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HomeMy WebLinkAbout43-City Administrator Tr^^ - - 7"'L'4<\,,'''''''-'''<''w,,"",,,<''/ ",~^.,,-~ .__~""~__o,~.,. .....,., .. 'T' .."-.....~,,.'"_'.,.,..~._'.''.F_.''' .".", . "..~-. .... ".~_.". ORIGINAL CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION From: Fred Wilson, City Administrator Subject: RESOLUTIONS CONCERNING A REFUSE FRANCHISE AND REFUSE- RELATED CONSULTANT SERVICES Dept: City Administrator's Office Date: May 10, 2005 MICC Meeting Date: May 16, 2005 Synopsis of Previous Council Action: June 21, 2004 - Mayor and Council approve an agreement with R3 Consulting for assistance concerning expansion of commercial refuse services provided by franchised refuse haulers Recommended Motion: Adopt resolutions, and authorize the Director of Finance to amend th FY 2004-05 Budget as indicated in the staff report. Contact person: Fred Wilson Phone: 5122 Supporting data attached: staff report, resolutions, Ward: all other documents FUNDING REQUIREMENTS: Amount: No cost to the City; additional revenue to the General Fund of $9 million in FY 05-06, plus additional franchise fee revenues estimated at $675,000 in FY 05-06 Source: (Acct. No.) (Acct. Description) i Finance: Council Notes: Agenda Item No. #L{3 (; /m(DfJ- > >>r~>~~^"~"'" .>. .'..,.... .~-- STAFF REPORT Subiect: Resolution authorizing the execution of a Collection Services Contract between the City and Burrtec Waste Industries, Inc., relating to refuse collection and disposal; and a Resolution authorizing the Mayor to execute an amendment to the Services Agreement with R3 Consulting Group, Inc., for assistance concerning commercial refuse services provided by franchised refuse haulers and other issues related to refuse regulations and operations Back2round: In 2004, various options were evaluated for increasing revenues to the General Fund. One area under consideration was the City's possible expansion of franchised commercial refuse services. In the Spring of 2004, R3 Consulting Group was retained to provide an analysis concerning options to enhance revenues in this regard. One option identified was to assign all new commercial refuse customers to a franchisee. As an alternative, R3 was asked to evaluate whether or not a similar financial benefit could be realized through an expansion of the City's in-house commercial refuse operation. In summary, though that option is available, it contains risk and will not provide the same level of financial benefit to the General Fund. In June of 2004, the Mayor and Council approved another agreement with R3 Consulting to assist the City through a competitive proposal process that would result in assigning all new commercial customers to a franchisee. At that time, it was anticipated that the process will take 60-90 days before a recommendation could be made to the Mayor and Council concerning award of a franchise. Activities to Date In the summer and fall of 2004, the consultant drafted an initial RFP and franchise agreement that would have assigned all new commercial refuse customers to a>franchisee. However, as the concept evolved, it became apparent that this franchise would be difficult to administer. Definitions of "new" commercial refuse customers would be problematic to enforce, and franchise monitoring costs were anticipated to be high. Staff and the consultant began to consider other options that would still generate revenue for the General Fund while minimizing the impact on current refuse operations, but also be easier to administer for both the City and the potential franchisee. Under this new franchise concept, it was recommended that a Request for Proposals (RFP) be issued for the purposes of defining the financial benefits of franchising the City's roll-off operations. Roll-off operations are those temporary bins delivered to businesses and/or residents for debris removal, construction projects, etc. The current roll-off operation involves six (6) refuse operators and has a budget of approximately $2.8 million annually, making it a relatively small component of the City's commercial refuse operations. 'p ~"'"~,,~,' "' ,-",-, -~~-~- ~~-,-- ~--,-'-"'''-~",~,"'-'- The following summarizes some of the key points related to this option: CJ There would be no layoffs associated with this proposal. The seven operators would be absorbed into the Refuse Division, and positions eliminated through natural attrition. CJ A minimum one-time payment of $5.6 million for this franchise and $500,000 for the associated equipment would be established, plus annual franchise fee and other revenues that were estimated at more than $600,000 annually. At the Mayor's direction, an RFP for this work was released on Tuesday, February 15. The Council was informed of the action via memo, and also given a copy of the letter sent to refuse vendors. Staff from the City Administrator's Office, Public Services Department, and Human Resources Department met with representatives of the Refuse Division employees and SBPEA on February 10 to discuss this action. At that time, the City Administrator expressed a commitment that this action would not result in layoffs or other actions that would negatively impact any Refuse Division employees. The attached memo from R3 Consulting details the process that ensued with the various refuse companies and provides the analysis of the payment options and customer pricing that were considered. Following a process of working with the proposers to maximize revenues while minimizing impacts on customer rates, the City was able to negotiate a $8.5 million transition payment and a $500,000 equipment transition payment, for a total up-front payment of $9 million. It is now recommended that a franchise agreement with Burrtec Waste Industries, Inc., be approved. In addition to generating significant up-front revenues and ongoing franchise fee revenues, the new franchise proposes to consolidate the roll-off franchise with Burrtec's existing franchises for Jack's and Curran's. Those existing franchises, which have a franchise fee of 11%, are not set to expire until 2013. Under the existing franchises, Burrtec provides other types of temporary refuse boxes in competition with the City. Their customer rates must be set to equal the City's rates, so that they cannot charge less than the City. All permanent commercial refuse service, with the exception of some "grandfathered" accounts, is provided by the City. By consolidating the franchises now, a 20% franchise fee can be imposed, along with performance standards, diversion requirements, and franchise enforcement mechanisms that are advantageous to the City. Burrtec has also agreed to let the City assume its current residential accounts, which were "grandfathered" into the existing franchises in the 1980's, so that the City will now provide all residential refuse service in the City. Under the new franchise agreement, Burrtec will continue to provide temporary refuse services in competition with the City, but will now also' have the exclusive right to provide roll-off services. The City will continue to provide all permanent commercial ,refuse service. ~- "^ - --_r__ " ~-.' - --'~-""_""""-"""'"";"'"~.'''~--s;:c:~,,~c~'''5''''.'N'''''<:cJ;l1t- Transition to the New Franchise: If the new franchise is approved, the City and the consultant will work together to transition the existing City roll-off customers to the new provider, in accordance with the transition plan developed by Burrtec. The residential customers currently served by Burrtec will be similarly transitioned to City service. Burrtec will take possession of the City's roll-off trucks and roll-off bins. City Administrator's Office, Public Services, and Human Resources staff met with the SBPEA Refuse Division representatives on May 10 to meet and confer concerning this issue in accordance with the General Unit MOU. SBPEA was informed of the City's intention to avoid layoffs by moving the impacted Refuse Operator III's into other vacancies, overfilling the positions as needed until positions can be deleted through natural attrition. This will result in additional drivers being available to cover absences, so that the cost can be offset by reductions to the Refuse Division's overtime budget. It is also proposed that one (1) new position be added to the Refuse Division to assist in administering and monitoring compliance with the new franchise. A Senior Administrative Analyst will take the lead role in following up on the more than 60 tasks identified in the franchise agreement, including monthly reports regarding billing and customer service agreements, diversion issues, developing an inspection program, determining if franchise violations have occurred, and verifying that all the performance standards contained in the agreement are enforced. Another focus of the position will be on efficiency improvements, long-range business planning, and other proactive efforts to assist the Solid Waste Manager in improving the business practices of the Refuse Division. The Senior Analyst will also provide oversight of refuse field inspectors who will monitor issues in the field on a daily basis. It is proposed that the Division will use light- duty employees to provide the field inspector function, at least for the first year of the contract, as it is anticipated that many of the problems encountered under the current franchise will now be avoided through the better language and enforcement provisions contained in the new franchise. If the Division finds that a permanent field inspector position is needed, that need will be addressed during the FY 06-07 budget process. Amendment to the Al!reement with R3 Consultinl!: The agreement approved with R3 Consulting by the Mayor and Council in June 2004 was for an amount not to exceed $58,070. The project has evolved significantly since that time, requiring additional work by the consultant. In addition, through the RPF process a need has been identified to modify many of the City's ordinances related to refuse regulation. Many of the ordinances are in need updates to deal with current market conditions and refuse-related issues. The proposed amendment to R3' s agreement will provide for the payment of remaining services related to the franchise ($25,000), as well as developing recommendations concerning ordinance revisions ($15,000), for a total additional cost of $40,000. The "-'_~~=c~~_~ ~_.._ -,,-~_~_~.~.. _~_"T ~ ~ ~~---~<.. .~--- .--''"".--. ---."".~--. '" -~"-'''=-'---2'''''__' ~_ total contract cost of $98,070 will be offset by proposer fees of $30,000 and the proposal development payment of $75,000 to be paid by Burrtec, so that there is no net cost to the City's Refuse Fund. Finaneial ImDact: The new Burrtec franchise will provide the following revenue to the General Fund: . $9 million total initial payment, consisting of a $8.5 million transition payment and a $500,000 equipment transition payment . Additional franchise fee revenue estimated at $675,000 for FY 05-06, and increasing annually thereafter The initial $9 million payment must be made within 30 days of award of the contract. It is proposed that this revenue be placed in the City's Undesignated General Fund Reserve, so that the Mayor and Council can consider possible uses during the FY 05-06 budget process. There is no anticipated net impact to the Refuse Fund as a result of franchising the roll- off operations. Revenues from the operation are approximately $2.8 million annually, while expenditures are also approximately $2.8 million annually, including $2.5 million in "hard" costs for labor, equipment, and disposal costs. The cost for the new Senior Administrative Analyst position can also be absorbed by the Refuse Fund. As discussed previously, the increased costs to the R3 Consulting contract will be more than offset by proposer submittal fees and the proposal development payment by Burrtec. It is recommended that the Director of Finance be authorized to amend the FY 04-05 to increase the anticipated proposer fee revenue from $60,000 to $105,000 in account number 527-000-4901, and include additional expenses of $40,000 in account number 527-XXX-5502. Upon approval of the franchise, the corresponding changes to the budget as indicated in this staff report will be included in the Preliminary FY 05-06 Budget that is currently under development. Recommendation: Adopt resolutions, and authorize the Director of Finance to amend the FY 04-05 Budget as indicated in this staff report. __<<c ,~~ c _"c,.', ,_.,- 'c ,_, "_'''_~~~c_'=''',,' .',c'_' 12.3 Consulting Group, Inc. Resources Respect Responsibility R3 Consulting Group, Inc 4811 Chippendale Drive, Suite 902 Sacramento, CA 95841 Tel. 916-576-0309 Fax: 916-331-9600 www.r3cgi.com TO: FROM: SUBJECT DATE: Lori Sassoon Richard Tagore-Erwin, R3 Recommendation Summary For Franchised Roll-off Collection May 9, 2005 Introduction On February 15, 2005, the City issued a Request for Proposals (RFP) for Roll-off Collection Services. Key financial requirements of the Request for Proposals were a minimum payment of $6.1 million to the City for franchise transition and equipment payments, and a 20% franchise fee on gross revenue. Price options were requested for 5, 7 and 10 year terms. A mandatory pre-proposal conference was conducted on March 2, 2005, with eight companies in attendance. On April 14, 2005, the City received three valid proposals for commercial roll-off collection services 1. The companies that submitted proposals were: · Republic Services; · Athens; and · Burrtec Waste Industries Initial Proposal Review On April 14, 2005 City staff and the City's consultant (R3 Consulting) reviewed and verified each proposals for completeness. All three proposals were determined to be complete, and copies were distributed to City staff and R3 for evaluation. All three companies were determined to be able to provide a high level of collection services, with the customer service programs offered by Republic and Athens superior to that offered by Burrtec. All three companies demonstrated sufficient capacity and processing resources to meet the City's 50% diversion requirement, as well as the clean air collection vehicle requirements. In the initial submittals, Athens offered to meet the City's minimum up-front payment of $6.1 million, Burrtec offered to meet or exceed the minimum up-front payment, and Republic did not offer to meet the City's minimum up-front payment requirement. The other financial factor considered in the initial review of the proposals was the impact on customer rates. Customer rates are determined by the direct cost to collect the roll-off bins (pull rates) and the actual tons collected for processing or disposal multiplied by a tipping fee. The City's 1 Waste Management submitted a letter declining to submit a proposal. 12.3 Page 1 of 7 - -, ,~~ ..''-----,,'''~,~-- _r~ 20% franchise fee will be applied to the total of the pull rate and tipping fee. Initially, while Republic provided the lowest pull rates, Republic did not meet the City's minimum $6.1 million up-front payment requirement. Accordingly, comparing Republic's initial pull rates to those of offered by Athens and Burrtec was not considered valid. In comparing Athens and Burrtec's initial pull rates, Athens was the lowest for the 1 O-year term, and Burrtec was lower for the 5 and 7-year terms. It should be noted that Burrtec offered $400,000 and $1.4 million in additional up-front payments than Athens for the 7 and 1 O-year terms. Initial up-front payments to the City and customer pull rate information is provided in Table 1 below: Table 1 Initial Up.front Paymen<<.'nd Customer Pull Rates Up-front Payment to the City Republic Athens Burrtec ($6.1 million minimum) 5 Year Term $1.725 million $6.1 million $6.1 million 7 Year Term $2.225 million $6.1 million $6.5 million 10 Year Term $2.9 million $6.1 million $7.5 million Customer Pull Rate Republic Athens Burrtec 5 Year Term $237 $368 $317.22 7 Year Term $237 $304 $274.61 10 Year Term $237 $242 $249.64 Notes: 1. Republic did not meet the minimum $6.1 million up-front payment requirement. 2. The City's pull rate expected to become effective July 1, 2005 is $295.36 which includes a 4% CPI increase for the Los Angeles-Riverside-Orange County All Urban Consumer price Index (March- March). Alternative Proposals Each of the proposers offered alternatives to what the City requested ranging from longer terms to assuming collection of all City collection services. Because the alternatives are not the services the City requested, none of the alternatives were considered or evaluated. Revised Pricing On April 19, 2005 interviews were conducted with each of the proposers. At the conclusion of the interviews, each proposer was requested to submit additional information and pricing information focusing on the ten year term to maximize the up-front payments to the City an minimize the impact on customer pull rates. The additional information was received on April 22, 2005. Based on the information received on April 22, 2005, the up-front payment offered by Republic (the R3 Page 2 of 7 . "."~_'~W """.. ~, "_... ~n-~- - - -'~'~-- .. 'm'"._"_~"""_' .'-'._, _.."",,,-.. M~ minimum $6.1 million) and their proposed customer pull rates were not advantageous to the City. During the period from April 22 - April 28, 2005 Bumec and Athens were asked to submit additional pricing information and further refine their franchise transition payments. Athens increased their up-front payment to the City and their customer pull rates. Bumec increased their up-front payment to the City, but lowered their customer pull rates2. Burrtec also offered to incorporate their existing franchise agreement into the terms of the proposed new franchise agreement. Revised up-front payment to the City and customer pull rate information is summarized in Table 2 below: "T,"I, 2 RevisedUp..front Payment and Cus.....rPuURate Summary .... 10 Ytar "Term Republic Athens Burrtec Up-front Payment to the City $6.1 million $8.5 million $9.0 million Customer Pull Rate $375 $284 $227.20 Franchise Agreement Requirements The franchise agreement includes specific terms, performance standards and fines for non- performance. These are highlighted below: · Collection is limited to roll-off bins of 10, 20, 30, and 40 cubic yards capacity, temporary bins 'of 2, 3, 4 and 6 cubic yard capacity, and previously "grandfathered" bins of 2, 3, 4, and 6 cubic yard capacity · One (1) 10-year contract term, with a specific termination date · 20 percent franchise fee on gross revenue, including revenue received for California Redemption Value recyclables, paid to the City on a monthly basis · Free, unlimited roll-off collection for neighborhood clean-up events, City directed collection for community groups, City free dump day events, City street sweeping debris dump service, and from City facilities that use roll-off service. · 50 percent diversion (recycling) requirement for all materials collected by the franchised hauler · Annual allowance for CPI increases/decreases in customer service rates · $500,000 performance bond, renewed annually · Requirement to use the San Bernardino County landfill system for disposal · Insurance: $3,000,000 minimum limits for: 2 Burrtec clarified that in their letter dated April 22, 2005, the customer pull rates included the 20% franchise fee. Accordingly Burrtec's pull rates without the franchise fee are $227.20, which is the same amount as specific in their original proposal alternative. 12.3 Page 3 __'~~'.F.'"' __ -" ..- '~.' ....~. m~:'~'CI"fllif'o1"""",,,,",~~3"',,1!r'-, o Bodily injury, personal injury and property damage o Automobile liability o Worker's Compensation and Employers Liability o Hazardous Waste and Environmental Impairment Liability · Customer Service o Customer requests are to be serviced on a "Same Oay Service Basis" o Recycling and/or green waste service provided at no additional charge to customers o Annual bin cleaning at no cost o Implementation of public education and outreach program to promote recycling o Written service agreement between the hauler and the commercial business o Bilingual in English and Spanish . o TOO capability o Maximum 5 rings telephone system · Collection vehicles o Must use re-refined motor and hydraulic oil o Must meet federal, state, and clean air, local health and safety requirements o No older than 10 years or 250,000 miles without a complete rebuild . 0 Must be re-painted at least every 30 months o Vehicles must maintain proper signage o Vehicle noise can not exceed 85 decibels o Must use the City's CNG/LNG fueling station, once built · Reports o Monthly and annual reports specifying the tonnage disposed and recycled, revenue billed, gross revenue received, franchise fees paid to the City, number of accounts, bins size and collection frequency o Monthly reports on the number, size, location of temporary bins placed in service o Annual financial report, including independent CPA prepared financial statement, submitted to the City o Customer service log · Temporary Bins o Non-construction and demolition bins limited to 90 days over a 12-month period o Construction and demolition bins limited to 180 days over a 12- month period (unless longer term approved by the Ctiy) , and hauler must notify City of within 3 days of placement of temporary bins . 1Z3 Page 4 of 7 .-. c~~__~.c ""*'-""~~- =-~ · Administrative Fines o $15,000 1 sl incident, $25,000 2nd incident, termination offranchise agreement on 3rd incident for unauthorized service of any City account, or charging customers amounts not approved by the City o $1,000 each incident for failure to repair damage, improper operation of a collection vehicle, failure to submit document and reports to the City, failure to clean up spillage or litter o $100 each incident for failure to operate within hours of contract, failure to resolve service complaint, failure to cover bins, failure to repair or replace bins o $500 each incident for disposal of recyclable materials, or commingling materials with non- City materials o $5,000 1 sl incident, $15,000 each subsequent incident for failure to deliver materials to appropriate disposal, recycling or green waste facility · Termination (at City option) o Assessment of $50,000 in administrative fines in one contract year o Failure to meet 50 percent diversion requirement o Failure to maintain the performance bond or insurance Conclusion Franchising roll-off collection will provide the City with additional annual franchise fee revenue over the term of the contract, in addition to a significant up-front payment. With the ability to consolidate Burrtec's existing franchise agreement with the proposed franchise agreement, based on the pull rates submitted by Burrtec, the annual franchise fee revenue paid to the City by Burrtec is estimated to be approximately $862,000 for FY 2005/06. This is a net increase of in revenue paid to the City of approximately $675,000 over the current agreement. Over the 1 O-year term of the contract, with growth and CPI increases to customer and landfill tip fees, the City could receive approximately $15.5 million in additional new franchise fee revenue. With the $9.0 million in up-front payment to the City, entering into an agreement with Burrtec should provide the City approximately $24.5 million in new additional revenue over the next ten years. Under the terms of the new agreement, Burrtec would pay 20% franchise fee on all collection operations (current operations plus roll-off operations). This should result in the CitY receiving approximately $28.8 million in total revenue from Burrtec over the next ten years. In terms of customer rates, Burrtec provided the lowest pull rates, and the City's agreement with San Bernardino County requires all City collected or franchised waste to be disposed in the County's landfill system. The County sets the disposal rates on a system-wide basis and is expected in increase tipping fees by approximately $1.08 per ton effective July 1, 2005. In conducting the financial analysis and rate comparison, R3 incorporated the County's increased tipping fee for the proposers, and only the City's automatic CPI rate increase applied to the City's current roll-off rates (since the current rate resolution does not directly pass the increased tipping fee on to City customers). The following table compares the proposed contractor customer rates to those projected to be charged by the City effective July 1, 2005, if the City were to continue to provide roll- off services. Q.~ Page 5 --- - ~~~.....-~ Table 3 Comp,rison of Roll-offBoxes Collee_elI 1 rime Per Week3 .. 10 'fear T'erm , .. Republic Athens Burrtec CiV 10 CY (2 tons) $567 $437 $366 $371 20 CY (5 tons) $713 $561 $490 $484 30 CY (7 tons) $811 $643 $572 $560 40 CY (8 tons) $860 $684 $613 $598 Recommendations The City should consider awarding the franchise agreement to Burrtec for the following reasons: o $500,000 higher up-front payment to the City than Athens, and $2.9 million more than Republic. o 20 - 40% lower customer pull rates than Athens and Republic, respectively. o An approximately decrease of 1.3% to an increase of 2.5% over anticipated FY 05- 06 customer rates compared to 14.4% - 52.7% increase for Athens and Republic, respectively. o Incorporation of the current franchise agreement in the proposed franchise agreement will provide the City with an additional 9% in franchise fee revenue over the terms of the current franchise agreement. This will provide the City with stronger franchise enforcement and reporting provisions, the ability to assess administrative fines for non compliance, and higher recycling due to a 50% diversion requirement. o Burrtec has agreed to assign its 150 residential customers to the City that were "grandfathered" under the provisions of the 1995 franchise agreements between the City and Curran's Rubbish Disposal, Inc., and Jack's Disposal Inc. As an alternative, the City might consider awarding the franchise agreement to Athens if the City is concerned with a reduction in competition. The primary concern with awarding a franchise agreement to Burrtec is that Burrtec is the dominant franchised hauler operating in the San Bernardino County, Burrtec operates the County's landfill system, Burrtec has had complaints about "taking City accounts," and Burrtec will control over 90% of the roll-off collection in the City. Accordingly, this may create an un competitive environment for contracting other solid 3 Additional collection cost frequencies are multiples of the cost for one time/week collection. 4 The City rates include an anticipated 4% CPI adjustment effective July 1, 2005. R3 Page 6 of 7 ~ """-I'" ",._'- waste services, such as recyclables processing. However, awarding the franchise agreement to Athens might result in significant rate increases or a longer term, unless Athens would be willing to make additional price concessions. Based on interaction with the company, it appears that they have made their best offer at this point and are not matching Burrtec's pull rates. 1<3 Page 7 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 RESOLUTION NO. RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINp AUTHORIZING THE EXECUTION OF A COLLECTION SERVICES CONTRACT BETWEEN THE CITY OF SAN BERNARDINO AND BURRTEC WASTE INDUSTRIES, INC., RELATING TO REFUSE COLLECTION AND DISPOSAL BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: SECTION 1. The Mayor of the City of San Bernardino is hereby authorized and directed to execute on behalf of said City, the Collection Services Contract between the City of San Bernardino and Burrtec Waste Industries, Inc., a copy of which is attached hereto marked Exhibit "A" and incorporated herein by reference as fully as though set forth at length. SECTION 2. The authorization to execute the above-referenced agreement is rescinded if the parties to the agreement fail to execute it within sixty (60) days of the passage of this resolution. III III III /II III III III III /II III '~~-~- ~.'r'_. .' '-', ~ ,,",,,. -' ,. -,_~",-""I ~ ;;.-.C"'-"."'=.C_"7:":~Y?"~!.!, , 1 2 3 4 5 6 7 8 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF A COLLECTION SERVICES CONTRACT BETWEEN THE CITY OF SAN BERNARDINO AND BURRTEC WASTE INDUSTRIES, INC., RELATING TO REFUSE COLLECTION AND DISPOSAL I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the _ day of , 2005, by the following vote, to wit: 9 Council Members: AYES NAYS ABSTAIN ABSENT 10 11 12 13 14 15 16 17 18 19 20 21 2005. 22 ESTRADA LONGVILLE MCGINNIS DERRY KELLY JOHNSON MCCAMMACK City Clerk The foregoing resolution is hereby approved this day of 23 24 25 26 27 28 Judith Valles, Mayor City of San Bernardino Approved as to Form and legal content: James F. Penman, City Attorney By: )1l T~'~r , , '0' , CITY OF SAN BERNARDINO 1 2 COLLECTION SERVICES CONTRACT 3 Executed Between the 4 City of San Bernardino and 5 6 Burrtec Waste Industries, Inc. 7 (Contractor) 8 This day of 2005 Page 1 of 66 -,'- ','," " ',-,"'~C - CITY OF SAN BERNARDINO 9 This page intentionally left blank. Page 2 of 66 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 u ~"~'"'~',,' CITY OF SAN BERNARDINO TABLE OF CONTENTS Collection Services Contract COVER .. .... ...... ........ .... .... ...... .... ........ .... .......... ..... ....... ..... ........ ..... .......................1 TABLE OF CONTENTS ..................................................................................................3 10 Article 1. Article 2. Article 3. Article 4. Article 5. Article 6. Article 7. Article 8. Article 9. Article 10. Article 11. Article 12. Article 13. Article 14. Article 15. Article 16 Article 17. Article 18. Article 19. Article 20. Article 21. Article 22. Article 23. Article 24. Article 25. Article 26. Article 27. Article 28. Article 29. Article 30. Article 31. Article 32. Article 33. Article 34. Article 35. Article 36. Article 37. Article 38. Article 39. Article 40. Article 41. Article 42. Article 43. Article 44. Definitions................................................................................................ 5 Term of Contract ................................................................................:..... 9 Services Provided by the Contractor ........................................................9 Charges and Rates ................................................................................12 Diversion Requirements ......................................................................... 14 Service Units.. .............. ........ ................... .............. ........... ......... ............. 14 Collection Services................................................................................. 14 Service Agreements................................. .'............................................. ,19 Collection Routes ...................................................................................19 Minimum Performance and Diversion Standards.................................... 19 Collection Equipment .................. ... ........ .............. ...... ................... ......... 20 Contractor's Office .....................................................................'............ 22 Other Services....................................................................................... 23 Emergency Service Provisions.. .............. ............. ....... .......... .......... ....... 23 Record Keeping and Reporting Requirements .......................................24 Nondiscrimination................................................................................... 26 Service Inquiries and Complaints ...........................................................26 Quality of Performance of Contactor ......................................................26 Performance Bond................................................................................. 29 Insurance....... .... .................. ........... ....... ...... .. ..... ....... . .......... ... . ............. 30 Indemnification....................................................................................... 32 Default of Contractor ..............................................................................33 Modifications to the Contract.................................................................. 35 Legal Representation............................................................................. 36 Financial I nterest........ ............ ................... ...... . ....... ...... ........ ....... ....... ... 36 Contractor's Personnel........................................................................... 36 Exempt Waste........................................................................................ 37 I ndependent Contractor.......................................................................... 37 Laws to Govern...................................................................................... 37 Consent to Jurisdiction........................................................................... 37 Assignment............................................................................................ 38 Compliance with Laws..................................................................;......... 38 Permits and Licenses ............................ ..... .......... .................................. 38 Ownership of Written Materials ..............................................................39 Waiver.................................................................................................... 39 Prohibition Against Gifts ......................................................................... 39 Point of Contact...................................................................................... 39 Notices............ ....... ... ...................... ... ... . .... .. . . ..... . ...... .... . .............. ......... 39 Transition to Next Contractor..................................................................40 Contractor's Records.............................................................................. 40 Entire Contract ............... .................................. ........................ ..............41 Severability............................................................................................ 41 Right to Require Performance ................................................................41 All Prior Contracts Superseded ..............................................................41 Page 3 of 66 , """ ~""_,,,_,,, ,.c,,~. " CITY OF SAN BERNARDINO 58 Article 45. 59 Article 46. 60 Article 47. 61 Exhibit 1 62 Exhibit 2 63 Exhibit 3 64 Exhibit 4 65 Exhibit 5 66 Exhibit 6 67 Exhibit 7 68 Exhibit 8 69 Headings............................................................................................... 41 Exhibits........... .... ..................... ............... .... ....... ....... ........ ..... . .... . .... ...... 42 Effective Date .................... ............. .... ......... ........ ..... ....... ......... ........ .....42 Roll-off Collection Service Rates............................................................43 Performance Bond................................................................................. 45 Container Specifications ........................................................................ 47 Collection Vehicle Specifications ...........................................................48 List of Approved Subcontractors............................................................ 49 List of City Roll-off Equipment................................................................ 50 List of Commercial and Roll-off Service Units ........................................51 List of Residential Service Units............................................................. 63 Page 4 of 66 70 71 72 73 74 75 76 77 78 79 80 81 82 83 84 85 86 87 88 89 90 91 92 93 94 95 96 97 98 99 100 101 102 103 104 105 106 107 108 \ 109 110 .. T .....,'"..,." CITY OF SAN BERNARDINO This Contract made and entered into this day of , 2005, by and between San Bernardino, California, hereinafter referred to as "CITY" and Burrtec Waste Industries, Inc.. a California corporation, hereinafter referred to as "CONTRACTOR". Now, therefore, in consideration of the mutual covenants, Contracts and consideration contained herein, the City and CONTRACTOR hereby agree as hereinafter set forth: ARTICLE 1. Definitions For the purpose of this Roll-off Collection Services Contract, hereinafter referred to as "Contract", the definitions contained in this Article shall apply unless otherwise specifically stated. When not inconsistent with the context, words used in the present tense include the future, words in the plural include the singular, and words in the singular include the plural. Use of the masculine gender shall include the feminine gender. 1.01 Annual Diversion Report. The annual report submitted by the CONTRACTOR to the CITY describing the previous Contract Year's diversion activities, diversion percentages and associated calculations and the description of the diversion activity planned for the upcoming year, if applicable. 1.02 Bin. A Garbage, Greenwaste or Recycling Bin with a capacity of 2, 3, 4, 6, 10, 20, 30, or 40 cubic yards. 1.03 Biohazardous or Biomedical Waste. Any waste which may cause disease or reasonably be suspected of harboring pathogenic organisms; included are waste resulting from the operation of medical clinics, hospitals, and other facilities processing wastes which may consist of; but are not limited to, human and animal parts, contaminated bandages, pathological specimens, hypodermic needles, sharps, contaminated clothing and surgical gloves. 1.04 CITY. The City of San Bernardino, California. 1.05 CITY Service Unit. Those CITY Service Units that receive services from CITY collection operations.. 1.06 Collection. The process whereby Solid Waste and Recyclable Materials are removed and transported to a Disposal Facility, Green Waste Processing Facility or Materials Recycling Facility as appropriate. 1.07 Commercial Service Unit. A Service Unit as listed in Exhibit 7 that receives regularly scheduled weekly Collection service in 2, 3, 4, or 6 cubic yard Bins. 1.08 Compactor. Any Roll-Off Container which has a compaction mechanism, whether stationary or mobile. 1.09 Contaminant. Any material not normally produced from gardens or landscapes such as, but not limited to, brick, rocks, gravel, large quantities of dirt, concrete, sod, non-organic wastes, oil and wood or wood products, including but not limited to, stumps, diseased elms, and other diseased trees. 1.10 Construction and Demolition Debris. Used or discarded materials resulting from construction, remodeling, repair or demolition operations on any type of structure. Page 5 of 66 .. . .- -... -,-,w-~ CITY OF SAN BERNARDINO '111 1.11 Contract. The written document and all amendments thereto, between 112 the CITY and the CONTRACTOR, goverr,ing the provision of Roll-of Collection Services 113 as provided herein. 114 1.12 Contract Year. Each twelve (12) month period from July 1 to June 30 115 beginning July 1, 2005. 116 1.13 CONTRACTOR. That person or entity that has obtained from the CITY a 117 Contract to provide Collection Services as set forth herein. 118 1.14 Contract Administrator. That person, or their designee, designated by the 119 CITY to administer and monitor the provisions of this Contract. 120 1.15 County. San Bernardino County, California. 121 1.16 CPI. The Consumer Price Index Series Id. CUURA421SAO Los Angeles- 122 Riverside-Orange County, Ca. 123 1.17 Disposal Facility. San Bernardino County Disposal Facility(ies) or such 124 place or places specifically designated by the CITY for the disposal, or processing as 125 appropriate, of Solid Waste and other materials as appropriate and acceptable. 126 1.18 Exempt Waste. Biohazardous or Biomedical Waste, Hazardous Waste, 127 Sludge, Stable Matter, Green Waste or lumber that is more than five (5) feet in length in 128 its longest dimension or two (2) feet in diameter, automobiles, automobile parts, boats, 129 boat parts, boat trailers, internal combustion engines, lead-acid batteries, and those 130 wastes under the control of the Nuclear Regulatory Commission. 131 1.19 Eauipment Transition Payment. The payment made by the 132 CONTRACTOR to the CITY as specified in Article 3. 133 1.20 Franchise Transition Payment. The payment made by the 134 CONTRACTOR to the CITY as specified in Article 3. 135 1.21 Garbaae. All putrescible waste which generally includes but is not limited 136 to kitchen and table food waste, animal, vegetative, food or any organic waste that is 137 attendant with, or results from the storage, preparation, cooking or handling of food 138 materials attributed to normal activities of a Service Unit. Garbage must be generated 139 by and at the Service Unit wherein the Garbage is Collected. Garbage does not include 140 those items defined herein as Exempt Waste. 141 1.22 Garbaae Bin. A metal or plastic container, with a capacity of 2,3,4,6, 10, 142 20, 30 or 40 cubic yard Bins that is approved for such purpose by the CITY. Garbage 143 Bins may also include Compactors that are owned by Service Unit wherein the 144 Collection Service occurs. The specifications for Garbage Bins are set forth in Exhibit 3 145 which is attached to and included in this Contract. 146 1.23 Green Waste. Any vegetative matter resulting from normal yard and 147 landscaping maintenance. Green Waste includes plant debris, such as grass clippings, 148 leaves, pruning, weeds, branches, brush, Holiday trees, and other forms of organic 149 waste and must be generated by and at the Service Unit wherein the Green Waste are 150 Collected. Green Waste does not include items herein defined as Exempt Waste. 151 1.24 Green Waste Bin. A metal or plastic container, with a capacity of 2,3,4, 152 6, 10,20,30 or 40 cubic yard Bins that is approved for such purpose by the CITY. The 153' specifications for Green Waste Bins are set forth in Exhibit 3 which is attached to and 154 included in this Contract. Page 6 of 66 _cc,c ~"-~""" "'"""'1""""""" c~c,c~o 'c-r'~""-""" ".-' ,. C_-".":-'__~~'=";""~~~"""'::C~~~_[j~,~~~:::~~::~~= CITY OF SAN BERNARDINO 155 156 1.25 Green Waste Collection Service. The Collection, processing and 157 marketing of all Green Waste from Service Units in the Service Area and the disposal of 158 all Green Waste Processing Residue. 159 1.26 Green Waste Processina Facilitv. Any facility designed, operated and 160 legally permitted for the purpose of receiving, and processing Green Waste. 161 1.27 Green Waste Processina Residue. Materials Collected pursuant to this 162 Contract, including both Green Waste, and Contaminants, that are delivered to a Green 163 Waste Processing Facility and subsequently landfilled or used as alternative daily cover 164 (AOC). 165 1.28 Hazardous Waste. Any material which is defined as a hazardous waste 166 under California or United States law or any regulations promulgated pursuant to such 167 law, as such law or regulations may be amended from time to time. 168 1.29 Materials Recvclina Facilitv (MRF). Any facility designed, operated, and 169 legally permitted for the purpose of receiving, sorting, processing, storing, or preparing 170 Recyclable Materials for sale. 171 1.30 Non-Collection Notice. A form developed and used by the 172 CONTRACTOR, as approved by the CITY, to notify Service Recipients of the reason for 173 non-collection of materials set out by the Service Recipient for Collection by 174 CONTRACTOR pursuant to this Contract. 175 1.31 Roll-off Service Unit. A Service Unit that receives Collection service in 176 Bins of 10 cubic yards or greater. 177 1.32 Rebuilt Vehicle. For purposes of this Contract, "rebuilt" means, at a 178 minimum, replacement of worn parts and reconditioning or replacement of hydraulic 179 systems, transmissions, differentials, electrical systems, engines, and brake systems. In 180 addition, the rebuilt vehicle must be repainted and its tires must have at least eighty-five 181 percent (85%) of tread remaining. 182 1.33 Recvclable Materials. Those materials which are capable of being 183 recycled and which would otherwise be processed or disposed of as Solid Waste. These 184 materials include: newsprint (including inserts); mixed paper (including magazines, 185 catalogs, envelopes, junk mail, corrugated cardboard, Kraft brown bags and paper, 186 paperboard, paper egg cartons, office ledger paper, and telephone books); glass 187 containers; aluminum beverage containers; small scrap and cast aluminum (not 188 exceeding forty (40) pounds in weight nor two (2) feet in any dimension for any single 189 item); steel including "tin" cans and small scrap (not exceeding forty (40) pounds in 190 weight nor two (2) feet in any dimension for any single item); bimetal containers; mixed 191 plastics such as plastic bags, plastic film, plastic containers (1-7), and bottles including 192 containers made of HOPE, LOPE, PET, or PVC; textiles; aseptic containers; 193 polystyrene., and Green Waste. 194 1.34 Recvclina Bin. A plastic or metal container, with a capacity of 2, 3, 4, 6, 195 10, 20, 30 or 40 cubic yard Bins that is approved for such purpose by the CITY and is 196 appropriately labeled as a Recycling Bin. The specifications for Recycling Bins to be 197 provided under the terms of this Contract are set forth in Exhibit 3 to this Contract. 198 1.35 Recvclina Service. The Collection of Recyclable Materials, by the 199 CONTRACTOR, from Service Units in the Service Area, the delivery of those Recyclable Page 7 of 66 ,u ~ ~ ~ , ,~~~~~,~~ ~ CITY OF SAN BERNARDINO 200 Materials to a Materials Recycling Facility and the processing and marketing of those 201 Recyclable Materials. 202 1.36 Residential Service Unit. Residential Service Units serviced by CITY 203 collection operations, including those Service Units as listed in Exhibit 8 that receives 204 regularly scheduled weekly Collection service in Carts less than 100 gallons capacity. 205 1.37 Roll-off Collection Service. Collection that is provided with 10, 20, 30, 40 206 cubic yard bins and/or compactors. 207 1.38 Roll-Off Container. A Garbage, Recycling, or Green Waste Bin with a 208 capacity of ten (10) or more cubic yards that is normally loaded onto a motor vehicle and 209 transported to an appropriate facility. 210 1.39 Rubbish. All refuse, accumulation of paper, excelsior, rags, wooden 211 boxes and containers, sweep-ups and all other accumulations of a nature other than 212 Garbage and Green Waste, resulting from the normal activities of a Service Unit. 213 Rubbish must be generated by and at the Service Unit wherein the Rubbish is Collected. 214 Rubbish does not include items herein defined as Exempt Waste. 215 1.40 Service Area. That area within the city limits of the City of San Bernardino 216 designated by the CITY as the Service Area. 217 1.41 Service Recipient. An individual or company receiving Collection 218 Services. 219 1.42 Service Freauency. As required by local and state regulations and 220 ordinances, all accumulated Garbage must be collected by the Contractor from Service 221 Recipients at least once per week. 222 1.43 Service Unit. Service Recipients that receive Bin, or Roll-off Collection 223 Service. 224 1.44 Solid Waste. Garbage and Rubbish resulting from the normal activities of 225 a Service Unit. Solid Waste must be generated by and at the Service Unit wherein the 226 Solid Waste is Collected and does not include items defined herein as Exempt Waste. 227 1.45 Solid Waste Collection Service. The Collection of Solid Waste by the 228 CONTRACTOR, from Service Units in the Service Area and the delivery of that Solid 229 Waste to a Disposal Facility. 230 1.46 Sludae. The accumulated solids, residues, and precipitates generated as 231 a result of waste treatment or processing, including wastewater treatment, water supply 232 treatment, or operation of an air pollution control facility, and mixed liquids and solids 233 pumped from septic tanks, grease traps, privies, or similar disposal appurtenances or 234 any other such waste having similar characteristics or effects. 235 1.47 Street Sweepina Service Rate. The rate set by the CITY for the CITY to 236 provide street sweeping services to Service Units. 237 1.48 Temporarv Bin Service Unit. A Bin Service Unit that receives Collection 238 service in 2, 3, 4, or 6 cubic yard Bins for a period not to exceed ninety (90) days over a 239 twelve (12) month period beginning on the date the bin is placed in service. 240 1.49 Temporarv Construction and Demolition Bin Service. A Bin Service Unit 24\ that receives Collection services for the collection, processing or disposal of 242 Construction and Demolition materials in 2, 3, 4, or 6 cubic yard Bins for a period not to Page 8 of 66 ~c Cc 243 244 245 246 247 248 249 250 251 252 253 254 255 256 257 258 259 260 261 262 263 264 265 266 267 268 269 270 271 272 273 274 275 276 277 278 279 280 281 282 283 284 , 285 < , ,<,,- CITY OF SAN BERNARDINO exceed one-hundred eighty (180) days over a twelve (12) month period beginning on the date the bin is placed in service; unless a time extension is approved by the Contract Administrator. Temporary Construction and Demolition Bin Service may only be provided at a Service Recipient's location that has received the appropriate permits by the CITY, and CONTACTOR has provided written notification to the CITY of such project including the expected length of time services will be provided, the size of the Bin and the physical location of the Bin. Such written notification shall be provided by the CONTRACTOR to the CITY within three (3) working days that a Temporary Bin is placed in service at the Service Recipient's location. 1.50 Work Dav. Any day, Monday through Saturday that is not a holiday as set forth in Section 3 of this Contract. ARTICLE 2. Term of Contract 2.01 The I term of this Contract shall be for a period beginning July 1, 2005, and terminating on June 30, 2016. 2.02 Other Provisions. The CITY may, at the end of year 8 of the contract term, as appropriate, either renegotiate the terms and conditions of the Contract with the current CONTRACTOR or begin a request proposals process for qualified contractors to provide Collection Services. ARTICLE 3. Services Provided by the Contractor 3.01 Grant of Exclusive Contract. Except as otherwise provided in Section 3.02 of this Contract, the CONTRACTOR is herein granted an exclusive Contract to provide Collection Services to all Service Units as defined in this Contract. No other solid waste or recycling services shall be exclusive to the CONTRACTOR. 3.02 Termination of Prior Franchisee Aareements. CONTRACTOR and CITY agree that the franchise agreement between the CITY and Jack's Disposal, Inc, and the franchise agreement between the CITY and Curran's Rubbish Disposal, Inc. are terminated effective June 30, 2005. CONTRACTOR shall have the right to provide Collection Services to the Service Units as specifically listed in Exhibit 7. CONTRACTOR agrees to assign those Service Units as listed in Exhibit 8 to the CITY. 3.03 Recvclable Materials bv Service Recipients. Nothing in this Contract shall be construed as requiring Service Recipients to set out Recyclable Materials for Collection by CONTRACTOR. Service Recipients may dispose of Recyclable Materials by other appropriate means, including but not limited to, taking Recyclable Materials to drop-off facilities and donating or selling such items to private or public entities. 3.04 Responsibilitv For Service Billina and Collection. The CONTRACTOR shall be responsible for the billing and collection of payments for Collection Services within the Service Area. 3.05 CONTRACTOR'S Payments to CITY. CONTRACTOR shall make a one- time payment to the CITY of a Proposal Development Payment in the amount of $75,000 within 30 days of award of this Contract. CONTRACTOR shall make a one-time Franchise Transition Payment to the CITY as specified in Section 3;()54.3. CONTRACTOR shall make a one-time Equipment Transition Payment to the CITY as specified in Section 3.05.4. CONTRACTOR shall make monthly payments to the CITY Page 9 of 66 -zr"~" . -.. ~TY1i . . ........ ...... ..... .~..~.~'~ CITY OF SAN BERNARDINO 286 of a franchise fee as specified in Section 3.05.1. CONTRACTOR shall make monthly . 287 payments to the CITY for the Street Sweeping Rate as specified in Section 3.05.2. 288 3.05.1 The Franchise Fee payment to the CITY shall be due on the 289 fifteenth (15th) day of the month following the month the revenues are collected. Each 290 such payment shall be accompanied by an accounting, which sets forth 291 CONTRACTOR'S gross receipts collected during the preceding month. The franchise 292 fee shall be a percentage of CONTRACTOR'S gross revenue collected each month 293 under the terms of this Contract. California Redemption Value received by the 294 CONTRACTOR from the sale of recyclable materials shall be considered as gross 295 revenues for purposes of the calculation of franchise fees. The franchise fee percentage 296 shall be twenty percent (20%) during the term of this Contract unless adjusted by the 297 CITY. 298 3.05.2 The Street Sweeping Rate payment to the CITY shall be due on 299 the fifteenth (15th) day of the month following the month the revenues are collected for 300 Street Sweeping Services provided by the City. Each such payment shall be 301 accompanied by an accounting, which sets forth the number of Service Units receiving 302 Collection Services by the CONTRACTOR. 303 3.05.3 The Franchise Transition Payment to the CITY shall be due within 304 30 days of Contract award. The Franchise Transition Payment is $8,500,000. 305 3.05.4 The Equipment Transition Payment to the CITY shall be due within 306 30 days of Contract award. The Equipment Transition Payment is $500,000. 307 3.05.5 By August 15, 2005, the CONTRACTOR shall provide the CITY a 308 copy of all service agreements as specified in Article 8. 309 3.05.6 By the fifteenth (15th) of each month beginning September 15, 310 2005, the CONTRACTOR shall provide the CITY a copy of all new service agreements, 311 or changes to current service agreements, as specified in Article 8 312 3.05.7 By the fifteenth (15th) of each month beginning August 15, 2005, 313 the CONTRACTOR shall provide the CITY with a monthly report showing the prior 314 monthly total amount billed to all Service Units, the total annual billing to date, the 315 current monthly franchise fee payment, and the annual franchise fee payments to date. 316 3.05.8 By August 15th of each year beginning on August 15,2006, 317 CONTRACTOR shall provide the CITY with a report showing total annual revenue billed 318 to all Service Units and the Franchise Payments made to the CITY for the prior Contract 319 Year. 320 3.05.9 No acceptance by CITY of any payment shall be construed as an 321 accord that the amount is the correct amount, nor shall such acceptance of payment be 322 construed as a release of any claim CITY may have against CONTRACTOR for any 323 additional sums payable under the provisions of this Contract. All amounts paid shall be 324 subject to independent audit and recompilation by CITY. If, after the audit, such 325 recompilation indicates an underpayment of less than three percent (3%) of gross 326 revenue collected, CONTRACTOR shall pay to CITY the amount of the underpayment 327 within ten (10) days of receipt of written notice from CITY that such is the case. If, after 328 the audit, such recompilation indicated an underpayment, CONTRACTOR shall 329 reimburse CITY for all reasonable costs and expenses incurred in connection with the 330' audit and recompilation, within ten (10) days of receipt of written notice from CITY that 331 such is the case. If, after audit, such recompilation indicates an overpayment, CITY shall Page 10 of 66 ~ -01'1'" ,"'.'- . _ _n __ ~o.'- _no ..".n ,. 0- -m~-_-, -", . '-"~ CITY OF SAN BERNARDINO 332 notify the CONTRACTOR in writing of the amount of the overpayment, less costs and 333 expenses incurred in connection with the audit and recompilation. CONTRACTOR may 334 offset the amounts next due following receipt of such notice by the amount specified 335 therein. 336 3.06 Service Standards. CONTRACTOR shall perform all Collection Services 337 under this Contract in a thorough and professional manner. Collection Services 338 described in this Contract shall be performed regardless of weather conditions or 339 difficulty of Collection. 340 3.07 Labor and Eauipment. CONTRACTOR shall provide and maintain all 341 labor, equipment, tools, facilities, and personnel supervision required for the 342 performance of CONTRACTOR'S obligations under this Contract. CONTRACTOR shall 343 at all times have sufficient backup equipment and labor to fulfill CONTRACTOR'S 344 obligations under this Contract. No compensation for CONTRACTOR'S services or for 345 CONTRACTOR'S supply of labor, equipment, tools, facilities or supervision shall be 346 provided or paid to CONTRACTOR by CITY or by any Service Recipient except as 347 expressly provided by this Contract. 348 3.08 Holidav Service. The CITY observes New Year's Day, Memorial Day, 349 Independence Day, Labor Day, Thanksgiving Day, and Christmas Day as legal holidays. 350 CONTRACTOR shall not be required to maintain office hours on the designated 351 holidays. Collection Services shall be adjusted as set forth in the in Article 7.02.2, but 352 must meet the minimum frequency requirements of one (1) time per week. 353 3.09 Inspections. The CITY shall have the right to inspect the 354 CONTRACTOR'S facilities or Collection vehicles and their contents at any time while 355 operating inside or outside the CITY. 356 3.10 Waste Collected in San Bemardino. CONTRACTOR shall not at any time 357 commingle any Solid Waste Collected pursuant to this Contract, with any other material 358 Collected by CONTRACTOR inside or outside the CITY without the express prior written 359 authorization of the Contract Administrator. 360 3.11 Spillaae and Litter. The CONTRACTOR shall not litter premises in the 361 process of providing Collection Services or while its vehicles are on the road. The 362 CONTRACTOR shall transport all materials Collected under the terms of this Contract in 363 such a manner as to prevent the spilling or blowing of such materials from the 364 CONTRACTOR'S vehicle. The CONTRACTOR shall exercise all reasonable care and 365 diligence in providing Collection Services so as to prevent spilling or dropping of Solid 366 Waste, or Recyclable Materials and shall immediately, at the time of occurrence, clean 367 up such spilled or dropped Solid Waste, or Recyclable Materials. 368 3.11.1 The CONTRACTOR shall not be responsible for cleaning up 369 sanitary conditions caused by the carelessness of the Service Recipient; however, the 370 CONTRACTOR shall clean up any material or residue that are spilled or scattered by the 371 CONTRACTOR or its employees. 372 3.11.2 Equipment oil, hydraulic fluids, spilled paint, or any other liquid or 373 debris resulting from the CONTRACTOR'S operations or equipment repair shall be 374 covered immediately with an absorptive material and removed from the street surface. 375 When necessary, CONTRACTOR shall apply a suitable cleaning agent to the street 376 surface to provide adequate cleaning. Page 11 of 66 ,--_."""",. " ,c=~""""'T~c""F'-~""'" ",~"."'~~' "~ '",,~' ,. '" ' ", ",," " c, 'p cc, , ' r -~-' ..""."','''.,'.::,..,T''S'''?"!i'....~.._".",.._..., CITY OF SAN BERNARDINO 377 3.11.3 The above paragraphs not withstanding, CONTRACTOR shall 378 clean up any spillage or litter caused by CONTRACTOR within two (2) hours upon notice 379 from the CITY. 380 3.11.4 To facilitate such cleanup, CONTRACTOR'S vehicles shall at all 381 times carry sufficient quantities of petroleum absorbent materials along with a broom and 382 shovel. 383 3.12 Ownership of Materials. 384 3.12.1 Title to Solid Waste and Recyclable Materials shall pass to 385 CONTRACTOR at such time as said materials are placed in the CONTRACTOR'S 386 Collection vehicle. 387 3.13 Transition. CONTRACTOR understands and agrees that the time 388 between the formal Contract signing and July 1, 2005 is intended to provide the 389 CONTRACTOR with ample and sufficient time to, among other things, order equipment, 390 prepare necessary routing schedules and route maps, obtain any permits and licenses, 391 establish/build facilities, obtain required service agrl:lements, and begin the public 392 awareness campaign as part of the CONTRACTOR'S transition program as specified in 393 this Contract. CONTRACTOR shall be responsible for the provision of all Roll-off 394 Collection Services beginning July 1, 2005. 395 ARTICLE 4. Charges and Rates \ 396 4.01 Partial Month Service. If, during a month, a Service Unit is added to or 397 deleted from CONTRACTOR'S Service Area, the CONTRACTOR'S billing shall be 398 based on a 3D-day month and shall be pro-rated based on the difference between 30 399 days and the date the account was cancelled. The service rate shall be as established 400 in Exhibit 1 . 401 4.02 Production of Invoices. The CONTRACTOR shall produce an invoice, in a 402 form and format that is approved by the Contract Administrator, for services received 403 under this Contract. The CONTRACTOR'S invoice shall be remitted to the Service 404 Recipient no later than the twentieth (20th) day of the month proceeding the period for 405 which service is being billed for Commercial Service Units. Roll-off Service Units shall 406 be billed on the 151 of the month after service is rendered.. 407 4.03 Delinauent Service Accounts. The CONTRACTOR shall report to the 408 Contract Administrator, on' a monthly basis, all Service Recipients who have received 409 Collection Service and whose account is over sixty (60) days past due. The 410 CONTRACTOR may take such action as is legally available to collect or cause collection 411 of such past due amounts, including applying a lien to the Service Unit if the account is 412 over 90 days past due. 413 4.04 Roll-off Collection Services. The CONTRACTOR shall be responsible for 414 the billing and collection of payments for all Roll-off Collection Services. The 415 CONTRACTOR shall charge Service Recipients the service rates established in Exhibit 416 1 which is attached to and included in this Contract and as may be adjusted under the 417 terms of this Contract. 418 4.04.1 Adiustments To Roll-off Service Rates. Beginning on July 1, 2006, 419 and annually thereafter, CONTRACTOR shall, subject to compliance with all provisions 420' of this Article, receive an annual adjustment in the Roll-off Service Rates as set forth in 421 Exhibit 1 to this Contract as follows: Page 12 of 66 1~-~"""""/~17C"~'T/}T- 'T O'<~-~"~-7r-""" -~- ..~-..,....,~ - _.' _.._.............~. ...... "l1:u~'~' .--;- CITY OF SAN BERNARDINO 422 4.04.1.1 Collection Element. Beginning on July 1, 2006, and 423 annually thereafter during the term of this Agreement, the Collection Element of the 424 Service Rates set forth in Exhibit 1 shall be adjusted by the percentage change in the 425 Consumer Price Index (CPI) from the base month, which shall be December of the prior 426 preceding year, to December of the preceding year as contained in the most recent 427 release of the CPI Series rd. CUURA421 SAO Los Angeles-Riverside-Orange County, 428 Ca. Therefore, the first rate adjustment will be based on the percentage change 429 between the December 2004 indices and the December 2005 indices. 430 4.04.1.2 Annual adjustments shall be made only in units of 431 one cent ($0.01), Fractions of less than one cent ($0.01) shall not be considered in 432 making adjustments. The indices shall be truncated at four (4) decimal places for the 433 adjustment calculations. 434 4.04.1.3 As of April 30, 2006, and annually thereafter during 435 the term of this Contract, the Contract Administrator shall notify CONTRACTOR of the 436 CPI adjustment to the affected service rates to take place on the subsequent July 1 st. 437 4.04.1.4 Adiustments to Disposal. Processina and Green 438 Waste Elements. The "Disposal, Processing and Green Waste Fee" is based on the 439 tipping fee per ton set forth as set forth in Exhibit 1. Any approved change in the per ton 440 tipping fees will result in a corresponding change in the "Disposal, Processing and 441 Green Waste Fee" for Roll-off Collection Services as set forth on Exhibit 1. The per ton 442 Disposal Fee is established according to the fee schedule of the Waste Disposal 443 Agreement executed between the City of San Bernardino and the County of San 444 Bernardino. Changes in the per ton Processing and Green Waste Fee will be the 445 calculated at the same percentage change as changes in the per ton Disposal Fee. 446 4.05 Bin Collection Services. The CONTRACTOR shall be responsible for the 447 billing and collection of payments for all Temporary Bin, and Bin Collection Services for 448 those Service Units specified in Exhibit 7. 449 4.05.1 The CONTRACTOR shall charge Temporary Bin, and Bin 450 Collection Services for those Service Units specified in Exhibit 7 the service rates 451 established by the CITY for 2, 3, 4, or 6 cubic yard Bin Collection Services. 452 4.05.2 CONTRACTORS shall pay the CITY a franchise fee as specified 453 in Section 3.05.1 for all Temporary Bin, and Bin Collection Services for those Service 454 Units specified in Exhibit 7. 455 4.06 Street Sweepina Service Rate. CONTRACTOR shall include a Street 456 Sweeping Service Rate as part of its billing to Service Recipients. The Street Sweeping 457 Service Rate shall be as set by the CITY and added to the CONTRACTOR'S Service 458 Rates. The Franchise Fee shall not apply to the Street Sweeping Service Rate. 459 4.07 Diversion Data. On or before February 1, 2006, and annually thereafter 460 during the term of this Contract, CONTRACTOR shall deliver to CITY diversion data for 461 the specific services performed under this Contract in the format specified by the CITY. 462 If CONTRACTOR fails to submit the diversion data in the required format by February 463 1 st, it is agreed that CONTRACTOR shall be deemed to have waived the Service Rate 464 adjustment for that year. CONTRACTOR'S failure to provide the diversion data shall not 465 preclude CITY from applying the CPI using the prior year's data if that application would 466 result in a decrease in the affected service rates. Page 13 of 66 ._-"~'-"/ - - """ """""""c"""o""'''""~~ CITY OF SAN BERNARDINO 467 ARTICLE 5. Diversion Requirements 468 5.01 Minimum Reauirements. The CITY requires the CONTRACTOR to 469 achieve a minimum annual diversion rate of fifty percent (50%) for each Contract Year. 470 The annual diversion rate will be calculated as "the tons of materials Collected from the 471 provision of Collection Services that are sold or delivered to a recycler or reuser, as 472 required by this Contract, divided by the total tons of materials Collected in the Contract 473 Year as appropria.te. " 474 5.02 Failure To Meet Minimum Reauirements. CONTRACTOR'S failure to 475 meet the minimum diversion requirements set forth above in Section 5.01 may result in 476 the termination of this Contract or the imposition of administrative charges. 477 ARTICLE 6. Service Units 478 6.01 Service Units. Service Units shall include all Service Units that are 479 receiving Roll-off services provided by the CITY as of June 30, 2005, all Service Units as 480 specified in Exhibit 7, and all Roll-off Service Units which may be added to the Service 481 Area by means of annexation, new construction, or as otherwise set forth in this Contract 482 during term of this Contract. 483 6.01.1 Any question as to whether a Service Unit falls within this category 484 shall be determined by the Contract Administrator and the determination of the Contract 485 Administrator shall be final. 486 6.02 Service Unit Chances. The CITY and CONTRACTOR acknowledge that 487 during the term of this Contract it may be necessary or desirable to add or delete Service 488 Units for which CONTRACTOR will provide Service. 489 6.02.1 Additions and Deletions. CONTRACTOR shall provide services 490 described in this Contract to new Service Units in CONTRACTOR'S Service Area within 491 five (5) Work Days of receipt of notice from the CITY or new Service Unit to begin such 492 Service. 493 6.03 Annexation. If during the life of the Contract, additional territory within or 494 adjacent to the CONTRACTOR'S Service Area is acquired by the CITY through 495 annexation, CONTRACTOR agrees to provide Collection Services in such annexed area 496 in accordance with the provisions and service rates set forth in this Contract. Such 497 Collection Services shall begin within five (5) Work Days of receipt of written notice from 498 the CITY. CONTRACTOR shall not begin Collection Service without written 499 authorization from the CITY. 500 ARTICLE 7. Collection Services 501 7.01 Collection Service. The CONTRACTOR shall provide Collection Services 502 to all Service Units in the Service Area. This service will be governed by the following 503 terms and conditions: 504 7.01.1 Offer of Service. CONTRACTOR shall offer Solid Waste, 505 Recycling, and Green Waste Collection service to all Service Units in the Service Area. 506 7.01.2 Hours of Collection. Collection Service shall commence no earlier 507\ than 6:00 a.m. If the property is within one hundred (100) feet of residential property. 508 Collection Service shall commence no earlier than 7:00 a.m. Collection Service shall Page 14 of 66 -,~ ~ ,--,~,." CITY OF SAN BERNARDINO 509 terminate no later than 6:00 p.m., Monday through Friday with service on Saturday and 510 Sunday starting no earlier than 7:00 a.m. The hours of Collection may be extended due 511 to extraordinary circumstances or conditions with the prior written consent of the 512 Contract Administrator. 513 7.01.3 Accessibilitv. CONTRACTOR shall Collect all Garbage, Recycling 514 and Green Waste Bins that are readily accessible to the CONTRACTOR'S crew and 515 vehicles and not blocked. However, CONTRACTOR shall provide "push services" as 516 necessary during the provision of Roll-off Collection Services. Push services shall 517 include, but not be limited to dismounting from the Collection vehicle, moving the 518 Garbage, Recycling, and Green Waste Bins from their storage location for Collection and 519 returning the Garbage, Recycling, and Green Waste Bins to their storage location. 520 7.01.4 Manner of Collection. The CONTRACTOR shall provide Collection 521 Service with as little disturbance as possible and shall leave any Garbage, Recycling, 522 and Green Waste Bin at the same point it originally located without obstructing alleys, 523 roadways, driveways, sidewalks or mail boxes. 524 7.01.5 Acauisition of City Roll-off Eauipment. The CONTRACTOR shall 525 be responsible for taking possession of all City Roll-off equipment as listed in Exhibit 6 526 by August 1, 2005. 527 7.01.6 Purchase and Distribution of Garbaae. Recyclina. and Green 528 Waste Bins. The CONTRACTOR shall be responsible for the purchase and distribution 529 of Garbage, Recycling, and Green Waste Bins to all Service Units in the Service Area. 530 The size of the Garbage, Recycling, and Green Waste Bin to be distributed will be in 531 accordance with the service agreement obtained by the CONTRACTOR as set forth in 532 Article 8 of this Contract. 533 7.01.6.1 CONTRACTOR shall also distribute Garbage, 534 Recycling, and Green Waste Bins to new Service Units that are added to 535 CONTRACTOR'S Service Area during the term of this Contract. The size of the Bin and 536 the combination of Bins to be distributed will be in accordance with the service 537 agreement obtained by the CONTRACTOR as set forth in this Contract and the 538 distribution shall be completed within five (5) Work Days of receipt of the signed service 539 agreement by the CONTRACTOR from the management of the Service Unit. 540 7.01.7 Replacement of Garbaae. Recyclina. and Green Waste Bins. 541 Care shall be taken by CONTRACTOR'S employees to prevent damage to Bins by 542 unnecessary rough treatment. However, any Garbage, Recycling, and Green Waste Bin 543 damaged by the CONTRACTOR shall be replaced by the CONTRACTOR, at the 544 CONTRACTOR'S expense, within five (5) Work Days at no cost or inconvenience to the 545 Service Recipient. 546 7.01.7.1 Upon notification to the CONTRACTOR by the 547 CITY or a Service Unit that the Service Unit's Bin has been stolen or that it has been 548 damaged beyond repair through no fault of the CONTRACTOR, the CONTRACTOR 549 shall deliver a replacement Garbage, Recycling, and Green Waste Bin to such Service 550 Unit within five (5) Work Days. 551 7.01.8 Repair of Garbaae. Recyclina. and Green Waste Bins 552 CONTRACTOR shall be responsible for repair of Bins. Within five (5) Work Days of 553 notification by the CITY or a Service Recipient of the need for such repairs, the 554 CONTRACTOR shall repair the Bin or if necessary, remove the Bin for repairs and Page 15 of 66 ~..c~_"'..'_" ._ CITY OF SAN BERNARDINO 555 deliver a replacement Garbage, Recycling, and Green Waste Bin to the Service 556 Recipient. Garbage, Recycling, and Green Waste Bin repair shall also include the 557 removal of graffiti from the Bin. 558 7.01.9 Garbaae Recyclina. and Green Waste Bin Exchanae. Upon 559 notification to the CONTRACTOR by the CITY or a Service Recipient that a change in 560 the size, or number of the Garbage, Recycling, and Green Waste Bins, or a change in 561 the number Garbage, Recycling, and Green Waste 562 Bins is required, the CONTRACTOR shall deliver such Bins to such Service Recipient 563 within five (5) Work Days. 564 7.01.10 Ownershio of Garbaae and Recyclina Bins. Ownership of 565 Garbage, Recycling, and Green Waste Bins distributed by the CONTRACTOR shall rest 566 with the CONTRACTOR. 567 7.01.11 Annual Cleanina. Once each Contract Year, at no charge 568 to the Service Unit, CONTRACTOR shall clean all Garbage, Recycling, and Green 569 Waste Bins at a Service Unit's premises or shall replace the dirty Bins with clean bins 570 and remove the dirty Bins for cleaning. If the Garbage, Recycling, or Green Waste Bins 571 used at the Service Unit are not owned or provided by the CONTRACTOR, the 572 CONTRACTOR, with the prior written approval of the Service Recipient, may charge the 573 Service Recipient for such Bin cleaning services as specified in Exhibit 1. 574 7.02 Solid Waste Collection Service. 575 7.02.1 Conditions of Service. The CONTRACTOR shall provide Solid 576 Waste Collection Service to all Service Units in the Service Area whose Solid Waste is 577 properly containerized in Garbage Bins and where Garbage Bins are accessible. 578 7.02.2 Size and Freauency of Service. This service shall be provided as 579 deemed necessary and as determined between the CONTRACTOR and the customer, 580 but such service shall be received no less than one (1) time per week with no exception 581 for holiday(s) as set forth herein, except that Collection Service scheduled to fall on a 582 holiday may be rescheduled as determined between the customer and the 583 CONTRACTOR as long as the minimum frequency requirement is met. The size of the 584 Garbage Bin and the frequency of Collection shall be determined between the customer 585 and the CONTRACTOR. However, size and frequency shall be sufficient to provide that 586 no Solid Waste need be placed outside the Bin. The CONTRACTOR shall provide 587 containers as part of the Collection Service rates, however, customers may own their 588 Garbage Bin provided that the customer is completely responsible for its proper 589 maintenance and that such Garbage Bin shall be of a type that can be serviced by the 590 CONTRACTOR'S equipment. 591 7.02.3 Non-Collection. CONTRACTOR shall not be required to Collect 592 any Solid Waste that is not placed in a Garbage, Recycling, and Green Waste Bin unless 593 such Solid Waste is outside the Garbage, Recycling, and Green Waste Bin as a result of 594 overflow. In the event of non-collection, CONTRACTOR shall affix to the Garbage Bin a 595 Non-Collection Notice explaining why Collection was not made. 596 7.02.4 Solid Waste Overflow. In the case of repeated overflows of Solid 597 Waste, CONTRACTOR shall contact the Service Unit management to arrange for an 598 appropriate change in Garbage Bin size, Collection frequency or both. In the event, 599-. CONTRACTOR cannot successfully contact the Service Unit management after three 600 attempts, or cannot reach an agreement with such management regarding the change in Page 16 of 66 CITY OF SAN BERNARDINO 601 service, CONTRACTOR shall advise the Contract Administrator, either by Fax or e-mail, 602 of the details of the Solid Waste overages, and the attempts at communication with the 603 Service Unit management. The Contract Administrator shall respond to 604 . CONTRACTOR'S report and make a final written determination. Within five (5) Work 605 Days of receipt of the Contract Administrator's written determination, CONTRACTOR 606 shall change the Collection Service in accordance with such written determination. 607 7.02.5 Disposal Facilitv. All Solid Waste, Collected as a result of 608 performing Solid Waste Collection Services shall be transported to, and disposed of, at 609 the Disposal Facility. In the event the Disposal Facility is closed on a Work Day, the 610 CONTRACTOR shall transport and dispose of Solid Waste at such other legally 611 permitted disposal facility as designated in writing by CITY. Failure to comply with this 612 provision shall result in the levy of an administrative charge as specified in this Contract 613 and may result in the CONTRACTOR being in default under this Contract. 614 7.03 Recvclina Service. This service will be governed by the following terms 615 and conditions: 616 7.03.1 Conditions of Service. The CONTRACTOR shall provide 617 Recycling Service to all Service Units in the Service Area whose Recyclable Materials 618 are properly containerized in Recycling Bins, except as where CONTRACTOR elects to 619 collect Solid Waste for processing as mixed waste. 620 7.03.2 Size and Freauencv of Service. This Service shall be provided as 621 deemed necessary and as determined between the CONTRACTOR and the customer, 622 the size of the Recycling Bin and the frequency of Collection shall be determined 623 between the customer and the CONTRACTOR. However, size and frequency shall be 624 sufficient to provide that no Recyclable Materials need be placed outside the Bin. The 625 CONTRACTOR shall provide containers as part of the Collection Service, however, 626 customers may own their Bin prtlvided that the customer is completely responsible for its 627 proper maintenance and such Bin shall be of a type that can be serviced by the 628 CONTRACTOR'S equipment. 629 7.03.3 Recvclina - Improper Procedure. CONTRACTOR shall not be 630 required to Collect Recyclable Materials if the Service Recipient does not segregate the 631 Recyclable Materials from Solid Waste, except where CONTRACTOR elects to collect 632 Solid Waste for processing as mixed waste. If Recyclable Materials are contaminated 633 through commingling with Solid Waste, the CONTRACTOR shall, if practical, separate 634 the Solid Waste from the Recyclable Materials. The Recyclable Materials shall then be 635 collected and the Solid Waste shall be left in the Recycling Bin along with a Non- 636 Collection Notice of why the Solid Waste is not considered a Recyclable Material. 637 However, in the event the Recyclable Materials and Solid Waste are commingled to the 638 extent that they cannot easily be separated by the CONTRACTOR or the nature of the 639 Solid Waste renders the entire Recycling Bin contaminated, the CONTRACTOR will 640 leave the Recycling Bin un-emptied along with a Non-Collection Notice which contains 641 instructions on the proper procedures for setting out Recyclable Materials. Upon 642 notification from the Contract Administrator, CONTRACTOR shall Collect the 643 contaminated Recyclable Materials as part of the next regularly scheduled Solid Waste 644 Collection and dispose of it at the Disposal Facility. 645 7.03.4 Material Recoverv Facilitv. All Recyclable Materials Collected 646 as a result of performing Recycling Services shall be delivered to the Material Recovery 647 Facility. Failure to comply with this provision shall result in the levy of an administrative Page 17 of 66 -'~~''"'''~'~"'~I--'r''T- -, - -"-~~~~ .--,' -,,,. -". -"-'T,'" ---,,~~_-_,-' -",-_,_"_~'_'_'_'."e"m_-,,,,,,,,,,<,,~,,,,,,,,, ,_ :': CITY OF SAN BERNARDINO 648 charge as specified in this Contract and may result in the CONTRACTOR being in 649 default under this Contract. 650 7.03.5 Recvclino - Chanoes to Work. Should changes in law arise that 651 necessitate any additions or deletions to the work described herein including the type of 652 items included as Recyclable Materials, the parties shall negotiate any necessary cost 653 changes and shall enter into an Contract amendment covering such modifications to the 654 work to be performed and the compensation to be paid before undertaking any changes 655 or revisions to such work. 656 7.04 Green Waste Service. This service will be governed by the following 657 terms and conditions: 658 7.04.1 Conditions of Service. The CONTRACTOR shall provide Green 659 Waste Service to all Service Units in the Service Area whose Green Waste is properly 660 containerized in Green Waste Bins, except as where CONTRACTOR elects to collect 661 Solid Waste for processing as mixed waste. 662 7.04.2 Size and Freauencv of Service. This Service shall be provided as 663 deemed necessary and as determined between the CONTRACTOR and the customer, 664 but such service shall be received no less than one (1) time per week with no exception 665 for holiday(s) as set forth herein, except that Collection service scheduled to fall on a 666 holiday may be rescheduled as determined between the customer and the 667 CONTRACTOR as long as the minimum frequency requirement is met. The size of the 668 Green Waste Bin and the frequency (above the minimum) of Collection shall be 669 determined between the customer and the CONTRACTOR. However, size and 670 frequency shall be sufficient to provide that no Green Waste need be placed outside the 671 Bin. The CONTRACTOR shall provide containers as part of the Collection Service rates, 672 however, customers may own their Bin provided that the customer is completely 673 responsible for its proper maintenance and such Bin shall be of a type that can be 674 serviced by the CONTRACTOR'S equipment. 675 7.04.3 Green Waste -Improper Procedure. CONTRACTOR shall not be 676 required to Collect Green Waste if the Service Recipient does not segregate the Green 677 Waste from Solid Waste, except where CONTRACTOR elects to collect Solid Waste for 678 processing as mixed waste. If Green Waste is contaminated through commingling with 679 Solid Waste, the CONTRACTOR shall, if practical, separate the Solid Waste from the 680 Green Waste. The Green Waste shall then be Collected and the Solid Waste shall be 681 left in the Green Waste Bin along with a Non-Collection Notice of why the Solid Waste is 682 not considered Green Waste. However, in the event that Green Waste and Solid Waste 683 are commingled to the extent that they cannot easily be separated by the 684 CONTRACTOR or the nature of the Solid Waste renders the entire Green Waste Bin 685 contaminated, the CONTRACTOR will leave the Green Waste Bin un-emptied along with 686 a Non-Collection Notice which contains instructions on the proper procedures for setting 687 out Green Waste. Upon notification from the Contract Administrator, CONTRACTOR 688 shall Collect the contaminated Green Waste as part of the next regularly scheduled Solid 689 Waste Collection and dispose of it at the Disposal Facility. 690 7.04.4 Green Waste Processina Services. CONTRACTOR shall ensure 691 that all Green Waste Collected pursuant to this Contract are diverted from the landfill in 692 accordance with AB 939 and any subsequent or other applicable legislation and 69~ regulations. Page 18 of 66 , '''1 "'-'/~"-"-~"-"-'T--"""'"'''"'~''' '""~"T'" "~""""""r'."~=' ""0" ',""" ""'"'~-"~'P"""f""~"~'"': 694 695 696 697 698 699 700 701 702 703 704 705 706 707 708 709 710 711 712 713 714 715 716 717 718 719 720 721 722 723 724 725 726 727 728 729 730 731 732 733 734 CITY OF SAN BERNARDINO 7.01.1 CONTRACTOR shall ensure that the Green Waste Collected pursuant to this Contract is not disposed of in a landfill, except as a residue resulting from processing. 7.05 Green Waste Processina Facilitv. CONTRACTOR shall deliver all Collected Green Waste to a fully permitted Green Waste Processing Facility or a fully permitted Green Waste transfer station. All expenses related to Green Waste processing and marketing will be the sole responsibility of CONTRACTOR. 7.06 Green Waste - Chanaes to Work. Should changes in law arise that necessitate any additions or deletions to the work described herein including the type of items included as Green Waste Materials, the parties shall negotiate any necessary cost changes and shall enter into an Contract amendment covering such modifications to the work to be performed and the compensation to be paid before undertaking any changes or revisions to such work. 7.07 City Service Units. CONTRACTOR shall provide free collection of Solid Waste, Recyclable Materials, and Green Waste from City Service Units that receive Collection Services. City Service Units include City buildings and facilities, City directed neighborhood clean-up events, City directed collection for community groups, City directed free dump day events, and bins used for the City's street sweeping service. Such free services shall be provided by the CONTRACTOR as scheduled by the CITY, within 48 hours written or verbal notice by the City Administrator. ARTICLE 8. Service Agreements 8.01 For Service Units not provided with Temporary Bin Service, CONTRACTOR shall obtain a signed service agreement from each Service Unit provided with Collection Services. CONTRACTOR shall provide the CITY with a copy of all signed service agreements. The service agreement will contain the following information: name and address of the Service Unit; name, address and phone number of the contact person for the Service Unit; Garbage, Recycling, and Green Waste Bin number, size and Collection frequency; and permission for CONTRACTOR to enter the premises for Collection. ARTICLE 9. Collection Routes 9.01.1 Collection Route Audits. The CITY reserves the right to conduct audits of CONTRACTOR'S Collection routes. The CONTRACTOR shall cooperate with ;; the CITY in connection therewith, including permitting CITY employees or agents, designated by the Contract Administrator, to ride in the Collection vehicles in order to conduct the audits. The CONTRACTOR shall have no responsibility or liability for the salary, wages, benefits or worker compensation claims of any person designated by the Contract Administrator to conduct such audits. ARTICLE 10. Minimum Performance and Diversion Standards 10.01 The CONTRACTOR must meet the minimum performance and diversion standards in each Contract Year beginning July, 1, 2006. Page 19 of 66 ~.. ."_.~'" . .."..~.=,,,_.~ CITY OF SAN BERNARDINO 735 10.01.1 Performance Standards. Assessment of administrative 736 charges, as set forth in this Contract of less than $50,000 in each Contract Year 737 beginning July 1, 2005. If CONTRACTOR is assessed administrative charges that 738 exceed of $50,000 in a Contract Year, the CITY may terminate this Contract at the 739 CITY'S sole discretion. 740 10.01.2 Minimum Diversion Standards. Fifty percent (50%) 741 diversion of all materials Collected under the terms of this Contract in each Contract 742 Year beginning July 1, 2005. 743 ARTICLE 11. Collection Equipment 744 11.01 Eauipment Specifications. 745 11.01.1 General Provisions. All equipment used by 746 CONTRACTOR in the performance of services under this Contract shall be of a high 747 quality and meet all federal, state, and local regulations and air quality standards. The 748 collection vehicles and Containers shall be designed and operated so as to prevent 749 Collected materials from escaping from the collection vehicles and Containers. 750 Containers shall be closable on top and on all sides, or provided with screening material 751 to prevent collected materials from leaking, blowing or falling from the vehicles and 752 Containers. 753 11.01.2 Fuel and Lubricants. Except as approved in writing by the 754 Contract Administrator on an individual vehicle basis, CONTRACTOR shall utilize re- 755 refined motor oil and re-refined hydraulic oil in all vehicles used in CONTRACTORS 756 performance of this Contract. If CONTRACTOR uses Compressed Natural Gas ("CNG") 757 and/or Liquefied Natural Gas ("LNG") as fuel in their Collection vehicles, they must 758 purchase CNG and/or LNG at the City's CNG and/or LNG fueling station. 759 11.01.3 Collection Vehicles. Other than those vehicles specified in 760 Exhibit 6, CONTRACTOR shall not use any Collection vehicle that is more than ten (10) 761 years old or has more than 250,000 miles unless such vehicle is a Rebuilt Vehicle. No 762 later than March 15 of each Contract Year, CONTRACTOR shall submit to the Contract 763 Administrator an odometer reading, and verification that each of the CONTRACTOR'S 764 Collection vehicles does not exceed 250,000 miles, or that the Collection vehicles has 765 been rebuilt. CONTRACTOR'S Collection vehicles must comply with the California 766 Highway Patrol Bi-annual Terminal Inspection (BIT) requirements. 767 11.01.4 Reaistration. All vehicles used by CONTRACTOR in 768 providing Collection Services under this Contract, except those vehicles used solely on 769 CONTRACTORS premises, are to be registered with the California Department of Motor 770 Vehicles. 771 11.01.5 Safety Markinas. All Collection equipment used by 772 COLLECTOR shall have appropriate safety markings including, but not limited to, 773 highway lighting, flashing and warning lights, clearance lights, and warning flags. All 774 such safety markings shall be subject to the approval of the CITY and shall be in 775 accordance with the requirements of the California Vehicle Code, as may be amended 776 from time to time. 777 11.01.6 Vehicle Sianaae and Paintina. Collection vehicles shall be 778-- painted and numbered consecutively without repetition and shall have the 779 CONTRACTOR'S name, CONTRACTOR'S customer service telephone number, and the Page 20 of 66 . _.~.". ~- _.~.. .~~ CITY OF SAN BERNARDINO 780 number of the vehicle painted in letters of contrasting color, at least four (4) inches high, 781 on each side of each vehicle. No advertising shall be permitted other than the name of 782 the CONTRACTOR except promotional advertisement of the Recyclable Materials and 783 Green Waste programs. CONTRACTOR shall repaint all vehicles (including vehicles 784 striping) during the term of this Contract on a frequency as necessary to maintain a 785 positive public image as reasonably determined by the Contract Administrator, but not 786 less often than every thirty (30) months beginning April 1, 2006. 787 11.01.7 Bin SiQn~Qe. Paintina. and Cleanina. All metal bins of any 788 service type furnished by the CONTRACTOR shall be either painted or galvanized. All 789 metal or plastic bins shall display the CONTRACTOR'S name, CONTRACTOR'S 790 customer service telephone number, and the number of the bin and shall be kept in a 791 clean and sanitary condition. Such bins as are provided by the CONTRACTOR shall be 792 steam cleaned by the CONTRACTOR as frequently as necessary so as to maintain 793 them in a sanitary condition. At a minimum, CONTRACTOR shall steam clean the bins 794 once per year at CONTRACTOR'S expense. Bins will be subject to periodic, 795 unscheduled inspections by the CITY and determination as to sanitary condition shall be 796 made by the CITY. 797 11.02 Collection Vehicle Noise Level. The noise level generated by Collection 798 vehicles shall not exceed eighty-five (85) decibels at a distance of twenty-five (25) feet 799 from the Collection vehicle measured at an elevation of five (5) feet above ground level 800 using the "AU scale of the standard sound level meter at slow response. CONTRACTOR 801 shall cause the Collection vehicles to be tested annually during the months of March and 802 April, beginning March of 2007, and shall submit a certificate of testing showing that the 803 vehicles met the requirements of this Article. 804 11.03 EQuipment Maintenance. CONTRACTOR shall maintain Collection 805 equipment in a clean condition and in good repair at all times. All parts and systems of 806 the Collection equipment shall operate property and be maintained in a condition 807 satisfactory to CITY. CONTRACTOR shall wash all Collection vehicles at least once a 808 week. 809 11.04 Maintenance Loa. CONTRACTOR shall maintain a maintenance log for 810 all Collection vehicles. The log shall at all times be accessible to CITY by physical 811 inspection upon request of Contract Administrator, and shall show, at a minimum, each 812 vehicles CONTRACTOR assigned identification number, date purchased or initial lease, 813 dates of performance of routine maintenance, dates of performance of any additional 814 maintenance, and description of additional maintenance performed. 815 11.04.1 EQuipment Inventorv. On or before January 15, 2006, 816 CONTRACTOR shall provide to CITY an inventory of Collection vehicles and major 817 equipment used by CONTRACTOR for Collection or transportation and performance of 818 services under this Contract. The inventory shall indicate each Collection vehicle by 819 CONTRACTOR assigned identification number, DMV license number, the age of the 820 chassis and body, type of fuel used, the type and capacity of each vehicle, the number of 821 vehicles by type, the date of acquisition, the decibel rating and the maintenance and 822 rebuild status. CONTRACTOR shall submit to the Contract Administrator, either by Fax 823 or e-mail, an updated inventory annually to the CITY or more often at the request of the . 824 Contract Administrator. Each inventory shall also include the tare weight of each vehicle 825 as determined by weighing at a public scale and not at a disposal or other facility scale 826 used by CONTRACTOR. Each vehicle inventory shall be accompanied by a Page 21 of 66 CITY OF SAN BERNARDINO 827 certification signed by CONTRACTOR that all Collection vehicles meet the requirements 828 of this Contract. 829 11.04.2 Reserve Eauioment. The CONTRACTOR shall have 830 available to it, at all times, reserve Collection equipment which can be put into service 831 and operation within one (1) hour of any breakdown. Such reserve equipment shall 832 correspond in size and capacity to the equipment used by the CONTRACTOR to 833 perform the contractual duties. 834 ARTICLE 12. Contractor's Office 835 12.01 CONTRACTOR'S Office. The CONTRACTOR shall maintain an office 836 where complaints can be received. Such office shall be equipped with sufficient 837 telephones that all Collection Service related calls received during normal business 838 hours are answered by an employee within five (5) rings, and shall have responsible 839 persons in charge during Collection hours and shall be open during such normal 840 business hours, 8:00 a.m. to 6:00 p.m. on all Work Days and on those Saturdays when 841 Collections Services are required as a result of the holiday Collection policy set forth in 842 the Contract. The CONTRACTOR shall provide either a local or toll-free telephone 843 number, and a telephone answering service or mechanical device to receive Service 844 Recipient inquiries during those times when the office is closed. Calls received after 845 normal business hours shall be addressed the next Work Day morning. 846 12.01.1 Emeraencv Contact. The CONTRACTOR shall provide 847 the Contract Administrator with an emergency phone number where the CONTRACTOR 848 can be reached outside of the required office hours. 849 12.01.2 MultilinauallTDD Service. CONTRACTOR shall at all 850 times maintain the capability of responding to telephone calls in English and Spanish and 851 such other languages as CITY may di~~ct. CONTRACTOR shall at all times maintain 852 the capability or responding to telephone calls through Telecommunications Device for 853 the Deaf (TDD) Services. 854 12.01.3 Service Recioient Calls. During office hours, 855 CONTRACTOR shall maintain a telephone answering system capable of accepting at 856 least fifteen (15) incoming calls at one time. CONTRACTOR shall record all calls 857 including any inquiries, service requests and complaints into a customer service log. 858 12.01.4 All incoming calls will be answered within 5 rings. Any call 859 "on-hold" in excess of 1.5 minutes shall have the option to remain "on-hold" or to be 860 switched to a message center where Service Recipient can leave a message. 861 CONTRACTOR'S customer service representative shall return Service Recipient calls. 862 For all messages left before 3:00 p.m., all "call backs" shall be attempted a minimum of 863 one time prior to 6:00p.m. on the day of the call. For messages left after 3:00 p.m., all 864 "call backs" shall be attempted a minimum of one time prior to noon the next Work Day. 865 CONTRACTOR shall make minimum of three (3) attempts within twenty-four hours of 866 the receipt of the call. If CONTRACTOR is unable to reach the Service Recipient on the 867 next Work Day, the CONTRACTOR shall send a postcard to the Service Recipient on 868 the second Work Day after the call was received, indicating that the CONTRACTOR has 869 attempted to return the call. Page 22 of 66 CITY OF SAN BERNARDINO 870 ARTICLE 13. Other Services 871 13.01 Public Outreach and Education Services. CONTRACTOR, at their own 872 expense, shall prepare, submit and implement an annual (calendar year) Public 873 Education and Outreach Program beyond the City's Public Education and Outreach 874 Program. The proposed action plan must be submitted annually for CITY approval no 875 later than September 30 for the next calendar year. The program must be designed to 876 increase diversion and participation in recycling and green waste programs. 877 13.02 Proarams and Services. CONTRACTOR shall provide additional services 878 and programs as requested by CITY at a price to be mutually agreed upon between the 879 CONTRACTOR and the Contract Administrator. In the event the CONTRACTOR and 880 the Contract Administrator cannot reach a mutually agreed upon price for the requested 881 service or program, CITY shall have the right to procure the service of other vendors or 882 contractors to provide the requested service. 883 13.03 News Media Relations. CONTRACTOR shall notify the Contract 884 Administrator by Fax, e-mail or phone of all requests for news media interviews related 885. to the Collection Services program within twenty-four (24) hours of CONTRACTOR'S 886 receipt of the request. Before responding to any inquiries involving controversial issues 887 or any issues likely to affect participation or Service Recipient perception of services, 888 CONTRACTOR will discuss CONTRACTOR'S proposed response with the Contract 889 Administrator. 890 13.03.1.1 Copies of draft news releases or proposed trade 891 journal articles shall be submitted to CITY for prior review and approval at least five (5) 892 working days in advance of release, except where CONTRACTOR is required by any 893 law or regulation to submit materials to any regulatory agency in a shorter period of time, 894 in which case CONTRACTOR shall submit such materials to CITY simultaneously with 895 CONTRACTOR'S submittal to such regulatory agency. 896 13.03.2 Copies of articles resulting from media interviews or news 897 releases shall be provided to the CITY within five (5) days after publication. 898 ARTICLE 14. Emergency Service Provisions 899 14.01 Emeraencv Services. In the event of a tornado, major storm, earthquake, 900 fire, natural disaster, or other such event, the Contract Administrator may grant the 901 CONTRACTOR a variance from regular routes and schedules. As soon as practicable 902 after such event, the CONTRACTOR shall advise the Contract Administrator when it is 903 anticipated that normal routes and schedules can be resumed. The Contract 904 Administrator shall make an effort through the local news media to inform the public 905 when regular services may be resumed. The clean-up from some events may require 906 that the CONTRACTOR hire additional equipment, employ additional personnel, or work 907 existing personnel on overtime hours to clean debris resulting from the event. The 908 CONTRACTOR shall receive additional compensation, above the normal compensation 909 contained in this Contract, to cover the costs of rental equipment, additional personnel, 910 overtime hours and other documented expenses based on the rates set forth in Exhibit 1 911 to this Contract provided the CONTRACTOR has first secured written authorization and 912 approval from the CITY through the Contract Administrator. In the event the CITY 913 requires assistance in servicing CITY Service Units, CONTRACTOR shall provide 914 requested services at current CITY rate. Page 23 of 66 CITY OF SAN BERNARDINO 915 ARTICLE 15. Record Keeping and Reporting Requirements 916 15.01 Record Keeoina. 917 15.01.1 Accountina Records. CONTRACTOR shall maintain full, 918 complete and separate financial, statistical and accounting records, pertaining to cash, 919 billing, and provisions of all Collection Services, prepared on an accrual basis in 920 accordance with generally accepted accounting principles. Such records shall be 921 subject to audit, copy, and inspection. Gross revenues and California Redemption Value 922 derived from provision of the Collection Services, whether such services are performed 923 by the CONTRACTOR or by a subcontractor or subcontractors, shall be recorded as 924 revenues in the accounts of the CONTRACTOR. CONTRACTOR shall maintain and 925 preserve all cash, billing and disposal records for a period of not less than five (5) years 926 following the close of each of the CONTRACTOR'S fiscal years. 927 15.01.2 Contract Materials Records. CONTRACTOR shall 928 maintain records of the quantities Solid Waste Collected and disposed under the terms 929 of this Contract, Recyclable Materials, by type, Collected, purchased, processed, sold, 930 donated or given for no compensation, and residue disposed, and Green Waste 931 Collected, processed, and marketed. 932 15.01.3 Other Records. CONTRACTOR shall maintain all other 933 records reasonably related to provision of Collection Services, whether or not specified 934 in this the Contract. 935 15.02 Annual Reoortina. 936 15.02.1 General. Annual reports shall be submitted no later than 937 May 1 for the previous Contract Year. Annual reports shall be submitted in hard copy, 938 and shall be provided electronically in softWare acceptable to the CITY. 939 15.02.2 Financial ReDorts. CONTRACTOR shall prepare an 940 annual Financial Report for submittal to the CITY by May 1, 2006, and each May 151 941 thereafter covering the CONTRACTOR'S prior calendar year operattons. At a minimum, 942 the Financial Report shall include all items as specified in Sections 3.04, and the number 943 of Service Units provided with Collection Services, including any additional services, the 944 CONTRACTOR'S gross billing and amount collected for each type of Service Unit, per 945 ton and total annual disposal and processing fees paid, and the amount received for the 946 sale of recyclable materials. 947 15.02.2.1 The Financial Report shall also include Annual 948 Financial Statements as it relates to services provided by the CONTRACTOR to the 949 CITY. If the CONTRACTOR has Audited, Reviewed, or Compiled Financial Statements 950 prepared each year by an Independent Certified Public Accountant, those Financial 951 Statements shall be included in the Financial Report submitted to the CITY. 952 15.02.2.2 In the event that the CONTRACTOR does not have 953 Financial Statements Audited, Reviewed, or Complied each year, then the 954 CONTRACTOR must have Financial Statements prepared by an Independent Certified 955 - Public Accountant. Such Financial Statements may be Audited, Reviewed or Compiled 956 at the discretion of the CONTRACTOR and shall be included in the Financial Report 957 submitted to the CITY. \ Page 24 of 66 Ir-' " -~'^ e"""-_~ ,CC",C, .~ .".0 "_CO,"." 0 .. "T "_1i!l"Z"""'~~""'~,~ _ .r. c",,", CITY OF SAN BERNARDINO 958 15.03 Performance Reoorts. City may also require that the annual reports 959 include some or all of the following information and data: 960 15.03.1 Garbaae Data. Gross tons Collected daily on average by 961 material type by route for Garbage service. The number of Service Units and the 962 number of Garbage Bins distributed by size and Service Unit type. 963 15.03.2 Recvclina Data. Gross tons Collected daily on average by 964 material type by route for Recycling service. The average participation rates by quarter 965 relative to the total number of Service Units by Service Unit type. Indicate, by material 966 type (and grade where appropriate), quarterly totals of Recyclable Materials processed 967 and sold including facility name and location, average price received per ton and total 968 recycling revenue received for the quarter. Indicate any quantities, by material type, 969 donated or otherwise disbursed without compensation. Indicate number of Recycling 970 Bins distributed by size and Service Unit type. Also provide quarterly totals and location 971 for residue disposed. 972 15.03.3 Green Waste Data. Include average daily gross tons 973 Collected by route. Indicate average participation rates relative to the total number of 974 Service Units in terms of weekly set-out counts. Indicate number of Green Waste Bins 975 distributed by size and Service Unit type. Also provide totals and location for Residue 976 Disposed. 977 15.03.4 Customer Service Loa. A copy of the customer service 978 log, including a summary of the type and number of complaints and their resolution. 979 Copies of a written record of all calls related to missed pickups and responses to such 980 calls. 981 15.03.4.1 A summary narrative of problems encountered with 982 Collection and processing activities and actions taken. Indicate type and number of Non- 983 Collection Notices left at Service Recipient locations. Indicate instances of property 984 damage or injury, significant changes in operation, market factors, publicity conducted, 985 needs for publicity. Include description of processed material loads rejected for sale, 986 reason for rejection and disposition of load after rejection. 987 15.03.5 Cart and Bin Inventorv. An updated complete inventory of 988 Bins by type and size. 989 15.03.6 Additional Reoortina. The CONTRACTOR shall furnish 990 the CITY with any additional reports as may reasonably be required, such reports to be 991 prepared within a reasonable time following the reporting period. 992 15.03.7 Temoorarv Construction' and Demolition Collection 993 Service Reoorts. The CONTRACTOR shall furnish the CITY with written notification of 994 on each occurrence of providing Temporary Construction and Demolition Collection 995 Service. Such notification must include the name of the Service Recipient, the billing 996 address, the physical address and location of the Temporary Construction and 997 Demolition Bin, the expected length of time that the Temporary Construction and 998 Demolition Collection Service will be provided, and the size of the Bin. Such written 999 notification shall be provided by the CONTRACTOR to the CITY within three (3) working 1000 days that a Temporary Bin is placed in service at the Service Recipient's location. Page 25 of 66 ~~~ ~ ~ .' "0" n ",~ '.'''' CITY OF SAN BERNARDINO 1001 ARTICLE 16. Nondiscrimination 1 002 16.01 Nondiscrimination. In the performance of all work and services under this 1003 Contract, CONTRACTOR shall not discriminate against any person on the basis of such 1004 person's race, sex, color, national origin, religion, marital status or sexual orientation. 1005 CONTRACTOR shall comply with all applicable local, state and federal laws and 1006 regulations regarding nondiscrimination, including those prohibiting discrimination in 1007 employment. 1008 ARTICLE 17. Service Inquiries and Complaints 1009 17.01 CONTRACTOR'S Customer Service. All service inquiries and complaints 1010 shall be directed to the CONTRACTOR. A representative of the CONTRACTOR shall be 1011 available to receive the complaints during normal business hours. All service 1012 complaints will be handled by the CONTRACTOR in a prompt and efficient manner. In 1013 the case of a dispute between the CONTRACTOR and a Service Recipient, the matter 1014 will be reviewed and a decision made by the Contract Administrator 1015 17.01.1 The CONTRACTOR will utilize the Customer Service Log 1016 to maintain a record of all inquiries and complaints in a manner prescribed by the CITY. 1017 17.01.2 For those complaints related to missed Collections that 1018 are received by 3:00 p.m. on a Work Day, the CONTRACTOR will return to the Service 1019 Unit address and Collect the missed materials before leaving the Service Area for the 1020 day. For those complaints related to missed Collections that are received after 3:00 p.m. 1021 on a Work Day, the CONTRACTOR shall have until the end of the following Work Day to 1022 resolve the complaint. For those complaints related to repair or replacement of Bins, the 1023 appropriate Sections of this Contract shall apply 1024 17.01.3 CONTRACTOR agrees that it is in the best interest of the 1025 CITY that all Solid Waste and Recyclable Materials be Collected on the scheduled 1026 Collection day. Accordingly, missed Collections will normally be Collected as set forth 1027 above regardless of the reason that the Collection was missed. However, in the event a 1028 Service Recipient requests missed Collection service more than two (2) times in any 1029 consecutive two (2) month period the Contract Administrator will work with the 1030 CONTRACTOR to determine an appropriate resolution to that situation. In the event the 1031 CONTRACTOR believes any complaint to be without merit, CONTRACTOR shall notify 1032 the Contract Administrator, either by Fax or e-mail. The Contract Administrator will 1033 investigate all disputed complaints and render a decision. 1034 ARTICLE 18. Quality of Performance of Contractor 1035 18.01 Intent. CONTRACTOR acknowledges and agrees that one of CITY'S 1036 primary goals in entering into this Contract is to ensure that the Collection Services are 1037 of the highest caliber, that Service Recipient satisfaction remains at the highest level, 1038 that maximum diversion levels are achieved, and that materials Collected are put to the 1039 highest and best use to the extent possible. 1040 18.02 Service Suoervisor. CONTRACTOR shall assign a qualified supervisor to 1041 be in charge of the Collection Service within the Service Area and shall provide the 1042 name of that person in writing to the Contract Administrator within thirty (30) days of the 1043- execution of this Contract, and annually by January 151 of each subsequent Contract 1044 Year of the term of this Contract, and any other time the person in that position changes. Page 26 of 66 C"'_,_",' "_0 '"~3'_'~'-__ '_"', ~'_'''O_' 'c .._,."",.,--=-_.-~ "~'~-'___~;"_ "'_"C;;;~-"''''',1'li&~.:pr#'l--,,:-q:-. _ '" ,:;,", ~. '_ CITY OF SAN BERNARDINO 1045 The supervisor shall be available to the Contract Administrator through the use of 1046 telecommunication equipment at all times that CONTRACTOR is providing Collection 1047 Services. In the event the supervisor is unavailable due to illness or vacation, 1048 CONTRACTOR shall designate an acceptable substitute who shall be available and who 1049 has the authority to act in the same capacity as the supervisor. 1050 18.03 Contract Manaaer. CONTRACTOR shall designate a Contract Manager 1051 and shall provide the name of that person in writing to the CITY within thirty (30) days of 1052 the execution of this Contract and annually by January 151 of each subsequent Contract 1053 Year of this Contract and any other time the person in that position changes. The 1054 Contract Manager shall be available to the CITY through the use of telecommunications 1055 equipment at all times that CONTRACTOR is providing Collection Services in the 1056 Service Area. The Contract Manager shall provide the CITY with an emergency phone 1057 number where the Contract Manager can be reached outside of normal business hours. 1058 18.04 Administrative Charaes. It shall be the duty of CONTRACTOR to perform 1059 services under this Contract in such a manner as fully comply with all requirements of 1060 this Contract. In the event CONTRACTOR fails to perform the services set forth in this 1061 Contract, CITY may assess an administrative charge against CONTRACTOR in the 1062 following amounts: a Providing unauthorized service to any City $15,000 for the first Account(s} except as otherwise authorized in this incident; $25,000 for the Contract including those Service Units identified in second incident; Contract Exhibit 7. termination for third incident. b. Charging Service Units service rates in amounts $15,000 for the first not authorized in this Contract. incident; $25,000 for the second incident; Contract termination for third incident. c. Failure or neglect to resolve each complaint within $100.00 per incident per the time set forth in this Contract. Service Recipient d. Failure to clean up spillage or litter caused by $1,000.00 per incident CONTRACTOR. per location. e. Failure to repair damage to customer property $1,000.00 per incident caused by CONTRACTOR or its personnel. per location. f. Failure to maintain equipment in a clean, safe, and $1,000.00 per incident sanitary manner. per day. Page 27 of 66 __1I!l CITY OF SAN BERNARDINO g. Failure to have a vehicle operator properly $1,000.00 per incident licensed. per day. h. Failure to maintain office hours as required by this $100.00 per incident per Contract. day. i. Failure to maintain or timely submit to CITY all $1,000.00 per incident documents and reports required under the per day. provisions of this Contract. j. Failure to properly cover materials in Collection $100.00 per incident. vehicles. k. Failure to display CONTRACTOR'S name and $100.00 per incident per customer service phone number on Collection day. vehicles. I. Failure to comply with the hours of operation as $100.00 per incident per required by this Contract. day. m. Commingling of materials Collected inside and $500.00 per incident. outside the City of San Bernaraino. n. Failure to repair or replace damaged Bins within $100.00 per incident per the time required by this Contract. day. o. Failure to deliver or exchange Bins within the time $100.00 per incident per required by this Contract. day. p. Failure to have CONTRACTOR personnel in $100.00 per incident per proper uniform. day. q. Disposal of Recyclable Materials in the Disposal $500.00 per occurrence Facility without first obtaining the required permission of the CITY. r. Failure to provide required communications $100.00 per incident per equipment. day. Page 28 of 66 1063 1064 1065 1066 1067 1068 1069 1070 1071 1072 1073 1074 1075 1076 1077 1078 1079 1080 1081 1082 1083 1084 1085 1086 1087 1088 1089 1090 1091 1092 1093 1094 1095 1096 1097 1098 \ 1099 CITY OF SAN BERNARDINO s. Failure to deliver any Collected materials to the Disposal Facility, Materials Recycling Facility, or Green Waste Processing Facility, as appropriate, except as otherwise expressly provided in this Contract. $5,000 first failure $15,000 each subsequent failure 18.05 Procedure for Review of Administrative Charaes. The Contract Administrator may assess administrative charges pursuant to this Contract on a monthly basis. At the end of each month during the term of this Contract, the Contract Administrator shall issue a written notice to CONTRACTOR ("Notice of Assessment") of the administrative charges assessed and the basis for each assessment. 18.05.1 The assessment shall become final unless, within ten (10) calendar days of the date of the notice of assessment, CONTRACTOR provides a written request for a meeting with the City Administrator to present evidence that the assessment should not be made. 18.05.2 The Contract Administrator shall schedule a meeting between CONTRACTOR and the Contract Administrator or the Contract Administrator's designee as soon as reasonably possible after timely receipt of CONTRACTOR'S request. 18.05.3 The Contract Administrator, or the Contract Administrator's designee shall review CONTRACTOR'S evidence and render a decision sustaining or reversing the administrative charges as soon as reasonably possible after the meeting. Written notice of the decision shall be provided to CONTRACTOR. 18.05.4 In the event CONTRACTOR does not submit a written request for a meeting within ten (10) calendar days of the date of the Notice of Assessment, the Contract Administrator's determination shall be final. 18.05.5 CITY'S assessment or collection of administrative charges shall not prevent CITY from exercising any other right or remedy, including the right to terminate this Contract, for CONTRACTOR'S failure to perform the work and services in the manner set forth in this Contract. ARTICLE 19. Performance Bond 19.01 Performance Bond. Within ten (10) calendar days from the date the City Council approves this Contract, the CONTRACTOR shall furnish to the CITY, and keep current, a Performance Bond in a form as set forth in Exhibit 2 which is included in and attached to this Contract, for the faithful performance of this Contract and all obligations arising hereunder in an amount as follows: 19.01.1 CONTRACTOR shall maintain a performance bond in the amount of five hundred thousand dollars ($500,000), so long as this Contract shall remain in force. 19.01.1.1 The performance bond sha.1I be executed by a surety company licensed to do business in the State of California; having an "A_" or better rating by A. M. Best or Standard and Poors; and included on the list of surety companies approved by the Treasurer of the United States. Page 29 of 66 1100 1101 1102 1103 1104 1105 1106 1107 1108 1109 1110 1111 1112 1113 1114 1115 1116 1117 1118 1119 1120 1121 1122 1123 1124 1125 1126 1127 1128 1129 1130 1131 1132 1133 1134 1135 1136 1137 1138 1139 1140 1141 1142 1143 1144 1145' CITY OF SAN BERNARDINO 19.01.2 Standbv Letter of Credit. As an alternative to the performance bond required by this Section 19.01, at CITY'S option, CONTRACTOR may deposit with CITY an irrevocable standby letter of credit in an amount as set forth in this Contract. If allowed, the standby letter of credit must be issued by an FDIC insured banking institution chartered to do business in the state of California, in the CITY'S name, and be callable at the discretion of the CITY. Nothing in this Section shall, in any way, obligate the CITY to accept a standby letter of credit in lieu of the performance bond. ARTICLE 20. Insurance 20.01 Insurance Policies. CONTRACTOR shall secure and maintain throughout the term of this Contract insurance against claims for injuries to persons or damages to property which may arise from or in connection with CONTRACTOR'S performance of work or services under this Contract. CONTRACTOR'S performance of work or services shall include performance by CONTRACTOR'S employees, agents, representatives and subcontractors. . 20.01.1 be at least this broad: Minimum Scope of Insurance. Insurance coverage shall 20.01.1.1 Insurance Services Office Form No. GL 0002 (Ed. 1/96) covering Comprehensive General Liability and Insurance Services Office Form No. GL 0404 covering Broad Form Comprehensive General Liability; or Insurance Services Office Commercial General Liability coverage ("occurrence" form CG 0001), including X, C, U where applicable. 20.01.1.2 Insurance Services Office Form NO.CA 0001 (Ed. 12/93) covering Automobile Liability, code 1 "any auto", or code 2 "owned autos" and, endorsement CA 0025. Coverage shall also include code 8, "hired autos" and code 9 "non-owned autos". 20.01.2 Workers' Compensation insurance as required by the California Labor Code and Employers Liability Insurance. 20.01.3 Hazardous Waste and Environmental Impairment Liability Insurance. 20.02 Minimum Limits of Insurance. CONTRACTOR shall maintain insurance limits no less than: 20.02.1 Comprehensive General Liability: $3,000,000 combined single limit per occurrence for bodily injury, personal injury and property damage. If Commercial General Liability insurance with a general aggregate limit is used, either the general aggregate limit shall apply separately to this Contract or the general aggregate limit shall be $5,000,000. 20.02.2 Automobile Liability: $3,000,000 combined single limit per accident for bodily injury and property damage. 20.02.3 Workers' Compensation and Employers Liability: Workers' Compensation limits as required by the California Labor Code and Employers Liability limits of $3,000,000 per accident. 20.02.4 Hazardous Waste and Environmental Impairment Liability: $3,000,000 per occurrence. 20.03 Deductibles and Self-Insured Retention. CONTRACTOR shall provide the CITY with a bond equal to the CONTRACTOR'S self-insured retention Page 30 of 66 ~IKT - 1146 1147 1148 1149 1150 1151 1152 1153 1154 1155 1156 1157 1158 1159 1160 1161 1162 1163 1164 1165 1166 1167 1168 1169 1170 1171 1172 1173 1174 1175 1176 1177 1178 1179 1180 1181 1182 1183 1184 1185 1186 1187 1188 1189 \ 1190 1191 ""C ,....-.. .... -~"'~', C--'~'~^'.o,," ...._.__~,~~-" CITY OF SAN BERNARDINO amount guaranteeing payment of losses and related investigations, claim administration and defense expenses in an amount specified by CITY'S Risk Manager. 20.04 Endorsements. The policies are to contain, or be endorsed to contain, the following provisions: 20.04.1 General Liabilitv and Automobile Liabilitv Coveraae. 20.04.1.1 The CITY, its officers, employees, agents and contractors are to be covered as additional insureds as respects: Liability arising out of activities performed by, or on behalf of, CONTRACTOR; premises owned, leased or used by CONTRACTOR; and automobiles owned, leased, hired or borrowed by CONTRACTOR. The coverage shall contain no special limitations on the scope of protection afforded to CITY, its officers, employees, agents and contractors. 20.04.1.2 CONTRACTOR'S insurance coverage shall be primary insurance as respects CITY, its officers, employees, agents and contractors. Any insurance, or self-insurance maintained by CITY, its officers, employees, agents or contractors shall be in excess of CONTRACTOR'S insurance and shall not contribute with it. 20.04.1.3 Any failure to comply with reporting provisions of the policies shall not affect coverage provided to CITY, its officers, employees, agents, or contractors. 20.04.1.4 Coverage shall state that CONTRACTOR'S insurance shall apply separately to each insured against whom claim is made or suit is brought, except with respect to the limits of the insurer's liability. 20.04.2 All Coverage. Each insurance policy required by this Contract shall be endorsed to state that coverage shall not be suspended, voided, canceled, or reduced in limits except after thirty (30) calendar days prior written notice has been given to CITY. 20.05 Acceptabilitv of Insurers. Insurance is to be placed with insurers acceptable to CITY'S Risk Manager. 20.06 Verification of Coverage. CONTRACTOR shall furnish CITY with certificates of insurance and with original endorsements affecting coverage required by this Contract. The certificates and endorsement for each insurance policy are to be signed by a person authorized by that insurer to bind coverage on its behalf. CONTRACTOR shall furnish CITY with a new certificate of insurance and endorsements on each renewal of coverage or change of insurers. 20.06.1 Proof of insurance shall be mailed to the following address or any subsequent address as may be directed in writing by the City Clerk: CITY OF SAN BERNARDINO City Clerk San Bernardino 300 North "0" Street San Bernardino, CA 92418-0001 20.07 Subcontractors. CONTRACTOR shall include all subcontractors as insureds under its policies or shall obtain separate certificates and endorsements for each subcontractor. 20.08 Modification of Insurance Reauirements. The insurance requirements provided in this Contract may be modified or waived by CITY'S Risk Manager, in writing, Page 31 of 66 ~ <~,.<e ',e ~, c<'" CITY OF SAN BERNARDINO 1192 upon the request of CONTRACTOR if the CITY'S Risk Manager determines such 1193 modification or waiver is in the best interest of CITY considering all relevant factors, 1194 including exposure to CITY. 1195 20.09 Riahts of Subroaation. All required insurance policies shall preclude any 1196 underwriter's rights of recovery or subrogation against CITY with the express intention of 1197 the parties being that the required insurance coverage protects both parties as the 1198 primary coverage for any and all losses covered by the above-described insurance. 1199 CONTRACTOR shall ensure that any companies issuing insurance to cover the 1200 requirements contained in this Contract agree that they shall have no recourse against 1201 CITY for payment or assessments in any form on any policy of insurance. The clauses 1202 'Other Insurance Provisions' and 'Insured Duties in the Event of an Occurrence, Claim or 1203 Suit' as it appears in any policy of insurance in which CITY is named as an additional 1204 insured shall not apply to CITY. 1205 ARTICLE 21. Indemnification 1206 21.01 Indemnification. CONTRACTOR shall indemnify and hold harmless 1207 CITY, CITY'S contractors, and the public officials, officers, directors, employees, agents 1208 and other contractors of each of them, from and against any and all claims, costs, losses 1209 and damages (including but not limited to all fees and charges of engineers, architects, 1210 attorneys and other professionals as well as all Court or other dispute resolution costs), 1211 liabilities, expenditures or causes of action of any kind (including negligent, reckless, 1212 willful or intentional acts or omissions of the CONTRACTOR, any subcontractor, any 1213 supplier, any person or organization directly or indirectly employed by any of them to 1214 perform or furnish any services or anyone for whose acts any of them may be liable), 1215 arising from, relative to or caused by the performance of the services, including, but not 1216 limited to any action or proceeding alleging a violation of Article XIID of the California 1217 Constitution (Proposition 218). This indemnity includes but is not limited to claims 1218 attributable to bodily injury, sickness, disease or death and to injury or destruction of 1219 tangible property. CONTRACTOR agrl!!~s, at CONTRACTOR'S expense, after written 1220 notice from the CITY, to defend any action against the CITY that falls within the scope of 1221 this indemnity, or the CITY, at the CITY'S option, may elect not to tender such defense 1222 and may elect instead to secure its own attorneys to defend any such action and the 1223 reasonable costs and expenses of such attorneys incurred in defending such action shall 1224 be payable by CONTRACTOR. Additionally, if CONTRACTOR, after receipt of written 1225 notice from the CITY, fails to make any payment due under this Contract to the CITY, 1226 CONTRACTOR shall pay any reasonable attorneys' fees or costs incurred by the CITY 1227 in securing any such payment from CONTRACTOR. Payment of any amount due 1228 pursuant to the foregoing indemnity shall, after receipt of written notice by 1229 CONTRACTOR from the CITY that such amount is due, be made by CONTRACTOR 1230 prior to the CITY being required to pay same, or in the alternative, the CITY, at the 1231 CITY'S option, may make payment of an amount so due and CONTRACTOR shall 1232 promptly reimburse the CITY for same, together with interest thereon at the rate of 12% 1233 per annum simple interest from the date of receipt by CONTRACTOR of written notice 1234 from the CITY that such payment is due. 1235 21.02 CONTRACTOR agrees to protect and defend CITY with counsel selected 1236 by CONTRACTOR and approved by CITY, to pay all attorneys' fees, and to indemnify 1237 and hold CITY harmless from and against all fines or penalties imposed by the California 1238 Integrated Waste Management Board if the diversion goals specified in California Public 1239 Resources Code Section 41780 as of the date hereof and hereafter throughout are not 1240 met by the CITY with respect to the Materials Collected by CONTRACTOR and if the 1241\ lack in meeting such goals are attributable to the failure of the CONTRACTOR to Page 32 of 66 1242 1243 1244 1245 1246 1247 1248 1249 1250 1251 1252 1253 1254 1255 1256 1257 1258 1259 1260 1261 1262 1263 1264 1265 1266 1267 1268 1269 1270 1271 1272 1273 1274 1275 1276 1277 1278 1279 1280 1281 1282 1283 1284 1285 1286 \ 1287 1288 ~ ~~~m~ ~~~ '''__~_~~~_"_= ," CITY OF SAN BERNARDINO . implement and operate the recycling or diversion programs or undertake the related activities required by this Contract. 21.03 Consideration. It is specifically understood and agreed that the consideration inuring to the CONTRACTOR for the execution of this Contract consists of the promises, payments, covenants, rights and responsibilities contained in this Contract. 21.04 Obliaation. The execution of this Contract by the CONTRACTOR shall obligate the CONTRACTOR to comply with the foregoing indemnification provision; however, the collateral obligation of providing insurance must also be complied with as set forth in this Contract. 21.05 Subcontractors. The CONTRACTOR shall require all subcontractors to enter into a contract containing the provisions set forth in the preceding subsection in which contract the subcontractor fully indemnifies the CITY in accordance with this Contract. 21.06 Exception. Notwithstanding other provisions of this Contract, CONTRACTOR'S obligation to indemnify, hold harmless and defend CITY, its officers and employees shall not extend to any loss, liability, penalty, plain, damage, action or suit arising or resulting from acts or omissions constituting willful misconduct on the part of the CITY its officers or employees. 21.07 Damaae bv CONTRACTOR. If CONTRACTOR'S employees or subcontractors cause any injury, damage or loss to CITY property, including but not limited to CITY streets or curbs, CONTRACTOR shall reimburse CITY for CITY'S cost of repairing such injury, damage or loss. Such reimbursement is not in derogation of any right of CITY to be indemnified by CONTRACTOR for any such injury, damage or loss. With the prior written approval of CITY, CONTRACTOR may repair the damage at CONTRACTOR'S sole cost and expense. ARTICLE 22. Default of Contract 22.01 Termination. The CITY may cancel this Contract, except as otherwise provided below in this Section, by giving the CONTRACTOR thirty (30) calendar days advance written notice, to be served as provided in this Contract, upon the happening of anyone of the following events: 22.01.1 The CONTRACTOR shall take the benefit of any present or future insolvency statute, or shall make a general assignment for the benefit of creditors, or file a voluntary petition in bankruptcy (court) or a petition or answer seeking an arrangement for its reorganization or the readjustment of its indebtedness under the Federal bankruptcy laws or under any other law or statute of the United States or any state thereof, or consent to the appointment of a receiver, trustee or liquidator of all or substantially all of its property; or 22.01.2 By order or decree of a Court, the CONTRACTOR shall be adjudged bankrupt or an order shall be made approving a petition filed by any of its creditors or by any of the stockholders of the CONTRACTOR, seeking its reorganization or the readjustment of its indebtedness under the Federal bankruptcy laws or under any law or statute of the United States or of any state thereof, provided that if any such judgment or order is stayed or vacated within sixty (60) calendar days after the entry thereof, any notice of default shall be and become null, void and of no effect; unless such stayed judgment or order is reinstated in which case, said default shall be deemed immediate; or Page 33 of 66 -..~'- -- ~-y ~ CITY OF SAN BERNARDINO 1289 22.01.2.1 By, or pursuant to, or under the authority of any 1290 legislative act, resolution or rule or any order or decree of any Court or governmental 1291 board, agency or officer having jurisdiction, a receiver, trustee or liquidator shall take 1292 possession or control of all or substantially all of the property of the CONTRACTOR, and 1293 such possession or control shall continue in effect for a period of sixty (60) calendar 1294 days; or 1295 22.01.3 The CONTRACTOR has defaulted, by failing or refusing 1296 to pay in a timely manner the administrative charges or other monies due the CITY and 1297 said default is not cured within thirty (30) calendar days of receipt of written notice by 1298 CITY to do so; or 1299 22.01.4 The CONTRACTOR has defaulted by allowing any final 1300 judgment for the payment of money to stand against it unsatisfied and said default is not 1301 cured within thirty (30) calendar days of receipt of written notice by CITY to do so; or 1302 22.01.5 In the event that the monies due the CITY under Section 1303 22.01.3 above or an unsatisfied final judgment under Section 22.01.4 above is the 1304 subject of a judicial proceeding, the CONTRACTOR shall not be in default if the sum of 1305 money is bonded. All bonds shall be in the form acceptable to the CITY Attorney; or 1306 22.01.6 The CONTRACTOR has defaulted, by failing or refusing 1307 to perform or observe the terms, conditions or covenants in this Contract or any of the 1308 rules and regulations promulgated by the CITY pursuant thereto or has wrongfully failed 1309 or refused to comply with the instructions of the Contract Administrator relative thereto 1310 and said default is not cured within thirty (30) calendar days of receipt of written notice 1311 by the CITY to do so, or if by reason of the nature of such default, the same cannot be 1312 remedied within thirty (30) calendar days following receipt by the CONTRACTOR of 1313 written demand from the CITY to do so, the CONTRACTOR fails to commence the 1314 remedy of such default within said thirty (30) calendar days following such written notice 1315 or having so commenced shall fail thereafter to continue with diligence the curing thereof 1316 (with the CONTRACTOR having the burden of proof to demonstrate (a) that the default 1317 cannot be cured within thirty (30) calendar days, and (b) that it is proceeding with 1318 diligence to cure said default, and such default will be cured within a reasonable period 1319 of time). However, notwithstanding anything contained herein to the contrary, for the 1320 failure of the CONTRACTOR to provide Collection Services for a period of three (3) 1321 consecutive Work Days, the CITY may secure the CONTRACTOR'S records on the 1322 fourth (4th) Work Day in order to provide interim Collection services until such time as 1323 the matter is resolved and the CONTRACTOR is again able to perform pursuant to this 1324 Contract; provided, however, if the CONTRACTOR is unable for any reason or cause to 1325 resume performance at the end of thirty (30) calendar days all liability of the CITY under 1326 this Contract to the CONTRACTOR shall cease and this Contract may be deemed 1327 terminated by the CITY. 1328 22.02 Violations. Notwithstanding the foregoing and as supplemental and 1329 additional means of termination of this Contract under this Article, in the event that the 1330 CONTRACTOR'S record of performance show that the CONTRACTOR has frequently, 1331 regularly or repetitively defaulted in the performance of any of the covenants and 1332 conditions required herein to be kept and performed by the CONTRACTOR, in the 1333 opinion of the CITY and regardless of whether the CONTRACTOR has corrected each 1334 individual condition of default, the CONTRACTOR shall be deemed a "habitual violator", 1335\ shall be deemed to have waived the right to any further notice or grace period to correct, 1336 and all of said defaults shall be considered cumulative and collectively shall constitute a Page 34 of 66 1337 1338 1339 1340 1341 1342 1343 1344 1345 1346 1347 1348 1349 1350 1351 1352 1353 1354 1355 1356 1357 1358 1359 1360 1361 1362 1363 1364 1365 1366 1367 1368 1369 1370 1371 1372 1373 1374 1375 1376 1377 1378 1379 1380 \ 1381 1382 CITY OF SAN BERNARDINO condition of irredeemable default. The CITY shall thereupon issue the CONTRACTOR a final warning citing the circumstances therefore, and any single default by the CONTRACTOR of whatever nature, subsequent to the occurrence of the last of said cumulative defaults, shall be grounds for immediate termination of the Contract. In the event of any such subsequent default, the CITY may terminate this Contract upon giving of written final notice to the CONTRACTOR, such cancellation to be effective upon the date specified in the CITY'S written notice to the CONTRACTOR, and all contractual fees due hereunder plus any and all charges and interest shall be payable to said date, and the CONTRACTOR shall have no further rights hereunder. Immediately upon the specified date in such final notice the CONTRACTOR shall proceed to cease any further performance under this Contract. 22.03 Effective Date. In the event of the aforesaid events specified above, and except as otherwise provided in said subsections, termination shall be effective upon the date specified in the CITY'S written notice to the CONTRACTOR and upon said date this Contract shall be deemed immediately terminated and upon such termination all liability of the CITY under this Contract to the CONTRACTOR shall cease, and the CITY shall have the right to call the performance bond and shall be free to negotiate with other contractors for the operation of the herein specified services. The CONTRACTOR for failure to perform shall reimburse the CITY all direct and indirect costs of providing interim Collection Services. 22.04 Immediate Termination. CITY may terminate this Contract immediately upon written notice to CONTRACTOR in the event CONTRACTOR fails to provide and maintain the performance bond as required by this Contract, CONTRACTOR fails to obtain or maintain insurance policies endorsements as required by this Contract, CONTRACTOR fails to provide the proof of insurance as required by this Contract, or CONTRACTOR offers or gives any gift prohibited by CITY Municipal Code. 22.05 Termination Cumulative. CITY'S right to terminate this Contract is cumulative to any other rights and remedies provided by law or by this Contract. ARTICLE 23. Modifications to the Contract 23.01 Modifications. The CITY shall have the power to make changes in this Contract as the result of changes in law, changes in the City of. San. Bernardino Municipal Code, or both, to impose new rules and regulations on the CONTRACTOR under this Contract relative to the scope and methods of providing Collection Services as shall from time-to-time be necessary and desirable for the public welfare. The CITY shall give the CONTRACTOR notice of any proposed change and an opportunity to be heard concerning those matters. The scope and method of providing Collection Services as referenced herein shall also be liberally construed to include, but is not limited to the manner, procedures, operations and obligations, financial or otherwise, of the CONTRACTOR. 23.01.1 Chance in Law. The CITY and the CONTRACTOR understand and agree that the California Legislature has the authority to make comprehensive changes in Solid Waste Management legislation and that these and other changes in law in the future which mandate certain actions or programs for counties or municipalities may require changes or modifications in some of the terms, conditions or obligations under this Contract. The CONTRACTOR agrees that the terms and provisions of the City of San Bernardino Municipal Code, as it now exists or as it Page 35 of 66 -. CITY OF SAN BERNARDINO 1383 may be amended in the future, shall apply to all of the provisions of this Contract and the 1384 Service Recipients of the CONTRACTOR located within the Service Area. In the event 1385 any future change in the City Code, materially alters the obligations of the 1386 CONTRACTOR, then the affected service rates, as established in Exhibit 1 of this 1387 Contract shall be adjusted. Nothing contained in this Contract shall require any party to 1388 perform any act or function contrary to law. The CITY and CONTRACTOR agree to 1389 enter into good faith negotiations regarding modifications to this Contract which may be 1390 required in order to implement changes in the interest of the public welfare or due to 1391 change in law. When such modifications are made to this Contract, the CITY and the 1392 CONTRACTOR shall negotiate in good faith, a reasonable and appropriate 1393 compensation adjustment for any increase or decrease in the services or other 1394 obligations required of the CONTRACTOR due to any modification in the Contract under 1395 this Article. The CITY and the CONTRACTOR shall not unreasonably withhold 1396 agreement to such compensation adjustment. 1397 ARTICLE 24. Legal Representation 1398 24.01 Acknowledaement. It is acknowledged that each party was, or had the 1399 opportunity to be, represented by counsel in the preparation of and contributed equally 1400 to the terms and conditions of this Contract and, accordingly, the rule that a contract 1401 shall be interpreted strictly against the party preparing the same shall not apply herein 1402 due to the joint contributions of both parties. 1403 ARTICLE 25. Financial Interest 1404 25.01 Reoresentation. CONTRACTOR warrants and represents that no elected 1405 official, officer, agent or employee of the CITY has a financial interest, directly or 1406 indirectly, in this Contract the compensation to be paid under it and, further, that no CITY 1407 employee who acts in the CITY as a "purchasing agent" as defined in the appropriate 1408 Section of California Statutes, nor any elected or appointed officer of the CITY, nor any 1409 spouse or child of such purchasing agent, employee or elected or appointed officer, is a 1410 partner, officer, director or proprietor of the CONTRACTOR and, further, that no such 1411 CITY employee, purchasing agent, CITY elected or appointed officer, or the spouse or 1412 child of any of them, alone or in combination, has a material interest in the 1413 CONTRACTOR. Material interest means direct or indirect ownership of more than five 1414 percent (5%) of the total assets or capital stock of the CONTRACTOR. 1415 ARTICLE 26. Contractor's Personnel 1416 26.01 Personnel Reauirements. The CONTRACTOR shall employ and assign 1417 qualified personnel to perform all services set forth herein. The CONTRACTOR shall be 1418 responsible for ensuring that its employees comply with all applicable laws and 1419 regulations and meet all federal, state and local requirements related to their 1420 employment and position. 1421 26.01.1 The CITY may request the transfer of any employee of the 1422 CONTRACTOR who materially violates any provision hereof, or who is wanton, 1423 negligent, or discourteous in the performance of his duties. 1424\ 26.01.2 CONTRACTOR'S field operations personnel shall be 1425 required to wear a clean uniform shirt bearing the CONTRACTOR'S name. Page 36 of 66 CITY OF SAN BERNARDINO 1426 CONTRACTOR'S employees, who normally come into direct contact with the public, 1427 including drivers, shall bear some means of individual photographic identification such 1428 as a name tag or identification card. 1429 26.01.3 Each driver of a Collection vehicle shall at all times carry a 1430 valid California driver's license and all other required licenses for the type of vehicle that 1431 is being operated. 1432 26.01.4 Each driver of a Collection vehicle shall at all times comply 1433 with all applicable state and federal laws, regulations and requirements. 1434 26.01.5 CONTRACTOR'S employees, officers, and agents shall at 1435 no time be allowed to identify themselves or in any way represent themselves as being 1436 employees of the CITY. 1437 26.01.6 The CONTRACTOR'S name and the Customer Service 1438 telephone number shall be properly displayed on all Collection vehicles. 1439 ARTICLE 27. Exempt Waste 1440 27.01 The CONTRACTOR shall not be required to Collect or dispose of Exempt 1441 Waste, but may offer such services. All such Collection and disposal of Exempt Waste is 1442 not regulated under this Contract, but if provided by the CONTRACTOR shall be in strict 1443 compliance with all federal, state and local laws and regulations. 1444 ARTICLE 28. Independent Contractor 1445 28.01 In the performance of services pursuant to this Contract, CONTRACTOR 1446 shall be an independent contractor and not an officer, agent, servant or employee of 1447 CITY. CONTRACTOR shall have exclusive control of the details of the services and work 1448 performed and over all persons performing such services and work. CONTRACTOR 1449 shall be solely responsible for the acts and omissions of its officers, agents, employees, 1450 contractors and subcontractors, if any. Neither CONTRACTOR nor its officers, 1451 employees, agents, contractors or subcontractors shall obtain any right to retirement 1452 benefits, Workers Compensation benefits, or any other benefits which accrued to CITY 1453 employees and CONTRACTOR expressly waives any claim it may have or acquire to 1454 such benefits. 1455 ARTICLE 29. Laws to Govern 1456 29.01 The law of the State of California shall govern the rights, obligations, 1457 duties and liabilities of CITY and CONTRACTOR under this Contract and shall govern 1458 the interpretation of this Contract. 1459 ARTICLE 30. Consent to Jurisdiction 1460 30.01 The parties agreed that any litigation between CITY and CONTRACTOR 1461 concerning or arising out of this Contract shall be filed and maintained exclusively in the 1462 Municipal or Superior Courts of San Bernardino County, State of California, or in the 1463 United States District Court to the fullest extent permissible by law. Each party consents 1464 to service of process in any manner authorized by California law. Page 37 of 66 -- r -'_..--, T"-.'" :" ,","' 'P ,- ." ", ", "TO' , "'" -- ,- ''''"P~-__ CITY OF SAN BERNARDINO 1465 ARTICLE 31. Assignment 1466 31.01 No assignment of this Contract or any right occurring under this Contract 1467 shall be made in whole or in part by the CONTRACTOR without the express prior written 1468 consent of the CITY. The CITY shall have full discretion to approve or deny, with or 1469 without cause, any proposed or actual assignment by the CONTRACTOR. Any 1470 assignment of this Contract made by the CONTRACTOR without the express written 1471 consent of the CITY shall be null and void and shall be grounds for the CITY to declare a 1472 default of this Contract and immediately terminate this Contract by giving written notice 1473 to the CONTRACTOR, and upon the date of such notice this Contract shall be deemed 1474 immediately terminated, and upon such termination all liability of the CITY under this 1475 Contract to the CONTRACTOR shall cease, and the CITY shall have the right to call the 1476 performance bond and shall be free to negotiate with other contractors, the 1477 CONTRACTOR, or any other person or company for the service which is the subject of 1478 this Contract. In the event of any assignment, the assignee shall fully assume all the 1479 liabilities of the CONTRACTOR. 1480 31.02 The use of a subcontractor to perform services under this Contract shall 1481 not constitute delegation of CONTRACTOR'S duties provided that CONTRACTOR has 1482 received prior written authorization from the Contract Administrator to subcontract such 1483 services and the Contract Administrator has approved a subcontractor who will perform 1484 such services. CONTRACTOR shall be responsible for directing the work of 1485 CONTRACTOR'S subcontractors and any compensation due or payable to 1486 CONTRACTOR'S subcontractor shall be the sole responsibility of CONTRACTOR. The 1487 Contract Administrator shall have the right to require the removal of any approved 1488 subcontractor for reasonable cause. The subcontractors listed in Exhibit 6, which is 1489 attached to and incorporated in this Contract, are hereby approved by the CITY. 1490 ARTICLE 32. Compliance with Laws 1491 32.01 In the performance of this Contract, CONTRACTOR shall comply with all 1492 applicable laws, regulations, ordinances and codes of the federal, state and local 1493 governments, including without limitation the Charter of the City of San Bernardino and 1494 the San Bernardino Municipal Code. 1495 32.02 CITY shall provide written notice to CONTRACTOR of any planned 1496 amendment of the San Bernardino Municipal Code that would substantially affect the 1497 performance of CONTRACTOR'S services pursuant to this Contract. Such notice shall 1498 be provided at least thirty (30) calendar days prior to the City Council's approval of such 1499 an amendment. 1500 ARTICLE 33. Permits and Licenses 1501 33.01 CONTRACTOR shall obtain, at its own expense, all permits and licenses 1502 required by law or ordinance and maintain same in full force and effect throughout the 1503 term of this Contract. CONTRACTOR shall provide proof of such permits, licenses or 1504 approvals and shall demonstrate compliance with the terms and conditions of such 1505 permits, licenses and approvals upon the request of the Contract Administrator. Page 38 of 66 1506 1507 1508 1509 1510 1511 1512 1513 1514 1515 1516 1517 1518 1519 1520 1521 1522 1523 1524 1525 1526 1527 1528 1529 1530 1531 1532 1533 1534 1535 1536 1537 1538 1539 1540 1541 1542 1543 \ 1544 ~_r-~^~ ~_ r " ~ '_r~'~~ ~~O'~~'~~ "", - ~__'~'_'_~'-~'_~_"____"___'~_~ 'CITY OF SAN BERNARDINO ARTICLE 34. Ownership of Written Materials 34.01 All reports, documents, brochures, public education materials, and other written, printed, electronic or photographic materials developed by CITY or CONTRACTOR in connection with the services to be performed under this Contract, whether developed directly or indirectly by CITY or CONTRACTOR shall be and shall remain the property of CITY without limitation or restrictions on the use of such materials by CITY. CONTRACTOR shall not use such materials in connection with any project not connected with this Contract without the prior written consent of the Contract Administrator. This Article 34 does not apply to ideas or concepts described in such materials and do not apply to the format of such materials. ARTICLE 35. Waiver 35.01 Waiver by CITY or CONTRACTOR of any breach for violation of any term covenant or condition of this Contract shall not be deemed to be a waiver of any other term, covenant or condition or any subsequent breach or violation of the same or of any other term, covenant or condition. The subsequent acceptance by CITY of any fee, tax, or any other monies which may become due from CONTRACTOR to CITY shall not be deemed to be a waiver by CITY of any breach for violation of any term, covenant or condition of this Contract. ARTICLE 36. Disclosure of Gifts 36.01 CONTRACTOR represents that CONTRACTOR is familiar with CITY'S disclosure policy for acceptance of any gift by an elected CITY official, CITY officer or designated employee. ARTICLE 37. Point of Contact 37.01 The day-to-day dealings between the CONTRACTOR and the CITY shall be between the CONTRACTOR and the Contract Administrator. ARTICLE 38. Notices 38.01 Except as provided herein, whenever either party desires to give notice to the other, it must be given by written notice addressed to the party for whom it is intended, at the place last specified and to the place for giving of notice in compliance with the provisions of this paragraph. For the present, the parties designate the following as the respective persons and places for giving of notice: As to the CITY: City Administrator or His/Her Designee San Bernardino 300 North "0" Street San Bernardino, CA 92418-0001 Telephone: (909) 384-5122 Fax: (909) 384-5138 As to the CONTRACTOR: Page 39 of 66 CITY OF SAN BERNARDINO 1545 Mr. Cole Burr, President 1546 Burrtec Waste Industries, Inc. 1547 9890 Cherry Avenue 1548 Fontana, CA 92335 1549 Telephone: (909) 429-4200 1550 Fax: (909) 429-4290 1551 38.02 Notices shall be effective when received at the address as specified 1552 above. Changes in the respective address to which such notice is to be directed may be 1553 made by written notice. Facsimile transmission is acceptable notice, effective when 1554 received, however, facsimile transmissions received (Le. printed) after 4:30 p.m. or on 1555 weekends or holidays, will be deemed received on the next business day. The original 1556 of items that are transmitted by facsimile equipment must also be mailed as required 1557 herein. 1558 38.03 Notice by CITY to CONTRACTOR of a Collection or other Service 1559 Recipient problem or complaint may be given to CONTRACTOR orally by telephone at 1560 CONTRACTOR'S local office with confirmation sent to CONTRACTOR through the 1561 Customer Service System by the end of the Work Day. 1562 ARTICLE 39. Transition to Next Contractor 1563 39.01 In the event CONTRACTOR is not awarded a Contract to continue to 1564 provide Collection Services following the expiration or early termination of this Contract, 1565 CONTRACTOR shall cooperate fully with CITY and any subsequent contractors to 1566 assure a smooth transition of services described in this Contract. Such cooperation 1567 shall include but not be limited to transfer of computer data, files and tapes; providing 1568 routing information, route maps, vehicle fleet information, and list of Service Recipients; 1569 providing a complete inventory of all bins; providing adequate labor and equipment to 1570 complete performance of all Collection Services required under this Contract; taking all 1571 actions necessary to transfer ownership of bins, as appropriate, to CITY; including 1572 transporting such containers to a location designated by the Contract Administrator; 1573 coordinating Collection of materials set out in new bins if new bins are provided for a 1574 subsequent Contract and providing other reports and data required by this Contract. 1575 ARTICLE 40. Contractor's Records 1576 40.01 CONTRACTOR shall maintain any and all letters, books of account, 1577 invoices, vouchers, canceled checks, and other records or documents evidencing or 1578 relating to charges for services or expenditures and disbursements charged to Service 1579 Recipients for a minimum period of three (3) years, or for any longer period required by 1580 law, from the date of final payment to CONTRACTOR pursuant to this Contract. 1581 40.02 CONTRACTOR shall maintain all documents and records which 1582 demonstrate performance under this Contract for a minimum period of three (3) years, or 1583 for any longer period required by law, from the date of termination or completion of this 1584 Contract. 1585 40.03 Any records or documents required to be maintained pursuant to this 1586 Contract shall be made available for inspection or audit, at any time during regular 1587' business hours, upon written request by the Contract Administrator, the City Attorney, 1588 City Auditor, City Administrator, or a designated representative of any of these officers. Page 40 of 66 -- -.... -~ CITY OF SAN BERNARDINO 1589 Copies of such documents shall be provided to CITY for inspection at the CITY offices 1590 when it is practical to do so. Otherwise, unless an alternative site is mutually agreed 1591 upon, the records shall be available at CONTRACTOR'S address indicated for receipt of 1592 notices in this Contract. 1593 40.04 Where CITY has reason to believe that such records or documents may 1594 be lost or discarded due to the dissolution, disbandment or termination of 1595 CONTRACTOR'S business, CITY may, by written request or demand of any of the 1596 above named officers, require that custody of the records be given to CITY and that the 1597 records and documents be maintained in City Hall. Access to such records and 1598 documents shall be granted to any party authorized by CONTRACTOR, 1599 CONTRACTOR'S representatives, or CONTRACTOR'S successor-in-interest. 1600 ARTICLE 41. Entire Contract 1601 41.01 This Contract and the Exhibits attached hereto constitute the entire 1602 Contract and understanding between the parties hereto, and it shall not be considered 1603 modified, altered, changed or amended in any respect unless in writing and signed by 1604 the parties hereto. 1605 ARTICLE 42. Severability 1606 42.01 If any provision of this Contract or the application of it to any person or 1607 situation shall to any extent be held invalid or unenforceable, the remainder of this 1608 Contract and the application of such provisions to persons or situations other than those 1609 as to which it shall have been held invalid or unenforceable, shall not be affected, shall 1610 continue in full force and effect, and shall be enforced to the fullest extent permitted by 1611 law. 1612 ARTICLE 43. Right to Require Performance 1613 43.01 The failure of the CITY at any time to require performance by the 1614 CONTRACTOR of any provision hereof shall in no way affect the right of the CITY 1615 thereafter to enforce same. Nor shall waiver by the CITY of any breach of any provision 1616 hereof be taken or held to be a waiver of any succeeding breach of such provision or as 1617 a waiver of any provision itself. 1618 ARTICLE 44. All Prior Contracts Superseded 1619 44.01 This document incorporates and includes all prior negotiations, 1620 correspondence, conversations, Contracts and understandings applicable to the matters 1621 contained in this Contract and the parties agree that there are no commitments, 1622 Contracts or understandings concerning the subject matter of this Contract that are not 1623 contained in this document. Accordingly, it is agreed that no deviation from the terms of 1624 this Contract shall be predicated upon any prior representations or Contracts, whether 1625 oral or written. 1626 ARTICLE 45. Headings 1627 45.01 Headings in this document are for convenience of reference only and are 1628 not to be considered in any interpretation of this Contract. Page 41 of 66 CITY OF SAN BERNARDINO 1629 ARTICLE 46. Exhibits 1630 46.01 Each Exhibit referred to in this Contract forms an essential part of this 1631 Contract. Each such Exhibit is a part of this Contract and each is incorporated by this 1632 reference. 1633 ARTICLE 47. Effective Date 1634 47.01 This Contract shall become effective at such time as it is properly 1635 executed by the CITY and the CONTRACTOR and the CONTRACTOR shall begin 1636 Services, as covered herein, as of July 1, 2005. 1637 IN WITNESS WHEREOF, the CITY and the CONTRACTOR have executed this 1638 Contract on the respective date(s) below each signature. 1639 CITY OF SAN BERNARDINO CONTRACTOR 1640 By: 1641 Judith Vales 1642 Mayor 1643 1644 ATTEST: 1645 Rachel Clark 1646 City Clerk 1647 1648 APPROVED AS TO FORM By: Cole Burr President By: Tracy Burr Secretary 1649 By: 1650 James F. Penman 1651 City Attorney Page 42 of 66 CITY OF SAN BERNARDINO 1652 Exhibit 1 ROLL-OFF COLLECTION SERVICE RATES Payments Due to the City Franchise Transition Payment $8,500,000 Equipment Transition Payment $500,000 Proposal Development Payment $75,000 TOTAL PAYMENTS DUE TO THE CITY BY June 15,2005 $9,075,000 Roll-off Collection Service Rates Container Size: 10 CY, 20 CY, 30 CY, 40 CY, and all compactors Collection Frequency 1X Week 2X Week 3X Week 4X Week 5X Week 6X Week Collection Element $227.20 $454.40 $681.60 $908.80 $1,136.00 $1,363.20 Disposal, Processing, and Green Waste Element The approved per ton Disposal Fee, the approved per ton Processing Fee, or the approved per ton Green Waste Fee multiplied by the actual tonnage collected for disposal, processing, or for use as green waste. Franchise Fee Element 20% of the gross Collection Element and Disposal Element revenue Street Sweeping The amount per account as set by the City of San Bernardino Element Total The total of the Collection, Disposal, Franchise Fee, and Street Sweeping Elements Page 43 of 66 III . ,. CITY OF SAN BERNARDINO Exhibit 1 ROLL-OFF COLLECTION SERVICE RATES Disposal and Processing Fees Per Ton Disposal Fee (through June 30, 2006) $32.92/ton Per Ton Recyclables Processing Fee (through June 30, 2006) $32. 92/ton Per Ton Green Waste Processing Fee (through June 30, 2006) $25.75/ton Miscellaneous Charges Standing Charge No Charge Bin Cleaning No Charge Compactor Repair $35.00 per hour Bin Rental (temporary accounts only) $15 per day after 7 days Emergency Service Rates - Employees labor Position Hourly Rate Supervisor $35.00 laborer $15.00 Equipment Operator $25.00 Emergency Service Rates - Equipment Equipment Type Make and Model Hourly Rate loader Various $125.00 Roll-off Box 10 CY, 20 CY, 30 CY, 40CY Per the Roll-off Collection Services Rate Schedule Page 44 of 66 1653 1654 1655 1656 vIT ~.. ~ _ n~T ~,~" ~ ~ ~"__ CITY OF SAN BERNARDINO Exhibit 2 PERFORMANCE BOND (To be inserted) Page 45 of 66 1657 , ~"~ ,<<<- CITY OF SAN BERNARDINO This page intentionally left blank. Page 46 of 66 _F""O" 1658 1659 1660 -, --0"- ". "T CITY OF SAN BERNARDINO Exhibit 3 CONTAINER SPECIFICATIONS ~ ~ ~ 1. Material to be Collected Garbage (check all that apply) Recyclables Green Waste 2. Manufacturer... ... ... ... 0.. ... ... .. 0 ... ... ... .... 0" 3. Description and Type............................. 4. Material of Construction 5. Recycled Content (percentage).............. 6. Color........... 0..0... .. 0...... .. 0.. 0... ... ........ ... 7. Durability (in service years)... ...... ............ 8. Dimensions Container. (Le., 3' L X 4'W X 2' D) 9. Manufacturer's warranty... ... 0.. .00...000.. 0... Consolidated Fabricators Heavy duty open top roll-ofts 12 gauge/7 gauge floor 85% White years 20 18'LX 8'W X 2' H 18'LX 8'W X 4' H 18'L X 8'W X 6' H 18'L X 8'W X 6% ' H 16'LX S'W x 7W H 1 (10 CY) (20 CY) (30 CY) (40 CY) Compactor Compactor Years Page 47 of 66 ~-<<~lW/< . .,..". . "'" .."."1".... .. .. . .~." CITY OF SAN BERNARDINO 1661 1662 Exhibit 4 COLLECTION VEHICLE SPECIFICATIONS 1. Manufacturer and Model a. Cab and Chassis b. Body c. Engine d. Transmission 2. Number of Vehicles 3. Cab and Chassis: a. Cab Height b. Walk-In Cab c. Number of Axles d. Dual Drive e. Overall Length With Body Mounted 4. Body: a. Type of Body b. Rated Capacity c. Practical or Net Capacity d. No. of Compartments e. Net Capacity of Each Compartment. " f. Overall Body Length 1663 \ 1664 Autocar WX64 WX64 209" WB Amrep Cummins 8.3 Ltr Gas Allison 3500 RDS 5 spd 3 63.0 inches ./ no yes Three Yes ./ no 32.9 inches Roll-Off - Receiving (Amrep) N/A cu. yd. N/A cu. yd. N/A cu. yd. N/A cu. yd. N/A inches Page 48 of 66 ""'<::'rilT"'f"'"' - ~cc'e",C'?' ,.'-',' ~.' ,.. - .. ,,.-'--- -,- - CITY OF SAN BERNARDINO 1665 Exhibit 5 1666 LIST OF APPROVED SUBCONTRACTORS 1667 N/A Page 49 of 66 --~~ ~T~~~o~- ~~>~>> ~,~~~""~">~>".~,,,.~,~~_",,w>, CITY OF SAN BERNARDINO 1668 1669 Exhibit 6 LIST OF CITY ROLL-OFF EQUIPMENT 1670 CITY ROLL.OFFE:QUIPMENT (As of JanuafY1 ,2005) Year and Make Body GVWR 94 White Maxon 51,000 92 White Amrep 51,000 01 Volvo NcNeilus 60,000 01 Volvo NcNeilus 60,000 94 White Hoagbilt 58,000 94 White Amrep 58,000 01 Volvo NcNeilus 60,000 01 Volvo NcNeilus 60,000 89 White Amrep 51,000 89 White Amrep 51,000 90 White Amrep 51,000 CONTAINER Bin Type SIZE Standard Compactor 10 3 -0- 20 7 -0- 30 58 1 40 43 2 1671 1672 Page 50 of 66 " - -.-'" -~-.~__",.",~ __ ~"_.- ____.-_~_~.-.,.-Opj!,,,~,,,~~_.-_"_ "--' CITY OF SAN BERNARDINO 1673 Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type CITY TOWING 530 W10TH ST 1 3 1 T NELSON'S AUTOMOTIVE 543 W10TH ST 1 3 1 T EMP GUERRA, REYNOLDO 244 E 11TH ST 1 3 1 T VALENTINE CONSTRUCTION 3481 20TH ST 1 3 0 T GOODNOW TRUST 3425 E 21ST ST 1 1.5 1 T EMP-NAVARETTE, JESUS 933 W23RD ST 1 1.5 1 T CALIFORNIA REDWOOD PROD. 384 W2ND ST 5 3 1 R VERSAY, INC 702 W2ND ST 1 3 1 T REESE, TOM 839 E 2ND ST 1 2 2 T TOM REESE 1135 E 2ND ST 1 1.5 1 T JOHNS BURGER FOOD BIZARR 1155 W2ND ST 1 3 1 T DENNY CARLSON CONST. 1119 E 39TH ST 1 3 1 T CREEKSIDE VILLAGE APART 495 E 3RD ST 14 3 2 T CREEKSIDE VILLAGE APART 495 E 3RD ST 4 4 2 T PHIL'S DRIVE-IN 835 E 3RD ST 1 3 3 T LURA LUNDQUIST 2372 E 3RD ST 1 3 1 T STOUTS MOBILE CENTER 2414 E 3RD ST 1 3 1 T STOUTS MOBILE CENTER 2414 E 3RD ST 1 3 2 T SAN BERNARDINO R.V. SERV 2414 E 3RD ST 1 3 1 T PRESTIGE STATION #9696 247 E 40TH ST 1 3 3 T WATERMAN SHELL 295 E 40TH ST 1 3 2 T REDO I ROOTER PLUMBING 337 W 40TH ST 1 4 1 T STEVENSON, ERIC 1074 W48TH ST 1 4 1 T HAMPSHIRE INN 607 W 5TH ST 1 4 1 T ROYAL MOTEL 755 W5TH ST 1 4 1 T SCHOOL OF HOPE 796 E 6TH ST 1 6 1 T LANGLEY, CLIFF 765 E 9TH ST 1 3 1 T LAIDLAW TRANSIT INC. 844 E 9TH ST 5 3 1 T NADDOUR BUSINESS PARK 1180 E 9TH ST 2 3 2 T BOB PRINTING SERVICE 1180 E 9TH ST 1 1.5 1 T TRI-TECH 1555 E ALTO DR 1 3 0 T PARK HEIGHTS APARTMENTS 2011 N ARDEN AV 10 3 3 T BAKERS BURGERS INC. #103 2208 N ARDEN AV 1 3 5 T BAKERS BURGERS INC. #103 2208 N ARDEN AV 1 3 2 R 7-11 MARKET #13954 2384 N ARDEN AV 1 3 3 T SOCCER CENTER 112 S ARROWHEAD AV 1 3 1 T NEMO & JACK'S 280 S ARROWHEAD AV 1 3 1 T SOCIAL SECURITY ADMIN. 605 N ARROWHEAD AV 1 3 3 T SOCIAL SECURITY ADMIN. 605 N ARROWHEAD AV 1 3 2 R Page 51 of 66 .."~~~~ -~~_.- ,<" ,~ CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type GENTS ORGANIZATION 1462 ART TOWNSEND DR 1 6 1 T WAYNE WESTFALL, MFG 2345 S ARTESIA ST 1 3 1 T SS AUTOMOTIVE 148 E BASELINE ST 1 3 1 T ALFREDO'S PIZZA 251 E BASELINE ST 3 3 3 T 7-11 MARKET #25041 306 WBASELlNE ST 1 3 3 T AM PM MINI MARKET 794 WBASELlNE ST 1 3 3 T A&HGAS 799 WBASELlNE ST 1 3 1 T CHARLES CAR SALES 961 E BASELINE ST 1 1.5 1 T RAMIREZ, GABRIELLA 1039 E BASELINE ST 1 3 1 T E & L GENERAL REPAIR 1164 E BASELINE ST 1 1.5 1 T PAYNES CORNER 1180 E BASELINE ST 1 3 1 T U-HAUL CENTER SAN BERNAR 1198 E BASELINE ST 1 3 2 T PEPPER TREE FOODS 1355 E BASELINE ST 2 3 2 T PEPPER TREE DISTRIBUTION 1375 E BASELINE ST 1 3 1 T BAKERS BURGER MAl NT, 1411 E BASELINE ST 1 3 2 T NAGLE INC. 1411 E BASELINE ST 1 6 3 T SURE SAVE U.S.A. 1441 E BASELINE ST 2 6 2 T CALVARY CHAPEL 1499 E BASELINE ST 1 3 1 T BASELINE PERSONAL STORAG 1718 WBASELlNE ST 1 3 1 T KNIGHTS OF COLUMBUS 1729 E BASELINE ST 1 4 3 T HOLIDAY TRUCKING 2300 W BASELINE ST 1 3 1 T MR TRACTOR SALES, INC. 2400 W BASELINE ST 1 3 2 T , ROYAL PALMS 2568 BASELINE ST 9 3 2 T ROYAL PALMS 2568 BASELINE ST 2 4 2 T BASELINE RECYCLING 2664 BASELINE ST 1 4 1 T VALLEY PAINT CO. 1152 BOBBETT DR 1 3 1 T DENNY CARLSON CONSTRUCTI 1495 E BONITA VISTA DR 1 3 1 T EVELYN BRIER 893 E BRIER DR 1 3 1 T COMPUTERIZED DIAGNOSTICS 1884 BUSINESS CENTER DR 1 3 1 T BRADEN'S AUTOMOTIVE 2359 CABRERA AV 1 1.5 1 T LIDO MOTEL 2180 CAJON BLVD 1 1.5 1 T CLARKSON, JACK 1456 N CANYON RD 1 3 1 T CONSOLIDATED REPROGRAPHI 250 E CAROLINE ST 1 3 2 T CONSOLIDATED REPROGRAPHI 250 E CAROLINE ST 1 1 LOCK T PORTUGAL AND NEAL 250 E CAROLINE ST 1 3 3 T EMP ALVAREZ, OCTAVIO 1321 N CEDAR ST 1 1.5 1 T ST. MARKS BAPTIST CHURCH 259 E CENTRAL AV 1 1.5 1 T GIFFORD BUSINESS PARK 750 E CENTRAL AV 1 3 2 T GIFFORD BUSINESS PARK 750 E CENTRAL AV 1 3 2 T EXTRA SPACE STORAGE#1007 155 CLUB CENTER DR 1 4 1 T WICKES FURNITURE #235 217 CLUB CENTER DR 1 6 2 T Page 52 of 66 ---~"'-- ~--~--,""--"' ---. CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type PORTUGAL & NEAL 2195 CLUB CENTER DR 1 3 5 T LAYMON CANDY COMPANY, IN 276 E COMMERCIAL RD 1 3 3 T VISTA CONSOLIDATED INC. 1430 COOLEY CT 1 3 1 T D. SALTER CO. 1450 COOLEY CT 1 3 1 T DE BOER, JOHN 1964 E COOLEY DR 1 3 1 T CHM AUTO REPAIR AND SMOG 160 S D ST 1 3 1 T RIVERSIDE BLUEPRINT 200 N D ST 1 3 3 T BELL BROTHERS STEEL 267 S D ST 1 3 1 T PACIFIC PROPERTIES 399 N D ST 1 6 1 T U.S. POST OFFICElDELROSA 1663 DATE ST 2 3 2 T DAVID-RICHARD ELECTRIC 1681 DATE ST 1 1.5 1 T FIRST CHURCH OF GOD 2595 E DATE ST 1 3 1 T J & S CONCRETE 4248 DAVID WAY 1 3 1 T FRANK BOWMAN 4360 DAVID WAY 1 1.5 1 T JON CARLSON 1195 E DAVIDSON ST 1 3 1 T DEL ROSA PLAZA 2376 N DEL ROSA AV 2 3 1 T DEL ROSA HEADSTART 2382 N DEL ROSA AV 1 3 2 T PLAZA DEL ROSA 2601 N DEL ROSA AV 2 3 3 T CIRCLE K STORE #5239 2734 N DEL ROSA AV 1 3 3 T DEL ROSA MOBILE 2742 N DEL ROSA AV 1 3 2 T AM PM MINI MARKET 2885 N DEL ROSA AV 1 3 2 T AM PM MINI MARKET 2885 N DEL ROSA AV 1 3 1 R DEL ROSA SHELL 2886 N DEL ROSA AV 1 3 1 T TRI TECH 3805 N DEL ROSA AV 1 3 0 T MALLORY CONTRUCTION 3895 DEL ROSA AV 1 3 1 T DEL ROSA MARKET 6218 DEL ROSA AV 1 4 2 T VANZIINC. 101 N E ST 1 3 1 T TOWN LODGE 746 N E ST 1 3 1 T BERDO CHOPPER 1092 N E ST 1 3 1 T LARRY AMMONS 1189 N E ST 1 1.5 1 T WESTERN DENTAL SERVICE I 1199 N E ST 1 3 3 T MOTEL 7 1363 N E ST 1 3 2 T ETHAN ALLEN 1363 S E ST 1 6 1 T CIRCLE K #5240 3008 N E ST 1 3 5 T WILLIAMS, DENNIS 3660 N EL CAMINO DR 1 3 1 T STANTON, GERALD 3665 N EL CAMINO DR 1 3 1 T JAMES GIEBELER 3755 N EL CAMINO DR 1 3 0 T SAN MANUEL TRIBAL MAINTE 1482 ENTERPRISE DR 1 3 1 T SAN MANUEL TRIBAL MAINTE 1482 ENTERPRISE DR 1 3 1 R RUIZ JOSE 1589 S FERREE ST 1 1.5 1 T GREEN TREE GARDEN 2618 FLINT WAY 2 3 3 T Page 53 of 66 e;,t,r'.''-- CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type INLAND PACIFIC EQUITY 2689 N FLORES ST 1 3 1 T EUROPEAN AUTO REPAIR 2373 S GARDENA ST 1 3 1 T PAPER EXPRESS 1695 GEORGE WEBSTER DR 1 3 1 T MCLANE SOUTHERN CALlFORN 4472 GEORGIA BLVD 1 3 2 T GIFFORD BUSINESS PARK 765 GIFFORD AV 1 4 2 T GIFFORD BUSINESS PK LLC 770 S GIFFORD AV 1 3 2 T GIFFORD BUSINESS PK LLC 775 GIFFORD AV 1 4 2 T GIFFORD BUSINESS PK LLC 775 GIFFORD AV 1 3 2 T GIFFORD BUSINESS PARK LL 780 GIFFORD AV 1 3 2 T GIFFORD BUSINESS PRK LLC 785 GIFFORD AV 1 3 2 T WEST BAY HOLDINGS 790 S GIFFORD AV 1 3 1 T TSIOUTSIAS, DINO 1276 E GOULD ST 1 3 1 T MOVEMENT REAL ESTATE 1278 E GOULD ST 1 3 1 T SUNSHINE MOTEL 570 N H ST 1 3 2 T COLTON TRUCK & SUPPLY, I 687 S H ST 1 3 2 T INLAND PACIFIC PETROLEUM 3909 HALLMARK PKWY 1 3 1 T INLAND PACIFIC PETROLEUM 3909 HALLMARK PKWY 1 3 1 R HALLMARK SURGICAL CENTER 4130 HALLMARK PKWY 2 3 4 T APPLIED ENERGY MGMT 4560 HALLMARK PKWY 1 3 0 T MC LANE SOUTHERN CALlFOR 4695 HALLMARK PKWY 3 3 5 T UNIVERSITY PARK CHURCH 4835 HALLMARK PKWY 1 3 1 T U STORE IT #517 5185 HALLMARK PKWY 1 3 1 T ESTHER KATRIB 1222 HARDT ST 1 3 1 T GART SPORTS #0641 897 E HARRIMAN PL 1 3 3 T GART SPORTS #0641 897 E HARRIMAN PL 1 1 LOCK T SMITH, DOUG 3734 HEMLOCK DR 1 3 1 T MALLORY CONSTRUCTION 3738 HEMLOCK DR 1 3 1 T NOVAK, KAREL 3011 HERRINGTON AV 1 3 0 T DANIELS EDWIN 458 WHIGHLAND AV 1 1.5 1 T DANIELS EDWIN 458 WHIGHLAND AV 1 1 LOCK T MT VIEW CEMETARY 570 E HIGHLAND AV 2 3 2 T AMERICAN FAMILY DENTAL C 695 WHIGHLAND AV 1 3 1 T CHEVRON AUTO LAB & FUEL 847 WHIGHLAND AV 1 3 2 T U-SAV-MOR STORES 908 WHIGHLAND AV 1 3 3 T ARCO 995 WHIGHLAND AV 1 4 2 T ARCO 995 WHIGHLAND AV 1 3 2 R GOLDEN GAS & MARKET 1198 E HIGHLAND AV 1 1.5 1 T MING CHI CHENG 1200 E HIGHLAND AV 1 3 2 T DAYS INN 1386 E HIGHLAND AV 1 3 3 T \ TRAIL-R-TOWN 1534 WHIGHLAND AV 1 3 1 T DEL ROSA PLAZA 1645 E HIGHLAND AV 2 3 3 T Page 54 of 66 ~k'~ ~c-~ _~~ ~ - ~ 'n' e. ~~ ~ 0 _"u__ on ---~ CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type HIGHLAND LUMBER CO 1680 WHIGHLAND AV 1 3 1 T EL RANCHO MEXICAN RESTAU 1734 E HIGHLAND AV 1 4 1 T EL RANCHO MEXICAN RESTAU 1734 E HIGHLAND AV 1 1 LOCK T RELAX INN 1790 E HIGHLAND AV 1 3 2 T WEST HIGHLAND DOG & CAT 1795 WHIGHLAND AV 1 3 1 T NAPA SMOG PLUS 1900 E HIGHLAND AV 1 1.5 2 T ROCKY MARKET 2005 E HIGHLAND AV 1 3 1 T KENTUCKY FRIED CHICKEN # 2007 E HIGHLAND AV 1 3 5 T STERLING PLAZA 2025 E HIGHLAND AV 1 3 3 T STERLING PLAZA 2025 E HIGHLAND AV 1 3 5 T STERLING PLAZA 2025 E HIGHLAND AV 1 3 3 T STERLING PLAZA 2025 E HIGHLAND AV 1 3 1 T PRESTIGE STATION #9697 2087 W HIGHLAND AV 1 3 2 T BLOCKBUSTER VIDEO #06302 2094 E HIGHLAND AV 1 4 1 T DAVIS, DORIS 2115 WHIGHLAND AV 1 3 1 T M & S DEVELOPMENT 2175 E HIGHLAND AV 2 3 2 T M & S DEVELOPMENT 2185 E HIGHLAND AV 1 3 1 T DANNY'S TOWING 2305 WHIGHLAND AV 1 3 1 _ T VULCAN MATERIALS 2350 WHIGHLAND AV 1 3 1 T CAL MAT 2400 W HIGHLAND AV 4 3 1 T HIGHLAND TEXACO 2402 E HIGHLAND AV 1 3 1 T HIGHLAND TEXACO 2402 E HIGHLAND AV 1 3 1 R TWO GUYS ITALIAN RESTAUR 2566 E HIGHLAND AV 1 3 4 T IHOP 2575 E HIGHLAND AV 1 4 2 T FIESTA HILLS M.H.P. 2692 E HIGHLAND AV 6 3 2 T CIRCLE K STORE #5242 3405 E HIGHLAND AV 1 3 4 T HIGHLAND MOBIL SERVICE 3588 E HIGHLAND AV 1 3 2 T CUCA'S MEXICAN FOOD 3644 E HIGHLAND AV 1 3 4 T CUCA'S MEXICAN FOOD 3644 E HIGHLAND AV 1 3 2 R DEL TACO #241 3702 E HIGHLAND AV 1 3 3 T PLUS 1 PERFORMANCE TIRE 3704 E HIGHLAND AV 1 3 1 T PLUS 1 PERFORMANCE TIRE 3704 E HIGHLAND AV 1 3 1 R EAST HIGHLAND ~AR WASH 3706 E HIGHLAND AV 1 3 2 T EAST HIGHLAND AUTO TECH 3708 E HIGHLAND AV 1 3 1 T HIGHLAND & BOULDER PARTN 4000 E HIGHLAND AV 1 3 5 T HIGHLAND & BOULDER PARTN 4000 E HIGHLAND AV 2 4 6 T HIGHLAND & BOULDER PARTN 4000 E HIGHLAND AV 2 4 6 T APPLEBEE'S #057021 4070 E HIGHLAND AV 1 3 4 T APPLEBEE'S #057021 4070 E HIGHLAND AV 1 3 1 R \ CITIBANK (WEST) 4120 E HIGHLAND AV 1 3 1 T BURGER KING 4150 E HIGHLAND AV 1 3 4 T Page 55 of 66 -~^. - - ^ CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type BURGER KING 4150 E HIGHLAND AV 1 3 2 R EL TORITO #0146 118 HOSPITALITY LN 2 3 4 T LA QUINTA INN 205 HOSPITALITY LN 1 4 3 T SUPER 8 225 HOSPITALITY LN 1 3 2 T CRABBY BOB'S 239 HOSPITALITY LN 2 3 3 T SUPER 8 MOTEL 294 HOSPITALITY LN 1 6 2 T OFFICE DEPOT #842 675 HOSPITALITY LN 1 3 4 T LA PETITE #151119 855 HOSPITALITY LN 1 4 2 T SCHINDLER REALTY 184 HUNTS LN 5 3 2 T SPORT TRAILERS 271 S I ST 1 3 1 T HOLCOMB PUBLISHING CO. 345 N I ST 1 3 1 T BEAR TRUCKING 606 INDUSTRIAL RD 1 3 1 T PACIFIC BUILDING GROUP 5425 INDUSTRIAl,. PKWY 1 3 1 T DEMAG CRANES & COMPONENT 5435 INDUSTRIAL PKWY 1 4 1 T PIPE JACKING UNLIMITED 5486 INDUSTRIAL PKWY 1 3 1 T HAYES 5486 INDUSTRIAL PKWY 1 3 1 T ATCO 2000 INC. 5486 INDUSTRIAL PKWY 1 3 1 T MIKE LONDON 580 INLAND CENTER DR 1 3 2 T MALLORY CONSTRUCTION 3660 JUNIPER DR 1 3 1 T RITE AID #5711 949 KENDALL DR 1 3 6 T BLOCKBUSTER VIDEO #06282 959 KENDALL DR 1 3 1 T MET TEXACO STATION 1030 KENDALL DR 1 1.5 1 T ARCHER TRUCKING INC. 1950 KENDALL DR 1 3 1 T KENDALL PARK APARTMENTS 2490 KENDALL DR 2 3 2 T KENDALL PARK APARTMENTS 2490 KENDALL DR 2 4 2 T AAA CONCEPTS &TECHNOLOGY 3685 LA HACIENDA DR 1 3 1 T SUELZLE PATTY 1185 E LEE ST 1 1.5 1 T EVELYN MERRYMAN 1249 E LEE ST 1 3 1 T SCHNEIDER NAT'L #460072 294 S LELAND NORTON WAY 1 3 1 T TRINITY FULL GOSPEL CHUR 235 LENA RD 1 1.5 1 T LOS ANGELES TIMES 624 S LINCOLN AV 2 3 3 T PETRUS MINI MART 3225 LITTLE LEAGUE DR 1 4 4 T PETRUS MINI MART 3225 LITTLE LEAGUE DR 1 3 2 R SHANDIN HILLS GOLF COURS 3380 N LITTLE MOUNTAIN DR 1 3 2 R HUNT, LA ROSA 1157 N LUGO AV 1 3 1 T COPPER CANYON APTS 1525 E L YNWOOD DR 1 3 4 T THE CHURCH IN SAN BDNO 1900 E L YNWOOD DR 1 3 1 T SBNO TEACHERS' ASSOCIATI 1997 E MARSHALL BLVD 1 1.5 1 T SBNO TEACHERS' ASSOCIATI 1997 E MARSHALL BLVD 1 1.5 1 R ASSURED MINI STORAGE 1877 N MASSACHUSETTS AV 1 3 1 T PATTERSON, LEE 3773 MEYERS RD 1 3 1 T F:'age 56 of 66 'c'c. ,- -, '.." ,,-.- "~'e;rr--''''.'F''''?'?::'''''~''''''."''--..2=''''-----' ." .., - CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type BROWN, MARIBEL & KEVIN 4045 MEYERS RD 1 3 1 T GARY BRANDT 4119 MEYERS RD 1 1.5 1 T WEST COAST COLLISION 179 WMILL ST 1 3 2 T IDEALEASE 265 WMILL ST 1 3 2 T U.S.A. CHECK CASHIERS 310 WMILL ST 1 1.5 1 T MILL STREET AUTO BODY 595 E MILL ST 1 3 1 T N & N AUTO REPAIR 595 E MILL ST 1 1.5 1 T YUM YUM DONUTS #48 908 WMILL ST 1 3 2 T HASAN, NADIM 2100 WMILL ST 1 3 4 T UNITED CABINETS CO. 1510 S MOUNTAIN VIEW AV 1 6 1 T HYDRO-SCAPE PRODUCTS 1548 S MOUNTAIN VIEW AV 1 4 3 T HYDRO-SCAPE PRODUCTS 1548 S MOUNTAIN VIEW AV 1 3 2 R JOE ITONAGA 1578 S MOUNTAIN VIEW AV 1 3 1 T TOTALLY KIDS 1720 S MOUNTAIN VIEW AV 1 3 3 T TOTALLY KIDS 1720 S MOUNTAIN VIEW AV 3 3 2 R VICTORIA SDA CHURCH 1860 S MOUNTAIN VIEW AV 1 3 1 T MOBIL STATION 1880 S MOUNTAIN VIEW AV 2 3 1 T DON DEVLIN 3762 N MOUNTAIN VIEW AV 1 1.5 1 T DON DEVLIN 3762 N MOUNTAIN VIEW AV 1 0.1 1 T KEENAN'S ROCKET 106 N MT VERNON AV 1 1.5 1 T LASALLE MEDICAL ASSOC. 565 N MT VERNON AV 1 3 3 T DALKE & SON CONSTRUCTION 701 S MT VERNON AV 1 3 1 T YOUR MARKET CENTER 739 N MT VERNON AV 1 3 4 T P & K LIQUOR 1101 N MTVERNON AV 1 3 1 T OASIS MOTEL 1488 N MT VERNON AV 1 3 1 T MOJAVE MOTEL 1495 N MT VERNON AV 1 3 1 T SHARENE MOTEL 2036 N MT VERNON AV 1 1.5 1 T FACILITY MANAGEMENT 364 N MT VIEW AV 1 3 1 T CLAYTON KAUTZMAN 2194 NEWCOMB ST 1 3 1 T FINLEY, JIM 4020 NEWMARK AV 1 1.5 1 T LEPE V.JAVIER 365 E NORMAN RD 1 1.5 1 T PEREZ, REFUGIO 604 E NORMAN RD 1 4 1 T RAOULCHACONJR. 986 E NORMAN RD 1 3 1 T EXPRESS MARKET 304 NORTHPARK BLVD 1 3 1 T SHERMAN PLUMBING 929 W OAK ST 1 3 1 T AMERIPRIDE 960 WOAK ST 1 3 2 T ARROWHEAD BOTTLED WATER 6005 OLD WATERMAN C RD 1 3 1 T SPORTSMAN CLUB 5092 N ORANGE DR 1 1.5 1 T ALL-AROUND SECURITY SYST 5093 N ORANGE DR 1 1.5 1 T ORANGE SHOW SHELL 505 W ORANGE SHOW RD 1 3 2 T \ ORANGE SHOW FOOD MART 520 E ORANGE SHOW RD 1 3 1 T Page 57 of 66 H~CO' . - '.' ~. ...... ..."..... <<".7." ....0.._ CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type CST ORGANIC RECYCLING 593 E ORANGE SHOW RD 1 3 2 T MOTEL 6 #0488 1960 OSTREMS WAY 2 3 3 T TACO STEVE, INC 1990 OSTREMS WAY 1 4 3 T QUALITY INN 2000 OSTREMS WAY 1 4 2 T CHURCH OF JESUS CHRIST 0 1244 PACIFIC ST 1 3 1 T ASA LEARNING CENTER 2050 PACIFIC ST 1 4 2 T DENNY'S #6606 5975 PALM AV 1 4 4 T CIRCLE K # 5249 105 S PEPPER AV 1 3 2 T CIRCLE K # 5249 105 S PEPPER AV 1 3 1 R CANELLOPOULOS, NICK 1873 PUMALO ST 1 3 2 T MALLORY CONSTRUCTION 4303 QUAIL CANYON RD 1 3 1 T A & R TRANSPORT 194 N RANCHO AV 1 4 2 T AMAZON ENVIRONMENTAL 300 S RANCHO AV 1 3 1 T MOTEL 6 #0246 111 E REDLANDS BLVD 2 3 3 T TACO BELL #3866 258 E REDLANDS BLVD 1 3 3 T AM-PM MINI MART #714 305 E REDLANDS BLVD 1 3 4 T AM-PM MINI MART #714 305 E REDLANDS BLVD 1 3 3 R HOSPITALITY CAR WASH 685 E REDLANDS BLVD 1 4 2 T PARKER JAY 1129WRESERVOIR ST 1 3 1 T INLAND PACIFIC EQUITY 144 E RIAL TO AV 1 3 1 T AFFATITTI CONSTRUCTION 655 W RIAL TO AV 3 3 1 T MERIT OIL COMPANY 1405 WRIALTO AV 1 3 1 T QUICKIE ARCO AM/PM 2898 W RIAL TO AV 1 3 2 T CORNERSTONE ASSEMBLY OF 1325 RICHARDSON ST 1 3 1 T CANAM WOOD PRODUCTS 1410 RICHARDSON ST 1 3 2 T AMERICAN INN 1235 E ROSEWOOD DR 1 4 2 T L1BRADO MARTINEZ 1769 E SAN BERNARDINO AV 1 1.5 1 T EDWARD SERRANO 1854 E SAN BERNARDINO AV 1 3 1 T VALLEY VISTA TRAILER PAR 1995 E SAN BERNARDINO AV 1 6 1 T WHIPPLE, MICHAEL 670 E SANTA FE ST 1 3 1 T SHAVER AUTO CENTER, INC 770 SHOWCASE DR 3 4 4 T ROSS MACHINE AND MANUFAC 455 S SIERRA WAY 1 1.5 1 T LE RENDEZ-VOUS 4775 N SIERRA WAY 1 3 2 T DENNY CARLSON CONSTRUCTI 1403 E SONORA ST 1 3 1 T DENNY CARLSON CONSTRUCTI 1492 E SONORA ST 1 3 1 T AQUINAS HIGH SCHOOL 2772 N STERLING AV 5 3 2 T AQUINAS HIGH SCHOOL 2772 N STERLING AV 1 3 1 R AMERICAN MEDICAL DEVICES 287 S STODDARD AV 1 1.5 1 T GONZALEZ, PORFIRIO 861 S SUNNYSIDE AV 1 3 1 T GLASGOW, ELROY 2025E SUNRISE LN 1 1.5 1 T METROPOLITAN AUTOMOTIVE 535 TENNIS COURT LN 2 3 5 T Page 58 of 66 ,"'~- ~""PP'~~"C~ ..~ ,...",., T~ .CITY OF SAN BERNARDINO Exhibit 7 LIST OF COMMERCIAL BIN SERVICE UNITS Name Address Qty Size Freq Type OL TMANS CONSTRUCTION 300 S TIPPECANOE AV 1 3 1 T GAGE CANAL COMPANY 1271 S TIPPECANOE AV 1 3 1 T DE VOLL'S LIQUOR 1705 S TIPPECANOE AV 1 6 1 T ARCO 1945 S TIPPECANOE AV 1 3 2 T ARCO 1945 S TIPPECANOE AV 1 3 1 R AM PM MARKET #5406 3890 UNIVERSITY PKWY 1 3 4 T AM PM MARKET #5406 3890 UNIVERSITY PKWY 1 3 3 R RALPHS MARKETS #753 4444 UNIVERSITY PKWY 1 3 5 T RALPHS COMMON AREA #753( 4594 UNIVERSITY PKWY 1 3 1 T PERERA CONSTRUCTION 5500 UNIVERSITY PKWY 1 4 1 T NEFF RENTAL 222 E VALLEY ST 2 3 1 T EWING IRRIGATION PRODUCT 1560 E VICTORIA AV 1 3 1 T MORRISON ENGINEERING CO. 1570 E VICTORIA AV 1 3 1 T ROBLES, ANDY 1924 E VICTORIA AV 1 1.5 1 T CIRCLE K STORE #8641 295 N WATERMAN AV 1 4 4 T AAMCO TRANSMISSION 365 N WATERMAN AV 1 1.5 1 T AUTOMART RADIATOR 404 N WATERMAN AV 1 3 1 T SUPER BURRITO 449 N WATERMAN AV 1 2 2 T JIMMY'S LIQUOR 489 N WATERMAN AV 1 3 1 T ARROW AUTO AIR & TRANSMI 501 S WATERMAN AV 1 3 1 T CARPET MASTERS 649 S WATERMAN AV 1 6 1 T FRANK'S WHOLESALE MEATS 651 N WATERMAN AV 1 3 1 T PENCO BUILDERS, INC. 680 S WATERMAN AV 1 3 1 T DAVID DONOVAN 711 S WATERMAN AV 1 6 1 T ROMERO'S FOOD PRODUCTS 993 S WATERMAN AV 1 3 1 T GABRIEL CORONEL 1105 N WATERMAN AV 1 1.5 1 T FRANK'S FENCE & SUPPLY C 1145 S WATERMAN AV 1 1.5 1 T VERIZON/GTE 1251 S WATERMAN AV 1 3 1 T S.B. GOLF CLUB 1494 S WATERMAN AV 4 4 2 T E. Z. 8 MOTEL, INC. 1750 S WATERMAN AV 2 3 4 T DR. H.J. DE JAGER 1850 S WATERMAN AV 1 4 1 T SHELL STATION 1930 S WATERMAN AV 1 3 2 T HILTON UNION-76 1950 S WATERMAN AV 1 4 1 T HILTON UNION-76 1950 S WATERMAN AV 1 1 LOCK T PORTUGAL & NEAL 2160 S WATERMAN AV 1 3 3 T 1674 1675 Page 59 of 66 --~rrrN"'?""""';;;""""""""";; .~ -rrr~1If -~~~,,~"..". . ~;."" ".~;~ I CITY OF SAN BERNARDINO Exhibit 7 LIST OF ROLL-OFF SERVICE UNITS Company Address Qty HOME LUMBER 595 W ORANGE SHOW RD' 1 INLAND ACOUSTICS & INSUL 323 S SIERRA WAY 1 BARON POOL PLASTERING (0 495 INDUSTRIAL RD 1 JSP INTERNATIONAL, INC. 4062 ' GEORGIA BLVD 1 JSP INTERNATIONAL, INC. 4062 GEORGIA BLVD 1 MT VIEW CEMETARY 570 E HIGHLAND AV 2 WINEGARDNER MASONARY INC 4TH & E STREET ST 1 JACK'S RECYCLING 5455 INDUSTRIAL PKWY 1 CAL STATE UNIVERSITY 5500 UNIVERSITY PKWY 2 CAL STATE UNIVERSITY 5500 UNIVERSITY PKWY 2 CAL STATE UNIVERSITY 5500 UNIVERSITY PKWY 1 CAL STATE UNIVERSITY 5500 UNIVERSITY PKWY 1 ROSS STORE #284 4080 E HIGHLAND AV 1 C.K MANUFACTURING/CIRCUI 248 S SIERRA WAY 1 PETRUS GROUP, INC. 3225 LITTLE LEAGUE DR 1 WEEZER WEEZER 1908 MEDICAL CENTER DR 1 GATE CITY BEVERAGE DISTR 2505 STEELE RD 1 GATE CITY BEVERAGE DISTR 520 INDUSTRIAL RD 2 JENCO PRODUCTIONS, INC. 401 S J ST 1 QUIEL BROTHERS 272 S I ST 1 RIVERSIDE TOWING 638 E CAROLINE ST 1 MCLANE 4472 GEORGIA BLVD 1 ALEXANDRA FUENTES 940 W EVANS ST 1 BARR LUMBER 111 E MILL ST 2 CALIFORNIA REDWOOD PROD. 384 W 2ND ST 1 CALIFORNIA REDWOOD PROD. 384 W 2ND ST 1 SAINT ELIAS CHURCH 1035 INLAND CENTER DR 1 NATIONS WASTE 1050 KENDALL DR 1 VASQUEZ ENRIQUE 1504 MEDICAL CENTER DR 1 CHIEF AUTO PARTS #5629 1722 E HIGHLAND AV '1 MIKEN COMPANY 285 HOSPITALITY LN 1 AQUINO, JOSE 1937 W HIGHLAND AV 1 J & K CONSTRUCTION 2727 PACIFIC ST 1 WILLIAMS, GARRICK 753 ORANGE SHOW RD 1 READY RESERVE FOODS 1483 GAGE ST 1 WINEGARDNER MASONARY 5500 UNIVERSITY PKWY 1 PRECISION CONSTRUCTION 1379 N LUGO AV 1 HARRIS, RAYMOND 1373 W MARSHALL BLVD 1 PACIFIC RAILROAD SALVAGE 1300 W MILL ST 1 MORRISON HOPE ROOFING 408 S ARROWHEAD AV 1 MARTIN, ROBERT 3964 N SIERRA WAY 1 Page 60 of 66 ~~c~.-Crf:":-"':E:~~~-:;~=:~' :'",'F;'~; v ~7 ~ n' 'f ~ ~.,....," ._ . ~"~~_"' ~~ OO~~'~.'~ '.~' '-. '" ."~~ '~".' '" ~ - CITY OF SAN BERNARDINO Exhibit 7 LIST OF ROLL-OFF SERVICE UNITS Company Address Qty A.J. ROOFING 450 S E ST 1 SPINIELLO COMPANY 6611 DEVILS CANYON RD 1 CONTINENTAL INTERIOR SER 2116 E HIGHLAND AV 1 CHAPARRAL MOTOR SPORTS 544 S CRESCENT AV 1 CHAPARRAL MOTOR SPORTS 895 W MILL ST 1 CHAPARRAL MOTOR SPORTS 639 CRESCENT AV 1 SAN BERNARDINO COMMUNITY 1805 MEDICAL CENTER DR 1 S.B. COMM. CONVELESCENT 1676 MEDICAL CENTER DR 1 TARGET STORE #T-0188 499 ORANGE SHOW RD 1 KASHANI, JOSEPH 395 N E ST 1 AMERIPRIDE 960 W OAK ST 1 AMERIPRIDE 960 W OAK ST 1 AMERIPRIDE 960 W OAK ST 1 RUIZ, TONY 255 E KINGMAN ST 1 INLAND PREMIUM PACKERS 685 S I ST 1 VULCAN 2400 W HIGHLAND AV 2 VULCAN 2400 W HIGHLAND AV 1 BFI NASC STAPLES #119 217 E CAROLINE ST 1 SAN MANUEL TRIBAL M.-210 466 ENTERPRISE AV 1 JENCO 131 S I ST 1 REZEK EQUIPMENT ENGINEER 970 REECE ST 1 CALIFORNIA STEEL SERVICE 1212 S MOUNTAIN VIEW AV 1 LA MESA RV. CENTER,INC 101 E REDLANDS BLVD 1 Page 61 of 66 "'~<i , .~,,,,,' """I'" '," . ""-,~,._._,, "T' CITY OF SAN BERNARDINO 1676 This page intentionally left blank. " Page 62 of 66 ~,o .._- ."~.. . ,. CITY OF SAN BERNARDINO 1677 Exhibit 8 LIST OF RESIDENTIAL SERVICE UNITS Name Address GUZMAN, MARIA GUADALUPE 2022 E 17TH ST RIOS, JUANA 2023 E 17TH ST ROSSI, CLINT 2036 E 17TH ST DUENAS, JOSE 2037 E 17TH ST AKHTER, PERV AIZ 2049 E 17TH ST ELLIOTT, MARIKO 2061 E 17TH ST MURRAY, HAROLD 2072 E 17TH ST BALTIERRA, RUBEN 2073 E 17TH ST MCWILLIAMS, JAMES 2082 E 17TH ST BROWN, NELSON 2083 E 17TH ST KRELL, RONALD 2095 E 17TH ST RINGL, ROBIN 2212 E 17TH ST HOLLIS, REGINALD 2222 E 17TH ST CALDWELL, DANIEL 2027 E 18TH ST SHIFLET, LARRY 2060 E 18TH ST YOUNG, DONALD 2072 E 18TH ST HODGE, STANLEY 2105 E 18TH ST STERLING, JIMMY 2123 E 18TH ST PEREZ, DOLORES 2158 E 18TH ST ERICSON, R. 2159 E 18TH ST ROMANS, PAUL 2201 E 18TH ST PINON, MARIE 2202 E 18TH ST NIEMIEC, GREG 2211 E 18TH ST SULLIVAN, ESTER 2221 E 18TH ST KNOX, ROBERT 2242 E 18TH ST KAMMER, JACK 2262 E 18TH ST TAMAN, LILIA 2271 E 18TH ST JOHNSON, DOLL Y 2301 E 18TH ST CORTEZ, KATHERINE 2311 E 18TH ST ORONA, RAYMOND 2322 E 18TH ST BOGGS, JERRY 2331 E 18TH ST PEREZ, VICTOR 2352 E 18TH ST CAMPBELL, FRED 840 E 2ND ST CAMPBELL, FRED 844 E 2ND ST STEVENS, CLIFF 895 E 2ND ST FLORES, JOE 918 E 2ND ST SAUCEDA, JAMES 305 E 39TH ST GARDNER, EDWARD 395 E 39TH ST COLE, A.J. 399 E 39TH ST Page 63 of 66 1 ~~~'u, ," "~'q',,'",''''''' CITY OF SAN BERNARDINO Exhibit 8 LIST OF RESIDENTIAL SERVICE UNITS Name Address BOYD,E. ,1211 E 39TH ST HELLRICH, OSCAR 1215 E 39TH ST LLOYD, WILLIAM 1233 E 39TH ST BOYD,RUTH 1243 E 39TH ST COBB, BILLY 1301 E 39TH ST LEE CRAWFORD 1121 E 3RD ST WILLIAMSON, WANDA 1133 E 3RD ST MISKEN, KAY 612 W 40TH ST WEENING, SHERRY 404 E 6TH ST APOLLO STEEL INC, 755 E 9TH ST SMITH, D, 2579 AMANDA ST GARRISON, DOROTHY 2589 AMANDA ST BERRIOS, MANUEL 2627 AMANDA ST MEIKLE, ROBERT 1622 N ARDEN AV RADTKE, ROBERT 1658 N ARDEN AV MAVITY, LUCY 1676 N ARDEN AV MC KAY, RICHARD 1728 N ARDEN AV SCHULER, NATHANIEL 1750 N ARDEN AV BAUTISTA, LARRY 1772 N ARDEN AV PHAM, KIEN 1794 N ARDEN AV FOSTER, GEORGE 1704 N ARGYLE AV FRAZIER, MARY 1758 N ARGYLE AV OROPEZA, SOLEDAD 962 BENEDICT RD HANGA, TRAIAN 1093 BENEDICT RD RICHARD SARABIA 1094 BENEDICT RD RICHARD SARABIA 1094 BENEDICT RD MORON, TERESA 1120 BENEDICT RD TIBBS, JANICE 1417 BLYTHE AV MARAK, TROY 1443 BLYTHE AV KRENZ, K, 1483 BLYTHE AV ROUDEBUSH, NAOMI 3234 BONNIE ST ANDERSON, DONALD 2532 BYRON ST PEDROZA, L. 2542 BYRON ST SMITH, DIANNA 2566 BYRON ST LA FOUNTAIN, E.C, 2588 BYRON ST THOMAS, AMBER 2609 BYRON ST BAZNER, JAMES 2610 BYRON ST COBOS, MARTHA 2619 BYRON ST TOWNSEND, FREDERICK 2622 BYRON ' ST BUCHANAN, MYRTLE 2637 BYRON ST MC CALL, BOB 2644 BYRON ST Page 64 of 66 _~ ~~c CITY OF SAN BERNARDINO Exhibit 8 LIST OF RESIDENTIAL SERVICE UNITS Name SMITH, SUSAN 1376 STEWART, CLAUDE 1261 PATTERSON, CHARLES 1330 LUNA-JOANIS, NORMA 1335 TOMATIS, ANDRE 1481 ZEABIN, JIM 1295 ALVAREZ,OCTAVIO 1317 THOMPSON, RICHARD 834 SWANSON, NORMAN 1072 LOPEZ, FELlMON 1095 BETZLER, VELMA 1105 RHODES, MARGARET 1116 RODRIGUEZ, MANUEL 1142 MC NETT, EVERETT 1156 TRACY, JIM 1604 MIYASHIRO, ARTHUR 1640 JENSEN, CHARLES 1695 IMBOTT JR., JAMES A 1735 BULLOCK, PATRICK 1765 CASARES, LUIS 1795 BENNETT, HAROLD 1430 GOODREAU, JOHN 1431 DRAKE, BONITA 1442 CARROLL, JOHN 1443 TOKAR, MARIE 1456 KING, MICHAEL 1483 GANN, JUDD 1494 CABRERA, HAROLD 1504 FALLON, TOM 1516 GREGORY, PAMELA 1517 HUTTER, LAURA 1582 ENGLISH, CHARLES 1583 ARMENDAREZ, CAROLINA D. 6237 ROBLEDO, RICHARD 6257 SEDIVY POWELL, MARILYN 1623 CLEVELAND, HELEN 135 NEGRETE, AGUSTIN 1424 SIMANEK, THOMAS 1434 EDWARDS, JOHN 1444 HAMILTON, LAWRENCE 1454 WELCH, GLORIA 1464 Address N CABLE CANYON RD CANYON RD CANYON RD CANYON RD CANYON RD CEDAR ST CEDAR ST CLEVENGER DR CONEJO DR CONEJO DR CONEJO DR CONEJO DR CONEJO DR CONEJO DR DUMBARTON AV DUMBARTON AV DUMBARTON AV DUMBARTON AV DUMBARTON AV DUMBARTON AV EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR EUCALYPTUS DR HUDSON AV LENA DR LYNWOOD WAY L YNWOOD WAY L YNWOOD WAY LYNWOOD WAY LYNWOOD WAY N S Page 65 of 66 """T"M-'" "T'''''~'''~'''''< """--~-T ""f CITY OF SAN BERNARDINO ~~"",~"""_"-"'..",,,,~-,,,,' Exhibit 8 LIST OF RESIDENTIAL SERVICE UNITS Name MESA, JOE 1504 PHOL, SONG 1518 ROESCH, AHNAZOSIA&JACOB 5878 BAUTISA, LYDIA 1640 GOVEA, MARIA ELSA 1641 HERNANDEZ, J. 1658 WALLACE, JACK 1677 CURRY, SHIRLEY 1694 GHYST, KAREN 3926 MORGAN, R. 3941 WARD, WILLIAM 3942 VESSUP, RUDOLPH 425 ZEBBS, ELIZABETH 1142 SPARKS, HAZEL 837 MONTGOMERY, SABINA 924 TOVAR, RUTH 1665 DOAN, DUYET 1679 CUMMINGS, CHARLES 1695 MITCHELL, WARREN 1415 MENA, JUAN 1427 SCHELLENBERGER, WILLIAM 1430 GONZALES, CHERIEL 1437 FAWCETT, RICHARD 1449 DONALDSON, JAMES 1482 PRINSTEIN, JACK 1505 ZUCKER, SUE 1518 RAMIREZ, FRANK 1531 GARCIA, CARLOS 1534 TABLADILLO, CECILIA 1930 1678 Address E W E E L YNWOOD L YNWOOD MERITO NEWCOMB NEWCOMB NEWCOMB NEWCOMB NEWCOMB NEWMARK NEWMARK NEWMARK NORMAN RESERVOIR RIAL TO RIAL TO ROGERS ROGERS ROGERS VALARIA V ALARIA VALARIA V ALARIA VALARIA VALARIA VALARIA V ALARIA VALARIA V ALARIA WALLACE WAY WAY AV ST ST ST ST ST AV AV AV RD ST AV AV LN LN LN DR DR DR DR DR DR DR DR DR DR CT Page 66 of 66 E ~'~ f;~" ,~ ,'~ - ~-.~ 1 2 3 4 5 6 RESOLUTION NO. RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO THE SERVICES AGREEMENT WITH R3 CONSULTING GROUP, INC., FOR ASSISTANCE CONCERNING COMMERCIAL REFUSE SERVICES PROVIDED BY FRANCHISED REFUSE HAULERS AND OTHER ISSUES RELATED TO REFUSE REGULATIONS AND OPERATIONS BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE 7 CITY OF SAN BERNARDINO AS FOLLOWS: 8 9 SECTION 1. The Mayor of the City of San Bernardino is hereby authorized 10 and directed to execute on behalf of said City an Amendment to the Services Agreement with 11 R3 Consulting, Inc., a copy of which is attached hereto marked Exhibit "A" and incorporated 12 herein by reference as fully as though set forth at length. 13 SECTION 2. The authorization granted hereunder shall expire and be void and 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 of no further effect if the agreement is not executed and returned to the Office of the City Clerk within 60 days following the effective date of this resolution. III III III III III III III III III III ",," ~~-~~~ ~ ~~c ,.,"- ~- _~"__' H ',__"",,_~__~~,'_ ",_,_~',~,'P~_ ,-, "C',,'~ 7 '--"~ 1 2 3 4 5 6 7 8 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE MAYOR TO EXECUTE AN AMENDMENT TO A SERVICES AGREEMENT WITH R3 CONSULTING GROUP, INC., FOR ASSISTANCE CONCERNING COMMERCIAL REFUSE SERVICES PROVIDED BY FRANCHISED REFUSE HAULERS AND OTHER ISSUES RELATED TO REFUSE REGULATIONS AND OPERATIONS I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a meeting thereof, held on the day of , 2005, by the following vote, to wit: 9 Council Members: AYES NAYS ABSTAIN ABSENT 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 ESTRADA LONGVILLE MCGINNIS DERRY KELLEY JOHNSON MCCAMMACK Rachel G. Clark, City Clerk The foregoing resolution is hereby approved this day of 2005. Judith Valles, Mayor City of San Bernardino Approved as to Fonn and legal content: JAMES F. PENMAN, 26 City Attorney 27 28 By: ::;.-- ~".~.,~,. . , .' 'm'"V _,," "' "" ,- - Exhibit "A" AMENDMENT No.1 TO THE SERVICES AGREEMENT This Amendment No.1 to the Services Agreement is entered into this day of . 2005, by and between the City of San Bernardino ("CITY") and R3 Consulting Group, Inc., ("CONSULTANT") relating to assistance concerning commercial refuse services provided by franchised refuse haulers and other issues related to refuse regulations and operations. 1. The Section No.1 entitled "SCOPE OF SERVICES" is hereby ame~ded to now read as follows: "For the renumeration stipulated herein, CITY hereby engages the services of CONSULTANT to perform Tasks One (1) through Five (5) as indicated in the attached Scope of Services (Attachment "A"), and Tasks One (1) through Three (3), as indicated in the attached Scope of Services: Preparing and Revising Solid Waste Municipal Code (Attachment "B"). 2. The Section No. 2 entitled "COMPENSA nON AND EXPENSES" is hereby amended to now read as follows: "For the services performed pursuant to Section 1 of this Agreement, CITY shall pay CONSULTANT a fee not to exceed $98,070." 3. The Section No.3 entitled "TERM; SEVERABILITY" is hereby amended to now read as follows: "The term of this Agreement shall be for a period of eighteen (18) months, commencing on July 1, 2004, and terminating on December 31, 2005, unless previously modified, amended, or cancelled by the written mutual consent of the parties. This Agreement may be terminated at any time by thirty (30) days written notice by either party. The terms of this Agreement shall remain in force unless mutually amended in writing. The duration of this Agreement may only be extended with the written consent of both parties." III III III ,::__:_ :C~j_~_- ,- -"-, -, '" -- 'rf~"-"-'z.--,-, --~~-'''-"' -", '~'-"--Il--' -~-----'-- --~-~~'f'" ~-- ' ,',' I' - .., -~ " AMENDMENT No.1 TO THE SERVICES AGREEMENT IN WITNESS WHEREOF, the parties have executed this instrument upon the date first herein above appearing. ATTEST: CITY OF SAN BERNARDINO By: Rachel Clark, City Clerk By: Judith Valles, Mayor R3 CONSULTING GROUP, INC. By: Title: Approved as to form and legal content: JAMES F. PENMAN City Attorney By: -. .. ..4'.. Introduction The City of San Bernardino ("City") is interested in changing the method of providing solid waste and recycling services. to the City's commercial solid waste customers. The City recently completed an analysis of available options for providing commercial solid waste collection services. The options range from continuing with the current method of City operated commercial collection services with private franchisees competing for temporary debris box collection, to transitioning the City from the primary commercial collection provider to franchised haulers providing some or all commercial collection services 1. A specific option the City has expressed interest in pursuing is providing a method for franchised haulers to provide commercial collection services to new commercial customers. Based on this initial analysis, the City is interested in undertaking a competitive Request for Proposals ("RFP") process for possible transition of new commercial solid waste collection services to franchised haulers, while retaining the City's current commercial collection operations and customer base. The City understands that even though it may undertake a competitive RFP process, at any time prior to selection and execution of a franchise agreement, the City has the option of discontinuing further action and continuing with the current City- provided commercial collection operations. Project Approach Our proposed scope of services is for full service procurement assistance. R3 will act as an extension of City staff and will assist in all aspects of this procurement. This will include the following: . Working with City Staff and the City Council to develop a sound short- and long-term strategy and financial plan for providing commercial collection services; \ 1 This analysis was completed by R3. \ .. 1r1/tJJJVUAJ- A- Scope of Services Solid Waste Procurement Services The City has an opportunity to generate additional General Fund revenue by changing the method in which commercial solid waste collection services are provided. . Undertaking a Request for Proposal ("RFPj process will allow the City to receive competitive pricing and payment options, while retaining the right to keep its current commercial operations. . Undertaking a RFP process will also allow the City to require proposers to pay for and/or reimburse the City for the cost of the RFP process. Q3 Page 1 -""_~__ n_" _ -" 2004-206 Scope of Services . Preparing a financial analysis of the possible impacts of changes in commercial collection services on the City's General Fund and the Refuse Enterprise Fund; . Drafting program requirements, the RFP, and the franchise agreement, including pricing options for different transition approaches; . Developing a mailing list and issuing the RFP; . Conducting a pre-proposal conference; Responding to questions regarding the RFP and preparing addenda; . Conducting contractor interviews; . Assisting in the evaluation of responses from contractors; . Presenting the estimated financial impact on the City based on RFP submittals; . Presenting the evaluation results to the City Council; Conducting clarification or negotiation sessions if necessary; and Finalizing the franchise agreement. The goals that will guide the procurement process include the following: . Providing the highest level of service to the City's commercial customers; and . Ensuring that the City is adequately compensated by the franchisee through transition fees, franchise or user fees. The following work tasks outline R3's approach to assisting the City in conducting a RFP process for commercial solid waste collection services. Work Tasks Task 1: Procurement Strategy Task 1.1: Facilitate Kick-Off Meeting Q~ R3 will facilitate a project kick-off telephone conference call with City Staff to confirm project objectives, review and confirm. the proposed timeline for accomplishing the tasks, discuss our project \ \ Page 2 .,,[,'e'" .,.' ~- 2004-206 approach, identify areas of concern, discuss plans for'involvement of the City Council, and review the City Staffs preliminary thoughts on policy and service issues to be considered for the procurement. In preparation for the meeting, we will review all pertinent materials provided by the City, Task 1.2: Develop Procurement Strategy R3 anticipates that the procurement strategy will be developed through a series of telephone conference calls with City Staff over a 2-3 week period, Significant emphasis of the procurement strategy will be on estimating the potential impact on the City's General Fund and the Refuse Enterprise Fund. In order to accomplish this, R3 will prepare a financial model to be used during the conference calls. R3 anticipates that one on-site work session will be scheduled with City staff to finalize the procurement strategy. The procurement strategy will focus on having the City franchise for new commercial accounts as discussed in the prior Analysis of Options draft report dated May 2004, and will address short- and long-term program and financial needs for the City. This will include procurement options available to the City, including: · Exclusive or non-exclusive franchise operations: · Defining the specific commercial accounts available for possible franchised collections (all new accounts, accounts by geographic zones, accounts where ownership or service changes occur, etc.); · Phasing of franchised services and length of franchisee agreement term; · Mitigating any negative impact on current City staff, equipment and operations; · Protecting the City in the event of a revenue shortfall, franchisee performance problems, or underpayment of franchise or transition fees; · Developing the type and amounts of franchise payments made to the City, (one-time transition, percentage of annual revenue, franchise fee, etc.); and · Requiring the franchisees to pay for the City's cost of the RFP process through Proposal submittal fees and/or reimbursement by the awarded franchisee(s). To the extent possible, the strategy will be prepared with pros and \ \ cons of each item and linkages between them. Scope of Services R3 Page 3 -".. ,'" ."....K..."...~."'O., Scope of Services " \ 12.3 Page 4 .0 2004-206 Deliverables for Task 1 As part of this Task, R3 will be responsible for the following: Facilitate one telephone conference kick-off meeting; . Conduct telephone conference calls and one on-site meeting with City staff to develop a procurement strategy; Prepare financial model for estimating the impact on the City's General Fund and Refuse Enterprise Fund; and . Prepare a letter report outlining the procurement strategy. Task 2: RFP Documents Task 2.1: City Staff Conference Call R3 will conduct a conference call to discuss ho the procurement strategy form Task 1 will impact the proposed RFP documents. During this conference call. R3 will also discuss the outline for the RFP documents. Task 2.2: Develop Potential Proposer List R3 will develop a list of potential proposers and provide it to the City in electronic format. This will allow the City to notify these companies of the dates of the expected release date of the RFP documents. Task 2.3: Prepare Draft Request for Proposals (RFP) R3 will prepare a draft RFP package based on the results of Task 1 and our experience working with the solid waste management community. The RFP will specify minimum requirements and qualifications. and will require proposers to submit work plans that specify how they will transition to new services. achieve diversion requirements, implement customer service and billing programs, and promote public education activities. In addition, separate sections of the RFP will include instructions specifying the rules of the proposal process for the proposers and the City, the format and submittal of responses, the method for evaluating responses, and transition and other payments to be made to the City. We suggest including computer disks that .";t. 2004-206 contain forms for the contractors as part of the submittal package. As an option, the City may wish to post the RFP on its web site in PDF format. In our experience, the Franchise Agreement should be developed and issued as part of the RFP package. This significantly reduces the time and cost of negotiations, and contractually links the requested services to proposed costs as part of the evaluation process. We have followed this proven approach in our scope of services and strongly recommend that the City elect to use it given the project timeline. R3 will prepare the draft franchise agreement to be included in the RFP package. Proposers will be required to specify any exceptions and provide language for any changes they propose to the agreement. The franchise agreement will include the following sections: . Definitions; Representations and proposer warranties; . Franchise term and extensions; Annual program monitoring fee requirements; . Account transition payments and franchise fee requirements; Account audit and payment audit provisions; Scope of services; Compensation; General requirements; Financial record-keeping and reporting requirements; Indemnity, insurance, and performance bond coverage requirements; Performance standards such as: o Time requirements for responses to customer calls regarding service complaints (e.g., missed collections. material spillage, hydraulic leaks. etc); o Time requirements for responses to customer calls regarding billing complaints, new accounts, etc.; o Time requirements for cart or bin exchanges; o Vehicle noise requirements; \ \ Scope of Services Q.~ Page 5 -o__ r 'i-'-'-.-' ~- ". ,,-- r m-'T --- - -- - .-. , --. 2004-206 Scope of Services o Vehicle maintenance requirements; . Breach. default. and remedies; and . AS 939 diversion requirements and indemnification. Task 2.4: Finalize & Issue RFP As needed, R3 will finalize the RFP and provide the City with one original. un-punched. and twenty (20) copies of the RFP documents. In addition, R3 will provide the City with a draft notice of the availability of the RFP. Oeliverables for Task 2 As part of this Task. R3 will be responsible for the following: . Develop a potential proposer list; . Preparing an RFP package for distribution to prospective proposers that includes the draft Franchise Agreement. process rules. evaluation and selection criteria. project schedule, and all required forms; . Providing process rules to guide the negotiation process (e.g.. how the proposers may communicate with City staff. the consultant. and the City Council, the format for negotiation sessions; and options available to the City if negotiations are not completed successfully); . Finalize the RFP as needed; . Prepare one original and twenty copies of the final RFP; and . Prepare a notice of when the RFP is available, and how interested parties can obtain copies. Task 3: Pre-Proposal Meeting Task 3.1: Facilitate Pre-proposal Meeting R3 will facilitate a mandatory pre-proposal meeting with prospective proposers. The pre-proposal meeting will provide the opportunity for the City to review the RFP with prospective proposers and answer questions. as appropriate. 12.3 \ \ Page 6 c",_ -,.",-- r ",. - -~~ ----c'- ",----- -- '-_""-"'''~--~ ' ""'~"- -'0' 2004-206 Task 3.2: Responses & Addenda R3 will prepare written responses to questions raised before and during the pre-proposal meeting for submittal to all parties whom attended the meeting. In addition. R3 will prepare addenda to the RFP. as required. Deliverables for Task 3 As part of this Task. R3 will be responsible for the following: Conduct the pre-proposal meeting; Prepare written responses to questions raised before and during the pre-proposal meeting; and Prepare addenda to the RFP. as required. Task 4: RFP Evaluation Task 4.1: Evaluate Responses to the RFP R3 (and the evaluation committee) will evaluate the proposals submitted by the proposers. To ensure that commercial customers continue to be provided with a high level of service throughout the franchise term. the evaluation will include. but not be limited to. evaluating the proposers proposed disposal site. collection methods. customer service programs; work plans, insurance requirements. financial statements. transition experience and plans. references. and transition and franchisees payments to be made to the City as proposed by the proposers. After the initial evaluation is completed. R3 will also prepare any written request for clarification to the proposers. as necessary. In the event a proposer's proposal does not meet the minimum requirements of the RFP. that proposer will be notified in writing that their proposal has been disqualified. Task 4.2: Proposer Interview Once the initial review of the proposers' submittals has been completed. interviews will be scheduled and conducted with those proposers meeting the minimum requirements of the RFP. _0 _ '~ Scope of Services Q3 Page 7 ~,~^ ^- ^" 2004-206 Scope of Services Task 4.3: Prepare Proposer Recommendations Based on the proposer evaluation results, R3 will prepare a letter report for the City. The report will highlight the transition schedule. financial impact on the City, work plans, and payments to the City as proposed by the proposers. To the extent possible, this information will be provided as comparative summaries, followed by a recommendation of the top ranked proposers. Oeliverables for Task 4 As part of this task, R3 will be responsible for the following: . Assist in the evaluation of the proposals, including analysis of the technical feasibility, financial strength, ability to provide services, and ability to meet diversion and performance guarantees; . Prepare any requests for additional information or clarification of the proposals; . Schedule and conduct interviews with the proposers; Prepare an evaluation matrix to easily compare the proposed collection program and payments to be made to the City; . Prepare a letter report detailing evaluation results; and Provide proposer ranking recommendations. Task 5: Negotiations and Recommendations Task 5.1: Evaluation Committee Meeting R3 will meet with City Staff to prepare for the final negotiation meetings with the top ranked proposer(s). Task 5.2: Conduct Negotiation Proposers Final Clarification and Sessions with Short-Listed R3 To the extent necessary, R3 will conduct final negotiations with the top ranked proposer(s). Negotiations will focus on clarifying the proposers' service and payment proposals, and finalizing contractual language. \1 Page 8 '- '1i ~ :~l ',,~, 'n I ~',',~ 'n-.~' .-~.~ .- - ~". '. .- ~~_..-- 2004-206 Task 5.3: Prepare Final Recommendations Upon the conclusion of proposer meetings, R3 will prepare a letter report detailing the results of the discussions. The letter report will also include a recommendation of the selected proposer that the City Council should consider for contract award. The recommendation will include a summary of the proposed programs. payments, and implementation schedule. Task 5.4: Finalize Franchise Agreement Based on the results of the proposer clarification meetings, R3 will finalize the Franchise Agreement. as necessary. Task 5.5: City Council Presentation R3 will attend a City Council meeting to present the final proposer recommendation. Oeliverables for Task 5 As part of this task, R3 will be responsible for the following: Prepare a listing of franchise agreement issues to be clarified with proposers based on proposer responses and City needs; Conduct two clarification and negotiation sessions with the proposers; Prepare a letter report detailing the final results of the proposer meetings; Finalize the franchise agreement based on the results of the proposer meetings; and One City Council presentation. Task 6: Solid Waste Ordinances (OPTIONAL) Task 6.1: City Staff Meeting R3 will meet with City Staff to discuss the extent to which the current solid waste ordinances will need to be revised or new ordinances be prepared. \ \ -- -,. ~ ~ ~-- -. Scope of Services R3 Page 9 i/i'.J<""T. ,C"""""""'"'' ,.,- ' ~-,.~~_._~-~, - - - -- -"'. ----'"IT""- .. --- -, -." -~- 2004-206 Scope of Services Task 6.2: Prepare or Revise Solid Waste Ordinances R3 will work with City Staff to incorporate any changes and provide final draft ordinances to the City Attorney. Task 6.3: City Council Meeting R3 will attend a City Council meeting to discuss the proposed ordinance language. Oeliverables for Task 6 As part of this task, R3 will be responsible for the following: . Assist in preparing draft ordinances; . Meet with the City; and . Attend one City Council meeting (public hearing on the solid waste ordinance). Task 7: Transition Planning and Implementation (OPTIONAL) R3 Staff will assist the City in implementing the transition plan of the selected proposer. This will include assisting the City in establishing internal management controls to ensure that all payments are made by the selected proposer. Task 7.1: Transition Period Checklist In order to ensure a smooth implementation process, R3 will work with the proposer to develop and maintain a checklist to organize and track implementation tasks during the transition period. R3 proposes that the checklist be initially developed in conjunction with the selected proposer, and reviewed and updated regularly during the transition process. The following are examples of transition checklist tasks: Q3 · Order Equipment · Develop container delivery schedule (by collection route) · Develop new route maps · Develop equipment inventory \ \ Page 10 - - 'CC-'-<C"M,~----~n T_' ' , 2004-206 · Develop and mail public education materials · Coordinate "Kick-off' media event for collection programs · Advertise community meetings · Develop press releases · Implement Customer Service functions Task 7.2: Develop Proposer Reporting Checklist The franchisee will be required to submit numerous reports to the City during the contract term. R3 will develop a checklist for easy reference by both the City and the proposer to identify recurring contractual requirements and the corresponding due dates. The checklist will be used as a tool at the meetings between the City, the franchisee and R3 to address concerns or confusion regarding these requirements. The following are examples of reporting checklist tasks: · Annual diversion report · Franchisee payments to City (transition and franchise fee) · Financial information report · Accounting records · Contract materials records · CIWMB (format) annual reports · Public education and outreach plan · Annual collection service notice · Performance bond and insurance certificates Task 7.3: Development of Franchise Fee Payment System The franchisee will be required to submit account transition and franchise fee payments to the City throughout the contract term. R3 will coordinate with- the City and the franchisee to develop a payment form for use by the franchisee. The form will provide the detail needed by the City to document the basis for the payments. \ " - ." - -,,--0 ."' -,.--... - "..." Scope of Services Q? Page 11 p - " -,----. -" -" 2004-206 Scope of Services Task 1.4: Review of Hauler Accounting System For purposes of calculating payments and reviewing financial records, it is important that the franchisee's accounting system be designed to segregate the accounts, revenues and expenses related to the City franchise agreement from those accounts, revenues and expenses related to services provided to other municipalities. As part of the development of the payment system, R3 will review the accounting system developed by the franchisee to verify that it is designed to segregate the revenues and expenses related to the services provided under the terms of the franchise agreement with the City. Schedule R3 has developed this Scope of Services to enable the City to authorize a new franchise agreement as quickly as 3 - 5 months upon notice to proceed. This schedule will require timely review by City Staff and action by the City Council. This also assumes that developing the Procurement Strategy (Task 1) will be completed in one month. Our project staff has extensive experience in procuring solid waste collection services and is committed to completing the project on- time. In addition, we have the staff resources necessary to accommodate unforeseen changes in project scope or in the schedule. As part of the Project Kick-off Meeting (Task 1.1). R3 will prepare a detailed schedule as a Gantt chart, showing all work tasks, deliverables and submittal dates, review periods, meetings. and presentations. This schedule will be updated and provided to the City as changes occur. R3 Budget R3 suggests that the City require the proposer(s) pay for the cost of RFP process in the forms of 1) non-refundable submittal fees of approximately $10,000 - $20,000 per proposal, and 2) the balance of the project cost being reimbursed t the City by the proposer(s) that Is awarded the franchise agreement. Accordingly, while the City will not need to fund the project beyond the schedule for the RFP process, the City will Incur short-term project costs and will be reimbursed for 100% ofthe project cost. \ \ Page 12 ", F'- 2004-206 -, - R3 estimates that approximately 344 hours will be needed to complete Tasks 1 - 5 for a not to exceed price of $48,070. We suggest that billing be done monthly, based on actual hours billed during the billing period. In this manner, if the City Council decides to discontinue the project. the project costs would be limited to actual hours worked. It may be necessary to modify the work efforts in each Task. but this will not affect the total not to exceed price. In the event the City requests additional services, such as attending additional City Council meetings or conducting community meetings, we will provide the City with a budget amendment prior to performing the additional services. Tasks 6 and 7 should be considered as .Optional". and for these Tasks. R3 will work with the City of finalize the details. Once the task development is finalized, we will provide the City with a budget amendment should the City need any assistance with these tasks. Cost Estimate -- - Task Hours Cost2 Task 1: Procurement Strategy 68 $9.763 Task 2: RFP Documents 96 $12.617 Task 3: Pre-Proposal Meeting 36 $5.047 Task 4: RFP Evaluation 92 $13.114 Task 5: Negotiation and Recommendations 52 $7,529 TOTALS 344 $48,070 Billing Rates and Charges Technical Services Project Manager Senior Analyst Analyst Associate $150.00/hour $135.00/hour $90.00/hour $75.00 hour \ \ 2 Includes labor and project expenses. Scope of Services Q.? Page 13 ", ,_ -, '0 ' '0 '0'-' ',- ,,---- "~ -..,"" 2004-206 Scope of Services Administrative Support $50,00/hour Reimbursable Costs Consultants/Subcontractors Lodging and meals Travel - Private or company car Delivery and other expenses cost cost $0,375 per mile cost Payments Unless otherwise agreed in writing, fees will be billed monthly at the first of each month for the preceding month and will be payable within 30 days of the date of the invoice, R3 Page 14 - ," -- -- ---- _c --- ____..~'~"'______-___ ---~-~r-'-' c____,. -- -____~_r YO'-'-' Revise Solid Waste Muicipal Code Currently, the City of San Bernardino's diversion level is at approximately 41 percent and is not meeting the 50 percent diversion requirement as established by AB 939. The California Integrated Waste Management Board (CIWMB) has designated construction and demolition materials as high priority materials that Cities to should aggressively target for recycling programs. The CIWMB has indicated that local solid waste ordinances are effective and acceptable means to increase diversion through new programs. Another locally controlled regulatory program that the CWIMB is encouraging local governments to implement is reporting and tracking diversion tonnage from non- franchised recyclers. Currently neither of these two areas are addressed in the City's municipal code. In addition, the City should update' its municipal code that governs the management of solid waste. Specifically Title 8, Chapters 8.18, 8.21, 8.24, 8.25, 8.27, 8.57 should be updated to better conform to state requirements, and City and franchised solid waste operations. The City should also consider updating Title 19 as it relates to construction and demolition projects, as well as allowable space for recycling bins. The following work tasks were developed to allow the City to adopt changes to existing, or new municipal code to specifically address the above issues. Task 1: Meet With City Staff The Project Team will meet with City Staff to discuss the extent to which the current municipal code language should to be revised for conformity with the new franchise agreement, State requirements for construction and demolition debris, non- franchised recycling, and current City municipal operations. This will include incorporating I updating the current language in City's municipal mode. This discussion will form the basis of the first draft municipal code language. Task 2: Prepare City Municipal Code Language R3 assumes that the current municipal code language will be modified or replaced in its entirety, and the City can provide R3 with electronic copy of the current code. Accordingly, R3 will prepare daft language that follows the current format, incorporate existing language for collection, and insert new language for as appropriate new requirements. To the extent possible, R3 will ItHIJ.cM.ttf 13 Scope of Services Preparing and Revising Solid Waste Municipal Code Q.~ Page 1 .~ r"__~___ -,-~ Scope of Services incorporate suggested construction and demolition ordinance language suggested by the CIWMB and San Bemardino County. R3 anticipates the draft and will include items such as: · Definitions (refuse, solid waste, garbage, recyclables, green waste, recyclables, etc.); · Collection services (municipal, franchised, self-haul); · Reporting requirements (tonnages, facilities used) · Collection containers, placement, access, condition; · Scavenging, exclusive and non-exclusive recycling services · Hours and days for to set out and remove carts for collection, including pre- and post-collection requirements; · Restrictions and unacceptable materials; · Diversion reporting for non-franchised haulers; · Diversion and reporting requirements for construction and demolition projects; · Litter, illegal dumping; · Rate setting; and · Incorporate / update requirements for municipal collection operations, and franchised commercial haulers, and non- franchised recycling haulers and/or back halers. The draft language will first be provided for review by City Staff. After City Staff review, R3 will incorporate any changes and revise the draft language to provide to the City Attorney. R3 will review the revised language with the City Attorney and will make changes as appropriate. R3 assumes that the City Attorney will provide the final form of the Municipal Code language for adoption. Task 3: City Council Meeting R3 R3 will attend one City Council meeting to discuss the proposed ordinance language. \ Page 2 ~--" "T I Deliverables As part of this task, R3 will be responsible for the following: · Draft suggested municipal code language for City Staff review; · Incorporate changes as requested by City Staff; · Provide a revised draft for the City Attorney to review and comment; · Incorporate changes as requested by City Attorney; · Provide a final draft for the City Attorney to review; · Two meetings with the City Staff (in person or teleconference ); · Two meetings with the City Attorney (in person or teleconference) · Attend one City Council meeting (public hearing on the solid waste ordinance); and · Electronic copy of the draft and final municipal code language. Budget R3 estimates that approximately 98 hours will be needed to complete Tasks 1 - 3 for a not to exceed price of $13,200. Task Hours Cost! Task 1: Meet with City Staff 14 $1,900 Task 2: Prepare or Revise Ordinances 72 $9,500 Task 3: City Council Meeting 12 $1,800 TOTALS 98 $13,200.00 I Includes labor and project expenses. --Tr~'"""'TTq-,.,." -, -_.=.7''''."''-'::-.:.~..5<:--",'~ '.':::::;:;0 Scope of Services R~ Page 3 '"" ,..- " ~. "",', "" _""~F~'" . .; R3 Consulting Group, Inc. Resources Respect Responsibility R3 Consulting Group, Inc 4811 Chippendale Drive, Suite 902 Sacramento, CA 95841 Tel. 916-576-0309 Fax: 916-331-9600 www.r3cgLcom TO: FROM: SUBJECT DATE: LoriSassoon Richard Tagore-Erwin, R3 Recommendation Summary For Franchised Roll-off Collection May 10 2005 Introduction On February 15, 2005, the City issued a Request for Proposals (RFP) for Roll-off Collection Services. Key financial requirements of the Request for Proposals were a minimum payment of $6.1 million to the City for franchise transition and equipment payments, and a 20% franchise fee on gross revenue. Price options were requested for 5, 7 and 10 year terms. ) A mandatory pre-proposal conference was conducted on March 2, 2005, with eight companies in attendance. On April 14, 2005, the City received three valid proposals for commercial roll-off collection services 1. The companies that submitted proposals were: · Republic Services; · Athens; and · Surrtec Waste Industries Initial Proposal Review On April 14, 2005 City staff and the City's consultant (R3 Consulting) reviewed and verified each proposals for completeness. All three proposals were determined to be complete, and copies were distributed to City staff and R3 for evaluation. All three companies were determined to be able to provide a high level of collection services, with the customer service programs offered by Republic and Athens superior to that offered by Sumec. All three companies demonstrated sufficient capacity and processing resources to meet the City's 50% diversion requirement, as well as the clean air collection vehicle requirements. In the initial submittals, Athens offered to meet the City's minimum up-front payment of $6.1 million, Surrtec offered to meet or exceed the minimum up-front payment, and Republic did not offer to meet the City's minimum up-front payment requirement. The other financial factor considered in the initial review of the proposals was the impact on customer rates. Customer rates are determined by the direct cost to collect the roll-off bins (pull rates) and the actual tons collected for processing or disposal multiplied by a tipping fee. The City's 1 Waste Management submitted a letter declining to submit a proposal. R3 Page 1 of 7 "- -~- --- ----_.--~~""- _"",m, ._ .- 20% franchise fee will be applied to the total of the pull rate and tipping fee. Initially, while Republic provided the lowest pull rates, Republic did not meet the City's minimum $6.1 million up-front payment requirement. Accordingly, comparing Republic's initial pull rates to those of offered by Athens and Burrtec was not considered valid. In comparing Athens and Burrtec's initial pull rates, Athens was the lowest for the 1 O-year term, and Burrtec was lower for the 5 and 7-year terms. It should be noted that Burrtec offered $400,000 and $1.4 million in additional up-front payments than Athens for the 7 and 1 O-year terms. Initial up-front payments to the City and customer pull rate information is provided in Table 1 below: Table 1 Initial Up-front Payment and Customer Pull Rates Up-front Payment to the City Republic Athens Burrtec ($6.1 million minimum) 5 Year Term $1.725 million $6.1 million $6.1 million 7 Year Term $2.225 million $6.1 million $6.5 million 10 Year Term $2.9 million $7.5 million Customer Pull Rate Republic Athens Burrtec 5 Year Term $237 $368 $317.22 7 Year Term $237 $304 $274.61 10 Year Term $237 $242 $249.64 Notes: 1. Republic did not meet the minimum $6.1 million up-front payment requirement. 2. The City's pull rate expected to become effective July 1, 2005 is $295.36 which includes a 4% CPI increase for the Los Angeles-Riverside-Orange County All Urban Consumer price Index (March- March). Alternative Proposals Each of the proposers offered alternatives to what the City requested ranging from longer terms to assuming collection of all City collection services. Because the alternatives are not the services the City requested, none of the alternatives were considered or evaluated. Revised Pricing On April 19, 2005 interviews were conducted with each of the proposers. At the conclusion of the interviews, each proposer was requested to submit additional information and pricing information focusing on the ten year term to maximize the up-front payments to the City an minimize the impact on customer pull rates. The additional information was received on April 22, 2005. Based on the information received on April 22, 2005, the up-front payment offered by Republic (the 12.3 Page 2 of 7 "c-""~CC " . ~~-~~,-'",' '-~1"" ""~^ '""'"U~_ minimum $6.1 million) and their proposed customer pull rates were not advantageous to the City. During the period from April 22 - April 28, 2005 Burrtec and Athens were asked to submit additional pricing information and further refine their franchise transition payments. Athens increased their up-front payment to the City and their customer pull rates. Burrtec increased their up-front payment to the City, but lowered their customer pull rates2. Burrtec also offered to incorporate their existing franchise agreement into the terms of the proposed new franchise agreement. Revised up-front payment to the City and customer pull rate information is summarized in Table 2 below: Table 2 Revised Up-front Payment and Customer Pull Rate Summary --10 Year Term Republic Athens Burrtec Up-front Payment to the City $6.1 million $8.5 million $9.0 million Customer Pull Rate $375 $284 $227.20 Franchise Agreement Requirements The franchise agreement includes specific terms, performance standards and fines for non- performance. These are highlighted below: I · Collection is limited to roll-off bins of 10,20, 30, and 40 cubic yards capacity, temporary bins of 2, 3, 4 and 6 cubic yard capacity, and previously "grandfathered" bins of 2, 3, 4, and 6 cubic yard capacity · One (1) 10-year contract term, with a specific termination date · 20 percent franchise fee on gross revenue, including revenue received for California Redemption Value recyclables, paid to the City on a monthly basis · Free, unlimited roll-off collection for neighborhood clean-up events, City directed collection for community groups, City free dump day events, City street sweeping debris dump service, and from City facilities that use roll-off service. · 50 percent diversion (recycling) requirement for all materials collected by the franchised hauler · Annual allowance for CPI increases/decreases in customer service rates · $500,000 performance bond, renewed annually · Requirement to use the San Bernardino County landfill system for disposal · Insurance: $3,000,000 minimum limits for: 2 Burrtec clarified that in their letter dated April 22, 2005, the customer pull rates included the 20% franchise fee.' Accordingly Burrtec's pull rates without the franchise fee are $227.20, which is the same amount as specific in their original proposal alternative. R5> Page 3 _:m~ ~ 1 ~ " C' ".~_' "_"0 --"_""", _"_C" ," _, _, _ r~.~ - o Bodily injury, personal injury and property damage o Automobile liability o Worker's Compensation and Employers liability o Hazardous Waste and Environmental Impairment Liability · Customer Service o Customer requests are to be serviced on a "Same Day Service Basis" o Recycling and/or green waste service provided at no additional charge to customers o Annual bin cleaning at no cost o Implementation of public education and outreach program to promote recycling o Written service agreement between the hauler and the commercial business o Bilingual in English and Spanish o TOO capability o Maximum 5 rings telephone system · Collection vehicles o Must use re-refined motor and hydraulic oil o Must meet federal, state, and clean air, local health and safety requirements o No older than 10 years or 250,000 miles without a complete rebuild o Must be re-painted at least every 30 months o Vehicles must maintain proper signage o Vehicle noise can not exceed 85 decibels o Must use the City's CNG/LNG fueling station, once built · Reports o Monthly and annual reports specifying the tonnage disposed and recycled, revenue billed, gross revenue received, franchise fees paid to the City, number of accounts, bins size and collection frequency o Monthly reports on the number, size, location of temporary bins placed in service o Annual financial report, including independent CPA prepared financial statement, submitted to the City o Customer service log · Temporary Bins o Non-construction and demolition bins limited to 90 days over a 12-month period o Construction and demolition bins limited to 180 days over a 12- month period (unless longer term approved by the Ctiy), and hauler must notify City of within 3 days of placement of temporary bins IZ~ Page 4 of 7 ~_..- .,-~~ ',".., ....~...~~. . ....f". ~.- ".~-~"-'."~ "".-c''''''' -;;cc:--'-'- ,,-,~~...-,.:;;, , · Administrative Fines o $15,000 1st incident, $25,000 2nd incident, termination offranchise agreement on 3rd incident for unauthorized service of any City account, or charging customers amounts not approved by the City o $1,000 each incident for failure to repair damage, improper operation of a collection vehicle, failure to submit document and reports to the City, failure to clean up spillage or litter o $100 each incident for failure to operate within hours of contract, failure to resolve service complaint, failure to cover bins, failure to repair or replace bins o $500 each incident for disposal of recyclable materials, or commingling materials with non- City materials o $5,000 1 st incident, $15,000 each subsequent incident for failure to deliver materials to appropriate disposal, recycling or green waste facility · Termination (at City option) o Assessment of $50,000 in administrative fines in one contract year o Failure to meet 50 percent diversion requirement o Failure to maintain the performance bond or insurance Conclusion Franchising roll-off collection will provide the City with additional annual franchise fee revenue over the term of the contract, in addition to a significant up-front payment. With the ability to consolidate Burrtec's existing franchise agreement with the proposed franchise agreement, based on the pull rates submitted by Burrtec, the annual franchise fee revenue paid to the City by Bumec is estimated to be approximately $862,000 for FY 2005/06. This is a net increase of in revenue paid to the City of approximately $675,000 over the current agreement. Over the 1 O-year term of the contract, with growth and CPI increases to customer and landfill tip fees, the City could receive approximately $15.5 million in additional new franchise fee revenue. With the $9.0 million in up-front payment to the City, entering into an agreement with Burrtec should provide the City approximately $24.5 million in new additional revenue over the next ten years. . Under the terms of the new agreement, Burrtec would pay 20% franchise fee on all collection operations (current operations plus roll-off operations). This should result in the City receiving approximately $28.8 million in total revenue from Burrtec over the next ten years. In terms of customer rates, Burrtec provided the lowest pull rates, and the City's agreement with San Bernardino County requires all City collected or franchised waste to be disposed in the County's landfill system. The County sets the disposal rates on a system-wide basis and is expected in increase tipping fees by approximately $1.08 per ton effective July 1, 2005. .In conducting the financial analysis and rate comparison, R3 incorporated the County's increased tipping fee for the proposers, and only the City's automatic CPI rate increase applied to the City's current roll-off rates (since the current rate resolution does not directly pass the increased tipping fee on to City customers). The following table compares the proposed contractor customer rates to those projected to be charged by the City effective July 1, 2005, if the City were to continue to provide roll- off services. R~ Page 5 ... --_.._~-~"-",,-,..._, "' .~"_. .. ""'''nT''T'~_''',.c, C,CT Table 3 Comparison of Roll-off Boxes Collected 1 Time Per Week3 --10 Year Term Republic Athens Burrtec City4 City (with CPI (no CPI increase) increase) 10 CY (2 tons) $567 $437 $366 $371 $359.68 20 CY (5 tons) $713 $561 $490 $484 $473.20 30 CY (7 tons) $811 $643 $572 $560 $548.88 40 CY (8 tons) $860 $684 $613 $598 $586.72 Recommendations The City should consider awarding the franchise agreement to Burrtec for the following reasons: o $500,000 higher up-front payment to the City than Athens, and $2.9 million more than Republic. o 20 - 40% lower customer pull rates than Athens and Republic, respectively. o An approximately decrease of 1.3% to an increase of 2.5% over anticiDated FY 05- 06 customer rates compared to 14.4% - 52.7% increase for Athens and Republic, respectively. o Incorporation of the current franchise agreement in the proposed franchise agreement will provide the City with an additional 9% in franchise fee revenue over the terms of the current franchise agreement. This will provide the City with stronger franchise enforcement and reporting provisions, the ability to assess administrative fines for non compliance, and higher recycling due to a 50% diversion requirement. o Burrtec has agreed to assign its 150 residential customers to the City that were "grandfathered" under the provisions of the 1995 franchise agreements between the City and Curran's Rubbish Disposal, Inc., and Jack's Disposal Inc. As an alternative, the City might consider awarding the franchise agreement to Athens if the City is concerned with a reduction in competition. The primary concern with awarding a franchise agreement to Burrtec is that Burrtec is the dominant franchised hauler operating in the San Bernardino County, Burrtec operates the County's landfill system, Burrtec has had complaints 3 Additional collection cost frequencies are multiples of the cost for one time/week collection. 4 The City rates include an anticipated 4% CPI adjustment effective July 1, 2005. R~ Page 6 of 7 e, r- u__,_ ,---- - '..~'S'''.C"",i.'t about "taking City accounts," and Burrtec will control over 90% of the roll-off collection in the City. Accordingly, this may create an uncompetitive environment for contracting other solid waste services, such as recyclables processing. However, awarding the franchise agreement to Athens might result in significant rate increases or a longer term, unless Athens would be willing to make additional price concessions. Based on interaction with the company, it appears that they have made their best offer at this point and are not matching Burrtec's pull rates. R~ Page 7