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HomeMy WebLinkAbout1st Amendment - USA Waste of California, LLC.pdfFIRST AMENDMENT TO AGREEMENT FOR RESIDENTIAL CART CUSTOMER SOLID WASTE MANAGEMENT SERVICES The City of Diamond Bar ("City") and USA Waste of California, Inc. ("Contractor") collectively, the "Parties") entered into an agreement for the provision of residential cart customer solid waste management services dated February 15, 2017 (the "Agreement"). The Agreement expires on August 31, 2023. In January 2022, regulations enacted by CalRecyle in compliance with Senate Bill 1383, which added 14 CCR, Division 7, Chapter 12 and amended portions of Title 14 CCR and Title 27 CCR (together the "SB 1383 Regulations") became effective, which require the implementation of residential organic waste recycling. Pursuant to Section 2.10 of the Agreement, the City requested and the Contractor agreed to provide new program elements required by the SB 1383 Regulations. This First Amendment to Agreement for Residential Cart Customer Solid Waste Management Services (the "First Amendment") memorializes the new programs elements intended to comply with SB 1383 Regulations along with the appropriate adjustment of Contractor's rates necessary to implement the new programs. RECITALS: A. WHEREAS, SB 1383 establishes regulatory requirements for the City, generators, haulers, Solid Waste facilities, and other entities to support achievement of State-wide Organic Waste Disposal reduction targets; and B. WHEREAS, the SB 1383 Regulations require the City to implement Collection programs, meet processing facility requirements, conduct contamination monitoring, provide education, maintain records, submit reports, monitor compliance, conduct enforcement, and fulfill other requirements, and the City has chosen to delegate some of its responsibilities to the Contractor, acting as the City's designee, through this Agreement; and C. WHEREAS, Section 2.10 of the Agreelent provides for the Contractor to perform additional services and/or modify the manner in which it performs existing services to meet new regulatory requirements; and D. WHEREAS, Contractor and City have agreed to the scope and cost of new SB 1383 compliant services. NOW, THEREFORE, in consideration of the promises above stated and the terms, conditions, covenants, and agreements contained herein, the Parties do hereby agree as follows: COVENANTS: Based upon the foregoing recitals and for good and valuable consideration, the receipt and sufficiency of which is acknowledged by each of the Parties, City and Contractor hereby agree as follows: 1 1691677.1 ow The Parties acknowledge the above recitals are true and correct and incorporate them herein as if they were fully restated. SECTION 2. DEFINITIONS The terms used in this First Amendment shall have the meaning defined in Article 1 of the Agreement. To the extent that a term used in this First Amendment is not defined herein or in Article 1 of the Agreement, such terms shall have the same meaning as established in AB 939, the California Integrated Waste Management Act of 1989, as amended from time to time, and the SB 13 83 Regulations, as amended from time to time, which definitions shall take precedence to be consistent with state law and regulations. SECTION 3. REVISIONS TO SECTION 4.2.7 Section 4.2.7 (Optional Food Waste Diversion Program) of the Agreement is hereby deleted and amended in its entirety to read as follows: 4.2.7. Food Waste Diversion Program Commencing on July 1, 2022, Contractor shall expand the existing three -container residential collection program to facilitate the co -collection of Food Waste with Green Waste, or separately Collected in compliance with the SB 1383 SECTION 4 REVISIONS TO SECTION 4.6.3.1 Regulations. Contractor Section 4.6.3.1(C) of the Agreement (Cart Design Requirements; Cart Color and Appearance) is hereby deleted and amended in its entirety to read as follows: C. Cart Color, Appearance, and Regulatory Compliance The Refuse, Recycling and Green Waste/Organic Waste Carts shall comply with 14 CCR Section 18984.8 (Container Labeling Requirement) and 14 CCR Section 18984.7 (Container Color Requirements) which does not require replacement of functional Containers prior to the end of their useful life or January 1, 2036, whichever occurs first. If an existing Container breaks or is otherwise rendered non- functional on or after July 1, 2022, the Contractor shall replace the non-functional 2 1691677.1 Container with a Container that complies with 14 CCR Sections 18984.7 and 18984.8. SECTION 5. NEW SECTION 4.12 — SB 1383 COMPLIANCE PROGRAM Section 4.12 is hereby added to the Agreement to read as follows: 4.12 SB 1383 Compliance Program The following Contractor provided service revisions and new programs are collectively considered SB 1383 Regulations compliance activities the City is delegating to and compensating the Contractor for under this First Amendment. The Contractor shall provide the following SB 1383 Regulations compliance activities and related services: A. Expand Collection Program (Green Container) Contractor shall perform co -collection of Food Waste and Green Waste in Green Containers for all customers receiving 3 Container Solid Waste Collection Services. Contractor shall transport Organic Waste in compliance with 14 CCR Section 18988.2(a)(1) to: (1) the approved Organic Waste processing facility, or (ii) the approved transfer facility for transfer and transport to the designated Organic Waste processing facility, as approved by the City Manager. Contractor shall not deliver any Organics collected by Contractor to be disposed of at a landfill or used as Alternative Daily Cover, except as otherwise permitted by Applicable Law. The acceptable materials for co -collection include the following: food scraps; food soiled paper; and yard trimmings. The Parties agree that types of co -collected Organic Waste may be added to or removed from this list from time to time by mutual consent of the Parties. Contractor shall identify all Multi -Family Dwelling Customers (including homeowners associations, as applicable) without current yard waste collection service (i.e., receiving 2 Container Solid Waste Collection Services) and provide additional Containers for Organic Waste in accordance with 14 CCR Section 18984.1 and Chapter 8.16 of the Diamond Bar City Code. Contractor shall provide such services to Multi -Family Dwelling Customers at the rate on Exhibit 2. B. Contamination Monitoring Commencing on July 1, 2022, the Contractor shall, at its sole cost and expense, conduct route reviews for Prohibited Container Contaminants in Collection Containers in a manner that is deemed safe by the Contractor; is approved by the City in its reasonable discretion; and is conducted in a manner that results in all hauler routes being reviewed annually consistent with 14 CCR Section 18984.5(b) and Chapter 8.16 of the Diamond Bar City Code. 3 1691677.1 The Contractor shall conduct route reviews that include inspection of the contents of customers' Collection Containers for Prohibited Container Contaminants in a manner such that a minimum of five percent (5%) of Containers on each route are inspected annually. The Containers shall be randomly selected. Contractor shall develop a route review methodology to accomplish the above Container inspections and such methodology shall comply with the requirements of 14 CCR Section 18984.5(b). The City has approved Contractor's use of its Smart Trucksm system, including contamination monitoring via digital/video monitoring and the use of the internet. If CalRecycle notifies the Contractor that the methodology is inadequate to meet the requirements of 14 CCR Section 18984.5(b), Contractor shall, at its sole expense, revise the methodology and, after obtaining CalRecycle approval, conduct additional route reviews, increased container inspections, or implement other changes using the revised procedure. C. Noticing of Customers with Contamination, Non Collection, and Disposal of Prohibited Materials. Upon finding Prohibited Container Contaminants in a Container, Contractor shall follow contamination noticing Protocols as follows: First and Second Occurrence. For the first and second occurrence within any twelve-month period of contamination for a particular Container (e.g., Recyclables or Organic Waste), Contractor shall collect the contaminated Container and shall deliver to the Customer a contamination violation notice that contains instructions on the proper procedures for sorting Recyclable Materials or Organic Waste. Contractor shall notify the Customer by phone, U.S. mail, e-mail, text or other electronic form or in person (which may be a container tag) that for the third and subsequent incidents of excess contamination the Customer may be charged a contamination fee for the contaminated container, and Contractor may increase the container size, or require an additional container. Contractor shall document the contamination issue. Third and Subsequent Occurrences. For the third or subsequent occurrence within any twelve-month period of contamination for a particular Container (e.g., Recyclables or Organic Waste), Contractor shall collect the contaminated container and may charge the Customer a contamination fee as set forth in Exhibit 2. Contractor shall continue providing Solid Waste Collection Services to the Customer. Contractor shall provide (or have provided) photographic documentation to the Customer that shows the Customer's contamination and written notices of contamination as described above. Contractor may, in its Cl 1691677.1 discretion, increase the Container size or collection frequency. Contractor shall document the contamination issue. City shall consult with Contractor and consider and pursue, as applicable, appropriate legal remedies against the offending Customer in order to secure discontinuance of the contamination. D. Monthly Reporting Requirements. Contractor shall maintain records and annually report to the City on contamination monitoring activities conducted pursuant to Section 18984.5(b), as described and in accordance with Section 18995.1, on the schedule and in the form and format consistent with the schedule, form, and format of reports under Section 8.3 of the Agreement. SECTION 6. REVISIONS TO SECTION 4.8 Section 4.8 of the Agreement is hereby deleted and amended in its entirety to read as follows: A. Disposition of Materials Collected. Contractor shall transport all materials collected to the Approved Facilities, as defined herein, in accordance with this First Amendment and the Agreement, and shall transfer, process, and dispose of these materials in accordance State law. The initial approved facilities are listed in Attachment 1 to this First Amendment (such facilities the "Approved Facilities"). The Approved Facilities shall comply with the following requirements: 1. Approved Transfer Facility. Contractor's approved transfer facility shall be a transfer facility -or operation that transfers single-family and multi -family Source Separated Recyclable Materials and Source Separated Green Container Organic Wastes, collected in accordance with the Agreement and this First Amendment 2. Approved Source Separated Recyclable Materials Processing Facility Recycling Containers). Contractor's approved recyclables processing facility shall be a facility or operation that processes single-family and multi -family Source Separated Recyclable Materials to recover materials collected in the designated recycling container. 3. Approved Organic Waste Processing .Facility (Organics Containers). Contractor's approved organic waste processing facility shall be a facility that processes single-family and multi -family co -collected Food and Green Waste to recover this Source Separated Organic Waste in compliance with 14 CCR Section 18983.1(b). B. Allowable Organic Waste Facilities. If Contractor wishes to transport collected materials to a type of facility that is not described above or listed in the Approved Facilities on Attachment 1, Contractor shall obtain written approval from the City Manager and, for Organic Waste, such facilities or activities shall constitute a reduction in landfill disposal pursuant to 14 CCR Section 18983.1(b). If Contractor is interested in using a facility, operation, or activity not listed above and the type of such facility, operation, or activity is not specifically identified in 14 CCR Section 18983.1(b), Contractor shall secure the S 1691677.1 necessary determination from CalRecycle, pursuant to 14 CCR Section 18983.2, that the facility's process or technology constitutes a reduction in landfill disposal prior to the City's final approval of such facility, operation, or activity. C. Guaranteed Capacity and Facility Standards. Contractor shall guarantee Organic Waste recycling capacity at the Approved Facilities, to the extent that such facilities are owned or operated by Contractor, throughout the Term of the Agreement and shall comply with facility standards specified in State regulations. D. Transportation and Facility Costs. Contractor shall pay all costs for the transport, transfer, processing, and/or disposal of materials at the Approved Facilities Collected by Contractor in accordance with this Agreement. Contractor's compensation for such services is included in the rates charged to customers. E. Transportation to Non -Approved Facilities Prohibited. If Contractor transports refuse to a facility other than the Approved Facilities without prior City approval, Contractor's failure to comply may result in an assessment of liquidated damages underOF Section 11.3 of the Agreement and/or the early termination of this Agreement under Section 11.2 of the Agreement. SECTION 7. ADDITION OF SECTION 5.3.5 Section 5.3.5 (SB 1383 Organic Waste Diversion Program) is hereby added to the Agreement to read as follows: Section 5.3.5 SB 1383 Organic Waste Diversion Program A. Education Requirements during Program Implementation/Roll-Out. Commencing July 1, 2022, Contractor shall conduct an education campaign focused on informing Customers of the Organic Waste collection program changes that will commence on July 1, 2022. At a minimum, Contractor shall perform the activities listed below and shall perform these services in a manner that complies with 14 CCR Section 1898551 1. Prepare and distribute an initial mailer to all Customers explaining the changes from the existing Collection programs to new programs, and any additional education and outreach information as specified in 14 CCR 18985.1(a). The initial mailer shall be printed and mailed or hand delivered to Customers, and shall also be made available in an electronic format through the Contractor's website. Contractor may provide a Customer with an electronic version of the initial mailer, rather than a printed version, if specifically requested by the Customer. 2. Prepare a "how-to" flyer describing how to effectively participate in the new Collection program and describe the acceptable materials that can be included in each 0 1691677.1 Container, as well as non -allowable materials. Prepare separate flyers for Single -Family Dwelling Customers, and Multi -Family Dwelling Customers addressing their unique service conditions. The flyers shall be printed and distributed to each Customer, as well as made available in an electronic format through the Contractor's website. The Contractor shall provide a sufficient number of flyers to each Multi -Family Dwelling property manager for their distribution to each tenant unit. Contractor may provide a Customer with an electronic version of the flyer rather than a printed version, if specifically requested by the Customer. 3. Prepare printed signage and posters describing Collection programs and distribute to Multi -Family Dwelling property managers for on -site use. 4. All education material designed and/or distributed by the Contractor shall be submitted to the City Manager for approval prior to distribution or posting on the Contractor's website. B. Annual and/or Ongoing Education Requirements. 1. Specific Annual Educational Activities a. Annual Notice of Requirements. Not less than once per year during each rate year, Contractor shall prepare and distribute to each Customer in the City a mailer that includes information specified in 14 CCR Section 18985.1(a). Such mailer shall be distributed by Contractor to all Residential Premises mailing addresses, including individual Multi - Family Dwelling customers. Contractor shall also make this notice available in an electronic format through the Contractor's website. b. Billing Inserts. Upon City request up to four (4) times per year, Contractor agrees to insert and distribute brochures, newsletters, or other information developed by the City as inserts in Contractor's customer invoices at no additional charge to the City. Upon City request, Contractor shall be responsible for printing such bill inserts. For Customers receiving electronic bills, Contractor agrees to distribute brochures, newsletters, or other information developed by the City as attachments to Customer invoices up to four (4) times per year at no additional charge to the City. Electronic bill inserts/attachments must be readily available for the Customer to view upon receipt of the invoice (attachments shall not be provided as links). Upon City request for such inserts, Contractor shall comply with such request during its next billing cycle for the targeted Customer group. Contractor shall perform this service with no additional requirement for compensation. c. Multi -Family Customer Siana2e. Contractor shall provide all Multi -Family Dwelling Customers with program guidelines, including posters to be placed in Collection areas and enclosures and other community areas at each premises or building where Solid Waste is stored. d. Minimum Website Requirements. Contractor shall develop and maintain a website with a unique URL specific to the City) that is specifically dedicated to the City to r 1691677.1 provide Customers with detailed service information. The website or webpage shall be accessible by the public and shall include all education and outreach materials prepared by Contractor in accordance with this Agreement without requirement for login by the Customer. Contractor shall update the website regularly so that information provided is current. e. Provision of Educational Materials to Non -Compliant Entities. Contractor shall provide educational materials to all Customers determined by the City to not be compliant with the SB 1383 Regulations in a timeframe approved by the City Manager, C. Non -English Language Requirements The Contractor shall make all public education and outreach materials required by this Section available in English, Mandarin, and Korean. Upon City request, Contractor shall provide materials in additional languages beyond those specified in this Section in response to shifting demographics within the City; as required under State or Applicable Law; or, any other reason deemed appropriate by the City in its reasonable discretion. D. Record Keeping and Reporting Requirements Contractor shall comply with the public education and outreach record keeping requirements and provide the City such records as required by 14 CCR Section 18985.3 to facilitate the City's compliance with CalRecycle reporting requirements. E. Personnel The Contractor, prior to the date of this First Amendment, designated staff to serve as Outreach Coordinators. The duties of the Outreach Coordinator(s) shall be focused on mutually agreed activities and outreach, including public education, community outreach, Customer site visits, and technical assistance. SECTION 8. New and Revised Exhibit 2 —Franchise Rates Exhibit 2 of the Agreement pertaining to maximum rates is hereby amended and restated by a new Exhibit 2 attached hereto as Attachment 2. This amended and restated Exhibit 2 replaces current franchise rates effective July 1, 2022, and shall be subject to all future increases and adjustments following the schedule and methodology of adjustments established in Article 6 of the Agreement. SECTION 9. Effective Date This First Amendment shall be effective July 1, 2022. 1691677.1 IN WITNESS WHEREOF, City and Contractor have executed this Agreement as of the day and year first above written. DATED: June Zj 2022 CITY OFiPSI 1OND Dan Fox City Manager ATTEST: Kristine Santana City Clerk By: David eBer City Attorney DATED: June N. 2022 USA W J.STE OF INC. Michael Hammer President- Southern California Area 7 1691677.1 ATTACIFI[IVVIjLI 1 A 1 Approved Transfer Facilities Azusa TS/MRF Address: 1501 W. Gladstone St. Azusa, CA 91702 County: Los Angeles Pomona Valley TS 1371 E. 9th Street, Pomona, CA 91766 County: Los Angeles Grand Central TS 17455 Railroad Street, City of Industry, CA 91748 County: Los Angeles Approved Source Separated Recyclable Materials Processing Facilities Azusa TS/MRF Address: 1501 W. Gladstone St. Azusa, CA 91702 County: Los Angeles Approved Organic Waste Processing Facilities Azusa TS/MRF Address: 1501 W. Gladstone St. Azusa, CA 91702 County: Los Angeles Organics Processing Activity: Permitted as Transfer/Processor (contamination removal and chip and grind activity) South Valley Compost Facility Address: 24487 Road 140 Tulare, CA 93274 County: Tulare County Organics Processing: 35-acre windrow composting Permitted Capacity: 1,000 tons per day Secondary/Alternative Facility. Ecology AZ Composting Address: 59260 Highway 72 Salome, AZ 85348 Organics Processing: Windrow CompostiOrng Verifiable Available Capacity: 400 tpd through Feedstock Agreement io 1691677. 1 ATTACHMENT 2 EXHIBIT 2 MAXIMUM RATES Following are the rates effective July 15 20220 Residential Service Rate Cart Service — one each refuse, recycling, and organics waste cart Standard Rates 35- allon refuse cart 26.04 64- allon refuse cart 32.09 96- allon refuse cart 38.50 Senior Reduced Rate 35- allon refuse cart 22.41 64- allon refuse cart 27.67 96- allon refuse cart 33.00 Additional Carts 35- allon refuse cart 8.14 64- allon refuse cart 12.20 96- allon refuse cart 16.31 Additional Recycling Cart (beyond 2 carts 2.28 Additional Green Waste Cart (beyond 2 cart 5.76 Additional Cart Rates and Services Backyard Service Surcharge 27.00/hr. Yard Waste Reduction Discount 3.92 Additional Special Overage Pickup >2 per year 10.99 Additional Bulky Item Pickup > free allowed 41.21 Cart Exchange after free exchangeperiod) 20.62 Emergency Service rates - 1 crew & 1 Truck 116.80/hr. Temporary Services** Temporary bin - 3 yard (7 day rental) 156.51/pull Temporary bin - 6 yard (7 day rental) 193.32/pull Redelivery/Return Trip Fee 121994 Temporary bin - 40 yard (7 day rental) 693982 Temporary bin — Low boy (7 day rental) 735.95 Rental - per day after 7 days 31.00/day Rates are set equal to rates in City's Bin and Roll -Off Service Customer Solid Waste Management Services agreement with Valley Vista Services, 11 1691677.1 ATTACHMENT 2 EXHIBIT 2A MAXIMUM RATES Rates for Single Family Residences that have an Organic Program. Following are the rates effective July 1, 2022: Residential Service Rate Cart Service — one each refuse, rec clin , and organics waste cart Standard Rates 35- allon refuse cart 27994 64- allon refuse cart 34943 96- allon refuse cart 41.31 Senior Reduced Rate 35- allon refuse cart 24.05 64- allon refuse cart 29.69 96- allon refuse cart 35942 This rate sheet rate should not be usedfor multifamily homes without organic services. 12 1691677.1