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HomeMy WebLinkAboutReso 117-08 AVI Service Agmt RESOLUTION NO. 117 - 08 A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF DUBLIN ********* APPROVING A SECOND AMENDMENT TO THE COLLECTION SERVICE AGREEMENT BETWEEN THE CITY OF DUBLIN AND AMADOR VALLEY INDUSTRIES, LLC WHEREAS, the City of Dublin ("City") entered into a Collection Service Agreement ("Agreement") with Amador Valley Industries, LLC ("A VI") dated January 12,2005; and WHEREAS, the Agreement allows for an annual compensation adjustment in accordance with specified formulas; and WHEREAS, on June 20, 2006, the parties executed a First Amendment to the Agreement in order to modify certain provisions in Exhibit B of the Agreement relating to the Compensation Adjustment Model; and WHEREAS, A VI has requested that the City modify the rate adjustment methodology that was included in the current Agreement to include a separate component for commercial recycling in the annual compensation process; and WHEREAS, the City desired to amend certain provisions in the Agreement relating to outreach and enforcement programs intended to increase waste diversion and recycling efforts in the City; and WHEREAS, the City further desired to modify provisions in the Agreement relating to certain services provided to various City sites including, but not limited to City Parks, fire stations and community centers. NOW, THEREFORE, BE IT RESOLVED that the City Council of the City of Dublin hereby approves the Second Amendment to the Collection Service Agreement between the City of Dublin and Amador Valley Industries, LLC (attached hereto as Exhibit A). BE IT FURTHER RESOLVED that the City Manager is authorized to execute the Second Amendment to Collection Service Agreement between the City of Dublin and Amador Valley Industries, LLC. PASSED, APPROVED AND ADOPTED this 17th day of June, 2008, by the following vote: AYES: NOES: ABSENT: Councilmembers Hildenbrand, Oravetz, and Scholz, and Vice Mayor Sbranti None Mayor Lockhart ABSTAIN: None ~~0. Vice Mayor AT&~~~ f~ Deputy City Clerk Reso No. 117-08, Adopted 6/17/08, Item 7.1 Page 1 of 1 SECOND AMENDMENT TO COLLECTION SERVICE AGREEMENT BETWEEN THE CITY OF DUBLIN AND AMADOR VALLEY INDUSTRIES, LLC This Second Amendment to Collection Service Agreement, dated as of .Lne, 17 , 2008 (the "Amendment") modifies and amends that certain "Collection Service Agreement," dated January 12, 2005 (the "Agreement") between THE CITY OF DUBLIN ("CITY") and AMADOR VALLEY INDUSTRIES, LLC ("CONTRACTOR"). Capitalized terms used herein and not otherwise defined shall have the meanings ascribed to such terms in the Agreement. Recitals WHEREAS, The Agreement sets forth the respective rights and obligations of the parties with respect to the Collection' of Solid Waste and Organic Materials and grants to CONTRACTOR an exclusive Agreement to provide Collection Services within the Service Area; and WHEREAS, on June 20, 2006, the parties executed a First Amendment to the Agreement in order to modify certain provisions in Exhibit B of the Agreement relating to the Compensation Adjustment Model; and WHEREAS, the Parties desire to further amend the Agreement in order to provide for: compensation to CONTRACTOR for the collection of Recyclable Materials produced by Commercial Service Units; to modify CONTRACTOR'S obligation to provide Large Item Collectiotl Service to City Service Units; to require CONTRACTOR to perform a minimum of two waste audits per day; to require CONTRACTOR to increase its Commercial and MFD outreach and education programs and to perform at least twelve public presentations each Agreement Year and to require CONTRACTOR to submit an annual diversion plan for approval by the CITY each Agreement Year. NOW, THEREFORE, for good and valuable consideration, the sufficiency of which is hereby acknowledged, CITY and CONTRACTOR hereby agree to amend the Agreement as follows: Section 1. Section 5.03 of the Agreement is hereby amended to read as follows: 5.03 Collection Service Comoensation Elements. Collection Service compensation to the CONTRACTOR shall consist of the following elements; a Collection Compensation Element, a Disposal Compensation Element, a Container Compensation Element, a Fee Compensation Element and a Commercial Recycling Element. Section 2. A new Section 5.05.7 is hereby added to the Agreement to read as follows: 5.05.7 Adiustments to Commercial Recyclina Compensation Element. The Commercial Recycling Compensation Element consists of two (2) factors: the Refuse Rate Adjustment (RR!) factor and the annual tonnage growth (A TG) factor. 5.05.7.1 RRI Factor. The RRI factor shall be determined in the manner described in Section 5.05.1.1. 5.05.7.2 Annual Tonnaae Growth Factor. The ATG factor for each compensation adjustment shall be the percentage change in commercial recycling tonnage between the second (2nd) preceding calendar year and the preceding calendar year, as determined by adding the collection data for MFD and Commercial Recycling Service contained in the monthly recycling data reports described in Section 18.04.2. By way of illustration, the Calendar Year 2007 reported commercial recycling tonnage is 1,831.62, and the Calendar Year 2006 reported commercial recycling tonnage is 1,454.34. Therefore, the ATG factor used for the Agreement Year 2008-2009 adjustment to the Commercial Recycling Element is as follows: (1831.62 - 1454.34) /1454.34 = 0.2594. 5.05.7.3 Commercial Recvclina Compensation Element Adiustment. The annual Commercial Recycling Compensation Element adjustment shall be calculated by multiplying the Commercial Recycling Compensation Element times (one (1) plus the sum of the RRI factor and the ATG factor). For example, if the Commercial Recycling Compensation Element is $100,000, the RRI factor is .045 and the A TG factor is .12, the Commercial Recycling Compensation Element adjustment would be calculated using the following formula: 100,000 (1 + .045 + .12) = $116,500. 5.05.7.4 Commercial Recvclina Comoensation Element. For Agreement Year 2008-2009, the Commercial Recycling Compensation Element shall be $205,130. The Commercial Recycling Compensation Element adjustment for the following Agreement Years shall be calculated with reference to this amount. Section 3. Section 10.02 of the Agreement is hereby amended to read as follows: 10.02 Commercial Waste Audits. CONTRACTOR'S full-time Recycling Coordinator shall develop an annual Commercial Waste audit plan and submit the plan to the CITY for review no later than August 1, 2008. Each year thereafter, the annual Commercial Waste Audit plan shall be submitted no later than July 1. The plan, as approved by the CITY, shall include information indicating each Commercial Service Unit's recycling potential and the savings probable from increasing recycling. Upon approval by the CITY, the annual plan shall be implemented by the CONTRACTOR. At a minimum the plan shall include the audit of at least two (2) and as many as five (5) Commercial Service Units per day depending on the needs of the commercial community. The audits shall be designed to analyze the amount of Recyclable Materials that is being deposited in Solid Waste bins and containers in order to develop an effective strategy for reducing the amount of Recyclable Materials so disposed. 10.02.01 Commercial Waste Audit Form. The CONTRACTOR shall develop a Commercial Waste Audit form and submit it to the CITY for approval. The form shall indicate the results of each Commercial Waste Audit performed. The Commercial Waste Audit form shall include, but not be limited to, the name of the Service Recipient, date of the Commercial Waste Audit, person conducting the Commercial Waste Audit, an estimate of the weight of Recyclable Materials and Commercial Organic Waste disposed of in Solid Waste bins and containers, and the probable savings a Service Recipient would realize by both increasing the use of the Commercial Recycling Service and the Commercial Organic Collection Service and decreasing the use of the Commercial Solid Waste Collection Service. Upon completion of each Commercial Waste Audit, a copy thereof shall be submitted to the corresponding Service Recipient. The CONTRACTOR shall retain a copy of each Commercial Waste Audit so performed throughout the term of the Agreement. Section 4. Section 11.02 of the Agreement is hereby amended to read as follows: 11.02 Roll-Off Container Service. This service will be governed by the following terms and conditions: 11.02.1 Conditions of Service. Upon receipt of notice from the City Representative, CONTRACTOR shall provide Roll-Off Container Service for the Collection of Large Items at no additional cost to the CITY CONTRACTOR shall deliver and pick-up the Roll-Off Containers at the direction of the City Representative. The notice to CONTRACTOR shall specify the date of delivery and Collection of the Roll-Off Containers, the CITY Service Unit location for delivery, and the number of and size of the Roll-Off Containers to be delivered. Roll-Off Container service shall be provided within three (3) working days of receipt of notice or on such date as indicated in the notice thereafter. The CONTRACTOR shall provide Roll-Off Container service to CITY Service Units in the Service Area up to fifteen (15) times per Agreement Year, and such Collection by the CONTRACTOR shall be limited to providing Roll-Off Containers with a cumulative total capacity of three hundred fifteen (315) cubic yards in any Agreement Year except as otherwise provided in this Section 11.02. The CITY Service Unit shall not deposit dirt, rock, concrete, Exempt Waste or Construction and Demolition Debris in the Roll-Off Containers. 11.02.2 Condition and Placement of Roll-Off Containers. The Roll-Off Containers shall be clean, free of graffiti and in good repair. The Roll-Off Containers must be clearly marked and identifiable as belonging to CONTRACTOR. Special consideration shall be given when determining the delivery and pickup area for the Roll-Off Containers to ensure that the flow of traffic is not impeded and that it does not result in aesthetic degradation of an area. If the CITY Service Unit and the CONTRACTOR cannot agree on a delivery and pick up area, the area shall be determined by the City Representative. In addition, if, in the opinion of the City Representative, the delivery and pick up area is inappropriate, the City Representative may require the CONTRACTOR to relocate the Roll-Off container. 11.02.3 Calculation of Maximum Cubic Yardaqe Capacity of Roll-Off Containers Per Aqreement Year. The CITY may obtain a Roll-Off Container of any given capacity so long as the total cubic yards remaining to the CITY out of three hundred fifteen (315) total yards is greater than or equal to one-half (1/2) of the size of the container ordered, and further provided that the order will not result in the CiTY receiving Roll-Off Container service more than fifteen (15) times in an Agreement Year. For example, if the CITY has received fourteen Roll-Off Containers with a total capacity of 300 cubic yards, the CITY could request a Roll-Off Container with a maximum capacity of 30 cubic yards. Section 5. Section 16.02 of the Agreement is hereby amended to read as follows: 16.02 Public Outreach and Education Services. CONTRACTOR, at their own expense, shall prepare, submit and implement an annual (Agreement Year) Public Education and Outreach Program beyond the City's Public Education and Outreach Program. The proposed action plan must be submitted annually for City approval no later than March 31st for the next Agreement Year. The program must include a minimum of twelve (12) campaigns per year, designed to increase diversion as well as residential and commercial participation. Campaigns should target certain Recyclable Materials or "problem" areas of the CONTRACTOR'S Service Area where improvements can be maximized. Targets of outreach should be based on local trends and recycling patterns based on information obtained by both the City Representative and CONTRACTOR staff. Section 6. A new Section 18.05.8 is hereby added to the Agreement to read as follows: 18.05.8 Commercial Waste Audit. All daily commercial waste audits required by the annual Commercial Waste audit plan in Section 10.02 shall be summarized and averaged for the quarter. The quarterly report shall also summarize the audit results by the various segments of Service Recipients who produce Commercial Waste including, but not limited to, MFO, large commercial, small commercial and schools. Section 7. Section 18.06.5 of the Agreement is hereby amended to read as follows: 18.06.5 Summary of Historical and Proposed Activities. In compliance with Article 16 of this Agreement, CONTRACTOR shall provide a narrative of activities undertaken during the year and those planned or proposed for the upcoming year. CONTRACTOR shall provide information describing if the activity was undertaken in the previous Agreement Year or not, and if not, why it was added. CONTRACTOR shall describe the reason for the discontinuation of any activity and shall describe what activity is replacing it. The CITY shall approve or reject any proposed discontinuation of activities. Section 8. A new Section 18.06.6 is hereby added to the Agreement to read as follows: 18.06.6 Diversion Plan. CONTRACTOR shall provide a plan for approval by the CITY which describes the measures CONTRACTOR intends to take in the upcoming year to comply with Section 6.01. The diversion plan shall also provide a summary of the actual diversion achieved during the prior year. The diversion plan shall analyze all current diversion programs and activities. In order to ensure that progress is made in achieving the minimum annual diversion rate, the diversion plan shall also recommend, and project the impact of, programmatic improvements for all services provided under this Agreement. Section 9. in the event of a conflict between the Agreement and this Amendment, this Amendment will control. Except to the extent inconsistent with this Amendment, the parties ratify and confirm all of the terms and conditions of the Agreement. IN WITNESS WHEREOF, the parties hereto have caused this Amendment to be executed as of the date and year first above written. CITY OF DUBLIN . A-;>(.:', Dated: , I () /" , ,.; \~) " r 'r.' I (h..) .........-""""--- -) _./"' ,.--:-- " \" By: r C, c,:...r---<' (' Richard C. Ambrose City Manager -.-\ ''''-_./ Attest: By Cw L f-~ -Carolyn Parkinson Cw>/o L'wl.'c.. p. So t-o 09)~ jftterim City Clerk APPROVED AS TO FDRM: ,,/".' By: John D. Bakker City Attorney AMADOR VALLEY INDUSTRIES, LLC, a California Limited Liability Company Dated: By: Its: 1103407,1