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HomeMy WebLinkAbout23-Public Services CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION Date: October 2, 2000 @;@WJ~~ Subject A resolution authorizing the execution of an agreement with Taormina Industries, LLC. for the provision of commingled recyclables processing From: Lynn Merrill, Director Dept: Public Services Council Meeting Date: October 16, 2000 Synopsis of Previous Council Action Reso 95-221 July 10, 1995 Reso 2000-218 July 24, 2000 requesting extension of agreement term Recommended Motion: Adopt resolution ~~M=iU Contact person: Lynn Merrill Phone: 5140 Supporting data attached: Ward: All FUNDING REQUIREMENTS: Amount: 1" year Dump Fees estimate $428,684 1" year Revenues from sale of Recyclable $435.354 Net income to Refuse $ 6,670 Source: 517-412-5179 Dump Fees ,/7., ./ / J / f;!5;1.Ai'}(Uc..1 / ;I a(~.?/L. FInance Council Notes: P/'ulL<~J ~"';G~ 1/6/00 B-zWU~J .(~ +18.). !ollb/ou -:f} 2-3 ~ CITY OF SAN BERNARDINO - REQUEST FOR COUNCIL ACTION STAFF REPORT SUBJECT A resolution authorizing the execution of an agreement with Taormina Industries, L.L.c. for the provision of commingled recyclables processing. BACKGROUND OnJuly 10,1995 Council approved the execution of an agreement betWeen the City of San Bernardino and Taormina Industries, L.L.c. for the processing of commingled recyclables from the residential waste stream. This Agreement was for a period of two (2) years with three (3) one-year options. The original agreement ended on July 27,2000. On July 24,2000 Council approved the execution of the First Amendment to the above Agreement to extend the term to October 27, 2000. Requests for Proposal for Commingled Recyclables Processing, RFP F-01-39, were sent to four (4) vendors, the San Bernardino Area Chamber of Commerce, and advertised in The Sun Newspaper and the City Web page on August 15, 2000. Two (2) proposal packages were received on September 18,2000 from Buntec Waste Industries, Inc of Fontana, California and Taonnina Industries, L.L.c. located in Anaheim, California. Proposal packages consisted of two separate parts; the services proposal, and cost and pricing data. An Evaluation Team consisting of Arlington Rodgers, Solid Waste Manager, Linda Ceballos, Environmental Projects Coordinator and T eri Baker, Administrative Analyst reviewed and evaluated the services proposals. A scoring criteria using six categories was used to evaluate each proposal and each evaluator was asked to assign a rank of 0 being no response to 5 being best qualified to each of the six categories. Each respondent to the RFP was asked to provide cost and pricing data by completing two tables within the RFP and to submit this data in a sealed envelope separately from the written proposal. Upon completion of the proposal evaluations, cost and price forms were opened, declared, and evaluated as follows: Table 1 requested Commingled Recyclables Pricing on sixteen (16) commodities such as papers, metals, plastics and glass that are separated and marketed from the commingled recyclables stream. This form includes information regarding the cost per ton to process this material stream, a transportation cost per mile for transferring this material from one location to another, if applicable, and a cost per ton for disposal of any unrecyclable residuals that would need to be disposed of at a landfill. Table 2 requested Floor Prices For Commingled Recyclables for the same 16 commodities. Floor pricing is the minimum price paid to the City for each commodity and protects the City against a collapse of market value for each commodity for which a floor price is provided. For example, if the floor price for old corrugated cardboard is $20.00 per ton, but the market goes to $1.00 per ton, the City will receive the floor price for it's material stream. In order to determine the best dollar value for the City, staff used the floor pricing to determine each vendor's net average cost. The floor pricing is used since this is a guaranteed lowest net cost to the City; actual market prices vary greatly based upon an individual vendor's arrangements with end users of the processed recyelables and global economic conditions. The City may experience higher revenues than those calculated by using the floor prices. Taormina provided floor pricing on seventeen (17) commodities while Burrtec provided floor pricing on twelve (12) commodities. In order to calculate a total revenue per ton, each commodity was assigned a quantity of one ton and a total revenue was calculated. From this total revenue, the total tonnage of recyelables, seventeen (17) tons for Taormina and twelve (12) tons for Burrtech, were multiplied by each vendor's processing fee cost. TIlls cost was then subtracted from the total revenue to calculate a net revenue or expense. TIlls net revenue/expense number was then divided by the tonnage number (17 or 12, respectively) in order to calculate a net cost number for each of the years. The following tables summarize these calculations: TAORMINA FLOOR PRICING YEAR: 2000 2001 2002 2003 2004 Total Revenues: $4,829.00 $4,829.00 $ 4,829.00 $ 4,829.00 $ 4,829.00 Total Number of Commodities 17 17 17 17 17 (Represented as Tons) Processing Fee Per Ton $ 31.25 $ 32.25 $ 33.25 $ 34.50 $ 35.75 Total Processing Cost $ 531.25 $ 548.25 $ 565.25 $ 586.50 $ 607.75 Net Revenue! (Expense) $4,297.75 $4,280.75 $ 4,263.75 $ 4,242.50 $ 4,221.25 Net Revenue! (Expense) Per $ 252.81 $ 251.81 $ 250.81 $ 249.56 $ 248.31 Ton BURRTEC FLOOR PRICING YEAR: 2000 2001 2002 2003 2004 Total Revenues: $1,527.00 $1,527.00 $ 1,527.00 $ 1,527.00 $ 1,527.00 Total Number of Commodities 12 12 12 12 12 (Represented as Tons) Processing Fee Per Ton $ 41.00 $ 42.23 $ 43.50 $ 44.80 $ 46.15 Total Processing Cost $ 492.00 $ 506.76 $ 522.00 $ 537.60 $ 553.80 Net Revenue! (Expense) $1,035.00 $1,020.24 $ 1,005.00 $ 989.40 $ 973.20 Net Revenue! (Expense) Per $ 86.25 $ 85.02 $ 83.75 $ 82.45 $ 81.10 Ton Using the 1999 waste diversion information that provides tons and each proposer's floor pricing, the City has calculated that the Taormina proposal may have a maximum first year fmancial impact on the Refuse Fund, Account 5179 Dump Fees of $428,684.31 based on delivery of 11,100.76 tons of conuningled recyelables. Under the Taormina proposal, the cost of this expense will be offset by 80% of the revenues from the sale of recyelables. This represents a minimum estimated revenue stream of $435,354.14, resulting in a net income to the City of $6,669.83 through the Taormina proposal. The Burrtec proposal would have a maximum fIrst year fmancial impact of $564,621.85 based on delivery of 11,100.76 tons. Under the Burrtec proposal, this cost of this expense may be offset by 85% of the revenues from the sale of recyclables. This represents a minimum revenue stream of $227,730.77, resulting in a net expense cost to the City of $336,891.08 through the Burrtec proposal. 2 The results of both the proposal evaluation and the price comparison were entered into a spreadsheet that assigned a weighted value to each of the six categories. (See Proposal Evaluation Scores - Staff Report Attachment #1). As a result of this process, Taonnina Industries, L.L.c. received a 14.100 rating while Burrtec Waste Industries received an 8.4 rating. As a result of this process, it is recommended that this agreement be awarded to Taormina Industries, L.L.C. for the following reasons: 1. Based on the results of the RFP process, Taormina is the best qualified vendor to perform this service for the City. 2. Taormina's trans-load facility is located closer to the City's collection operation (3.6 miles from the City Yard) while Burrtec's closest facility is located 9 miles from the City yard. Both facilities are located within the City of San Bernardino. 3. Taormina offers guaranteed floor pricing for seventeen (17) commodities while Burrtec offers guaranteed floor pricing for twelve (12), thus increasing the City's ability to divert a larger quantity of materials during poor market conditions. 4. The City has had five (5) years of experience with this particular vendor and has been satisfied with the vendor's performance on the existing contract. From JanuaJY 2000 through August 2000, the City delivered 8,665.98 tons of recyclables to Taonnina under its current contract. The total cost of processing and disposal of these materials was $2,245.71 or approximately 26 cents per ton. The RFP and resulting Agreement, if approved, would be for a period of two (2) years, with three (3) one-year options to a maximum of five (5) years. This Agreement may be terminated by either party with cause. Upon a ninety (90) day written notice. FINANCIAL The first year dump fees are estimated at $428,684; the first year revenue, 80%of the sale of recyclables, are estimated at $435,354. Therefore, the estimated net income to the Refuse Fund in the first year is $6,670. The FYOO/01 Budget, Refuse Fund, Account 5179 Dump Fees, includes funds to cover the above. RECOMMENDATION Adopt the resolution authorizing the Mayor to execute the agreement with Taormina Industries, L.L.c. to process the City's residential commingled recyclables for a two (2) year period, with three (3) one.year options for a maximum of five (5) years. 3 ii ! g ... - 0 ... .... {!. /j, :. m ~ ~ III "' "' ... ... e ci '" ! ~ III ~ ~ - - ~ ~ III "' ... N ,.; ! ~ III t'? :g ~ ~ III "' N ~ i ~ III '" N .:<<.:, ",.:.;.:.:.:. ...-.....;.:.;.:.:{." <D ~ ~ .. l/l e l/l o CD U :c (/) III CQ)'U o M >- ;~U !llq& C;u.. >1I.'g Wu..- C;o::g' l/l .- o E Q. 0 e 0 II. o 0 M 1Il ui ..t '110" ... g;t CO ::J ii > w o 0 lri (") o 0 (") lri ... .. o 0 N ui cr; .. o 0 -<rt N ;;; ::: ".~:.m.<' " o 0 ~ .,; .,; o 0 ~Vluiui ... 0 0 ~ ~ an N i (') ~ ~ > - 0 0 w ~ ~ ..r o 0 _ .. (t) ~4'''''' ,.;::ch. 00 ~ .,; .,; o 0 _liuitri '110 ... 0 0 o v lri cr; 1;;" = 0 ~ "'.. .,; - ii > 0 0 W N ui '''It .. o 0 .. ~ ;;; .... "' :c CO I- i .Q Cll c: 'Qi .Q ... .... . .. e o .. 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The Mayor is hereby authorized and directed to execute on behalf of said City an Agreement (hereto marked "Exhibit 1") with Taormina Industries, L.L.c. for the provision of commingled recyclables processing as set forth in their proposal dated September 18, 2000 (hereto marked "Appendix 1") and incorporated herein by reference as fu1Iy as though set forth at length. Term of said Agreement shall commence as set forth on date of Council approval for a period of two (2) years, with three (3) one-year options of renewal, for a maximum of five (5) years. 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. IIIII I I I I I IIIII IIIII I I I I I I I I I I IIIII I I I I I IIIII IIIII October 2, 2000 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 OF THE CITY OF SAN BERNARDINO AUTHORIZING THE EXECUTION OF AN AGREEMENT WITH TAORMINA INDUSTRIES, L.L.C. FOR THE PROVISION OF COMMINGLED RECYCLABLES PROCESSING. 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 , 2000, by the following vote, to wit: Council Members: N'\Ys Abstain Absent Ayes ESTRADA LIEN McGINNIS SCHNETZ SUAREZ ANDERSON McCAMMACK Rachel dark, City derk City of San Bernardino The foregoing resolution is hereby approved this day of ,2000. Judith Valles, Mayor City of San Bernardino Approved as to form and Legal content; James F. Penman, City Attorney BY: "~ ()) &ff~ October 2, 2000 Exhibit 1 AGREEMENT THIS AGREEMENT is entered into as of this day of , 2000, by and between TAORMINA INDUSTRIES (CONIRACTOR) and the CITY OF SAN BERNARDINO (CITY). WITNESSETH: A. WHEREAS, the State of California enacted the Solid Waste Management Act of 1989 which requires each City and County within the State to reduce the amount of solid waste disposed of by 50% by the year 2000 through source reduction, recycling, and composting; and, B. WHEREAS, the CITY adopted its Source Reduction and Recycling Element in March, 1992 in which the CITY proposed to meet its diversion mandate by a variety of programs, one of which is the implementation of a curbside residential program that collects and processes residential commingled recyclables, thereby diverting these resources from landfill disposal and conserving natural resources; and, C. WHEREAS, the CITY executed an Agreement between the CITY and T aorrnina Industries, Inc. on July 27, 1995;and an Amendment to the Agreement on July 24,2000 extending the term of the Agreement to October 27, 2000; and, D. WHEREAS, the CITY issued a Request for Proposal to identify commingled recyclables processing options that would place a significant emphasis on the widest variety of materials to be recycled; and, E. WHEREAS, CONIRACTOR is competent, experienced and able to perform said services; and, F. WHEREAS, CONIRACTOR has provided processing options to the CITY which will allow the CITY to divert the maximum tonnage of material types; and, G. WHEREAS, such flexibility will allow the CITY to adapt quickly to changing market conditions while maintaining the highest possible diversion in order to meet and remain consistent with the State's diversion mandates; NOW, lHEREFORE, the parties hereto agree as follows: 1. CONIRACTOR shall furnish the processing of commingled recyclables as set forth in CONIRACTOR's proposal dated as shown in Appendix 1, attached hereto and incorporated herein. 2. CONIRACTOR agrees to provide copies to CITY of any and all of the following documents within ten (10) days of receipt by CONIRACTOR of final document from the issuing agency, or upon demand by the CITY: a. Permits issued by local, regional, State or Federal agencies related to the operation of CONIRACTOR's site; 1 Exhibit 1 b. Copies of any notices of enforcement, including but not limited to cease and desist orders, notices of deficiency, notice of termination, violations of air quality or water quality standards, or other actions taken by any governmental agency with oversight or enforcement relating to either land use or environmental regulation. c. Certificates of insurance, including but not limited to W otker's Compensation and liability policies. 3. CONlRACfOR shall comply with any and all existing or subsequently adopted health, safety and solid waste regulations relating to but not limited to: processing, facility operation, reporting requirements, hauling registration, transfer station operation or other regulations as applicable issued by the California Integrated Waste Management Board, its successor organizations and agencies or other State and local agencies with jurisdiction over CONlRACfOR's facility. 4. The CONlRACfOR shall be paid for such services in accordance with the fee schedule included in CONlRACfOR's proposal dated September 18, 2000 as shown in Exhibit . A>> attached hereto and incorporated herein. The following rates shall be applicable: a. PROCESSING FEE - The rate for processing each ton of material shall be no more than $31.25 per ton the first contract year, and $32.25 per ton the second contract year. In the event that the CITY exercises the Option Years Three to Five, inclusive, the rate for processing each ton of material shall be no more than $33.25 per ton for Option Year One, $34.50 per ton for Option Year Two and $35.75 per ton for Option Year Three. In the event that the CONlRACfOR desires to renegotiate rates for Option Years One through Three, inclusive, CONRACfOR shall be required to provide a proposed rate and supporting evidence to the CITY one hundred-twenty (120) days prior to the beginning of the option period and in accordance with paragraph 14, below. Nothing herein shall preclude CONlRACfOR from charging less than the rate set forth herein. Nothing herein shall preclude the CITY from requesting the CONlRACfOR to renegotiate rates. b. RESIDUAL DISPOSAL FEE - The rate for residual disposal costs shall be the rate per ton as set forth by the County of San Bernardino under the Waste Disposal Agreement entered into betWeen the City of San Bernardino and the County of San Bernardino. Arrt change to this landfill rate adopted by the County of San Bernardino Board of Supervisors shall be adjusted on the same date that the County solid waste tipping fees are adjusted. There will be no other adjustments to this rate for the term of the Agreement. c. SALES OF MATERIAL - CONlRACfOR shall pay monthly to CITY eighty percent (80%) of the price received by CONlRACfOR for sale of materials. TIlls price shall be the price received by the CONlRACfOR for the materials. In no event shall the price be less than that shown in Table 2 as submitted by CONlRACfOR to CITY on September 18, 2000 and incorporated herein. d. TRANSPORATION - There shall be no charge for transporting one load of commingled recyclables from delivery point to CONlRACfOR's processing facility. 2 Exhibit 1 5. CITY shall deliver commingled recyclables to CONIRACTOR's lite transfer facility. CONIRACTOR shall be responsible for loading and transportation of commingled recyclables from CONIRACTOR's lite transfer facility to CONIRACTOR's processing facility at no additional cost to the CITY. 6. Ownership of material shall transfer from CITY to CONIRACTOR upon delivery of material by CITY to CONIRACTOR, either at the time that the CITY loads material into CONIRACTOR's roll-off bin or transfer trailer, or upon discharge of material at CONIRACTOR'S Lite Transfer Facility. CONTRACTOR agrees to work with CITY in developing and marketing materials to local markets. 7. As set forth in CONIRACTOR's proposal, CONTRACTOR shall process the following materials for sale by CONTRACTOR old corrugated cardboard, newspaper, mixed papers (including all First Oass through Bulk Rate Mail, catalogues, brochures, craft papers and glossy stock), office paper (including white ledger, colored ledger, laser print out and computer print-out), plastics, (including high density polyethylene (HOPE), Polyethylene Terephthalate (pEl), polyvinyl chloride (pVe), polystyrene (pS, including extruded foam), polypropylene (PP), and low density polytthylene (LOPE), aluminum (including food and beverage cans and foils), bi-metal food containers, tin food containers, beverage and food container glass (including clear, brown and green colors). CONTRACTOR may add additional materials that CONTRACTOR will process at any time during the period of this Agreement. In the event that markets for any of the above listed material become unavailable, CONTRACTOR shall notify CITY in writing of the adverse market conditions, and the proposed actions by CONTRACTOR to remedy this situation. CITY reserves the right to delete material set forth in this paragraph from processing, if, in the opinion of the CIlY, the continued requirement that CONlRACTOR process this material results in additional costs to the CITY. 8. CONlRACTOR shall use the utmost diligence to market the processed materials in order to maximize the revenues resulting from the sale of each material. 9. CONIRACTOR shall, during the first week that the initial delivery of the CITY's commingled recyclables occurs, and in the presence of the CITY's Director of Public Services or his/her designee, conduct or cause to be conducted a waste composition study of the CITY's commingled recyclables to detennine percentages of each commodity set forth herein that are actually present within the total delivered commingled recyclables. This percentage of each commodity shall then be used to allocate revenues from the sale of each commodity back to the CITY, based on total gross tonnage of commingled recyclables delivered by CITY to CONIRACTOR CONlRACTOR shall perform subsequent waste composition studies during the first two weeks of the first month of each calendar quarter or upon a schedule agreed to in writing between the CITY and CONIRACTOR CONIRACTOR agrees to perform all waste composition studies in the presence of CIlY's Director of Public Services or his/her designee. CITY reserves the right to specifically waive the requirement that the Director of Public Services or his/her designee be present at any specific waste composition study. Either party reserves the right to call for a waste composition study at any time by providing ten day written notice to the other party. 10. CONIRACTOR agrees to dispose of residuals that may not be recyclable or compostable at a permitted landfill, transfer station or other disposal facility that is lawfully authorized to accept such solid waste and operated by the County of San Bernardino. CONTRACTOR shall be responsible for the physical transportation of residuals and for any costs incurred for said 3 Exhibit 1 transportation of residuals to the disposal site, unless otherwise agreed to in writing betWeen CITY and CONTRACTOR CONTRACTOR assumes full liability for all residuals disposed of by CONTRACTOR 11. CONTRACTOR shall, within thirty (30) calendar days after the close of each month, submit a written report to the CITY's Director of Public Services, in a format provided by the Director, including the following information: a. Total tonnage of conuningled recyclables delivered by CITY to CONlRACTOR, subdivided into tonnage received for each commodity. b. Total tonnage of each commodity received by CONTRACTOR from CITY and delivered to another processor or end user, including name, address, telephone number and point of contact of the end user or other processor. c. T ota! tonnage of residuals delivered to each permitted landfill, transfer station, or other disposal facility, including the name, address, telephone number and point of contact for the disposal facility. d. Other reports as may be deemed appropriate to the services provided by CONTRACTOR under terms of this Agreement as requested by the Director of Public Services. 12. CONTRACTOR shall provide the Public Services Department with a monthly statement in arrears. CONTRACTOR shall attach and include as part of CONfRACTOR's invoice, copies of documents and reports as required in paragraphs 3 and 12 for the period covered by the statement. CONTRACTOR shall forward all monies due to CI1Y monthly, pursuant to Paragraph 4, section c, less any fees due to CONTRACTOR pursuant to Paragraph 4, sections a, b and d. City retains the right to challenge any or all parts of a statement. 13. In the event that CONTRACTOR's rates set forth herein must be renegotiated for the third, fourth or fifth years of the contract, the following procedures as applicable to the fmancial statements or reports on behalf of CITY shall be used. CONTRACTOR shall submit a letter to CITY approximately one-hundred and twenty (120) days prior to the anniversary date of contract execution. The letter shall state the reason(s) for the rate increase, the factors affecting the rate and the proposed rate per ton. CONTRACTOR shall submit a financial statement prepared by a Certified Public Accountant for the previous twenty-four month period if the rate increase is anticipated for the third year of the contract, and for the previous twelve month period if the rate increase is anticipated for the fourth or fifth years of the contract, with the request for the rate increase. The CITY shall review the proposed rate and make a determination within forty-five (45) days from receipt of CONTRACTOR's letter regarding the applicability and necessity of the proposed rate increase. During the 45-day period, the CITY may request the opportunity to meet with the CONTRACTOR to review CONTRACTOR's request and supporting evidence. The decision to permit a rate increase will be at the discretion of the CITY. Nothing herein this paragraph shall preclude CITY from requesting to renegotiate CONTRACTOR's rates during the period of this Agreement. 4 Exhibit 1 14. In the event of discrepancy regarding any item within this Agreement, CONlRACfOR agrees to cooperate fully with the CITY in order to resolve said discrepancy. CONIRACfOR agrees to allow CITY, upon reasonable notice, to examine CONIRACfOR's accounting records, sale of material records or other information, as applicable to the services provided to the CITY under this Agreement and to allow CITY to audit CONIRACTOR's books if necessary. 15. CONlRACfOR aagrees to provide written notice, ten (10) days in advance, of any and all refuse collection companies, operations or entities other than CONIRACfOR or CITY who will or are using CONIRACfOR's lite transfer facility located within the City of San Bernardino. CONIRACfOR agrees to include a report, including the items requested in paragraph 13 above, on any other users of CONTRACfOR's facility. 16. The CITY shall reserve the right to negotiate a separate host fee on a per ton basis with CONTRACfOR for the use of CONTRACfOR's lite transfer facility by any and all refuse collection companies, jurisdictions, operations or entities other than CITY, including any refuse collection or refuse hauling companies that CONIRACfOR may acquire during the life of this Agreement. For purposes of this Agreement, a $2.00 per ton host fee has been established and can only be modified with the approval of the Director of Public Services. 17. The terms of this Agreement shall be for a two (2) year period from the date first above shown. TIlls Agreement may be renewed for up to three (3) additional one-year terms, for a maximum of five (5) years from the date first above shown. 18. CONTRACfOR is hereby notified that nothing within this Agreement shall in any way limit the CITY from designing, developing or implementing CITY's own material recovery facility, transfer station, recycling facility or composting facility. CONIRACfOR further is notified that nothing within this Agreement shall in any way prevent the CITY from entering into agreements with and between other agencies, entities or jurisdictions in order to efficiently manage the CrITs solid waste or recyclables, provide for material pn;lcessing or disposal capacity, or require CITY to deliver any minimum tonnage of recyclable materials to CONIRACfOR during the life of this Agreement. CONTACfOR recognizes and accepts that the CITY, by entering into this Agreement, makes no commitment of future deliveries of commingled recyclables other than so specified within this Agreement. During the term of this Agreement, all commingled recyclable materials collected by the CITY will be delivered to the designated site to be processed by CONTRACfOR as defined by the scope of this Agreement. 19. The CITY shall provide written notice to the CONTRACfOR of the CITY's intent to exercise each option year at least sixty (60) days prior to the expiration ohhe current term of this Agreement. 20. This Agreement may be tenninated by either party with cause, upon ninety (90) day written notice to either party at the address set hereunder. 21. CONIRACfOR shall not sell, assign, subcontract or otherwise transfer ownership of this Agreement to a third party during the course of the Agreement without the prior consent of the CITY. CONTRACfOR shall give at least one-hundred-twenty (120) day advance notice to the CITY of CONTRACfOR's intent to sell, assign, subcontract or otherwise transfer this Agreement to a third party. 5 Exhibit I 22. The CITY shall provide written notice to CONTRACTOR within three (3) business days of any deficiency or default discovered by the CITY regarding CONTRACTOR's performance under this Agreement, including proper permits issued by any regulatory agency with appropriate oversight of CONTRACTOR's facility and operation. CONTRACTOR shall have thirty (30) days in which to correct the default at CONTRACTOR's expense. In the event that CONTRACTOR is unable to correct default or provide a schedule in which to correct the default or deficiency to the CITY, the CITY shall have the right to terminate this Agreement. The CITY's written notice to CONTRACTOR shall be considered to be adequate notice as set forth herein. 23. CONTRACTOR agrees to defend, indemnify, save and hold CITY, its officers, agents and employees harm1ess from any claims or suits that may be brought by third persons on account of personal injury, death or damage to property, or a property or business or personal interest, arising from any negligent act or omission by contractor while performing services under this Agreement. 24. While not restricting or limiting the foregoing, during the term of this Agreement, CONTRACTOR shall maintain in effect policies of comprehensive public, general and automobile liability insurance, in the amount of $1,000,000.00 combined single limit, and statutory worker's compensation coverage, and shall file copies of said policies with the CITY's Risk Manager prior to undertaking any work under this Agreement. Such insurance shall be primary to and not contributing with any other insurance maintained by the CITY, and shall name the CITY as an additional insured. Such insurance shall require that CITY be notified at least ten (10) days in advance of any change or cancellation of said insurance. 25. In addition to the aforementioned required limitations on liability and worker's compensation coverage, CONTRACTOR shall open an interest bearing account in an amount of$25,000 in the name of the CITY for the duration of the Agreement, to be forfeited in the event that CONTRACTOR defaults or otherwise is rendered incapable of processing or marketing CITY's commingled recyclables. 26. CONTRACTOR shall perform work tasks in accordance with CONTRACTOR's policies and procedures, and applicable Federal, State and local laws. CONTRACTOR shall be an independent contractor and not an agent or employee of the CITY 27. In the performance of this Agreement and in the hiring and recruitment of employees, CONTRACTOR shall not discriminate on the basis ofrace, creed, color, religion, sex, physical handicap, ethnic background or country of origin. 28. In the performance of this Agreement, CONTRACTOR shall take appropriate steps to provide a drug-free workplace. 29. CONTRACTOR shall implement, where economically feasible, source reduction and recycling programs within CONTRACTOR's operations, and shall "Buy-Recycled" products when feasible. 6 Exhibit 1 30. Any notice to be given pursuant to this Agreement shall be deposited with the United States Postal Service, postage prepaid and addressed as follows: TO THE CITY: Public Services Director City of San Bernardino 300 North "D" Street San Bernardino, CA 92418 TO THE CONTRACTOR: Taormina Industries, L.L.C. Post Office Box 309 Anaheim, CA 92815-0309 Nothing in this paragraph shall be construed to prevent the giving of notice by personal service. Notice shall be deemed to be received by either party three business days after being deposited with the United States Postal Service. 31. In the event that suit is brought against one party by the other party regarding this Agreement, the prevailing party in the suit shall be entitled to reasonable legal fees. The costs, salary and expenses of the City Attorney and members of his office in enforcing this Agreement on behalf of the City shall be considered as "legal fees" for the purposes of this paragraph. IN WITNESS WHEREOF, THE PARTIES HERETO HAVE EXECUTED THIS Agreement on the day and date first above shown. CITY OF SAN BERNARDINO By: Judith Valles, Mayor ATTEST: TAORMINA INDUSTRIES, L.L.c. By: Rachel Clark, City Clerk Approved as to form and legal content: JAMES F. PENMAN, City Attorney By: 7 Appendix I .-1AORM'NA INDUSTRIES ....::... ;:;'. -l .:.:."."-:;.,:" ",". September 18, 2000 Mr. David Batson RFP F-01-39 City of San Bernardino 300 North "0" Street 4111 Floor San Bernardino, CA 92418 RE: Response to Proposals RFP F-01-39 Dear Mr. Batson: Taormina Industries, L.L.C. a division of Republic Services, Inc. is honored to submit our response to the City of San Bernardino Request For Proposals for Commingled Recyclables Processing. ..- Taormina Industries has thoroughly read and is familiar with the RFP, and hereby proposes to provide said services in accordance with this proposal, which includes the Cost and Price Forms submitted under separate cover. The information contained within this proposal, including cost and price forms, are deemed valid for a period of 90 days after the submission deadline. As stated in the General Specifications, a Certificate of Insurance in amount required will be provided upon successful award ofthis Agreement. The individuals signing this proposal on behalf of Taormina Industries are authorized to do so and are the key contacts for the City of San Bernardino. Sincerely, ~~3 PresidentlC.E.O. (---. -.) \:-""i "--~ c~_ Dave Ault Executive Director PoSlOtfJCeB.;1 ;':9 Anaheim. CA 2,:'5.0309 Telephone 711 ,:C 3XJO Facsimile 71';;~ 3309 <it _!=-:O-'~~'~.i':..~' Appendix 1 RFP F.01.39 RESPONSE TO THE CITY OF SAN BERNARDINO Request For Proposal Commingled Recyclables Processing ~AORM'NA INDUSTRIES TABLE OF CONTENTS RESPONSE TO CITY OF SAN BERNARDINO REQUEST FOR PROPOSAL COMMINGLED RECYCLABLES PROCESSING A. WORK PLAN AND MErnODOLOGY B. PROJECT ORGANIZATION AND STAFFING C. RELATED EXPERIENCE APPENDIX I 3 13 RFP F.OI.3P Response To City of San S"nardino Requrn For Proposal Commingled Recydaldesl'rrx:esslng A. WORK PLAN AND METHODOLOGY Taormina Industries plans to continue operation of its transloading facility located at 1939 N. Lincoln Street in San Bernardino until April, 2001. At this time, Taormina Industries is scheduled to open a new facility to be located at 2059 Steel Road in the City of Colton. Lincoln Street Facilirv (3.6 miles trom the Cirv's Coroorate Yard): We would propose no change in the City of San Bernardino's current route delivery operation. Residential and Commercial selected loads would be delivered by the City's collection route drivers to the Lincoln Street transloading facility. There would be no changes in the operating hours, dumping area or any other operating concerns for the City of San Bernardino. The City's route trucks would continue dumping between the hours of 7:00 a.m. and 4:30 p.m., Monday through Friday. Early, late or weekend hours (holiday collection) can be arranged with advance notice at no additional cost to the City. The route vehicles would weight in on our scale and receive a computerized load receipl The trucks would then dump inside our facility and exit through the main gate. The time away from the collection route should be less than five minutes. The material will then be transported via walking floor transfer trucks to Taormina's Regional Material Recovery & Processing Facility in Anaheim. The material will then be processed to achieve maximum recovery, with all recovered materials marketed from the processing facility. Taormina Industries not only has guaranteed long-term markets for the material recovered, but also guaranteed floor pricing. Any residue material will be transferred via transfer vehicle to the San Bernardino County landfill located in the City of Colton. If any hazardous waste would be found during roonnina Industm. September 18.1000 Poge I 0{ IS RFP F-OI-J' R..ponso To CIty olSDII Bomardlno Roq"..' For Proposal CommJng/od Rocyc1abl.. Proc.../ng processing of the material, the material would be disposed of properly using licensed professionals. Steel Road Facility (3.9 miles from the City's Coroorate Yard) This new facility, operational in April, 200 I, will require no operational changes in the City's collection operation. Residential and Commercial selected loads would be delivered by the City's route drivers to the Steel Road facility. The City would not be required to store and transload any material from its corporate yard. All dumping procedures will remain the same. The City's route vehicles would continue dumping between the hours of 7:00 a.m. and 4:30 p.m., Monday through Friday. The new facility will be operational Saturday to process Saturday Commercial Collection Routes. Additional operating hours can be arranged with advance notice at no additional cost to the City. The route vehicles will continue to receive a computerized load receipt. After being weighted, the trucks would dwnp inside the facility and exit onto Steel Road. The time away from the collection route should again be less than five minutes. The material delivered by the City will now be processed onsite. This new facility will employ a number of residents from the local community. The technology of processing will be discussed in Section 4.b.(4). Hazardous waste, if encountered, will be properly disposed of through licensed professionals under contract with Taonnina Industries. Disposal of spoiled or rejected materials will be the responsibility of Taonnina Industries. All residue waste from the processing of the City's material will be landfilled within the San Bernardino County Landfill system. Taormina lrubulriu &pkmIMr 18. 2000 Pagd oilS RFP F-OI-39 Response To City 01 San Bernardino Refu"" For Proposal Commingled Recydables Processing B. PROJECT ORGANIZA nON AND STAFFING (1) Taormina Industries was founded in 1949 as the commercial hauler for the City of Anaheim. Taormina Industries' sister company, Anaheim Paper Mill Supplies, was founded shortly thereafter to market the cardboard and paper recovered from the commercial waste stream. Taormina Industries has been recovering and marketing recyclables for over 50 years. CVT, a new processing division of Taormina Industries, was established in 1984 at the time of the opening of the Taormina Industries Material Recovery Facility. For the past 16 years, CVT has been processing and marketing materials worldwide, serving over 60 local municipalities. (2) Taormina Industries, L.L.C., a Limited Liability Company, a wholly owned subsidiary of Republic Services, a Delaware Corporation, operating in Southern California, provides municipal solid waste collection, disposal and recycling services to over 500,000 residents and businesses weekly. There are no creditors owed a debt greater than 10% of the company's assets. Officers within California are: . Thomas J. Vogt, President and C.E.O. and David M. AuIt, Executive Director-Franchise Administration. TaonnlnalndU5bies,L.L.C. Regional Headquarters 1131 N. Blue Gum Street Anaheim, CA 92806 (714) 238-3300 T""""iM Indwtriu &ptembu 18. 2000 Pagd 0/ [j RFP F-OI.jJ Response To City 0' SIUI Bernardino Reqllest For Proposal Commingled Recyclablu Processing In 1997, Taormina Industries merged with the parent company, Republic Services, Inc. which is located in Fort Lauderdale, Florida. Republic Services currently ranks as the third largest solid waste company in North America. Republic Services, Inc. 110 S.E. 611I Street Suite 2800 Fort Lauderdale, FL 33301 (3) The size of the transloading facility currently in use for San Bernardino recyclables is 11,550 square feet in size with a 200 tons per day operating capacity. Our processing facility is planned to be fully operation in April, 200 I has a 2 1,000 square feet processing area. (4) Processinfl Procedures All material delivered to the processing facility will be weighted with the driver given a computerized dump receipt. The driver would be directed to a flat deck dumping area. After dumping the driver would be able to immediately exit and return to his route (in less than five minutes). Both processing facilities will use multiple floor mounted conveyors to move material onto processing conveyors where vibrating finger screens will size the material. The automated system is designed to accept all recyclable and non-recyclable solid waste material and separates them by size and type. The new facility will be designed to process 1,900 tons per day, regardless of whether the material arrives commingled, three-bin separated or unsorted. After the material is separated and sized, the sorting crew will manually pull individual material types (listed in the Appendix) off the moving conveyors lines into catch basins or source specific recovery conveyors. Wheel loaders and forklifts will be used to move various segregated and Taormina InJrutrlu September 18. 2(}(}() Page 4 of /J RFP F-OI-J' Respons. To City o/SaII B.rnardino R.quest For Proposal Commlngl.d R.cydllbl.. Processing commingled materials to on-site horizontal feed balers capable of creating the density of bales necessary for marketing overseas. Glass will be separated by color, crushed and loaded into roll-off containers for shipment. All material recovered is weighted and tagged for shipment. Taormina Industries markets all materials at the highest possible prices. We are able to guarantee not only the highest prices possible, but guaranteed markets for the materials Taormina Industries recovers. We are able to offer the City of San Bernardino these guarantees based on long-term market agreements and base pricing Taormina Industries has been able to established over the past twenty years of quality broker/end-user relationships. All residue waste from the processing operation will be transferred to the Colton landfill, part of the San Bernardino landfill system. Hazardous waste, if encountered, will be properly disposed of through licensed professionals under Taormina's direct supervision. Waste Characterization Procedures When the waste stream from the City of San Bernardino anives at the new processing facility, a total and complete new baseline characterization will be done on 100% of the material. Separate waste characterizations will be developed for the curbside residential material, selected "dry" conunercialloads, mixed commercial loads and industrial roll-off loads based on type of material. Once a complete characterization of 100% of the waste stream has been completed and the results have been validated, the information is inputted into the facility's database. When a City vehicles enters the processing facility the net weight and type of load is recorded into the TotN'mlna IndJutrlu Sept.mber 18. ]000 Page S of IS REP F-OI-39 Re>ponse To Clly 'I San Bernardino Rtqutst For Proposal Commingltd Rt<yc1ablts Proctsslng computer and the appropriate characterization is applied to the tonnage in the vehicle. On a daily basis the inflow of material is balanced against the amounts of recyclables actually recovered from the waste stream. In addition to the ongoing reconciliation of actual recovery against the characterization in the data base, Taonnina will perfonn ongoing random sampling of various loads to validate the characterizations on file. The City may at any time take part in these waste characterizations. The methodology described above is a very accurate, statistically correct procedure for ensuring that the characterizations assigned to each waste stream matches the actual material brought to the processing facility. (5) Taonnina Industries has assembled a management and operations team that is unsurpassed in the solid waste industry. The combination of traditional refuse collection experience, recycling expertise, innovative management systems, and the integration of new technological advances places Taonnina Industries in the best position to continue to serve the processing needs for the City of San Bernardino. Our team remains 100% committed to the overall success of the waste reduction programs of the City of San Bernardino. To underscore our commitment to serve the City of San Bernardino, the following key management and operations personnel will personally oversee the processing needs for the City. Taormino Industriu s.pltmber 18, ]()()(} Pagt 6 '11$ RFP F-OI-)9 ReJponse To City'ISan Bernardino Request For Proposal Commingled Re<yclables Processing Thomas J. Vogt, President and C.E.O. J 6 years with Taormina Industries Tom is a graduate of California State University, Fullerton. As President of the company, he oversees the operations of Taormina Industries. Tom is able to give direction to the management team responsible for eight municipal franchised cities in Orange and San Bernardino Counties encompassing over 500,000 residential customers. Tom has a strong background in vehicle maintenance and site engineering. Tom directed the design and construction of the CVT processing and transfer facility, one of the most successful facilities in the nation. In addition, Tom has been appointed by the AQMD Board to assist in the process of administrating the clean fuel regulations concerning the solid waste industry . Dave Ault, Executive Director of Franchise Administration J 6 years with Taormina Industries Dave is a graduate of the University of California at Irvine. Dave came to Taormina Industries after 17 years with the Walt Disney organization and understands the importance of quality in operations. Dave was on the transition team for Walt Disney World and Tokyo Disneyland. Dave is responsible for monitoring our municipal contract relationships. His ability to interpret the goals and demands of our municipal customers has enabled him to be a staff resource for city managers and staff. Dave has a close working relationship with the California Integrated Waste Management Board and their staff. Dave has been of great help to the cities that Taormina serves in regard to State AB939 compliance and reporting. Taormino Industria Stplember 18. 2000 Page 7'115 RFP F-OI-J9 Response To City of San Bernardino Request For Proposal Commingled RecycJables Processing Ric Collett, Vice President, Operations 28 years with Taormina Industries Ric is a graduate of California State University, Long Beach. Ric is responsible for all residential, commercial and industrial route collections for Taormina Industries. He has designed and implemented dozens of residential and commercial refuse, recycling and yard waste collection programs. In May and June of this year, Ric added a yard waste program for 58,000 residential homes in Anaheim in a seamless manner. The transition exceeded the most optimistic expectations of the City. Ric also oversees the Customer Service Department and all requests for special services. Ric's level of operational excellence is unmatched in the solid waste industry. Operations and Maintenance Key Personnel Stuart Lee, Director, Material Recovery and Transfer Facility 10 years with Taormina Industries Stuart was instrumental in the development of all waste characterizations used by all cities in Orange County as required by AB939. In 1990 while working for CH2MHILL, Stuart created the base year tonnages as required by AB939. In 1991, Stuart joined the Taormina team overseeing the CVT processing and transfer facility. Stuart's quantitative skills are well placed as he is responsible for all material that enters Taormina's transfer facility and the allocation of all recovery and the resulting diversion by city. Stuart generates the waste characterizations used by all Taormina cities. TaOl'miM Industrlu September 18. ]()()() Page 8 of IS RFP F-OI-J9 Response To City <ISan Bernardino Request For Proposal Commingled Re<)'dables Processing Barry Love, Director of Sales & Brokerage J 7 years wilh Taormina Induslries Barry's education in the recycling market has provided him with knowledge of overseas markets and mills which assist him in moving over 25,000 tons of material each month to over 50 different end users. Barry oversees a staff of commodity brokers to ensure the highest return on the products sold worldwide and all sales reporting documentation for the State of California. He has extensive recyclable materials marketing experience and has been responsible for the start up operations of numerous major recycling projects throughout California John McNamara, Manager of Environmental & Regulatory Affairs 4 years with Taormina Industries John brings a level of professionalism to Taormina Industries that few companies in our industry can claim. With a Master's Degree in Engineering and a State Certification as an Engineering Geologist, John has the creditability to work with all levels of regulatory officials. John was in charge of environmental and regulatory affairs for BKK landfill in West Covina, one of the largest landfills in North America with a daily capacity of 12,000 tons. His background is of great help to our cities when working with local L.E.A.'s, State and Federal regulatory agencies. John gives all our cities the knowledge that a true professional is overseeing all the exposures related to the solid waste industry. What this means is less risk to our cities. Taormina Industr;" Siptember 18. 2000 Page 9 ,115 RFP F-OI-J9 Response To City of San Bernardino Request For Proposal Commingled Reqclables Processing Michelle Zola, Controller 6 years with Taormina Industries Michelle has 14 years experience in business finance and financial audit review. She graduated with a Bachelor of Arts degree with an accounting emphasis from California State University, Fullerton. As a Certified Public Accountant, Michelle is able to work well with city finances, manages and oversees all audits for our franchise cities of Taormina Industries. Michelle is responsible for all financial accounting and reporting for Taormina Industries. Taormina Industriel Septemb.r 18. ]/}()() Page 10 of IS ~ J ~ ~ ~ .. 11 i l l .. .:: li '" lr .. ~ 1 E ~ ~ ';;> "'& ~i .... t: ClS .::: U = ~ .. .... ClS .!::l = ClS ~ o fI:l ~ .. ... .... fI:l = ~ = ..... ell = .. E ~ ~ .- \C - '" - ~ - - ~ 11' 0; ~ .... 00 - ~ ~ ~ it '" RFP F-OI-)9 Raponso To City of San B.,nardJno Roqu'" For Proposal Conun/nglod RocycJabla Pr...../ng (7) The source separated (commingled recyclable) material from the City of San Bernardino will be received at our existing, fully permitted facility located at 1939 N. Lincoln, San Bernardino. The site has a Conditions of Approval (COA) from the City of San Bernardino that allows source separated materials to be unloaded onto the enclosed tipping floor. The material is then loaded into transfer trucks for delivery to our processing facility (CYT) located in Anaheim, California. The Solid Waste LEA (San Bernardino County Department of Public Health) has visited our facility at 1939 N. Lincoln and determined that a Solid Waste Facility Permit (SWFP) is not required for the type of material that is delivered to the site. The material is transported to our CYT facility in Anaheim and is processed and baled for delivery to recycling markets. CVT has a full Solid Waste Facility Permit and is permitted to receive and process up to 6,000 tons per day of mixed municipal solid waste. (8) Taormina is also in the process of developing a new processing facility located at 2059 W. Steel Road in the City of Colton. This site is approximately 6 acres and will consist ofa refuse and recycling truck parking, maintenance facility and a material collection and processing center. We have purchased the property and the City of Colton has issued a Conditions of Approval (COA) that allows these uses. The COA allows receipt of source separated recyclables and processing of those materials for shipping to commodity markets. The site construction has begun and will be completed in stages over the next two to six months. Once the construction is complete the facility will be used to collect and process the source separated recyclable material Taormina lndu.Jtri., s."I<mb<r 18. 2()(}() Pa,.12 af/J RFP F-01-JP Respons. To City of San B.rnardino R.quest For Proposal Commingl.d R.cydabltS Processing from the City of San Bernardino. In addition, we are in the process of obtaining a Solid Waste Facility Permit for the Colton site that will allow processing and transfer of mixed municipal solid waste. No solid waste is driven to the Commodities Consolidation Facility located at 1939 N. Lincoln, San Bernardino. C. RELATED EXPERIENCE Taormina Industries has been the leader in solid waste processing and marketing in Southern California for over 15 years. Our regional processing and transfer facility in Anaheim, California is the largest solid waste processing facility in North America. The CVT Facility bas an approved daily capacity of 6,000 tons and a design capacity of 10,000 tons per day. Taormina Industries is in the final stages of permitting a second processing and transfer facility in Colton, California. This regional facility would greatly reduce transportation costs to the City of San Bernardino. These regional facilities will be able to process and transfer both source separated commingled recyciables and regular municipal solid waste. The Colton facility will have the ability to meet any change in processing required by the City of San Bernardino. With our extended markets for recovered material, Taormina Industries is able to guarantee recovery of over 70 different commodities marketed worldwide. Taormina Industries is currently under contract to provide long-term exclusive residential and commercial processing and marketing of materials for the following governmental jurisdictions. TaormiIUz Indvslriu Sept.mber 18. 2000 Page 13 of [j RFP F-O/-JP Respons. To City 01 San Bernardino R.ques' For Proposal Commlngl.d R.cyc1ables Processing 1999 AB939 Length of Point of Contact Jurisdiction Divenion Contract Ms. Doris Roush City of Anaheim 50% 15 year Evergreen Streets & Sanitation Mgr. Adjustment Pending Mr. Pat McCarron City of Brea (Host city of landfill) 20 year Evergreen Director of Maintenance SVC5. Adjustment Pending 16 year contract Mr. Daryl Parrish City of Colton (Host city oflandfill) Amended, 1999 Assistant City Manager 10 year contrac:t Mr. Ed Paul City of Fullerton 58% Amended in 1999 Finance Direc:tor City of Mr. Keith Jones Garden Grove 55% 20 year Evergreen Streets & Sanitation Mgr. Mr. Robert D' Amato City of Placentia 59% 20 year Evergreen City AdministralOr City of San 5 year contract Mr. Lynn Merrill Bernardino 46% Start Date, 1995 Director of Public Works 67% 20 year Evergreen Mr. Fred Maley City of Villa Park City Manager City of Mr. David Gruchow Y orba Linda 64% 20 year Evergreen City Manager County of Orange 7 year contract Mr. John Sibley Penn it Areas II & III Start Date, 1998 Director Integrated Waste TaonninD /Nbutriu &pkmbtr 18. 2000 Page 14 of /J RFP F-OI-)9 Response To City olSan Bern.rdino Request For Proposal Commingled RecycJ.bles Processing Taormina Industries is currently providing residential and/or commercial processing for the following waste haulers and their respective jurisdictions under short-term agreements (under 5 years). Waste Hauler Jurisdiction Point of Contact Oceanside Waste Beverly Hills Mr. Mark Bozajian Briggeman Disposal Cypress Mr. Russell Dix Waste Management Diamond Bar Mr. Mike Stephan Consolidated Disposal Hawaiian Gardens Mr. Richard Fierro Cal Disposal Highland Mr. Phil Breault Waste Management L.A. County Mr. Mike Stephan Consolidated Disposal La Minda Mr. Richard Fierro Waste Management La Puente Mr. Mike Stephan Waste Management La Verne Mr. Mike Stephan Bel-Art Long Beach Mr. Rod Agajanian Briggeman Disposal Los Alamitos Mr. Russell Dix Consolidated Disposal Montebello Mr. Richard Fierro Consolidated Disposal Monterey Park Mr. Richard Fierro Consolidated Disposal Norwalk Mr. Richard Fierro .Waste Management San Dimas Mr. Mike Stephan Consolidated Disposal Santa Fe Springs Mr. Richard Fierro Briggeman Disposal SealBeacb Mr. Russell Dix Waste Management Walnut Mr. Mike Stephan Consolidated Disposal Whittier Mr. Richard Fierro Additionally, Taormina Industries bas processed or marketed recyclable materials for almost every solid waste hauler in the Southern California area within the past five years. T....miM llUbutriu &pkmbu 18. 2000 Pop Jj of IS REP F.OI-J9 Response To City olSan Bernardino Request For Proposal Commingled Recydable.s Processing NON-COLLUSION AFFIDAVIT To: THE COMMON COUNCIL, CITY OF SAN BERNARDINO In accordance with Title 23, United States Code, Section 112, the undersigned hereby states, under penalty of peljury: That he/she has not, either directory or indirectly, entered into any agreement, participated in any collusion, or othelWise taken action in restraint of free competitive bidding in connection with RFP F-01-39. Business Name: Taonnina Industries. L.L.C. Business Address: I I31. N. Blue Gum Street Signature of offeror X ~atIMn/~~ Place of Residence State of California) County of Orange ) /r# d'YO~2000 Notary Public in and for the County of Orange, State of California. Subscribed and sworn before me this _@ RE8ECCAA. PITTMAN i .~ N~:~~nan tl1I57355 Ore Ie - Cal,rornio f Mvc ng'! County - omm. &pres Oct27. 2{X)1 y commission expo es October 27,2001. TlJormiM 11U1J1Jtria s.p,,,,,,,,,, 11. 1000 COMMODITY LISTING ALUMINUM CANS COMPUTER NEWSPAPER PAPER GRADE #6 ALUMINUM FOIL COPPER NEWSPAPER DE- INK #8 ALUMINUM CORE ROLLS SCRAP NEWSPAPER BUTT ROLLS AMBER GLASS FLINT GLASS OFFICE SORT BI-METAL CANS GREEN GLASS PET #1 BOXED PAPER HDPE#2CLEAR PHONE BOOKS BRASS HDEP#2 COLORED TIN CANS CARDBOARD LDPE#4 CLEAR TISSUE PAPER CHIPBOARD FILM SCRAP METAL FERROUS COATED STOCK LDPE#4 COLORED FILM WHITE BLANK COLORED NEWSPAPER LEDGER PAPER MAGAZINES MIXED GLASS WHITE LEDGER COLORED PAPER LEDGER MIXED PAPER MAINIFOW ~ I ) .,J a1AORMINA INDUSTRIES A CALIFORNIA COPOltA rlON September 14,1999 lIJIN BklfGlII'IS:'''f An,,.,,, CA '21C6 City of Colton Department of Public Works 650 N. La Cadena Drive Colton, California 92324 r".phont'.. 131 DXl F"smle "",rd.nc" RE: Colton Planning Commission File Index Number DCV-33-99 To Whom It May Concern, This letter transmits a signed copy of the Consent and Waiver to Annexation form for Colton Planning Commission File Index Number DCV-33-99. This project was approved by the City Council on August 17, 1999. The proposed project is located at 2059 West Steel Road in the City of Colton. Should you require any additional information or have any questions, please contact me at (714) 238-3343 at your convenience. Sincerely, TAORMINA INDUSTRIES, INC. /""7/0 r ( - \,6~ E. McNamara, C.E.G. Manager, Environmental and Regulatory Affairs Attachments: Consent and Waiver to Annexation ~"""a""'~("_fa"'''' ~. .~~~.. COMMUNITY DEVELOPMENT 650 NORTH LA CADENA DRIVE COLTON, CA 1.1 FORNIA 92324 (9119) 370.5079 ATE: AUGUST 30.1999 AOR:\II:\'A 1:\f.l\'STIUr.S, l.U:'. OESLOAN :31 :-IORTH RtFE GlTM STREET NAHEIM, CA. 91806 E: FILE NUMBER DCV.33-99 e3f MR. SLOAN. tlachcd is Ihc Design Rcvicw AClion Form used 10 rcvicw thc project you havc submilled. This furm i dicatcs yuur projcct has been aDDroved by thc City Council on august 17, 1999. 'J Icasc .ien thc Conscnt 10 Waivcr form and return it 10 the Public Works Department. Plco.o,C .ien Ihe cknowled mcnt f Ih .ondition f A roval form and rclum it 10 the Community Development cpartmcnt. Thc enclosed copy I)f the Conditiu!\!; of Approval are for your records. Upon returning the umplotod furms yuu may pnll:eed ..;lh oblaining building permits and completing your project. Ica,. call mc at (9091 370-5079 if ynu h,lVc any qucslion. or commcnts rcgarding this approval. G.L--/ ISA R. BANUELOS, Associate Planner ommunity Development Department \ . ..!Me CElIo"TER . 6SO N. Lo Codaoa Do;,. eo..... CA flU. l909) 17ll-S099 RFP F.O/.J9 -Price Forwu RespolUe To City of San 8ernardino Request For Proposal Commingled Recyclables ProceJJing PRICE FORM (To be submitted in a sealed envelope separate from proposal documents) REQUEST FOR PROPOSALS: RFP F-01-39 DESCRIPTION OF WORK: Commini1ed Recyclables Processini OFFEROR'S NAME/ADDRESS Taormina Industries. L L.C. 1131 N. Blue Gum Street Anaheim. CA 92806 NAMFJTELEPHONE NO. OF ( ~ D. AUTHORIZEDREPRESENTATrv ~ Dave Ault (714.) 238-3300 Taorm/nQ Iltdustrlu S<plemb<, II. ]OIXJ Pore 1 of6 REP F-OJ-J9- Price Fornu Re!potlH To City olSOn Bemardino Reqllt!!1 For Proposal Commingled &cydable! Proct!!ing TABLE 1:_ Commingled Recyclable Pricing Table PROPOSER NAME: Taormina Industries, L.L.C. MATERIAL TYPE (NOTE: PRICING FORMULA ALL PRICES SHOULD BE 2000 2001 2002 2003 2004 AND PUBLICHSED IN DOLLARS PER TOM PRICE BASE CARDBOARD tOCCl 95 110 115 135 140 PLEASE SEE AITACHED NEWSPAPER CNP6l 75 90 95 115 120 MIXED PAPER 30 35 40 45 50 OFFICE PAPER 90 100 110 120 t30 COWRED HDPE . 300 310 320 330 340 CLEAR HDPE · 500 525 550 575 600 MIXED PET · 1,300 1,350 1,400 1,450 1,500 PVC PLASTIC N/A POLYSTYRENE N/A LDPE 120 120 120 120 120 POLYPROPYLENE 280 280 280 280 280 ALUMINUM CANS . 2,550 2.450 2,600 2,600 2,600 TIN CANS 35 40 40 45 50 CLEAR GLASS · t40 140 140 140 140 BROWN GLASS . 135 135 135 135 135 GREEN GLASS · t26 126 126 t26 t26 OTHER: Newsnaoer CNP8\ 95 100 105 125 130 OTHER: 3 ma-Glass . 80 85 90 95 100 OTHER: Metal 25 20 30 35 40 PROCESSJSORTING FEE $31.25 $32.25 $33.25 $34.50 $35.75 PER TON TRANSPORTATION ONE WAY MILEAGE: COST PER MILE -LMILES. 0 0 0 0 0 Avenle Tnns Per Load: N/A RESIDUAL DISPOSAL 529.52 PLEASE SEE ATTACHED COST PER TON · AIl CRV rates are subject to the State's CRY rate changes. t!2IEli I. All prices fOr maleriolJ should be calculllcd on . price per_ 2. For _ caIcndIr yew, provide either. fixed dollar per 100 price to be paid to the City fOr each commodity or indicated . pric... Ionnull which is based 011. published price fOr the commodity. PrieinS formula should be fixed once per IIIOlIlb for. caleodar monlb. UIIle base for calculllinS the price is . published source, pi.... list thc ....... .fthc price, such. "II... As' MIpZine,: "Recyclins Tim...- etc. In thc event thcn: is not enoush 100m to show the funnul.... price ....., p..... .nter I Rel'm:ncc NIDDber, ... aDacIo. continuatiOll sheet explaining the proposed pricinglonnol.a publisltecl price base. Include. copy .fthc __ reornt published price 60m thc publication. 3. If Ptoposcr does not hIndIe . puticul. commodity, enter N1A ill lb. Ipproprille spaces. 4. If. Ptoposcr _ additionII mllenal. thin "",..listed, pl.... indicalc the material in one .fthc lOWS labeled "Od1er," ... compIctc IIle pricins inlormalioo. TaO/'OlinQ IndJutr.. SqJI<mlJ<, 18, ](){)() P",,] <16 RFP F.OJ.J9 - Pric~ Fornu Response To City o/San Bernardino Request For Proposal Commingled R~C)'CJables Processing ATTACHMENT TO TABLE 1 TRANSPORT A nON COST PER MILE Taormina Industries will pay all transportation costs to transload and. transfer material to be processed from San Bernardino to its facility in Anaheim until the Steel Road Facility is operational. At that time aU processing will be done locally, requiring no additional transportation costs. The City of San Bernardino will incur no transportation cost with Taormina's processing proposal. RESIDUAL DISPOSAL COST PER TON Taormina Industries will charge the City of San Bernardino the actual contracted "Flow Control" gate fee per ton. There will be no additional transfer costs added to the City's disposal costs. Current rate was stated to be $29.52 per ton. PRICING FORMULA AND PUBLISHED PRICE BASE The City of San Bernardino will have a "Triple Price Option". Taormina Industries will establish a current market price per ton using the actual monthly income per ton for each commodity sold by Taormina Industries. This rate per ton will then be compared with the monthly "Offidal Board Market" (Yellow Sheet) price listing for the greater Los Angeles area. These rates will then be compared with the guaranteed "Floor Rates" from our proposal, Taormina Industries will use the highest ofthe three rates to establish the monthly commodity value for the benefit of the City of San Bernardino. Taormina Industries will then credit the City of San Bernardino with 80% ofthe resulting income. Taormina's operating margin will come from successfully recovering and marketing the material processed to cover our costs with 20% return on the material that is marketed. Taormill4/ru/wtria Sqt<mbu II, 1000 PagtI J 0/6 RFP F-(JI.39- Prie< Fornu ResfJO'l# To CityojSon Bernardino &qlJe.JI For PropDJaI Commingled RuycltJbleJ Proce~ing TABLE 2 FLOOR PRICE FOR COMMINGLED RECYCLABLES MATERIAL TYPE (NOTE: 2000 200t 2002 2003 2004 ALL PRICES SHOULD BE IN DOLLARS PER TON) CARDBOARD lOCO 75 75 75 75 75 NEWSPAPER rNP61 45 45 45 45 45 MIXED PAPER 15 15 15 15 15 OFFICE PAPER 70 70 70 70 70 COWRED HOPE . 275 275 275 275 275 CLEAR HDPE . 410 410 410 410 410 MIXED PET . 920 920 920 920 920 PVC PLASTIC N/A POLYSTYRENE N/A LDPE 60 60 60 60 60 POLYPROPYLENE 190 190 190 190 190 ALUMINUM CANS · 2,250 2,250 2,250 2,250 2,250 TIN CANS 27 27 27 27 27 CLEAR GLASS · 121 t2t t21 12t 121 BROWN GLASS . t21 121 121 121 121 GREEN GLASS · t06 106 106 106 t06 OTHER: Newsnaoer 8 70 70 70 70 70 OTHER: 3 mls-l>1aSI . 59 59 59 59 59 OTHER: Metal 15 IS 15 15 15 PROCESSlSORTING FEE $31.25 $32.25 $33.25 $34.50 $35.75 PER TON TRANSPORT AnON 0 0 0 0 0 COST PER MILE RESIDUAL DISPOSAL $29.52 CURRENT LANDFD..L RATES COST PER TON PROPOSER NAME: Taonnina Industries, L.L.C. * All CRY rates are subject to the State's CRY rate changes. Il!:lIES I. All pri<cs lOr llllIIerials should be calcullled on a pO", per Ion. 2. For each calendar year, provide a rlXed dollu pcr ton Door pri", to be poid to die: Cily lOr each commodily. This lIoor price _ NOT be.... dI.. $0.00 per Ion. 3. IIProposer docs not handle a particulu oommodily, enter N1A in the oppnlllri... spoccs. 4. lfa Proposer ....dles Ildditional materials 1han _listed, pl.... indic:llc the IRIlcriaI ia one ordle: lOWS libeled "Other," oncI complete die: pricina infollllllion. T_""I_. s.p...r..r 18, 2000 ,.,.4tJ{6 RFP F-OI.J9 - Price FOmd Response To City olSoll Bernardino Requut For Proposal Commingled Rec)'dab/es Processing Are there any other additional or incidental costs which will be required by your firm in order to meet the requirements of the G~pecifications, Contents of Proposals and Scope of Services? Yes I ~ . (circle one). !fyou answered "Yes", please provide detail of said additional costs: Please indicate any elements of the Scope of se~ General Specifications or Content of Proposals which cannot be met by your firm. 0 Y\ e. H<:~;~inCIUded in your proposal all informational items and forms as requested? I No . (circle one). If you answered "No", please explain. This offer shall remain firm for 90 days from RFP close date. Terms and conditions as set forth in this RFP apply to this proposal. Cash discount allowable are: Net thirty (30) days. % days; unless otherwise stated, payment terms In signing this proposal, Offeror warrants that all certifications and documents requested herein are attached and properly completed and signed. From time to time, the City may issue one or more addenda to this RFP. Below, please indicate all Addenda to this RFP received by your firm, and the date said Addenda was/were received. Verification of Addenda Received Addenda No: Received on: Taol'7fliNIlrulutria s.pumbcrI8. 1000 PagrS 016 RFP F.OI.j9 - Price Forms Response To City olSon Bernardino Request For Proposal Commingled R<<ydables P,ocusing Addenda No: Addenda No: Received on: Rececn~:.) ~ AUTHORIZED SIGNATURE: PRINT SIGNER'S NAME AND TITLE: Dave Ault DATE SIGNED: _September 18,2000 COMPANY NAME AND ADDRESS: Taonnina Industries. L.L.C. 1131 N. Blue Gum Street Anaheim, CA 92806 PHONE (714) 238-3300 FAX (714) 238-3309 IF NOT SUBMITTING AN OFFER, PLEASE STATE REASON(S) BELOW: r."""iM/lfdustria s.pt_II.1000 P.,. 6 of6