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HomeMy WebLinkAbout2008-057 RESOLUTION NO. 200R-~7 1 2 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF THE THIRD 3 AMENDMENT TO THE WASTE DELIVERY AGREEMENT BETWEEN THE COUNTY OF SAN BERNARDINO AND THE CITY OF SAN BERNARDINO. 4 5 6 7 8 9 10 11 BE IT RESOLVED BY THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AS FOLLOWS: WHEREAS, the City entered into a Waste Delivery Agreement with the County of San Bernardino dated December 16, 1997, which requires the City to utilize the County landfill; and WHEREAS, On November 19, 2007, the City approved Resolution 2007-453 (Third Amendment to the WDA), but the Agreement was not executed by the County 12 within the time specified in said resolution; 13 SECTION 1. That the City Manager is hereby authorized to execute on behalf 14 15 16 17 18 19 20 21 22 23 24 11/ 25 11/ 26 11/ 27 11/ 28 of said City the Third Amendment to the Waste Delivery Agreement between the County and the City of San Bernardino, a copy of which is attached hereto, marked Exhibit "A", and incorporated herein by reference as though fully 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 The authorization to execute the above referenced agreement is rescinded if the parties to the agreement fail to execute it within one hundred and twenty (120) days ofthe passage of this resolution. 11/ 11/ 02/13/08 1 RESOLUTION OF THE MAYOR AND COMMON COUNCIL OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF THE THIRD 2 AMENDMENT TO THE WASTE DELIVERY AGREEMENT BETWEEN THE COUNTY OF SAN BERNARDINO AND THE CITY OF SAN BERNARDINO. 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 J 27 28 I HEREBY CERTIFY that the foregoing Resolution was duly adopted by the Mayor and Common Council of the City of San Bernardino at a joint regular 19th day of February meeting thereof, held on the , 2008, by the following vote, to wit: Council Members: AYES NAYS ABSTAIN ABSENT ESTRADA x BAXTER x BRINKER x DERRY x KELLEY x JOHNSON x MCCAMMACK x ~h.~ Rac el G. Clark, City Clerk The foregoing resolution is hereby approved this o2I:s~ February , 2008. day of ~ tric J. Morris, Mayor City of San Bernardino Approved as to Form: .4.- sF. Penman, City Attorney 02/13/08 REPORT/RECOMMENDATION TO THE BOARD OF SUPERVISORS OF SAN BERNARDINO COUNTY, CALIFORNIA AND RECORD OF ACTION March 25, 2008 FROM: VANA R. OLSON, Director Department of Public Works - Solid Waste Management Division SUBJECT: AMENDMENTS TO WASTE DISPOSAL AGREEMENTS FOR PARTICIPATION IN THE COMPREHENSIVE DISPOSAL SITE DIVERSION PROGRAM RECOMMENDATION: Approve Amendment No. 3 to the following three Waste Disposal Agreements regarding each city's participation in the County's Comprehensive Disposal Site Diversion Program: Ci City of San Bernardino Cit of Bi Bear Lake Cit of Fontana A reement No. 97-1051 A-3 No. 98-744 A-3 No. 98-105 A-3 BACKGROUND INFORMATION: In 1989, the State of California passed AB 939 that required all local jurisdictions to divert waste from landfill disposal by fifty percent (50%). The County and the cities have implemented many programs to achieve this state mandated requirement. Most jurisdictions have achieved diversion in the high forty percent (+40%) range. The County unincorporated area is currently at forty-nine percent (49%). Many solid waste customers already have a significant portion of their waste diverted through curbside recycling programs; however, residential and commercial self-haul customers that take their waste to the disposal facilities have limited diversion opportunities. Cities with Waste Delivery Agreements (WDA) have requested that the County perform diversion of self-haul waste at the disposal facilities. In response to this need, the Solid Waste Management Division (SWMD) developed a Comprehensive Disposal Site Diversion Program (CDSDP) to divert this waste. The SWMD completed a pilot program at the Victorville Landfill and determined that the program was effective in increasing the diversion of these loads. Under the program, self-haul vehicles are directed to a load checking station where the potential for diversion is assessed. Loads that appear to have substantial divertible materials are sent to the diversion area for processing. Currently, approximately fifty (50) percent of the targeted or eligible loads are directed to the on-site processing area and approximately fifty (50) percent of that tonnage processed is diverted. Page 1 of 2 cc: SWMD-Rozzi w/3 agree Contractor clo Dept wi 3 agree ACR-Acct Pay Mgr wi 3 agree Periculum clo Risk w/3 agree Risk Management County Counsel-Jocks CAO-Forster SWMD-Wulfinan File wi agree 4/4/08 MOTION AYE 5 jr DENA M. BY ITEM 020 - BOARD OF SUPERVISORS AMENDMENTS TO WASTE DISPOSAL AGREEMENTS FOR PARTICIPATION IN THE COMPREHENSIVE DISPOSAL SITE DIVERSION PROGRAM MARCH 25, 2008 PAGE 2 OF 2 On January 9, 2007, the Board of Supervisors directed SWMD to implement the CDSDP at the County's ten major landfills/transfers stations and approved fees to finance the cost of operating the program. Amendment #25 to the operations contract #01-237 with Burrtec facilitates implementation of the CDSDP throughout the solid waste disposal system. The first year cost of this program to the County was estimated at $36.10 per ton of diverted material. To finance this cost, SWMD is charging self-haul customers a $10.00 per ton AB 939 Fee for loads of one ton or more, $2.00 for minimum loads up to 500 Ibs., $1.00/cubic yard for Volume Basis (for non-compacted refuse), and $3.34/cubic yard for Volume Basis (compacted refuse). The AB 939 fee will be reviewed annually to match revenues with costs. Regular trash trucks and transfer trucks will not be charged this fee since these vehicles are delivering waste that has already been subject to a diversion program. In addition to self-haul loads, roll off container trucks under franchise to the County and WDA cities and other County and city vehicles such as pick-ups and dump trucks are the targeted candidates for this diversion processing. To process these vehicles, the County must amend agreements with the WDA cities to allow SWMD to charge city franchised haulers and other city vehicles the AB 939 Fee. Therefore, the purpose of these amendments to the WDA is to authorize the County to charge the AB 939 Fee on tonnage that is otherwise considered to be Controllable Waste of the City and, at the same time, to allow such waste be processed in the CDSDP. The CDSDP is currently operating at the Victorville Sanitary Landfill, Barstow Sanitary Landfill, Landers Sanitary Landfill, Heaps Peak Transfer Station, Twentynine Palms Transfer Station, Phelan Transfer Station and the Big Bear Transfer Station. It is expected that additional sites, including the San Timoteo Sanitary Landfill and the Mid-Valley Sanitary Landfill, will implement the CDSDP in the future as more WDA cities approve their amendments. To date, 10 cities have approved this Amendment No.3. REVIEW BY OTHERS: This item was reviewed by County Counsel (Robert L. Jocks, Deputy County Counsel, 387-5435) on March 5,2008 and the County Administrative Office (Tom Forster, Administrative Analyst, 387-4635) on March 14, 2008. FINANCIAL IMPACT: Participation by the three subject cities in the CDSDP will add a total cost of approximately $445,000 to the program. However, revenues generated from the Board- approved AB 939 Fees will be sufficient to offset this cost to SWMD. SUPERVISORIAL DISTRICT(S): Second, Third and Fifth PRESENTER: Peter H. Wulfman, Division Manager, 386-8703 3/25/08 #20 . FOR COUNTY USE ONLY e :x: New Vendor Code SC Depl. Contract Number Change ~WM A 97-1051 A-3 Cancel County Department Depl. Orgn. Contractor's license No. DPW - Solid Waste Manaaement SWM SWM County Dapartment Contract Representative Telephone Total Contract Amount Claudia J. Rozzi, Financial Manager 386-8949 Varies Contract Type IX] Revenue D Encumbered D Unencumbered D Other: If not encumbered or revenue contrad type, provide reason: Amend existing revenue contract for implementation 0 the Comprehensive Disposal Sfte Diversion Program (CDSDP). Commodfty Code Contract Start Date Contract End Date Original Amount Amendment Amount 1/1/98 12/31/12 Fund Depl. Organization Appr. ObjlRev Source GRCIPROJ/JOB No. Amount EAA SWM SWM. 9700 , None Fund Depl. Organization Appr. Obj/Rev Source GRC/PROJ/JOB No. Amount , Fund Depl. Organization Appr. ObjlRev Source GRCIPROJ/JOB No. Amount , Project Name Estimated Payment Total by Fiscal Year Amendment # 3 to the FY Amount lID FY Amount lID Waste Disposal Agreement - - For Comprehensive Disposal - - Diversion Program (CDSDP). - - County of San Bernardino FAS CONTRACT TRANSMITTAL Amendment No.3 ORI6INAl CONTRACTOR City of San Bernardino FederallD No. or Social Security No. Contractor's Representative Fred Wilson, City Manager Address 300 North D Street, San Bernardino, CA 92418 Phone (909) 384-5140 Nature of Contract: (Briefly describe the general terms of the contract) The Waste Delivery Agreement is a fifteen year agreement between the County ~ the City of San Bernardino for use of the County landfill system. Amendment # 1 was to implement the " Icl~19 Solid Waste" component of the County's waste management system and define the city's ~~ h nue. Amendment # 2 was to increase the annual maximum limits of "Article 19 Solid Waste" in \~ ~ andfill system. The purpose of Amendment # 3 is to allow the County t~~e fee of $10.00 per ton (pro rated) for identified Controllable Waste of the City (e.g., roll off con~~trp and other ~~i'fhicles such as pick-ups and dump trucks) and have such waste subject to bein~~sl,d in the reCYCIi~~~1'n. ~ n1~eparedo u~~~~Q~~ Revi~~& nt ~ n Prese to BOS for .g ~~\V~S . ~~ Date 3 - 7 -o~ 2008-57 EXHIBIT "A" _..__r___.____ ~-_......__._---- WASTE DELIVERY AGREEMENT BETWEEN THE COUNTY OF SAN BERNARDINO, CALIFORNIA AND THE CITY SAN BERNARDINO DATED 2/19/08 -.-..-- --..------. County Authorization Date: City AuthorIzation Date: 2-19-08 County Notice Address: City Notice Address: Splld Waste Management Division 222 W. Hospitality Lane, 2nd Floor San Bernardino. CA 92415-0017 Emergency Contect: Peter H. Wulfman Division Manager 909-386-8701 Public Services Department 300 North "0" Street, 4th Floor San Bernardino, CA 92418-0001 Emergency Contact: Ken Fischer Director 909-"384-5140 2008-57 EXHIBIT "A" AMENDMENT NO.3 TO WASTE DELIVERY AGREEMENT On 12/16/97 . the City of San Bemardino ("City") and the County of San Bemardino ("County") entered into a Waste Delivery Agreement (the "WDA") which is hereby amended as of this --lQ- day of FFRRlJARY ,20Cli. ("Amendment No.3). RECITALS A. The County owns, manages and operates a sanitary landfill system for the disposal of municipal solid waste generated In the unincorporated area within the County and which It has made available for the disposal of municipal solid waste generated within the cities Ioc8ted within the County (the "Disposal System"). The Disposal System currently includes ten (10) major facilities: six (6) active landfills and four (4) Transfer Stations. landfill: Victorvllle Sanitary Landfill Barstow Sanitary Landfill Landers Sanitary Landfill Colton Sanitary Landfill San Timoteo Sanitary Landfill Mid-Valley Sanitary Landfill Transfer Station: Phelan Transfer Station Big Bear Transfer Station Twantynine Palms Transfer Station Heaps Peak Transfer Station The Disposal System is used for the disposal of municipal solid waste which is notcomposted, reused, recycled, transformed or otherwise diverted from landfill disposal, pursuant to the Califomla Integrated Waste Management Act of 1989 (the "Act"HDivision 30 of the Callfomia Public Resources Code]. B. In 1989 the state passed AS 939 that required all local jurisdictions to divert waste from landfill disposal by fifty percent (50%). The County and the cities have implemented many programs to achieve this state mandated requirement. Most jurisdictions have achieved diversion In the high forty percent (40%) range; howaver, they are short of the fifty percent (50%) requirement. Many solid waste customers already have a significant portion of their waste diverted either through curbside recycling programs or at Material Recovery Facilities. However, residential and commercial self-haul customers who take their solid waste to the disposal facilities have limited diversion opportunities. C. The recycling representatives from the County and Cities with Waste Delivery Agreements rHDA) have requested that the County perform diversion of self-haul waste at the disposal facilities. In response to this need, the Solid Waste Management Division (SWMD) has developed a Comprehensive Disposal Site Diversion Program (CDSDP) to divert this waste. The SWMD financed a pilot program at the Victorivlle Page 1 of9 2008-57 Landfill and has detennined that the program is effective in increasing the diversion of these loads. The program has self-haul vehicles proceed to a load checking station where the potential for diversion Is assessed. Loads that appear to have substantial dlvertable materials are sent to the diversion area for processing. As of November 2006, approximately fifty percent (50%) of the type of loads Identified as being eligible for the program are directed to the on-site processing area and approximately fifty percent (50%) of the tonnage processed Is diverted. D. The CDSDP, which was recommended by the Local AS 939 Task Force (Solid Waste Advisory Taskforce/SWAT) on October 18, 2006, will expand the existing diversion program to the ten major facilities operated by the County (See. Recital A above). The recently completed amendment to the Operations Contract with the Operations Contractor facilitates the Implementation of the expansion of the onsite CDSDP throughout the system; specifically requiring such services to be provided by the operator and setting out an agreed upon first year cost for such services of $36.10 per ton of diverted material. E. To finance the CDSDP, an AS 939 Fee will be charged to self-haul customers. Regular trash trucks and transfer trucks will not be charged the fee, because these vehicles deliver waste that has already been subject to a diversion program. Eligible tonnage to be pharged the AS 939 Fee Is waste brought to the disposal site by self- haulers, commercial (non-franchised and non-permitted haulers), all county and city roll- offs (roll-offs either controlled or hauled by the county/city) and other county and city owned vehicles. Eligible tonnage that will not be charged a fee is waste brought to a disposal site from a community clean-up program, waste brought to a disposal site on a free dump day, and waste picked up by the Operations Contractor for off-site clean-up one-quarter mile around a disposal site. The AS 939 Fee Is set at a price sufficient to cover the cost of diversion for both of the proceeding categories of Eligible tonnage. However, Eligible tonnage that Is considered to be Controllable Waste of the City within the meaning of this WDA is entitled to be disposed of on payment only of the Convact Rate (pursuant to sectIon 4.1). On the other hand, such tonnage is not entltled to participate In a program such as the CDSDP, pursuant to the provisions of section 3.6. The purpose of this amendment Is to authorize the County to charge the AS 939 Fee on Eligible tonnage that Is otherwise considered to be Controllable Waste of the City and, at the same time, to allow that such waste be processed in the CDSDP. F. On January 9, 2007, the Board of Supervisor's (the "Supervisors") of the County approved the expansion of the CDSDP to the ten ('10) major facilities in the County Disposal System, as listed In Recital A above. The Supervisors also approved the AS 939 Fee which will be Implemented relative to Eligible tonnage at each disposal site concurrently with the start-up of th!" CDSDP at the given disposal site. NOW THEREFORE, Inconsideration of the forgoing recitals and the following covenants and promises the parties agree as follows: 1. Section 3.6. COUNTY PROVISION OF TI:lE WASTE DIVERSION SERVICES shall be amended by adding the following: Page 2 of 9 2008-57 (D) Comorehensive Dlsoosal Site Diversion Proaram (CDSDP). Effective with the approval of this Amendment, the CIty agrees to become a participant In the County's Comprehensive Disposal Site Diversion Program ("CDSDP"). The CDSDP will be funded through the AS 939 Fee. The COSDP may be expanded. contracted or modified by the County at any time In Its sole discretion. The CDSDP will target all self-haul and commercial vehicles, county/city roll-offs, and other county/city owned vehicles bringing waste to the disposal site. A load reviewer will Interview drivers and review every load and Identify those loads with the potential for diversion. Those loads will be sent to the on-site diversion area for processing. Loads will be dumped at the sorting area where a combination of manual and mechanical means will be used to sort inert waste, fines waste, wood waste, metal waste, green waste and tires. The diverted materials will be stockpiled for additional processing or later use. The operator will regularly quantify the weight of the material diverted. By design, the program can add or delete diverted materials based on a material's "divertabilityM, although the core materials are expected to remain the same. The weight of the diverted materials will be allocated In proportion to the percent of Eligible tons brougtit In by jurisdiction of origin on a site-by-site basis (1) f;ligible and Ineligible Tons. The CDSDP classifies all materials coming into a disposal site as Eligible or Ineligible tonnage. Eligible tonnage Is waste that is not subject to a recycling program prior to arriving at the disposal site. Ineligible tonnage has been subject to a recycling program or Is classified as restricted waste or non-waste material. Eligible tonnage to be charged the AS 939 Fee Is waste brought to the dlsposall!lte by self-haulers, commercial (non-franchised and non-permitted haulers), all County and city roll-offs and other County and city owned vehicles. Eligible tonnage that will not be charged a fee is waste brought to a disposal site from a community c1eanrup program, waste brought to a disposal site on a free dump day, and waste picked up by the Operations Contractor for off-site clean-up one-quarter mile around a disposal site Ineligible tonnage Is waste from all franchised and permitted waste haulers, Including cities with Waste Delivery Agreements that haul their own waste, using a front-, rear-, or side-loading refuse vehicle (packer truck), and waste from a Materials Recovery Facility (MRF) or transfer station hicluding ArtIcle 19 and ArtIcle 20 waste, and Processed Green Material. Ineligible tonnage also Includes cover soli, alternative daily cOver. alternative Intermediate cover, landfill construction materials, septic and sludge, reStrIcted wast~ such as animal and fowl carcasses, and declared emergency and disaster debris. (2) Diverted Material Measurement Standards. All measurement standards will be consistent with the State Of CaUfomla dlspoSSlreporting regUlations. a. Metals: Outgoing metals will be weighed across Solid Waste Management Division ("SWMD") scales with a record of outgoing net weight retained In Page 3 of 9 2008-57 the SWMD database. The Operations Contractor shall submit weights for all metal materials removed from disposal sites. b. Iim!: Outgoing tires will be weighed across SWMD scales with record of outgoing net weight retained in the SWMD database. The Operations Contractor shall submit weights for all tires removed from disposal sites. c. Mixed Recvclables (or seoarated bv tvoe. e.o.. olass. olastic. oaoer. etc.): Outgoing mixed or other separated recyclables will be weighed across SWMD scales, with a record of outgoing net weight retained In the SWMD database. The Operations Contractor shall submit weights for all recyclables removed from disposal sites. d. Wood waste and Processed Wood/Green Material: Following wood waste processing, Processed Wood/Green Material (pGM) will be loaded Into site self-Ioeding scraper (fully loaded with PGM only). The Operations Contractor shall maintain a daily log Indicating the number of all PGM scraper loads used at each facility each day. The log will Include scraper model and identification number used to transpo~ materials. Approximately every 20111 load, and a minimum of two loads each day, the PGM will be offloaded from the scraper onto compacted level earthen area. ~GM material only will be reloaded into roll-off boxes and weighed at the site SWMD scale In accordance with vehlcielbox weight procedures. The truck and box numbers used to weigh the semple loads will be recorded In the daily log. The average net weight determined from the sample loads weighed will be the weight used for each load not weighed. The County retSins the right to weigh any or all loads of PGM. e. Screened Fines: Following processing, Processed Screened Fines will be loaded into site self-loading scraper (fully loaded with Screened Fines only). The Operations Contractor shall maintaIn a daily log Indicating the number of all Screened Fines scraper loads used at ~ch facility each day. The log will Include scraper model and Identification number used to transport materials. Approximately evel1( 20th load, and a minimum of two loads each day, the Screened Fines will be offloaded from the scraper onto compacted level earthen area. Screened Fines material only will be reloaded into roll-off boxes and weighed at the site SWMD scale in accordance with vehiclelbox weight procedures. The truck and box numbers used to weigh the sample loads will be recorded In the dally log. The average nat weight determined from the sample loads weighed will be the weight used for each load not weighed. The County retains the right to weigh any or all loads of Screened Fines. f. ~: Inert stockpiles shall be surveyed monthly. The SWMD will be advised of survey date and time. and may attend the stockpile survey. Stockpile volume Information will be provided to the SWMD by the 15111 of each month. Average weight or density of matelial will be determined by the SWMD. This weight or density will be used In determining stockpile tonnage. Weight records will be retained and filed by the SWMD. g. Housebold HA7ArdOUS WastelUniversal Waste (HI1WIVW): As waste is sorted out at the diversion area, it is likely that a large volume of HHWIUW will be separated from the waste stream and require processing. The additional cqsts of Page 4 of 9 2008-57 increased HHWIUW separated by the CDSDP will be paid for from the savings In the recent contract amendment with the landfill Operations Contractor. h. Other Material~: Based on incoming waste stream concentrations, end-use markets availability, regulatory mandates, and recovery costs, other materials may be targeted for diversion by the program. Appropriate measurement procedures will be established to quantify the amount being diverted by Jurisdiction of origin. The procedures shall be consistent with state regulations and reporting requirements. i. Measurement Methodology. Measurement methodology may be changed, at the sole discretion of the County, to promote a more effective or efficient method of measurement. The WDA Cities will be noOOed by the SWMD, In writing, If and when any such change In measurement methodology Is made by the County. (3) Record Keeolna and Reoortlna Reaulrements. The Operations Contractor will provide SWMD with a monthly report showing materials and quantitles diverted for each disposal site. The agency will report the diversion as a reduction in disposal by jurisdiction In the quarterly Disposal Report System (DRS) reports for landfills and transfer stations. (See Methodology of Allocating Diverted Waste to Jurisdictions, below). (4) MethodCiloav of A1locatlna Diverted Waste to JurisQlctIons. a. Diversion Allocation Method. The basis for allocating the diverted material by Jurisdlctlon will be established based on the percent by jurisdiction of the total Eligible tons for the program. .Percent of tons in by Jurisdiction equals the tons out by jurisdiction.. The allocation will be done as part of the quarterly DRS report and/or the station summary, and use the same data set. b. Jons Eligible for the oroaram. All waste, measured In tons, frolT1 all customers, with the exceptions as shown below (see Section 3.6. (D) (1) Eligible and Ineligible Tons for more detail): (i) Loads delivered by front-, rear- and side-loader waste trucks operated by a permitted /franchised solid waste hauler. (if) Waste from a permitted MRF or transfer station. (III) Imported materials including ADC, mulch and construction materials. (Iv) Disposal system accounts: off-site clean up, Heaps Peak Transfer, SWM 22 and SWMENG. (v) Waste from a declared emergency or disaster. (vi) Specialized accounts, such as lawe.nforcement. (vii) Restricted wastes. c. AllocatlonoroCedures. (I) Parameters: a. The quarteriy DRS data set is used. Paae 5 af9 2008-57 b. The same diversion data (from the site operator) is used. (ii) The County will review operator records/procedures to assure reasonable accuracy. (iii) Site diversion procedures and methods for quantifying the amounts of diversion are acceptable to applicable regulatory agencies, and are consistent with the DRS regulations. (iv) The allocation procedure is the same for every site but may vary slightly to allow for site specific conditions/restrictions or operational requirements. d. Calculation of incomina oroaram tonnaae bv site. (i) Tonnage from Ineligible loads is removed from the DRS data set. (ii) The remaining tonnage is sorted by jurisdiction and is summed by jurisdiction. (Iii) Total Eligible tons are calculated. (iv) Each jurisdiction's percent of total Eligible tons is calculated. (v) The result is the basis for allocating the site diversion. e. Site diversion allocation. (i) The site operator keeps records of all types of diversion activities and quantifies, by weight, the type of material and amount diverted. (ii) Using the percentage developed in Number 1 above, the total site diversion is allocated by jurisdiction, with that diversion being shown as a deduction in the jurisdiction's disposal for the site, in the quarterly DRS report detail ("Site Diversion"). (Iii) Unallocated diversion will be host assigned. (5) AS 939 FEE. The' AS 939 Fee for the first year of the Comprehensive Disposal Site Diversion Program (CDSDP) is $10.00Iton for all Eligible tonnage that is categorized as chargeable. The AS 939 Fee will be adjusted annually to cover the cost of the CDSDP, and that adjusted annual fee will be effective annually on the first day of July, beginning July 1, 2008. . The cost of the CDSDP per Eligible ton will fluctuate annually depending upon the amount of diversion per Eligible ton and the cost for each diverted ton. As the diversion per Eligible ton increases, the fee will be increased (as more waste will be diverted and so that, in total, the program will cost more). As the diversion per Eligible ton decreases, the fee will be decreas(;l(j (as less waste will be diverted and so that, in total, the program will cost less). likewise, to the extent that the cost of diverting a Paae 6 of Q 2008-57 given ton changes, the cost, in total, of the program will change. Annually, the AS 939 Fee will be adjusted down or up, based upon the cost of the program actually experienced in the prior year. Excess revenues or excess costs will be rolled Into the next year's AS 939 Fee calculation. See Exhibit "A" for the calculation of the cost for the first year of the CDSDP. The AB 939 Fee Is a fee set forth In the County Code and, as such, any adjustment to the annual AS 939 Fee will be subject to the County Board of Supervisor's ("Board") approval through the Annual Fee Ordinance Approval Process. After Board approval, the adjusted AS 939 Fee will become effective on the first day of July, annually. The timellne associated with the Annual Fee Ordinance Approval Process Is subject to change at the sole discretion of the County. The SWMD will provide to the WDA Cities on an annual basis, In writing, a notice of proposed change to the AB 939 Fee. It Is anticipated that this annual notice of proposed change will be mailed out to the WDA Cities no later than the end of the month of December; however, that tlmeline is subject to any. changes which the Board may make, at their sole discretion, to the tlmellne associated with the Annual Fee Ordinance Approval Process. In the event of termination of the City's participation in the CDSDP, the County shall no longer be entitled to charge the AS 939 Fee on Eligible tonnage that Is otherwise considered to be Controllable Waste of the CIty and, at the same time, such waste will no longer be p/'Qcessed In the CDSDP and the City will receive no diversion credits with respect to such waste (but City will receive diversion credit, calculated as provided In this subsection, relative to any Eligible tonnage delivered prior to the date of termination). (6) RESPECTIVE OBLIGATIONS. The County recognizes Its obligation to operate the CDSDP, but reserves the right to terminate theCDSDP, at any time, for any reason. If the CDSDP were to be terminated, the County agrees to notify the City in writing of such intention to terminate the CDSDP sixty (60) days prior to termination of the CDSDP. i The City recognizes its obligation to continue its participation in the CDSDP, but reserves the right to terminate its participation in the CDSDP, at any time, for any reason. If the CIty decides to terminate Its participation in the CDSDP, the City agrees to notify the County In writing of such intention to terminate Its participation sixty (60) days prior to termination of Its participation in the CDSDP. 2. Section 4.1 of the WDA, entitled "CHARGING AND SECURING PAYMENT OF CONTRACT RATE", is amended by adding a new subparagraph (A), to read: (A) Eligible Tonnage. Notwithstanding the forgoing, In addition to paying the Contract Rate, the CIty shall pay, and the County is authorized to charge and collect, the AB 939 Fee (as deflned In subsection 3.6(0)) on EJlglbletonnage (as defined In section 3.6(0)) that Is otherwise considered to be Controllable Waste of the City provided that such waste is being disposed of at a disposal facility of the County at which the' CDSDP has been Implemented. 3. EFFECTIVE DATE. This Amendment shall be effective the date that the latter of the County or City have approved this Amendment. Page 70f9 2008-57 4. NO OTHER AMENDMENTS. Except as modified In this Amendment No.3 (or in any prior amendment), all other terms and conditions of the WDA shall remain In full force and effect. I I I ~ I I I I I I I I I I I I I I I I I I ( I I I I I I I ' I ( I I I I 1 I I I I I I I I I 2008-57 IN WITNESS WHEREOF, the parties hereto have executed this Amendment on the day and year set forth below. COUN By: Dale: cn-/o51 A-3 NARDI NO Chairman Board of Supervisors MAR 2 5 7008 By: Dale: ~- 7 -og , By: e:::. Name: F lson City Manager Title: Date: \. 40 ~.h,,-'tf ,;u, dO()tf ATTEST: By: ~.h.~ City Clerk APPROVED AS TO FORM: CITY ATTORNEY ~ '7~~-...-- By: r. Penman Date: "9~ . I ~ 2,......1" Pace 9 of9 2008-57 ATTACHMENT A Page 1 of2 COMPREHENSIVE DISPOSAL SITE DIVERSION PROGRAM CURRENT AS 939 FEE CALCULATION: The diversion program targets vehicles not subject to a diversion program prior to entering a County disposal facility. This excludes normal trash trucks and tran$fer trucks. VIrtually all other vehicles are subject to the AS 939 Fee. When a vehicle enters a site having a diversion program, no determination of the amount of divertlble material can be made since loads must be covered and secured while transporting the waste. Therefore, all vehicles that could have dlvertible material are charged the AS 939 Fee, even though only a portion of those vehicles will actually have waste processed for recyclables. In 2006, a feasibility study was conducted that estimated 606,733 tons of waste eligible for the diversion program ("Eligible Waste") would be brought Into the ten selected sites in the 2007-2006 fiscal year, with 589,521 tons of that waste being subject to the AS 939 Fee. Using the information developed by a pilot program at the San Bernardino Landfill, fifty percent (50%) of the total Eligible Waste arriving at the sites or 303,169 tons (606,733 tons x 50%), Is expected to be directed to the processing area and fifty percent (50%), or 157,772 tons (303,176 tons x 50%), of the directed waste Is expected to actually be diverted from disposal. in 2006, Amendment #25 to the Operations Contract set the rate to be paid Surrtec for diverting waste at $36.10/dlverted ton, to be adjusted annually at the same rate as the Operations Contract. Thus, the payment expected to be made to Burrtac In the 2007.2008 fiscal year for the diversion program Is $5.695,569 (157,772 tons of diverted waste x $36.1 O/diverted ton). For the SWMD to Inspect the operations, monitor data, and prepare reports an overhead cost of $200,574 is expected to be incurred. This overhead amount Is added to the contractor payment to arrive at the total 2007-2008 fiscal year program cost of $5,896,143 ($5,695,569 + $200,574). . To determine the AS 939 Fee for the 2007-2008 fiscal year, the total program cost Is divided by the amount of chargeable tons resulting In the current rate of $10.oolton ($5,896,143/569,521 tons). As explained below, for Mure year AB 939 Fee calculations aclual cost carry-over expenses will be added to, or actual revenue carry-over surpluses will be subtracted from, the fiscal year's cost. Therefore, the 2007-2008 fiscal year cost carry-over, or revenue carry-over, will be applied to the 2009-2010 fiscal year cost. FUTURE AS 939 FEE CALCULATIONS: The CDSDP Is an actual cost program. Future AS 939 Fee calculations will be based on the following formula: 2008-57 ATTACHMENT A Page 2 of2 Estimated diverted tons x Adjusted contractor payment per ton = contractor's. payment. Contractor's payment + Estimated overhead cost = fiscal year's cost Fiscal year's cost + Actual prior year cost cany-over, or - Actual prior year revenue carry-over = Estimated program cost. Estimated program cost !Estimated chargeable tons = revised AS 939 Fee. Example #1: calculated with an actual prior year cost carry-over Estimated diverted tons Increase 3% (157.772 x 1.03 = 162,505) Adjusted contractor payment per ton Increase 1 % ($36.10 x 1.01 = $36.46) Estimated overhead cost decrease 15% ($200,574 x 0.85 = $170.488) Actual cany-overcost = $74,500 Estimated chargeable tons increase 5% (589,521 x 1.05 = 618,997) Calculation 162,505 x $36.46 = $5,924,932 contractor's payment $5,924,932 + $170,488 = $6,095,420 fiscal year's cost $6,095,420 + $74,500 = $6,169,920 estimated prpgram cost $6,169,920/618,997 = $9.97/ton revised AS 939 Fee Example #2: calculated with an actual prior year revenue carry-over Estimated diverted tons Increase 3% (157,772 x 1.03 = 162,505) Adjusted contractor payment per ton increase 1 % ($36.10 x 1.01 = $36.46) Estimated overhead cost decrease 15% ($200,574 x 0.85 = $170,488) Actual prior year carry-over revenue surplus = $74,500 Estimated chargeable tons Increase 5% (589,521 x 1.05 = 618,997) Calculation 162,505 x $36.46 = $5,924,932 contractor's payment $5,924,932 + $170,488 = $6,095,420 fiscal year's'cost $6,095,420. $74,500 = $6,020,920 estimated program cost $6,020,920/618,997 = $9.73/ton revised AS 939 Fee " 2008-57 ATTACHMENT B Page 1 of1 COMPREHENSIVE DISPOSAL SITE DIVERSION PROGRAM CITY OF SAN BERNARDINO Without the City of San Bernardino's participation, the CDSDP Is expected to produce 38,307 Eligible Tons from self-haul customers from San Bernardino resulting In a diversion credit to San Bernardino of 9,960 tons at a cost to the self-haul customers of $372,362, With the City of San Bernardino's participation, the CDSDP is expected to produce an additional 42, 133 Eligible Tons from roll-offs and City owned vehicles resulting In an additional diversion credit to San Bernardino of 10,955 tons at an additional cost of $409,632. Included in the $409,632, Is out-of-pocket City expenses of $69,500 for City owned vehicles. Therefore, with the City of San Bernardino's participation, the CDSDP Is expected to produce a total of 80,440 Eligible Tons and a total diversion credit to San Bernardino of 20,915 tons. Total seIf-haul and roll-off customer cost Is expected to be $ 712,495 and out-of-pocket City expense is expected to be $69,500. " Please note that all calculations for the City of San Bernardino are from tonnages prior to the Implementation of the Colton Trensfer Station, and do not include any Impact resulting from the use of the transfer station.