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Placentia City Council
AGENDA REPORT
CITY COUNCIL
CITY ADMINISTRATOR
DEPUTY CITY ADMINISTRATOR/ PUBLIC SERVICES & INFRASTRUCTURE DECEMBER 6, 2022
SUBJECT: PURCHASE OF SB 1383 COMPLIANCE REPORTING SOFTWARE FISCAL
IMPACT: EXPENSE: $ 56,000 SOFTWARE SUBSCRIPTION PURCHASE AND IMPLEMENTATION (3 -YEAR SUBSCRIPTION)
BUDGETED: $ 73,147 CALRECYCLE SB 1383 LOCAL ASSISTANCE GRANT (833593-6365)
SUMMARY:
In September 2016, Governor Brown signed into law Senate Bill (SB) 1383 establishing methane emissions reduction targets for short-lived climate pollutants in various sectors of California's economy. SB 1383 establishes an unfunded mandated target to achieve a 50% reduction in statewide disposal of food and landscape waste into landfills from 2014 levels by 2020 and a 75% reduction by 2025. SB 1383 prescribes specific actions local jurisdictions must take to reduce short-lived climate pollutants related to solid waste collection and processing and includes new stipulations upon acceptable waste segregation and processing practices, as well as City procurement and reporting responsibilities.
In January 2022, the Department of Resources Recycling and Recovery (CalRecycle) solicited applications from for all jurisdictions in California to apply for the SB 1383 Local Assistance Grant Program. This program is a one-time non-competitive grant program meant to provide funding to local jurisdictions to assist with the implementation of regulatory requirements associated with SB 1383. The City applied for funding to assist with SB 1383 compliance requirements and was awarded a grant of $73,147 in April 2022. Staff is recommending the purchase of Minerva®, a cloud -based software provided by MSW Consultants, Inc. for SB 1383 compliance reporting and record keeping.
RECOMMENDATION:
It is recommended that the City Council take the following actions:
1. Approve a Service Agreement with MSW Consultants, Inc. for SB 1383 compliance reporting and record keeping software subscription purchase and implementation in an amount not to exceed $56,000; and
1.0. Dec 6, 2022
City Council Agenda
December 6, 2022
2. Authorize the City Administrator to approve contract change orders up to ten percent (10%) of the contract not to exceed amount, or $5,600; and
3. Authorize the City Administrator and/or his designee to execute all necessary documents, in a form approved by the City Attorney.
STRATEGIC PLAN STATEMENT:
There is no specific City Council adopted 5 -Year Strategic goal or objective related to this agenda item.
DISCUSSION:
On January 1, 2022, SB 1383 became effective, requiring the City to have a mandatory recycling ordinance in place by that date, and provide an organics collection service to all residents and businesses. From 2022 to 2023, SB 1383 will allow the City to take a non -punitive approach to enforcement and during this time period the City will take an educational approach and work with Placentia residents and businesses to inform them of the Ordinance requirements. However, the City must begin taking punitive action against non-compliant entities starting on January 1, 2024.
SB 1383 makes local jurisdictions directly responsible for the following actions, beginning on January 1, 2022:
• Provide organic waste recycling services to all residents and businesses. • Inspect covered entities and enforce compliance with SB 1383 by adopting an enforcement ordinance before January 1, 2022. This ordinance must match State -developed standards, including a minimum fine structure.
• Conduct outreach and education to all affected parties, including generators, haulers, facilities, edible food recovery organizations, and city/county departments. • Establish a food recovery program to recover edible food from the waste stream. • Perform capacity planning covering 15 years for organic waste diversion from landfills. This includes estimating organic material processing and food recovery capacity available to the City and creating a plan to fund expansion if capacity is not sufficient. • Procure recycled organic waste products such as compost, mulch, and renewable natural gas.
• Maintain accurate and timely records of SB 1383 compliance for annual reporting.
To date, the City has taken several actions to meet the requirements of SB 1383. On December 7, 2021, the City Council adopted Ordinance 0-2021-12, which amended the City's municipal code to implement the requirements of SB 1383. Last year, the State passed SB 619, which allowed cities to apply for a compliance extension and avoid administrative penalties for non-compliance of SB 1383. In February 2022, the City Council authorized the submittal of a Notice of Intent to Comply under SB 619 and it was subsequently approved by CalRecycle. As a result, the City is on track to be fully compliant by January 1, 2024.
City Council Agenda
December 6, 2022
To assist in the implementation of the City's SB 1383 compliance programs and to plan for future compliance, Staff is recommending the purchase of Minerva® with the grant funding received from CalRecycle. Minerva® is a cloud -based software platform designed to track State -legislated, regulatory compliance record keeping and reporting related to SB 1383 organics recycling requirements. Data to be tracked includes organic collection services, contamination minimization, waivers, inspection and enforcement, education and outreach, edible food recovery program, and organic material procurement.
Currently, there are only two (2) software plafforms available to assist cities in meeting California's SB 1383 jurisdictional requirements: 1) Recyclist Program Tracker by Recyclist and 2) Minerva® by MSW Consultants. Both plafforms have been developed with consultation and feedback from CalRecycle to ensure the software is up -to date with regulatory requirements and compatible with the City's solid waste hauler data. Staff received proposals and demo presentations from both companies. The table below provides comparison pricing for the two software plafforms.
Year Recyclist Program Tracker Minerva®
Year 1 $38,900 $14,000
Year 2 $28,900 $20,000
Year 2 $28900 $22,000
Total $96,700 $56,000
After reviewing the proposals and presentations, Staff determined that Minerva® provided the best value and resources utilizing the available grant funding. This software will be used internally by Staff to complete comprehensive jurisdictional recordkeeping and reporting for SB 1383, meeting all CalRecycle's jurisdictional recordkeeping and reporting requirements. Staff has received approval from CalRecycle to purchase Minerva® using the SB 1383 Local Assistance Grant. Therefore, Staff is recommending approval to purchase a three-year subscription to Minerva®.
FISCAL IMPACT:
The implementation, licensing, and initial purchase costs amount to $56,000 and will be paid up front from the SB 1383 Local Assistance grant funds to cover the three (3) year subscription service. The grant has an expenditure term of two (2) years and to maximize the available funding, Staff has received approval from CalRecycle to prepay a three-year subscription for Minerva® using the grant received under SB 1383 Local Assistance Grant Program. This recommended action will allow the City to swiftly implement the software and meet SB 1383 compliance reporting requirements. Prior to the end of the three-year subscription, Staff will evaluate the performance of the software and present future subscription contracts for the City Council's consideration.
City Council Agenda
December 6, 2022
Prepared by:
6.1fgbrrison
Senior Management Analyst
Reviewe
Reviewed and approved:
Jennifer Lampman
Director of Finance
pproved: Reviewed and approved:
Luis Estevez
Deputy City Administrator
City Administrator
Attachments:
1. Proposal from MSW Consultants, Inc.
2. Service Agreement with MSW Consultants, Inc