charges. If Service Recipient disputes a 872 contamination charge (which must be within 30 days of them being assessed), Contractor will temporarily halt 873 any contamination charge and/or increased Maximum Service Rate resulting from increasing the Collection 874 Container size, or collection frequency, and Contractor may request a ruling by the City Manager to resolve 875 the dispute. During the pendency of any request, Contractor may restore Container size or number, or 876 collection frequency to the prior levels. A request by Contractor to the City Manager to rule on any such 877 dispute must be filed within ten (10) Business Days of Contractor’s halting of contamination charge, or 878 increased Maximum Rate, and must include written documentation and digital/visual evidence of ongoing 879 overall problems. The City Manager may request a meeting (in person or phone) with both the Service 880 Recipient and Contractor to resolve the dispute. Following such a meeting, the City Manager will rule on the 881 dispute within ten (10) Business Days, and the City Manager’s decision on resolving the dispute between and 882 Service Recipient will be final. If the City Manager rules in favor of the Service Recipient, Contractor will credit 883 the disputed contamination charges or increased Maximum Service Rate. If the City Manager rules in favor 884 of Contractor, Contractor may charge Service Recipient the prior halted contamination charge and/or
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885 increased Maximum Service Rate resulting from increasing the Collection Container size or collection 886 frequency and may follow the steps in Section 7.07 for collection of delinquent accounts. 887 5.10 Container Overage and Correction Procedures. If a Customer is found to repeatedly 888 overflow their Collection Container(s), i.e., lid will not close, and/or material not contained within Container 889 Contractor may take the steps as listed below to correct Customer’s on-going overflow of material. All 890 customers will be notified of Collection Overages and must be provided photo-documented evidence of 891 occurrence. Contractor shall notify the City regarding Commercial, MFD, and MXD customers that repeatedly 892 overflow their Containers.
893 5.11 Correction Procedures. Contractor shall provide the Service Recipients the correct 894 combination of Collection Containers and collection frequency that matches each Service Recipient’s unique 895 service needs to enable clean, efficient, and cost-effective collection of Solid Waste, Recyclable Materials, 896 Organic Waste, and Manure. City and Contractor agree that overflow of Solid Waste that is not properly in 897 the Service Recipient’s Solid Waste Collection Containers negatively impacts public health and safety. 898 Contractor has also agreed to conduct recycling audits and provide outreach and support to Service Recipient 899 accounts receiving the correct service level. However, if Service Recipients are found to repeatedly overflow 900 their Solid Waste Collection Containers, Contractor may take the steps as listed below to correct Service 901 Recipient’s on-going overflow of Solid Waste.
902 5.11.1 Prior Arrangements For Collection. If the Service Recipient has made prior 903 arrangements with Contractor for Collection of Solid Waste Overages, Contractor must collect such 904 Overages as arranged, and may charge the Service Recipient the Solid Waste Overage fee (prior 905 arrangement) rate set forth in Exhibit 1.
906 5.11.2 No Prior Arrangements. If the Service Recipient has not made prior arrangements 907 with Contractor for Collection of Solid Waste Overage, (i) Contractor may collect such Solid Waste Overage 908 at no additional charge as a courtesy, (ii) Contractor may not Collect the Solid Waste Overage and leave a 909 Non-Collection Notice explaining the reason for non-collection of the Solid Waste Overage, (iii) Contractor 910 may Collect the Solid Waste Overage (up to two lifts) and charge the Service Recipient the Solid Waste 911 Overage fee (no prior arrangement) rate set forth in Exhibit 1 as provided below, or increase the capacity or 912 frequency of Collection of the existing Collection Container(s) to match documented service needs as 913 provided below. In managing Solid Waste Overages, the following apply:
914 5.11.2.1 SFD Service Recipients – Each Occurrence. For each occurrence 915 Contractor will not collect the Solid Waste Overage if the Collection Container could not be serviced by 916 normal operating procedures or cause spillage upon servicing and Contractor must provide the following 917 written notice via e-mail, U.S. mail, or in person (which may be by Non-Collection Notice) to the Service 918 Recipient: (i) the date, description and photograph of the Solid Waste Overage and document in the Waste 919 Reporting System. Contractor’s Non-Collection Notice for SFD Service Recipients shall also contain 920 instructions on (a) how to schedule a Bulky Item Collection or (b) request an additional Collection Container 921 to eliminate future Overages.
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922 5.11.3 Commercial and MFD/MXD Service Recipients – Each Occurrence. Contractor 923 must provide a written notice on the Container and will provide a copy of the notice via e-mail, U.S. mail, or 924 in person (which may be by Non-Collection Notice) to the Service Recipient with the date, description, and 925 photograph of the Solid Waste Overage. Contractor may collect the Solid Waste Overage and may charge 926 the Service Recipient a Solid Waste Overage fee as set forth in Exhibit 1. 927 5.12 Tracking Occurrences of Solid Waste Overage. Regarding Section 5.11, after twelve (12) 928 months have passed from the last applicable Solid Waste Overage occurrence, the next Solid Waste Overage 929 occurrence will be deemed a first Solid Waste Overage occurrence. Documented occurrences must be 930 reported to the City annually as part of the Annual Report. 931 5.13 Disputes Over Container Overflow Charges. If Service Recipient disputes a Solid Waste 932 Overage charge, Contractor must temporarily halt Solid Waste Overage charge and Contractor may request 933 a ruling by the City Manager to resolve the dispute. A request by Contractor to the City Manager to rule on 934 any such dispute must be filed within ten (10) Business Days of Contractor’s halting of Solid Waste Overage 935 charge, and must include written documentation and digital/visual evidence of ongoing overall problems. The 936 City Manager may request a meeting (in person or phone) with both the Service Recipient and Contractor to 937 resolve the dispute. Following such a meeting, the City Manager will rule on the dispute within ten (10) 938 Business Days, and the City Manager’s decision on resolving the dispute between and Service Recipient will 939 be final. If the City Manager rules in favor of the Service Recipient, Contractor must credit the disputed charge 940 or increased Maximum Service Rate. If the City Manager rules in favor of Contractor, Contractor may charge 941 Service Recipient the prior halted Solid Waste Overage charge and/or increased Maximum Service Rate 942 resulting from increasing the collection frequency and may follow the steps in Section 7.07 for collection of 943 delinquent accounts.
944 5.14 Ownership of Materials. Except as provided otherwise under Applicable Law, title to 945 Residential Waste, Commercial Solid Waste, Recyclable Materials, Organic Waste, and Manure will pass to 946 Contractor at such time as said materials are set out for Collection. 947 5.15 Spillage and Litter. Contractor may not litter premises in the process of providing Integrated 948 Waste Management Services or while its vehicles are on the road. Contractor must transport all materials 949 Collected under the terms of this Agreement in such a manner as to prevent the spilling or blowing of such 950 materials from Contractor's vehicles. Contractor must exercise all reasonable care and diligence in providing 951 Integrated Waste Management Services so as to prevent spilling or dropping of Residential Waste, 952 Commercial Solid Waste, Recyclable Materials, Organic Materials, or Manure and must immediately, at the 953 time of occurrence, clean up such spilled or dropped Residential Waste, Commercial Solid Waste, Recyclable 954 Materials, Organic Materials, or Manure.
955 5.15.1 Contractor is not responsible for cleaning up sanitary conditions caused by the 956 carelessness of the Service Recipient; however, Contractor must clean up any material or residue that is 957 spilled or scattered by Contractor or its employees. 958 5.15.2 Equipment oil, hydraulic fluids, spilled paint, or any other liquid or debris resulting 959 from Contractor’s operations or equipment repair must be covered immediately with an absorptive material
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960 and removed from the street surface. Contractor must document spillage in the Waste Reporting System 961 and notify City’s Director of Public Works within ninety (90) minutes of any spills resulting from Contractor’s 962 operations or equipment. When necessary, Contractor must apply a suitable cleaning agent and cleaning 963 technique to the street surface to provide adequate cleaning as approved by the City’s Director of Public 964 Works to be compliant with the City’s stormwater permit. 965 5.15.3 The above paragraphs notwithstanding, Contractor must clean up any spillage or 966 litter caused by Contractor within ninety (90) minutes upon notice from the City. If City deems necessary, 967 Contractor must engage third-party environmental clean-up specialist to remove any equipment oil, hydraulic 968 fluids, or any other liquid or debris that remains on street after Contractor’s own clean-up efforts. If clean-up 969 is not conducted to satisfaction of City, City has right to engage environmental clean-up specialist to perform 970 additional clean-up work at the expense of Contractor. In the event of Contractor’s spill or release of a 971 Hazardous Substance, Contractor is responsible for promptly notifying any federal, State, County, or local 972 governmental agency having jurisdiction over same as maybe be required under federal, State, County or 973 local law or regulation.
974 5.15.4 In the event where damage to City streets is caused by a hydraulic fluid spill (i.e., 975 any physical damage more than a simple cosmetic stain caused by the spill), Contractor shall be responsible 976 for all repairs to return the street to the same condition as that prior to the spill. Contractor shall be 977 responsible for all clean-up activities related to the spill. Repairs and clean-up shall be performed in a manner 978 satisfactory to the City and at no cost to the City. 979 5.15.5 To facilitate immediate cleanup, Contractor’s vehicles must always carry enough 980 petroleum absorbent materials along with a broom and shovel. 981 5.16 Green and Organic Waste Capacity. Contractor shall use commercially reasonable efforts 982 to secure guaranteed capacity for all City Green and Organic Waste for the term of the Agreement using a 983 facility listed in Exhibit 9.
984 5.17 SB 1383 Universal Roll-Out. City and Contractor acknowledge that Contractor’s Organic 985 Materials Collection routes must be expanded to satisfy the requirements of the SB 1383 Regulations. 986 Beginning July 1, 2024 all new customers will be provided base level of collection service including Recycling 987 Container, Organics Container and Garbage Container collection service. Between July 1, 2024 and 988 December 31, 2024, Contractor shall continue to expand its Organic Materials collection service to existing 989 customers within City. By January 1, 2025, Contractor shall provide Organic Materials collection service to all 990 of its customers within City who are subscribed to and pay for Solid Waste collection service, unless (i) the 991 customer is categorically exempted under City’s municipal code from the requirement to subscribe for Organic 992 Materials collection service, or (ii) the customer qualifies for and is granted a State- or City-issued waiver. 993 Contractor will work with customers to appropriately size collection containers such that source-separation of 994 all materials is possible without any overflow of material, and if any disputes arise or overages occur, the City 995 will make the final determination on proper container size. 996 5.18 Regulations and Record Keeping. Contractor must comply with emergency notification 997 procedures required by Applicable Laws and regulatory requirements. All records required by regulations
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998 must be maintained at Contractor’s facility. These records must include waste manifests, waste inventories, 999 waste characterization records, inspection records, incident reports, and training records. 1000 Article 6. Collection Service Rates
1001 6.01 Collection Service Rates. Contractor is solely responsible for determining the rates it will 1002 charge for providing the Integrated Waste Management Services, provided that Contractor shall not charge 1003 any Service Recipient an amount that exceeds the applicable Maximum Service Rate set forth in Exhibit 1, 1004 which may only be adjusted as provided in this Agreement. 1005 6.02 Senior / Low-Income Discount as Contractor’s Good Will. In exchange for the good will of 1006 the City and the general public, Contractor voluntarily agrees to discount the rate it charges for Integrated 1007 Waste Management Services provide to eligible Service Recipients (the “Discount”) and that the Discount 1008 shall neither impact the Maximum Service Rates nor be otherwise paid for or subsidized by any other Service 1009 Recipients. Contractor shall make the Discount available to any person who demonstrates through 1010 appropriate documentation that they are: (i) 65 years of age or older; or (ii) a person enrolled in a low income 1011 gas and/or electricity utility program rate; and (iii) the service account holder; and (iv) the head of household 1012 and occupant at the Service Unit address. Within thirty (30) days of the Effective Date, Contractor shall 1013 provide educational materials describing and explaining the availability and how to qualify for and receive the 1014 Discount to all persons in the City currently subscribed to a discount rate program. Contractor shall thereafter 1015 advertise the availability of the Discounted services on its website throughout the Term of this Agreement and 1016 at least once per year by direct notice to all SFD Service Recipients. Adjustments to Maximum Service Rates 1017 using CPI. Beginning on July 1, 2025, and annually thereafter, Contractor shall, subject to compliance with 1018 all provisions of this Section, receive an annual adjustment to the Maximum Service Rates as set forth in 1019 Exhibit 1 to this Agreement.
1020 6.03 Maximum Service Rate Adjustment / Prop 218 Process. The Maximum Service Rates in 1021 Exhibit 1 shall be adjusted on July 1, 2025, and annually thereafter in accordance with this Section 6.03. No 1022 other adjustments shall be made except as provided in Sections 6.05 or Article 31. Contractor understands 1023 and agrees that City may elect to or be required to comply with California Constitution Article XIII D 1024 (Proposition 218) or other Applicable Law before approving any new maximum service rate or any maximum 1025 service rate increase. City shall not be in breach of this Agreement if its residents lawfully delay or prevent 1026 City from raising or imposing the rates. In such an event, City and Contractor shall meet in good faith to 1027 consider alternatives and options, which may include permitting Contractor to terminate the Agreement 1028 without cause. All costs incurred in providing notices required under California Constitution Article XIII D or 1029 other applicable law in connection with a rate adjustment shall be paid by Contractor. 1030 6.03.1 Annual Adjustments to Maximum Service Rates. The Maximum Service Rates 1031 (including charges for Collection, Transportation, Transfer, Manure Processing, Recyclable Materials 1032 Processing, Organic Waste Processing, and Disposal) shall be increased annually on July 1, beginning July 1033 1, 2025, and for subsequent years thereafter, as described in this Section. The Consumer Price Index to be 1034 used in such adjustment shall be the series CUSR0000SEHG02, Garbage and trash collection in U.S. city 1035 average, all urban consumers, seasonally adjusted.
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1036 6.03.1.1 CPI Adjustment. The Maximum Service Rates shall be adjusted 1037 by a percentage amount applied to the previous Maximum Service Rates that is derived by multiplying the 1038 then-current Maximum Service Rates by one-hundred percent (100%) of the 12-month average change of 1039 the CPI as calculated below. Provided that adequate supporting information has been submitted by 1040 Contractor in accordance with this Section 6.03, the annual CPI Adjustment shall be deemed approved and 1041 shall take effect as outlined in this Section 6.03. 1042 The Maximum Service Rates shall be adjusted based on one hundred percent (100%) of the 12-month 1043 average change in the CPI for the 12-month period published immediately prior to the rate application. By 1044 way of example, the first rate adjustment effective July 1, 2025, will be based on the percentage change 1045 between the 12-month average of the CPI from January 1, 2023 through December 31, 2023, and the 12- 1046 month average of the CPI from January 1, 2024 through December 31, 2024. 1047 6.03.2 Annual Rate Cap on Maximum Service Rates. In any Rate Year that the calculation 1048 of the CPI exceeds four percent (4.00%), the total adjustment for that year will equal four percent (4.00%) 1049 and there will be no rollover amount added to the rate adjustment percentage in the following year, or any 1050 subsequent year. If the CPI is negative, there will be no CPI adjustment for that year. 1051 6.03.3 Rounding. Adjustments to the overall Service Rates shall be made only in units of 1052 one cent ($0.01). Fractions of less than one cent ($0.01) shall not be considered in making adjustments. All 1053 CPI indices shall be rounded at two (2) decimal places for the adjustment calculations. 1054 6.03.4 Maximum Service Rate Adjustment Report. On or before March 1 of each year of 1055 the Term, Contractor shall deliver to City a report on its proposed adjustment to the Maximum Service Rates 1056 for the subsequent calendar year (the “Adjustment Report”). The Adjustment Report shall be in a format as 1057 may be mutually agreed on between the City and Contractor and must contain or be accompanied by 1058 Contractor’s adjustment calculations for the specific services performed under this Agreement during the 1059 preceding Agreement Year in Microsoft Excel or other electronic format acceptable to the City. Contractor 1060 shall be solely responsible for the cost of preparing the Adjustment Report. 1061 6.03.4.1 Corrections. In the event the City determines the Adjustment 1062 Report contains substantial errors or omissions, Contractor shall, at its sole cost, provide a corrected report 1063 to the City within seven (7) Business Days.
1064 6.03.4.2 Late Report. If Contractor fails to submit the Adjustment Report by 1065 March 1, the City may: (1) accept and consider the late Adjustment Report if the City, in its sole and 1066 reasonable discretion, deems there is sufficient time to review and approve the proposed adjustment in 1067 time for it to be implemented on July 1; or (2) accept and consider the late Adjustment Report at its earliest 1068 convenience, in which case any approved rate adjustment shall only go into effect prospectively thirty (30) 1069 days after the City’s approval. In no event shall Contractor apply any rate adjustment retroactively. 1070 6.03.4.3 No Report. If Contractor fails to provide any Adjustment Report, 1071 the Maximum Service Rate shall remain unchanged for the next calendar year.
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1072 6.04 City Approval. If Contractor provides a timely Adjustment Report, the City Manager shall 1073 notify Contractor on or before June 1 whether the City has approved the requested adjustments to the 1074 Maximum Service Rates for the next Rate Year. Approval of the City Council shall be required for any 1075 requested rate adjustment of more than four percent (4.00%) which shall only be permitted pursuant to 1076 Section 6.05 [Extraordinary Adjustment] below. The City Manager may approve all other requests or refer 1077 them to the City Council at his or her discretion. 1078 6.05 Extraordinary Adjustments. Contractor and City acknowledge that there may be infrequent 1079 extraordinary events, including Change of Law, which, although they do not prevent either party from 1080 performing, and thus do not implicate the force majeure provisions hereof, nevertheless increase the cost of 1081 providing services above the Section 6.03 Maximum Service Rate Adjustment. The obligation of the parties 1082 in such event is to act reasonably toward each other in arriving at an appropriate adjustment in rates. 1083 Accordingly, at its option, Contractor may apply to the City not more frequently than once every two (2) 1084 calendar years, for an extraordinary rate adjustment should an event or circumstance arise which negatively 1085 impacts the economic operation of Contractor and which is in excess of the rate adjustment resulting from 1086 the application of Section 6.03. An extraordinary adjustment in rates will be deemed justified if it is necessary 1087 for the Contractor to make a substantial change in its operations, or substantial capital expenditure or 1088 investment to perform its obligations under this Agreement due to the occurrence of an event or circumstance 1089 which is beyond the reasonable control of Contractor. Extraordinary rate adjustments shall only be effective 1090 after approval by the City Council.
1091 6.05.1 Contractor’s Request. Contractor shall submit its request in accordance with the 1092 requirements of this Section. In the event of such an application for an extraordinary rate increase, it is 1093 understood that the Contractor shall have the burden of demonstrating to the reasonable satisfaction of the 1094 City the basis for the extraordinary increase cost. Contractor shall bear the burden of justifying its request 1095 and shall be solely responsible for the cost of preparing and submitting sufficient documentation in support 1096 of its request. City in its sole reasonable discretion may request Contractor to provide any additional 1097 information it deems necessary to fully evaluate the request, and Contractor shall be solely responsible for 1098 the cost to of providing such additional information. Contractor shall allow City to review a report of its annual 1099 revenues and expenses for the services provided in the City. City shall have the right to review this 1100 information in connection with the City’s review of Contractor’s extraordinary rate adjustment request. With 1101 respect to any Financial Statements or any other non-public information (“Confidential Information”), City 1102 agrees that: (a) it will hold in confidence all Confidential Information; (b) it will restrict the disclosure of 1103 Confidential Information within its own organization and to its agents or representatives who need to know 1104 the Confidential Information for the purposes of the request and who have entered a reasonable non1105 disclosure agreement with Contractor; (c) it will not disclose Confidential Information to any third party, 1106 excepting those subject to subsection (b), without the prior written consent of the Disclosing Parties; (d) it 1107 will not possess, copy and/or reproduce any written or electronically stored Confidential Information without 1108 the prior written approval of the Contractor; and (e) it will not use Confidential Information except as required 1109 for consideration of the request.
1110 6.05.2 Review Costs. At the time of its request, Contractor shall also submit a payment to 1111 the City of Fifteen Thousand Dollars ($15,000) to defray the City’s costs to review the request. In the event
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1112 the City’s reasonable costs exceed that amount, Contractor shall reimburse the City for any documented 1113 amount in excess.
1114 6.05.3 Meet and Confer. The City and Contractor agree to meet and confer regarding the 1115 request and to negotiate in good faith regarding the appropriateness of the requested adjustment for a period 1116 of sixty (60) calendar days after submission of Contractor’s request. 1117 6.05.4 City Review; Approval. City shall review the Contractor’s request and, in the City’s 1118 sole and reasonable judgment, make the final determination as to whether an adjustment to the Maximum 1119 Service Rates will be made, and, if an adjustment is permitted, the appropriate amount of the adjustment. 1120 Approval of the City Council shall be required for any Extraordinary Adjustments. The City shall notify 1121 Contractor of its decision within ninety (90) calendar days regarding whether it accepts Contractor’s request. 1122 Except as provided herein, any such change approved by the City shall not be implemented until January 1 1123 of the next Rate Year unless a different time frame is approved by the City Council. 1124 6.06 Procedures in Event of Invalidation of Rate Adjustment. In the event that City is unable by 1125 operation of Applicable Law to approve or implement a rate increase under this Article 6, or some or all of the 1126 Maximum Service Rates are disallowed by operation of Applicable Law, including any requirements of 1127 Proposition 218, as applicable, Contractor will have the right, within thirty (30) days after notice of any such 1128 inability to approve or invalidation of an approved rate increase, to request, in writing, that City negotiate in 1129 good faith regarding reductions in programs, services, or fees to compensate for any negative impact from 1130 the unapproved or invalidated rate increase. If City fails to commence negotiations in good faith or 1131 negotiations are not completed within sixty (60) days following the date of receipt of Contractor’s request, 1132 either party may terminate this Agreement no earlier than one hundred and eighty (180) days after written 1133 notice to the other.
1134 Article 7. Collection Service Billing
1135 7.01 Responsibility for Collection Service Billing and Collection. Contractor shall be solely 1136 responsible for the billing and collecting payments for the Integrated Waste Management Services it provides 1137 within the Service Area.
1138 7.02 Invoices. Contractor shall prepare and send out invoices, by either U.S. mail or electronic 1139 mail, to each Service Recipient in advance of all services provided by Contractor under this Agreement. If 1140 sent by mail, invoices for each billing period shall be placed in a separate envelope accompanied by a self1141 addressed return envelope. All invoices shall include Contractor’s e-mail address include directions for 1142 payment by cash, check, credit card, or Automated Clearing House (ACH) debit, and shall include or be 1143 accompanied by a complete billing statement showing all charges and all services provided. City shall have 1144 the right to direct Contractor to revise the format of all invoices and billing statements upon reasonable notice 1145 to Contractor.
1146 7.03 Timing; Frequency. Contractor shall not initiate billing to any Service Unit sooner than the 1147 first day of the service period of Collections Services covered by the invoice. Contractor shall invoice Service
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1148 Recipients once every month for all Service Units. No invoice shall be due and payable sooner than the last 1149 day of the respective month for which Integrated Waste Management Services are provided. 1150 7.04 Partial Month Service. If, during a month, a Service Unit is added to or deleted from 1151 Contractor’s Service Area, Contractor shall pro-rate billing to the Service Recipient on a weekly basis, 1152 meaning one-fourth of the applicable rate found in Exhibit 1 multiplied by the number of weeks of service 1153 provided by Contractor.
1154 7.05 Overpayments. Contractor shall refund or issue a service credit for overpayments by 1155 Service Recipients no later than 30 days after Contractor discovers or is notified of the overpayment. 1156 Contractor shall refund every overpayment that: (1) exceeds two hundred dollars ($200.00) or the amount of 1157 Service Recipient’s typical invoice, whichever is less; or (2) is due to the Service Recipient closing the account 1158 prior to the end of the billing period. Contractor may issue a service credit of no more than two (2) years 1159 against future invoices for all other overpayments. 1160 7.06 Delinquent Service Accounts. Contractor shall report all Service Recipients whose 1161 accounts are delinquent by more than ninety (90 days) to the Agreement Administrator on a monthly basis. 1162 7.07 Contractor’s Reservation of Legal Rights and Remedies. Notwithstanding any other 1163 provision of this Article, Contractor reserves its right to, and may take such action as is legally available to 1164 Contractor, to collect or cause collection of past due invoice amounts; provided, however, that Contractor 1165 shall never discontinue Integrated Waste Management Services to any Service Unit except upon thirty (30) 1166 days prior written notice to both the Service Recipient and the Agreement Administrator. Contractor may send 1167 a written notice to Service Recipient regarding payments of Billings during the billed service period. 1168 Article 8. Diversion Requirements
1169 8.01 Warranties and Representations. Contractor warrants that it is aware of and familiar with 1170 City's waste stream, and that it has the ability, and shall use commercially reasonable efforts to provide and 1171 employ sufficient programs and services to ensure City will meet or exceed City’s Diversion goals 1172 requirements (including, without limitation, amounts of Solid Waste to be Diverted, time frames for Diversion, 1173 and any other requirements) as set forth in this Article, Applicable Law, and CalRecycle Regulations, and that 1174 Contractor will do so without imposing any costs or fees other than those set forth in Exhibit 1, as adjusted in 1175 accordance with this Agreement, except as provided in Section 31.01 or as otherwise agreed by the parties. 1176 Contractor hereby agrees the City will meet or exceed the Diversion Compliance by undertaking the actions 1177 set forth in Section 8.02 on an annual basis.
1178 8.02 Contractor Required Actions. Contractor shall take all of the following actions to assist the 1179 City in meeting, on an annual basis, Diversion Compliance:
1180 8.02.1 Except for Organic Waste collected from homeless encampments or material 1181 subject to quarantine by the California Department of Food & Agriculture, and except as provided in Sections 1182 5.06 and 5.10, collect and deliver all Organic Waste to an approved Organics Processing Facility for 1183 processing and Diversion.
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1184 8.02.2 Except as provided in Sections 5.06 and 5.11, Collect and deliver all Recyclable 1185 Materials to an approved MRF, or other certified recycling facility, for processing except for self-hauled 1186 materials or other solid waste not collected by Contractor. 1187 8.02.3 Collect and deliver all Garbage to an approved Disposal Facility. 1188 8.02.4 Collect and deliver all Construction and Demolition Debris to an approved MRF (or 1189 other certified C&D facility that meets California requirements of 65% minimum diversion) for processing and 1190 diversion.
1191 8.02.5 Collect and deliver all Manure to an approved Facility for processing and diversion. 1192 8.02.6 Deliver all material set out for collection in Carts, Bins or Roll-Off Containers 1193 identified as containing source separated Recyclable Material to an approved MRF for processing and 1194 diversion.
1195 8.02.7 Deliver all material set out for collection in Carts, Bins or Roll-Off Containers 1196 identified as containing source separated Organic Waste to an approved Organic Waste Processing Facility 1197 for processing and diversion.
1198 8.02.8 Only Residual or material in Garbage Carts or Garbage Bins will be delivered to the 1199 approved landfill for disposal. All other material must go to the designated facility for full processing and 1200 diversion, with Residual only going to the landfill after the processing. 1201 8.02.9 Contractor must take all commercially reasonable and lawful actions to maximize 1202 diversion of materials from landfills.
1203 8.02.10 Contractor must develop and provide sufficient accurate information and data as 1204 detailed in Section 23 necessary to ensure that Contractor and City annually demonstrate Diversion 1205 Compliance to CalRecycle.
1206 8.02.11 Contractor must implement public education and outreach programs as required 1207 under this Agreement.
1208 8.03 Annual Reporting. Contractor shall calculate the Diversion Compliance Rate on an annual 1209 basis and shall deliver a written report regarding the same to the City no later than January 31 of the year 1210 following the reporting period as set forth in Section 23.04. 1211 8.04 Failure of Recyclables Market. Notwithstanding any other provision of this Agreement to 1212 the contrary, where CalRecycle has determined that there are no commercially viable markets for a specific 1213 type of Recyclable Materials, or with written notice to City, Contractor is unable to identify a market for one or 1214 more Recyclable Materials despite the exercise of commercially reasonable efforts to process and market 1215 the material, and determines to dispose of the Recyclable Material(s), such a determination shall not 1216 constitute a failure to implement service, a failure to implement a program, or an event of default hereunder.
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1217 8.05 Failure to Meet Franchised Diversion Rate. If CalRecycle determines that City has failed 1218 to meet the Diversion Compliance due to Contractor’s failure to undertake the actions described in this 1219 Section, Contractor must prepare, at Contractor’s cost and expense, and submit a corrective action plan to 1220 City sufficient to demonstrate good faith efforts by City to comply with Diversion Compliance and that is 1221 otherwise acceptable to CalRecycle, and shall be subject to Liquidated Damages as allowed under Article 26 1222 and specified in Exhibit 6. Contractor must also submit a written corrective action plan to the City before 1223 March 15 of the year following the missed minimum Diversion requirement. Contractor’s corrective action 1224 plan must specify all actions Contractor will take to ensure it will meet Diversion Compliance Rates in the 1225 future, and shall be subject to the review and approval by the Agreement Administrator. Contractor must 1226 implement all measures identified in the corrective action plan at its sole cost and expense, unless the failure 1227 to meet Diversion Compliance was due to a Change in Law, due to the negligent acts or omissions of the 1228 City, or the City directs Contractor to implement additional programs beyond what is required by CalRecycle. 1229 If Contractor fails to submit an adequate corrective action plan or to fully implement a City-approved corrective 1230 action plan, it shall subject Contractor to Liquidated Damages as allowed under Article 26 and specified in 1231 Exhibit 6 in addition to any other remedies available to the City. 1232 8.06 Representations and Warranties. Contractor represents and warrants that it is aware of 1233 and familiar with the Diversion Compliance, the Applicable Laws and City's waste stream. Contractor 1234 represents and warrants that it has the capacity, skill and ability to undertake the actions identified in Section 1235 8.02 above without imposing any costs or fees other than those set forth in the Schedule of Service Rates, 1236 as may be adjusted as provided for in this Agreement. Where the Diversion Compliance is modified by a 1237 Change in Law, Contractor agrees to develop and implement such actions, programs and measures as are 1238 necessary to bring City into compliance with the modified Diversion Compliance and City agrees that it will 1239 meet and confer with Contactor for a period not to exceed ninety (90) days regarding such actions, programs 1240 and measures, their implementation, and adjustments to rates reasonably necessary to effectuate same in 1241 accordance with Section 31.01.
1242 8.07 Mutual Cooperation. City and Contractor shall each reasonably cooperate in good faith 1243 with all efforts of the other Party to meet City's Diversion requirements under Applicable Law and the 1244 Contractor’s obligations under this Article. City's obligations in this regard shall include, without limitation, 1245 making such petitions and applications as may be reasonably requested by Contractor for time extensions in 1246 meeting Diversion goals, or other exceptions from the terms of Applicable Laws, and to agree to authorize 1247 such changes to Contractor’s Recycling, Organic Waste, Manure, or Solid Waste programs as may be 1248 reasonably requested by Contractor in order to achieve the minimum requirements of this Article. 1249 8.08 Contractor’s Diversion Programs. Contractor shall implement the Diversion programs 1250 required under this Agreement to ensure that City and Contractor comply with all Diversion requirements 1251 under Applicable and the City meets or exceeds all minimum Diversion requirements under Applicable Law. 1252 Contractor shall furthermore, at its sole cost and expense, related to the Integrated Waste Management 1253 Services provided by the Contractor under this Agreement: (1) assist the City to respond to inquiries from, or 1254 prepare for and attend any hearing before, CalRecycle or any other regulatory agency relating to the City’s 1255 compliance with Applicable Law; prepare for and participate in CalRecycle’ s review of the City's SRRE; apply 1256 for any extension available under Applicable Law; develop and implement a public awareness and education
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1257 program consistent with the City's SRRE and Household Hazardous Waste Element and any related 1258 requirements of Applicable Law; (2) Provide the City with Recycling, source reduction, and other technical 1259 assistance as may be needed to comply with Applicable Law; and (3) advise the City of additional programs 1260 or measures Contractor can, if authorized by the City, implement to increase compliance with the Diversion 1261 requirements of Applicable Law.
1262 8.09 New Diversion Programs. If Contractor fails to meet any Diversion Compliance requirement 1263 or the City fails to meet any CalRecycle Diversion requirement notwithstanding Contractor’s implementation 1264 of all Diversion and public education programs as required by this Agreement, the City may direct Contractor 1265 to modify its Diversion and public education programs or implement new programs. Such modifications may 1266 constitute a City-Directed Change under Section 31.01. Contractor shall not implement new Diversion 1267 programs not described in this Agreement without the City’s prior consent. 1268 8.10 Nothing contained herein shall prohibit Contractor from meeting its diversion requirements 1269 by any alternative methods or procedures, provided it complies with Applicable Law, as may be amended 1270 from time to time. Contractor’s ability to meet its diversion requirements by alternative methods per this 1271 Section is subject to Agreement Administrator review and approval. 1272 Article 9. Service Unit Types
1273 9.01 Service Units. Service Units include all the following categories of premises which are in 1274 the Service Area as of July 1, 2024 and all such premises which may be added to the Service Area by means 1275 of annexation, new construction, or as otherwise set forth in this Agreement during term of this Agreement:
1276 9.01.1 SFD Service Units. Services are specified in Article 10. 1277 9.01.2 MFD Service Units. Services are specified in Article 11. 1278 9.01.3 Commercial Service Units. Services are specified in Article 12. 1279 9.01.4 Manure Services. Manure services for all Services Units are specified in Article 14. 1280 9.01.5 City Service Units. Services are specified in Article 15. 1281 9.01.6 Any question as to whether a premise falls within one of these categories will be 1282 reasonably determined by the Agreement Administrator and the determination of the Agreement 1283 Administrator will be final.
1284 9.02 Service Unit Changes. City and Contractor acknowledge that during the term of this 1285 Agreement it may be necessary or desirable to add or delete Service Units for which Contractor will provide 1286 Service.
1287 9.02.1 Additions and Deletions. Contractor must provide services described in this 1288 Agreement to new Service Units in Contractor’s Service Area within five (5) Work Days of receipt of notice 1289 from City or the new Service Unit to begin such Service.
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1290 9.03 Annexation. If during term of the Agreement, additional territory within or adjacent to the 1291 Contractor’s Service Area is acquired by City through annexation, subject to the requirements of Public 1292 Resources Code section 49520, Contractor agrees to provide Integrated Waste Management Services in 1293 such annexed area in accordance with the provisions and Maximum Service Rates set forth in this Agreement 1294 after termination of former contractor’s rights to provide service have been exhausted. Such Integrated Waste 1295 Management Services must begin within five (5) Work Days of receipt of written notice from City. Contractor 1296 may not begin Collection Service without written authorization from City. 1297 9.04 Route Map Update. Contractor must revise the Service Unit route maps to show the 1298 addition of Service Units added due to annexation and must provide such revised maps to the Agreement 1299 Administrator as requested.
1300 Article 10. Residential Service
1301 10.01 SFD Conditions of Service. Except as set forth below, Contractor must provide SFD 1302 Collection Services to all SFD Units in the Service Area, including all MFD/MXD Service Units subscribed to 1303 Cart Collection Service. The SFD Services are governed by the following terms and conditions:
1304 10.01.1 Curb Service. Except for those Service Recipients that choose to receive Bins for 1305 service, Contractor must provide SFD Collection Service to all SFD Service Units in the Service Area whose 1306 SFD Solid Waste is properly containerized in Garbage Carts, Recyclable Materials are properly 1307 containerized in Recyclable Materials Carts, except as set forth in this Section; Organic Wastes are properly 1308 containerized in Organic Waste Carts, except as set forth in Section 10.09.3, where the Garbage, Recyclable 1309 Materials, and Organic Waste carts have been placed within three (3) feet of the curb, swale, paved surface 1310 of the public roadway, closest accessible roadway, or other such location agreed to by Contractor and 1311 Service Recipient, that will provide safe and efficient accessibility to Contractor's Collection crew and vehicle. 1312 10.01.2 Bundled SFD Cart Service. Contractor will use a weekly Bundled SFD Solid Waste 1313 Collection Service system with one (1) 96-Gallon Black or Grey Garbage Cart, one (1) 96-Gallon Blue 1314 Recyclable Materials Cart, and one (1) 96-Gallon Green Organic Waste Cart as part of the base SFD Solid 1315 Waste Collection Service. SFD Service Recipients shall receive one (1) additional Recyclable Materials Cart 1316 and one (1) additional Organic Waste Cart to be included at no additional cost, if requested. Garbage, 1317 Recyclable Materials, and/or Organic Waste Carts with a capacity of 35-Gallon or 64-Gallon may be 1318 requested by Customers that have space constraints. Pricing for downsizing Carts, or additional Carts, 1319 relative to the base Bundled Service are included in Exhibit 1. 1320 10.01.3 On-Premises Service. Notwithstanding any term or definition set forth in this 1321 Agreement, Contractor must provide Collection of SFD Garbage, Recyclable Materials, and Organic Waste 1322 on the SFD Service Recipients premises to an SFD Service Unit as follows. 1323 10.01.3.1 At no additional cost to the SFD Service Unit for SFD Service Units 1324 where all adult Service Recipients residing therein have disabilities that prevent them from setting their 1325 Garbage, Recyclable Materials, Organic Waste, or Manure Cart at the curb for Collection, and if a request 1326 for on-premises service has been made. To receive On-Premises Service at no cost under this section, the
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1327 Service Recipient shall provide Contractor a verified statement, signed by a medical physician and Service 1328 Recipient, stating that the Service Recipient has a physical disability and is, therefore, unable to place 1329 Containers at the curbside for collection. Service recipient shall verify that there is no other able-bodied 1330 person in the household to perform Container placement at the curbside. Contractor may require annual 1331 confirmation that the Customer’s disability continues and that there is no able-bodied Person residing at 1332 the Premises.
1333 10.01.3.2 At an additional cost to the SFD Service Unit in accordance with 1334 the Service Rates set forth in Exhibit 1 for the following SFD Service Units:
1335 A. SFD Service Units where topography, steep driveways, below grade dwellings, or 1336 limited access to public streets prevents the SFD Service Recipient from setting their Garbage, Recyclable 1337 Materials, Organic Waste, or Manure Cart at the curb for Collection, as determined by the City and agreed 1338 by the Contractor, or if a request for on-premises service has been made; 1339 B. SFD Service Units inaccessible by standard 3 or 4 axel Collection Vehicles as 1340 determined by the Contractor and agreed by the City. Stinger/scout truck services shall be provided for the 1341 retrieval of Collection Containers from locations with accessibility constraints that make Containers difficult 1342 or impossible to access using regular trash collection trucks; and 1343 C. Contractor must offer “push services” to SFD Service Recipients other than those 1344 listed above on a subscription basis upon request for the Service Rate set forth in Exhibit 1. Push services 1345 include, but are not limited to, dismounting from the Collection Vehicle, moving the Collection Containers 1346 from their storage location for Collection and returning the Collection Containers back to their storage 1347 location.
1348 10.01.3.3 Contractor must provide on-premises Collection Service on the 1349 same Work Day that curbside Collection would otherwise be provided to the SFD Service Unit. 1350 10.02 Frequency and Scheduling of Service. SFD Collection Service must be provided one (1) 1351 time per week on Mondays. SFD Collection Service must be scheduled so that all Service Units receive 1352 Garbage Collection Service, Recyclable Materials Collection Service, and Organic Waste Collection Service 1353 on the same Work Day. For customer that subscribe to Manure service, collection must be provided at least 1354 one (1) time per week. SFD Collection Service must be provided, commencing no earlier than 7:00 a.m. and 1355 terminating no later than 6:00 p.m., Monday through Friday, except for Holidays in accordance with Section 1356 5.03. The hours, day, or both of Collection may be extended due to extraordinary circumstances or conditions 1357 with the prior verbal or written consent of the Agreement Administrator. 1358 10.03 Manner of Collection. The Contractor must provide Collection Service with as little 1359 disturbance as possible and must leave any Garbage, Recyclable Materials, Organic Waste, or Manure Cart 1360 in an upright position at the same point it was Collected without obstructing alleys, roadways, driveways, 1361 sidewalks, or mailboxes. Contractor’s employees providing Collection Service must follow the regular walk 1362 for pedestrians while on private property and may not trespass nor cross property to the adjoining premises 1363 unless the occupant or owner of both properties has given permission. Care should be taken to prevent 1364 damage to property, including flowers, shrubs, and other plantings.
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1365 10.04 New Carts and Kitchen Food Waste Pails. In accordance with Exhibit 4, Contractor must 1366 supply new Carts that comply with Collection Container specifications. In addition, Contractor shall make 1367 available upon request Kitchen Food Waste Pails that comply with specifications in Exhibit 4. Upon request, 1368 Contractor shall provide one (1) Kitchen Food Waste Pail every year to Customers at no charge and shall 1369 charge Customers for each additional Kitchen Food Waste Pail provided in that calendar year. If any changes 1370 to these specifications are adopted after the Effective Date that results in Contractor being required to replace 1371 Collection Containers within ten (10) years of distribution, Contractor will be eligible for additional 1372 compensation in accordance with Exhibit 1.
1373 10.05 Replacement of Carts. Contractor’s employees must take care to prevent damage to Carts 1374 by unnecessary rough treatment. However, any Cart damaged by the Contractor must be replaced by 1375 Contractor, at Contractor's expense, within five (5) Work Days at no cost or inconvenience to the Service 1376 Recipient.
1377 10.05.1 Upon notification to Contractor by City or a Service Recipient that the Service 1378 Recipient’s Cart(s) has been stolen or damaged beyond repair through no fault of Contractor, Contractor 1379 must deliver a replacement Cart(s) to such Service Recipient within five (5) Work Days, subject to the terms 1380 of Section 10.05.2. Contractor must maintain records documenting all Cart replacements occurring and 1381 report through the Waste Reporting System monthly. 1382 10.05.2 Each Service Recipient is entitled to the replacement of one (1) lost, destroyed, or 1383 stolen Cart every ten (10) years during the life of this Agreement at no cost to the Service Recipient. Except 1384 in the case of a Cart that must be replaced because of damage caused by Contractor or in the case where 1385 Contractor elects to replace a Cart rather than repair it on-site, Contractor will be compensated for the cost 1386 of those replacements in excess of one (1) per type of Cart per Service Recipient during the term of the 1387 Agreement, in accordance with the “Cart Exchange” Service Rate set forth in Exhibit 1. 1388 10.05.3 Contractor understands and agrees that this provision is intended to be applied on 1389 a per Cart type, individual Service Recipient basis and accordingly each Service Recipient could receive up 1390 to three (4) replacement Carts, one (1) of each type (including optional Manure service), every ten (10) years 1391 during the term of the contract.
1392 10.05.4 Repair of Garbage, Recyclable Materials, Organic Waste, and Manure Carts. 1393 Contractor is responsible for the repair of Carts, including but not be limited to, hinged lids, wheels, and 1394 axles. Within five (5) Work Days of notification by the City or a Service Recipient of the need for such repairs, 1395 Contractor must repair the Cart or if necessary, remove the Cart for repairs and deliver a replacement Cart 1396 to the Service Recipient. Contractor may charge for repair of damaged Cart in the event that the Cart is 1397 determined to be damaged by the Service Recipient, in accordance with rates set forth in Exhibit 1. 1398 10.05.5 Cart Exchange. Upon notification to Contractor by City or a Service Recipient that 1399 a change in the size of a Cart is requested, Contractor must deliver such Cart to such Service Recipient 1400 within five (5) Work Days. Each SFD Service Unit is eligible to receive one (1) free Cart exchange per 1401 Calendar Year during the term of this Agreement for moving to a larger Cart size. Each SFD Service Unit is 1402 eligible to receive unlimited Cart exchanges per Calendar Year during the term of this Agreement for moving
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1403 to a smaller Cart size. Accordingly, Contractor will be compensated only for the cost of those exchanges in 1404 excess of one (1) per Calendar Year for those Service Units receiving larger Cart sizes, in accordance with 1405 the “Cart Exchange” service rate as set forth in Exhibit 1 or as may be adjusted this Agreement. 1406 10.05.6 Additional Cart Request. Upon notification to the Contractor by City or a Service 1407 Recipient that additional Black or Grey Carts for Garbage, Blue Carts for Recyclable Materials, Green Carts 1408 for Organic Waste, or Beige for Manure are requested, Contractor shall deliver such Carts to such Service 1409 Recipient within five (5) Work Days, at the rate set forth in Exhibit 1. In accordance with Section 10.01.2, 1410 SFD Service Recipients shall receive one (1) additional Recyclable Materials Cart and one (1) additional 1411 Organic Waste Cart to be included at no additional cost, if requested. 1412 10.05.7 Ownership of Carts. Ownership of Carts is vested in the Contractor. 1413 10.06 Cleaning of Collection Containers. Once each Calendar Year, if requested by the SFD 1414 Service Recipient, Contractor must replace the dirty Collection Containers with clean Collection Containers. 1415 Any Collection Container cleanings done at a Contractor facility must be done in such a manner that results 1416 in no water entering the City’s storm drain system. This service must be provided at no charge to the Service 1417 Recipient, so long as the service is not requested more than once per Calendar Year. In addition, regardless 1418 of whether or not this cleaning is requested by the Service Recipient, Contractor will ensure that all Collection 1419 Containers are cleaned on an as-needed basis so as to maintain a clean appearance and proper function. 1420 Additional cleanings beyond once each Calendar Year will be subject to the Service Rate set forth in Exhibit 1421 1.
1422 10.07 SFD Garbage Collection Service. This service is governed by the following terms and 1423 conditions:
1424 10.07.1 Non-Collection. Contractor is not required to Collect any Garbage that is not placed 1425 in a Garbage Cart. In the event of non-collection, Contractor will follow the steps set forth in Section 5.10. 1426 10.07.2 Disposal Facility. Except as set forth below, all Garbage Collected as a result of 1427 performing Integrated Waste Management Services must be transported to, and disposed of, at the Disposal 1428 Facilities listed in Exhibit 9. In the event the Disposal Facility is closed on a Work Day, Contractor must 1429 transport and dispose of the Garbage at another legally permitted Disposal Facility. Failure to comply with 1430 this provision will result in the levy of a penalty as specified in Exhibit 6 and may result in Contractor being 1431 in default under this Agreement.
1432 10.08 SFD Recyclable Materials Service. This service is governed by the following terms and 1433 conditions:
1434 10.08.1 Overages. Corrugated cardboard that will not fit inside the Recyclable Materials 1435 Cart may be placed beside the Recyclable Materials Cart if flattened. 1436 10.08.2 Recyclable Materials - Improper Procedure. The Contractor is not required to 1437 Collect Recyclable Materials if the Service Recipient does not segregate the Recyclable Materials from Solid 1438 Waste, Organic Waste, and Exempt Waste. Furthermore, Contractor is not required to Collect Recyclable
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1439 Materials that are contaminated through commingling with Solid Waste, Organic Waste, or Exempt Waste. 1440 To address contamination, Contractor must follow the steps set forth in Section 5.07. 1441 10.08.3 Materials Recovery Facility. Except as provided in Section 5.07, all Recyclable 1442 Materials collected as a result of performing recycling services must be delivered to the Materials Recovery 1443 Facility listed in Exhibit 9. Failure to comply with this provision will result in the levy of a penalty as specified 1444 in Exhibit 6 and may result in Contractor being in default under this Agreement. All expenses related to 1445 materials processing and marketing will be the sole responsibility of Contractor. City has the right to 1446 designate Materials Recovery Facility.
1447 10.08.4 Move In/Out Collection Service. Within three (3) months of opening a new account, 1448 at no additional charge, each SFD customer may request that Contractor provide one on-call Move-In/Out 1449 Recyclable Material Collection Service for recyclable packaging materials such as flattened cardboard 1450 boxes, and bundled newspaper and packaging foam. This will be offered as a one-time service for each new 1451 account. This service shall only include Recyclable Materials, and in the event that the Service Recipient 1452 includes Garbage in the materials set out for Collection by Contractor, this service shall be counted as one 1453 of the SFD Service Recipient’s free annual Bulky Item Collections as set forth in Section 10.10. 1454 10.08.5 Recyclable Materials - Changes to Services. Should changes in Applicable Law 1455 arise that necessitate any additions or deletions to the services described in this Section 10.08, including 1456 the type of items included as Recyclable Materials, the parties will negotiate any necessary cost changes 1457 and will enter into an Agreement amendment covering such modifications to the services to be performed 1458 and the compensation to be paid in accordance with Section 31.01.1 before undertaking any changes or 1459 revisions to such services.
1460 10.09 SFD Organic Waste Collection Service. This service is governed by the following terms 1461 and conditions:
1462 10.09.1 Organic Waste Processing Services. Contractor shall use commercially reasonable 1463 efforts to divert all source separated and uncontaminated Organic Waste Collected pursuant to this 1464 Agreement is diverted from the landfill in accordance with Applicable Law. Contractor must ensure that the 1465 Organic Waste Collected pursuant to this Agreement is not disposed of in a landfill, except for residue 1466 resulting from processing. Contractor may, as part of its Organic Waste Processing Services, prohibit 1467 Customers from placing non-Compostable Plastic bags in Organic Waste Containers. Contractor may allow 1468 Service Recipients to place Compostable Plastic bags that both comply with all Applicable Laws and meet 1469 such criteria as deemed acceptable to the Organic Waste Processing Facility, in Organic Waste Containers. 1470 10.09.2 Organic Waste Processing Facility. Contractor must deliver all Collected Organic 1471 Waste to a fully permitted Organic Waste Processing Facility or a fully permitted Transfer Station, that has 1472 been listed in Exhibit 9 and agreed upon by the City. All expenses related to Organic Waste processing and 1473 marketing will be the sole responsibility of Contractor. Failure to comply with this provision may result in 1474 Liquidated Damages as specified in Exhibit 6. City has the right to designate a different Organic Waste 1475 Processing Facility and Contractor will be eligible for additional compensation in accordance with Section 1476 31.01.
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1477 10.09.3 Holiday Tree Collection. Contractor must Collect holiday trees free of tinsel and ornaments set out at the curb for Collection during the three-week period beginning December 26th 1478 each 1479 year during the term of this Agreement. Contractor must deliver the Collected holiday trees to an appropriate 1480 Organic Waste Processing Facility for Diversion through uses other than Alternative Daily Cover or Beneficial 1481 Use. This annual service will be provided at no additional charge to the Service Recipient. Contractor is not 1482 required to divert holiday trees with tinsel, flocking or ornaments. 1483 10.09.4 Organic Waste - Improper Procedure. Contractor is not required to Collect Organic 1484 Waste if the Service Recipient does not segregate the Organic Waste from Solid Waste, Recyclable 1485 Materials, and Exempt Waste. Furthermore, Contractor is not required to Collect Organic Wastes that are 1486 contaminated through commingling with Solid Waste, Recyclable Materials, and Exempt Waste. Contractor 1487 will address contamination in accordance with Section 5.07. 1488 10.09.5 Home Compost Bins. Contractor shall store, promote, and distribute a maximum of 1489 500 Home Compost Bins per Calendar Year to be used by Service Recipients to compost Organic Waste. 1490 Contractor is responsible for purchase of Home Compost Bins delivered to Contractor’s place of storage. 1491 10.10 SFD Bulky Waste Collection Service. This service is governed by the following terms and 1492 conditions:
1493 10.10.1 Conditions of Service. Contractor must provide SFD Bulky Waste Collection 1494 Service, including the collection of E-Waste and U-Waste, to all SFD Service Units in the Service Area whose 1495 Bulky Waste, E-Waste, and U-Waste have been placed within three (3) feet of the curb, swale, paved surface 1496 of the public roadway, closest accessible roadway, or other such location agreed to by Contractor and 1497 Service Recipient, that will provide safe and efficient accessibility to Contractor's Collection crew and vehicle. 1498 Up to three (3) times per Calendar Year each Service Recipient is entitled to receive Bulky Item disposal 1499 amounting to a combined annual maximum of the equivalent of (a) three (3) Bulky Items, or (b) ten (10) 32- 1500 gallon bags at no additional cost and expense. For subsequent collection in any Calendar Year, the 1501 Contractor shall receive compensation from the customer at the rate for such service as set in Exhibit 1. 1502 10.10.2 Frequency of Service. Bulky Waste Collection Service will be provided on the next 1503 regular Collection day if the request is received at least two (2) Work Days in advance of the next regular 1504 Collection day. The Service Recipient may not commingle residential Bulky Waste with other Residential 1505 Waste.
1506 10.10.3 Bulky Waste Containing Freon. In the event Contractor Collects Bulky Waste that 1507 contain Freon, Contractor must handle such Bulky Waste in a manner such that the Bulky Waste are not 1508 subject to regulation as hazardous waste under applicable State and Federal laws or regulations. 1509 10.10.4 Maximum Reuse and Recycling. Contractor must dispose of Bulky Waste collected 1510 from Service Units pursuant to this Agreement in accordance with the following hierarchy:
1511 10.10.4.1 Reuse as is (where energy efficiency is not compromised) 1512 10.10.4.2 Disassemble for reuse or Recycling
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1513 10.10.4.3 Recycle
1514 10.10.4.4 Disposal
1515 10.10.5 Disposal of Bulky Waste. Contractor may not landfill such Bulky Waste unless the 1516 Bulky Waste cannot be reused or recycled.
1517 10.10.6 City Direction of Bulky Waste. City reserves the right to direct Contractor to take 1518 specific types of Bulky Waste Collected pursuant to this Section to designated sites not more than twenty 1519 (20) miles from any City boundary for the purpose of reuse or recycling at no cost. Contractor has no 1520 obligation to dispose of the Bulky Item residue remaining at the directed site or sites after scavengers and 1521 recyclers have removed reusable or recyclable Bulky Waste. 1522 10.11 Sharps Collection Program. Home generated sharps, such as needles, syringes, and 1523 lancets shall be placed in a sharps container and removed from the regular waste stream to minimize 1524 exposure to Solid Waste workers and Recyclable Materials processors. Contractor shall provide, upon 1525 request, each SFD/MFD/MXD Service Recipient with up to one postage-paid mail-back sharps container per 1526 year at no additional cost. Seniors shall be provided with up to two postage-paid mail-back sharps containers 1527 per year at no additional cost. In addition, Contractor shall promote this program in newsletters and in other 1528 forms of outreach as determined by City. Additionally, Contractor shall provide to the City on an annual basis 1529 not less than 200 postage-paid mail-back Sharps containers for City staff to distribute at special events. 1530 10.12 “Dump Days” / Extended Producer Responsibility Diversion Program. Contractor shall 1531 provide a minimum of two City-wide dump days on an annual basis for Customers, excluding Commercial 1532 Customers, to dispose of Solid Waste at each event. Dump days shall also include document shredding, 1533 electronic waste, metal, Green Waste, and mattress collection drives. Contractor will schedule collection 1534 events with City approval and advertise the drop-off events not less than one month prior to the scheduled 1535 collection event. All textile, carpet and mattresses Collected through this program shall be Diverted from the 1536 landfill either through donation to a local non-profit organization or through other means of Diversion. 1537 10.12.1 Document Shredding Events. In conjunction with “Dump Days”, and at no additional 1538 cost to the City or its residents, Contractor shall conduct two (2) free document shredding events at the same 1539 time and location as the “Dump Days”. At each event, all City residents will be permitted to deliver up to five 1540 (5) banker boxes of paper for shredding free of charge by Contractor. 1541 10.13 Temporary Bin and Box Service. Contractor shall provide temporary Bin and Box service, 1542 including Construction and Demolition Debris Bins, to SFD Service Recipients. Contractor shall deliver such 1543 Bin or Box within one Business Day of request. The Contractor shall receive compensation for Temporary 1544 Bin and Box Service from the customer at the rate for such service as set in Exhibit 1.
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1545 Article 11. MFD Service
1546 11.01 MFD Conditions of Service. Except as set forth below, Contractor must provide MFD 1547 Collection Services to all MFD Units in the Service Area. The MFD Services are governed by the following 1548 terms and conditions:
1549 11.01.1 Bundled MFD Cart Service. Except for those Service Recipients that choose to 1550 receive Bins for service, Contractor must provide MFD Collection Service to all MFD Service Units in the 1551 Service Area whose MFD Solid Waste is properly containerized in Black/Grey Garbage Carts, Blue 1552 Recyclable Materials are properly containerized in Recyclable Materials Carts, except as set forth in Section 1553 11.08; Organic Wastes are properly containerized in Green Organic Waste Carts, except as set forth in 1554 Section 11.09, where the Garbage, Recyclable Materials, and Organic Waste carts have been placed within 1555 three (3) feet of the curb, swale, paved surface of the public roadway, closest accessible roadway, or other 1556 such location agreed to by Contractor and Service Recipient, that will provide safe and efficient accessibility 1557 to Contractor's Collection crew and vehicle.
1558 11.01.2 Bundled MFD Bin Service. Contractor must provide MFD Solid Waste Collection 1559 Service to MFD Service Units in the Service Area that choose to receive Bins for service. MFD Collection 1560 Service shall be provided in Garbage Bins at the size and frequency as requested by the MFD Service 1561 Recipient, and including at no additional cost one (1) 96-Gallon Blue Recyclable Materials Cart and one (1) 1562 64-Gallon Green Organic Waste Cart as part of the base bundled MFD Collection Service. Additional 1563 services may be requested by the MFD Service Recipient. To be exempted from MFD Recyclable Materials 1564 Service or MFD Organic Waste Collection Service, Service Recipient must apply for exemption to the 1565 Contractor. All such exemption applications must be reported in the Waste Reporting System and approved 1566 by the City. Additional Collection Containers or different size Collection Containers are subject to the 1567 applicable Service Rate set forth in Exhibit 1.
1568 11.01.3 On-Premises Service. Notwithstanding any term or definition set forth in this 1569 Agreement, Contractor must provide Collection of MFD Garbage, Recyclable Materials, and Organic Waste 1570 on the MFD Service Recipients premises to an MFD Service Unit as follows. 1571 11.01.3.1 At no additional cost to the MFD Service Unit for MFD Service 1572 Units where all adult Service Recipients residing therein have disabilities that prevent them from setting 1573 their Garbage, Recyclable Materials or Organic Waste Cart at the curb for Collection, and if a request for 1574 on-premises service has been made. To receive On-Premises Service at no cost under this section, the 1575 Service Recipient shall provide Contractor a verified statement, signed by a medical physician and the 1576 Service Recipient, stating that the Service Recipient has a physical disability and is, therefore, unable to 1577 place Containers at the curbside for collection. the Service Recipient shall verify there is no other able1578 bodied person in the household to perform Container placement at the curbside. Contractor may require 1579 annual confirmation that the Customer’s disability continues and that there is no able-bodied Person 1580 residing at the MFD Service Unit.
1581 11.01.3.2 At an additional cost to the MFD Service Unit in accordance with 1582 the Service Rates set forth in Exhibit 1 for the following MFD Service Units:
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1583 A. MFD Service Units where topography, steep driveways, below grade dwellings, or 1584 limited access to public streets prevents the MFD Service Recipient from setting their Garbage, Recyclable 1585 Materials or Organic Waste Cart at the curb for Collection, as determined by the City and agreed by the 1586 Contractor, or if a request for on-premises service has been made; 1587 B. MFD Service Units inaccessible by standard 3 or 4 axel Collection Vehicles as 1588 determined by the Contractor and agreed by the City. Stinger/scout truck services shall be provided for the 1589 retrieval of Collection Containers from locations with accessibility constraints that make Containers difficult 1590 or impossible to access using regular trash collection trucks; and 1591 C. Contractor must offer “push services” to MFD Service Recipients other than those 1592 listed above on a subscription basis upon request for the Service Rate set forth in Exhibit 1. Push services 1593 include, but are not limited to, dismounting from the Collection Vehicle, moving the Collection Containers 1594 from their storage location for Collection and returning the Collection Containers back to their storage 1595 location.
1596 11.01.3.3 Contractor must provide on-premises Collection Service on the 1597 same Work Day that curbside Collection would otherwise be provided to the MFD Service Unit. 1598 11.02 Frequency and Scheduling of Service. This service must be provided as deemed 1599 necessary and determined between Contractor and the MFD Service Unit, but such service must be received 1600 no less than one (1) time per week with no exception for Holiday(s) as set forth herein, except that Collection 1601 service scheduled to fall on a Holiday may be rescheduled as determined between the Service Recipient and 1602 Contractor as long as the minimum frequency requirement is met. The size of the container and the frequency 1603 (above the minimum) of Collection will be determined between the MFD Service Recipient and Contractor. 1604 However, size and frequency must be sufficient to provide that no Solid Waste need be placed outside the 1605 Collection Container. Contractor must provide containers as part of the Commercial Collection Maximum 1606 Service Rates set forth in Exhibit 1. Service Recipients may own and provide their own Compactor provided 1607 that the Service Recipient is completely responsible for its proper maintenance, and such Compactor is of a 1608 type that is compatible with Contractor's equipment. All other Collection Containers used by Service 1609 Recipients must be owned and supplied by Contractor. 1610 11.03 Manner of Collection. The Contractor must provide Collection Service with as little 1611 disturbance as possible and must leave any Garbage, Recyclable Materials or Organic Waste Cart in an 1612 upright position at the same point it was Collected without obstructing alleys, roadways, driveways, sidewalks 1613 or mail boxes. Contractor’s employees providing Collection Service must follow the regular walk for 1614 pedestrians while on private property and may not trespass nor cross property to the adjoining premises 1615 unless the occupant or owner of both properties has given permission. Care should be taken to prevent 1616 damage to property, including flowers, shrubs, and other plantings. 1617 11.04 New Carts and Kitchen Food Waste Pails. In accordance with Exhibit 4, Contractor must 1618 supply new Carts and newly painted Bins and Roll-off Containers and make available upon request, Kitchen 1619 Food Waste Pails that comply with Collection Container specifications in Exhibit 4. Upon request, Contractor 1620 shall provide one (1) Kitchen Food Waste Pail every year to Customers at no charge and shall charge 1621 Customers for each additional Kitchen Food Waste Pail provided in that calendar year. If any changes to
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1622 these specifications are adopted after the Effective Date that results in Contractor being required to replace 1623 Collection Containers within ten (10) years of distribution, Contractor will be eligible for additional 1624 compensation in accordance with Section 11.05.
1625 11.05 Replacement of Carts/Bins. Contractor’s employees must take care to prevent damage to 1626 Carts by unnecessary rough treatment. However, any Cart damaged by the Contractor must be replaced by 1627 Contractor, at Contractor's expense, within five (5) Work Days at no cost or inconvenience to the Service 1628 Recipient.
1629 11.05.1 Upon notification to Contractor by City or a Service Recipient that the Service 1630 Recipient’s Cart(s)/Bin(s) has been stolen or damaged beyond repair through no fault of Contractor, 1631 Contractor must deliver a replacement Cart(s)/Bin(s) to such Service Recipient, in accordance with Section 1632 11.05.2, within five (5) Work Days. Contractor must maintain records documenting all Cart/Bin replacements 1633 occurring and report through the Waste Reporting System monthly. 1634 11.05.2 Each Service Recipient is entitled to the replacement of one (1) lost, destroyed, or 1635 stolen Cart/Bin every ten (10) years during the life of this Agreement at no cost to the Service Recipient; 1636 provided however that if the Cart/Bin was destroyed or damaged by the Service Recipient, Contractor may 1637 charge the Service Recipient for replacement of the Container at the “Cart Exchange” or “Collection 1638 Container Exchange” Service Rate set forth in Exhibit 1. Except in the case of a Cart/Bin that must be 1639 replaced because of damage caused by Contractor or in the case where Contractor elects to replace a 1640 Cart/Bin rather than repair it on-site, Contractor will be compensated for the cost of those replacements in 1641 excess of one (1) per type of Cart/Bin per Service Recipient during the term of the Agreement, in accordance 1642 with the “Cart Exchange” Service Rate set forth in Exhibit 1, or as may be adjusted by the City from time to 1643 time as provided under this Agreement.
1644 11.05.3 Contractor understands and agrees that this provision is intended to be applied on 1645 a per Cart type, individual Service Recipient basis and accordingly each Service Recipient could receive up 1646 to three (3) replacement Carts, one (1) of each type, every ten (10) years during the term of the contract. 1647 11.05.4 Repair of Garbage, Recyclable Materials, and Organic Waste Carts. Contractor is 1648 responsible for the repair of Carts, including but not be limited to, hinged lids, wheels and axles. Within five 1649 (5) Work Days of notification by the City or a Service Recipient of the need for such repairs, Contractor must 1650 repair the Cart or if necessary, remove the Cart for repairs and deliver a replacement Cart to the Service 1651 Recipient. Contractor may charge for repair of damaged Cart in the event that the Cart is determined to be 1652 damaged by the Service Recipient, in accordance with rates set forth in Exhibit 1. 1653 11.05.5 Cart Exchange. Upon notification to Contractor by City or a Service Recipient that 1654 a change in the size of a Cart is requested, Contractor must deliver such Cart to such Service Recipient 1655 within five (5) Work Days. Each MFD Service Unit is eligible to receive one (1) free Cart exchange per 1656 Calendar Year during the term of this Agreement for moving to a larger Cart size. Each MFD Service Unit is 1657 eligible to receive unlimited Cart exchanges per Calendar Year during the term of this Agreement for moving 1658 to a smaller Cart size. Accordingly, Contractor will be compensated only for the cost of those exchanges in
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1659 excess of one (1) per Calendar Year for those Service Units receiving larger Cart sizes, in accordance with 1660 the “Cart Exchange” service rate as set forth in Exhibit 1 or as may be adjusted this Agreement. 1661 11.05.6 Additional Cart Request. Upon notification to the Contractor by City or a Service 1662 Recipient that additional Carts for Garbage, Recyclable Materials, or Organic Waste are requested, 1663 Contractor shall deliver such Carts to such Service Recipient within five (5) Work Days, at the rate set forth 1664 in Exhibit 1.
1665 11.05.7 Ownership of Carts. Ownership of Carts is vested in the Contractor. 1666 11.06 Cleaning of Collection Containers. Once each Calendar Year, if requested by the MFD, 1667 Contractor must clean all Collection Containers or must replace the dirty Collection Containers with clean 1668 Collection Containers. Any Collection Container cleanings done at a Contractor facility must be done in such 1669 a manner that results in no water entering the City’s storm drain system. This service must be provided at no 1670 charge to the Service Recipient, so long as the service is not requested more than once per Calendar Year. 1671 In addition, regardless of whether or not this cleaning is requested by the Service Recipient, Contractor will 1672 ensure that all Collection Containers are cleaned on an as-needed basis so as to maintain a clean appearance 1673 and proper function. Additional cleanings beyond once each Calendar Year will be subject to the Service Rate 1674 set forth in Exhibit 1.
1675 11.07 MFD Garbage Collection Service. This service is governed by the following terms and 1676 conditions:
1677 11.07.1 Non-Collection. Contractor is not required to Collect any Garbage that is not placed 1678 in a Garbage Cart. In the event of non-collection, Contractor will follow the steps set forth in Section 5.10. 1679 11.07.2 Disposal Facility. Except as set forth below, all Garbage Collected as a result of 1680 performing Integrated Waste Management Services must be transported to, and disposed of, at the Disposal 1681 Facilities listed in Exhibit 9. In the event the Disposal Facility is closed on a Work Day, Contractor must 1682 transport and dispose of the Garbage at another legally permitted Disposal Facility. Failure to comply with 1683 this provision will result in the levy of a penalty as specified in Exhibit 6 and may result in Contractor being 1684 in default under this Agreement.
1685 11.08 MFD Recyclable Materials Service. This service is governed by the following terms and 1686 conditions:
1687 11.08.1 Conditions of Service. Contractor must provide MFD Recyclable Materials Service 1688 to all MFD Service Units in the Service Area whose Recyclable Materials are properly containerized in 1689 Recyclable Materials Collection Containers except as set forth below, where the Recyclable Materials 1690 Collection Containers are accessible. The Maximum Service Rates for Contractor’s MFD Recyclable 1691 Materials Services are set forth in Exhibit 1.
1692 11.08.2 Base MFD Recyclable Materials Service. All MFD Service Recipients subscribing 1693 to MFD Solid Waste Collection Service must receive weekly collection of Recyclable Materials with a 1694 minimum of at least one 96-gallon Recyclable Materials Cart per Service Recipient and included in the
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1695 Bundled Rate set forth in Exhibit 1. The actual configuration of Recyclable Materials Collection Container 1696 sizes to be provided will be based on the total equivalent volume and configured in a manner determined by 1697 the Service Recipient in consultation with Contractor. 1698 11.08.3 Overages. Corrugated cardboard that will not fit inside the Recyclable Materials 1699 Cart may be placed beside the Recyclable Materials Cart if flattened. 1700 11.08.4 Recyclable Materials - Improper Procedure. The Contractor is not required to 1701 Collect Recyclable Materials if the Service Recipient does not segregate the Recyclable Materials from Solid 1702 Waste, Organic Waste, and Exempt Waste. Furthermore, Contractor is not required to Collect Recyclable 1703 Materials that are contaminated through commingling with Solid Waste, Organic Waste, or Exempt Waste. 1704 To address contamination, Contractor must follow the steps set forth in Section 5.07. 1705 11.08.3 Materials Recovery Facility. Except as provided in Section 5.07, all Recyclable 1706 Materials collected as a result of performing recycling services must be delivered to the Materials Recovery 1707 Facility listed in Exhibit 9. Failure to comply with this provision will result in the levy of a penalty as specified 1708 in Exhibit 6 and may result in Contractor being in default under this Agreement. All expenses related to 1709 materials processing and marketing will be the sole responsibility of Contractor. City has the right to 1710 designate Materials Recovery Facility.
1711 11.08.4 Move In/Out Collection Service. Within three (3) months of opening a new account, 1712 at no additional charge, each MFD customer may request that Contractor provide one on-call Move-In/Out 1713 Recyclable Material Collection Service for recyclable packaging materials such as flattened cardboard 1714 boxes, and bundled newspaper and packaging foam. This will be offered as a one-time service for each new 1715 account. This service shall only include Recyclable Materials, and in the event that the Service Recipient 1716 includes Garbage in the materials set out for Collection by Contractor, this service shall be counted as one 1717 of the MFD Service Recipient’s free annual Bulky Item Collections as set forth in Section 11.10. 1718 11.08.4 Recyclable Materials - Changes to Services. Should changes in Applicable Law 1719 arise that necessitate any additions or deletions to the services described in this Section 11.08, including 1720 the type of items included as Recyclable Materials, the parties will negotiate any necessary cost changes 1721 and will enter into an Agreement amendment covering such modifications to the services to be performed 1722 and the compensation to be paid in accordance with Section 31.01.1 before undertaking any changes or 1723 revisions to such services.
1724 11.09 MFD Organic Waste Collection Service. This service is governed by the following terms 1725 and conditions:
1726 11.09.1 Base MFD Organic Waste Service. All MFD Service Recipients subscribing to MFD 1727 Garbage Collection Service must receive weekly collection of the equivalent volume of at least one (1) 35- 1728 gallon Green Organic Waste Cart per Service Recipient included in the Bundled Service rate. The actual 1729 configuration of Organic Waste Collection Container sizes to be provided will be based on the total equivalent 1730 volume and configured in a manner determined by the Service Recipient in consultation with Contractor.
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1731 Contractor may charge for MFD Organic Waste Collection as set forth in Exhibit 1 for MFD Organic Waste 1732 Service greater than the base 35-gallon Organic Waste Cart. 1733 11.09.2 Size and Frequency of Service. This service will be provided as deemed necessary 1734 and determined between Contractor and the Service Recipient, but such service must be received no less 1735 than one (1) time per week with no exception for holiday(s) as set forth herein, except that Collection Service 1736 scheduled to fall on a holiday may be rescheduled as determined between the Service Recipient and 1737 Contractor as long as the minimum frequency requirement is met. Service may be provided by Bin or Cart 1738 at the option of the Service Recipient. The size of the container and the frequency (above the minimum) of 1739 Collection will be determined between the customer and Contractor. However, size and frequency must be 1740 sufficient to provide that no Organic Waste needs be placed outside the Collection Container. Service 1741 Recipients may own and provide their own Compactor provided that the Service Recipient is completely 1742 responsible for its proper maintenance, and such Compactor is of a type that is compatible with Contractor's 1743 equipment. All other Collection Containers used by Service Recipients must be owned and supplied by 1744 Contractor.
1745 11.09.3 Organic Waste Processing Services. Contractor shall use commercially reasonable 1746 efforts to divert all source separated and uncontaminated Organic Waste Collected pursuant to this 1747 Agreement is diverted from the landfill in accordance with Applicable Law. Contractor must ensure that the 1748 Organic Waste Collected pursuant to this Agreement is not disposed of in a landfill, except for residue 1749 resulting from processing. Contractor may, as part of its Organic Waste Processing Services, prohibit 1750 Customers from placing non-Compostable Plastic bags in Organic Waste Containers. Contractor may allow 1751 Service Recipients to place Compostable Plastic bags that both comply with all Applicable Laws and meet 1752 such criteria as deemed acceptable to the Organic Waste Processing Facility, in Organic Waste Containers. 1753 11.09.4 Organic Waste Processing Facility. Contractor must deliver all Collected Organic 1754 Waste to a fully permitted Organic Waste Processing Facility or a fully permitted Transfer Station, that has 1755 been listed in Exhibit 9 and agreed upon by the City. All expenses related to Organic Waste processing and 1756 marketing will be the sole responsibility of Contractor. Failure to comply with this provision may result in 1757 Liquidated Damages as specified in Exhibit 6. City has the right to designate Organic Waste Processing 1758 Facility and Contractor will be eligible for additional compensation in accordance with Section 31.01. 1759 11.09.5 Holiday Tree Collection. Contractor must Collect Holiday Trees free of tinsel and ornaments set out at the curb for Collection during the three-week period beginning December 26th 1760 each 1761 year during the term of this Agreement. Contractor must deliver the Collected Holiday Trees to an appropriate 1762 Organic Waste Processing Facility for Diversion through uses other than Alternative Daily Cover or Beneficial 1763 Use. This annual service will be provided at no additional charge to the Service Recipient. Contractor is not 1764 required to divert Holiday Trees with tinsel, flocking or ornaments. 1765 11.09.6 Non-Collection. Contractor is not required to Collect Organic Waste if the Service 1766 Recipient does not segregate the Organic Waste from Solid Waste or Recyclable Materials. Furthermore, 1767 Contractor is not required to Collect Organic Wastes that are contaminated through commingling with Solid 1768 Waste or Recyclable Materials. Contractor will address contamination in accordance with Section 5.07.
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1769 11.10 MFD Bulky Waste Collection Service. This service is governed by the following terms and 1770 conditions:
1771 11.10.1 Conditions of Service. Contractor must provide MFD Bulky Waste Collection 1772 Service, including the collection of E-Waste and U-Waste, to all MFD Service Units in the Service Area 1773 whose Bulky Waste, E-Waste, and U-Waste have been placed within three (3) feet of the curb, swale, paved 1774 surface of the public roadway, closest accessible roadway, or other such location agreed to by Contractor 1775 and Service Recipient, that will provide safe and efficient accessibility to Contractor's Collection crew and 1776 vehicle. Upon property manager request, up to three (3) times per Calendar Year each Service Recipient is 1777 entitled to receive Bulky Item disposal amounting to a combined annual maximum of the equivalent of (a) 1778 six (6) Bulky Items or (b) ten (10) 32-gallon bags at no additional cost and expense. For subsequent 1779 collection in any Calendar Year, the Contractor shall receive compensation from the customer at the rate for 1780 such service as set in Exhibit 1.
1781 11.10.2 Frequency of Service. Bulky Item Collection Service will be provided on the next 1782 regular Collection day if the request is received at least two (2) Work Days in advance of the next regular 1783 Collection day. The Service Recipient may not intentionally commingle residential Bulky Waste with other 1784 Residential Waste.
1785 11.10.3 Bulky Waste Containing Freon. In the event Contractor Collects Bulky Waste that 1786 contain Freon, Contractor must handle such Bulky Waste in a manner such that the Bulky Waste are not 1787 subject to regulation as hazardous waste under applicable State and Federal laws or regulations. 1788 11.10.4 Maximum Reuse and Recycling. Contractor must dispose of Bulky Waste collected 1789 from Service Units pursuant to this Agreement in accordance with the following hierarchy:
1790 11.10.4.1 Reuse as is (where energy efficiency is not compromised) 1791 11.10.4.2 Disassemble for reuse or Recycling
1792 11.10.4.3 Recycle
1793 11.10.4.4 Disposal
1794 11.10.5 Disposal of Bulky Waste. Contractor may not landfill such Bulky Waste unless the 1795 Bulky Waste cannot be reused or recycled.
1796 11.10.6 City Direction of Bulky Waste. City reserves the right to direct Contractor to take 1797 specific types of Bulky Waste Collected pursuant to this Section to designated sites not more than twenty 1798 (20) miles from any City boundary for the purpose of reuse or recycling at no cost. Contractor has no 1799 obligation to dispose of the Bulky Item residue remaining at the directed site or sites after scavengers and 1800 recyclers have removed reusable or recyclable Bulky Waste.
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1801 Article 12. Commercial Service
1802 12.01 Commercial Conditions of Service. Except as set forth below, Contractor must provide 1803 Commercial Collection Services to all Commercial Service Units in the Service Area, including MXD Service 1804 Units and those City Service Units listed in Exhibit 3. MFD Units serviced with Bins will abide by the guidelines 1805 listed in this Section but are serviced as part of the SFD Collection Service. This service is governed by the 1806 following terms and conditions:
1807 12.01.1 Provision of Service. Contractor must provide Commercial Garbage Collection 1808 Service, Commercial Recyclable Materials Service and Commercial Organic Waste Collection Service to all 1809 Commercial Service Units Service Units in the Service Area whose Solid Waste, Recyclable Materials, and 1810 Organics Waste are properly containerized in Collection Containers as appropriate where the Collection 1811 Containers are accessible as set forth in Section 12.01.4. Contractor must offer Garbage, Recyclable 1812 Materials, and Organic Waste Carts in approximately 35, 64, and 96-gallon sizes. Contractor must offer 1813 Garbage and Recyclable Materials Bins in approximately 2, 3, 4, and 6-cubic yard sizes and 2-cubic yard 1814 size for Organic Waste Bins. Contractor may offer Roll-off Containers in 10, 20, 30, and 40-cubic yard sizes 1815 (Manure Roll-off Containers no larger than 10-cubic yards), and Collection from Compactors. The size of the 1816 container and the frequency (above the minimum) of Collection will be determined between the Service 1817 Recipient and Contractor. However, the size and frequency must be sufficient to provide that no Garbage, 1818 Recyclable Materials, or Organic Waste need be placed outside the Collection Container. The base 1819 Commercial Collection Service will include Commercial Recyclable Materials Service as described in Section 1820 12.04.2 below, and Commercial Organic Waste Collection Service as described in Section 12.05.5 below. 1821 12.01.2 Bundled Service. For the Commercial Solid Waste Collection Service system, 1822 Contractor shall provide Garbage Bins as requested by the Commercial Service Recipient, and including at 1823 no additional cost one (1) 96-Gallon Blue Recyclable Materials Cart and one (1) 64-Gallon Green Organic 1824 Waste Cart service as part of the base bundled Commercial Collection Service. Additional services may be 1825 requested by the Commercial Service Recipient. To be exempted from Commercial Recyclable Materials 1826 Service or Commercial Organic Waste Collection Service, Service Recipient must apply for exemption to 1827 the Contractor. All such exemption applications must be reviewed by hauler and reported to the City with 1828 accompanying hauler recommendation on appropriate action. City will make determination on approval of 1829 such exemption applications. Approved exemption applications will only apply to the business that directly 1830 applied for such exemption application and will not carry over from business to business via common account 1831 holder.
1832 12.01.3 Hours of Collection. Commercial Collection Service must be provided commencing 1833 no earlier than 5:00 a.m., and terminating no later than 7:00 p.m., Monday through Saturday, except for 1834 Holidays. If the Commercial Collection Service is adjacent to Residential Premises, then collection service 1835 will be provided no earlier than 7:00 a.m. Monday through Friday and 8:00 a.m. on Saturday. The hours, 1836 day, or both of Collection may be extended due to extraordinary circumstances or conditions with the prior 1837 verbal or written consent of the Agreement Administrator. 1838 12.01.4 Accessibility. Contractor must Collect all Collection Containers that are readily 1839 accessible to Contractor's crew and vehicles and not blocked. However, Contractor must provide “push
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1840 services” and “stinger/scout truck services” as necessary where Containers are inaccessible by standard 3 1841 or 4 axel Collection Vehicles as determined by the Contractor or upon request during the provision of 1842 Commercial Collection Services for the Service Rate set forth in Exhibit 1. Push services include, but are 1843 not limited to, dismounting from the Collection Vehicle, moving the Collection Containers from their storage 1844 location for Collection and returning the Collection Containers back to their storage location. Stinger/scout 1845 truck services provide for the retrieval of Collection Containers from locations with accessibility constraints 1846 that make Containers difficult or impossible to access using regular trash collection trucks. 1847 12.01.5 Manner of Collection. Contractor must provide Commercial Collection Service 1848 consistent with Chapter 6.42 of the City Municipal Code with as little disturbance as possible and must leave 1849 any Collection Container at the same point it originally located without obstructing alleys, roadways, 1850 driveways, sidewalks, or mailboxes.
1851 12.02 New Containers. In accordance with Exhibit 4, Contractor must supply new Carts and 1852 newly painted Bins and Roll-off Containers in good condition that comply with Collection Container 1853 specifications in Exhibit 4. If any changes to these specifications are adopted after the Effective Date that 1854 results in Contractor being required to replace Collection Containers before they are 10 years old, Contractor 1855 will be eligible for additional compensation in accordance with Section 31.01.1. 1856 12.02.1 Purchase and Distribution of Collection Containers for New Commercial Service 1857 Units. Contractor must also distribute newly painted Collection Containers as specified in Exhibit 4 to new 1858 Commercial and MFD Service Units that are added to Contractor’s Service Area during the term of this 1859 Agreement. The size and mix of the Collection Containers will be in accordance with the service agreement 1860 obtained by Contractor as set forth in this Agreement and the distribution of Containers to new Customers 1861 must be completed within five (5) Work Days of receipt of the request for service. 1862 12.02.2 Replacement of Collection Containers. Contractor’s employees must avoid damage 1863 to Collection Containers by unnecessary rough treatment. Any Collection Container damaged by the 1864 Contractor must be replaced by Contractor, at Contractor's expense, within five (5) Work Days at no cost or 1865 inconvenience to the Service Recipient.
1866 12.02.2.1 Each Commercial Service Unit is entitled to the replacement of 1867 one (1) lost, destroyed, or stolen Garbage, Recyclable Materials, and Organic Collection Container during 1868 the initial term of this Agreement at no cost to the Service Unit; provided however that if the Container was 1869 destroyed or damaged by the Service Recipient, Contractor may charge the Service Recipient for 1870 replacement of the Container at the “Collection Container Exchange” Service Rate set forth in Exhibit 1. 1871 Accordingly, Contractor will be compensated for the cost of those replacements in excess of one (1) 1872 Garbage, Recyclable Materials, and Organic Collection Container per Commercial Service Unit during the 1873 initial term of the Agreement, in accordance with the “Collection Container Exchange” Service Rate, as 1874 appropriate, set forth in Exhibit 1. Contractor must deliver a replacement Collection Container to such 1875 Service Unit within five (5) Work Days.
1876 12.02.3 Repair of Collection Containers. Contractor is responsible for repair of Collection 1877 Containers. Within five (5) Work Days of notification by City or a Service Recipient of the need for such
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1878 repairs, Contractor must repair the Collection Container or if necessary, remove the Collection Container for 1879 repairs and deliver a replacement Collection Container to the Service Recipient; provided however that if the 1880 Container was destroyed or damaged by the Service Recipient, Contractor may charge the Service Recipient 1881 for replacement of the Container at the “Collection Container Exchange” Service Rate set forth in Exhibit 1. 1882 Collection Container repair also includes the removal of graffiti from the Collection Container. 1883 12.02.4 Collection Container Exchange. Upon notification to Contractor by City or a Service 1884 Recipient that a change in their Collection Containers is required, Contractor must deliver such Collection 1885 Containers to such Service Recipient within five (5) Work Days. Each Commercial Service Unit is eligible to 1886 receive one (1) free Collection Container exchange per Calendar Year during the term of this Agreement. 1887 Contractor is allowed to charge the Service Unit for the cost of those exchanges in excess of one (1) 1888 Collection Container exchange per Calendar Year, in accordance with the appropriate “Collection Container 1889 Exchange” service rate set forth in Exhibit 1 as may be adjusted by City under this Agreement. Additional 1890 Collection Containers or different size Collection Containers are subject to the applicable Service Rate set 1891 forth in Exhibit 1.
1892 12.02.5 Ownership of Collection Containers. Ownership of Collection Containers distributed 1893 by Contractor is vested in Contractor.
1894 12.02.6 Cleaning of Collection Containers. Once each Calendar Year, if requested by the 1895 Commercial Service Unit, Contractor must clean all Collection Containers or must replace the dirty Collection 1896 Containers with clean Collection Containers. Any Collection Container cleanings done at Contractor facility 1897 must be done in such a manner that results in no water entering the City’s storm drain system. This service 1898 must be provided at no charge to the Service Unit, so long as the service is not requested more than once 1899 per Calendar Year. In addition, regardless of whether or not this cleaning is requested by the Service Unit, 1900 Contractor will ensure that all Collection Containers are cleaned on an as-needed basis so as to maintain a 1901 clean appearance and proper function. Additional cleanings beyond once each Calendar Year will be subject 1902 to the Service Rate set forth in Exhibit 1.
1903 12.03 Commercial Garbage Collection Service.
1904 12.03.1 Conditions of Service. Contractor must provide Commercial Garbage Collection 1905 Service to all Commercial Service Units in the Service Area whose Garbage is properly containerized in 1906 Garbage Collection Containers, where the Garbage Collection Containers are accessible. 1907 12.03.2 Size and Frequency of Service. This service must be provided as deemed 1908 necessary and determined between Contractor and the Commercial Service Unit, but such service must be 1909 received no less than one (1) time per week with no exception for holiday(s) as set forth herein, except that 1910 Collection service scheduled to fall on a holiday may be rescheduled as determined between the Service 1911 Unit and Contractor as long as the minimum frequency requirement is met. The size of the container and 1912 the frequency (above the minimum) of Collection will be determined between the Commercial Service Unit 1913 and Contractor. However, size and frequency must be sufficient to provide that no Solid Waste need be 1914 placed outside the Collection Container. Contractor must provide containers as part of the Commercial 1915 Collection Maximum Service Rates set forth in Exhibit 1. Service Recipients may own and provide their own
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1916 Compactor provided that the Service Recipient is completely responsible for its proper maintenance, and 1917 such Compactor is of a type that is compatible with Contractor's equipment. All other Collection Containers 1918 used by Service Recipients must be owned and supplied by Contractor. 1919 12.03.3 Non-Collection. Contractor is not required to Collect any Commercial Solid Waste 1920 that is not placed in a Garbage Collection Container unless such Commercial Solid Waste is outside the 1921 Garbage Collection Container because of overflow and where prior arrangements for collection have been 1922 made pursuant to Section 5.11.1. In the event of non-collection or overflow with no prior arrangements, 1923 Contractor must follow the steps as set forth in Section 5.11.2. 1924 12.03.4 Disposal Facility. All Solid Waste collected as a result of performing Commercial 1925 Solid Waste Integrated Waste Management Services must be transported to, and disposed of, at the 1926 Disposal Facility. In the event the Disposal Facility is closed on a Work Day, Contractor must transport and 1927 dispose of Solid Waste at another legally permitted disposal facility. Failure to comply with this provision will 1928 result in the levy of a penalty as specified in Exhibit 6 and may result in Contractor being in default under 1929 this Agreement. City has the right to designate Disposal Facility and agrees to adjust Maximum Service 1930 Rates to reflect City’s exercise of flow control rights. 1931 12.04 Commercial Recyclable Materials Service. This service is governed by the following terms 1932 and conditions:
1933 12.04.1 Conditions of Service. Contractor must provide Commercial Recyclable Materials 1934 Service to all Commercial Service Units in the Service Area whose Recyclable Materials are properly 1935 containerized in Recyclable Materials Collection Containers except as set forth below, where the Recyclable 1936 Materials Collection Containers are accessible. The Maximum Service Rates for Contractor’s Commercial 1937 Recyclable Materials Services are set forth in Exhibit 1. 1938 12.04.2 Base Commercial Recyclable Materials Service. All Commercial Service Recipients 1939 subscribing to Commercial Solid Waste Collection Service must receive weekly collection of Recyclable 1940 Materials with a minimum of at least one 96-gallon Blue Recyclable Materials Cart per Service Recipient at 1941 no additional cost as part of the base service and included in the Bundled Rate set forth in Exhibit 1. The 1942 actual configuration of Recyclable Materials Collection Container sizes to be provided will be based on the 1943 total equivalent volume and configured in a manner determined by the Service Recipient in consultation with 1944 Contractor.
1945 12.04.3 Size and Frequency of Service. This service will be provided as deemed necessary 1946 and determined between Contractor and the Service Recipient, but such service must be received no less 1947 than one (1) time per week with no exception for holiday(s) as set forth herein, except that Collection service 1948 scheduled to fall on a holiday may be rescheduled as determined between the Service Recipient and 1949 Contractor as long as the minimum frequency requirement is met. Service may be provided by Collection 1950 Container at the option of the Service Recipient. The size of the Collection Container and the frequency 1951 (above the minimum) of Collection will be determined between the Service Recipient and Contractor. 1952 However, size and frequency must be sufficient to provide that no Recyclable Materials need be placed 1953 outside the Collection Container. Contractor may charge for Commercial Recyclable Materials Services
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1954 above the weekly trash volume equivalent and must provide Recyclable Materials Collection Containers as 1955 a part of the Bundled Service with rates set forth in Exhibit 1. Service Recipients may own and provide their 1956 own Compactor provided that the Service Recipient is completely responsible for its proper maintenance, 1957 and such Compactor is of a type that is compatible with Contractor's equipment. All other Collection 1958 Containers used by Service Recipients must be owned and supplied by Contractor. 1959 12.04.4 Recyclable Materials - Improper Procedure. Contractor is not required to Collect 1960 Recyclable Materials if the Service Recipient does not segregate the Recyclable Materials from Commercial 1961 Solid Waste, Organic Waste, and Exempt Waste. Furthermore, Contractor is not required to collect 1962 Recyclable Materials that are contaminated through commingling with Solid Waste, Organic Waste, or 1963 Exempt Waste. To address contamination, Contractor must follow the steps as set forth in Section 5.07. 1964 12.04.5 Materials Recovery Facility. All Recyclable Materials Collected as a result of 1965 performing Recyclable Materials Services must be delivered to the Materials Recovery Facility listed in 1966 Exhibit 9. Failure to comply with this provision will result in the levy of a penalty as specified in Exhibit 6 and 1967 may result in Contractor being in default under this Agreement. All expenses related to materials processing 1968 and marketing will be the sole responsibility of Contractor. City has the right to designate Materials Recovery 1969 Facility and agrees to adjust Maximum Service Rates to reflect City’s exercise of flow control rights. 1970 12.04.6 Recyclable Materials - Changes to Work. Should a Change in Law arise that 1971 necessitate any additions or deletions to the work described herein including the type of items included as 1972 Recyclable Materials, the parties will negotiate any necessary cost changes and if necessary will enter into 1973 an Agreement amendment covering such modifications to the work to be performed and the compensation 1974 to be paid in accordance with Section 31.01.1 before undertaking any changes or revisions to such work. 1975 12.04.7 Compliance with AB 341 & SB 1383. Contractor will develop and maintain its 1976 Commercial Recyclable Materials Service in a manner designed to assist City and the Service Recipients to 1977 achieve and maintain compliance with the Applicable Law, inclusive of AB 341 and SB 1383. Contractor will 1978 notify Commercial Service Recipients of the requirements to comply with the laws by January 1, 2025, and 1979 not less than annually thereafter. Contractor must provide the necessary volume of Collection Service to 1980 Commercial Service Units to be in full compliance with the Applicable Law. In conjunction with the City’s 1981 ordinance supporting full compliance with the Applicable Law, inclusive of AB 341 and SB 1383 by 1982 Commercial Service Units (i.e., “generators”), Contractor will conduct in-person outreach to all non1983 participating commercial covered generators a minimum of once per calendar year. Failure to conduct such 1984 outreach will result in a penalty as specified in Exhibit 6. 1985 12.04.8 Additional Recyclable Materials Collection containers. Contractor must provide 1986 additional Recyclable Materials Collection Containers to Commercial Service Recipients above the minimum 1987 requirements within five (5) days of request and may charge for such additional capacity set forth in Exhibit 1988 1 provided that additional Collection Containers are used by Service Recipients for the purposes of setting 1989 out additional Recyclable Materials for regular weekly Commercial Recyclable Materials Service. 1990 12.05 Commercial Organic Waste Collection Service. This service is governed by the following 1991 terms and conditions:
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1992 12.05.1 Conditions of Service. Contractor must provide Commercial Organic Waste 1993 Collection Service to all Commercial Service Units in the Service Area whose Organic Waste is properly 1994 containerized in Organic Collection Containers, where the Organic Waste Collection Containers are 1995 accessible. Contractor will conduct a site visit with each non-exempt Service Recipient to determine the 1996 specific materials to be included in the Service Recipient’s Organic Waste Collection (i.e., Food Waste, 1997 Green Waste, combined Food and Green Waste). Contractor will charge for collection of Organic Waste 1998 within the Bundled Service rate specified in Exhibit 1. For Organic Waste collected in Collection Containers 1999 beyond the size specified in the Bundled Service rate, Contractor will charge at the rate set forth in Exhibit 2000 1. Contractor agrees that not all Service Units will elect to receive Organic Waste Collection Service in Carts, 2001 and that Contractor will provide Organic Waste Collection Bins upon request and as necessary. Service 2002 Recipients may elect to add Green Waste only Collection Bins to their service at pricing included in Exhibit 2003 1. Contractor will provide a sufficient number of Collection Containers and at a collection frequency to allow 2004 for any such Service Unit to utilize the collection of Organic Waste. Commercial Organic Waste Collection 2005 will occur Monday through Saturday upon request and as necessary. City shall provide Contractor a list of 2006 the names and addresses of Commercial Service Units that are approved by City for exemption from Organic 2007 Waste Collection.
2008 12.05.2 Organic Waste Processing Services. Contractor shall use commercially reasonable 2009 efforts to divert all source separated and uncontaminated Organic Waste Collected pursuant to this 2010 Agreement is diverted from the landfill in accordance with Applicable Law. Contractor must ensure that the 2011 Organic Waste Collected pursuant to this Agreement is not disposed of in a landfill, except for residue 2012 resulting from processing. Contractor may, as part of its Organic Waste Processing Services, prohibit 2013 Customers from placing non-Compostable Plastic bags in Organic Waste Containers. Contractor may allow 2014 Service Recipients to place Compostable Plastic bags that both comply with all Applicable Laws and meet 2015 such criteria as deemed acceptable to the Organic Waste Processing Facility, in Organic Waste Containers. 2016 12.05.3 Organic Waste Processing Facility. Contractor must deliver all Collected Organic 2017 Waste to a fully permitted Organic Waste Processing Facility or a fully permitted Organic Waste transfer 2018 station listed in Exhibit 9. Failure to comply with this provision will result in the levy of a penalty as specified 2019 in Exhibit 6 and may result in Contractor being in default under this Agreement. All expenses related to 2020 Organic Waste processing and marketing will be the sole responsibility of Contractor. City has the right to 2021 designate Organic Waste Processing Facility and agrees to adjust Maximum Service Rates to reflect City’s 2022 exercise of flow control rights.
2023 12.05.4 Organic Waste Collection Frequency. Contractor must comply with CalRecycle 2024 collection frequency requirements as they may apply during the term of this Agreement. If any such changes 2025 to collection frequency are adopted after Effective Date that result in Contractor being allowed to reduce the 2026 frequency of Garbage or Organic Waste Collection, or otherwise cause Contractor to reduce its collection 2027 costs as a result in a change in Garbage or Organic Waste collection frequency, Contractor must provide 2028 City with its estimate of reduced its costs and shall make adjustments to the Maximum Service Rates. 2029 12.05.5 Base Commercial Organic Waste Service. All Commercial Service Recipients 2030 subscribing to Commercial Garbage Collection Service must receive weekly collection of the equivalent 2031 volume of at least one (1) 64-gallon Green Organic Waste Cart per Service Recipient at no additional cost